HomeMy WebLinkAbout2024.01.16 Agenda Report 7.2Agenda #: 7.2
Meeting Date: January 16, 2024
TO: Honorable Mayor and Members of the City Council
FROM: Daniel Fox, City Manager
TITLE: RESULTS OF WASTE HAULER PROCUREMENT.
STRATEGIC
GOAL: Safe, Sustainable & Healthy Community
RECOMMENDATION:
Receive presentation, deliberate and provide direction to staff.
FINANCIAL IMPACT:
None.
BACKGROUND:
Since 2000, Valley Vista Services (VVS) and Waste Management (WM) have been the
City's exclusive commercial and residential solid waste haulers under three separately
negotiated franchise agreements. In August 2010, the City Council granted second
franchise agreements to VVS and WM. These agreements were amended and restated
in 2017 and extended in 2023. Both are now set to expire August 31, 2025.
At the City Council Study Session of April 5, 2022, staff presented information regarding
the status of the solid waste franchise agreements for review and discussion. The City
Council directed staff to commence an exclusive procurement process with the current
waste haulers in which both could submit a proposed scope of work for the service
areas by sector or for citywide service, with the City reserving the right to select any
combination. On June 21, 2022, the City Council awarded a contract to Sloan Vazquez
McAfee, a consulting firm with extensive experience in the procurement and
management of municipal solid waste collection franchises to assist with the
procurement process.
The City’s project team (staff, City Attorney Omar Sandoval and Enrique Vazquez of
Sloan Vazquez McAfee) developed a Request for Proposals (RFP) (Attachment A) with
a focus on a transparent and ethical procurement process, high performance/quality
7.2
Packet Pg. 266
and reliable service, value for ratepayers, compliance with state regulatory requirements
including SB 1383 organics requirements), and effective outreach and engagement
with customers over the proposed ten-year (plus a two-year extension option)
agreement term. Specific service requirements across sectors include, but are not
limited to:
State diversion compliance
Standard cart, bin, and roll-off service
Organics collection
Backyard service
Temporary bins
On-call bulky item and abandoned item collection
Household Hazardous Waste (HHW), e-waste, sharps, used oil, and holiday tree
collection
Construction and demolition collection and disposal
Complimentary City service
Robust community education and outreach programming
Deployment of clean fuel vehicles
The RFP was released to VVS and WM on May 3, 2023. Three addenda to the RFP
were provided and a total of 54 questions related to the RFP terms were submitted by
the respondents. Both VVS and WM submitted complete proposals for commercial only,
residential only, and citywide services by the August 30, 2023 response deadline.
Because the format of the RFP allowed separate proposals for each sector, there are
four outcomes that can be analyzed and considered:
Option 1 – WM (Residential) and VVS (Commercial).
Option 2 - VVS (Residential) and WM (Commercial).
Option 3 – VVS citywide.
Option 4 – WM citywide.
CONSULTANT EVALUATION
To evaluate these options, Sloan Vazquez McAfee reviewed and rated each proposal
on criteria including responsiveness to RFP, qualifications and experience, technical
qualifications, financial resources, rate proposals, and exceptions to Draft Agreement,
all compiled in the City of Diamond Bar Request for Proposals – Solid Waste Services
Final Report (Attachment 2). Weighted scores were assigned to each, with the sum
establishing the overall rankings. As shown in Table 1 below, the consultant’s
evaluation rated Option 4 (Waste Management citywide) first, Option 2 (VVS residential
and WM commercial) second, Option 3 (Valley Vista citywide) third, and Option 4
Waste Management residential and Valley Vista commercial) fourth.
Table 1 – Evaluation Scores by Option
Criteria Available Pts. Option 1
WM/VVS)
Option 2
VVS/WM)
Option 3
VVS)
Option 4
WM)
Responsiveness to RFP N/A Pass Pass Pass Pass
7.2
Packet Pg. 267
Qualifications/Experience 50 49 49 50 48
Technical Qualifications 300 299 300 300 299
Financial Resources 100 90 90 80 100
Rate Proposal 500 440 460 453 460
Exceptions to Agreement 50 48 48 50 45
Total 1,000 926 947 933 952
Ranking N/A 4 2 3 1
Within these categories, the evaluation examined specific requirements, including, but
not limited to these examples:
Demonstrated collection experience and satisfaction of references.
Customer service standards and quality of service.
Qualification and number of key personnel assigned to the Diamond Bar
contract.
Ability to meet implementation schedule and deadlines.
Ability to meet state mandates.
Quality and nature of public outreach and education programs for diversion.
Ability to provide required operations, disposal, transfer, and processing facilities.
The number of exceptions/suggested changes to the City’s draft agreement.
The overall financial sustainability of the proposer.
Competitiveness and reasonableness of rate proposals.
While there are subtle differences between the proposals, the results of the evaluation
indicate that both respondents are qualified, with proposals found to be compliant with
the scope of required services for all sectors contained in the released RFP. Based on
the analysis, both respondents can be expected to deliver quality service while meeting
state mandates, including SB 1383 organics recycling requirements.
TOTAL RATE REVENUE
The most apparent differences between options is related to rates and total revenue
generated annually. The impact of each option is best captured by comparing Total
Rate Revenue, a metric that captures the total expected revenue across sectors. Tables
2, 3, and 4 provide a detailed comparison of the Total Rate Revenue by option for total
revenue collected, differences in proposed revenue when compared to expected current
revenues, and percentage change when the proposals are compared to current
revenues.
Table 2 - Total Rate Revenue by Option
Sector Current
7/2024*
Option 1
WM/VVS)
Option 2
VVS/WM)
Option 3 (VVS) Option 4 (WM)
Residential $7,146,552* $6,647,976 $6,377,976 $6,377,976 $5,508,648
Commercial $2,508,763* $3,628,889 $2,328,150 $3,628,889 $2,901,767
Total $9,655,315* $10,276,865 $8,706,126 $10,006,865 $8,410,415
NOTE: * represents current rates adjusted for inflation as of July 1, 2024.
Table 3 – Total Change in Rate Revenue by Option
7.2
Packet Pg. 268
Sector Option 1
WM/VVS)
Option 2 (VVS/WM) Option 3 (VVS) Option 4 (WM)
Residential ($498,576) ($768,576) ($768,576) ($1,637,904)
Commercial $1,120,127 ($180,613) $1,120,127 $393,004
Total Change $621,551 ($949,189) $351,551 ($1,244,900)
Table 4 – Total Percentage Change in Rate Revenue by Option
Sector Option 1
WM/VVS)
Option 2 (VVS/WM) Option 3 (VVS) Option 4 (WM)
Residential -7.0% -10.8% -10.8% -22.9%
Commercial 44.6% -7.2% 44.6% 15.7%
Total % Change 6.4% -9.8% 3.6% -12.9%
In summary, Options 2 and 4 reduce rate revenue collected while Options 1 and 3 result
in a net increase in rate revenue collected. Option 2 offers reduced rate revenue in both
the residential (-10.8%) and commercial sectors (-7.2%), while Option 4 offers a more
significant reduction in residential rate revenues (-22.9%) but increases rate revenues in
the commercial sector (15.7%). In aggregate, Option 2 reduces total rate revenues by
9.8%, while Option 4 reduces rate total rate revenues by 12.9%.
RESIDENTIAL RATE COMPARISON
There are currently 13,092 single-family residential units and 16 multi-family accounts
with a total 2,489 individual housing units that receive residential cart service. These
represent 97.8% of customer accounts served in Diamond Bar and 85.6% of total
residential units across sectors. As shown in Table 5 below, all four options provide a
reduction in residential rates when compared to current levels, with Option 2 and Option
4 providing the greatest reduction to customers. Option 2 reduces residential rates by
anywhere from 6.7% to 20.9% while Option 4 reduces rates by anywhere from 9.5% to
29.6%.
Table 5 - Proposed Residential Rates by Option
Cart
Service
Current
7/2024*
Option 1
WM/VVS)
Option 2
VVS/WM)
Option 3 (VVS) Option 4 (WM)
35 Gal. $32.02 $29.54 (-7.8%) $29.89 (-6.7%) $29.89 (-6.7%) $28.99 (-9.5%)
64 Gal. $39.46 $36.39 (-7.8%) $35.39 (-10.3%) $35.39 (-10.3%) $29.93 (-24.1%)
96 Gal. $47.34 $43.66 (-7.8%) $40.11 (-15.3%) $40.11 (-15.3%) $36.64 (-22.6%)
35 Gal. Sr. $27.56 $26.58 (-3.6%) $23.91 (-13.3%) $23.91 (-13.3%) $23.19 (-15.9%)
64 Gal. Sr. $34.02 $32.76 (-3.7%) $31.46 (-7.5%) $31.46 (-7.5%) $23.94 (-29.6%)
96 Gal. Sr. $40.58 $39.30 (-3.2%) $32.09 (-20.9%) $32.09 (-20.9%) $29.31 (-27.8%)
COMMERCIAL RATE COMPARISON
There are currently 269 commercial accounts and 31 multi -family accounts with a total
of 2,620 individual housing units that receive bin service. These represent 2.2% of
customer accounts served in Diamond Bar and 14.4% of total residential units served
across sectors. Due to the variability in business service needs and generally
customizable nature of commercial services, it is difficult to compare proposals based
7.2
Packet Pg. 269
on individual rates. It should also be noted that often, commercial rates paid by a single
account are often split amongst a number of tenants or residents so that a single
business is not solely responsible for the cost of service established in the proposed
rate schedules.
As shown in Tables 6 and 7 below, only Option 2 (WM Commercial Only) results in a
commercial rate decrease, with the current structure (WM residential and VVS
commercial) and both city-wide proposals resulting in an increase to annual commercial
rate revenue.
Table 6 – Commercial Rates
Current
Size 1 pickup/wk 2 pickup/wk 3 pickup/wk 4 pickup/wk 5 pickup/wk 6 pickup/wk
2 Yard Bin $137.94 $239.15 $326.93 $423.08 $524.33 $609.03
3 Yard Bin $170.77 $283.12 $397.53 $516.11 $623.61 $772.08
4 Yard Bin $216.21 $347.96 $482.72 $687.50 $822.27 $998.80
Options 1 & 3 – VVS Citywide and Commercial Only
Size 1 pickup/wk 2 pickup/wk 3 pickup/wk 4 pickup/wk 5 pickup/wk 6 pickup/wk
2 Yard Bin $176.57 $326.29 $489.44 $652.58 $767.40 $874.96
3 Yard Bin $197.73 $368.62 $552.93 $737.23 $873.21 $1,001.94
4 Yard Bin $218.89 $410.94 $616.41 $821.88 $979.03 $1,128.92
Option 2 – WM Commercial Only
Size 1 pickup/wk 2 pickup/wk 3 pickup/wk 4 pickup/wk 5 pickup/wk 6 pickup/wk
2 Yard Bin $116.75 $210.15 $303.55 $396.95 $490.35 $525.32
3 Yard Bin $144.54 $260.18 $375.81 $491.45 $607.08 $722.72
4 Yard Bin $183.00 $329.40 $475.80 $622.20 $768.61 $915.01
Option 4 – WM Citywide
Size 1 pickup/wk 2 pickup/wk 3 pickup/wk 4 pickup/wk 5 pickup/wk 6 pickup/wk
2 Yard Bin $142.65 $256.76 $385.14 $513.53 $641.91 $770.29
3 Yard Bin $176.60 $317.89 $476.83 $635.78 $794.72 $953.67
4 Yard Bin $223.59 $402.47 $603.70 $804.94 $1,006.17 $1,207.41
Table 7 – Percentage Change in Commercial Rates
Options 1 & 3 – VVS Citywide and Commercial Only
Size 1 pickup/wk 2 pickup/wk 3 pickup/wk 4 pickup/wk 5 pickup/wk 6 pickup/wk
2 Yard Bin 28.0% 36.4% 49.7% 54.2% 46.4% 43.7%
3 Yard Bin 15.8% 30.2% 39.1% 42.8% 38.0% 29.8%
4 Yard Bin 1.2% 18.1% 27.7% 19.5% 19.1% 13.0%
Option 2 – WM Commercial Only
Size 1 pickup/wk 2 pickup/wk 3 pickup/wk 4 pickup/wk 5 pickup/wk 6 pickup/wk
2 Yard Bin -15.4% -12.1% -7.2% -6.2% -6.5% -13.7%
3 Yard Bin -15.4% -8.1% -5.5% -4.8% -4.0% -6.4%
4 Yard Bin -15.4% -5.3% -1.4% -9.5% -6.5% -8.4%
7.2
Packet Pg. 270
Option 4 – WM Citywide
Size 1 pickup/wk 2 pickup/wk 3 pickup/wk 4 pickup/wk 5 pickup/wk 6 pickup/wk
2 Yard Bin 3.4% 7.4% 17.8% 21.4% 22.4% 26.5%
3 Yard Bin 3.4% 12.3% 19.9% 23.2% 25.6% 23.5%
4 Yard Bin 3.4% 15.7% 25.1% 17.1% 22.4% 20.9%
ANALYSIS:
As established in the evaluation outlined above, the procurement resulted in proposals
from two qualified candidates. This determination is supported by successful
partnerships with each over a period exceeding 20 years. Of the four options that
resulted from the procurement process, Options 2 and 4 warrant the most consideration
since they are the only two results that result in rate relief when compared to current
annual hauler revenue.
Option 4 (WM citywide) is the most robust proposal due to the following factors:
Offers the greatest overall reduction in ratepayer impact (-12.9%), with very
significant cost reductions for residents (from 9.5% to 29.6%). However,
commercial customers will experience increases, particularly for those with
higher service needs (more than one pickup per week).
Offers improved contract administration efficiency because there would be only
one contract to manage.
Offers improved customer service efficiency because there would be one source
for customer service (everyone gets the same).
The WM proposal allocated more dedicated personnel to the Diamond Bar
contract.
In staff’s view, the WM proposal included more robust outreach and education
components.
Option 2 (VVS residential and WM commercial) is a quality secondary proposal due to
the following factors:
VVS residential and WM commercial provides for overall rate revenue reductions
9.8%) and rate decreases in both sectors. However, the residential reduction is
less than in Option 4.
Requires management of two hauler contracts.
The transition between residential haulers may require additional customer
service to facilitate.
NEXT STEPS
Staff is seeking direction from the Council as to which option it prefers. Once staff has
received the Council’s preference, it would work with the selected hauler(s) to finalize
contract language. Once finalized, the final agreement will be scheduled at a future
meeting for Council consideration. This agreement will include the agreed-upon start
date for both sectors.
7.2
Packet Pg. 271
LEGAL REVIEW:
City Attorney has reviewed and approved this report.
PREPARED BY:
REVIEWED BY:
Attachments:
1. 7.2.a Diamond Bar Request for Proposals - Solid Waste Services
2. 7.2.b City of Diamond Bar Request for Proposals - Solid Waste Services Final
Report
7.2
Packet Pg. 272
Subject: Diamond Bar RFP
From: Enrique Vazquez <enrique@sloanvazquez.com>
Date: 5/3/2023, 4:59 PM
To: "Quiroa, Lily" <LQuiroa@wm.com>, David Perez <DavidPerez@zerepmanagement.com>
CC: 'Alfa Lopez' <ALopez@DiamondBarCA.Gov>
Lily Quiroa,
David Perez
Aached you will the RFP for Solid Waste Services for the City of Diamond Bar.
Included are the following documents and files;
1. RFP
2. Aachment 2: Proposer's Code of Conduct
3. Aachment 3: Descripon of Services
4. Aachment 4: Current Rates
5. Aachment 5: City Facilies
6. Aachment 6: Rate Proposal Forms
7. Aachment 8: Proposal Outline
Not included with this distribuon are the following.
1. Aachment 1: Dra Franchise Agreement
2. Aachment 7: Rate Adjustment Procedures
These last two will be released as soon as they are complete but likely within a week of today.
We have scheduled a mandatory pre-proposal conference for May 10, 2023 at 10: a.m. We will be
sending out invitaons soon.
Please note that any inquiries going forward must be directed in wring to
DiamondBarRFP@sloanvazquez.com. Please send an inial email to ensure that your emails are being
received.
Thank you for your parcipaon. I look forward to working with you.
Enrique Vazquez
Sloan Vazquez McAfee
626-347-3226
www.sloanvazquez.com
Aachments:
DB RFP Final 5-3-23.pdf 484 KB
Aachment 2 - Proposer's Code of Conduct & Non-Collusion Affidavit.pdf 168 KB
Aachment 3 - Descripon of Service Area.pdf 181 KB
7.2.a
Packet Pg. 273
Aachment 4 - Current Rates.pdf 1.9 MB
Aachment 5 - City Facilies.pdf 145 KB
Aachment 6 Diamond Bar Rate Proposal Forms-Citywide.xlsx 101 KB
Aachment 6 Diamond Bar Rate Proposal Forms-Commercial.xlsx 94.5 KB
Aachment 6 Diamond Bar Rate Pro posal Forms-Residenal.xlsx 99.1 KB
Aachment 8 - Proposal Outline.pdf 146 KB
7.2.a
Packet Pg. 274
REQUEST FOR PROPOSALS
FOR
SOLID WASTE SERVICES
Issued by
fPrepared by:
3002 Dow Avenue, Suite 116, Tustin, CA 92780
Office: 866.241.4533
info@sloanvazquez.com · www.sloanvazquez.com
Contact: Enrique Vazquez
enrique@sloanvazquez.com
626-347-3226
May 3, 2023
7.2.a
Packet Pg. 275
City of Diamond Bar, California Table of Contents
RFPforSolidWasteServices May3, 2023 Pageii
TABLE OF CONTENTS
SECTION 1 - INTRODUCTION ............................................................................................................... 1
Overview of Request for Proposal ................................................................................................... 1
Proposal Clarifications and Updates ................................................................................................ 1
City Goals and Objectives ............................................................................................................... 2
Organization of RFP ........................................................................................................................ 2
RFP Schedule .................................................................................................................................. 3
SECTION 2 - BACKGROUND ................................................................................................................. 4
Background Information ................................................................................................................. 4
Service Data ................................................................................................................................... 4
Term of New Agreement or Agreements ......................................................................................... 4
SECTION 3 - SCOPE OF REQUIRED SERVICES ........................................................................................ 5
Single-Family Dwelling (SFD) Solid Waste Services ........................................................................... 5
Commercial Solid Waste Services (Including Multifamily Premises of 5 or more units) ..................... 7
C&D Debris Collection Services ....................................................................................................... 8
City Solid Waste services ................................................................................................................ 9
Key Contract Terms ...................................................................................................................... 10
SECTION 4 - RFP POLICIES, CONDITIONS, AND PROCESS .................................................................... 15
Rights Reserved by the City .......................................................................................................... 15
General RFP Requirements ........................................................................................................... 15
Code of Conduct ........................................................................................................................... 16
Proposal Submittal Requirements ................................................................................................. 16
Limits on Disclosure of Proposals .................................................................................................. 19
SECTION 5 - SUBMITTAL REQUIREMENTS .......................................................................................... 21
Proposal Outline .......................................................................................................................... 21
1. General Requirements ...................................................................................................... 21
2. Proposer OVerview .......................................................................................................... 21
3. Proposal for Solid Waste Services ..................................................................................... 24
4. Displaced Employee Retention ......................................................................................... 28
7.2.a
Packet Pg. 276
City of Diamond Bar, California Table of Contents
RFPforSolidWasteServices May3, 2023 Pageiii
5. Exceptions to the Agreement ............................................................................................ 28
6. Rate Proposals ................................................................................................................. 28
7. Proposer Code of Conduct and Non-Collusion Affidavit ..................................................... 29
SECTION 6 - PROPOSAL EVALUATION PROCESS ................................................................................. 30
Proposal Evaluation Criteria.......................................................................................................... 31
AWARD ........................................................................................................................................ 33
LIST OF ATTACHMENTS .................................................................................................................... 34
ATTAHCMENT 1: DRAFT AGREEMENT
ATTACHMENT 2: PROPOSER CODE OF CONDUCT AND NON-COLLUSION AFFIDAVID
ATTACHMENT 3: SERVICE DATA
ATTACHMENT 4: CURRENT RATES
ATTACHMENT 5: CITY FACILITIES
ATTACHMENT 6: RATE PROPOSAL FORMS
ATTACHMENT 7: RATE ADJUSTMENT METHODOLOGY
ATTACHMENT 8: PROPOSAL OUTLINE
LIST OF TABLES
Table 1 – RFP Schedule ................................................................................................................................. 3
7.2.a
Packet Pg. 277
City of Diamond Bar, California Section 1. Introduction
RFPforSolidWasteServices May3, 2023 Page1
SECTION 1 - INTRODUCTION
OVERVIEW OF REQUEST FOR PROPOSAL
The City of Diamond Bar (City) is soliciting proposals from Waste Management and Valley Vista Services
to provide solid wastes services to include the collection, transportation, recycling, processing, and
disposal of solid waste.
Currently, solid waste services are provided under a Residential Cart Customer Franchise Agreement
with Waste Management (WM) and a Commercial Bin and Roll-Off Box Franchise Agreement with Valley
Vista Services (VVS).
WM provides collection services to residential premises that receive residential collection using carts
and for temporary roll-off box and temporary bin collection service for cleanup or construction work
performed at residential customers to whom WM provides collection service using carts. Temporary
collection service for the construction of new residences, and all work on commercial premises, and
residential premises that receive collection service using bins, are excluded from WM’s franchise
agreement.
VVS provides collection services to commercial premises and all residential premises that receive
collection using bins and including temporary bin and temporary roll-off box collection service with the
exclusion of residential premises that receive collection service using carts.
By issuing this Request for Proposals (RFP) for solid waste services, the City is competitively procuring
franchised solid waste services. VVS and WM are exclusively invited to present a proposal to provide
solid waste service to their respective service area under the existing franchise agreements as well as a
proposal to provide City-wide solid waste services including residential, commercial, and permanent roll-
off and on-call services. Should the City determine that proposals received from VVS and WM are
inadequate to meet the City desired goals, the City reserves the right to invite additional proposers prior
to making a final decision in the selection of a contractor or contractors.
A key point of reference is the Draft Solid Waste Services Franchise Agreement (Agreement) included as
Attachment 1. The Agreement provides definitions, contract terms, and conditions, including a complete
description of the services to be provided. If there are differences between this RFP and the Agreement,
the terms and conditions in the Agreement shall prevail.
PROPOSAL CLARIFICATIONS AND UPDATES
Proposers wishing to receive answers to questions and other RFP addenda must register by providing
contact name, company name, address, e-mail address, and phone number via email to
DiamondBarRFP@sloanvazquez.com. All Questions regarding this RFP shall be submitted to the City’s
7.2.a
Packet Pg. 278
City of Diamond Bar, California Section 1. Introduction
RFPforSolidWasteServices May3, 2023 Page2
Consultant to DiamondBarRFP@sloanvazquez.com (see RFP Section 5 – Proposal Submittal
Requirements.)
Only written responses will govern. Written questions may not be accepted after the date shown in the
schedule in Table 1. However, simple questions regarding how to complete submittal forms or
otherwise complete the proposal requirements, may be submitted via email until the proposal due date.
CITY GOALS AND OBJECTIVES
The City’s goals and objectives for the RFP process and future collection services are as follows:
INTEGRITY, COMPETITION IN SELECTION PROCESS, AND CONTRACT TERMS CONSISTENT WITH
CALRECYCLE COMPLIANCE REQUIREMENTS
x Conduct the RFP process with integrity and transparency.
x Stimulate competition among proposing companies.
x Set high performance standards.
x Ensure value for ratepayers.
x Enter into a contract with fair terms and conditions.
QUALITY, HIGH-VALUE PROGRAMS
x Consistent, reliable, and quality service.
x Efficient service delivery that provides a strong value to the ratepayers.
x Responsive customer service system.
x Well-planned and professionally executed transition to any new programs and services.
x Quality outreach and education.
x Effective diversion programs to ensure compliance with regulations.
ORGANIZATION OF RFP
This RFP is organized into six sections as follows:
x Section 1 provides a brief introduction to the RFP.
x Section 2 provides background information.
x Section 3 presents the scope of required services.
x Section 4 provides the RFP policies, conditions, and process.
x Section 5 describes the RFP submittal requirements.
x Section 6 outlines the proposal evaluation process.
7.2.a
Packet Pg. 279
City of Diamond Bar, California Section 1. Introduction
RFPforSolidWasteServices May3, 2023 Page3
RFP SCHEDULE
The key activities and completion dates for the RFP process are provided in Table 1.
Table 1 – RFP Schedule
Note: The City reserves the right to modify this schedule as needed.
Milestones Date
City issues RFP May 3, 2023
Mandatory pre-proposal meeting at 10:00 a.m. May 10, 2023
Deadline to submit written questions by 5 p.m. May 24, 2023
Distribution of Addenda May31, 2023
Proposals Due no later than 4 p.m. June 19, 2023
Option to Release RFP to Public August6, 2023
Evaluation Results Reported to City Council October 9, 2023
Final Selection and Approval November 14, 2023
Contractor commences providing services September 1, 2025
7.2.a
Packet Pg. 280
City of Diamond Bar, California Section 2. Background
RFPforSolidWasteServices May3, 2023 Page4
SECTION 2 - BACKGROUND
BACKGROUND INFORMATION
The information presented in this section and the related Attachments listed below are for
informational purposes only. Each proposer should take whatever steps it believes are necessary to
determine the actual service requirements of the City and understand service conditions when
preparing a proposal. The following is a list of Attachments providing reference information for
proposers (Attachments 2 and 6 are for completion and submittal with the proposal):
x Attachment 1 is the Draft Agreement.
x Attachment 2 is the Proposer Code of Conduct and Non-Collusion Affidavit.
x Attachment 3 provides Service Data.
x Attachment 4 provides Current Rates for solid waste services.
x Attachment 5 provides a list of City Facilities.
x Attachment 6 provides the Rate Proposal Forms.
x Attachment 7 provides Rate Adjustment Methodology.
x Attachment 8 provides the Proposal Outline.
SERVICE DATA
Service data including a description of the service area, rate revenue, tonnage collected, units serviced
and the most recent rates effective July 1, 2022, are shown in Attachment 3.
TERM OF NEW AGREEMENT OR AGREEMENTS
The initial term of the new agreement is ten (10) years. City may, in its sole discretion, authorize an
extension of up to twenty-four (24) months prior to the expiration of the initial term of the agreement.
The City anticipates exercising its option to extend the current Agreements for an additional twenty-four
24) months setting their expiration to August 31, 2025. The new Agreement(s) will take September 1,
2025.
7.2.a
Packet Pg. 281
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page5
SECTION 3 - SCOPE OF REQUIRED SERVICES
This section provides a brief description of the services solicited through this RFP. The Agreement
provides the detailed scope of services. The Agreement is included as Attachment 1. The Agreement
provides definitions, contract terms and conditions, performance standards, including a complete
description of the services required by the City. If there are differences between this RFP and the
Agreement, the terms and conditions in the Agreement shall prevail.
SINGLE-FAMILY DWELLING (SFD) SOLID WASTE SERVICES
Under the current agreements, residential solid waste service includes services to residential premises
that receive solid waste services using carts but excludes temporary solid waste collection services for
construction of new residences, and all work on commercial premises, and residential premises that
receive collection services with bins which are addressed under the commercial solid waste services
agreement.
Under this RFP, residential solid waste service includes services to single-family dwellings (SFD) and
multi-family dwellings (MFD) of less than five units regardless of container size, type (cart, bin, roll-off
box) required for service, including roll-off services, permanent, temporary, and on-call, and on-call
clean-up bins. MFDs of five or more units are included under commercial solid waste services.
Refer to draft Agreement Section 3.2 for a complete description of service requirements for Residential
services.
Standard Cart Service: Standard cart service will be the weekly, automated collection of refuse,
recycling, and organics. The default cart size for each waste stream shall be 64-gallons. Customers may
request different size carts for each waste stream. Carts shall be offered in 35, 64, and 96-gallon cart
sizes. The monthly rate shall be based on the refuse cart size. Recycling and organics carts shall be
collected on the same day as refuse collection.
Additional refuse carts beyond one may be requested for an additional monthly fee. Customers may
request a second recycling cart at no additional charge. Additional recycling carts beyond two are
subject to an additional monthly fee. Customers may request a second organics cart at no additional
charge. Additional organics carts beyond two are subject to an additional monthly fee.
MFDs of Less Than Five Units: MFDs of less than five may be provided solid waste services (refuse,
recycling, and organics collection) using carts or bins as appropriate for the conditions, requirements,
and needs of the customer.
Refuse Cart Overage: Provide two annual pickups per calendar year and an end-of-year pickup for
refuse that would otherwise be placed in the refuse cart but excluding bulky items, at no additional
charge. Each annual pickup may consist of up to the equivalent of three (3) large bags, boxes, or barrels
7.2.a
Packet Pg. 282
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page6
of refuse. End-of-year pickup of all additional refuse that is placed out for collection in the customer's
own containers (bags, boxes, barrels, etc.) for two weeks beginning each December 26. Contractor may
charge an additional fee per pickup of all refuse that does not fit in the refuse cart(s) beyond the free
pickups.
Backyard Service: Provide backyard service defined as retrieving for collection all carts, green waste
bundles and cart overages from a customer's designated collection location, other than curbside, such
as backyard, side yard, or driveway, and returning empty carts and other containers to their original
location. Backyard service is subject to an additional charge.
Backyard Service for the Disabled: Provide backyard service at no additional charge to any customer
who is legally or medically recognized as disabled. See RFP Section 3 – Residential Rate Arrangements).
Temporary Roll-Off and Temporary Bin Service: Provide temporary roll-off box and temporary bin
service upon customer request for cleanup or construction.
On-Call Bulky Item: Provide bulky item pickup service to all SFD and MFD. Each Dwelling Unit shall be
entitled to four bulky item pickups per calendar year at no additional charge. Customers may put out up
to three (3) cubic yards of material at each pickup. Bulky item collections that exceed the number of free
pickups may be subject to an additional charge.
Door-to-Door HHW Collection: Provide SFD and MFD customers with door-to-door call-in HHW
collection. Each Dwelling Unit shall be entitled to two door-to-door Residential HHW pickups per
calendar year at no additional charge. Items to be collected include, at a minimum: paint and paint
products including but not limited to thinners, glues, caulking, stains, wood preservatives and strippers;
universal waste, household cleaners; automotive wastes; swimming pool chemicals; garden chemicals;
fluorescent tubes; thermometers; and household batteries. Contractor may direct residential customers
to use the bulky item pickup option for televisions, computers and other HHW that may safely and
legally be collected as bulky items.
Annual Household Hazardous Waste Event: Assist the City in increasing awareness of Household
Hazardous Waste events by promoting the Los Angeles County Household Hazardous Waste collections
held in Diamond Bar. Promotional activities will include posting on contractor’s website, inclusion in the
annual brochures/ mailings mailed to each Customer, billing inserts, social media targeted outreach, and
press releases to local news outlets.
Curbside Used Oil and Oil Filter Collection: Collect used oil placed curbside beside solid waste container
on regular collection day at no additional charge. Educate customers to place used oil in clean
containers and used oil filters in clean zip-lock bags.
Sharps Mail Back Program: Operate a mail-based program and/ or a drop-off program for the safe
processing of Sharps generated by its customers. Upon request, Sharps containers will be delivered
directly to residential customers at no cost to the customer or City. Contractor will make arrangements
7.2.a
Packet Pg. 283
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page7
with pharmacies and/ or other locations throughout the City for residents to drop-off Sharps at no cost
to the Customer or City.
Medication Takeback Program: Assist the City in increasing awareness of medication takeback
programs provided by the Los Angeles County Sheriff's station and any third-party events held in
Diamond Bar. Promotional activities will include posting on contractor’s website, inclusion in the annual
brochures/mailings mailed to each residential customer, billing inserts, social media targeted outreach,
and press releases to local news outlets.
FreeCycle.com: Contractor will publicize to residential customers its free materials exchange/ gifting
program, known as FreeCycle.org, and shall promote FreeCycle.org on Contractor's website, and the
annual brochure/mailings.
Annual Holiday Tree Recycling Collection: Provide collection of holiday trees from December 26
through the second Sunday in January.
Compost Giveaway: Distribute coupons through quarterly billings entitling residential customers to
receive two bags of compost per event at two community events per year to be identified by City.
COMMERCIAL SOLID WASTE SERVICES (INCLUDING MULTIFAMILY PREMISES OF
5 OR MORE UNITS)
Under the current agreements, commercial solid waste service includes services to commercial premises
and residential premises that receive solid waste services using bins, including temporary bin and
temporary roll-off box collection service with the exclusion of residential premises that receive solid
waste services using carts. Under this RFP, commercial solid waste services include services to
commercial premises and MFDs of five or more units regardless of the container size and type (cart, bin,
roll-off box) required for service, including roll-off services, permanent, temporary, and on-call clean-up
bins. MFDs of less than five units are included under residential solid waste services.
Refer to draft Agreement Section 3.3 for a complete description of service requirements for commercial
and MFDs.
Refuse Collection: Provide refuse collection using bins or carts as frequently as scheduled by the
customer, but not less than once per week and more frequently if required to handle the solid waste
generated at the premises where the bins are located.
Recycling Collection: Provide source-separated recycling collection using bins or carts as to all locations
that are required to subscribe to organics collection by AB 341. Recycling services shall be provided at a
rate not to exceed 50% of the equivalent refuse rate for similar container sizes and service frequency.
Organics Collection: Provide source separated organics collection using bins or carts to all locations that
are required to subscribe to recycling collection by AB 1826 and SB 1383. Organics services shall be
7.2.a
Packet Pg. 284
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page8
provided at a rate not to exceed the equivalent refuse rate for similar container sizes and service
frequency.
Bin Pushout Service: Provide pushing or rolling containers to the point of collection to locations that
require such service at no additional charge.
Scout Service: Offer scout service by using a small vehicle either to move containers to street or other
public right-of-way for Collection.
Locking Bins: Provide the hasp and lock and service the lock.
Permanent Roll-Off Box Service: Rates shall be charged as "pull plus dump", a set rate for the service
component plus the per ton charge based on actual tonnage collected.
Temporary Roll-Off and Temporary Bin Service: Provide temporary roll-off box and temporary bin
service upon customer request for cleanup or construction. Contractor must deliver a temporary roll-off
box within forty- eight (48) hours of request (Saturdays and Sundays excluded).
Temporary Bin Service: Rates shall be charged as “bin delivery/pickup plus one dump.” Additional
charges may include, additional dump, and rental fee after seven (7) days with no dump or bin pickup.
Contractor must deliver a temporary bin within forty- eight (48) hours of request (Saturdays and
Sundays excluded).
On-Call Bulky Item: Provide bulky item pickup service to MFDs. Each dwelling unit is allowed up to four
bulky item pickups per calendar year at no additional charge. Customers may put out up to three (3)
cubic yards of material at each pickup. Bulky item collections that exceed the number of free pickups
may be subject to an additional charge.
Electronic Waste: For MFD, E-Waste will be collected as bulky items.
Door-to-Door HHW: Provide MFDs door-to-door call-in HHW collection service to each dwelling unit at
no additional charge. Items to be collected include, at a minimum: paint and paint products including
but not limited to thinners, glues, caulking, stains, wood preservatives and strippers; universal waste,
household cleaners; automotive wastes; swimming pool chemicals; garden chemicals; fluorescent tubes;
thermometers; and household batteries. Televisions, computers and other HHW may be collected as
bulky items when safe and legal to do so.
Annual Holiday Tree Recycling: Provide MFD’s collection of holiday trees from December 26 through
the second Sunday in January.
C&D DEBRIS COLLECTION SERVICES
All loads of mixed C&D debris shall be delivered to a processing facility to meet all requirements
described in draft Agreement Section 3.7. Contractor shall divert from landfilling a minimum of 75% or
7.2.a
Packet Pg. 285
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page9
the State-mandated Construction and Demolition diversion percentage, whichever is greater, of all
Construction and Demolition Debris Collected.
CITY COLLECTION SERVICES
City Facilities Collection: Collect and dispose of all refuse, recyclables, and organics generated and
accumulated at premises owned and/or operated by the City at no additional charge (including e-waste,
and construction and demolition debris) and in compliance with AB 341, AB 1826, and SB 1383. Such
premises include, but are not limited to, offices, parks, and street maintenance operations. See
Attachment 4 for the current list of facilities and service levels.
These facilities and service levels may vary over the term of the new agreement, with no increase in
compensation for additional collection services. (Refer to draft Agreement Section 3.8.)
City-Sponsored Events: Provide refuse, recyclables, and organics collection using carts, bins, roll-off
boxes, cardboard boxes with liners, or other such containers at no charge at City–sponsored events.
These events and service levels may vary over the term of the new agreement, with no increase in
compensation for additional collection services.
Should the City select separate contractors for the residential and commercial sectors, the City intends
to alternate events between the two contractors with no guarantee that events will be evenly
distributed based upon either level of effort or number of events.
City-sponsored events include, but are not limited to:
x Concerts in the Park
x City Birthday Celebration
x Fourth of July
x Fall Fun Festival
x Winter Snow Festival
x Arbor Day
x Easter Egg Hunt
Abandoned Item Collection: Provide collection of bulky waste abandoned in the City right-of-way or
other public property within contractor’s service at no additional charge, within one business day of
notification from City. Contractor will not be required to Collect Hazardous Waste, liquid wastes, or
automobile parts that are individually too large for Collection by two people. City will contact either the
residential or commercial franchisee to provide this service, depending on the location of the
abandoned item.
7.2.a
Packet Pg. 286
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page10
Community Development Review Services: Review building permit applicants' plans and advise
regarding adequacy of container storage space and access, particularly to accommodate recycling and
organics containers upon the City’s request and at no additional charge to the City.
Large Venue Event Assistance, Event Recycling: Assist planners of large venue events with reporting
and planning needs as may be useful in meeting the requirements of AB 2176, found at California Public
Resources Code 42648, et seq. at no additional charge. Contractor shall provide recycling and organics
collection services upon request to special event planners.
Confiscation of Unauthorized Containers: Confiscate illegal containers located within the City's public
rights-of-ways, upon notification from City, or if Contractor finds illegally placed Containers based on
procedure provided in the franchise agreement.
Provision of Storage Containers: Provide the City with eleven 40-cubic-yard portable storage containers
to be used for storage at City facilities and schools for the duration of the Agreement. Containers will be
maintained in a condition satisfactory to the City. Contractor may transfer ownership of these storage
containers to City, provided Contractor will remove and dispose of these containers when requested to
by City.
Emergency Collection and Disposal Service: Assist City at the City's request with emergency Collection
and Disposal service in the event of major disaster, such as an earthquake, storm, riot, or civil
disturbance, or as otherwise determined necessary by the City, by providing Collection equipment and
drivers normally assigned to City. Contractor may charge City for actual Disposal costs plus service rates
per the approved rate schedule.
KEY CONTRACT TERMS
STATE DIVERSION COMPLIANCE
The selected contractor will ensure that the City is in full compliance with AB 939, AB 901, AB 341, AB
1594, AB 1826, and SB 1383, and all related state laws and regulations in effect during the term of the
Agreement.
Requirements include, but are not limited to the following:
Collection, Processing and Diversion Programs and Services: The Contractor will provide collection,
processing and diversion programs and services relative to AB 939, AB 901, AB 341, AB 1594, AB 1826,
SB 1383, and all future applicable regulations.
Public Education and Outreach: The Contractor will provide public education to residents and
businesses relative to AB 939, AB 901, AB 341, AB 1594, AB 1826, SB 1383, and all future applicable
regulations. Proposers must describe their proposed public education and outreach commitments in
their AB 341, AB 1826, SB 183 Implementation Plan.
7.2.a
Packet Pg. 287
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page11
Container Specifications and Distribution: The selected contractor will be responsible for providing and
maintaining all containers under this agreement. Carts shall be new upon initiation of services under the
Agreement, and bins may be new or used. All carts and bins will be color-coded and labeled to be
compliant with SB 1383.
Diversion Monitoring and Reporting: The Contractor will provide monitoring and reporting relative to
AB 939, AB 901, AB 341, AB 1594, AB 1826, SB 1383, and all future applicable regulations.
Environmental Coordinator: To achieve a high level of recycling public education and awareness, the
Contractor shall designate an Environmental Coordinator to the City to complete outreach to SFD, MFD
and Commercial customers, and develop and implement all public education and outreach activities
required under the Agreement. The Recycling Coordinator shall conduct outreach, promote waste
reduction, recycling, diversion programs, and provide technical assistance to Multi-family and
Commercial Customers. The Environmental Coordinator shall not be the primary Contractor liaison
described in draft Agreement Section 7.16B.
FAITHFUL PERFORMANCE BOND & LETTER OF CREDIT
The selected contractor will be required to provide a performance bond totaling $125,000 and a
performance Letter of Credit $125,000. As an alternative, the selected contractor may provide a Letter
of Credit in the amount of $250,000, or deposit funds, on terms satisfactory to the City, in an interest-
bearing account.
INSURANCE
The selected Contractor is required to maintain minimum insurance levels. See draft Agreement Article
9 for the minimum limits of insurance for general liability, automobile liability, and workers
compensation.
COLLECTION VEHICLE REQUIREMENTS
Contractor’s collection vehicles shall be not older than two-years and in like-new condition upon
initiation of services under the Agreement, no more than 10 years of age during the initial term of the
Agreement and no older than 15-years in age during any future extensions of the Agreement, and
comply with Department of Transportation, South Coast Air Quality Management District and the
California Air Resource Board requirements. Contractor’s collection vehicles must use only renewable
natural gas. See draft Agreement Section 3.10.4.
AUTOMATED CART REQUIREMENTS
All carts shall be new at the start of service under this agreement. Proposer shall describe carts which it
intends to use in the City, pending City approval. Include manufacturer, specific sizes, SB 1383
compliance, colors of carts and lids by waste stream, and a photograph.
7.2.a
Packet Pg. 288
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page12
FEES
Franchise Fee: Contractor shall pay a Franchise Fee that is commensurate with the value to be received
by Contractor in receiving the exclusive right to provide the service set forth herein. The City concludes
that a reasonable and appropriate amount for the benefits provided should be a minimum of Four-
Hundred Ten-Thousand Dollars, ($410,000), in the first year. This payment to the City shall be referred
to as a Franchise Fee and its percentage will be calculated according to estimated gross receipts from
customers as shown in Form 2.0 Rate Revenue from Attachment 6 Rate Proposal Forms. (See draft
Agreement Section 9.1). Should the City issue separate franchises for Residential and Commercial
services, the commercial franchise fee shall be a minimum of One-Hundred Twenty-Three Hundred
Dollars ($123,000) and the residential franchise fee shall be a minimum of Two-Hundred Eighty-Seven
Thousand Dollars ($287,000).
CALRECYCLE Compliance Fee: Contractor shall pay to the City a CalRecycle Compliance Fee of Seven-
Hundred Fifty Thousand Dollars ($750,000) adjusted annually as described in draft Agreement Section
9.2 and 9.7. The CalRecycle Compliance Fee amount represents a reasonable allocation of the City’s
budgeted costs to comply with State mandates resulting from the enactment of AB 939 and subsequent
related legislation including, but not limited to: AB 2176 (Chapter 879, Statutes of 2004), SB 1016
Chapter 343, Statutes of 2008), AB 341 (Chapter 476, Statutes of 2011), AB 1826 (Chapter 727, Statutes
of 2014), and SB 1383 (Chapter 395, Statutes of 2016) which require jurisdictions to implement solids
waste Collection programs, meet Processing facility requirements, conduct contamination monitoring,
provide education, maintain records, submit reports, monitor compliance, conduct enforcement, and
fulfill other requirements. Should the City issue separate franchises for Residential and Commercial
services, each franchisee shall pay a minimum CalRecycle fee of Three-Hundred Seventy-Five Thousand
Dollars ($375,000).
Residential Vehicle Impact Fee: Contractor shall pay to the City an annual Vehicle Impact Fee of One-
Hundred Seventy-Five Thousand Dollars ($175,000) adjusted annually as described in draft Agreement
Section 9.4 and 9.7. The Residential Vehicle Impact Fee is to reimburse the City for costs to provide road
maintenance to City’s streets due to “wear and tear” caused by the use of Contractor’s Solid Waste
Collection vehicles on City Streets. Should the City issue separate franchises for Residential and
Commercial services, only the residential franchisee shall pay the Residential Vehicle Impact Fee.
Residential Street Sweeping Fee: Contractor shall pay to the City an annual Street Sweeping Fee of One-
Hundred Seventy-Five Thousand Dollars ($175,000) adjusted annually as described in draft Agreement
Section 9.5 and 9.7. The Residential Street Sweeping Fee is to reimburse the City for the cost of
sweeping residential streets. Should the City issue separate franchises for Residential and Commercial
services, only the residential franchisee shall pay the Residential Street Sweeping Fee.
Contracting Fee: Contractor shall pay the City a one-time contracting fee of One-Hundred Thousand
Dollars ($100,000) within seven (7) days of the execution of the new agreement. Should the City issue
separate franchises for Residential and Commercial services, the commercial franchisee shall pay Thirty-
Thousand Dollars ($30,000) and the residential franchisee shall pay Seventy-Thousand Dollars ($70,000).
7.2.a
Packet Pg. 289
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page13
Late Payment Fee: Contractor shall pay the City a Late Payment Fee of 10% of any amount passed due
for the month plus 1.5% for each month the payment is late thereafter.
HOLIDAY SCHEDULE
If the regularly scheduled collection day falls on New Year's Day, Memorial Day, Independence Day,
Labor Day, Thanksgiving Day, or Christmas Day, collection days for the remainder of that week shall all
be postponed one collection day and residential collection is permitted on Saturday during the make-up
week.
CUSTOMER RATE ARRANGEMENTS
The rate schedules establish the maximum rates that may be charged. Initial rates will be set based on
the rates proposed in Attachment 6. The rates will thereafter be adjusted using a rate adjustment
procedure described in Article 8 of the draft Agreement. The first rate adjustment is effective July 1,
2026.
RESIDENTIAL RATE ARRANGEMENTS
Standard Cart Service: Standard cart service will be the weekly, automated collection of refuse,
recycling, and organics. The default cart size for each waste stream shall be 64-gallons. Customers may
request different size carts for each waste stream. Carts shall be offered in 35, 64, and 96-gallon cart
sizes. The monthly rate for the collection of all three waste streams shall be based on the refuse cart size
selected by the customer.
Disabled Customer Discount: Currently customers determined to be disabled by issuance of a handicap
placard from the DMV or by meeting City-established guidelines receive backyard service at no
additional charge. The City invites Proposers to propose this service at no charge or at a discounted rate.
Please note that discounted rates shall be provided at the sole cost of the Contractor and will be
considered a disallowed cost for Proposition 218 purposes.
Senior Citizen Discount: Currently, senior citizens of 60 years of age or older, residing in the premises
where service is received and listed on the bill are entitled to a discounted senior rate. The City invites
Proposers to propose this service a senior citizen discount. Please note that the discounted portion of
the rate shall be at the sole cost of the Contractor and will be considered a disallowed cost for
Proposition 218 purposes.
COMMERCIAL AND MFD RATE ARRANGEMENTS
The City will maintain a rate structure that includes separate fees for the collection of refuse,
recyclables, and organics. A volume-and-frequency based rate structure will be used. Contractor shall
charge rates to the customer based on each customer’s size and number of containers at a rate not to
exceed the corresponding rate in the maximum rate table. Recyclables collection will be offered at a
7.2.a
Packet Pg. 290
City of Diamond Bar, California Section 3. Scope of Required Services
RFPforSolidWasteServices May3, 2023 Page14
50% of the refuse rate. Organics collection shall be charged at the same rate as the refuse rate for the
equivalent container size and frequency.
CITY FACILITIES
The City’s facilities shall be provided all collection services at no additional charge. Services shall include
refuse, recycling and organics collection services.
CHARGES FOR ADDITIONAL SERVICES
The Contractor’s proposed rate schedule shall include all charges for special services, including but not
limited to:
x Additional carts.
x Scout service.
x Locking bins.
x Pulling or pushing containers to a collection vehicle.
x Steam cleaning containers (excluding carts) more frequently than one time per year as
requested by the customer.
x Additional bulky item collection services.
Please see Proposal Forms for more details on situations in which special service charges apply.
RATE ADJUSTMENT METHODOLOGY
Refer to Attachment 7 for a complete description of the rate adjustment methodology.
7.2.a
Packet Pg. 291
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFPforSolidWasteServices May3, 2023 Page15
SECTION 4 - RFP POLICIES, CONDITIONS, AND PROCESS
RIGHTS RESERVED BY THE CITY
The City reserves the right, in its sole discretion, to pursue any or all of the following actions regarding
this RFP process:
x Issue addenda and amend the RFP and Franchise Agreement.
x Request additional information and/or clarification from proposers.
x Extend the deadline for submitting proposals.
x Withdraw this RFP.
x Reject proposals that do not fully comply with the requirements detailed in this RFP, its
attachments, addenda, or clarifications.
x Reject incomplete proposals; proposals containing errors, inconsistencies, false, inaccurate, or
misleading information; proposals submitted after the deadline; or proposals with other process
or content errors or deficiencies.
x Amend the Municipal Codes of City.
x Award a proposal based on a combination of its qualitative and quantitative attributes.
x Take other actions the City deems are in the best interest of the City, residents and businesses in
the City service area; and,
x Negotiate changes in the services proposed and/or described in the RFP or to incorporate
programs proposed by others.
GENERAL RFP REQUIREMENTS
x This RFP shall not be construed by any party as an agreement of any kind between the City,
contractor(s), and other parties.
x This RFP does not obligate the City to accept any proposal, negotiate with any proposer, award a
Franchise Agreement, or proceed with the development of any project or service described in
response to this RFP. The City has no obligation to and shall not compensate any proposer for its
expense of preparing its proposal and participating in this procurement process.
x Please note that the City’s procurement of Franchise Collection Services is not subject to State
bidding laws, and the City does not intend to cause the current RFP process to become subject
to such public bidding laws or regulations.
x The City shall have the right (but not the obligation) to perform a review of each proposer's
ability to perform the work required. Each proposer must agree to cooperate with such a
review. Such cooperation by proposer shall apply to the verification of the proposer's capability
and experience in the provision of services and any other component of work that may be
required under this procurement.
x The City, and its consultants, will be conducting reference checks on proposers that will involve
contacting jurisdictions currently or previously served by proposer, as well as contacting
7.2.a
Packet Pg. 292
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFPforSolidWasteServices May3, 2023 Page16
regulatory agencies involved in oversight of proposers’ facilities. In addition, the City, or its
consultants, may research proposers’ past performance by reviewing litigation history,
regulatory actions, highway driving records, criminal investigations, and recycling history. The
proposer’s submission of a proposal shall constitute an agreement to cooperate with the City’s
review.
x Submittal of a proposal signifies the submitting proposers’ commitment to provide the
proposed services if selected. In addition, all aspects, conditions, and components of proposals
submitted shall be valid for one year from date of submittal. Proposals may not be altered after
submittal, except in response to the City’s request for clarification.
CODE OF CONDUCT
PROPOSER CODE OF CONDUCT
Proposers are required to sign the Proposer Code of Conduct, which includes a Non-Collusion Affidavit
Attachment 2). This document prohibits ex-parte communications with City elected officials; prohibits
giving any gift or monetary compensation to City staff member or consultants; prohibits collusive
activities with other potential proposers. If a proposer does submit the document or violates the code of
conduct, the City has the right to disqualify the proposer from this RFP process.
Please note: the notarized Proposer Code of Conduct and Non-Collusion Affidavit is required to be
submitted no later than one week after the mandatory pre-proposal meeting. An electronic copy may be
emailed to DiamondBarRFP@sloanvazquez.com and an original must be mailed to the City.
PROPOSAL SUBMITTAL REQUIREMENTS
Submission of a proposal shall constitute acknowledgment and acceptance of all the terms and
conditions contained in this RFP, and in the draft franchise agreement, unless exceptions are expressed
in writing in the proposal (See RFP Section 5 Exceptions to the Agreement). The successful proposer will
be expected to enter into a franchise agreement with the City; only those exceptions noted in its
proposal will be considered for modification. The City is not obligated to agree to these exceptions but
reserves the right to negotiate modification of such noted exceptions to the draft franchise agreement.
The schedule of events presented in this section is summarized in Table 1.
STEP ONE – R.S.V.P TO ATTEND PRE-PROPOSAL MEETING
Proposer must register their intent to respond to this RFP by emailing notification to
DiamondBarRFP@sloanvazquez.com.
7.2.a
Packet Pg. 293
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFPforSolidWasteServices May3, 2023 Page17
STEP TWO – MANDATORY PRE-PROPOSAL MEETING
A mandatory pre-proposal meeting will be held by video conference. An invitation will be emailed to
each registered proposer. The current date and time of the pre-proposal meeting are provided in Table
1 – RFP Schedule.
STEP THREE – SUBMITTAL OF WRITTEN QUESTIONS
The City directs proposers to submit all questions and requests for information in writing directly to the
City’s consultant at DiamondBarRFP@sloanvazquez.com. The deadline for submitting written questions
and requests for information is provided in Table 1 – RFP Schedule.
Written responses to questions will be provided to all eligible proposers. In the event of any
inconsistencies between oral responses provided at the pre-proposal meeting and written responses
subsequently issued. The written responses must be used for preparing proposals.
STEP FOUR – PROPOSAL SUBMITTAL
Proposer shall submit One (1) double-sided copy of the complete proposal and one (1) single sided,
signed original according to the deadline provided in the RFP Schedule. In addition, the proposers are
required to submit a flash drive containing:
x A digital copy of all completed rate proposal forms (Attachment 6 of the RFP) in Microsoft Excel
format.
x A digital copy of the Draft Franchise Agreement, noting all exceptions and proposed substitute
language in redline/strikeout, in Microsoft Word format.
x A complete PDF of the proposal including the rate proposal forms. and,
x The required Surety must be included in the sealed package.
These items shall be placed and submitted in a sealed package. Proposals must be formatted on 8½ inch
by 11-inch paper with post-consumer recycled-content paper. All pages shall be consecutively
numbered; although, each section may start with a new page number if proceeded with the section
number (e.g., Page 2-1 for the first page of section 2).
Surety: Each proposal must be accompanied by a surety made payable to “City of Diamond Bar” in the
amount of $25,000 and in the form of a certified check, cashier’s check, or bid bond. The surety shall be
submitted with the proposal in a separate, clearly labeled envelope.
The purpose of the surety is to guarantee that the successful contractor will execute a Franchise
Agreement with the City. If the selected contractor does not execute the Franchise Agreement within 30
calendar days after receiving notice of the award of Franchise Agreement, the City shall keep the surety
to offset the potential cost associated with identification of an alternate service provider and schedule
delays. Additionally, the City has the right to pursue additional and reasonable costs incurred in this
event.
7.2.a
Packet Pg. 294
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFPforSolidWasteServices May3, 2023 Page18
Checks and bonds will be returned to all proposers no later than ten calendar days after the City has
executed the Franchise Agreement with the successful contractor. If no selection is made within one
year of the submission of proposals, each proposer may demand their proposal surety be returned.
However, the City reserves the right to eliminate proposals from such companies from further
consideration.
Proposals received late will not be considered. Postmarks will not be accepted as proof of receipt.
The package shall be clearly labeled:
PROPOSAL FOR CITY OF DIAMOND BAR SOLID WASTE SERVICES
FROM: Name of Proposer
Address: Address of Proposer
Contact Person:
Telephone Number:
E-mail:
The proposal may be mailed or hand delivered to:
CITY CLERK
City of Diamond Bar
21810 Copley Dr.
Diamond Bar, CA 91765
STEP FIVE – CLARIFICATION OF PROPOSAL INFORMATION AND INTERVIEWS
Proposers may be asked to clarify information through written communications, interviews or during
site visits of each proposer’s offices, customer service center, corporation yard and maintenance
facilities, and disposal, transfer, and processing facilities. The City reserves the right to conduct in-
person interviews with one or more proposers.
STEP SIX – SELECTION OF RECOMMENDED CONTRACTOR AND NEGOTIATION OF FINAL AGREEMENT
The City and/or its consultants will recommend for consideration by the City Council a preferred
contractor for both residential and commercial services, or a contractor for residential and another
contractor for commercial services.
Should the City and/or its consultants determine that none of the proposals submitted by VVS or WM
meet the best interest of the City and the ratepayers, the City may choose to publish this RFP to the
public and invite additional proposals for consideration prior to selecting a contractor or contractors, in
which case, the process will revert to Step One. In the event that the City releases this RFP to the public,
it is the City’s intention to keep VVS and WM’s proposals confidential until the contractor selection
process is complete.
7.2.a
Packet Pg. 295
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFPforSolidWasteServices May3, 2023 Page19
Once the City Council approves selection of a final contractor or contractors then final negotiation will
take place for the Franchise Agreement(s). Except at the sole discretion of the City, all negotiations with
the Proposers will be limited to the Proposers’ listed exemptions and proposed substitute language in
the draft agreement contained in their proposal.
LIMITS ON DISCLOSURE OF PROPOSALS
The City has determined that the public interest will be best served if proposals submitted in response
to this RFP are not made available for review by other companies participating in the competitive
selection process. For that reason, proposals (and materials submitted during subsequent meetings and
discussions with City staff) will not be made available to other proposers or the public generally any
earlier than the date on which City staff issues to City Council a contractor or contractors recommended
for final consideration/negotiation.
As part of the Council Report, the City may include some portion(s) of the proposal(s) that have not
been identified as entitled to confidential treatment as containing trade secrets. However, inclusion of
some portion(s) of the proposal(s) in the Council Report may be deferred until after the City Council has
selected a proposer for negotiations. In this case, some portion(s) of the proposal(s) may be included in
the Council Report prepared for the meeting where the results of the completed negotiations are
presented. This is the only release of any portion(s) of proposal(s) that will be permitted prior to the
execution of this agreement.
No proposer may, directly or through an intermediary, employ the Public Records Act to obtain access to
non-confidential materials submitted to the City by other proposers prior to the execution of the
agreement for this contract.
The following procedures will be followed for the disclosure of proposals following the execution of the
agreement:
x Materials which a proposer considers as trade secret information entitled to protection from
disclosure under Government Code Section 6254(k) must be clearly marked on each page as
CONFIDENTIAL”.
x If the City receives a request to review and/or copy materials submitted by any proposer, it will
decline to release those materials marked “CONFIDENTIAL” pursuant to Government Code
Section 6255.
x If the person submitting the request files a legal action against the City seeking its release, the
City will notify the affected proposer(s) and will not oppose a motion by such proposer(s) to
intervene in the action. The proposer(s) must either intervene or agree to pay the City’s legal
expenses in defending the action, including fees, if any, awarded to the plaintiff. Absent such an
agreement, the City will have no obligation to defend the action and may release the
information sought without any liability whatsoever.
7.2.a
Packet Pg. 296
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFPforSolidWasteServices May3, 2023 Page20
x No proposer will seek damages against the City or recovery of its attorneys’ fees from the City
because of any dispute related to the release or withholding of information submitted in
response to this RFP.
x Materials that have been marked as “CONFIDENTIAL” will either be destroyed or returned to all
unsuccessful proposers once the agreement has been signed by City and by the selected
proposer(s).
7.2.a
Packet Pg. 297
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page21
SECTION 5 - SUBMITTAL REQUIREMENTS
Section 5 includes the required proposal outline and a description of the specific information proposers
must include. Proposer must provide the information specified in this section as part of its proposal.
Failure to provide all the required information may be grounds for rejection of a proposal.
The proposer does not need to reiterate the service requirements of the Franchise Agreement in their
proposal. However, proposer is requested to focus on describing how it plans to provide the services
with regard to but not limited to routing strategies, collection methods, and equipment selection.
Furthermore, if a proposer has presented information for one type of service that is the same for
another type of service, proposer can refer to its previous description rather than reiterating the
discussion in its proposal. For example, if SFD solid waste and recyclables collection vehicles are the
same, the vehicle description can be provided once for the solid waste service and then referenced for
the recyclable materials collection service.
PROPOSAL OUTLINE
Proposer shall present its proposal in accordance with the outline provided in Attachment 8.
Information should be identified by number in the outline. Additional information or data relevant to
the proposal is optional and may be included by proposer as proposal attachments.
1. GENERAL REQUIREMENTS
I. TITLE PAGE (OPTIONAL)
II. COVER LETTER
The cover letter shall clearly identify the legal entity or entities submitting the proposal and state
whether each is a sole proprietorship, partnership, corporation, LLC, or joint venture. The cover letter
shall be signed by the designated representative authorized to bind proposer. Proposer shall
acknowledge receipt of any addenda issued as part of this RFP process.
III. TABLE OF CONTENT
2. PROPOSER OVERVIEW
2.1 PROPOSER’S BUSINESS STRUCTURE
Provide the following information regarding the proposing entity and entity that would provide a
corporate guarantee, if applicable:
x Identify the legal entity that would execute the Franchise Agreement. State whether each entity
is a sole proprietorship, partnership, corporation, LLC, or joint venture. Describe in detail the
7.2.a
Packet Pg. 298
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page22
relationship of the proposer to the executing entity. If the proposer is a joint venture, describe
where the entities have collaborated before.
x Identify the entity that would submit financial statements and whether it is an individual, a
partnership, a corporation, or a joint venture. If other than proposing entity, indicate
relationship and willingness to sign corporate guarantee.
x Confirm that proposer is authorized to do business in California.
x State the number of years the entities have been organized and doing business under this legal
structure. Proposal must include all the names of company’s (and executing entities if different
than company’s) owners/stockholders with greater than a 10% holding of the company's total
assets.
x Identify the names of all officers.
x Identify other businesses with ownership by principals and/or management.
x Identify the corporate headquarters.
x Identify local headquarters (if different).
x Describe all services to be performed by subcontractors and identify each subcontractor by
name. Proposer shall describe any current or past working relationship with the
subcontractor(s) in the past five years.
2.2 PROPOSER’S EXPERIENCE
Proposer shall describe its experience serving a minimum of three (3) jurisdictions in California
preferably serving jurisdictions of similar or larger size and similar demographics to the City in a table
format. Required information includes:
x The name of the jurisdiction where the services were provided.
x Commencement date of services and term of the agreement.
x The name, address, and telephone number of the jurisdiction representative responsible for
administering the agreement.
x The services provided (e.g., solid waste collection, recyclable materials, organic materials
collection, and other unique collection programs such as e-waste or household hazardous
waste).
x The number of residential (i.e., specify SFD and MFD), Commercial (i.e., specify cart, bin, roll-off
and other) and City (or other) customers served; tons collected, diverted, and disposed annually;
and, the type and number of vehicles dispatched per day for each of the services provided.
Additionally, please provide at least one municipal citation for service transitions from another hauling
company, including a brief description of the old and new services, and service transition dates, as well
as the information listed in the first and last bullet above.
2.3 KEY PERSONNEL QUALIFICATIONS
Provide an organizational chart and brief biographical description of the key personnel the proposer
would assign to the transition team and the ongoing management of the services to be provided under
7.2.a
Packet Pg. 299
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page23
the Agreement. Specify the percentage of time each individual will be assigned to services specified in
the Franchise Agreement. Identify municipalities who have worked with the key personnel. Indicate
which key personnel will be designated as the contractor liaison, service liaison, contractor
representative, and emergency contact.
2.4 PROPOSER’S PAST AND PENDING LITIGATION
List all civil or misdemeanor or felony criminal court or administrative filings by and/or against California
government agencies that are currently pending and/or that have been filed, settled or otherwise
received a disposition within the last ten years that relate to the provision of solid waste service listing
the names of the parties, the case number, and a brief description of the case and disposition, if any.
This paragraph is applicable to the following persons and entities:
x The key personnel
x The owners and officers of the company
x The entity submitting the proposal; and/or,
x Any parent or affiliated company for actions filed in the State of California (For affiliates,
proposer may limit disclosures of non-criminal matters to those in the Los Angeles County.
x Any strategic partners or subcontractors identified in RFP.
x Include the resolution and current status of each civil legal action.
Note: The term "affiliate" as used in this RFP is defined in Article 1 of the Agreement.
2.5 FINANCIAL INFORMATION
Provide the following financial information for the most recently completed fiscal year for the proposer
or, if a corporate guaranty is to be provided, for the guarantor:
x The type of financial statements (audited or reviewed) and the corporate entity that they
represent (proposer or corporate guarantor).
x The most recently completed fiscal year for which financial statements are available.
x Annual revenue from the most recently completed financial statements.
x Current Assets to Current Liabilities ratio (current assets/current liabilities) from the most
recently completed financial statements.
x Total Liabilities to Total Assets ratio (total liabilities/total assets) from the most recently
completed financial statements.
Upon request, proposers must submit the financial statements upon which the requested financial
information is based within five (5) business days of the request. Statements must be prepared and
presented in accordance with Generally Accepted Accounting Principles applied on a consistent basis
and must include a statement by the chief financial officer of the proposer’s company that there has
been no material adverse change in conditions or operations, as reflected in the submitted balance
sheets, income statements and cash flow statements, since the date on which they were prepared.
7.2.a
Packet Pg. 300
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page24
Proposers requested to submit financial statements may submit a single copy, stamped “confidential”
and request for its return upon completion of the procurement process. The City will attempt to
maintain the confidentiality of such a request, although confidentiality cannot be guaranteed.
The selected proposer will be required to submit “reviewed” or “audited” financial statements that
demonstrate reasonable financial resources and stability to the satisfaction of the City. If awarded the
contract, the financial statements shall remain with the City.
2.6 INSURANCE
Proposer must submit evidence that the proposer either has, or is able to obtain, the insurance
coverage required in the draft Agreement Section 9.
3. PROPOSAL FOR SOLID WASTE SERVICES
Proposer shall describe how it plans to perform the solid waste services requested in this RFP and
described in the Draft Franchise Agreement. Information must separately address all materials collected
for Residential, Multi-family, Commercial, and City facilities.
3.1 COLLECTION SERVICES APPROACH
Proposer shall include detailed responses for each component of their collection approach, including at
a minimum the categories listed below. If the strategies and/or assumptions are different for each
organic material processing approach, provide details for each approach. Label each approach to
correspond with the respective rate proposal.
x Routing strategy and productivity assumptions by service sector (SFD, MFD, Commercial and
City facilities); discussion of special routing (if any) for collecting in narrow streets, courts, and
alleys; and route productivity assumptions (in terms of SFD acc ounts per route per day and
MFD/Commercial lifts per route per day) and where these productivity assumptions have been
accomplished in other cities serviced by the proposer.
x Collection methodology (e.g., automated, semi-automated, one- or two-person crews, etc.),
including discussion of special methods (if any) for collecting in any hard-to-service areas.
x Number of and description of the collection vehicles to be utilized including make, model, and
year, body type, yardage capacity, tonnage capacity, type of renewable natural fuel to be used,
waste stream(s) to be collected (refuse, recycling, organics), cost, and lease or ownership
arrangements. New vehicles are required for residential and MFD, commercial, and City
collection services.
x This requirement is primarily to ensure that comparable rate proposals are submitted. The City
reserves the right to allow the contractor to provide used collection vehicles.
x New or used vehicles may be used for support vehicles.
7.2.a
Packet Pg. 301
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page25
x Manufacturer’s specifications of containers to be utilized. New carts shall be provided for
residential and multi-family dwellings that use carts services and new or used containers (i.e.
bins and drop boxes) may be provided for customers that are serviced with bins (i.e.
MFD/Commercial/City customers).
x Container requirements are described in draft Agreement Section 7.10. Proposer shall supply
complete technical data and manufacturing specifications on the specific cart, bins and Drop
Boxes being used.
3.2 CUSTOMER SERVICE CENTER
Proposer shall describe the management systems and customer service systems its company uses to
manage inquiries and complaints received from residential and commercial customers. The description
of the management systems and customer service systems may include:
x Description of system capability and/or procedures to ensure timely accessibility of information
by jurisdictions served.
x Description of procedures used to satisfactorily respond to, record, and report common
customer complaints such as: missed pick-ups; spills and litter resulting from collection;
collection schedule changes; broken or missing containers; improperly prepared setouts; noise
complaints; traffic and sidewalk obstruction during collection; and safety around collection
vehicles during operations.
x Description as to whether individual call centers are established for each of the proposer’s
service areas or if customer calls are handled by a centralized call center, and location of the
proposed call center.
x Description of how the customer service information interfaces with route data and billing data.
x Description of how the company measures customer service about the call center’s
responsiveness and accuracy of responses, as well as the quality of collection service. Identify
specific performance metrics or targets your company tracks.
x Identify the website that its customers use to obtain customer rates and service information,
diversion services and requirements, and to submit inquiries or complaints. Provide website
address.
3.3 IMPLEMENTATION PLAN
Provide an implementation schedule that demonstrates ability to implement the services in accordance
with the service start date, including meeting equipment, personnel, administration, maintenance, and
public education requirements.
7.2.a
Packet Pg. 302
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page26
3.4 AB 341, AB 1826, AND SB 1383 IMPLEMENTATION PLAN
Proposer shall provide an AB 341, AB 1826, and SB 1383 implementation plan detailing planned tasks,
procedures, and schedule to ensure the City’s compliance with AB 341, AB 1826, and SB 1383.
The plan should address the following requirements.
A description of proposer’s public education and outreach plans that comply with all CalRecycle
requirements for Outreach and Education, Monitoring and Reporting, and Performance Standards and
other applicable regulations.
The plan shall include, at a minimum, the following components:
x Timeline
x Description of all proposed activities
x Description of all proposed printed materials and electronic content
x Examples of materials and content the proposer has developed for other jurisdictions (proposer
may include materials as an attachment or provide images of the material within the proposal
text).
x Description of labels to be attached to containers that clearly indicate the accepted and
prohibitive materials to be placed in containers. Labels shall comply with CalRecycle guidelines
for labeling/signage.
x Proposed continued outreach efforts to increase participation in recycling and organics
programs, including use of direct mail, community workshops, development of how-to videos,
dedicated website, community events, school outreach, etc.
x Proposed contamination monitoring procedures including performing route reviews and or
waste evaluations.
3.5 FOOD RESCUE AND DONATION PROGRAM
Describe proposed efforts to assist the City and its customers with a food rescue and donation program
to comply with SB 1383 which establishes a target that not less than 20% of currently disposed edible
food is recovered for human consumption by 2025.
3.6 ORGANICS RECYCLING PROGRAM
Describe proposed organics recycling program including type of containers proposed. Proposers should
include detailed information on customer in-house preparation of material prior to disposal (e.g., bag or
no bag requirements); include a comprehensive list of organic materials that are acceptable in each of
the programs listed above, and a comprehensive list of organic materials that are not accepted in the
program. Also, proposers are requested to submit samples of outreach materials already distributed to
customers in a city with a similar program in place if proposer has implemented such program. Please
describe your intended approach and activities related to SB 1383 organic waste collection and recycling
7.2.a
Packet Pg. 303
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page27
services, education and outreach, capacity planning, procurement of organic waste products, reporting,
contamination monitoring, and other compliance activities.
3.7 RECYCLABLE MATERIALS
Specify all materials that can be recycled through the residential, multi-family and commercial recycling
programs.
3.8 PROCUREMENT OF RECOVERED ORGANIC WASTE PRODUCTS
Describe proposed assistance to the City to ensure that sufficient California recovered organic waste
products are procured on behalf of the City to meet the requirements of SB 1383. Identify types and
quantities of recovered organic waste products which shall be procured.
3.9 PROPOSED OPERATING FACILITIES
Provide information about proposed operating facilities, including:
x Yard address for equipment and personnel staging and arrangements for maintenance of
equipment.
x Office address for customer service, public relations, billing, and franchise administration; and,
x Other operating facilities to be used in providing service under this agreement.
3.10 PROPOSED DISPOSAL, TRANSFER, AND PROCESSING FACILITIES
Proposers must identify all proposed disposal, transfer, and processing facilities for transfer/disposal of
refuse, processing of commingled recyclables, processing of organics, processing of mixed waste, and
processing of construction and demolition debris.
For each facility, please identify the following:
x The name, address, and SWIS # of the facility.
x The material to be processed (organic waste, commingled recyclables, mixed waste, or
construction and demolition debris).
x The tipping fee per ton.
x A statement regarding any relationship between the proposer and the facility owner/operator
if any).
x Indicate any proposed solid waste facility capacity guarantees.
x Current and estimated diversion rate for processing of each waste stream (e.g., residential
recyclables, residential organics, source-separated commercial recyclables, mixed commercial
waste, commercial organics, C&D.)
7.2.a
Packet Pg. 304
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page28
4. DISPLACED EMPLOYEE RETENTION
In accordance with Labor Code Sections 1070, 1072, 1075, and 1076, proposer will offer employment to
qualified existing employees of the current contractor that may be displaced if the current contractor is
not retained. Please describe your procedures for offering such employment and any limitations. Please
describe whether your company operates under a labor collective bargaining agreement.
5. EXCEPTIONS TO THE AGREEMENT
The City expects that the successful proposer(s) will execute an Agreement with the City in substantially
the same form as the Draft Agreement (as it may be changed via Addendum during the RFP process).
Proposers are required to carefully review the Agreement before submitting proposals and are
encouraged to have it reviewed by legal counsel. Proposers are also encouraged to submit written
questions about any provision in the Agreement not fully understood, which would appear to be
inconsistent with other provisions or otherwise incorrect, or which may deter them from submitting a
Proposal or significantly increase the rate of their Proposal.
To demonstrate agreement with to all terms and conditions of the draft Agreement as written,
proposers are required to sign and include in their proposal the signature page of the draft Agreement.
Any exceptions must include the nature of the proposed exception, the draft Agreement Section,
proposed substitute language, and the change in costs that would take place if the proposed language
were to be accepted by the City. The proposal is not considered complete without this signed page.
The number, nature and materiality of objectionable provisions and suggested changes to the
Agreement will be considered in evaluating proposals.
6. RATE PROPOSALS
6.1 PRIMARY RATE PROPOSAL FORMS
Proposers may submit up to three complete sets of rate proposal forms: one for the residential sector,
one for the commercial sector, and one for a citywide franchise. These proposals shall be based solely
on the requirements requested in this RFP and further detailed in the draft Agreement without
considering any exceptions or alternatives.
6.2 ALTERNATIVE RATE PROPOSALS
Provided that the proposer has submitted a primary rate proposal that meets all of the minimum
requirements of this RFP, the proposer may submit one or more alternative rate proposals. For example,
proposer may submit an alternative rate proposal that retains existing used equipment.
7.2.a
Packet Pg. 305
City of Diamond Bar, California Section 5. Submittal Requirements
RFPforSolidWasteServices May3, 2023 Page29
7. PROPOSER CODE OF CONDUCT AND NON-COLLUSION AFFIDAVIT
Each proposer shall include a copy of the Proposer Code of Conduct and Non-Collusion Affidavit
Attachment 2) that was submitted at the pre-proposal conference.
7.2.a
Packet Pg. 306
City of Diamond Bar, California Section 6. Proposal Evaluation
RFPforSolidWasteServices May3, 2023 Page30
SECTION 6 - PROPOSAL EVALUATION PROCESS
This section describes the proposed process for evaluation of proposals and selection of Contractor(s).
Note that the City reserves the right to modify this process in any way and at any time during the RFP
and contractor selection process.
EVALUATION AND SELECTION PROCESS
An evaluation report, including a comparative description of the proposals, evaluation results, and a
recommendation, will be prepared and presented to City Council. The City Council will review the
recommendation and may approve that recommendation or form an alternative recommendation.
During the evaluation process, proposers are required to allow site visits, and give presentations to the
City and may be required to attend interviews.
7.2.a
Packet Pg. 307
City of Diamond Bar, California Section 6. Proposal Evaluation
RFPforSolidWasteServices May3, 2023 Page31
PROPOSAL EVALUATION CRITERIA
The proposal will be objectively evaluated based on criteria that may include, but is not limited to, the
following factors.
PROPOSER’S QUALIFICATIONS
x Collection Experience. Demonstrated experience of company providing the requested or similar
services to other jurisdictions. If the proposer is a joint venture, demonstrated experience of
parties working together.
x Jurisdiction Satisfaction. Satisfaction of proposer references with services received, including but
not limited to, implementation, customer services, reporting, assistance developing diversion
programs, and working cooperatively with City staff.
x Management and Customer Service Systems. Demonstrated capabilities of the company’s
existing management and customer service systems’ abilities to track and monitor contract
compliance, quality of collection service, and call center responsiveness.
x Key Personnel Qualifications. Extent and relevance of the qualifications and experience of key
personnel proposed for the transition team and on-going management of the City’s collection
operations.
TECHNICAL QUALIFICATIONS
x Implementation Plan. Reasonableness of implementation schedule and ability to meet deadlines
e.g., reasonableness of equipment procurement schedules, implementation staffing levels,
public education program, itemized steps for initiation, roll out and maintenance of diversion
programs in all service sectors throughout the City, container/cart distribution, new corporation
or maintenance yard development, contingency plans, etc.
o Customer Service. Customer service approach, staffing levels, and City-specific training
programs.
o Billing System. Billing approach and procedures for handling customer billing activities.
o Collection Approach. Reasonableness and reliability of the proposed collection methods
e.g., technology, equipment, and containers); reasonableness of productivity and
operating assumptions (i.e., number of routes, route drivers, route hours, stops per
route, and other operating statistics), if applicable; and reasonableness of assumptions.
x AB 341, AB 1826, and SB 1383 Implementation Plan. Completeness of proposed services, public
education program, roll out and maintenance of diversion programs in all service sectors
throughout the City, container/cart distribution.
x Diversion Outreach and Education Programs. The nature, reliability, and innovation of proposed
diversion programs and potential of such programs to divert solid waste from landfill disposal
and meet diversion requirements. Compatibility of the proposed education program, staffing
level, and program ideas with the needs of the City; and, the quality of public education samples
relative to other proposers. Likelihood of diversion programs to meet State-mandated outreach
7.2.a
Packet Pg. 308
City of Diamond Bar, California Section 6. Proposal Evaluation
RFPforSolidWasteServices May3, 2023 Page32
and education, diversion monitoring and reporting and performance measurement
requirements.
x Proposed Operations Facilities. Plan for providing the facilities needed for equipment storage
and parking, maintenance, and administration. Level of assurance provided, if any, about site
acquisition and timely development of necessary facilities if not proposing an existing,
operational and permitted facility.
x Proposed Disposal, Transfer, and Processing Facilities Reasonableness and reliability of the
proposed facilities for disposal, transfer, and processing of solid waste, recyclable materials, and
organic materials, including documentation of existing facility permitting/approvals and/or
guarantee of sufficient capacity for tonnage from the City service area, and the reasonableness
of proposed material transport plans.
NUMBER AND MATERIALITY OF EXCEPTIONS TO AGREEMENT
The number, nature, and materiality of suggested changes to the Agreement will be considered in
evaluating proposals.
FINANCIAL
x Financial Stability. Financial stability of proposer based on its financial ratios and other financial
considerations.
x Insurance. Demonstrated ability of proposer to obtain adequate insurance.
RATE PROPOSAL
x Reasonableness of Rate Proposals. The logical relationship between proposed rates and
operational assumptions.
x Competitiveness of Rate Proposals. The competitiveness of the overall revenue requirement is
evaluated relative to other proposals.
ALTERNATIVE PROPOSALS
The City is not obligated to evaluate or select alternative proposals. Alternative proposals will be
considered by the City if the City concludes, in its sole discretion, that the alternative proposals warrant
evaluation and analysis. Such evaluation will consider the reasonableness and reliability of proposed
collection methods, technology, equipment, and containers; and the reasonableness of productivity and
operating assumptions (i.e., number of routes, route drivers, route hours, stops per route, program
diversion levels, and other operating statistics considered as pertinent by the City and its consultants).
At the City’s option, the reasonableness and competitiveness of one or more alternative proposal(s) may
be evaluated.
7.2.a
Packet Pg. 309
City of Diamond Bar, California Section 6. Proposal Evaluation
RFPforSolidWasteServices May3, 2023 Page33
AWARD
Proposals must be complete and must conform to the requirements of this RFP as to form and content.
The franchise or franchises will be awarded for the proposal or proposals that offer the greatest value to
the City. The City, however, reserves the right to reject any or all proposals, to accept or reject any one
or more items of a proposal, or to waive any minor irregularities or informalities in the proposal. City
Council will select the proposal or proposals that it determines to best serve the City and is not bound to
follow the recommendation of City staff or City staff’s proposal evaluations in making its selection. It is
anticipated that all services described in this RFP will be contracted for. However, the City reserves the
right to change such service descriptions prior to award.
7.2.a
Packet Pg. 310
City of Diamond Bar, California Attachments
RFPforSolidWasteServices May3, 2023 Page34
LIST OF ATTACHMENTS
ATTAHCMENT 1: DRAFT AGREEMENT
ATTACHMENT 2: PROPOSER CODE OF CONDUCT AND NON-COLLUSION
AFFIDAVID
ATTACHMENT 3: SERVICE DATA
ATTACHMENT 4: CURRENT RATES
ATTACHMENT 5: CITY FACILITIES
ATTACHMENT 6: RATE PROPOSAL FORMS
ATTACHMENT 7: RATE ADJUSTMENT METHODOLOGY
ATTACHMENT 8: PROPOSAL OUTLINE
7.2.a
Packet Pg. 311
City of Diamond Bar, California Attachment 2. Proposer’s Code of Conduct & Non-Collusion Affidavit
RFP for Solid Waste Services May3, 2023 Page1
PROPOSER’S CODE OF CONDUCT
The City of Diamond Bar is planning to request and receive proposals for the collection and processing of
refuse, recyclable materials and organics within the jurisdiction of the City.
The members of the City Council are obligated to comply with the Political Reform Act of 1974 (“PRA”)
and the Brown Act (Government Code §56950 et seq.).
The City has a desire to maintain a process free from any undue influence and the appearance of
impropriety. The City prepared this “Proposer’s Code of Conduct”.
A potential proposer is defined as any individual or entity involved in making a proposal to the City under
the Contractor Selection Process (“Potential Proposer”).
Each Potential Proposer is individually responsible for ensuring compliance with the following Code of
Conduct. The Potential Proposer’s responsibility to comply with this Code of Conduct shall extend to the
Potential Proposer’s employees, agents, consultants, lobbyists, or other parties or individuals engaged for
the purposes of developing or supporting the Potential Proposer’s proposal.
The Proposer Code of Conduct is presented below:
1. Ex Parte Prohibited
From January 16, 2023, and prior to the City of Diamond Bar City Council selection of Contractor or
Month, Day, 2023], whichever comes later, Potential Proposers are prohibited from having any verbal or
written communications (ex parte contacts) with any City Council Members related to any matter related
to the RFP process or Contractor Selection process, except in the course of a legally noticed meeting of
the City Council, or any subcommittee of the Council, or in conjunction with an ex parte contact arranged
by and involving the City staff and/or consultants.
If any such unauthorized ex parte contact occurs, the Council member shall disclose its occurrence at the
next meeting of the City Council that next follows the said ex parte contact.
2. Gift and Compensation Prohibited
From January 16, 2023, to prior to City Council selection of Contractor or [Month, Day, 2023], whichever
comes later, Potential Proposers are prohibited from giving any gift of any monetary value, or
compensation of any kind (as defined under the California Political Reform Act) to a City Council Member
or any City staff member or consultant.
Please be aware that any Council Member who accepts such a gift or compensation may be subject to
censure by the City Council. Any City staff member who violates this policy may be subject to discipline
including termination of services, and any consultant who violates this policy may be subject to
7.2.a
Packet Pg. 312
City of Diamond Bar, California Attachment 2. Proposer’s Code of Conduct & Non-Collusion Affidavit
RFP for Solid Waste Services May3, 2023 Page2
termination of services. Any Potential Proposer who violates this policy as to gifts or compensation may
be subject to disqualification by the City Council from the Contractor Selection Process.
3. Collusive Activities Prohibited
From May 2023, to prior to City Council selection of Contractor or November 13, 2023, whichever comes
later, collusive activities among Potential Proposers are expressly forbidden and will likely result in
immediate disqualification from the Contractor Selection Process. If two or more Potential Proposers are
developing a joint proposal, the Potential Proposers must notify Sloan Vazquez McAfee (see contact
information provided below) in writing no later than thirty (30) days prior to the deadline for submission
of proposals. This notification will be kept confidential until after submission of all technical and cost
proposals.
Executed under penalty of perjury on this day of , 2023 at
SIGNEDBY:
TITLE:
Subscribed and sworn to before me this day of , 2015 at
Notary Public
My Commission expires:
7.2.a
Packet Pg. 313
City of Diamond Bar, California Attachment 2. Proposer’s Code of Conduct & Non-Collusion Affidavit
RFP for Solid Waste Services May3, 2023 Page3
PROPOSER’S NON-COLLUSION AFFIVDAVIT
The following affidavit is submitted by proposer as a part of this proposal:
The undersigned deponent, of lawful age, being duly sworn, upon his oath deposes and says: that he has
lawful authority to execute the within and foregoing proposal; that he has executed the same by
subscribing his name hereto under oath for and on behalf of said proposer; that proposer has not directly
or indirectly entered into any agreement, express or implied, with any proposer or proposers, having for
its object the controlling of the price or amount of such proposal or proposals, the limiting of the proposals
or proposers, the parceling or framing out to any proposer or proposers or other persons of any part of
the agreement or any part of the subject matter of the proposal or proposals or of the profits thereof,
and that he has not and will not divulge the sealed proposal to any person whomsoever, except those
having a partnership or other financial interest with him in said proposal or proposals, until after the said
sealed proposal or proposals are opened.
Deponent further states that the proposer has not been a party to any collusion among proposers in
restraint of freedom of competition; by agreement to make a proposal at a fixed price or to refrain from
submitting a proposal; or with any state official or employee as to quantity, quality, or price in the
prospective agreement; or in any discussions between proposers and any City of Diamond Bar official
concerning exchange of money or other things of value for special consideration in the letting of an
agreement; that the proposer/Company has not paid, given or donated or agreed to pay, give or donate
to any official, officer or employee of the City of Diamond Bar directly or indirectly, in the procuring of the
award of agreement pursuant to this proposal.
Executed under penalty of perjury on this __ day of ___ , 2015 at .
SIGNEDBY:
TITLE:
Subscribed and sworn to before me this ___ day of ____ , 2023
at .
Notary Public
My Commission expires:
7.2.a
Packet Pg. 314
City of Diamond
Bar, California Attachment
City of Diamond
Bar, California Attachment
City of Diamond
Bar, California Attachment
City of Diamond
Bar, California Attachment
DIAMOND BAR RFP ATTACHMENT 4 - CURRENT RATES
7.2.a
Packet Pg. 319
DIAMOND BAR RFP ATTACHMENT 4 - CURRENT RATES
7.2.a
Packet Pg. 320
DIAMOND BAR RFP ATTACHMENT 4 - CURRENT RATES
7.2.a
Packet Pg. 321
DIAMOND BAR RFP ATTACHMENT 4 - CURRENT RATES
7.2.a
Packet Pg. 322
City of Diamond
Bar, California Attachment
Instructions: Input data requested in FORMS 1.1 through 1.8. Only input into green colored cells.
FORM Content
1.1 Costs Summary
1.2 Not Used
1.3 Direct Labor - (Route related labor)
1.4 Indirect Wages (Vehicle R&M, Container R&M, and Management)
1.5 Equipment R&M
1.6 Allocated Costs (to line of business, e.g. SFD, Commercial, Roll-Off)
1.7 Capital Expenditures (CapEx)
1.8 Disposal & Processing Costs
SUPPORTING COSTS & ROUTE DETAIL WORKSHEETS
CITY WIDE
RFP ATTACHMENT 6
City of Diamond Bar
1 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 324
Form 1.1 Costs Summary
PROPOSER:
OPTION:
ABCDE
SFD Commercial
Roll-Off & On-
Call Services
Total
Year-One
Annual Cost
1 Direct Wages & Benefits $0 $0 $0 $0
2 Route Vehicle Depreciation $0 $0 $0 $0
Vehicle Repair & Maintenance
3 Wages & Benefits $0 $0 $0 $0
4 Parts & Supplies $0 $0 $0 $0
5Fuel $0 $0 $0 $0
6 Depreciation Other $0 $0 $0 $0
Subtotal Vehicle R&M $0 $0 $0 $0
Container Repair & Maintenance
7 Wages & Benefits $0 $0 $0 $0
8 Parts & Supplies $0 $0 $0 $0
9 Container Depreciation $0 $0 $0 $0
10 Depreciation Other $0 $0 $0 $0
Subtotal Container R&M $0 $0 $0 $0
11 Other Indirect Costs $0 $0 $0 $0
12 Total Operations Costs $0 $0 $0 $0
Management & Admin.
13 Wages & Benefits $0 $0 $0 $0
14 Other G&A Costs $0 $0 $0 $0
15 Depreciation $0 $0 $0 $0
16 Subtotal Management & Admin $0 $0 $0 $0
17 Disposal & Processing Costs $0 $0 $0 $0
Interest Expense
18 Route Vehicle Interest $0 $0 $0 $0
19 Vehicle R&M Interest $0 $0 $0 $0
20 Container Interest $0 $0 $0 $0
21 Container R&M Interest $0 $0 $0 $0
22 Other Interest $0 $0 $0 $0
Total Interest Expense $0 $0 $0 $0
23 TOTAL COSTS BEFORE PROFIT $0 $0 $0 $0
24 Profit Percent Assumption 0.0%
25 Profit Assumption $0 $0 $0 $0
26 Estimated Contractor Compensation $0 $0 $0 $0
Instructions:
1. Enter Proposer name above.
2. Enter the assumed profit percentage in row 25, columns B - D and F. References to column letters and
row numbers are to those inserted into the worksheet.
Only populate green colored cells. Avoid overwriting aqua colored cells.
ENTER PROPOSER NAME
CITY WIDE
City of Diamond Bar
2 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 325
Form 1.3 -
Direct LaborABCDEFGHIJDirect Labor
Form 1.3 -
Direct LaborDirect Labor
Form 1.3 -
Direct Labor1 Enter
Form 1.4 -
Indirect WagesABCDEFGHIJ1Indirect Wages
Form 1.4 -
Indirect Wages12Indirect Wages
Form 1.4 -
Indirect WagesIndirect Wages
Form 1.5 Equipment R&M
ABCDE
Route Vehicle Related Costs SFD Vehicles
Commercial
Vehicles
Roll-Off &
On Call
Services
Vehicles
Annual Cost
1 Parts $0
2 Oil $0
3 Tires $0
4 Outside Repairs $0
5 Taxes and Licenses $0
6 Other (Enter Here)$0
7 $0
8 $0
9 Subtotal Vehicle R&M $0 $0 $0 $0
10 Fuel $0
Container Repair & Maintenance
SFD Vehicles
Commercial
Vehicles
Roll-Off &
On Call
Services
Vehicles
Annual Cost
11 Parts & Supplies $0
12 Other (Enter Here)$0
12 $0
13 $0
14 Subtotal Container O&M $0 $0 $0 $0
15 Total Container R&M $0 $0 $0 $0
Instructions: Enter route vehicle repair and maintenance costs. The cost categories in Column A are provided
as examples. Each proposer is to enter descriptions consistent with their own cost classification.
Only populate green colored cells. Avoid overwriting aqua colored cells.
PROPOSER:
OPTION:
ENTER PROPOSER NAME
CITY WIDE
City of Diamond Bar
9 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 332
Form 1.6 Allocated Costs
ABCDEF
Vehicle Repair &
Maintenance
Container
Management,
Repair &
Maintenance
Management &
Administrative
Total
1. Other Indirect Costs 1
2 (Enter Description)$0
3 (Enter Description)$0
4 (Enter Description)$0
5 (Enter Description)$0
6 (Enter Description)$0
7 (Enter Description)$0
8 $0
9 $0
10 $0
11 Subtotal Other Indirect Cost $0 $0 $0 $0
2. Management & Administrative Costs
2
12 (Enter Description)$0
13 (Enter Description)$0
14 (Enter Description)$0
15 (Enter Description)$0
16 (Enter Description)$0
17 (Enter Description)$0
18 (Enter Description)$0
19 (Enter Description)$0
20 (Enter Description)$0
21 $0
22 $0
23 $0
24 $0
25 $0
26 $0
27 $0
28 $0
29 $0
30 $0
31 $0
32 Subtotal Management & Administrative Cost $0 $0 $0 $0
33 3. Other Depreciation (From CapEx YR-1) $0 $0 $0 $0
34 4. Other Interest (From CapEx YR-1) $0 $0 $0 $0
35 Total Costs to be Allocated $0 $0 $0 $0
ENTER PROPOSERNAMEPROPOSER:
Only populate green colored cells. Avoid overwriting aqua colored cells.
Instructions: Enter other indirect costs for Rows 2 to 10 and rows 12 to 31, in columns C, D E. The cost categories in Column A are provided
as examples. Each proposer is to enter descriptions consistent with their own financial plan.
Please note that Item 3. 'Other Depreciation' is populated from Form 1.7 'Cap-Ex', Column G, Row 62, 71, & 80; and Item 4. 'Interest
Expense' is populated from Form 1.7 Cap-Ex, Column I, Row 62, 71, & 80 (all references to rows and columns in form not worksheet).
Beginning with Item 5 and through Item 8, enter percentage allocation in Column B. Totals must equal 100% for each section.
OPTION:CITY WIDE
City of Diamond Bar
10 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 333
Form 1.6 Allocated Costs
5. Other Indirect Costs
Allocation
Vehicle Repair &
Maintenance
Container
Management,
Repair &
Maintenance
Management &
Administrative
Total
46 SFD $0 $0 $0 $0
47 Commercial & MDF $0 $0 $0 $0
48 Roll-Off Box & On-Call Services $0 $0 $0 $0
49 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
6. Management & Administrative Costs
50 SFD $0 $0 $0 $0
51 Commercial & MDF $0 $0 $0 $0
52 Roll-Off Box & On-Call Services $0 $0 $0 $0
53 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
7. Other Depreciation
54 SFD $0 $0 $0 $0
55 Commercial & MDF $0 $0 $0 $0
56 Roll-Off Box & On-Call Services $0 $0 $0 $0
57 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
8. Other Interest
58 SFD $0 $0 $0 $0
59 Commercial & MDF $0 $0 $0 $0
60 Roll-Off Box & On-Call Services $0 $0 $0 $0
61 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
NOTES
1 Enter "Other Indirect Costs such as Safety &Training, Uniforms, etc.
2
Enter "Other Management and Administrative Costs" such as Rent, Utilities, Telephone, Information Technology, Office Supplies, Bad Debt, Accounting, Legal, Public
Outreach, Payments to the City (Other than Franchise Fee), etc.
City of Diamond Bar
11 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 334
Form 1.7 CapEx
ROW ABCDEFGHI
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
1 $0 $0 $0
2 $0 $0 $0
3 $0 $0 $0
4 $0 $0 $0
5 $0 $0 $0
6 $0 $0 $0
7 $0 $0 $0
8 $0 $0 $0
9 $0 $0 $0
10 $0 $0 $0
11 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
12 $0 $0 $0
13 $0 $0 $0
14 $0 $0 $0
15 $0 $0 $0
16 $0 $0 $0
17 $0 $0 $0
18 $0 $0 $0
19 $0 $0 $0
20 $0 $0 $0
21 $0 $0 $0
22 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
23 Roll-Off Trucks $0 $0 $0
24 $0 $0 $0
25 $0 $0 $0
26 $0 $0 $0
27 $0 $0 $0
28 - $0 $0 $0
29 - $0 $0 $0
PROPOSER:
Only populate green colored cells. Avoid overwriting aqua colored cells.
VEHICLES YEAR 1 CONVENTIONAL
1 SFD VEHICLES
Instructions: This worksheet is includes inputs for Vehicles, Containers and Other Capital Costs. Enter other asset description, purchase
price, salvage value, expected asset life and interest rate for cost of capital.
OPTION:
ENTER PROPOSER NAME
CITY WIDE
TOTAL SFD VEHICLES
TOTAL COMMERCIAL & MFD VEHICLES
3 ROLL-OFF BOX & ON-CALL SERVICES VEHICLES
TOTAL ROLL-OFF & ON-CALL VEHICLES
TOTAL VEHICLES
2 COMMERCIAL VEHICLES
City of Diamond Bar 12 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 335
Form 1.7 CapEx
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
30 $0 $0 $0
31 $0 $0 $0
32 $0 $0 $0
33 $0 $0 $0
34 $0 $0 $0
35 $0 $0 $0
36 $0 $0 $0
37 $0 $0 $0
38 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
39 $0 $0 $0
40 $0 $0 $0
41 $0 $0 $0
42 $0 $0 $0
43 $0 $0 $0
44 $0 $0 $0
45 $0 $0 $0
46 $0 $0 $0
47 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
48 $0 $0 $0
49 $0 $0 $0
50 $0 $0 $0
96 $0 $0 $0
51 $0 $0 $0
52 - $0 $0 $0
53 - $0 $0 $0
CONTAINERS
4 SFD CONTAINERS
TOTAL CONTAINERS
5 COMMERCIAL CONTAINERS
6 ROLL-BOX & ON-CALL SERVICES CONTAINERS
TOTAL ROLL-OFF & ON-CALL CONTAINERS
TOTAL COMMERCIAL & MFD CONTAINERS
TOTAL SFD CONTAINERS
City of Diamond Bar 13 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 336
Form 1.7 CapEx
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
63 Shop Truck $0 $0 $0
64 $0 $0 $0
65 $0 $0 $0
66 $0 $0 $0
67 $0 $0 $0
68 $0 $0 $0
69 $0 $0 $0
70 $0 $0 $0
71 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
72 Flatbed $0 $0 $0
73 $0 $0 $0
74 $0 $0 $0
75 $0 $0 $0
76 $0 $0 $0
77 $0 $0 $0
78 $0 $0 $0
79 $0 $0 $0
80 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
54 Pickups $0 $0 $0
55 Vehicles $0 $0 $0
56 $0 $0 $0
57 $0 $0 $0
58 $0 $0 $0
59 $0 $0 $0
60 $0 $0 $0
61 $0 $0 $0
62 - $0 $0 $0
81 - $0 $0 $0
82 - $0 $0 $0
TOTAL OTHER MANAGEMENT ADMIN., VEHICLE
R&M, CONTAINER R&M
GRAND TOTAL
TOTAL OTHER MANAGEMENT ADMIN
TOTAL OTHER VEHICLE R&M
TOTAL OTHER CONTAINER R&M
OTHER CAPITAL COSTS
9 OTHER: MANAGEMENT & ADMINISTRATIVE
7 OTHER: VEHICLE REPAIR & MAINTENANCE
8 OTHER: CONTAINER MANAGEMENT, REPAIR & MAINTENANCE
City of Diamond Bar 14 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 337
Form 1.8 Disposal and Processing Costs
PROPOSER:
OPTION:
Row Facility Tons $/Ton Total Cost
1 $0
2 $0
3 $0
4 Solid Waste Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
5 $0
6 $0
7 $0
8 Recycling Processing Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
9 $0
10 $0
11 $0
12 Organics Processing Total 0.0 -$ $0
13 SFD TOTAL 0.0 -$ $0
CITY WIDE
ENTER PROPOSER
NAME
Instructions: For each waste stream e.g. landfill disposal, solid waste processing, recyclables
processing, Organics, etc., enter the projected tonnage, tipping fee per ton. If transportation
from facility to facility is required, enter tons and costs per ton to transport. Waste streams are
examples only, enter consistent with your proposed plans.
RESIDENTIAL (SINGLE-FAMILY DWELLINGS)
Only populate green colored cells. Avoid overwriting aqua colored cells.
Solid Waste (Trash)
Recycling Processing
Organics Processing
City of Diamond Bar
15 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 338
Form 1.8 Disposal and Processing Costs
Facility Tons $/Ton Total Cost
14 $0
15 $0
16 $0
17 Solid Waste Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
18 $0
19 $0
20 $0
21 Recycling Processing Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
22 $0
23 $0
24 $0
25 Organics Processing Total 0.0 -$ $0
26 COMMERCIAL TOTAL 0.0 -$ $0
Organics Processing
COMMERCIAL
Solid Waste (Trash)
Recycling Processing
City of Diamond Bar
16 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 339
Form 1.8 Disposal and Processing Costs
Facility Tons $/Ton Total Cost
27 $0
28 $0
29 $0
30 MSW Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
31 $0
32 $0
33 $0
34 Recycling Processing Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
35 $0
36 $0
37 $0
38 Organics Processing Total 0.0 -$ $0
39 ROLL-OFF BOX & ON-CALL TOTAL 0.0 -$ $0
Refuse
Recycling Processing
Organics Processing
ROLL-OFF BOX & ON-CALL
City of Diamond Bar
17 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 340
RFP ATTACHMENT 6RATE
PROPOSAL FORMSInstructions: Input
ENTER PROPOSER NAME
CITY WIDE
ACD
Row Service Category Proposed Rate Revenue
Estimated Rate Revenue
1 Residential Service Rate Revenue1 $5,812,032
2 Commercial Service Rate Revenue1 $2,291,706
3 Drop-Off & Other On-Call Rate Revenue1 $0
4 Estimated First-Year Rate Revenue1 $8,103,738
City Fees
5 Franchise Fee 2 5.1% $410,000.00
6 CalRecycle Compliance Fee $750,000
7 Residential Vehicle Impact Fee $175,000
8 Residential Street Sweeping Fee $175,000
9 Total First-Year City Fees $1,510,000
10 Estimated First-Year Rate Revenue Less City Fees $6,593,738
11 Estimated Contractor Compensation (From Form 1.1)
0
12
Difference Between Rate Revenue and Estimated Contractor
Compensation 3 $
6,593,738
NOTES
1 Includes City Fees
2
3
FORM 2.0: RATE REVENUE SUMMARY
Franchise fees represent the City's value of franchise. Proposer may agree or offer a different amount.
Instructions: Confirm the reasonableness of total estimated first-year rate revenue (row 4, column D)
based upon proposed rates and estimated service counts; and, drop box, temporary bins, and bulky items
entered in forms 2.1 - 2.4.
The Estimated First-Year Rate Revenue in row 10 and Esimated Contractor Compensation in row 11 should
equal - explain any variation.
The rate revenue generated by the service levels assumptions and rates proposed in Forms 2.1 through
2.4 should equal the estimated contractor compensation in form 1.1. Proposer shall explain any material
difference between proposed first-year rate revenues and its estimated first-year Contractor
Compensation.
Proposer:
Option:
City of Diamond Bar 19
Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 342
Proposer:
Option:
ABCDEF
Row Service Description
Monthly
Rate
Service
Count
Per Unit, Event,
Etc.
Monthly
Revenue
Annual
Revenue
1 Single-Family Dwelling - 35 gallon trash cart $26.04 2,345.0 Unit / Month $61,064 $732,768
2 Single-Family Dwelling - 64 gallon trash cart $32.09 5,829.0 Unit / Month $187,053 $2,244,636
3 Single-Family Dwelling - 96 gallon trash cart $38.50 3,674.0 Unit / Month $141,449 $1,697,388
4 Single-Family Dwelling - 35 gallon trash cart - senior discounted $22.41 Unit / Month $0 $0
5 Single-Family Dwelling - 64 gallon trash cart - senior discounted 1 $27.67 3,425.0 Unit / Month 94,770 $1,137,240
6 Single-Family Dwelling - 96 gallon trash cart - senior discounted $33.00 Unit / Month $0 $0
7 Total Units 15,273.0
8 $484,336 $5,812,032
Service Description
Monthly
Rate
9 Additional charge for 35 gallon trash cart beyond (1) one. Not to exceed
20% of trash cart Row 1 Column B. 2 $5.21
10 Additional charge for 64 gallon trash cart beyond (1) one. Not to exceed
20% of trash cart Row 2 Column B. 2 $6.42
11 Additional charge for 96 gallon trash cart beyond (1) one. Not to exceed
20% of trash cart Row 3 Column B. 2 $7.70
12 Additional charge for recyclables cart beyond (2) two. Not to exceed 7%
of 64 gallon trash cart Row 2 Column B. 3 $2.25
13 Additional charge for organics cart beyond (2) two. Not to exceed 20%
of 64 gallon trash cart Row 2 Column B. 4 $6.42
14 Additional charge for backyard service. 5
15 Additional charge for refuse cart overage beyond two (2) annual pickup
events and one (1) year-end pickup. Not to exceed 20% of trash cart
Row 2 Column B. 5 $6.42
16 Cart Overage Charge for overflowing container upon second and
subsequent occurrence in 3-month period. Not to exceed 20% of trash
cart Row 2 Column B.$6.42
17 Bulky Item Pickup - Beyond four (4) pickup collection events per
calendar year. 6
18 Contamination Fee upon third and subsequent occurrence in 12-month
period.
20 Damaged Cart Replacement 7
21 Cart Exchange after free after free-exchange period.
25 Late Payment charge for unpaid balance per month after 75 days past
due date.1.50%
Unit / Month
FORM 2.1: SFD Year-One Proposed Rates
Only populate green colored cells. Avoid overwriting aqua colored cells.
Single-Family Dwelling Standard Service:
Instructions: For Rows 1 through 5, enter proposed rates in Column B. For Rows 7 through 24, enter proposed rates for other services
and charges.
Standard Service includes three (3) carts; One each for refuse, recycling, and organics. The Monthly Rate is based on the refuse
cart size chosen by the customer. Customers may choose 35, 64, or 96-gallons carts for recycling and/or organics. Default sizes for
all three waste streams are 64 gallon.
NTER PROPOSER NAM
CITY WIDE
Total Proposed Rate Revenue==>
Per Event
Per Event
Per Cart / Event
Single-Family Dwelling Other Services and Charges
Unit / Month
Per Event
Per Event
of Monthly Balance
Per Cart / Event
Unit / Month
Unit / Month
Unit / Month
Per Unit, Event, Etc.
Unit / Month
City of Diamond Bar
20 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 343
Row Service Description
Monthly
Rate
Service
Count
Per Unit, Event,
Etc.
Monthly
Revenue
Annual
Revenue
26 Service Reinstatement charge after suspension for non-payment $75.00
NOTES
1
2
3
4
5
6
7
8
Basic service includes up to two (2) carts for organics. Customers may order additional organics carts at an additional charge.
Contractor may charge for replacement of carts if due to provable negligence .
Contractor shall roll out and return carts for any Customer who is legally or medically recognized as disabled at no additional charge.
Contractor may charge for additional pickups beyond two annual pickups per calendar year and an end-of-year pickup for trash.
Contractor may charge for additional bulky item pickups beyond four annual pickups per calendar year. Customers may put out up to
Total SFD cart subscriptions are 2,345 35-g, 9,254 64-g, and 3,674 96-g for a total of 15,273 carts. There are 3,325 senior discounted
accounts but there is no breakdown by cart size available. For purposes of this proposal, the 3,325 senior accounts have been
deducted from the 64-g carts.
Basic service includes one (1) cart for trash. Customers may order additional carts at an additional charge.
Basic service includes up to two (2) carts for recyclables. Customers may order additional recyclables carts at an additional charge. This
Per Event
City of Diamond Bar
21 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 344
Proposer:
Option:
ABCDEFGH
123456
1 70 Gal Cart $41.31
2 98 Gal Cart
3 1.5 cubic yard - 1st bin $109.74 $180.35
4 1.5 cubic yard - each addl $98.77 $162.31
5 2 cubic yard - 1st bin $125.68 $217.90 $297.89 $385.50 $477.75 $557.74 $47.98
6 2 cubic yard - each addl $113.10 $196.10 $268.11 $346.96 $429.98 $501.96
7 3 cubic yard - 1st bin $155.60 $257.97 $362.11 $470.26 $576.41 $703.49 $55.56
8 3 cubic yard - each addl $140.03 $232.14 $326.00 $423.23 $518.78 $633.15
9 4 cubic yard - 1st bin $197.00 $317.05 $439.84 $626.43 $749.22 $910.07 $63.17
10 4 cubic yard - each addl $177.28 $285.34 $395.83 $563.78 $674.31 $819.08
11 6 cubic yard - 1st bin $235.15 $388.45 $543.72 $790.24 $943.57 $1,139.84 $73.37
12 6 cubic yard - each addl $211.63 $349.61 $489.34 $711.23 $849.21 $1,028.87
13
123456
14 2 cubic yard compactor
15 3 cubic yard compactor
16 4 cubic yard compactor
17 6 cubic yard compactor
18
123456
19 70 Gal Cart $20.54 $0.00 $0.00
20 98 Gal Cart $20.54 $0.00 $0.00
21 1.5 cubic yard - 1st bin $54.87 $90.18 $0.00 $0.00 $0.00 $0.00 $0.00
22 1.5 cubic yard - each addl $49.39 $81.16 $0.00 $0.00 $0.00 $0.00 $0.00
23 2 cubic yard - 1st bin $62.84 $108.95 $148.95 $192.75 $238.88 $278.87 $23.99
24 2 cubic yard - each addl $56.55 $98.05 $134.06 $173.48 $214.99 $250.98 $0.00
25 3 cubic yard - 1st bin $77.80 $128.99 $181.06 $235.13 $288.21 $351.75 $27.78
26 3 cubic yard - each addl $70.02 $116.07 $163.00 $211.62 $259.39 $316.58 $0.00
27
Proposed Monthly Rates for Trash Containers
Row Container Type/Size
Frequency of Collections per Week
Only populate green colored cells. Avoid overwriting aqua colored cells.
Instructions: In columns B - H, enter proposed rates in green colored cells rows 1 - 13 for trash; rows 14 - 17 for trash compactors;
rows 19 - 26 for recycling, rows 28 - 31 for organics, and rows 33 - 40 for other charges.
Form 2.2: Commercial/MFD Year-One Proposed Rates
ENTER PROPOSER NAME
CITY WIDE
Additional
Pick Up
Proposed Monthly Rates for Recycling Containers
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
Proposed Monthly Rates for Trash Compactors
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
City of Diamond Bar
22 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 345
Proposer:
Option:
IJKLMNOP
123456
107.0 107.0
4.0 4.0
8.0 8.0
0.0
14.0 4.0 1.0 1.0 20.0
0.0
68.0 54.0 55.0 14.0 10.0 8.0 209.0
41.0 83.0 91.0 24.0 8.0 1.0 248.0
5.0 9.0 11.0 2.0 2.0 2.0 31.0
5.0 2.0 1.0 2.0 10.0
3.0 1.0 5.0 9.0
1.0 1.0
1.0 156.0 166.0 41.0 21.0 13.0 0.0 647.0
123456
1.0 1.0
0.0
0.0
0.0
0.0 0.0 1.0 0.0 0.0 0.0 0.0 1.0
123456
107.0 107.0
0.0
2.0 2.0
2.0 2.0
1.0 1.0
0.0
8.0 9.0 3.0 20.0
13.0 13.0
120.0 22.0 3.0 0.0 0.0 0.0 0.0 145.0
Commercial/MFD Year-One Proposed Rates
This subscription level were provided by the existing franchise hauler. Each Proposer must review
and proposed projected subscription levels based on their own program/technology expectations.
ENTER PROPOSER NAME
CITY WIDE
Subscription Levels for Recycling Containers
Frequency of Collections per Week Additional
Pick Up
Subscription Levels for Trash Containers
Total
Subscription Levels for Trash Compactors
Frequency of Collections per Week Additional
Pick Up
Total
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
23 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 346
Proposer:
Option:
QRSTUVW X
123456
4,420.17 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $4,420.17
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
877.92 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $877.92
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
1,759.52 $871.60 $297.89 $385.50 $0.00 $0.00 $0.00 $3,314.51
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
10,580.80 $13,930.38 $19,916.05 $6,583.64 $5,764.10 $5,627.92 $0.00 $62,402.89
5,741.23 $19,267.62 $29,666.00 $10,157.52 $4,150.24 $633.15 $0.00 $69,615.76
985.00 $2,853.45 $4,838.24 $1,252.86 $1,498.44 $1,820.14 $0.00 $13,248.13
0.00 $1,426.70 $791.66 $0.00 $674.31 $1,638.16 $0.00 $4,530.83
705.45 $388.45 $2,718.60 $0.00 $0.00 $0.00 $0.00 $3,812.50
0.00 $0.00 $489.34 $0.00 $0.00 $0.00 $0.00 $489.34
Subtotal Monthly Rate Revenue for Solid Waste Bins==>$162,712.05
123456
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Solid Waste Compactors==>$0.00
123456
2,197.78 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $2,197.78
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
109.74 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $109.74
98.77 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $98.77
62.84 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $62.84
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
622.40 $1,160.87 $543.17 $0.00 $0.00 $0.00 $0.00 $2,326.43
0.00 $1,508.91 $0.00 $0.00 $0.00 $0.00 $0.00 $1,508.91
Subtotal Monthly Rate Revenue for Recycling Material==>$6,304.47
THIS WORKSHEET WILL SELF-POPULATE - NO INPUT NECESSARY!!!!
Total
Proposed 1st Year Monthly Rate Revenue for Trash Compactors
Proposed 1st Year Monthly Rate Revenue for Recycling Containers
Frequency of Collections per Week Additional
Pick Up
Total
Additional
Pick Up
Frequency of Collections per Week
Proposed 1st Year Monthly Rate Revenue for Trash Containers
Commercial/MFD Year-One Proposed Rates
ENTER PROPOSER NAME
CITY WIDE
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
24 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 347
ABCDEFGH
Only populate green colored cells. Avoid overwriting aqua colored cells.
123456
28 70 Gal Cart $46.81 $93.61 $140.42 $187.22 $234.03 $280.84 $0.00
29 98 Gal Cart $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
30 2 cubic yard - 1st bin $109.74 $180.35 $0.00 $0.00 $0.00 $0.00 $0.00
31 2 cubic yard - each addl $98.77 $162.31 $0.00 $0.00 $0.00 $0.00 $0.00
32
123456
33 Scout Service $78.66 $187.41 $281.41 $374.83 $468.53 $562.23
34 Container Lock Charge $13.66
35 Enclosure Lock Charge
36 Pull-out Exceeding 25 feet
37 Sunday Service - Each Service
38 Valet Service for Carts $6.00
39
40
NOTES
1
2
3
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
Proposed Monthly Rates for Organics Containers
Proposed Monthly Rates for Other Services
Row Service Type
Frequency of Collections per Week Additional
Pick Up
City of Diamond Bar
25 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 348
IJKLMNOP
123456
227.0 8.0 7.0 242.0
10.0 4.0 2.0 16.0
6.0 1.0 1.0 1.0 2.0 11.0
2.0 0.0 1.0 3.0
245.0 13.0 11.0 1.0 2.0 0.0 0.0 272.0
123456
42.0 18.0 2.0
97.0
Subscription Levels for Organics Containers
Frequency of Collections per Week Additional
Pick Up
Total
Subscription Levels for Other Services
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
26 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 349
QRSTUVW X
THIS WORKSHEET WILL SELF-POPULATE - NO INPUT NECESSARY!!!!
123456
10,625.87 $748.88 $982.94 $0.00 $0.00 $0.00 $0.00 $12,357.69
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
658.44 $180.35 $0.00 $0.00 $0.00 $0.00 $0.00 $838.79
197.54 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $197.54
Subtotal Monthly Rate Revenue for Organic Material==>$13,394.02
123456
3,303.72 $3,373.38 $562.82 $0.00 $0.00 $0.00 $0.00 $7,239.92
1,325.02 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $1,325.02
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Other Services==>$8,564.94
190,975.48
2,291,705.76
Total Proposed Monthly Rate Revenue==>
Total Proposed Annual Rate Revenue==>
Frequency of Collections per Week Additional
Pick Up
Total
Proposed 1st Year Monthly Rate Revenue for Organics Containers
Proposed 1st Year Monthly Rate Revenue for Other Services
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
27 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 350
Proposer:
Option:
ABCDEF
Row Container Size/Type Customer
Rate
Service
Count
Estimated Rate
Revenue
Roll-Off Box Hauling Service
1 Roll off boxes and compactors (all sizes). Includes delivery
and removal.per haul # of pulls $0
2 Roll Off Boxes and Compactors (all sizes)
Customer Owned Equipment. Includes Delivery and
removal.per haul # of pulls $0
3 Subtotal Roll-Off Service 0.0 # of pulls $0
Roll-Off Disposal/Processing & Other Fees
4 Solid waste (transfer only - no processing) per ton # of tons $0
5 Solid waste processing (MRF) 1 per ton # of tons $0
6 Commingled recyclables processing per ton # of tons $0
7 Segregated green waste per ton # of tons $0
7 Segregated food waste per ton # of tons $0
8 Organics per ton # of tons $0
9 C&D processing 2 per ton # of tons $0
10 Roll-off box cleaning beyond one (1) per year. per event # of events $0
10 Redelivery/Return trip/Dry run per event # of events $0
11
Temporary roll-off daily rental after 7 days with no dump
per day # of days $0
12 Relocation fee per event # of events $0
13 Sunday service surcharge per event # of events $0
14 Subtotal Roll-Off Disposal/Processing 0.0 $0
15 Total Roll-Off Revenue $0
Temporary Bin
16 3YD Bin - deliver, pickup and one dump per event # of events $0
17 3YD Bin additional dump per event # of events $0
18 6YD Bin - deliver, pickup and one dump per event # of events $0
19 6YD Bin additional dump per event # of events $0
20 Daily rental after 7 days Per Day # of Days $0
Bulky Item Collection
21 MFD Bulky Item Pickup - beyond four (4) pickup
collection events per year.Per event # of events $0
22 Commercial Bulky Item Pickup - per collection event. Per event # of events $0
23 Commercial Bulky Item Pickup - per item. Per Item # Items $0
24 Total Annual Rate Revenue $0
NOTES
1 State percentage recovery minimum in proposal.
2 75% minimum diversion.
Form 2.3: Roll-Off & On-Call Service Year-One Proposed Rates
ENTER PROPOSER NAME
Instructions: Enter proposed rates for roll-box and compactor service, disposal and processing, temporary bins service and
bulky item collection in column B and assumed service subscriptions in column D.
Only populate green colored cells. Avoid overwriting aqua colored cells.
CITY WIDE
City of Diamond Bar
28 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 351
Proposer:Option:ABCRow
DescriptionFee1 Bin cleaning
Instructions: Input data requested in FORMS 1.1 through 1.8. Only input into green colored cells.
FORM Content
1.1 Costs Summary
1.2 Not Used
1.3 Direct Labor - (Route related labor)
1.4 Indirect Wages (Vehicle R&M, Container R&M, and Management)
1.5 Equipment R&M
1.6 Allocated Costs (to line of business, e.g. SFD, Commercial, Roll-Off)
1.7 Capital Expenditures (CapEx)
1.8 Disposal & Processing Costs
SUPPORTING COSTS & ROUTE DETAIL WORKSHEETS
COMMERCIAL
RFP ATTACHMENT 7
City of Diamond Bar
1 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 353
Form 1.1 Costs Summary
PROPOSER:
OPTION:
ABCDE
SFD
NOT USED
Commercial
Roll-Off & On-
Call Services
Total
Year-One
Annual Cost
1 Direct Wages & Benefits $0 $0 $0
2 Route Vehicle Depreciation $0 $0 $0
Vehicle Repair & Maintenance
3 Wages & Benefits $0 $0 $0
4 Parts & Supplies $0 $0 $0
5Fuel $0 $0 $0
6 Depreciation Other $0 $0 $0
Subtotal Vehicle R&M $0 $0 $0
Container Repair & Maintenance
7 Wages & Benefits $0 $0 $0
8 Parts & Supplies $0 $0 $0
9 Container Depreciation $0 $0 $0
10 Depreciation Other $0 $0 $0
Subtotal Container R&M $0 $0 $0
11 Other Indirect Costs $0 $0 $0
12 Total Operations Costs $0 $0 $0
Management & Admin.
13 Wages & Benefits $0 $0 $0
14 Other G&A Costs $0 $0 $0
15 Depreciation $0 $0 $0
16 Subtotal Management & Admin $0 $0 $0
17 Disposal & Processing Costs $0 $0 $0
Interest Expense
18 Route Vehicle Interest $0 $0 $0
19 Vehicle R&M Interest $0 $0 $0
20 Container Interest $0 $0 $0
21 Container R&M Interest $0 $0 $0
22 Other Interest $0 $0 $0
Total Interest Expense $0 $0 $0
23 TOTAL COSTS BEFORE PROFIT $0 $0 $0
24 Profit Percent Assumption 0.0%
25 Profit Assumption $0 $0 $0
26 Estimated Contractor Compensation $0 $0 $0
Instructions:
1. Enter Proposer name above.
2. Enter the assumed profit percentage in row 25, columns B - D and F. References to column letters and
row numbers are to those inserted into the worksheet.
Only populate green colored cells. Avoid overwriting aqua colored cells.
ENTER PROPOSER NAME
COMMERCIAL
City of Diamond Bar
2 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 354
Form 1.3 -
Direct LaborABCDEFGHIJDirect Labor
Form 1.3 -
Direct LaborDirect Labor
Form 1.3 -
Direct Labor1 Enter
Form 1.4 -
Indirect WagesABCDEFGHIJ1Indirect Wages
Form 1.4 -
Indirect Wages12Indirect Wages
Form 1.4 -
Indirect WagesIndirect Wages
Form 1.5 Equipment R&M
ABCDE
Route Vehicle Related Costs SFD Vehicles
Commercial
Vehicles
Roll-Off &
On Call
Services
Vehicles
Annual Cost
1 Parts $0
2 Oil $0
3 Tires $0
4 Outside Repairs NOT USED $0
5 Taxes and Licenses $0
6 Other (Enter Here)$0
7 $0
8 $0
9 Subtotal Vehicle R&M $0 $0 $0 $0
10 Fuel NOT USED $0
Container Repair & Maintenance
SFD Vehicles
Commercial
Vehicles
Roll-Off &
On Call
Services
Vehicles
Annual Cost
11 Parts & Supplies $0
12 Other (Enter Here)NOT USED $0
12 $0
13 $0
14 Subtotal Container O&M $0 $0 $0 $0
15 Total Container R&M $0 $0 $0 $0
Instructions: Enter route vehicle repair and maintenance costs. The cost categories in Column A are provided
as examples. Each proposer is to enter descriptions consistent with their own cost classification.
Only populate green colored cells. Avoid overwriting aqua colored cells.
PROPOSER:
OPTION:
ENTER PROPOSER NAME
COMMERCIAL
City of Diamond Bar
9 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 361
Form 1.6 Allocated Costs
ABCDEF
Vehicle Repair &
Maintenance
Container
Management,
Repair &
Maintenance
Management &
Administrative
Total
1. Other Indirect Costs 1
2 (Enter Description)$0
3 (Enter Description)$0
4 (Enter Description)$0
5 (Enter Description)$0
6 (Enter Description)$0
7 (Enter Description)$0
8 $0
9 $0
10 $0
11 Subtotal Other Indirect Cost $0 $0 $0 $0
2. Management & Administrative Costs
2
12 (Enter Description)$0
13 (Enter Description)$0
14 (Enter Description)$0
15 (Enter Description)$0
16 (Enter Description)$0
17 (Enter Description)$0
18 (Enter Description)$0
19 (Enter Description)$0
20 (Enter Description)$0
21 $0
22 $0
23 $0
24 $0
25 $0
26 $0
27 $0
28 $0
29 $0
30 $0
31 $0
32 Subtotal Management & Administrative Cost $0 $0 $0 $0
33 3. Other Depreciation (From CapEx YR-1) $0 $0 $0 $0
34 4. Other Interest (From CapEx YR-1) $0 $0 $0 $0
35 Total Costs to be Allocated $0 $0 $0 $0
ENTER PROPOSERNAMEPROPOSER:
Only populate green colored cells. Avoid overwriting aqua colored cells.
Instructions: Enter other indirect costs for Rows 2 to 10 and rows 12 to 31, in columns C, D E. The cost categories in Column A are provided
as examples. Each proposer is to enter descriptions consistent with their own financial plan.
Please note that Item 3. 'Other Depreciation' is populated from Form 1.7 'Cap-Ex', Column G, Row 62, 71, & 80; and Item 4. 'Interest
Expense' is populated from Form 1.7 Cap-Ex, Column I, Row 62, 71, & 80 (all references to rows and columns in form not worksheet).
Beginning with Item 5 and through Item 8, enter percentage allocation in Column B. Totals must equal 100% for each section.
OPTION:COMMERCIAL
City of Diamond Bar
10 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 362
Form 1.6 Allocated Costs
5. Other Indirect Costs
Allocation
Vehicle Repair &
Maintenance
Container
Management,
Repair &
Maintenance
Management &
Administrative
Total
46 SFD NOT USED
47 MFD $0 $0 $0 $0
48 Roll-Off Box & On-Call Services $0 $0 $0 $0
49 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
6. Management & Administrative Costs
50 SFD NOT USED
51 MFD $0 $0 $0 $0
52 Roll-Off Box & On-Call Services $0 $0 $0 $0
53 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
7. Other Depreciation
54 SFD NOT USED
55 MFD $0 $0 $0 $0
56 Roll-Off Box & On-Call Services $0 $0 $0 $0
57 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
8. Other Interest
58 SFD NOT USED
59 MFD $0 $0 $0 $0
60 Roll-Off Box & On-Call Services $0 $0 $0 $0
61 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
NOTES
1 Enter "Other Indirect Costs such as Safety &Training, Uniforms, etc.
2
Enter "Other Management and Administrative Costs" such as Rent, Utilities, Telephone, Information Technology, Office Supplies, Bad Debt, Accounting, Legal, Public
Outreach, Payments to the City (Other than Franchise Fee), etc.
NOT USED
NOT USED
NOT USED
NOT USED
City of Diamond Bar
11 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 363
Form 1.7 CapEx
ROW ABCDEFGHI
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
1
2
3
4
5
6
7
8
9
10
11
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
12 $0 $0 $0
13 $0 $0 $0
14 $0 $0 $0
15 $0 $0 $0
16 $0 $0 $0
17 $0 $0 $0
18 $0 $0 $0
19 $0 $0 $0
20 $0 $0 $0
21 $0 $0 $0
22 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
23 Roll-Off Trucks $0 $0 $0
24 $0 $0 $0
25 $0 $0 $0
26 $0 $0 $0
27 $0 $0 $0
28 - $0 $0 $0
29 - $0 $0 $0
PROPOSER:
Only populate green colored cells. Avoid overwriting aqua colored cells.
VEHICLES YEAR 1 CONVENTIONAL
1 SFD VEHICLES
Instructions: This worksheet is includes inputs for Vehicles, Containers and Other Capital Costs. Enter other asset description, purchase
price, salvage value, expected asset life and interest rate for cost of capital.
OPTION:
ENTER PROPOSER NAME
COMMERCIAL
NOT USED
TOTAL SFD VEHICLES
TOTAL COMMERCIAL & MFD VEHICLES
3 ROLL-OFF BOX & ON-CALL SERVICES VEHICLES
TOTAL ROLL-OFF & ON-CALL VEHICLES
TOTAL VEHICLES
2 COMMERCIAL VEHICLES
City of Diamond Bar 12 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 364
Form 1.7 CapEx
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
30
31
32
33
34
35
36
37
38
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
39 $0 $0 $0
40 $0 $0 $0
41 $0 $0 $0
42 $0 $0 $0
43 $0 $0 $0
44 $0 $0 $0
45 $0 $0 $0
46 $0 $0 $0
47 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
48 $0 $0 $0
49 $0 $0 $0
50 $0 $0 $0
96 $0 $0 $0
51 $0 $0 $0
52 - $0 $0 $0
53 - $0 $0 $0
CONTAINERS
4 SFD CONTAINERS
TOTAL CONTAINERS
5 COMMERCIAL CONTAINERS
6 ROLL-BOX & ON-CALL SERVICES CONTAINERS
TOTAL ROLL-OFF & ON-CALL CONTAINERS
TOTAL COMMERCIAL & MFD CONTAINERS
TOTAL SFD CONTAINERS
NOT USED
City of Diamond Bar 13 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 365
Form 1.7 CapEx
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
63 Shop Truck $0 $0 $0
64 $0 $0 $0
65 $0 $0 $0
66 $0 $0 $0
67 $0 $0 $0
68 $0 $0 $0
69 $0 $0 $0
70 $0 $0 $0
71 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
72 Flatbed $0 $0 $0
73 $0 $0 $0
74 $0 $0 $0
75 $0 $0 $0
76 $0 $0 $0
77 $0 $0 $0
78 $0 $0 $0
79 $0 $0 $0
80 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
54 Pickups $0 $0 $0
55 Vehicles $0 $0 $0
56 $0 $0 $0
57 $0 $0 $0
58 $0 $0 $0
59 $0 $0 $0
60 $0 $0 $0
61 $0 $0 $0
62 - $0 $0 $0
81 - $0 $0 $0
82 - $0 $0 $0
TOTAL OTHER MANAGEMENT ADMIN., VEHICLE
R&M, CONTAINER R&M
GRAND TOTAL
TOTAL OTHER MANAGEMENT ADMIN
TOTAL OTHER VEHICLE R&M
TOTAL OTHER CONTAINER R&M
OTHER CAPITAL COSTS
9 OTHER: MANAGEMENT & ADMINISTRATIVE
7 OTHER: VEHICLE REPAIR & MAINTENANCE
8 OTHER: CONTAINER MANAGEMENT, REPAIR & MAINTENANCE
City of Diamond Bar 14 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 366
Form 1.8 Disposal and Processing Costs
PROPOSER:
OPTION:
Row Facility Tons $/Ton Total Cost
1
2
3
4 Solid Waste Total
Facility Tons $/Ton Total Cost
5
6
7
8 Recycling Processing Total
Facility Tons $/Ton Total Cost
9
10
11
12 Organics Processing Total
13 SFD TOTAL
COMMERCIAL
ENTER PROPOSER
NAME
Instructions: For each waste stream e.g. landfill disposal, solid waste processing, recyclables
processing, Organics, etc., enter the projected tonnage, tipping fee per ton. If transportation
from facility to facility is required, enter tons and costs per ton to transport. Waste streams are
examples only, enter consistent with your proposed plans.
RESIDENTIAL (SINGLE-FAMILY DWELLINGS)
Only populate green colored cells. Avoid overwriting aqua colored cells.
Solid Waste (Trash)
Recycling Processing
Organics Processing
NOT USED
NOT USED
NOT USED
City of Diamond Bar
15 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 367
Form 1.8 Disposal and Processing Costs
Facility Tons $/Ton Total Cost
14 $0
15 $0
16 $0
17 Solid Waste Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
18 $0
19 $0
20 $0
21 Recycling Processing Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
22 $0
23 $0
24 $0
25 Organics Processing Total 0.0 -$ $0
26 COMMERCIAL TOTAL 0.0 -$ $0
Organics Processing
COMMERCIAL
Solid Waste (Trash)
Recycling Processing
City of Diamond Bar
16 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 368
Form 1.8 Disposal and Processing Costs
Facility Tons $/Ton Total Cost
27 $0
28 $0
29 $0
30 MSW Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
31 $0
32 $0
33 $0
34 Recycling Processing Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
35 $0
36 $0
37 $0
38 Organics Processing Total 0.0 -$ $0
39 ROLL-OFF BOX & ON-CALL TOTAL 0.0 -$ $0
Refuse
Recycling Processing
Organics Processing
ROLL-OFF BOX & ON-CALL
City of Diamond Bar
17 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 369
RFP ATTACHMENT 7RATE
PROPOSAL FORMSInstructions: Input
ENTER PROPOSER NAME
COMMERCIAL
ACD
Row Service Category Proposed Rate Revenue
Estimated Rate Revenue
1 Commercial Service Rate Revenue1 $2,291,706
2 Drop-Off & Other On-Call Rate Revenue1 $0
3 Estimated First-Year Rate Revenue1 $2,291,706
City Fees
4 Franchise Fee 2 5.4% $123,000.00
5 CalRecycle Compliance Fee $375,000
6 Total First-Year City Fees $498,000
7 Estimated First-Year Rate Revenue Less City Fees $1,793,706
8 Estimated Contractor Compensation (From Form 1.1)
0
9
Difference Between Rate Revenue and Estimated Contractor
Compensation 3 $
1,793,706
NOTES
1 Includes City Fees
2
3
FORM 2.0: RATE REVENUE SUMMARY
Franchise fees represent the City's value of franchise. Proposer may agree or offer a different amount.
Instructions: Confirm the reasonableness of total estimated first-year rate revenue (row 4, column D)
based upon proposed rates and estimated service counts; and, drop box, temporary bins, and bulky items
entered in forms 2.1 - 2.4.
The Estimated First-Year Rate Revenue in row 10 and Esimated Contractor Compensation in row 11 should
equal - explain any variation.
The rate revenue generated by the service levels assumptions and rates proposed in Forms 2.1 through
2.4 should equal the estimated contractor compensation in form 1.1. Proposer shall explain any material
difference between proposed first-year rate revenues and its estimated first-year Contractor
Compensation.
Proposer:
Option:
City of Diamond Bar 19
Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 371
Proposer:
Option:
ABCDEFGH
123456
1 70 Gal Cart $41.31
2 98 Gal Cart
3 1.5 cubic yard - 1st bin $109.74 $180.35
4 1.5 cubic yard - each addl $98.77 $162.31
5 2 cubic yard - 1st bin $125.68 $217.90 $297.89 $385.50 $477.75 $557.74 $47.98
6 2 cubic yard - each addl $113.10 $196.10 $268.11 $346.96 $429.98 $501.96
7 3 cubic yard - 1st bin $155.60 $257.97 $362.11 $470.26 $576.41 $703.49 $55.56
8 3 cubic yard - each addl $140.03 $232.14 $326.00 $423.23 $518.78 $633.15
9 4 cubic yard - 1st bin $197.00 $317.05 $439.84 $626.43 $749.22 $910.07 $63.17
10 4 cubic yard - each addl $177.28 $285.34 $395.83 $563.78 $674.31 $819.08
11 6 cubic yard - 1st bin $235.15 $388.45 $543.72 $790.24 $943.57 $1,139.84 $73.37
12 6 cubic yard - each addl $211.63 $349.61 $489.34 $711.23 $849.21 $1,028.87
13
123456
14 2 cubic yard compactor
15 3 cubic yard compactor
16 4 cubic yard compactor
17 6 cubic yard compactor
18
123456
19 70 Gal Cart $20.54 $0.00 $0.00
20 98 Gal Cart $20.54 $0.00 $0.00
21 1.5 cubic yard - 1st bin $54.87 $90.18 $0.00 $0.00 $0.00 $0.00 $0.00
22 1.5 cubic yard - each addl $49.39 $81.16 $0.00 $0.00 $0.00 $0.00 $0.00
23 2 cubic yard - 1st bin $62.84 $108.95 $148.95 $192.75 $238.88 $278.87 $23.99
24 2 cubic yard - each addl $56.55 $98.05 $134.06 $173.48 $214.99 $250.98 $0.00
25 3 cubic yard - 1st bin $77.80 $128.99 $181.06 $235.13 $288.21 $351.75 $27.78
26 3 cubic yard - each addl $70.02 $116.07 $163.00 $211.62 $259.39 $316.58 $0.00
27
Proposed Monthly Rates for Trash Containers
Row Container Type/Size
Frequency of Collections per Week
Only populate green colored cells. Avoid overwriting aqua colored cells.
Instructions: In columns B - H, enter proposed rates in green colored cells rows 1 - 13 for trash; rows 14 - 17 for trash compactors;
rows 19 - 26 for recycling, rows 28 - 31 for organics, and rows 33 - 40 for other charges.
Form 2.2: Commercial/MFD Year-One Proposed Rates
ENTER PROPOSER NAME
COMMERCIAL
Additional
Pick Up
Proposed Monthly Rates for Recycling Containers
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
Proposed Monthly Rates for Trash Compactors
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
City of Diamond Bar
20 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 372
Proposer:
Option:
IJKLMNOP
123456
107.0 107.0
4.0 4.0
8.0 8.0
0.0
14.0 4.0 1.0 1.0 20.0
0.0
68.0 54.0 55.0 14.0 10.0 8.0 209.0
41.0 83.0 91.0 24.0 8.0 1.0 248.0
5.0 9.0 11.0 2.0 2.0 2.0 31.0
5.0 2.0 1.0 2.0 10.0
3.0 1.0 5.0 9.0
1.0 1.0
1.0 156.0 166.0 41.0 21.0 13.0 0.0 647.0
123456
1.0 1.0
0.0
0.0
0.0
0.0 0.0 1.0 0.0 0.0 0.0 0.0 1.0
123456
107.0 107.0
0.0
2.0 2.0
2.0 2.0
1.0 1.0
0.0
8.0 9.0 3.0 20.0
13.0 13.0
120.0 22.0 3.0 0.0 0.0 0.0 0.0 145.0
Commercial/MFD Year-One Proposed Rates
This subscription level were provided by the existing franchise hauler. Each Proposer must review
and proposed projected subscription levels based on their own program/technology expectations.
ENTER PROPOSER NAME
COMMERCIAL
Subscription Levels for Recycling Containers
Frequency of Collections per Week Additional
Pick Up
Subscription Levels for Trash Containers
Total
Subscription Levels for Trash Compactors
Frequency of Collections per Week Additional
Pick Up
Total
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
21 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 373
Proposer:
Option:
QRSTUVW X
123456
4,420.17 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $4,420.17
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
877.92 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $877.92
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
1,759.52 $871.60 $297.89 $385.50 $0.00 $0.00 $0.00 $3,314.51
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
10,580.80 $13,930.38 $19,916.05 $6,583.64 $5,764.10 $5,627.92 $0.00 $62,402.89
5,741.23 $19,267.62 $29,666.00 $10,157.52 $4,150.24 $633.15 $0.00 $69,615.76
985.00 $2,853.45 $4,838.24 $1,252.86 $1,498.44 $1,820.14 $0.00 $13,248.13
0.00 $1,426.70 $791.66 $0.00 $674.31 $1,638.16 $0.00 $4,530.83
705.45 $388.45 $2,718.60 $0.00 $0.00 $0.00 $0.00 $3,812.50
0.00 $0.00 $489.34 $0.00 $0.00 $0.00 $0.00 $489.34
Subtotal Monthly Rate Revenue for Solid Waste Bins==>$162,712.05
123456
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Solid Waste Compactors==>$0.00
123456
2,197.78 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $2,197.78
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
109.74 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $109.74
98.77 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $98.77
62.84 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $62.84
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
622.40 $1,160.87 $543.17 $0.00 $0.00 $0.00 $0.00 $2,326.43
0.00 $1,508.91 $0.00 $0.00 $0.00 $0.00 $0.00 $1,508.91
Subtotal Monthly Rate Revenue for Recycling Material==>$6,304.47
THIS WORKSHEET WILL SELF-POPULATE - NO INPUT NECESSARY!!!!
Total
Proposed 1st Year Monthly Rate Revenue for Trash Compactors
Proposed 1st Year Monthly Rate Revenue for Recycling Containers
Frequency of Collections per Week Additional
Pick Up
Total
Additional
Pick Up
Frequency of Collections per Week
Proposed 1st Year Monthly Rate Revenue for Trash Containers
Commercial/MFD Year-One Proposed Rates
ENTER PROPOSER NAME
COMMERCIAL
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
22 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 374
ABCDEFGH
Only populate green colored cells. Avoid overwriting aqua colored cells.
123456
28 70 Gal Cart $46.81 $93.61 $140.42 $187.22 $234.03 $280.84 $0.00
29 98 Gal Cart $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
30 2 cubic yard - 1st bin $109.74 $180.35 $0.00 $0.00 $0.00 $0.00 $0.00
31 2 cubic yard - each addl $98.77 $162.31 $0.00 $0.00 $0.00 $0.00 $0.00
32
123456
33 Scout Service $78.66 $187.41 $281.41 $374.83 $468.53 $562.23
34 Container Lock Charge $13.66
35 Enclosure Lock Charge
36 Pull-out Exceeding 25 feet
37 Sunday Service - Each Service
38 Valet Service for Carts $6.00
39
40
NOTES
1
2
3
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
Proposed Monthly Rates for Organics Containers
Proposed Monthly Rates for Other Services
Row Service Type
Frequency of Collections per Week Additional
Pick Up
City of Diamond Bar
23 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 375
IJKLMNOP
123456
227.0 8.0 7.0 242.0
10.0 4.0 2.0 16.0
6.0 1.0 1.0 1.0 2.0 11.0
2.0 0.0 1.0 3.0
245.0 13.0 11.0 1.0 2.0 0.0 0.0 272.0
123456
42.0 18.0 2.0
97.0
Subscription Levels for Organics Containers
Frequency of Collections per Week Additional
Pick Up
Total
Subscription Levels for Other Services
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
24 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 376
QRSTUVW X
THIS WORKSHEET WILL SELF-POPULATE - NO INPUT NECESSARY!!!!
123456
10,625.87 $748.88 $982.94 $0.00 $0.00 $0.00 $0.00 $12,357.69
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
658.44 $180.35 $0.00 $0.00 $0.00 $0.00 $0.00 $838.79
197.54 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $197.54
Subtotal Monthly Rate Revenue for Organic Material==>$13,394.02
123456
3,303.72 $3,373.38 $562.82 $0.00 $0.00 $0.00 $0.00 $7,239.92
1,325.02 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $1,325.02
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Other Services==>$8,564.94
190,975.48
2,291,705.76
Total Proposed Monthly Rate Revenue==>
Total Proposed Annual Rate Revenue==>
Frequency of Collections per Week Additional
Pick Up
Total
Proposed 1st Year Monthly Rate Revenue for Organics Containers
Proposed 1st Year Monthly Rate Revenue for Other Services
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
25 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 377
Proposer:
Option:
ABCDEF
Row Container Size/Type Customer
Rate
Service
Count
Estimated Rate
Revenue
Roll-Off Box Hauling Service
1 Roll off boxes and compactors (all sizes). Includes delivery
and removal.per haul # of pulls $0
2 Roll Off Boxes and Compactors (all sizes)
Customer Owned Equipment. Includes Delivery and
removal.per haul # of pulls $0
3 Subtotal Roll-Off Service 0.0 # of pulls $0
Roll-Off Disposal/Processing & Other Fees
4 Solid waste (transfer only - no processing) per ton # of tons $0
5 Solid waste processing (MRF) 1 per ton # of tons $0
6 Commingled recyclables processing per ton # of tons $0
7 Segregated green waste per ton # of tons $0
7 Segregated food waste per ton # of tons $0
8 Organics per ton # of tons $0
9 C&D processing 2 per ton # of tons $0
10 Roll-off box cleaning beyond one (1) per year. per event # of events $0
10 Redelivery/Return trip/Dry run per event # of events $0
11
Temporary roll-off daily rental after 7 days with no dump
per day # of days $0
12 Relocation fee per event # of events $0
13 Sunday service surcharge per event # of events $0
14 Subtotal Roll-Off Disposal/Processing 0.0 $0
15 Total Roll-Off Revenue $0
Temporary Bin
16 3YD Bin - deliver, pickup and one dump per event # of events $0
17 3YD Bin additional dump per event # of events $0
18 6YD Bin - deliver, pickup and one dump per event # of events $0
19 6YD Bin additional dump per event # of events $0
20 Daily rental after 7 days Per Day # of Days $0
Bulky Item Collection
21 MFD Bulky Item Pickup - beyond four (4) pickup
collection events per year.Per event # of events $0
22 Commercial Bulky Item Pickup - per collection event. Per event # of events $0
23 Commercial Bulky Item Pickup - per item. Per Item # Items $0
24 Total Annual Rate Revenue $0
NOTES
1 State percentage recovery minimum in proposal.
2 75% minimum diversion.
Form 2.3: Roll-Off & On-Call Service Year-One Proposed Rates
ENTER PROPOSER NAME
Instructions: Enter proposed rates for roll-box and compactor service, disposal and processing, temporary bins service and
bulky item collection in column B and assumed service subscriptions in column D.
Only populate green colored cells. Avoid overwriting aqua colored cells.
COMMERCIAL
City of Diamond Bar
26 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 378
Proposer:Option:ABCRow
DescriptionFee1 Bin cleaning
Instructions: Input data requested in FORMS 1.1 through 1.8. Only input into green colored cells.
FORM Content
1.1 Costs Summary
1.2 Not Used
1.3 Direct Labor - (Route related labor)
1.4 Indirect Wages (Vehicle R&M, Container R&M, and Management)
1.5 Equipment R&M
1.6 Allocated Costs (to line of business, e.g. SFD, Commercial, Roll-Off)
1.7 Capital Expenditures (CapEx)
1.8 Disposal & Processing Costs
SUPPORTING COSTS & ROUTE DETAIL WORKSHEETS
RESIDENTIAL
RFP ATTACHMENT 7
City of Diamond Bar
1 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 380
Form 1.1 Costs Summary
PROPOSER:
OPTION:
ABCDE
SFD MFD
Roll-Off & On-
Call Services
Total
Year-One
Annual Cost
1 Direct Wages & Benefits $0 $0 $0 $0
2 Route Vehicle Depreciation $0 $0 $0 $0
Vehicle Repair & Maintenance
3 Wages & Benefits $0 $0 $0 $0
4 Parts & Supplies $0 $0 $0 $0
5Fuel $0 $0 $0 $0
6 Depreciation Other $0 $0 $0 $0
Subtotal Vehicle R&M $0 $0 $0 $0
Container Repair & Maintenance
7 Wages & Benefits $0 $0 $0 $0
8 Parts & Supplies $0 $0 $0 $0
9 Container Depreciation $0 $0 $0 $0
10 Depreciation Other $0 $0 $0 $0
Subtotal Container R&M $0 $0 $0 $0
11 Other Indirect Costs $0 $0 $0 $0
12 Total Operations Costs $0 $0 $0 $0
Management & Admin.
13 Wages & Benefits $0 $0 $0 $0
14 Other G&A Costs $0 $0 $0 $0
15 Depreciation $0 $0 $0 $0
16 Subtotal Management & Admin $0 $0 $0 $0
17 Disposal & Processing Costs $0 $0 $0 $0
Interest Expense
18 Route Vehicle Interest $0 $0 $0 $0
19 Vehicle R&M Interest $0 $0 $0 $0
20 Container Interest $0 $0 $0 $0
21 Container R&M Interest $0 $0 $0 $0
22 Other Interest $0 $0 $0 $0
Total Interest Expense $0 $0 $0 $0
23 TOTAL COSTS BEFORE PROFIT $0 $0 $0 $0
24 Profit Percent Assumption 0.0%
25 Profit Assumption $0 $0 $0 $0
26 Estimated Contractor Compensation $0 $0 $0 $0
Instructions:
1. Enter Proposer name above.
2. Enter the assumed profit percentage in row 25, columns B - D and F. References to column letters and
row numbers are to those inserted into the worksheet.
Only populate green colored cells. Avoid overwriting aqua colored cells.
ENTER PROPOSER NAME
RESIDENTIAL
City of Diamond Bar
2 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 381
Form 1.3 -
Direct LaborABCDEFGHIJDirect Labor
Form 1.3 -
Direct LaborDirect Labor
Form 1.3 -
Direct Labor1 Enter
Form 1.4 -
Indirect WagesABCDEFGHIJ1Indirect Wages
Form 1.4 -
Indirect Wages12Indirect Wages
Form 1.4 -
Indirect WagesIndirect Wages
Form 1.5 Equipment R&M
ABCDE
Route Vehicle Related Costs SFD Vehicles MFD Vehicles
Roll-Off &
On Call
Services
Vehicles
Annual Cost
1 Parts $0
2 Oil $0
3 Tires $0
4 Outside Repairs $0
5 Taxes and Licenses $0
6 Other (Enter Here)$0
7 $0
8 $0
9 Subtotal Vehicle R&M $0 $0 $0 $0
10 Fuel $0
Container Repair & Maintenance
SFD Vehicles MFD Vehicles
Roll-Off &
On Call
Services
Vehicles
Annual Cost
11 Parts & Supplies $0
12 Other (Enter Here)$0
12 $0
13 $0
14 Subtotal Container O&M $0 $0 $0 $0
15 Total Container R&M $0 $0 $0 $0
Instructions: Enter route vehicle repair and maintenance costs. The cost categories in Column A are provided
as examples. Each proposer is to enter descriptions consistent with their own cost classification.
Only populate green colored cells. Avoid overwriting aqua colored cells.
PROPOSER:
OPTION:
ENTER PROPOSER NAME
RESIDENTIAL
City of Diamond Bar
9 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 388
Form 1.6 Allocated Costs
ABCDEF
Vehicle Repair &
Maintenance
Container
Management,
Repair &
Maintenance
Management &
Administrative
Total
1. Other Indirect Costs 1
2 (Enter Description)$0
3 (Enter Description)$0
4 (Enter Description)$0
5 (Enter Description)$0
6 (Enter Description)$0
7 (Enter Description)$0
8 $0
9 $0
10 $0
11 Subtotal Other Indirect Cost $0 $0 $0 $0
2. Management & Administrative Costs
2
12 (Enter Description)$0
13 (Enter Description)$0
14 (Enter Description)$0
15 (Enter Description)$0
16 (Enter Description)$0
17 (Enter Description)$0
18 (Enter Description)$0
19 (Enter Description)$0
20 (Enter Description)$0
21 $0
22 $0
23 $0
24 $0
25 $0
26 $0
27 $0
28 $0
29 $0
30 $0
31 $0
32 Subtotal Management & Administrative Cost $0 $0 $0 $0
33 3. Other Depreciation (From CapEx YR-1) $0 $0 $0 $0
34 4. Other Interest (From CapEx YR-1) $0 $0 $0 $0
35 Total Costs to be Allocated $0 $0 $0 $0
ENTER PROPOSERNAMEPROPOSER:
Only populate green colored cells. Avoid overwriting aqua colored cells.
Instructions: Enter other indirect costs for Rows 2 to 10 and rows 12 to 31, in columns C, D E. The cost categories in Column A are provided
as examples. Each proposer is to enter descriptions consistent with their own financial plan.
Please note that Item 3. 'Other Depreciation' is populated from Form 1.7 'Cap-Ex', Column G, Row 62, 71, & 80; and Item 4. 'Interest
Expense' is populated from Form 1.7 Cap-Ex, Column I, Row 62, 71, & 80 (all references to rows and columns in form not worksheet).
Beginning with Item 5 and through Item 8, enter percentage allocation in Column B. Totals must equal 100% for each section.
OPTION:RESIDENTIAL
City of Diamond Bar
10 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 389
Form 1.6 Allocated Costs
5. Other Indirect Costs
Allocation
Vehicle Repair &
Maintenance
Container
Management,
Repair &
Maintenance
Management &
Administrative
Total
46 SFD $0 $0 $0 $0
47 MFD $0 $0 $0 $0
48 Roll-Off Box & On-Call Services $0 $0 $0 $0
49 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
6. Management & Administrative Costs
50 SFD $0 $0 $0 $0
51 MFD $0 $0 $0 $0
52 Roll-Off Box & On-Call Services $0 $0 $0 $0
53 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
7. Other Depreciation
54 SFD $0 $0 $0 $0
55 MFD $0 $0 $0 $0
56 Roll-Off Box & On-Call Services $0 $0 $0 $0
57 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
8. Other Interest
58 SFD $0 $0 $0 $0
59 MFD $0 $0 $0 $0
60 Roll-Off Box & On-Call Services $0 $0 $0 $0
61 Total Costs Allocated Out: Must = 100%>> 0.0% $0 $0 $0 $0
NOTES
1 Enter "Other Indirect Costs such as Safety &Training, Uniforms, etc.
2
Enter "Other Management and Administrative Costs" such as Rent, Utilities, Telephone, Information Technology, Office Supplies, Bad Debt, Accounting, Legal, Public
Outreach, Payments to the City (Other than Franchise Fee), etc.
City of Diamond Bar
11 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 390
Form 1.7 CapEx
ROW ABCDEFGHI
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
1 $0 $0 $0
2 $0 $0 $0
3 $0 $0 $0
4 $0 $0 $0
5 $0 $0 $0
6 $0 $0 $0
7 $0 $0 $0
8 $0 $0 $0
9 $0 $0 $0
10 $0 $0 $0
11 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
12 $0 $0 $0
13 $0 $0 $0
14 $0 $0 $0
15 $0 $0 $0
16 $0 $0 $0
17 $0 $0 $0
18 $0 $0 $0
19 $0 $0 $0
20 $0 $0 $0
21 $0 $0 $0
22 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
23 Roll-Off Trucks $0 $0 $0
24 $0 $0 $0
25 $0 $0 $0
26 $0 $0 $0
27 $0 $0 $0
28 - $0 $0 $0
29 - $0 $0 $0
TOTAL SFD VEHICLES
TOTAL & MFD VEHICLES
3 ROLL-OFF BOX & ON-CALL SERVICES VEHICLES
TOTAL ROLL-OFF & ON-CALL VEHICLES
TOTAL VEHICLES
2 MFD VEHICLES
PROPOSER:
Only populate green colored cells. Avoid overwriting aqua colored cells.
VEHICLES YEAR 1 CONVENTIONAL
1 SFD VEHICLES
Instructions: This worksheet is includes inputs for Vehicles, Containers and Other Capital Costs. Enter other asset description, purchase
price, salvage value, expected asset life and interest rate for cost of capital.
OPTION:
ENTER PROPOSER NAME
RESIDENTIAL
City of Diamond Bar 12 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 391
Form 1.7 CapEx
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
30 $0 $0 $0
31 $0 $0 $0
32 $0 $0 $0
33 $0 $0 $0
34 $0 $0 $0
35 $0 $0 $0
36 $0 $0 $0
37 $0 $0 $0
38 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
39 $0 $0 $0
40 $0 $0 $0
41 $0 $0 $0
42 $0 $0 $0
43 $0 $0 $0
44 $0 $0 $0
45 $0 $0 $0
46 $0 $0 $0
47 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
48 $0 $0 $0
49 $0 $0 $0
50 $0 $0 $0
96 $0 $0 $0
51 $0 $0 $0
52 - $0 $0 $0
53 - $0 $0 $0
CONTAINERS
4 SFD CONTAINERS
TOTAL CONTAINERS
5 MFD CONTAINERS
6 ROLL-BOX & ON-CALL SERVICES CONTAINERS
TOTAL ROLL-OFF & ON-CALL CONTAINERS
TOTAL MFD CONTAINERS
TOTAL SFD CONTAINERS
City of Diamond Bar 13 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 392
Form 1.7 CapEx
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
63 Shop Truck $0 $0 $0
64 $0 $0 $0
65 $0 $0 $0
66 $0 $0 $0
67 $0 $0 $0
68 $0 $0 $0
69 $0 $0 $0
70 $0 $0 $0
71 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
72 Flatbed $0 $0 $0
73 $0 $0 $0
74 $0 $0 $0
75 $0 $0 $0
76 $0 $0 $0
77 $0 $0 $0
78 $0 $0 $0
79 $0 $0 $0
80 - $0 $0 $0
Description Price QTY Total Salvage Life Depreciation
Interest
Rate
1st Year
Interest
54 Pickups $0 $0 $0
55 Vehicles $0 $0 $0
56 $0 $0 $0
57 $0 $0 $0
58 $0 $0 $0
59 $0 $0 $0
60 $0 $0 $0
61 $0 $0 $0
62 - $0 $0 $0
81 - $0 $0 $0
82 - $0 $0 $0
8 OTHER: CONTAINER MANAGEMENT, REPAIR & MAINTENANCE
TOTAL OTHER MANAGEMENT ADMIN., VEHICLE
R&M, CONTAINER R&M
GRAND TOTAL
TOTAL OTHER MANAGEMENT ADMIN
TOTAL OTHER VEHICLE R&M
TOTAL OTHER CONTAINER R&M
OTHER CAPITAL COSTS
9 OTHER: MANAGEMENT & ADMINISTRATIVE
7 OTHER: VEHICLE REPAIR & MAINTENANCE
City of Diamond Bar 14 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 393
Form 1.8 Disposal and Processing Costs
PROPOSER:
OPTION:
Row Facility Tons $/Ton Total Cost
1 $0
2 $0
3 $0
4 Solid Waste Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
5 $0
6 $0
7 $0
8 Recycling Processing Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
9 $0
10 $0
11 $0
12 Organics Processing Total 0.0 -$ $0
13 SFD TOTAL 0.0 -$ $0
RESIDENTIAL
ENTER PROPOSER
NAME
Instructions: For each waste stream e.g. landfill disposal, solid waste processing, recyclables
processing, Organics, etc., enter the projected tonnage, tipping fee per ton. If transportation
from facility to facility is required, enter tons and costs per ton to transport. Waste streams are
examples only, enter consistent with your proposed plans.
RESIDENTIAL (SINGLE-FAMILY DWELLINGS)
Only populate green colored cells. Avoid overwriting aqua colored cells.
Solid Waste (Trash)
Recycling Processing
Organics Processing
City of Diamond Bar
15 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 394
Form 1.8 Disposal and Processing Costs
Facility Tons $/Ton Total Cost
14 $0
15 $0
16 $0
17 Solid Waste Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
18 $0
19 $0
20 $0
21 Recycling Processing Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
22 $0
23 $0
24 $0
25 Organics Processing Total 0.0 -$ $0
26 MFD TOTAL 0.0 -$ $0
Solid Waste (Trash)
Recycling Processing
Organics Processing
MFD
City of Diamond Bar
16 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 395
Form 1.8 Disposal and Processing Costs
Facility Tons $/Ton Total Cost
27 $0
28 $0
29 $0
30 MSW Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
31 $0
32 $0
33 $0
34 Recycling Processing Total 0.0 -$ $0
Facility Tons $/Ton Total Cost
35 $0
36 $0
37 $0
38 Organics Processing Total 0.0 -$ $0
39 ROLL-OFF BOX & ON-CALL TOTAL 0.0 -$ $0
Refuse
Recycling Processing
Organics Processing
ROLL-OFF BOX & ON-CALL
City of Diamond Bar
17 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 396
RFP ATTACHMENT 7RATE
PROPOSAL FORMSInstructions: Input
ENTER PROPOSER NAME
RESIDENTIAL
ACD
Row Service Category Proposed Rate Revenue
Estimated Rate Revenue
1 Residential Service Rate Revenue1 $5,993,688
2 MFD Service Rate Revenue1 $0
3 Drop-Off & Other On-Call Rate Revenue1 $0
4 Estimated First-Year Rate Revenue1 $5,993,688
City Fees
5 Franchise Fee 2 4.79% $287,000.00
6 CalRecycle Compliance Fee $375,000
7 Residential Vehicle Impact Fee $175,000
8 Residential Street Sweeping Fee $175,000
9 Total First-Year City Fees $1,012,000
10 Estimated First-Year Rate Revenue Less City Fees $4,981,688
11 Estimated Contractor Compensation (From Form 1.1)
0
12
Difference Between Rate Revenue and Estimated Contractor
Compensation 3 $
4,981,688
NOTES
1 Includes City Fees
2
3
FORM 2.0: RATE REVENUE SUMMARY
Franchise fees represent the City's value of franchise. Proposer may agree or offer a different amount.
Instructions: Confirm the reasonableness of total estimated first-year rate revenue (row 4, column D)
based upon proposed rates and estimated service counts; and, drop box, temporary bins, and bulky items
entered in forms 2.1 - 2.4.
The Estimated First-Year Rate Revenue in row 10 and Esimated Contractor Compensation in row 11 should
equal - explain any variation.
The rate revenue generated by the service levels assumptions and rates proposed in Forms 2.1 through
2.4 should equal the estimated contractor compensation in form 1.1. Proposer shall explain any material
difference between proposed first-year rate revenues and its estimated first-year Contractor
Compensation.
Proposer:
Option:
City of Diamond Bar 19
Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 398
Proposer:
Option:
ABCDEF
Row Service Description
Monthly
Rate
Service
Count
Per Unit, Event,
Etc.
Monthly
Revenue
Annual
Revenue
1 Single-Family Dwelling - 35 gallon trash cart $26.04 2,345.0 Unit / Month $61,064 $732,768
2 Single-Family Dwelling - 64 gallon trash cart $32.09 9,254.0 Unit / Month $296,961 $3,563,532
3 Single-Family Dwelling - 96 gallon trash cart $38.50 3,674.0 Unit / Month $141,449 $1,697,388
4 Single-Family Dwelling - 35 gallon trash cart - senior discounted $22.41 Unit / Month $0 $0
5 Single-Family Dwelling - 64 gallon trash cart - senior discounted $27.67 Unit / Month $0 $0
6 Single-Family Dwelling - 96 gallon trash cart - senior discounted $33.00 Unit / Month $0 $0
7 Total Units 15,273.0
8 $499,474 $5,993,688
Service Description
Monthly
Rate
9 Additional charge for 35 gallon trash cart beyond (1) one. Not to exceed
20% of trash cart Row 1 Column B. 1 $5.21
10 Additional charge for 64 gallon trash cart beyond (1) one. Not to exceed
20% of trash cart Row 2 Column B. 1 $6.42
11 Additional charge for 96 gallon trash cart beyond (1) one. Not to exceed
20% of trash cart Row 3 Column B. 1 $7.70
12 Additional charge for recyclables cart beyond (2) two. Not to exceed 7%
of 64 gallon trash cart Row 2 Column B. 2 $2.25
13 Additional charge for organics cart beyond (2) two. Not to exceed 20%
of 64 gallon trash cart Row 2 Column B. 3 $6.42
14 Additional charge for backyard service. 4
15 Additional charge for refuse cart overage beyond two (2) annual pickup
events and one (1) year-end pickup. Not to exceed 20% of trash cart
Row 2 Column B. 5 $6.42
16 Cart Overage Charge for overflowing container upon second and
subsequent occurrence in 3-month period. Not to exceed 20% of trash
cart Row 2 Column B.$6.42
17 Bulky Item Pickup - Beyond four (4) pickup collection events per
calendar year. 6
18 Contamination Fee upon third and subsequent occurrence in 12-month
period.
20 Damaged Cart Replacement 7
21 Cart Exchange after free after free-exchange period.
25 Late Payment charge for unpaid balance per month after 75 days past
due date.1.50%
26 Service Reinstatement charge after suspension for non-payment $75.00
Unit / Month
Per Event
Per Event
of Monthly Balance
Per Cart / Event
Total Proposed Rate Revenue==>
Per Event
Per Event
Per Event
Per Cart / Event
Single-Family Dwelling Other Services and Charges
Per Unit, Event, Etc.
Unit / Month
Unit / Month
Unit / Month
Unit / Month
Unit / Month
FORM 2.1: SFD Year-One Proposed Rates
Only populate green colored cells. Avoid overwriting aqua colored cells.
Single-Family Dwelling Standard Service:
Instructions: For Rows 1 through 5, enter proposed rates in Column B. For Rows 7 through 24, enter proposed rates for other services
and charges.
Standard Service includes three (3) carts; One each for refuse, recycling, and organics. The Monthly Rate is based on the refuse
cart size chosen by the customer. Customers may choose 35, 64, or 96-gallons carts for recycling and/or organics. Default sizes for
all three waste streams are 64 gallon.
NTER PROPOSER NAM
RESIDENTIAL
City of Diamond Bar
20 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 399
Row Service Description
Monthly
Rate
Service
Count
Per Unit, Event,
Etc.
Monthly
Revenue
Annual
Revenue
NOTES
1
2
3
4
5
6
7
Contractor shall roll out and return carts for any Customer who is legally or medically recognized as disabled at no additional charge.
Contractor may charge for additional pickups beyond two annual pickups per calendar year and an end-of-year pickup for trash.
Contractor may charge for additional bulky item pickups beyond four annual pickups per calendar year. Customers may put out up to
3 cubic yards of material at each pickup event.
Contractor may charge for replacement of carts if due to provable negligence .
Basic service includes one (1) cart for trash. Customers may order additional carts at an additional charge.
Basic service includes up to two (2) carts for recyclables. Customers may order additional recyclables carts at an additional charge. This
rate will apply to any size cart.
Basic service includes up to two (2) carts for organics. Customers may order additional organics carts at an additional charge.
City of Diamond Bar
21 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 400
Proposer:
Option:
ABCDEFGH
123456
1 70 Gal Cart $41.31
2 98 Gal Cart
3 1.5 cubic yard - 1st bin $109.74 $180.35
4 1.5 cubic yard - each addl $98.77 $162.31
5 2 cubic yard - 1st bin $125.68 $217.90 $297.89 $385.50 $477.75 $557.74 $47.98
6 2 cubic yard - each addl $113.10 $196.10 $268.11 $346.96 $429.98 $501.96
7 3 cubic yard - 1st bin $155.60 $257.97 $362.11 $470.26 $576.41 $703.49 $55.56
8 3 cubic yard - each addl $140.03 $232.14 $326.00 $423.23 $518.78 $633.15
9 4 cubic yard - 1st bin $197.00 $317.05 $439.84 $626.43 $749.22 $910.07 $63.17
10 4 cubic yard - each addl $177.28 $285.34 $395.83 $563.78 $674.31 $819.08
11 6 cubic yard - 1st bin $235.15 $388.45 $543.72 $790.24 $943.57 $1,139.84 $73.37
12 6 cubic yard - each addl $211.63 $349.61 $489.34 $711.23 $849.21 $1,028.87
13
123456
14 2 cubic yard compactor
15 3 cubic yard compactor
16 4 cubic yard compactor
17 6 cubic yard compactor
18
123456
19 70 Gal Cart $20.54 $0.00 $0.00
20 98 Gal Cart $20.54 $0.00 $0.00
21 1.5 cubic yard - 1st bin $54.87 $90.18 $0.00 $0.00 $0.00 $0.00 $0.00
22 1.5 cubic yard - each addl $49.39 $81.16 $0.00 $0.00 $0.00 $0.00 $0.00
23 2 cubic yard - 1st bin $62.84 $108.95 $148.95 $192.75 $238.88 $278.87 $23.99
24 2 cubic yard - each addl $56.55 $98.05 $134.06 $173.48 $214.99 $250.98 $0.00
25 3 cubic yard - 1st bin $77.80 $128.99 $181.06 $235.13 $288.21 $351.75 $27.78
26 3 cubic yard - each addl $70.02 $116.07 $163.00 $211.62 $259.39 $316.58 $0.00
27
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
Proposed Monthly Rates for Trash Compactors
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
Additional
Pick Up
Proposed Monthly Rates for Recycling Containers
Proposed Monthly Rates for Trash Containers
Row Container Type/Size
Frequency of Collections per Week
Only populate green colored cells. Avoid overwriting aqua colored cells.
Instructions: In columns B - H, enter proposed rates in green colored cells rows 1 - 13 for trash; rows 14 - 17 for trash compactors;
rows 19 - 26 for recycling, rows 28 - 31 for organics, and rows 33 - 40 for other charges.
Form 2.2: Commercial/MFD Year-One Proposed Rates
ENTER PROPOSER NAME
RESIDENTIAL
City of Diamond Bar
22 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 401
Proposer:
Option:
IJKLMNOP
123456
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
1.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
123456
0.0
0.0
0.0
0.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
123456
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Total
Subscription Levels for Trash Compactors
Frequency of Collections per Week Additional
Pick Up
Total
Frequency of Collections per Week Additional
Pick Up
Total
RESIDENTIAL
Subscription Levels for Recycling Containers
Frequency of Collections per Week Additional
Pick Up
Subscription Levels for Trash Containers
Commercial/MFD Year-One Proposed Rates
This subscription level were provided by the existing franchise hauler. Each Proposer must review
and proposed projected subscription levels based on their own program/technology expectations.
ENTER PROPOSER NAME
City of Diamond Bar
23 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 402
Proposer:
Option:
QRSTUVW X
123456
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Solid Waste Bins==>$0.00
123456
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Solid Waste Compactors==>$0.00
123456
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Recycling Material==>$0.00
Frequency of Collections per Week Additional
Pick Up
Total
Commercial/MFD Year-One Proposed Rates
ENTER PROPOSER NAME
RESIDENTIAL
THIS WORKSHEET WILL SELF-POPULATE - NO INPUT NECESSARY!!!!
Total
Proposed 1st Year Monthly Rate Revenue for Trash Compactors
Proposed 1st Year Monthly Rate Revenue for Recycling Containers
Frequency of Collections per Week Additional
Pick Up
Total
Additional
Pick Up
Frequency of Collections per Week
Proposed 1st Year Monthly Rate Revenue for Trash Containers
City of Diamond Bar
24 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 403
ABCDEFGH
Only populate green colored cells. Avoid overwriting aqua colored cells.
123456
28 70 Gal Cart $46.81 $93.61 $140.42 $187.22 $234.03 $280.84 $0.00
29 98 Gal Cart $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
30 2 cubic yard - 1st bin $109.74 $180.35 $0.00 $0.00 $0.00 $0.00 $0.00
31 2 cubic yard - each addl $98.77 $162.31 $0.00 $0.00 $0.00 $0.00 $0.00
32
123456
33 Scout Service $78.66 $187.41 $281.41 $374.83 $468.53 $562.23
34 Container Lock Charge $13.66
35 Enclosure Lock Charge
36 Pull-out Exceeding 25 feet
37 Sunday Service - Each Service
38 Valet Service for Carts $6.00
39
40
NOTES
1
2
3
Proposed Monthly Rates for Other Services
Row Service Type
Frequency of Collections per Week Additional
Pick Up
Row Container Type/Size
Frequency of Collections per Week Additional
Pick Up
Proposed Monthly Rates for Organics Containers
City of Diamond Bar
25 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 404
IJKLMNOP
123456
0.0
0.0
0.0
0.0
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
123456
Subscription Levels for Other Services
Frequency of Collections per Week Additional
Pick Up
Total
Subscription Levels for Organics Containers
Frequency of Collections per Week Additional
Pick Up
Total
City of Diamond Bar
26 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 405
QRSTUVW X
THIS WORKSHEET WILL SELF-POPULATE - NO INPUT NECESSARY!!!!
123456
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Organic Material==>$0.00
123456
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00
Subtotal Monthly Rate Revenue for Other Services==>$0.00
0.00
0.00
Proposed 1st Year Monthly Rate Revenue for Other Services
Frequency of Collections per Week Additional
Pick Up
Total
Total Proposed Monthly Rate Revenue==>
Total Proposed Annual Rate Revenue==>
Frequency of Collections per Week Additional
Pick Up
Total
Proposed 1st Year Monthly Rate Revenue for Organics Containers
City of Diamond Bar
27 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 406
Proposer:
Option:
ABCDEF
Row Container Size/Type Customer
Rate
Service
Count
Estimated Rate
Revenue
Roll-Off Box Hauling Service
1 Roll off boxes and compactors (all sizes). Includes delivery
and removal.per haul # of pulls $0
3 Subtotal Roll-Off Service 0.0 # of pulls $0
Roll-Off Disposal/Processing & Other Fees
5 Solid waste processing (MRF) 1 per ton # of tons $0
9 C&D processing 2 per ton # of tons $0
10 Redelivery/Return trip/Dry run per event # of events $0
11 Daily rental after 7 days with no dump per day # of days $0
12 Relocation fee per event # of events $0
13 per event # of events $0
14 Subtotal Roll-Off Disposal/Processing 0.0 $0
15 Total Roll-Off Revenue $0
Temporary Bin
16 3YD Bin - deliver, pickup and one dump per event # of events $0
17 3YD Bin additional dump per event # of events $0
18 6YD Bin - deliver, pickup and one dump per event # of events $0
19 6YD Bin additional dump per event # of events $0
20 Daily rental after 7 days Per Day # of Days $0
MFD Bulky Item Collection
21 Bulky Item Pickup - beyond four (4) pickup collection
events per year.Per event # of events $0
24 Total Annual Rate Revenue $0
NOTES
1 State percentage recovery minimum in proposal.
2 75% minimum diversion.
Form 2.3: Roll-Off & On-Call Service Year-One Proposed Rates
ENTER PROPOSER NAME
Instructions: Enter proposed rates for roll-box and compactor service, disposal and processing, temporary bins service and
bulky item collection in column B and assumed service subscriptions in column D.
Only populate green colored cells. Avoid overwriting aqua colored cells.
RESIDENTIAL
City of Diamond Bar
28 Prepared by Sloan Vazquez McAfee
1/4/2024
7.2.a
Packet Pg. 407
Proposer:Option:ABCRow
DescriptionFee1 Bin cleaning
City of Diamond Bar, California Attachment 8. Proposal Outline
RFP for Solid Waste Services May3, 2023 Page1
PROPOSAL OUTLINE
Proposers must follow the outline below when completing their proposals. Under each section, proposer
must include all information as outlined below, including all subheadings and subsections as identified in
RFP Section 5 – Submittal Requirements.
General Requirements
i. Title Page
ii. Cover Letter
iii. Table of Contents
2. Proposer Overview
1. Business Structure
2. Proposer’s Experience
3. Key Personnel Qualifications
4. Proposer’s Past and Pending Litigation
5. Financial Information
6. Insurance
3. Proposal for Solid Waste Services
1. Collection Services Approach
2. Customer Service Center
3. Implementation Plan
4. AB 341, AB 1826, and SB 1383 Implementation Plan
5. Food and Rescue Donation Program
6. Organics Waste Recycling Program
7. Recyclable Materials
8. Procurement of Received Organic Waste Products
9. Proposed Operation Facilities
10. Proposed Disposal, Transfer, and Processing Facilities
4. Displaced Employee Retention
5. Exceptions to the Agreement
6. Rate Proposals
1. Residential Sector Rate Proposal
2. Commercial Sector Rate Proposal
3. City-Wide Rate Proposal
4. Alternative Rate Proposal(s)
7. Proposer Code of Conduct
7.2.a
Packet Pg. 409
Subject: City of Diamond Bar RFP Addendum #1 - June 12, 2023
From: Enrique Vazquez <enrique@sloanvazquez.com>
Date: 6/12/2023, 3:16 PM
To: "Quiroa, Lily" <LQuiroa@wm.com>, David Perez <DavidPerez@zerepmanagement.com>, Jesse Quintana
JesseQuintana@zerepmanagement.com>
CC: 'Alfa Lopez' <ALopez@DiamondBarCA.Gov>
Lily Quiroa - WM,
David Perez - VVS,
Aached is addendum #1 to the RFP. It includes the following;
1. Dra Franchise Agreement: Aachment 1
2. The Rate Adjustment Procedure is now included in the Dra Agreement.
3. Updated RFP: Changes in the RFP mostly reflect updated references to secons of the franchise
agreement. A version of enre RFP with the updates shown in track changes is also included.
4. An updated RFP schedule.
The deadline to submit quesons is now July 10, 2023 by 5:00 p.m. If you've already submied
quesons you are welcome to submit addional quesons. All quesons already submied will be
responded to in wring.
Please acknowledge receipt of this addendum.
Thank you all for your parcipaon.
Regards,
Enrique Vazquez
Sloan Vazquez McAfee
626-347-3226
www.sloanvazquez.com
Aachments:
DB RFP Addendum #1.pdf 253 KB
DB RFP Addendum #1-Enre RFP.pdf 492 KB
Diamond Bar Dra Agreement.docx 350 KB
Exhibit 2A Rate Adjustment Procedure -SFD Carts.pdf 167 KB
Exhibit 2B Rate Adjustment Procedure -Bins.pdf 167 KB
Exhibit 2C Rate Adjustment Procedure -Roll-Off Boxes.pdf 144 KB
Exhibit 2D Rate Adjustment Procedure -Other.pdf 123 KB
Exhibit 2E Example Index Calculaon.pdf 154 KB
Exhibit 6 Corporate Guaranty.pdf 147 KB
7.2.a
Packet Pg. 410
Exhibit 7 - Contractor's Faithful Performance Bond.pdf 95.8 KB
Rate Adjustment Procedure.xlsx 34.3 KB
7.2.a
Packet Pg. 411
City of Diamond Bar, California Addendum #1
RFP for Solid Waste Services June 12, 2023 Page 1
REQUEST FOR PROPOSALS
FOR
SOLID WASTE SERVICES
ADDENDUM #1
Issued by
Prepared by:
3002 Dow Avenue, Suite 116, Tustin, CA 92780
Office: 866.241.4533
info@sloanvazquez.com · www.sloanvazquez.com
Contact: Enrique Vazquez
enrique@sloanvazquez.com
626-347-3226
June 12, 2023
7.2.a
Packet Pg. 412
City of Diamond Bar, California Addendum #1
RFP for Solid Waste Services June 12, 2023 Page 2
THIS ADDENDUM #1 ISSUED JUNE 12, 2023 REFLECTS THE FOLLOWING UPDATES:
1) Updated RFP: The references in the RFP have been updated to reflect the final structure of the
Draft Franchise Agreement.
To facilitate locating the specific updates made to the RFP, the original RFP version with tracked
changes is included with this Addendum #1.
2) Updated Schedule: The RFP schedule has been updated to allow adequate time to respond to
the RFP.
3) Attachment #1: The Draft Franchise Agreement is included as Attachment 1.
4) Attachment #7: The Rate Adjustment Methodology has been included in the Draft Franchise
Agreement Article 10 and Exhibit 2.
SUMMARY OF UPDATES
Table 1 has been updated to reflect the updated schedule as follows:
Table 1 – Updated RFP Schedule
Note: The City reserves the right to modify this schedule as needed.
Milestones Date
City issues RFP May 3, 2023
Mandatory pre-proposal meeting at 10:00 a.m. May 10, 2023
Distribution of Addendum #1 June 12, 2023
Deadline to submit written questions by 5 p.m. July 10, 2023
Distribution of Addenda July 20, 2023
Proposals Due no later than 4 p.m. August 30, 2023
Option to Release RFP to Public October 19, 2023
Evaluation Results Reported to City Council December 20, 2023
Final Selection and Approval January 16, 2023
Contractor commences providing services September 1, 2025
7.2.a
Packet Pg. 413
City of Diamond Bar, California Addendum #1
RFP for Solid Waste Services June 12, 2023 Page 3
The attachments under Section 2: Background Information now includes the following;
x Attachment 1 is the Draft Agreement.
x Attachment 7 This attached has been rescinded. The Rate Adjustment Methodology is now
included in the Draft Franchise Agreement.
The following reflect other updates in the RFP including updated references to the draft agreement to
reflect the final structure of the Draft Franchise Agreement and a change in the RNG use in Vehicles.
SECTION 3: C&D DEBRIS SERVICES.
All loads of mixed C&D debris shall be delivered to a processing facility to meet all requirements
described in draft Agreement Section 3.75.2.4. Contractor shall divert from landfilling a minimum of 75%
or the State-mandated Construction and Demolition diversion percentage, whichever is greater, of all
Construction and Demolition Debris Collected.
SECTION 3: CITY COLLECTION SERVICES:
City Facilities Collection: Collect and dispose of all refuse, recyclables, and organics generated and
accumulated at premises owned and/or operated by the City at no additional charge (including e-waste,
and construction and demolition debris) and in compliance with AB 341, AB 1826, and SB 1383. Such
premises include, but are not limited to, offices, parks, and street maintenance operations. See
Attachment 4 for the current list of facilities and service levels.
These facilities and service levels may vary over the term of the new agreement, with no increase in
compensation for additional collection services. (Refer to draft Agreement Section 3.73.8.)
SECTION 3: KEY CONTRACT TERMS
Environmental Coordinator: To achieve a high level of recycling public education and awareness, the
Contractor shall designate an Environmental Coordinator to the City to complete outreach to SFD, MFD
and Commercial customers, and develop and implement all public education and outreach activities
required under the Agreement. The Recycling Coordinator shall conduct outreach, promote waste
reduction, recycling, diversion programs, and provide technical assistance to Multi-family and
Commercial Customers. The Environmental Coordinator shall not be the primary Contractor liaison
described in draft Agreement Section 7.16B4.4.9.
SECTION 3: INSURANCE
The selected Contractor is required to maintain minimum insurance levels. See draft Agreement Section
11.8 Article 9 for the minimum limits of insurance for general liability, automobile liability, and workers
compensation.
7.2.a
Packet Pg. 414
City of Diamond Bar, California Addendum #1
RFP for Solid Waste Services June 12, 2023 Page 4
SECTION 3: COLLECTION VEHICLE REQUIREMENTS
Contractor’s collection vehicles shall be not older than two-years and in like-new condition upon
initiation of services under the Agreement, no more than 10 years of age during the initial term of the
Agreement and no older than 15-years in age during any future extensions of the Agreement, and
comply with Department of Transportation, South Coast Air Quality Management District and the
California Air Resource Board requirements. Contractor’s collection vehicles must use only renewable
natural gasgas alternative fuel. See draft Agreement Section 4.2.2.D3.10.4. Proposers must address their
ability to assist the City comply with SB 1383 RNG procurement obligations with the use of RNG
powered collection vehicles.
SECTION 3: FEES
Franchise Fee: Contractor shall pay a Franchise Fee that is commensurate with the value to be received
by Contractor in receiving the exclusive right to provide the service set forth herein. The City concludes
that a reasonable and appropriate amount for the benefits provided should be a minimum of Four-
Hundred Ten-Thousand Dollars, ($410,000), in the first year. This payment to the City shall be referred
to as a Franchise Fee and its percentage will be calculated according to estimated gross receipts from
customers as shown in Form 2.0 Rate Revenue from Attachment 6 Rate Proposal Forms. (See draft
Agreement Section 97.1). Should the City issue separate franchises for Residential and Commercial
services, the commercial franchise fee shall be a minimum of One-Hundred Twenty-Three Hundred
Dollars ($123,000) and the residential franchise fee shall be a minimum of Two-Hundred Eighty-Seven
Thousand Dollars ($287,000).
CALRECYCLE Compliance Fee: Contractor shall pay to the City a CalRecycle Compliance Fee of Seven-
Hundred Fifty Thousand Dollars ($750,000) adjusted annually as described in draft Agreement Section
97.2 and 9.77.6. The CalRecycle Compliance Fee amount represents a reasonable allocation of the City’s
budgeted costs to comply with State mandates resulting from the enactment of AB 939 and subsequent
related legislation including, but not limited to: AB 2176 (Chapter 879, Statutes of 2004), SB 1016
Chapter 343, Statutes of 2008), AB 341 (Chapter 476, Statutes of 2011), AB 1826 (Chapter 727, Statutes
of 2014), and SB 1383 (Chapter 395, Statutes of 2016) which require jurisdictions to implement solids
waste Collection programs, meet Processing facility requirements, conduct contamination monitoring,
provide education, maintain records, submit reports, monitor compliance, conduct enforcement, and
fulfill other requirements. Should the City issue separate franchises for Residential and Commercial
services, each franchisee shall pay a minimum CalRecycle fee of Three-Hundred Seventy-Five Thousand
Dollars ($375,000).
Residential Vehicle Impact Fee: Contractor shall pay to the City an annual Vehicle Impact Fee of One-
Hundred Seventy-Five Thousand Dollars ($175,000) adjusted annually as described in draft Agreement
Section 9.47.3 and 9.77.6. The Residential Vehicle Impact Fee is to reimburse the City for costs to
provide road maintenance to City’s streets due to “wear and tear” caused by the use of Contractor’s
Solid Waste Collection vehicles on City Streets. Should the City issue separate franchises for Residential
and Commercial services, only the residential franchisee shall pay the Residential Vehicle Impact Fee.
7.2.a
Packet Pg. 415
City of Diamond Bar, California Addendum #1
RFP for Solid Waste Services June 12, 2023 Page 5
Residential Street Sweeping Fee: Contractor shall pay to the City an annual Street Sweeping Fee of One-
Hundred Seventy-Five Thousand Dollars ($175,000) adjusted annually as described in draft Agreement
Section 9.57.4 and 9.77.6. The Residential Street Sweeping Fee is to reimburse the City for the cost of
sweeping residential streets. Should the City issue separate franchises for Residential and Commercial
services, only the residential franchisee shall pay the Residential Street Sweeping Fee.
SECTION 3: CUSTOMER RATE ARRANGEMENTS
The rate schedules establish the maximum rates that may be charged. Initial rates will be set based on
the rates proposed in Attachment 6. The rates will thereafter be adjusted using a rate adjustment
procedure described in Article 108 of the draft Agreement. The first rate adjustment is effective July 1,
2026.
SECTION 5: 2.4 PROPOSER’S PAST AND PENDING LITIGATION
List all civil or misdemeanor or felony criminal court or administrative filings by and/or against California
government agencies that are currently pending and/or that have been filed, settled or otherwise
received a disposition within the last ten years that relate to the provision of solid waste service listing
the names of the parties, the case number, and a brief description of the case and disposition, if any.
This paragraph is applicable to the following persons and entities:
x The key personnel
x The owners and officers of the company
x The entity submitting the proposal; and/or,
x Any parent or affiliated company for actions filed in the State of California (For affiliates,
proposer may limit disclosures of non-criminal matters to those in the Los Angeles County.
x Any strategic partners or subcontractors identified in RFP.
x Include the resolution and current status of each civil legal action.
Note: The term "affiliate" as used in this RFP is defined in Article Section 1.1 of the Agreement.
SECTION 5: 2.6 INSURANCE
Proposer must submit evidence that the proposer either has, or is able to obtain, the insurance
coverage required in the draft Agreement Section 11.89.
SECTION 5: 3.1 COLLECTION SERVICES APPROACH
x Container requirements are described in draft Agreement Section 7.104.3. Proposer shall supply
complete technical data and manufacturing specifications on the specific cart, bins and Drop
Boxes being used.
7.2.a
Packet Pg. 416
REQUEST FOR PROPOSALS
FOR
SOLID WASTE SERVICES
Updated to Reflect Addendum #1
July 12, 2023
Issued by
Prepared by:
3002 Dow Avenue, Suite 116, Tustin, CA 92780
Office: 866.241.4533
info@sloanvazquez.com · www.sloanvazquez.com
Contact: Enrique Vazquez
enrique@sloanvazquez.com
626-347-3226
Original Issue Date: May 3, 2023
7.2.a
Packet Pg. 417
City of Diamond Bar, California Table of Contents
RFP for Solid Waste Services May 3Updated July 12, 2023
Page ii
tABLE OF cONTENTS
SECTION 1 - INTRODUCTION ............................................................................................................... 1
Overview of Request for Proposal ................................................................................................... 1
Proposal Clarifications and Updates ................................................................................................ 1
City Goals and Objectives ............................................................................................................... 2
Organization of RFP ........................................................................................................................ 2
RFP Schedule .................................................................................................................................. 3
SECTION 2 - BACKGROUND ................................................................................................................. 4
Background Information ................................................................................................................. 4
Service Data ................................................................................................................................... 4
Term of New Agreement or Agreements ......................................................................................... 4
SECTION 3 - SCOPE OF REQUIRED SERVICES ........................................................................................ 5
Single-Family Dwelling (SFD) Solid Waste Services ........................................................................... 5
Commercial Solid Waste Services (Including Multifamily Premises of 5 or more units) ..................... 7
C&D Debris Collection Services ....................................................................................................... 8
City Solid Waste services ................................................................................................................ 9
Key Contract Terms ...................................................................................................................... 10
SECTION 4 - RFP POLICIES, CONDITIONS, AND PROCESS .................................................................... 15
Rights Reserved by the City .......................................................................................................... 15
General RFP Requirements ........................................................................................................... 15
Code of Conduct ........................................................................................................................... 16
Proposal Submittal Requirements ................................................................................................. 16
Limits on Disclosure of Proposals .................................................................................................. 19
SECTION 5 - SUBMITTAL REQUIREMENTS .......................................................................................... 21
Proposal Outline .......................................................................................................................... 21
1. General Requirements ...................................................................................................... 21
2. Proposer OVerview .......................................................................................................... 21
3. Proposal for Solid Waste Services ..................................................................................... 24
4. Displaced Employee Retention ......................................................................................... 28
5. Exceptions to the Agreement ............................................................................................ 28
7.2.a
Packet Pg. 418
City of Diamond Bar, California Table of Contents
RFP for Solid Waste Services May 3Updated July 12, 2023
Pageiii
6. Rate Proposals ................................................................................................................. 28
7. Proposer Code of Conduct and Non-Collusion Affidavit ..................................................... 29
SECTION 6 - PROPOSAL EVALUATION PROCESS ................................................................................. 30
Proposal Evaluation Criteria.......................................................................................................... 31
AWARD ........................................................................................................................................ 33
LIST OF ATTACHMENTS .................................................................................................................... 34
ATTAHCMENT 1: DRAFT AGREEMENT
ATTACHMENT 2: PROPOSER CODE OF CONDUCT AND NON-COLLUSION AFFIDAVID
ATTACHMENT 3: SERVICE DATA
ATTACHMENT 4: CURRENT RATES
ATTACHMENT 5: CITY FACILITIES
ATTACHMENT 6: RATE PROPOSAL FORMS
ATTACHMENT 7: RATE ADJUSTMENT METHODOLOGY
ATTACHMENT 8: PROPOSAL OUTLINE
LIST OF TABLES
Table 1 – RFP Schedule ................................................................................................................................. 3
7.2.a
Packet Pg. 419
City of Diamond Bar, California Section 1. Introduction
RFP for Solid Waste Services May 3Updated July 12, 2023
Page1
SECTION 1 - INTRODUCTION
OVERVIEW OF REQUEST FOR PROPOSAL
The City of Diamond Bar (City) is soliciting proposals from Waste Management and Valley Vista Services
to provide solid wastes services to include the collection, transportation, recycling, processing, and
disposal of solid waste.
Currently, solid waste services are provided under a Residential Cart Customer Franchise Agreement
with Waste Management (WM) and a Commercial Bin and Roll-Off Box Franchise Agreement with Valley
Vista Services (VVS).
WM provides collection services to residential premises that receive residential collection using carts
and for temporary roll-off box and temporary bin collection service for cleanup or construction work
performed at residential customers to whom WM provides collection service using carts. Temporary
collection service for the construction of new residences, and all work on commercial premises, and
residential premises that receive collection service using bins, are excluded from WM’s franchise
agreement.
VVS provides collection services to commercial premises and all residential premises that receive
collection using bins and including temporary bin and temporary roll-off box collection service with the
exclusion of residential premises that receive collection service using carts.
By issuing this Request for Proposals (RFP) for solid waste services, the City is competitively procuring
franchised solid waste services. VVS and WM are exclusively invited to present a proposal to provide
solid waste service to their respective service area under the existing franchise agreements as well as a
proposal to provide City-wide solid waste services including residential, commercial, and permanent roll-
off and on-call services. Should the City determine that proposals received from VVS and WM are
inadequate to meet the City desired goals, the City reserves the right to invite additional proposers prior
to making a final decision in the selection of a contractor or contractors.
A key point of reference is the Draft Solid Waste Services Franchise Agreement (Agreement) included as
Attachment 1. The Agreement provides definitions, contract terms, and conditions, including a complete
description of the services to be provided. If there are differences between this RFP and the Agreement,
the terms and conditions in the Agreement shall prevail.
PROPOSAL CLARIFICATIONS AND UPDATES
Proposers wishing to receive answers to questions and other RFP addenda must register by providing
contact name, company name, address, e-mail address, and phone number via email to
DiamondBarRFP@sloanvazquez.com. All Questions regarding this RFP shall be submitted to the City’s
7.2.a
Packet Pg. 420
City of Diamond Bar, California Section 1. Introduction
RFP for Solid Waste Services May 3Updated July 12, 2023
Page2
Consultant to DiamondBarRFP@sloanvazquez.com (see RFP Section 5 – Proposal Submittal
Requirements.)
Only written responses will govern. Written questions may not be accepted after the date shown in the
schedule in Table 1. However, simple questions regarding how to complete submittal forms or
otherwise complete the proposal requirements, may be submitted via email until the proposal due date.
CITY GOALS AND OBJECTIVES
The City’s goals and objectives for the RFP process and future collection services are as follows:
INTEGRITY, COMPETITION IN SELECTION PROCESS, AND CONTRACT TERMS CONSISTENT WITH
CALRECYCLE COMPLIANCE REQUIREMENTS
x Conduct the RFP process with integrity and transparency.
x Stimulate competition among proposing companies.
x Set high performance standards.
x Ensure value for ratepayers.
x Enter into a contract with fair terms and conditions.
QUALITY, HIGH-VALUE PROGRAMS
x Consistent, reliable, and quality service.
x Efficient service delivery that provides a strong value to the ratepayers.
x Responsive customer service system.
x Well-planned and professionally executed transition to any new programs and services.
x Quality outreach and education.
x Effective diversion programs to ensure compliance with regulations.
ORGANIZATION OF RFP
This RFP is organized into six sections as follows:
x Section 1 provides a brief introduction to the RFP.
x Section 2 provides background information.
x Section 3 presents the scope of required services.
x Section 4 provides the RFP policies, conditions, and process.
x Section 5 describes the RFP submittal requirements.
x Section 6 outlines the proposal evaluation process.
7.2.a
Packet Pg. 421
City of Diamond Bar, California Section 1. Introduction
RFP for Solid Waste Services May 3Updated July 12, 2023
Page3
RFP SCHEDULE
The key activities and completion dates for the RFP process are provided in Table 1.
Table 1 – RFP Schedule
Note: The City reserves the right to modify this schedule as needed.
Milestones Date
City issues RFP May 3, 2023
Mandatory pre-proposal meeting at 10:00 a.m. May 10, 2023
Distribution of Addendum #1 June 12, 2023
Deadline to submit written questions by 5 p.m. May 24July 10, 2023
Distribution of Addenda May 31July 20, 2023
Proposals Due no later than 4 p.m. June 19August 30, 2023
Option to Release RFP to Public August 6October 19, 2023
Evaluation Results Reported to City Council October 9December 20, 2023
Final Selection and Approval
November 14January 16,
2023
Contractor commences providing services September 1, 2025
7.2.a
Packet Pg. 422
City of Diamond Bar, California Section 2. Background
RFP for Solid Waste Services May 3Updated July 12, 2023
Page4
SECTION 2 - BACKGROUND
BACKGROUND INFORMATION
The information presented in this section and the related Attachments listed below are for
informational purposes only. Each proposer should take whatever steps it believes are necessary to
determine the actual service requirements of the City and understand service conditions when
preparing a proposal. The following is a list of Attachments providing reference information for
proposers (Attachments 2 and 6 are for completion and submittal with the proposal):
x Attachment 1 is the Draft Agreement.
x Attachment 2 is the Proposer Code of Conduct and Non-Collusion Affidavit.
x Attachment 3 provides Service Data.
x Attachment 4 provides Current Rates for solid waste services.
x Attachment 5 provides a list of City Facilities.
x Attachment 6 provides the Rate Proposal Forms.
x Attachment 7 provides Rate Adjustment Methodology.
x Attachment 8 provides the Proposal Outline.
SERVICE DATA
Service data including a description of the service area, rate revenue, tonnage collected, units serviced
and the most recent rates effective July 1, 2022, are shown in Attachment 3.
TERM OF NEW AGREEMENT OR AGREEMENTS
The initial term of the new agreement is ten (10) years. City may, in its sole discretion, authorize an
extension of up to twenty-four (24) months prior to the expiration of the initial term of the agreement.
The City anticipates exercising its option to extend the current Agreements for an additional twenty-four
24) months setting their expiration to August 31, 2025. The new Agreement(s) will take September 1,
2025.
7.2.a
Packet Pg. 423
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page5
SECTION 3 - SCOPE OF REQUIRED SERVICES
This section provides a brief description of the services solicited through this RFP. The Agreement
provides the detailed scope of services. The Agreement is included as Attachment 1. The Agreement
provides definitions, contract terms and conditions, performance standards, including a complete
description of the services required by the City. If there are differences between this RFP and the
Agreement, the terms and conditions in the Agreement shall prevail.
SINGLE-FAMILY DWELLING (SFD) SOLID WASTE SERVICES
Under the current agreements, residential solid waste service includes services to residential premises
that receive solid waste services using carts but excludes temporary solid waste collection services for
construction of new residences, and all work on commercial premises, and residential premises that
receive collection services with bins which are addressed under the commercial solid waste services
agreement.
Under this RFP, residential solid waste service includes services to single-family dwellings (SFD) and
multi-family dwellings (MFD) of less than five units regardless of container size, type (cart, bin, roll-off
box) required for service, including roll-off services, permanent, temporary, and on-call, and on-call
clean-up bins. MFDs of five or more units are included under commercial solid waste services.
Refer to draft Agreement Section 3.2 for a complete description of service requirements for Residential
services.
Standard Cart Service: Standard cart service will be the weekly, automated collection of refuse,
recycling, and organics. The default cart size for each waste stream shall be 64-gallons. Customers may
request different size carts for each waste stream. Carts shall be offered in 35, 64, and 96-gallon cart
sizes. The monthly rate shall be based on the refuse cart size. Recycling and organics carts shall be
collected on the same day as refuse collection.
Additional refuse carts beyond one may be requested for an additional monthly fee. Customers may
request a second recycling cart at no additional charge. Additional recycling carts beyond two are
subject to an additional monthly fee. Customers may request a second organics cart at no additional
charge. Additional organics carts beyond two are subject to an additional monthly fee.
MFDs of Less Than Five Units: MFDs of less than five may be provided solid waste services (refuse,
recycling, and organics collection) using carts or bins as appropriate for the conditions, requirements,
and needs of the customer.
Refuse Cart Overage: Provide two annual pickups per calendar year and an end-of-year pickup for
refuse that would otherwise be placed in the refuse cart but excluding bulky items, at no additional
charge. Each annual pickup may consist of up to the equivalent of three (3) large bags, boxes, or barrels
7.2.a
Packet Pg. 424
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page6
of refuse. End-of-year pickup of all additional refuse that is placed out for collection in the customer's
own containers (bags, boxes, barrels, etc.) for two weeks beginning each December 26. Contractor may
charge an additional fee per pickup of all refuse that does not fit in the refuse cart(s) beyond the free
pickups.
Backyard Service: Provide backyard service defined as retrieving for collection all carts, green waste
bundles and cart overages from a customer's designated collection location, other than curbside, such
as backyard, side yard, or driveway, and returning empty carts and other containers to their original
location. Backyard service is subject to an additional charge.
Backyard Service for the Disabled: Provide backyard service at no additional charge to any customer
who is legally or medically recognized as disabled. See RFP Section 3 – Residential Rate Arrangements).
Temporary Roll-Off and Temporary Bin Service: Provide temporary roll-off box and temporary bin
service upon customer request for cleanup or construction.
On-Call Bulky Item: Provide bulky item pickup service to all SFD and MFD. Each Dwelling Unit shall be
entitled to four bulky item pickups per calendar year at no additional charge. Customers may put out up
to three (3) cubic yards of material at each pickup. Bulky item collections that exceed the number of free
pickups may be subject to an additional charge.
Door-to-Door HHW Collection: Provide SFD and MFD customers with door-to-door call-in HHW
collection. Each Dwelling Unit shall be entitled to two door-to-door Residential HHW pickups per
calendar year at no additional charge. Items to be collected include, at a minimum: paint and paint
products including but not limited to thinners, glues, caulking, stains, wood preservatives and strippers;
universal waste, household cleaners; automotive wastes; swimming pool chemicals; garden chemicals;
fluorescent tubes; thermometers; and household batteries. Contractor may direct residential customers
to use the bulky item pickup option for televisions, computers and other HHW that may safely and
legally be collected as bulky items.
Annual Household Hazardous Waste Event: Assist the City in increasing awareness of Household
Hazardous Waste events by promoting the Los Angeles County Household Hazardous Waste collections
held in Diamond Bar. Promotional activities will include posting on contractor’s website, inclusion in the
annual brochures/ mailings mailed to each Customer, billing inserts, social media targeted outreach, and
press releases to local news outlets.
Curbside Used Oil and Oil Filter Collection: Collect used oil placed curbside beside solid waste container
on regular collection day at no additional charge. Educate customers to place used oil in clean
containers and used oil filters in clean zip-lock bags.
Sharps Mail Back Program: Operate a mail-based program and/ or a drop-off program for the safe
processing of Sharps generated by its customers. Upon request, Sharps containers will be delivered
directly to residential customers at no cost to the customer or City. Contractor will make arrangements
7.2.a
Packet Pg. 425
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page7
with pharmacies and/ or other locations throughout the City for residents to drop-off Sharps at no cost
to the Customer or City.
Medication Takeback Program: Assist the City in increasing awareness of medication takeback
programs provided by the Los Angeles County Sheriff's station and any third-party events held in
Diamond Bar. Promotional activities will include posting on contractor’s website, inclusion in the annual
brochures/mailings mailed to each residential customer, billing inserts, social media targeted outreach,
and press releases to local news outlets.
FreeCycle.com: Contractor will publicize to residential customers its free materials exchange/ gifting
program, known as FreeCycle.org, and shall promote FreeCycle.org on Contractor's website, and the
annual brochure/mailings.
Annual Holiday Tree Recycling Collection: Provide collection of holiday trees from December 26
through the second Sunday in January.
Compost Giveaway: Distribute coupons through quarterly billings entitling residential customers to
receive two bags of compost per event at two community events per year to be identified by City.
COMMERCIAL SOLID WASTE SERVICES (INCLUDING MULTIFAMILY PREMISES OF
5 OR MORE UNITS)
Under the current agreements, commercial solid waste service includes services to commercial premises
and residential premises that receive solid waste services using bins, including temporary bin and
temporary roll-off box collection service with the exclusion of residential premises that receive solid
waste services using carts. Under this RFP, commercial solid waste services include services to
commercial premises and MFDs of five or more units regardless of the container size and type (cart, bin,
roll-off box) required for service, including roll-off services, permanent, temporary, and on-call clean-up
bins. MFDs of less than five units are included under residential solid waste services.
Refer to draft Agreement Section 3.3 for a complete description of service requirements for commercial
and MFDs.
Refuse Collection: Provide refuse collection using bins or carts as frequently as scheduled by the
customer, but not less than once per week and more frequently if required to handle the solid waste
generated at the premises where the bins are located.
Recycling Collection: Provide source-separated recycling collection using bins or carts as to all locations
that are required to subscribe to organics collection by AB 341. Recycling services shall be provided at a
rate not to exceed 50% of the equivalent refuse rate for similar container sizes and service frequency.
Organics Collection: Provide source separated organics collection using bins or carts to all locations that
are required to subscribe to recycling collection by AB 1826 and SB 1383. Organics services shall be
7.2.a
Packet Pg. 426
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page8
provided at a rate not to exceed the equivalent refuse rate for similar container sizes and service
frequency.
Bin Pushout Service: Provide pushing or rolling containers to the point of collection to locations that
require such service at no additional charge.
Scout Service: Offer scout service by using a small vehicle either to move containers to street or other
public right-of-way for Collection.
Locking Bins: Provide the hasp and lock and service the lock.
Permanent Roll-Off Box Service: Rates shall be charged as "pull plus dump", a set rate for the service
component plus the per ton charge based on actual tonnage collected.
Temporary Roll-Off and Temporary Bin Service: Provide temporary roll-off box and temporary bin
service upon customer request for cleanup or construction. Contractor must deliver a temporary roll-off
box within forty- eight (48) hours of request (Saturdays and Sundays excluded).
Temporary Bin Service: Rates shall be charged as “bin delivery/pickup plus one dump.” Additional
charges may include, additional dump, and rental fee after seven (7) days with no dump or bin pickup.
Contractor must deliver a temporary bin within forty- eight (48) hours of request (Saturdays and
Sundays excluded).
On-Call Bulky Item: Provide bulky item pickup service to MFDs. Each dwelling unit is allowed up to four
bulky item pickups per calendar year at no additional charge. Customers may put out up to three (3)
cubic yards of material at each pickup. Bulky item collections that exceed the number of free pickups
may be subject to an additional charge.
Electronic Waste: For MFD, E-Waste will be collected as bulky items.
Door-to-Door HHW: Provide MFDs door-to-door call-in HHW collection service to each dwelling unit at
no additional charge. Items to be collected include, at a minimum: paint and paint products including
but not limited to thinners, glues, caulking, stains, wood preservatives and strippers; universal waste,
household cleaners; automotive wastes; swimming pool chemicals; garden chemicals; fluorescent tubes;
thermometers; and household batteries. Televisions, computers and other HHW may be collected as
bulky items when safe and legal to do so.
Annual Holiday Tree Recycling: Provide MFD’s collection of holiday trees from December 26 through
the second Sunday in January.
C&D DEBRIS COLLECTION SERVICES
All loads of mixed C&D debris shall be delivered to a processing facility to meet all requirements
described in draft Agreement Section 3.75.2.4. Contractor shall divert from landfilling a minimum of 75%
7.2.a
Packet Pg. 427
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page9
or the State-mandated Construction and Demolition diversion percentage, whichever is greater, of all
Construction and Demolition Debris Collected.
CITY COLLECTION SERVICES
City Facilities Collection: Collect and dispose of all refuse, recyclables, and organics generated and
accumulated at premises owned and/or operated by the City at no additional charge (including e-waste,
and construction and demolition debris) and in compliance with AB 341, AB 1826, and SB 1383. Such
premises include, but are not limited to, offices, parks, and street maintenance operations. See
Attachment 4 for the current list of facilities and service levels.
These facilities and service levels may vary over the term of the new agreement, with no increase in
compensation for additional collection services. (Refer to draft Agreement Section 3.73.8.)
City-Sponsored Events: Provide refuse, recyclables, and organics collection using carts, bins, roll-off
boxes, cardboard boxes with liners, or other such containers at no charge at City–sponsored events.
These events and service levels may vary over the term of the new agreement, with no increase in
compensation for additional collection services.
Should the City select separate contractors for the residential and commercial sectors, the City intends
to alternate events between the two contractors with no guarantee that events will be evenly
distributed based upon either level of effort or number of events.
City-sponsored events include, but are not limited to:
x Concerts in the Park
x City Birthday Celebration
x Fourth of July
x Fall Fun Festival
x Winter Snow Festival
x Arbor Day
x Easter Egg Hunt
Abandoned Item Collection: Provide collection of bulky waste abandoned in the City right-of-way or
other public property within contractor’s service at no additional charge, within one business day of
notification from City. Contractor will not be required to Collect Hazardous Waste, liquid wastes, or
automobile parts that are individually too large for Collection by two people. City will contact either the
residential or commercial franchisee to provide this service, depending on the location of the
abandoned item.
7.2.a
Packet Pg. 428
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page10
Community Development Review Services: Review building permit applicants' plans and advise
regarding adequacy of container storage space and access, particularly to accommodate recycling and
organics containers upon the City’s request and at no additional charge to the City.
Large Venue Event Assistance, Event Recycling: Assist planners of large venue events with reporting
and planning needs as may be useful in meeting the requirements of AB 2176, found at California Public
Resources Code 42648, et seq. at no additional charge. Contractor shall provide recycling and organics
collection services upon request to special event planners.
Confiscation of Unauthorized Containers: Confiscate illegal containers located within the City's public
rights-of-ways, upon notification from City, or if Contractor finds illegally placed Containers based on
procedure provided in the franchise agreement.
Provision of Storage Containers: Provide the City with eleven 40-cubic-yard portable storage containers
to be used for storage at City facilities and schools for the duration of the Agreement. Containers will be
maintained in a condition satisfactory to the City. Contractor may transfer ownership of these storage
containers to City, provided Contractor will remove and dispose of these containers when requested to
by City.
Emergency Collection and Disposal Service: Assist City at the City's request with emergency Collection
and Disposal service in the event of major disaster, such as an earthquake, storm, riot, or civil
disturbance, or as otherwise determined necessary by the City, by providing Collection equipment and
drivers normally assigned to City. Contractor may charge City for actual Disposal costs plus service rates
per the approved rate schedule.
KEY CONTRACT TERMS
STATE DIVERSION COMPLIANCE
The selected contractor will ensure that the City is in full compliance with AB 939, AB 901, AB 341, AB
1594, AB 1826, and SB 1383, and all related state laws and regulations in effect during the term of the
Agreement.
Requirements include, but are not limited to the following:
Collection, Processing and Diversion Programs and Services: The Contractor will provide collection,
processing and diversion programs and services relative to AB 939, AB 901, AB 341, AB 1594, AB 1826,
SB 1383, and all future applicable regulations.
Public Education and Outreach: The Contractor will provide public education to residents and
businesses relative to AB 939, AB 901, AB 341, AB 1594, AB 1826, SB 1383, and all future applicable
regulations. Proposers must describe their proposed public education and outreach commitments in
their AB 341, AB 1826, SB 183 Implementation Plan.
7.2.a
Packet Pg. 429
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page11
Container Specifications and Distribution: The selected contractor will be responsible for providing and
maintaining all containers under this agreement. Carts shall be new upon initiation of services under the
Agreement, and bins may be new or used. All carts and bins will be color-coded and labeled to be
compliant with SB 1383.
Diversion Monitoring and Reporting: The Contractor will provide monitoring and reporting relative to
AB 939, AB 901, AB 341, AB 1594, AB 1826, SB 1383, and all future applicable regulations.
Environmental Coordinator: To achieve a high level of recycling public education and awareness, the
Contractor shall designate an Environmental Coordinator to the City to complete outreach to SFD, MFD
and Commercial customers, and develop and implement all public education and outreach activities
required under the Agreement. The Recycling Coordinator shall conduct outreach, promote waste
reduction, recycling, diversion programs, and provide technical assistance to Multi-family and
Commercial Customers. The Environmental Coordinator shall not be the primary Contractor liaison
described in draft Agreement Section 7.16B4.4.9.
FAITHFUL PERFORMANCE BOND & LETTER OF CREDIT
The selected contractor will be required to provide a performance bond totaling $125,000 and a
performance Letter of Credit $125,000. As an alternative, the selected contractor may provide a Letter
of Credit in the amount of $250,000, or deposit funds, on terms satisfactory to the City, in an interest-
bearing account.
INSURANCE
The selected Contractor is required to maintain minimum insurance levels. See draft Agreement Section
11.8 Article 9 for the minimum limits of insurance for general liability, automobile liability, and workers
compensation.
COLLECTION VEHICLE REQUIREMENTS
Contractor’s collection vehicles shall be not older than two-years and in like-new condition upon
initiation of services under the Agreement, no more than 10 years of age during the initial term of the
Agreement and no older than 15-years in age during any future extensions of the Agreement, and
comply with Department of Transportation, South Coast Air Quality Management District and the
California Air Resource Board requirements. Contractor’s collection vehicles must use only renewable
natural gasgas alternative fuel. See draft Agreement Section 4.2.2.D3.10.4. Proposers must address their
ability to assist the City comply with SB 1383 RNG procurement obligations with the use of RNG
powered collection vehicles.
AUTOMATED CART REQUIREMENTS
7.2.a
Packet Pg. 430
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page12
All carts shall be new at the start of service under this agreement. Proposer shall describe carts which it
intends to use in the City, pending City approval. Include manufacturer, specific sizes, SB 1383
compliance, colors of carts and lids by waste stream, and a photograph.
FEES
Franchise Fee: Contractor shall pay a Franchise Fee that is commensurate with the value to be received
by Contractor in receiving the exclusive right to provide the service set forth herein. The City concludes
that a reasonable and appropriate amount for the benefits provided should be a minimum of Four-
Hundred Ten-Thousand Dollars, ($410,000), in the first year. This payment to the City shall be referred
to as a Franchise Fee and its percentage will be calculated according to estimated gross receipts from
customers as shown in Form 2.0 Rate Revenue from Attachment 6 Rate Proposal Forms. (See draft
Agreement Section 97.1). Should the City issue separate franchises for Residential and Commercial
services, the commercial franchise fee shall be a minimum of One-Hundred Twenty-Three Hundred
Dollars ($123,000) and the residential franchise fee shall be a minimum of Two-Hundred Eighty-Seven
Thousand Dollars ($287,000).
CALRECYCLE Compliance Fee: Contractor shall pay to the City a CalRecycle Compliance Fee of Seven-
Hundred Fifty Thousand Dollars ($750,000) adjusted annually as described in draft Agreement Section
97.2 and 9.77.6. The CalRecycle Compliance Fee amount represents a reasonable allocation of the City’s
budgeted costs to comply with State mandates resulting from the enactment of AB 939 and subsequent
related legislation including, but not limited to: AB 2176 (Chapter 879, Statutes of 2004), SB 1016
Chapter 343, Statutes of 2008), AB 341 (Chapter 476, Statutes of 2011), AB 1826 (Chapter 727, Statutes
of 2014), and SB 1383 (Chapter 395, Statutes of 2016) which require jurisdictions to implement solids
waste Collection programs, meet Processing facility requirements, conduct contamination monitoring,
provide education, maintain records, submit reports, monitor compliance, conduct enforcement, and
fulfill other requirements. Should the City issue separate franchises for Residential and Commercial
services, each franchisee shall pay a minimum CalRecycle fee of Three-Hundred Seventy-Five Thousand
Dollars ($375,000).
Residential Vehicle Impact Fee: Contractor shall pay to the City an annual Vehicle Impact Fee of One-
Hundred Seventy-Five Thousand Dollars ($175,000) adjusted annually as described in draft Agreement
Section 9.47.3 and 9.77.6. The Residential Vehicle Impact Fee is to reimburse the City for costs to
provide road maintenance to City’s streets due to “wear and tear” caused by the use of Contractor’s
Solid Waste Collection vehicles on City Streets. Should the City issue separate franchises for Residential
and Commercial services, only the residential franchisee shall pay the Residential Vehicle Impact Fee.
Residential Street Sweeping Fee: Contractor shall pay to the City an annual Street Sweeping Fee of One-
Hundred Seventy-Five Thousand Dollars ($175,000) adjusted annually as described in draft Agreement
Section 9.57.4 and 9.77.6. The Residential Street Sweeping Fee is to reimburse the City for the cost of
sweeping residential streets. Should the City issue separate franchises for Residential and Commercial
services, only the residential franchisee shall pay the Residential Street Sweeping Fee.
7.2.a
Packet Pg. 431
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page13
Contracting Fee: Contractor shall pay the City a one-time contracting fee of One-Hundred Thousand
Dollars ($100,000) within seven (7) days of the execution of the new agreement. Should the City issue
separate franchises for Residential and Commercial services, the commercial franchisee shall pay Thirty-
Thousand Dollars ($30,000) and the residential franchisee shall pay Seventy-Thousand Dollars ($70,000).
Late Payment Fee: Contractor shall pay the City a Late Payment Fee of 10% of any amount passed due
for the month plus 1.5% for each month the payment is late thereafter.
HOLIDAY SCHEDULE
If the regularly scheduled collection day falls on New Year's Day, Memorial Day, Independence Day,
Labor Day, Thanksgiving Day, or Christmas Day, collection days for the remainder of that week shall all
be postponed one collection day and residential collection is permitted on Saturday during the make-up
week.
CUSTOMER RATE ARRANGEMENTS
The rate schedules establish the maximum rates that may be charged. Initial rates will be set based on
the rates proposed in Attachment 6. The rates will thereafter be adjusted using a rate adjustment
procedure described in Article 108 of the draft Agreement. The first rate adjustment is effective July 1,
2026.
RESIDENTIAL RATE ARRANGEMENTS
Standard Cart Service: Standard cart service will be the weekly, automated collection of refuse,
recycling, and organics. The default cart size for each waste stream shall be 64-gallons. Customers may
request different size carts for each waste stream. Carts shall be offered in 35, 64, and 96-gallon cart
sizes. The monthly rate for the collection of all three waste streams shall be based on the refuse cart size
selected by the customer.
Disabled Customer Discount: Currently customers determined to be disabled by issuance of a handicap
placard from the DMV or by meeting City-established guidelines receive backyard service at no
additional charge. The City invites Proposers to propose this service at no charge or at a discounted rate.
Please note that discounted rates shall be provided at the sole cost of the Contractor and will be
considered a disallowed cost for Proposition 218 purposes.
Senior Citizen Discount: Currently, senior citizens of 60 years of age or older, residing in the premises
where service is received and listed on the bill are entitled to a discounted senior rate. The City invites
Proposers to propose this service a senior citizen discount. Please note that the discounted portion of
the rate shall be at the sole cost of the Contractor and will be considered a disallowed cost for
Proposition 218 purposes.
COMMERCIAL AND MFD RATE ARRANGEMENTS
7.2.a
Packet Pg. 432
City of Diamond Bar, California Section 3. Scope of Required Services
RFP for Solid Waste Services May 3Updated July 12, 2023
Page14
The City will maintain a rate structure that includes separate fees for the collection of refuse,
recyclables, and organics. A volume-and-frequency based rate structure will be used. Contractor shall
charge rates to the customer based on each customer’s size and number of containers at a rate not to
exceed the corresponding rate in the maximum rate table. Recyclables collection will be offered at a
50% of the refuse rate. Organics collection shall be charged at the same rate as the refuse rate for the
equivalent container size and frequency.
CITY FACILITIES
The City’s facilities shall be provided all collection services at no additional charge. Services shall include
refuse, recycling and organics collection services.
CHARGES FOR ADDITIONAL SERVICES
The Contractor’s proposed rate schedule shall include all charges for special services, including but not
limited to:
x Additional carts.
x Scout service.
x Locking bins.
x Pulling or pushing containers to a collection vehicle.
x Steam cleaning containers (excluding carts) more frequently than one time per year as
requested by the customer.
x Additional bulky item collection services.
Please see Proposal Forms for more details on situations in which special service charges apply.
RATE ADJUSTMENT METHODOLOGY
Refer to Attachment 7 for a complete description of the rate adjustment methodology.
7.2.a
Packet Pg. 433
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFP for Solid Waste Services May 3Updated July 12, 2023
Page15
SECTION 4 - RFP POLICIES, CONDITIONS, AND PROCESS
RIGHTS RESERVED BY THE CITY
The City reserves the right, in its sole discretion, to pursue any or all of the following actions regarding
this RFP process:
x Issue addenda and amend the RFP and Franchise Agreement.
x Request additional information and/or clarification from proposers.
x Extend the deadline for submitting proposals.
x Withdraw this RFP.
x Reject proposals that do not fully comply with the requirements detailed in this RFP, its
attachments, addenda, or clarifications.
x Reject incomplete proposals; proposals containing errors, inconsistencies, false, inaccurate, or
misleading information; proposals submitted after the deadline; or proposals with other process
or content errors or deficiencies.
x Amend the Municipal Codes of City.
x Award a proposal based on a combination of its qualitative and quantitative attributes.
x Take other actions the City deems are in the best interest of the City, residents and businesses in
the City service area; and,
x Negotiate changes in the services proposed and/or described in the RFP or to incorporate
programs proposed by others.
GENERAL RFP REQUIREMENTS
x This RFP shall not be construed by any party as an agreement of any kind between the City,
contractor(s), and other parties.
x This RFP does not obligate the City to accept any proposal, negotiate with any proposer, award a
Franchise Agreement, or proceed with the development of any project or service described in
response to this RFP. The City has no obligation to and shall not compensate any proposer for its
expense of preparing its proposal and participating in this procurement process.
x Please note that the City’s procurement of Franchise Collection Services is not subject to State
bidding laws, and the City does not intend to cause the current RFP process to become subject
to such public bidding laws or regulations.
x The City shall have the right (but not the obligation) to perform a review of each proposer's
ability to perform the work required. Each proposer must agree to cooperate with such a
review. Such cooperation by proposer shall apply to the verification of the proposer's capability
and experience in the provision of services and any other component of work that may be
required under this procurement.
x The City, and its consultants, will be conducting reference checks on proposers that will involve
contacting jurisdictions currently or previously served by proposer, as well as contacting
7.2.a
Packet Pg. 434
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFP for Solid Waste Services May 3Updated July 12, 2023
Page16
regulatory agencies involved in oversight of proposers’ facilities. In addition, the City, or its
consultants, may research proposers’ past performance by reviewing litigation history,
regulatory actions, highway driving records, criminal investigations, and recycling history. The
proposer’s submission of a proposal shall constitute an agreement to cooperate with the City’s
review.
x Submittal of a proposal signifies the submitting proposers’ commitment to provide the
proposed services if selected. In addition, all aspects, conditions, and components of proposals
submitted shall be valid for one year from date of submittal. Proposals may not be altered after
submittal, except in response to the City’s request for clarification.
CODE OF CONDUCT
PROPOSER CODE OF CONDUCT
Proposers are required to sign the Proposer Code of Conduct, which includes a Non-Collusion Affidavit
Attachment 2). This document prohibits ex-parte communications with City elected officials; prohibits
giving any gift or monetary compensation to City staff member or consultants; prohibits collusive
activities with other potential proposers. If a proposer does submit the document or violates the code of
conduct, the City has the right to disqualify the proposer from this RFP process.
Please note: the notarized Proposer Code of Conduct and Non-Collusion Affidavit is required to be
submitted no later than one week after the mandatory pre-proposal meeting. An electronic copy may be
emailed to DiamondBarRFP@sloanvazquez.com and an original must be mailed to the City.
PROPOSAL SUBMITTAL REQUIREMENTS
Submission of a proposal shall constitute acknowledgment and acceptance of all the terms and
conditions contained in this RFP, and in the draft franchise agreement, unless exceptions are expressed
in writing in the proposal (See RFP Section 5 Exceptions to the Agreement). The successful proposer will
be expected to enter into a franchise agreement with the City; only those exceptions noted in its
proposal will be considered for modification. The City is not obligated to agree to these exceptions but
reserves the right to negotiate modification of such noted exceptions to the draft franchise agreement.
The schedule of events presented in this section is summarized in Table 1.
STEP ONE – R.S.V.P TO ATTEND PRE-PROPOSAL MEETING
Proposer must register their intent to respond to this RFP by emailing notification to
DiamondBarRFP@sloanvazquez.com.
7.2.a
Packet Pg. 435
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFP for Solid Waste Services May 3Updated July 12, 2023
Page17
STEP TWO – MANDATORY PRE-PROPOSAL MEETING
A mandatory pre-proposal meeting will be held by video conference. An invitation will be emailed to
each registered proposer. The current date and time of the pre-proposal meeting are provided in Table
1 – RFP Schedule.
STEP THREE – SUBMITTAL OF WRITTEN QUESTIONS
The City directs proposers to submit all questions and requests for information in writing directly to the
City’s consultant at DiamondBarRFP@sloanvazquez.com. The deadline for submitting written questions
and requests for information is provided in Table 1 – RFP Schedule.
Written responses to questions will be provided to all eligible proposers. In the event of any
inconsistencies between oral responses provided at the pre-proposal meeting and written responses
subsequently issued. The written responses must be used for preparing proposals.
STEP FOUR – PROPOSAL SUBMITTAL
Proposer shall submit One (1) double-sided copy of the complete proposal and one (1) single sided,
signed original according to the deadline provided in the RFP Schedule. In addition, the proposers are
required to submit a flash drive containing:
x A digital copy of all completed rate proposal forms (Attachment 6 of the RFP) in Microsoft Excel
format.
x A digital copy of the Draft Franchise Agreement, noting all exceptions and proposed substitute
language in redline/strikeout, in Microsoft Word format.
x A complete PDF of the proposal including the rate proposal forms. and,
x The required Surety must be included in the sealed package.
These items shall be placed and submitted in a sealed package. Proposals must be formatted on 8½ inch
by 11-inch paper with post-consumer recycled-content paper. All pages shall be consecutively
numbered; although, each section may start with a new page number if proceeded with the section
number (e.g., Page 2-1 for the first page of section 2).
Surety: Each proposal must be accompanied by a surety made payable to “City of Diamond Bar” in the
amount of $25,000 and in the form of a certified check, cashier’s check, or bid bond. The surety shall be
submitted with the proposal in a separate, clearly labeled envelope.
The purpose of the surety is to guarantee that the successful contractor will execute a Franchise
Agreement with the City. If the selected contractor does not execute the Franchise Agreement within 30
calendar days after receiving notice of the award of Franchise Agreement, the City shall keep the surety
to offset the potential cost associated with identification of an alternate service provider and schedule
delays. Additionally, the City has the right to pursue additional and reasonable costs incurred in this
event.
7.2.a
Packet Pg. 436
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFP for Solid Waste Services May 3Updated July 12, 2023
Page18
Checks and bonds will be returned to all proposers no later than ten calendar days after the City has
executed the Franchise Agreement with the successful contractor. If no selection is made within one
year of the submission of proposals, each proposer may demand their proposal surety be returned.
However, the City reserves the right to eliminate proposals from such companies from further
consideration.
Proposals received late will not be considered. Postmarks will not be accepted as proof of receipt.
The package shall be clearly labeled:
PROPOSAL FOR CITY OF DIAMOND BAR SOLID WASTE SERVICES
FROM: Name of Proposer
Address: Address of Proposer
Contact Person:
Telephone Number:
E-mail:
The proposal may be mailed or hand delivered to:
CITY CLERK
City of Diamond Bar
21810 Copley Dr.
Diamond Bar, CA 91765
STEP FIVE – CLARIFICATION OF PROPOSAL INFORMATION AND INTERVIEWS
Proposers may be asked to clarify information through written communications, interviews or during
site visits of each proposer’s offices, customer service center, corporation yard and maintenance
facilities, and disposal, transfer, and processing facilities. The City reserves the right to conduct in-
person interviews with one or more proposers.
STEP SIX – SELECTION OF RECOMMENDED CONTRACTOR AND NEGOTIATION OF FINAL AGREEMENT
The City and/or its consultants will recommend for consideration by the City Council a preferred
contractor for both residential and commercial services, or a contractor for residential and another
contractor for commercial services.
Should the City and/or its consultants determine that none of the proposals submitted by VVS or WM
meet the best interest of the City and the ratepayers, the City may choose to publish this RFP to the
public and invite additional proposals for consideration prior to selecting a contractor or contractors, in
which case, the process will revert to Step One. In the event that the City releases this RFP to the public,
it is the City’s intention to keep VVS and WM’s proposals confidential until the contractor selection
process is complete.
7.2.a
Packet Pg. 437
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFP for Solid Waste Services May 3Updated July 12, 2023
Page19
Once the City Council approves selection of a final contractor or contractors then final negotiation will
take place for the Franchise Agreement(s). Except at the sole discretion of the City, all negotiations with
the Proposers will be limited to the Proposers’ listed exemptions and proposed substitute language in
the draft agreement contained in their proposal.
LIMITS ON DISCLOSURE OF PROPOSALS
The City has determined that the public interest will be best served if proposals submitted in response
to this RFP are not made available for review by other companies participating in the competitive
selection process. For that reason, proposals (and materials submitted during subsequent meetings and
discussions with City staff) will not be made available to other proposers or the public generally any
earlier than the date on which City staff issues to City Council a contractor or contractors recommended
for final consideration/negotiation.
As part of the Council Report, the City may include some portion(s) of the proposal(s) that have not
been identified as entitled to confidential treatment as containing trade secrets. However, inclusion of
some portion(s) of the proposal(s) in the Council Report may be deferred until after the City Council has
selected a proposer for negotiations. In this case, some portion(s) of the proposal(s) may be included in
the Council Report prepared for the meeting where the results of the completed negotiations are
presented. This is the only release of any portion(s) of proposal(s) that will be permitted prior to the
execution of this agreement.
No proposer may, directly or through an intermediary, employ the Public Records Act to obtain access to
non-confidential materials submitted to the City by other proposers prior to the execution of the
agreement for this contract.
The following procedures will be followed for the disclosure of proposals following the execution of the
agreement:
x Materials which a proposer considers as trade secret information entitled to protection from
disclosure under Government Code Section 6254(k) must be clearly marked on each page as
CONFIDENTIAL”.
x If the City receives a request to review and/or copy materials submitted by any proposer, it will
decline to release those materials marked “CONFIDENTIAL” pursuant to Government Code
Section 6255.
x If the person submitting the request files a legal action against the City seeking its release, the
City will notify the affected proposer(s) and will not oppose a motion by such proposer(s) to
intervene in the action. The proposer(s) must either intervene or agree to pay the City’s legal
expenses in defending the action, including fees, if any, awarded to the plaintiff. Absent such an
agreement, the City will have no obligation to defend the action and may release the
information sought without any liability whatsoever.
7.2.a
Packet Pg. 438
City of Diamond Bar, California Section 4. RFP Policies, Conditions, and Process
RFP for Solid Waste Services May 3Updated July 12, 2023
Page20
x No proposer will seek damages against the City or recovery of its attorneys’ fees from the City
because of any dispute related to the release or withholding of information submitted in
response to this RFP.
x Materials that have been marked as “CONFIDENTIAL” will either be destroyed or returned to all
unsuccessful proposers once the agreement has been signed by City and by the selected
proposer(s).
7.2.a
Packet Pg. 439
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page21
SECTION 5 - SUBMITTAL REQUIREMENTS
Section 5 includes the required proposal outline and a description of the specific information proposers
must include. Proposer must provide the information specified in this section as part of its proposal.
Failure to provide all the required information may be grounds for rejection of a proposal.
The proposer does not need to reiterate the service requirements of the Franchise Agreement in their
proposal. However, proposer is requested to focus on describing how it plans to provide the services
with regard to but not limited to routing strategies, collection methods, and equipment selection.
Furthermore, if a proposer has presented information for one type of service that is the same for
another type of service, proposer can refer to its previous description rather than reiterating the
discussion in its proposal. For example, if SFD solid waste and recyclables collection vehicles are the
same, the vehicle description can be provided once for the solid waste service and then referenced for
the recyclable materials collection service.
PROPOSAL OUTLINE
Proposer shall present its proposal in accordance with the outline provided in Attachment 8.
Information should be identified by number in the outline. Additional information or data relevant to
the proposal is optional and may be included by proposer as proposal attachments.
1. GENERAL REQUIREMENTS
I. TITLE PAGE (OPTIONAL)
II. COVER LETTER
The cover letter shall clearly identify the legal entity or entities submitting the proposal and state
whether each is a sole proprietorship, partnership, corporation, LLC, or joint venture. The cover letter
shall be signed by the designated representative authorized to bind proposer. Proposer shall
acknowledge receipt of any addenda issued as part of this RFP process.
III. TABLE OF CONTENT
2. PROPOSER OVERVIEW
2.1 PROPOSER’S BUSINESS STRUCTURE
Provide the following information regarding the proposing entity and entity that would provide a
corporate guarantee, if applicable:
x Identify the legal entity that would execute the Franchise Agreement. State whether each entity
is a sole proprietorship, partnership, corporation, LLC, or joint venture. Describe in detail the
7.2.a
Packet Pg. 440
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page22
relationship of the proposer to the executing entity. If the proposer is a joint venture, describe
where the entities have collaborated before.
x Identify the entity that would submit financial statements and whether it is an individual, a
partnership, a corporation, or a joint venture. If other than proposing entity, indicate
relationship and willingness to sign corporate guarantee.
x Confirm that proposer is authorized to do business in California.
x State the number of years the entities have been organized and doing business under this legal
structure. Proposal must include all the names of company’s (and executing entities if different
than company’s) owners/stockholders with greater than a 10% holding of the company's total
assets.
x Identify the names of all officers.
x Identify other businesses with ownership by principals and/or management.
x Identify the corporate headquarters.
x Identify local headquarters (if different).
x Describe all services to be performed by subcontractors and identify each subcontractor by
name. Proposer shall describe any current or past working relationship with the
subcontractor(s) in the past five years.
2.2 PROPOSER’S EXPERIENCE
Proposer shall describe its experience serving a minimum of three (3) jurisdictions in California
preferably serving jurisdictions of similar or larger size and similar demographics to the City in a table
format. Required information includes:
x The name of the jurisdiction where the services were provided.
x Commencement date of services and term of the agreement.
x The name, address, and telephone number of the jurisdiction representative responsible for
administering the agreement.
x The services provided (e.g., solid waste collection, recyclable materials, organic materials
collection, and other unique collection programs such as e-waste or household hazardous
waste).
x The number of residential (i.e., specify SFD and MFD), Commercial (i.e., specify cart, bin, roll-off
and other) and City (or other) customers served; tons collected, diverted, and disposed annually;
and, the type and number of vehicles dispatched per day for each of the services provided.
Additionally, please provide at least one municipal citation for service transitions from another hauling
company, including a brief description of the old and new services, and service transition dates, as well
as the information listed in the first and last bullet above.
2.3 KEY PERSONNEL QUALIFICATIONS
Provide an organizational chart and brief biographical description of the key personnel the proposer
would assign to the transition team and the ongoing management of the services to be provided under
7.2.a
Packet Pg. 441
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page23
the Agreement. Specify the percentage of time each individual will be assigned to services specified in
the Franchise Agreement. Identify municipalities who have worked with the key personnel. Indicate
which key personnel will be designated as the contractor liaison, service liaison, contractor
representative, and emergency contact.
2.4 PROPOSER’S PAST AND PENDING LITIGATION
List all civil or misdemeanor or felony criminal court or administrative filings by and/or against California
government agencies that are currently pending and/or that have been filed, settled or otherwise
received a disposition within the last ten years that relate to the provision of solid waste service listing
the names of the parties, the case number, and a brief description of the case and disposition, if any.
This paragraph is applicable to the following persons and entities:
x The key personnel
x The owners and officers of the company
x The entity submitting the proposal; and/or,
x Any parent or affiliated company for actions filed in the State of California (For affiliates,
proposer may limit disclosures of non-criminal matters to those in the Los Angeles County.
x Any strategic partners or subcontractors identified in RFP.
x Include the resolution and current status of each civil legal action.
Note: The term "affiliate" as used in this RFP is defined in Article Section 1.1 of the Agreement.
2.5 FINANCIAL INFORMATION
Provide the following financial information for the most recently completed fiscal year for the proposer
or, if a corporate guaranty is to be provided, for the guarantor:
x The type of financial statements (audited or reviewed) and the corporate entity that they
represent (proposer or corporate guarantor).
x The most recently completed fiscal year for which financial statements are available.
x Annual revenue from the most recently completed financial statements.
x Current Assets to Current Liabilities ratio (current assets/current liabilities) from the most
recently completed financial statements.
x Total Liabilities to Total Assets ratio (total liabilities/total assets) from the most recently
completed financial statements.
Upon request, proposers must submit the financial statements upon which the requested financial
information is based within five (5) business days of the request. Statements must be prepared and
presented in accordance with Generally Accepted Accounting Principles applied on a consistent basis
and must include a statement by the chief financial officer of the proposer’s company that there has
been no material adverse change in conditions or operations, as reflected in the submitted balance
sheets, income statements and cash flow statements, since the date on which they were prepared.
7.2.a
Packet Pg. 442
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page24
Proposers requested to submit financial statements may submit a single copy, stamped “confidential”
and request for its return upon completion of the procurement process. The City will attempt to
maintain the confidentiality of such a request, although confidentiality cannot be guaranteed.
The selected proposer will be required to submit “reviewed” or “audited” financial statements that
demonstrate reasonable financial resources and stability to the satisfaction of the City. If awarded the
contract, the financial statements shall remain with the City.
2.6 INSURANCE
Proposer must submit evidence that the proposer either has, or is able to obtain, the insurance
coverage required in the draft Agreement Section 11.89.
3. PROPOSAL FOR SOLID WASTE SERVICES
Proposer shall describe how it plans to perform the solid waste services requested in this RFP and
described in the Draft Franchise Agreement. Information must separately address all materials collected
for Residential, Multi-family, Commercial, and City facilities.
3.1 COLLECTION SERVICES APPROACH
Proposer shall include detailed responses for each component of their collection approach, including at
a minimum the categories listed below. If the strategies and/or assumptions are different for each
organic material processing approach, provide details for each approach. Label each approach to
correspond with the respective rate proposal.
x Routing strategy and productivity assumptions by service sector (SFD, MFD, Commercial and
City facilities); discussion of special routing (if any) for collecting in narrow streets, courts, and
alleys; and route productivity assumptions (in terms of SFD accounts per route per day and
MFD/Commercial lifts per route per day) and where these productivity assumptions have been
accomplished in other cities serviced by the proposer.
x Collection methodology (e.g., automated, semi-automated, one- or two-person crews, etc.),
including discussion of special methods (if any) for collecting in any hard-to-service areas.
x Number of and description of the collection vehicles to be utilized including make, model, and
year, body type, yardage capacity, tonnage capacity, type of renewable natural fuel to be used,
waste stream(s) to be collected (refuse, recycling, organics), cost, and lease or ownership
arrangements. New vehicles are required for residential and MFD, commercial, and City
collection services.
x This requirement is primarily to ensure that comparable rate proposals are submitted. The City
reserves the right to allow the contractor to provide used collection vehicles.
x New or used vehicles may be used for support vehicles.
7.2.a
Packet Pg. 443
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page25
x Manufacturer’s specifications of containers to be utilized. New carts shall be provided for
residential and multi-family dwellings that use carts services and new or used containers (i.e.
bins and drop boxes) may be provided for customers that are serviced with bins (i.e.
MFD/Commercial/City customers).
x Container requirements are described in draft Agreement Section 7.104.3. Proposer shall supply
complete technical data and manufacturing specifications on the specific cart, bins and Drop
Boxes being used.
3.2 CUSTOMER SERVICE CENTER
Proposer shall describe the management systems and customer service systems its company uses to
manage inquiries and complaints received from residential and commercial customers. The description
of the management systems and customer service systems may include:
x Description of system capability and/or procedures to ensure timely accessibility of information
by jurisdictions served.
x Description of procedures used to satisfactorily respond to, record, and report common
customer complaints such as: missed pick-ups; spills and litter resulting from collection;
collection schedule changes; broken or missing containers; improperly prepared setouts; noise
complaints; traffic and sidewalk obstruction during collection; and safety around collection
vehicles during operations.
x Description as to whether individual call centers are established for each of the proposer’s
service areas or if customer calls are handled by a centralized call center, and location of the
proposed call center.
x Description of how the customer service information interfaces with route data and billing data.
x Description of how the company measures customer service about the call center’s
responsiveness and accuracy of responses, as well as the quality of collection service. Identify
specific performance metrics or targets your company tracks.
x Identify the website that its customers use to obtain customer rates and service information,
diversion services and requirements, and to submit inquiries or complaints. Provide website
address.
3.3 IMPLEMENTATION PLAN
Provide an implementation schedule that demonstrates ability to implement the services in accordance
with the service start date, including meeting equipment, personnel, administration, maintenance, and
public education requirements.
7.2.a
Packet Pg. 444
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page26
3.4 AB 341, AB 1826, AND SB 1383 IMPLEMENTATION PLAN
Proposer shall provide an AB 341, AB 1826, and SB 1383 implementation plan detailing planned tasks,
procedures, and schedule to ensure the City’s compliance with AB 341, AB 1826, and SB 1383.
The plan should address the following requirements.
A description of proposer’s public education and outreach plans that comply with all CalRecycle
requirements for Outreach and Education, Monitoring and Reporting, and Performance Standards and
other applicable regulations.
The plan shall include, at a minimum, the following components:
x Timeline
x Description of all proposed activities
x Description of all proposed printed materials and electronic content
x Examples of materials and content the proposer has developed for other jurisdictions (proposer
may include materials as an attachment or provide images of the material within the proposal
text).
x Description of labels to be attached to containers that clearly indicate the accepted and
prohibitive materials to be placed in containers. Labels shall comply with CalRecycle guidelines
for labeling/signage.
x Proposed continued outreach efforts to increase participation in recycling and organics
programs, including use of direct mail, community workshops, development of how-to videos,
dedicated website, community events, school outreach, etc.
x Proposed contamination monitoring procedures including performing route reviews and or
waste evaluations.
3.5 FOOD RESCUE AND DONATION PROGRAM
Describe proposed efforts to assist the City and its customers with a food rescue and donation program
to comply with SB 1383 which establishes a target that not less than 20% of currently disposed edible
food is recovered for human consumption by 2025.
3.6 ORGANICS RECYCLING PROGRAM
Describe proposed organics recycling program including type of containers proposed. Proposers should
include detailed information on customer in-house preparation of material prior to disposal (e.g., bag or
no bag requirements); include a comprehensive list of organic materials that are acceptable in each of
the programs listed above, and a comprehensive list of organic materials that are not accepted in the
program. Also, proposers are requested to submit samples of outreach materials already distributed to
customers in a city with a similar program in place if proposer has implemented such program. Please
describe your intended approach and activities related to SB 1383 organic waste collection and recycling
7.2.a
Packet Pg. 445
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page27
services, education and outreach, capacity planning, procurement of organic waste products, reporting,
contamination monitoring, and other compliance activities.
3.7 RECYCLABLE MATERIALS
Specify all materials that can be recycled through the residential, multi-family and commercial recycling
programs.
3.8 PROCUREMENT OF RECOVERED ORGANIC WASTE PRODUCTS
Describe proposed assistance to the City to ensure that sufficient California recovered organic waste
products are procured on behalf of the City to meet the requirements of SB 1383. Identify types and
quantities of recovered organic waste products which shall be procured.
3.9 PROPOSED OPERATING FACILITIES
Provide information about proposed operating facilities, including:
x Yard address for equipment and personnel staging and arrangements for maintenance of
equipment.
x Office address for customer service, public relations, billing, and franchise administration; and,
x Other operating facilities to be used in providing service under this agreement.
3.10 PROPOSED DISPOSAL, TRANSFER, AND PROCESSING FACILITIES
Proposers must identify all proposed disposal, transfer, and processing facilities for transfer/disposal of
refuse, processing of commingled recyclables, processing of organics, processing of mixed waste, and
processing of construction and demolition debris.
For each facility, please identify the following:
x The name, address, and SWIS # of the facility.
x The material to be processed (organic waste, commingled recyclables, mixed waste, or
construction and demolition debris).
x The tipping fee per ton.
x A statement regarding any relationship between the proposer and the facility owner/operator
if any).
x Indicate any proposed solid waste facility capacity guarantees.
x Current and estimated diversion rate for processing of each waste stream (e.g., residential
recyclables, residential organics, source-separated commercial recyclables, mixed commercial
waste, commercial organics, C&D.)
7.2.a
Packet Pg. 446
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page28
4. DISPLACED EMPLOYEE RETENTION
In accordance with Labor Code Sections 1070, 1072, 1075, and 1076, proposer will offer employment to
qualified existing employees of the current contractor that may be displaced if the current contractor is
not retained. Please describe your procedures for offering such employment and any limitations. Please
describe whether your company operates under a labor collective bargaining agreement.
5. EXCEPTIONS TO THE AGREEMENT
The City expects that the successful proposer(s) will execute an Agreement with the City in substantially
the same form as the Draft Agreement (as it may be changed via Addendum during the RFP process).
Proposers are required to carefully review the Agreement before submitting proposals and are
encouraged to have it reviewed by legal counsel. Proposers are also encouraged to submit written
questions about any provision in the Agreement not fully understood, which would appear to be
inconsistent with other provisions or otherwise incorrect, or which may deter them from submitting a
Proposal or significantly increase the rate of their Proposal.
To demonstrate agreement with to all terms and conditions of the draft Agreement as written,
proposers are required to sign and include in their proposal the signature page of the draft Agreement.
Any exceptions must include the nature of the proposed exception, the draft Agreement Section,
proposed substitute language, and the change in costs that would take place if the proposed language
were to be accepted by the City. The proposal is not considered complete without this signed page.
The number, nature and materiality of objectionable provisions and suggested changes to the
Agreement will be considered in evaluating proposals.
6. RATE PROPOSALS
6.1 PRIMARY RATE PROPOSAL FORMS
Proposers may submit up to three complete sets of rate proposal forms: one for the residential sector,
one for the commercial sector, and one for a citywide franchise. These proposals shall be based solely
on the requirements requested in this RFP and further detailed in the draft Agreement without
considering any exceptions or alternatives.
6.2 ALTERNATIVE RATE PROPOSALS
Provided that the proposer has submitted a primary rate proposal that meets all of the minimum
requirements of this RFP, the proposer may submit one or more alternative rate proposals. For example,
proposer may submit an alternative rate proposal that retains existing used equipment.
7.2.a
Packet Pg. 447
City of Diamond Bar, California Section 5. Submittal Requirements
RFP for Solid Waste Services May 3Updated July 12, 2023
Page29
7. PROPOSER CODE OF CONDUCT AND NON-COLLUSION AFFIDAVIT
Each proposer shall include a copy of the Proposer Code of Conduct and Non-Collusion Affidavit
Attachment 2) that was submitted at the pre-proposal conference.
7.2.a
Packet Pg. 448
City of Diamond Bar, California Section 6. Proposal Evaluation
RFP for Solid Waste Services May 3Updated July 12, 2023
Page30
SECTION 6 - PROPOSAL EVALUATION PROCESS
This section describes the proposed process for evaluation of proposals and selection of Contractor(s).
Note that the City reserves the right to modify this process in any way and at any time during the RFP
and contractor selection process.
EVALUATION AND SELECTION PROCESS
An evaluation report, including a comparative description of the proposals, evaluation results, and a
recommendation, will be prepared and presented to City Council. The City Council will review the
recommendation and may approve that recommendation or form an alternative recommendation.
During the evaluation process, proposers are required to allow site visits, and give presentations to the
City and may be required to attend interviews.
7.2.a
Packet Pg. 449
City of Diamond Bar, California Section 6. Proposal Evaluation
RFP for Solid Waste Services May 3Updated July 12, 2023
Page31
PROPOSAL EVALUATION CRITERIA
The proposal will be objectively evaluated based on criteria that may include, but is not limited to, the
following factors.
PROPOSER’S QUALIFICATIONS
x Collection Experience. Demonstrated experience of company providing the requested or similar
services to other jurisdictions. If the proposer is a joint venture, demonstrated experience of
parties working together.
x Jurisdiction Satisfaction. Satisfaction of proposer references with services received, including but
not limited to, implementation, customer services, reporting, assistance developing diversion
programs, and working cooperatively with City staff.
x Management and Customer Service Systems. Demonstrated capabilities of the company’s
existing management and customer service systems’ abilities to track and monitor contract
compliance, quality of collection service, and call center responsiveness.
x Key Personnel Qualifications. Extent and relevance of the qualifications and experience of key
personnel proposed for the transition team and on-going management of the City’s collection
operations.
TECHNICAL QUALIFICATIONS
x Implementation Plan. Reasonableness of implementation schedule and ability to meet deadlines
e.g., reasonableness of equipment procurement schedules, implementation staffing levels,
public education program, itemized steps for initiation, roll out and maintenance of diversion
programs in all service sectors throughout the City, container/cart distribution, new corporation
or maintenance yard development, contingency plans, etc.
o Customer Service. Customer service approach, staffing levels, and City-specific training
programs.
o Billing System. Billing approach and procedures for handling customer billing activities.
o Collection Approach. Reasonableness and reliability of the proposed collection methods
e.g., technology, equipment, and containers); reasonableness of productivity and
operating assumptions (i.e., number of routes, route drivers, route hours, stops per
route, and other operating statistics), if applicable; and reasonableness of assumptions.
x AB 341, AB 1826, and SB 1383 Implementation Plan. Completeness of proposed services, public
education program, roll out and maintenance of diversion programs in all service sectors
throughout the City, container/cart distribution.
x Diversion Outreach and Education Programs. The nature, reliability, and innovation of proposed
diversion programs and potential of such programs to divert solid waste from landfill disposal
and meet diversion requirements. Compatibility of the proposed education program, staffing
level, and program ideas with the needs of the City; and, the quality of public education samples
relative to other proposers. Likelihood of diversion programs to meet State-mandated outreach
7.2.a
Packet Pg. 450
City of Diamond Bar, California Section 6. Proposal Evaluation
RFP for Solid Waste Services May 3Updated July 12, 2023
Page32
and education, diversion monitoring and reporting and performance measurement
requirements.
x Proposed Operations Facilities. Plan for providing the facilities needed for equipment storage
and parking, maintenance, and administration. Level of assurance provided, if any, about site
acquisition and timely development of necessary facilities if not proposing an existing,
operational and permitted facility.
x Proposed Disposal, Transfer, and Processing Facilities Reasonableness and reliability of the
proposed facilities for disposal, transfer, and processing of solid waste, recyclable materials, and
organic materials, including documentation of existing facility permitting/approvals and/or
guarantee of sufficient capacity for tonnage from the City service area, and the reasonableness
of proposed material transport plans.
NUMBER AND MATERIALITY OF EXCEPTIONS TO AGREEMENT
The number, nature, and materiality of suggested changes to the Agreement will be considered in
evaluating proposals.
FINANCIAL
x Financial Stability. Financial stability of proposer based on its financial ratios and other financial
considerations.
x Insurance. Demonstrated ability of proposer to obtain adequate insurance.
RATE PROPOSAL
x Reasonableness of Rate Proposals. The logical relationship between proposed rates and
operational assumptions.
x Competitiveness of Rate Proposals. The competitiveness of the overall revenue requirement is
evaluated relative to other proposals.
ALTERNATIVE PROPOSALS
The City is not obligated to evaluate or select alternative proposals. Alternative proposals will be
considered by the City if the City concludes, in its sole discretion, that the alternative proposals warrant
evaluation and analysis. Such evaluation will consider the reasonableness and reliability of proposed
collection methods, technology, equipment, and containers; and the reasonableness of productivity and
operating assumptions (i.e., number of routes, route drivers, route hours, stops per route, program
diversion levels, and other operating statistics considered as pertinent by the City and its consultants).
At the City’s option, the reasonableness and competitiveness of one or more alternative proposal(s) may
be evaluated.
7.2.a
Packet Pg. 451
City of Diamond Bar, California Section 6. Proposal Evaluation
RFP for Solid Waste Services May 3Updated July 12, 2023
Page33
AWARD
Proposals must be complete and must conform to the requirements of this RFP as to form and content.
The franchise or franchises will be awarded for the proposal or proposals that offer the greatest value to
the City. The City, however, reserves the right to reject any or all proposals, to accept or reject any one
or more items of a proposal, or to waive any minor irregularities or informalities in the proposal. City
Council will select the proposal or proposals that it determines to best serve the City and is not bound to
follow the recommendation of City staff or City staff’s proposal evaluations in making its selection. It is
anticipated that all services described in this RFP will be contracted for. However, the City reserves the
right to change such service descriptions prior to award.
7.2.a
Packet Pg. 452
City of Diamond Bar, California Attachments
RFP for Solid Waste Services May 3Updated July 12, 2023
Page34
LIST OF ATTACHMENTS
ATTAHCMENT 1: DRAFT AGREEMENT
ATTACHMENT 2: PROPOSER CODE OF CONDUCT AND NON-COLLUSION
AFFIDAVID
ATTACHMENT 3: SERVICE DATA
ATTACHMENT 4: CURRENT RATES
ATTACHMENT 5: CITY FACILITIES
ATTACHMENT 6: RATE PROPOSAL FORMS
ATTACHMENT 7: RATE ADJUSTMENT METHODOLOGY
ATTACHMENT 8: PROPOSAL OUTLINE
7.2.a
Packet Pg. 453
ADDENDUM #1
DRAFT
FRANCHISE AGREEMENT FOR SOLID WASTE SERVICES
Between the Diamond Bar
and
CONTRACTOR NAME]
This _____ day of Month, 202__
7.2.a
Packet Pg. 454
ADDENDUM #1
City of Diamond Bar – DRAFT i June 12, 2023
Contents
RECITALS ........................................................................................................................................................................... 1
ARTICLE 1: DEFINITIONS .................................................................................................................................................... 4
ARTICLE 2: GRANT AND ACCEPTANCE OF FRANCHISE ..................................................................................................... 18
2.1 GRANT AND ACCEPTANCE OF FRANCHISE, INDEMNITY OF AWARD ..................................................................... 18
2.2 EXCLUSIVE NATURE OF FRANCHISE ...................................................................................................................... 18
2.3 EFFECTIVE DATE .................................................................................................................................................... 19
2.4 TERM OF AGREEMENT .......................................................................................................................................... 19
2.5 CITY’S OPTION TO EXTEND TERM .......................................................................................................................... 19
2.6 REPRESENTATIONS AND WARRANTIES OF CONTRACTOR..................................................................................... 19
2.7 CONDITIONS TO EFFECTIVENESS OF AGREEMENT ................................................................................................ 20
2.8 DELEGATION OF AUTHORITY ................................................................................................................................ 21
2.9 LIMITATIONS TO THE SCOPE ................................................................................................................................. 21
2.10 CITY’S RIGHT TO DIRECT CHANGES ....................................................................................................................... 23
2.10.1 General ......................................................................................................................................................... 23
2.10.2 New Diversion Programs .............................................................................................................................. 23
2.10.3 City’s Right To Acquire Services .................................................................................................................... 23
2.11 OWNERSHIP OF SOLID WASTE AND CITY’S RIGHT TO DIRECT SOLID WASTE .......................................................... 24
2.12 CONTRACTOR’S CORPORATE STATUS ................................................................................................................... 24
2.13 CONTRACTOR CORPORATE AUTHORIZATION ....................................................................................................... 25
2.14 ANNEXATIONS ...................................................................................................................................................... 25
2.15 PERMITS AND LICENSES ........................................................................................................................................ 25
ARTICLE 3: SCOPE OF COLLECTION SERVICES ................................................................................................................... 25
3.1 SERVICES TO BE PROVIDED – GENERAL ................................................................................................................. 25
3.2 SINGLE-FAMILY DWELLING COLLECTION SERVICE ................................................................................................ 26
3.2.1 Cart Sizes ...................................................................................................................................................... 26
3.2.2 Cart Color ..................................................................................................................................................... 26
3.2.3 Refuse Cart Overage .................................................................................................................................... 26
3.2.4 Backyard Service .......................................................................................................................................... 27
3.2.5 Backyard Service for Disabled People .......................................................................................................... 27
3.2.6 Door-To-Door HHW Collection ..................................................................................................................... 27
3.2.7 Annual Household Hazardous Waste Event ................................................................................................. 28
3.2.8 Curbside Used Oil And Oil Filter Collection ................................................................................................... 28
3.2.9 Home Generated Sharps Mail Back Program ............................................................................................... 28
3.2.10 Medication Takeback Program .................................................................................................................... 28
3.2.11 FreeCycle.Com .............................................................................................................................................. 28
3.2.12 Annual Holiday Tree Collection .................................................................................................................... 28
3.2.13 Mulch Give-a-Way........................................................................................................................................ 29
3.3 COMMERCIAL AND MULTI-FAMILY COLLECTION SERVICES .................................................................................. 29
3.3.1 Bin Sizes ........................................................................................................................................................ 29
3.3.2 Commercial And Multi-Family Premises Cart Service................................................................................... 29
3.3.3 Container Color ............................................................................................................................................ 30
3.3.4 Site Visits, Education and Outreach – Commercial Recycling And Organics ................................................ 30
3.3.5 Processing Of Mixed Waste ......................................................................................................................... 31
7.2.a
Packet Pg. 455
ADDENDUM #1
City of Diamond Bar – DRAFT ii June 12, 2023
3.3.6 Scout Service ................................................................................................................................................ 31
3.3.7 Bin Pushout Service ...................................................................................................................................... 32
3.3.8 Locking Bins .................................................................................................................................................. 32
3.3.9 Redelivery/Return Trip Fee ........................................................................................................................... 32
3.4 ROLL-OFF BOX SERVICE ......................................................................................................................................... 32
3.5 TEMPORARY BIN SERVICE ..................................................................................................................................... 33
3.6 ON-CALL BULKY ITEM PICKUP ............................................................................................................................... 33
3.7 CITY SERVICES ....................................................................................................................................................... 34
3.7.1 City Facilities ................................................................................................................................................ 34
3.7.2 City-Sponsored Events .................................................................................................................................. 34
3.7.3 Emergency Collection And DIsposal Service ................................................................................................. 34
3.7.4 Abandoned Item Collection From City Right-of-Way Public Property .......................................................... 35
3.7.5 Community Development Review Services................................................................................................... 35
3.7.6 Large Venue Event Assistance ...................................................................................................................... 35
3.7.7 Confiscation Of Unauthorized Containers .................................................................................................... 35
3.7.8 Provision of Storage Containers ................................................................................................................... 36
3.7.9 Procurement Of Recovered Organics Waste Products ................................................................................. 36
ARTICLE 4: REQUIREMENTS FOR OPERATIONS, EQUIPMENT, AND PERSONNEL .............................................................. 37
4.1 OPERATIONS ......................................................................................................................................................... 37
4.1.1 Schedules...................................................................................................................................................... 37
4.1.2 Missed Pickups ............................................................................................................................................. 37
4.1.3 Holiday Collection Schedule ......................................................................................................................... 37
4.1.4 Change In Collection Schedule ..................................................................................................................... 38
4.1.5 Dedecated Routes ........................................................................................................................................ 38
4.1.6 Overflowing Containers ................................................................................................................................ 38
4.1.7 Graffiti Removal ........................................................................................................................................... 39
4.1.8 Litter Abatement .......................................................................................................................................... 39
4.1.9 Health And Safety Training .......................................................................................................................... 40
4.1.10 Unauthorized Material Removal .................................................................................................................. 40
4.1.11 Report Of Accumulation Of Solid Waste; unauthorized Dumping ............................................................... 40
4.1.12 Route Audit .................................................................................................................................................. 40
4.1.13 Service Exceptions; Hazardous Waste Notifications .................................................................................... 42
4.1.14 Collection of Former Contractor’s Containers .............................................................................................. 42
4.2 VEHICLE REQUIREMENTS ...................................................................................................................................... 43
4.2.1 General ......................................................................................................................................................... 43
4.2.2 Vehcile Specifications ................................................................................................................................... 43
4.2.3 Vehicle Identification.................................................................................................................................... 44
4.2.4 Cleaning And Maintenance .......................................................................................................................... 44
4.2.5 Vehicle Operations ....................................................................................................................................... 45
4.2.6 City Inspection Per Code ............................................................................................................................... 45
4.2.7 Vehicle Inspections ....................................................................................................................................... 46
4.2.8 Correction Of Defects ................................................................................................................................... 46
4.2.9 City Informational Displays .......................................................................................................................... 46
4.2.10 Vehicle And Equipment Inventory ................................................................................................................ 46
4.3 CONTAINER REQUIREMENTS ................................................................................................................................ 47
4.3.1 Cart Requirements ....................................................................................................................................... 47
4.3.2 Bin Requirements ......................................................................................................................................... 50
7.2.a
Packet Pg. 456
ADDENDUM #1
City of Diamond Bar – DRAFT iii June 12, 2023
4.3.3 Roll-Off Box Requirements ........................................................................................................................... 51
4.4 PERSONNEL ........................................................................................................................................................... 51
4.4.1 Qualified Personnel ...................................................................................................................................... 51
4.4.2 Identification Required ................................................................................................................................. 51
4.4.3 Hazardous Material Employee Training ....................................................................................................... 51
4.4.4 Fees And Gratuities ...................................................................................................................................... 52
4.4.5 Non-Discrimination ...................................................................................................................................... 52
4.4.6 Hiring of Displaced Employees ..................................................................................................................... 52
4.4.7 City Liaison ................................................................................................................................................... 52
4.4.8 Service Liaison .............................................................................................................................................. 52
4.4.9 Environmental Coordinator ............................................................................................................................ 53
4.4.10 City’s Right to Approve City and Service Liaison .............................................................................................. 53
ARTICLE 5: PROCESSING AND DISPOSAL REQUIREMENTS ............................................................................................... 53
5.1 TRANSPORTATION OF DISCARDED MATERIALS .................................................................................................... 53
5.2 DIVERSION AND PROCESSING REQUIREMENTS .................................................................................................... 53
5.2.1 Processing Of Recyclables And Organics ...................................................................................................... 54
5.2.2 End Uses For Organics .................................................................................................................................. 54
5.2.3 Bulky Item Diversion ..................................................................................................................................... 54
5.2.4 Construction And Demolition Debris Diversion ............................................................................................ 55
5.2.5 Diversion of Electronic, Universal and Other Special Waste ........................................................................ 55
5.3 MARKETING AND SALE OF RECYCLABLES .............................................................................................................. 55
5.4 USE OF DESIGNATED FACILITIES ............................................................................................................................ 55
5.5 USE OF CONTRACTOR-OWNED APPROVED FACILITEIS ......................................................................................... 56
5.6 SOLID WASTE CAPACITY GUARANTEE ................................................................................................................... 56
ARTICLE 6: OTHER SERVICES ............................................................................................................................................ 57
6.1 BILLING AND CONTRACTOR COMPENSATION ....................................................................................................... 57
6.1.1 Residential Cart Customers .......................................................................................................................... 57
6.1.2 Commercial Cart and Bin Service ................................................................................................................. 57
6.1.3 Disabled Customer Discount ........................................................................................................................ 57
6.1.4 Senior Discount ............................................................................................................................................ 57
6.1.5 Form of Payment .......................................................................................................................................... 58
6.1.6 Temporary Bin and Roll-Off Box Service ....................................................................................................... 58
6.1.7 Automated Billing Payment ......................................................................................................................... 58
6.1.8 Bill Payment by Phone .................................................................................................................................. 58
6.1.9 Review of Billings ......................................................................................................................................... 58
6.1.10 Suspension Of Service Due To Non-Payment ............................................................................................... 59
6.1.11 Debt Collection ............................................................................................................................................. 59
6.1.12 Continued Provision Of Service .................................................................................................................... 60
6.1.13 No Marketing ............................................................................................................................................... 60
6.2 CUSTOMER SERVICE .............................................................................................................................................. 60
6.2.1 Local Office ................................................................................................................................................... 60
6.2.2 Customer Service Portal ............................................................................................................................... 60
6.2.3 Customer Complaints, Inquiries And Service Requests................................................................................. 60
6.2.4 Customer Service Standards ......................................................................................................................... 61
6.2.5 Resolution Of Customer Complaints ............................................................................................................ 62
6.2.6 Emergency Contacts ..................................................................................................................................... 62
7.2.a
Packet Pg. 457
ADDENDUM #1
City of Diamond Bar – DRAFT iv June 12, 2023
6.2.7 Multi-lingual, TDD Services .......................................................................................................................... 62
6.3 CUSTOMER OUTREACH AND EDUCATION............................................................................................................. 62
6.3.1 On-Going Education Requirements .............................................................................................................. 63
6.3.2 AB 341, AB 1826, And SB 1383 Compliance ................................................................................................. 65
ARTICLE 7: FRANCHISE FEE, CALRECYCLE COMPLIANCE FEE, VEHICLE IMPACT FEE, AND OTHER FEES ............................. 66
7.1 FRANCHISE FEE ..................................................................................................................................................... 66
7.2 CALRECYCLE COMPLIANCE FEE ............................................................................................................................. 66
7.3 RESIDENTIAL VEHICLE IMPACT FEE ....................................................................................................................... 67
7.4 RESIDENTIAL STREET SWEEPING FEE .................................................................................................................... 67
7.5 CONTRACTING FEE ................................................................................................................................................ 68
7.6 TIME AND METHOD OF FEE PAYMENTS TO THE CITY ............................................................................................ 68
ARTICLE 8: RECORDS, REPORTS AND INFORMATION REQUESTS ..................................................................................... 68
8.1 GENERAL ............................................................................................................................................................... 68
8.2 RECORDS ............................................................................................................................................................... 69
8.2.1 General ................................................................................................................................................................. 69
8.2.2 Financial Records ......................................................................................................................................... 69
8.2.3 Solid Waste Records ..................................................................................................................................... 70
8.2.4 CERCLA Defense Records .............................................................................................................................. 70
8.2.5 Other Programs’ Records ............................................................................................................................. 71
8.2.6 Audit ............................................................................................................................................................. 71
8.2.7 Payments And Refunds ................................................................................................................................ 72
8.3 REPORTS ............................................................................................................................................................... 72
8.3.1 Monthly Reports ........................................................................................................................................... 73
8.3.2 Quarterly Reports ......................................................................................................................................... 73
8.3.3 Annual Reports ............................................................................................................................................. 74
8.3.4 Financial Reports .......................................................................................................................................... 75
8.4 REPORTING ADVERSE INFORMATION ................................................................................................................... 75
8.5 RIGHT TO INSPECT RECORDS ................................................................................................................................. 75
8.6 FAILURE TO REPORT .............................................................................................................................................. 76
ARTICLE 9: REVIEW OF SERVICES AND PERFORMANCE.................................................................................................... 76
9.1 PERFORMANCE REVIEW MEETING ....................................................................................................................... 76
9.2 PERFORMANCE SATISFACTION SURVEY ................................................................................................................ 77
ARTICLE 10: CONTRACTOR COMPENSATION AND MAXIMUM SERVICE RATES ................................................................ 77
10.1 CONTRACTOR COMPENSATION ............................................................................................................................ 77
10.2 INITIAL RATES ........................................................................................................................................................ 78
10.3 SCHEDULE OF FUTURE ANNUAL RATE ADJUSTMENTS .......................................................................................... 78
10.4 METHOD OF ADJUSTMENTS ................................................................................................................................. 78
10.4.1 Procedure for Single-Family Cart Service And Bin Service ............................................................................ 79
10.4.2 Procedure for Roll-Off BOX Service .............................................................................................................. 83
10.4.3 Procedure for Other Services ........................................................................................................................ 86
10.5 EXTRAORDINARY RATE ADJUSTMENTS ................................................................................................................. 86
ARTICLE 11: INDEMNIFICATION, INSURANCE AND PERFORMANCE BOND ...................................................................... 87
11.1 INDEMNIFICATION OF THE CITY ............................................................................................................................ 87
7.2.a
Packet Pg. 458
ADDENDUM #1
City of Diamond Bar – DRAFT v June 12, 2023
11.1.1 General ......................................................................................................................................................... 87
11.1.2 Hazardous Material Indemnification ........................................................................................................... 88
11.1.3 AB 939 Indemnification and Guarnatee ....................................................................................................... 89
11.1.4 CALRECYCLE Indemnification ....................................................................................................................... 90
11.2 EVALUATION OF LIABILITY .................................................................................................................................... 90
11.3 SEPARATE COUNSEL .............................................................................................................................................. 91
11.4 CONSIDERATION ................................................................................................................................................... 91
11.5 OBLIGATION .......................................................................................................................................................... 91
11.6 COLLECTION SERVICES SUBCONTRACTORS .......................................................................................................... 91
11.7 SURVIVAL .............................................................................................................................................................. 92
11.8 INSURANCE ........................................................................................................................................................... 92
11.9 FAITHFUL PERFORMANCE BOND .......................................................................................................................... 96
11.10 FAITHFUL PERFORMANCE LETTER OF CREDIT ....................................................................................................... 96
11.11 FORFEITURE OF PERFORMANCE BOND ................................................................................................................. 97
11.12 FORFEITURE OF LETTER OF CREDIT ....................................................................................................................... 97
11.13 PERFORMANC SECURITY BEYOND SERVICE TERM ................................................................................................ 97
ARTICLE 12: CITY’S RIGHT TO CONTRACT WITH THIRD PARTIES TO PERFORM FRANCHISE SERVICES .............................. 98
12.1 GENERAL ............................................................................................................................................................... 98
12.2 TEMPORARY POSSESION OF CONTRACTOR’S PROPERTY ...................................................................................... 99
12.3 BILLING AND COMPENSATION TO CITY DURING CITY’S POSSESSION .................................................................... 99
12.4 CITY’S RIGHT TO RELINQUISH POSSESSION ........................................................................................................... 99
12.5 CITY’S POSSESSION NOT A TAKING........................................................................................................................ 99
12.6 DURATION OF CITY’S POSSESSION ...................................................................................................................... 100
ARTICLE 13: DEFAULT AND REMEDIES ........................................................................................................................... 100
13.1 EVENTS OF DEFAULT ........................................................................................................................................... 100
13.2 RIGHT TO TERMINATE UPON DEFAULT AND RIGHT TO SPECIFIC PERFORMANCE............................................... 102
13.3 CITY’S REMEDIES IN THE EVENT OF DEFAULT ...................................................................................................... 103
13.4 CRIMINAL ACTIVITY ............................................................................................................................................. 104
13.5 POSSESSION OF RECORDS UPON TERMINATION ................................................................................................ 104
13.6 CITY’S REMEDIES CUMULATIVE; SPECIFIC PERFORMANCE ................................................................................. 104
13.7 LIQUIDATED DAMAGES ....................................................................................................................................... 104
13.8 SUSPENSION OF PERFORMANCE ........................................................................................................................ 109
13.8.1 Force Majeure ................................................................................................................................................... 109
13.8.2 Labor Unrest ..................................................................................................................................................... 109
13.9 DISPUTE RESOLUTION ......................................................................................................................................... 110
13.9.1 Negotiation And Mediation .............................................................................................................................. 110
13.9.2 Confidentiality .................................................................................................................................................. 110
13.9.3 Injunctive Relief ................................................................................................................................................ 110
13.9.4 Continuing Obligation ....................................................................................................................................... 111
13.9.5 Failure of Mediation ......................................................................................................................................... 111
13.10 ASSURANCE OF PERFORMANCE.......................................................................................................................... 111
ARTICLE 14: OTHER AGREEMENTS OF THE PARTIES ....................................................................................................... 111
14.1 RELATIONSHIP OF PARTIES ................................................................................................................................. 111
14.2 COMPLIANCE WITH LAW .................................................................................................................................... 111
14.3 GOVERNING LAW ................................................................................................................................................ 112
7.2.a
Packet Pg. 459
ADDENDUM #1
City of Diamond Bar – DRAFT vi June 12, 2023
14.4 JURISDICTION ...................................................................................................................................................... 112
14.5 ASSIGNMENT ...................................................................................................................................................... 112
14.6 AFFILIATED COMPANIES ..................................................................................................................................... 113
14.7 CONTRACTING OR SUBCONTRACTING ................................................................................................................ 114
14.8 BINDING ON ASSIGNS ......................................................................................................................................... 114
14.9 TRANSITION TO NEXT CONTRACTOR .................................................................................................................. 114
14.10 PARTIES IN INTERSET ........................................................................................................................................... 115
14.11 WAIVER ............................................................................................................................................................... 115
14.12 CONTRACTOR’S INVESTIGATION ......................................................................................................................... 115
14.13 NOTICE ................................................................................................................................................................ 115
14.14 REPRESENTATIVE OF THE PARTIES ...................................................................................................................... 116
14.15 CITY FREE TO NEGOTIATE WITH THIRD PARTIES ................................................................................................. 116
14.16 COMPLIANCE WITH MUNICIPAL CODE ............................................................................................................... 116
14.17 PRIVACY .............................................................................................................................................................. 116
14.18 PROPRIETARY INFORMATION, PUBLIC RECORDS ................................................................................................ 117
ARTICLE 15: MISCELLANEOUS AGREEMENTS ................................................................................................................. 117
15.1 ENTIRE AGREEMENT ........................................................................................................................................... 117
15.2 SECTION HEADINGS ............................................................................................................................................ 117
15.3 REFERENCES TO LAWS AND OTHER AGREEMENTS ............................................................................................. 117
15.4 INTERPRETATION ................................................................................................................................................ 118
15.5 AGREEMENT ....................................................................................................................................................... 118
15.6 SEVERABILITY ...................................................................................................................................................... 118
15.7 EXHIBITS .............................................................................................................................................................. 118
15.8 ATTORNYS’ FEES .................................................................................................................................................. 118
EXHIBIT 1: INITIAL MAXIMUM SERVICE RATES .............................................................................................................. 120
EXHIBIT 2: EXAMPLE OF RATE ADJUSTMENT PROCEDURE............................................................................................. 120
EXHIBIT 2A – RATE ADJUSTMENT PROCEDURE – SFD CARTS ............................................................................................ 120
EXHIBIT 2B – RATE ADJUSTMENT PROCEDURE – BINS ..................................................................................................... 120
EXHIBIT 2C – RATE ADJUSTMENT PROCEDURE – ROLL-OFF BOXES .................................................................................. 120
EXHIBIT 2D – RATE ADJUSTMENT PROCEDURE – OTHER .................................................................................................. 120
EXHIBIT 2E – EXAMPLE OF INDEX CALCULATION .............................................................................................................. 120
EXHIBIT 3: LIST OF DESIGNATED FACILITIES ................................................................................................................... 120
EXHIBIT 4: LIST OF DIVERSION PRORAM MATERIALS .................................................................................................... 120
EXHIBIT 5: AB 341, AB 1826, AND SB 1383 COMPLIANCE PLAN ..................................................................................... 120
EXHIBIT 6: CORPORATE GUARANTY .............................................................................................................................. 120
EXHIBIT 7: FAITHFUL PERFORMANCE BOND .................................................................................................................. 120
EXHIBIT 8: CONTRACTOR’S PROPOSAL .......................................................................................................................... 120
7.2.a
Packet Pg. 460
ADDENDUM #1
City of Diamond Bar – DRAFT 1 June 12, 2023
This Franchise Agreement for Solid Waste Services (“Agreement”) is entered into this ___ day of
2023 by and between the City of Diamond Bar and [CONTRACTOR NAME]
Contractor”, for the Collection, Transportation, Recycling, Processing, and Disposal of Solid Waste
and other services related to meeting the goals and requirements of the California Integrated Waste
Management Act. In this Agreement, the City and Contractor may be collectively referred to as the
Parties” and individually referred to as “Party.”
RECITALS
WHEREAS, the Legislature of the State of California, by enactment of the California Integrated Waste
Management Act of 1989 (“Act”) and subsequent additions and amendments (codified at California
Public Resources Code Section 40000 et seq.), has declared that it is in the public interest to
authorize and require local agencies to make adequate provisions for Solid Waste handling within
their jurisdiction to meet the goals and requirements of AB 939; and,
WHEREAS, pursuant to California Public Resources Code Section 40059(a)(2), the City Council of the
City of Diamond Bar has determined that the public health, safety, and well-being require that an
exclusive franchise be awarded to a qualified company for the Collection, Transfer and
Transportation, Recycling, Processing, and Disposal of Solid Waste and other services related to
meeting the Diversion goals required by AB 939, and other requirements of the California Integrated
Waste Management Act; and,
WHEREAS, the Legislature of the State of California, in California Public Resources Code Section
41780 et seq., has declared a mandatory commercial Recycling program and that it is the policy goal
of the state that not less than 75 percent of Solid Waste generated be source reduced, recycled, or
composted by the year 2020, and annually thereafter; and,
WHEREAS, the Legislature of the State of California, in California Public Resources Code Section
41781.3 et seq., has declared that as of January 1, 2020, the use of green material as Landfill
alternative daily cover will no longer constitute Diversion through Recycling and will instead be
considered Disposal in terms of measuring a jurisdiction’s annual 50 percent per capita disposal rate;
and,
WHEREAS, California Public Resources Code Section 42649 et seq., requires a mandatory commercial
Organic Waste Diversion program; and,
WHEREAS, the Short-Lived Climate Pollutants Bill of 2016 (SB 1383) establishes regulatory
requirements for jurisdictions, generators, haulers, Solid Waste facilities, and other entities to
support achievement of state-wide Organic Waste Disposal reduction targets; and
WHEREAS, SB 1383 requires jurisdictions 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 Contractor, acting as the City’s designee, through
this Agreement; and,
7.2.a
Packet Pg. 461
ADDENDUM #1
City of Diamond Bar – DRAFT 2 June 12, 2023
WHEREAS, the City declares its intention of maintaining reasonable rates and quality service related
to the Collection, Transportation, Recycling, Processing, and Disposal of Solid Waste and other
services; and,
WHEREAS, the California Department of Resources Recycling and Recovery (“CalRecycle”)
promulgated regulations to implement SB 1383 (the “SB 1383 Regulations”) for local jurisdictions,
Generators, haulers, Solid Waste facilities, and other entities to support achievement of statewide
Organic Waste Disposal reduction targets; and,
WHEREAS, the current franchise agreement will expire on August 30, 2025; and,
WHEREAS, in response to a Request for Proposals, the Contractor has submitted a proposal to the
City and the City selected the Contractor on the competitive advantages of that proposal over other
proposals received by the City; and
WHEREAS, City and Contractor (“Parties”) hereto desire to enter said Agreement; and,
WHEREAS, City and Contractor are mindful of the provisions of the laws governing the safe
Collection, Transport and Transportation, Recycling, Processing and Disposal of Solid Waste, including
AB 939, the Resource Conservation and Recovery Act (“RCRA”), and the Comprehensive
Environmental Response, Compensation and Liability Act (“CERCLA”). City and Contractor desire to
leave no doubts as to their respective roles and to memorialize that by entering into this Agreement,
City is not thereby becoming an “arranger” or a “generator” as those terms are used in CERCLA, and
that it is Contractor, not City, who is “arranging for” the Collection from premises in the City,
Transport for Disposal, Composting or other Processing, and Recycling of municipal Solid Waste
which may contain Hazardous Material; and further to confirm that as a material inducement to City
entering into this Agreement, Contractor has agreed to fully indemnify City in connection with any
claims, losses, liabilities, lawsuits or actions relating to the inadvertent or intentional Collection,
Transportation and/or Disposal of Hazardous Materials that may occur in connection with
Contractor’s performance under this Agreement, and
WHEREAS, the State of California has found and declared that the amount of Solid Waste generated
in California, coupled with diminishing Landfill space and potential adverse environmental impacts
from Landfill Disposal and the need to conserve natural resources, have created an urgent need for
State and local agencies to enact and implement an aggressive integrated waste management
program. The State has, through enactment of AB 939 and subsequent related legislation including,
but not limited to: AB 2176 (Chapter 879, Statutes of 2004), SB 1016 (Chapter 343, Statutes of 2008),
AB 341 (Chapter 476, Statutes of 2011), AB 1826 (Chapter 727, Statutes of 2014), and SB 1383
Chapter 395, Statutes of 2016), directed the responsible State agency, and all local agencies, to
promote a reduction in Landfill Disposal and to maximize the use of feasible waste reduction, Reuse,
Recycling, and composting options in order to reduce the amount of material that must be Disposed;
and,
WHEREAS, the City Council of the City of Diamond Bar hereby desires that Contractor be engaged to
provide for both the Collection of Solid Waste within the corporate limits of the City of Diamond Bar
7.2.a
Packet Pg. 462
ADDENDUM #1
City of Diamond Bar – DRAFT 3 June 12, 2023
and the Transportation of such Solid Waste to appropriate places for Processing, Recycling, Organics
Diversion, and Disposal, and to perform such services on the terms and conditions set forth in this
Agreement; and
WHEREAS, Contractor has agreed, as part of this Agreement, acting as an independent contractor to
provide such personnel, equipment and supplies as are necessary to ensure City complies with the
requirements of Public Resources Code Section 49100 et seq.,
WHEREAS, Contractor agrees to and acknowledges that it shall arrange for the proper Disposal of all
Solid Waste Collected in City and City is not instructing Contractor how to Collect, Process and
Dispose of Solid Waste.
WHEREAS, consistent with provisions of the Act, including Public Resources Code Section 40059,
aspects of Solid Waste Services are of local concern, including frequency of collection, means of
collection and Transportation, level of services, charges and fees, the nature, location, and extent of
providing Solid Waste Services, and whether the services are to be provided by means of a non-
exclusive, partially exclusive, or wholly exclusive franchise, contract, license, or otherwise which may
be granted by the City under terms and conditions prescribed by the City Council; and
WHEREAS, this Agreement has been developed by and is satisfactory to the City and the
CONTRACTOR,
Now, therefore, in consideration of the mutual covenants, conditions and consideration contained
herein, the City and Contractor hereby agree as hereinafter set forth:
7.2.a
Packet Pg. 463
ADDENDUM #1
City of Diamond Bar – DRAFT 4 June 12, 2023
ARTICLE 1: DEFINITIONS
For the purpose of this Agreement, the definitions contained in this Article shall apply unless
otherwise specifically stated. If a word or phrase is not defined in this Agreement, the definition of
such word or phrase as contained in the City of Diamond Bar Municipal Code shall control.
1.1 AFFILIATE
Affiliate” means all businesses, including, without limitation, corporations, limited and general
partnerships and sole proprietorships, that are directly or indirectly related to the Contractor by
virtue of direct or indirect ownership interest or common management. Such businesses shall be
deemed to be “Affiliated with” the Contractor and included within the term “Affiliates” as used
herein. An Affiliate includes: (i) a business in which the Contractor has a direct or indirect ownership
interest; (ii) a business that has a direct or indirect ownership interest in the Contractor; and/or (iii) a
business that is also owned, controlled or managed by any business or individual which has a direct
or indirect ownership interest in the Contractor. For the purposes of this definition, “ownership”
means ownership as defined in the constructive ownership provisions of Section 318(a) of the
Internal Revenue Code of 1986, as in effect on the effective date, provided that ten percent (10%)
shall be substituted for fifty percent (50%) in Section 318(a)(2)(C) and in Section 318(a)(3)(C) thereof;
and Section 318(a)(5)(C) shall be disregarded. For purposes of determining ownership under this
paragraph and constructive or indirect ownership under Section 318(a), ownership interest of less
than ten percent (10%) shall be disregarded and percentage interests shall be determined on the
basis of the percentage of voting interest of value that the ownership interest represents, whichever
is greater. Being an Affiliate does not exempt a business from the application of assignment
requirements under Section 14.5
1.2 AGREEMENT
Agreement” means this Franchise Agreement between the City and Contractor for the Collection,
Transportation, Recycling, Processing, and/or Disposal, of Solid Waste, and other services related to
meeting the goals and requirements of AB 939, including all exhibits and attachments, and any
amendments thereto.
1.3 APPLICABLE LAW
Applicable Law" means all statutes, rules, regulations, guidelines, actions, determinations, Permits,
orders, or requirements of the United States, State, County of Los Angeles, City and local and
regional government authorities and agencies having applicable jurisdiction, that apply to or govern
the Site or the performance of the Parties’ respective obligations hereunder, including any of the
foregoing which concern health, safety, fire, environmental protection, labor relations, mitigation
monitoring plans, building codes, zoning, non-discrimination, and prevailing wages if applicable. All
references herein to Applicable Law include subsequent amendments or modifications thereof,
unless otherwise specifically limited in this Agreement.
7.2.a
Packet Pg. 464
ADDENDUM #1
City of Diamond Bar – DRAFT 5 June 12, 2023
1.4 ASSEMBLY BILL 341 (AB 341)
AB 341” means the California Jobs and Recycling Act of 2011 (Chapter 476, Statutes of 2011
Chesbro, AB 341]), also commonly referred to as “AB 341,” as it may be amended supplemented,
superseded, or replaced from time to time.
1.5 ASSEMBLY BILL 939 (AB 939) (ACT)
AB 939" means the California Integrated Waste Management Act of 1989 (California Public
Resources Code Section 40000 et seq.), as it may be amended, supplemented, superseded, or
replaced from time to time.
1.6 ASSEMBLY BILL 1594 (AB 1594)
AB 1594” means that per California Public Resources Code Section 41781.3 et seq., commencing
January 1, 2020, the use of green material as Landfill alternative daily cover does not constitute
Diversion through Recycling and shall be considered Disposal.
1.7 ASSEMBLY BILL 1826 (AB 1826)
AB 1826” means the Organic Waste Recycling Act of 2014 (Chapter 727, Statutes of 2014 modifying
Division 30 of the California Public Resources Code), also commonly referred to as “AB 1826,” as
amended, supplemented, superseded, and replaced from time to time.
1.8 BILLINGS
Billings” means any and all statements of charges for services rendered in accordance with this
Agreement, howsoever made, described or designated by City or Contractor, or made by others for
City or Contractor, to Customers in the City.
1.9 BIN
Bin” means a metal or plastic Container with hinged lid(s) and wheels serviced by a front-end
loading Collection vehicle with a Container capacity of less than (10) cubic yards, including Bins with
compactors attached to increase the capacity of the Bin. Bins are also known as dumpsters.
1.10 BIN SERVICE
Bin Service” means Solid Waste Collection provided by Contractor to Customers using Bins(s) to
accumulate and store their Discarded Materials for collection.
1.11 BLUE CONTAINER
Blue Container” has the same meaning as in 14 CCR Section 18982.2(a)(5) and shall be used for the
purpose of storage and Collection of Source Separated Recyclable Materials.
7.2.a
Packet Pg. 465
ADDENDUM #1
City of Diamond Bar – DRAFT 6 June 12, 2023
1.12 BULKY ITEMS
Bulky Items” means Discarded Materials that cannot and / or would not typically be accommodated
within a Cart including specifically: discarded furniture (including chairs, sofas, mattresses, carpet,
and other similar items); appliances (including refrigerators, ranges, washers, dryers, water heaters,
dishwashers, plumbing, small household appliances, and other similar items, commonly known as
white goods”); unusually large amounts of yard debris and Green Waste and small pieces of wood
limited to one cubic yard of contained material; Electronic Waste (including stereos, televisions,
computers and monitors, VCRs, microwaves and other similar items commonly known as “brown
goods” and “e-waste”); Bulky Items do not include car bodies, tires, or C&D Debris, or any other
items that require more than two (2) Persons to remove. Other items not specifically included or
excluded above will be Collected provided that they are not more than eight (8) feet in length, four
feet in width, or more than 150 pounds. In the event a question ever arises as to whether a specific
item or category of items meets the definition of Bulky Items, City Administrator shall be responsible
to determine whether said definition shall apply, which determination shall be final and binding on
the Parties.
1.13 BUSINESS DAYS
Business Days” mean days during which the City’s administrative offices are normally open to do
business with the public.
1.14 CALRECYCLE
CalRecycle” means the State of California’s Department of Resources Recycling and Recovery, and,
as this department was structured prior to January 1, 2010, the California Integrated Waste
Management Board or CIWMB, as well as any successor agency to CalRecycle.
1.15 CART
Cart” means a heavy plastic receptacle and a rated capacity of at least thirty (30) gallons and not
more than one-hundred one (101) gallons, having a hinged, tight-fitting lid and wheels, that is
approved by the Contract Administrator for use by Customers for Collection services under this
Agreement.
1.16 CITY
City” means the City of Diamond Bar, California, a municipal corporation, and all the territory lying
within the municipal boundaries of the City as presently existing or as such boundaries may be
modified during the term of this Agreement.
1.17 COLLECT, COLLECTED, COLLECTION
Collect" or "Collection" means to take physical possession, Transport, and remove Discarded
Materials within and from City.
7.2.a
Packet Pg. 466
ADDENDUM #1
City of Diamond Bar – DRAFT 7 June 12, 2023
1.18 COMMENCEMENT DATE
Commencement Date” means the date specified in Section 2.4 when the Contractor is to begin
providing Solid Waste Services and other related services required by this Agreement.
1.19 COMMERCIAL EDIBLE FOOD GENERATORS
Commercial Edible Food Generators” includes Tier One Commercial Edible Food Generators and Tier
Two Commercial Edible Food Generators, or as otherwise defined in 14 CCR Section 18982(a)(7). For
the purposes of this definition, Food Recovery Organizations and Food Recovery Services are not
Commercial Edible Food Generators, or as otherwise specified by 14 CCR Section 18982(a)(7).
1.20 COMMERCIAL PREMISES
Commercial Premises" means Premises upon which business activity is conducted, including but not
limited to retail sales, services, wholesale operations, manufacturing and industrial operations, but
excluding Residential Premises upon which business activities are conducted when such activities are
permitted under applicable zoning regulations and are not the primary use of the property.
Notwithstanding any provision to the contrary herein, in the City of Diamond Bar Municipal Code, or
otherwise, for purposes of this Agreement, Premises upon which the following uses (as defined in
the Diamond Bar Municipal Code) are occurring shall be deemed to be Commercial Premises:
Assisted Living Facilities, Convalescent Homes, Dormitories, Extended Stay Motels, Hotels, Motels,
and Multi-Family Premises with five (5) units or more.
1.21 COMMERCIAL EDIBLE FOOD GENERATORS
Commercial Edible Food Generators” includes Tier One Commercial Edible Food Generators and Tier
Two Commercial Edible Food Generators, or as otherwise defined in 14 CCR Section 18982(a)(7). For
the purposes of this definition, Food Recovery Organizations and Food Recovery Services are not
Commercial Edible Food Generators, or as otherwise specified by 14 CCR Section 18982(a)(7).
1.22 COMMUNITY COMPOSTING
Community Composting” means any activity that composts green material, agricultural material,
food material, and vegetative food material, alone or in combination, and the total amount of
feedstock and Compost on-site at any one time does not exceed 100 cubic yards and 750 square feet,
as specified in 14 CCR Section 17855(a)(4); or as otherwise defined in 14 CCR Section 18982(a)(8).
1.23 COMPOST, COMPOSTING
Compost” has the same meaning as in 14 CCR Section 17896.2(a)(4), which stated, as of the
effective date of this Agreement, that “Compost” means the product resulting from the controlled
biological decomposition of organic Solid Wastes that are Source Separated from the municipal Solid
Waste stream, or which are separated at a centralized facility.
7.2.a
Packet Pg. 467
ADDENDUM #1
City of Diamond Bar – DRAFT 8 June 12, 2023
1.24 CONTRACT ADMINISTRATOR
Contract Administrator” means _____________________, or any subsequent Person, or his or her
designee, designated by the City to administer and monitor the provisions of this Agreement.
1.25 CONTRACTOR
Contractor” means [CONTRACTOR NAME], and its officers, directors, employees, agents, companies,
and Subcontractors.
1.26 CONTRACTOR’S PROPOSAL
Contractor's Proposal" means the proposal submitted by Contractor to City on ____________, 2023
in response to a Request for Proposals dated ____________, 2023. Contractor's Proposal was
selected by City based on its competitive advantages over other proposals received, and City
specifically relied upon the representations and warranties set forth therein in entering into this
Agreement. Contractor's Proposal is attached as Exhibit 8 and incorporated into this Agreement by
reference, and Contractor represents and warrants that all representations set forth in such proposal
are true and correct.
1.27 CONTRACTOR COMPENSATION
Contractor Compensation" means the revenue received by the Contractor from Billings, excluding
City fees as defined in Article 7 of this Agreement, in return for providing services in accordance with
this Agreement and any amendments to this Agreement.
1.28 CONSTRUCTION AND DEMOLITION DEBRIS OR C&D OR C&D DEBRIS
Construction and Demolition Debris" or “C&D Material,” means any combination of inert building
materials and Solid Waste resulting from construction, remodeling, repair, cleanup, or demolition
operations as defined in California Code of Regulations, Title 22 Section 66261.3 et seq. This term
includes, but is not limited to, asphalt, concrete, Portland cement concrete, brick, lumber, gypsum
wallboard, cardboard, and other associated packaging; roofing material, ceramic tile, carpeting,
plastic pipe, and steel. The material may be commingled with rock, soil, tree stumps; and other
vegetative matter resulting from land clearing and landscaping for construction or land development
projects. Accepted and prohibited materials are listed in Exhibit 4.
1.29 CONTAINER(S)
Container(s)” means any and all types of Solid Waste receptacles, including Carts, Bins, dumpsters,
debris boxes, Roll-Off Boxes, and Compactors.
1.30 CONTAINER CONTAMINATION
Container Contamination” means the following: (i) discarded materials placed in the Blue Container
that are not Blue Container Waste; (ii) discarded materials placed in the Green Container that are not
Green Container Waste; (iii) discarded materials placed in the Gray Container that are Blue Container
7.2.a
Packet Pg. 468
ADDENDUM #1
City of Diamond Bar – DRAFT 9 June 12, 2023
Waste or Green Container Waste; and, (v) non-Solid Waste items placed in any container.
1.31 CUSTOMER(S)
Customer” means the Person having the care and control of any Premises in the City and to whom
Contractor submits its billing invoice and collects payment for Solid Waste Services provided
pursuant to the terms of this Agreement.
1.32 DAY
Day” means calendar day unless otherwise specified in this Agreement.
1.33 DESIGNATED FACILITY(IES)
Designated Facility(ies)” means any one of or any combination of Disposal, Transfer, or Processing
facilities including, C&D Processing Facilities; Landfills; High Diversion Organic Waste Processing
Facilities; Organics Waste Processing Facilities, Source Separated Recyclable Materials Processing
Facilities; and Transfer Facilities as defined in this Article and listed in Exhibit 3. Any such facility
utilized by the Contractor shall be designed and constructed in accordance with Applicable Laws and
shall have been issued all permits from federal, state, regional, county and city agencies necessary
for it to operate. Contractor shall notify City Administrator within One Business Day of any change in
Designated Facilities and must submit to the City Administrator an up-to-date Designated Facilities
list annually.
1.34 DISCARDED MATERIALS
Discarded Materials” are a form of Solid Waste and shall be regulated as such. For purposes of this
Agreement, material is deemed to have been discarded, without regard to whether it is destined for
Recycling or Disposal, and whether or not it has been separated from other Solid Wastes, in all cases
where a fee or other compensation, in any form or amount, is directly or indirectly solicited from, or,
levied, charged, or otherwise imposed on, or paid by, the Generator or Customer in exchange for
handling services. As used herein, handling services include, without limitation, the Collection,
removal, Transportation, delivery, and Processing and/or Disposal of the material. Discarded
Materials do not include Edible Food that is recovered for human consumption and is not discarded.
For the purposes of this Agreement, Discarded Materials include Source Separated Recyclable
Materials, Source Separated Green Container Organic Waste, Food Waste, Refuse, and C&D once the
materials have been placed in Containers for Collection.
1.35 DISPOSAL
Disposal” or “Disposed” mean the final disposition of any Solid Waste Collected by the Contractor or
Residue from Processing activities at a permitted Landfill or other permitted Solid Waste facility.
1.36 DISPOSAL SITE(S)
Disposal Site(s)" means the Solid Waste facility or Facilities utilized for the ultimate Disposal of Solid
7.2.a
Packet Pg. 469
ADDENDUM #1
City of Diamond Bar – DRAFT 10 June 12, 2023
Waste Collected by Contractor.
1.37 DIVERT, DIVERSION
Divert” or “Diversion” means to Divert from Disposal facilities or Transformation facilities (including
incineration, pyrolysis, distillation, gasification biological conversion) through source reduction,
Reuse, salvage, Recycling, and Composting, as provided in Section 41780 of California Public
Resources Code as such act may be hereafter amended or superseded provided that Divert or
Diversion shall include delivery to Transformation facilities if the overall Diversion achieved by the
City is at a level where delivery to such facilities shall be considered Diversion pursuant to the Act.
1.38 DWELLING UNIT
Dwelling Unit” means any individual living unit in a Residential Premises intended for, or capable of
being utilized for, Residential living other than a hotel or motel.
1.39 EDIBLE FOOD
Edible Food” means food intended for human consumption. For the purposes of this Agreement,
Edible Food is not Solid Waste if it is recovered and not discarded. Nothing in this Agreement
requires or authorizes the recovery of Edible Food that does not meet the food safety requirements
of the California Retail Food Code. If the definition in 14 CCR Section 18982(a)(18) for Edible Food
differs from this definition, the definition in 14 CCR Section 18982(a)(18) shall apply to this
Agreement.
1.40 ELECTRONIC WASTE, E-WASTE
Electronic Waste” or “E-Waste” means discarded electronic equipment and includes, but is not
limited to, stereos, televisions, computers and computer monitors, VCRs, cellular phones, fax
machines, household copiers, computer printers, other electronic items with electric plugs that are
banned from Landfill Disposal, and other similar items commonly known as “brown goods.”
1.41 ENFORCEMENT ACTION
Enforcement Action” means an action of the City to address non-compliance including, but not
limited to, issuing administrative citations, fines, penalties, or using other remedies.
1.42 ENVIRONMENTAL LAW
Environmental Law” means any federal and state statute, county, local and City ordinance, rule,
regulation, order, consent decree, judgment or common-law doctrine, and provisions and conditions
or permits, licenses and other operating authorizations relating to (i) pollution or protection of the
environment, including natural resources, (ii) exposure of Persons, including employees, to
Hazardous Materials or other products, raw materials, chemicals or other substances, (iii) protection
of the public health or welfare from the effects of by-products, wastes, emissions, discharges or
releases of chemical substances from industrial or Commercial activities, or (iv) regulations of the
7.2.a
Packet Pg. 470
ADDENDUM #1
City of Diamond Bar – DRAFT 11 June 12, 2023
manufacture, use or introduction into commerce of chemical substances, including, without
limitation, their manufacture, formulation, labeling, distribution, Transportation, handling, storage
and Disposal.
1.43 EXCLUDED WASTE
Excluded Waste” means Hazardous Substance, Hazardous Waste, Biohazardous or Biomedical
Waste, volatile, corrosive, medical waste, infectious, regulated radioactive waste, and toxic
substances or material that Designated Facility operator(s) reasonably believe(s) would, as a result of
or upon acceptance, Transfer, Processing, or Disposal, be a violation of local, State, or Federal law,
regulation, or ordinance, including: land use restrictions or conditions, waste that cannot be
Disposed of in Class III Landfills or accepted at the Facility by permit conditions, waste that in
Contractor’s reasonable opinion would present a significant risk to human health or the
environment, cause a nuisance or otherwise create or expose Contractor or City to potential liability;
but not including de minimis volumes or concentrations of waste of a type and amount normally
found in Residential Solid Waste after implementation of programs for the safe Collection,
Processing, Recycling, treatment, and Disposal of batteries and paint in compliance with Sections
41500 and 41802 of the California Public Resources Code.
1.44 FOOD WASTE
Food Waste” means all kitchen and table food scraps, animal or vegetable waste that is generated
during or results from the storage, preparation, cooking or handling of food stuffs; discarded
compostable paper that is contaminated with Food Waste; fruit waste, grain waste, dairy waste,
meat, and fish waste, which has been Source Separated from other Solid Waste, Food Waste is a
subset of Organic Materials and excludes Hazardous Waste. Edible Food separated for Food Recovery
shall not be considered Food Waste. See Exhibit 4 for accepted and prohibited materials.
1.45 FRANCHISE
Franchise" means the special right granted by City to operate a public utility for Solid Waste Services
within the City.
1.46 FRANCHISE FEE
Franchise Fee” means the fee paid by Contractor to City for the right to hold the Franchise for Solid
Waste Services granted by this Agreement.
1.47 GRAY CONTAINER
Gray Container” has the same meaning as in 14 CCR Section 18982(a)(28) and shall be used for the
purpose of storage and Collection of Gray Container Waste or Mixed Waste.
7.2.a
Packet Pg. 471
ADDENDUM #1
City of Diamond Bar – DRAFT 12 June 12, 2023
1.48 GREEN CONTAINER
Green Container” has the same meaning as in 14 CCR Section 18982(a)(29) and shall be used for the
purpose of storage and Collection of Source Separated Green Container Organic Waste.
1.49 GROSS RECEIPTS
Gross Receipts” means and includes all revenues actually received by Contractor or subsidiaries,
parent companies or other affiliates of Contractor from Billings and compensation in any form arising
from, or attributable to, the provision of Solid Waste Services by Contractor to its Customers in the
City pursuant to this Agreement, without deducting Disposal fees, City Fees, or any other fees or cost
of doing business. Gross Receipts does not include any revenue received by Contractor from the sales
of Recyclable Materials.
1.50 HAZARDOUS MATERIAL
Hazardous Material” is defined to include any hazardous or toxic substance, material or waste which
is or becomes regulated by any local governmental authority, the State of California, or the United
States Government. The term “Hazardous Material” includes, without limitation, any material or
substance which is: (i) petroleum or oil or gas or any direct or derivate product or byproduct thereof;
ii) defined as a “hazardous waste,” “extremely hazardous waste” or “restricted hazardous waste”
under Sections 25115, 25117 or 25122.7, or listed pursuant to Section 25140, of the California Health
and Safety Code, Division 20, Chapter 6.5 (Hazardous Waste Control Law); (iii) defined as a
hazardous substance” under Section 25316 of the California Health and Safety Code, Division 20,
Chapter 6.8 (Carpenter-Presley-Tanner Hazardous Substance Account Act); (iv) defined as a
hazardous material,” “hazardous substance,” or “hazardous waste” under Sections 25501(j) and (k)
and 25501.1 of the California Health and Safety Code, Division 20, Chapter 6.95 (Hazardous Materials
Release Response Plans and Inventory); (v) defined as a “hazardous substance” under Section 25281
of the California Health and Safety Code, Division 20, Chapter 6.7 (Underground Storage of
Hazardous Substances); (vi) “used oil” as defined under Section 25250.1 of the California Health and
Safety Code; (vii) asbestos; (viii) listed under Chapter 11 of Division 4.5 of Title 22 of the California
Code of Regulations, or defined as hazardous or extremely hazardous pursuant to Chapter 10 of
Division 4.5 of Title 22 of the California Code of Regulations; (ix) defined as waste or a hazardous
substance pursuant to the Porter-Cologne Act, Section 13050 of the California Water Code; (x)
designated as a “toxic pollutant” pursuant to the Federal Water Pollution Control Act, 33 U.S.C.
Section 1317; (xi) defined as “ hazardous waste” pursuant to the Federal Resource Conservation and
Recovery Act, 42 U.S.C. Section 6901, et seq. (42 U.S.C. § 6903); (xii) defined as a “hazardous
substance” pursuant to the Comprehensive Environmental Response, Compensation and Liability
Act, 42 U.S.C. § 6901); (xiii) defined as “Hazardous Material” pursuant to the Hazardous Materials
Transportation Act 29 U.S.C. Section 5101, et seq.: or (xiv) defined as such or regulated by any
Superfund” or “Super lien” law, or any other federal, state or local law, statute, ordinance, code,
rule, regulation, order or decree regulating, relating to, or imposing liability or standards of conduct
concerning Hazardous Materials and/or oil wells and/or underground storage tanks and/or pipelines,
as now, or at any time hereafter, in effect; (xv) defined as “medical waste” or “biohazardous waste”
under applicable Federal or State law, excluding Home Generated Sharps as defined in Section 1.53.
7.2.a
Packet Pg. 472
ADDENDUM #1
City of Diamond Bar – DRAFT 13 June 12, 2023
1.51 HIGH DIVERSION ORGANIC WASTE PROCESSING FACILITY
High Diversion Organic Waste Processing Facility” means a facility that is in compliance with the
reporting requirements of 14 CCR § 18815.5(d) and meets or exceeds an annual average Mixed
Waste organic content Recovery rate of 50 percent between January 1, 2022 and December 31,
2024, and 75 percent after January 1, 2025, as calculated pursuant to 14 CCR § 18815.5I for Organic
Waste received from the “Mixed waste organic collection stream” as defined in 14 CCR §
17402(a)(11.5); or, as otherwise defined in 14 CCR § 18982(a)(33).
1.52 HOLIDAYS OR DESIGNATED HOLIDAYS
Holidays” or “Designated Holidays” shall mean New Year’s Day, Memorial Day, Independence Day,
Labor Day, Thanksgiving Day, and Christmas Day.
1.53 HOME GENERATED SHARPS
Home-Generated Sharps” means hypodermic needles, pen needles, syringes, intravenous needles,
lancets, and other devices that are used to penetrate the skin for the delivery of medications derived
from a household including Residential Dwelling units.
1.54 HOUSEHOLD HAZARDOUS WASTE (HHW)
Household Hazardous Waste" or “HHW” means material used in residences that may threaten
human health or the environment when improperly discarded and usually has one or more of the
following characteristics; flammable, toxic, corrosive, and/or reactive.
1.55 LANDFILL
Landfill” means a “Solid Waste Landfill” defined by Public Resources Code Section 40195.1
1.56 MATERIALS RECOVERY FACILITY (MRF)
Materials Recovery Facility" means a permitted Solid Waste facility where Solid Wastes or
Recyclable Materials are sorted or separated for the purposes of Recycling, Processing or
Composting.
1.57 MIXED WASTE PROCESSING
Mixed Waste Processing” means the separation and sorting of recyclables and other recoverable
materials from Refuse at a MRF where commingled loads of Solid Waste are Processed.
1.58 MULTI-FAMILY PREMISES
Multi-Family Premises” means any Residential Premises five (5) or more Dwelling Units (not
including hotels or motels), irrespective of whether residence therein is transient, temporary or
permanent. which receive Collection services from centralized locations. Multi-Family Premises
generally receive Solid Waste Services through the use of shared Bins, but may use Carts.
7.2.a
Packet Pg. 473
ADDENDUM #1
City of Diamond Bar – DRAFT 14 June 12, 2023
1.59 ORGANIC WASTE OR GREEN CONTAINER WASTE
Organic Waste’ or ‘Organics’ means solid wastes containing material originated from living
organisms and their metabolic waste products including, but not limited to, Food Waste, Green
Material, landscape and pruning waste, organic textiles and carpets, lumber, wood, paper products,
printing and writing paper, manure, biosolids, digestate, and sludges, or as otherwise defined in 14
CCR Section 18882(a)(46); or that is collected in a green container as defined in 14 CCR 18982(a)(29).
Biosolids and digestate are as defined by 14 CCR Section 18982(a). The term is used interchangeably
with Green Container Waste.
1.60 ORGANICS MATERIAL PROCESSING FACILITY
Organic Materials Processing Facility” means a permitted Facility where Organic Material is sorted,
mulched, or separated for the purposes of Recycling, reuse or composting.
1.61 PERSON
Person” means any individual, firm, limited liability company, partnership, public or private
corporation, business trust, join venture, organization, organization, the United States, the State of
California, the County of Los Angeles, or any political subdivision, government agency, municipality,
and special purpose districts.
1.62 PREMISES
Premises” means any parcel of land, building and/or structure or portion thereof, in the City where
Solid Waste is produced, generated or accumulated.
1.63 PROCESS, PROCESSED, OR PROCESSING
Process”, “Processed” or “Processing” means the controlled separation, recovery, volume
reduction, conversion, or Recycling of Solid Waste including, but not limited to, organized, manual,
automated, or mechanical sorting, the use of vehicles for spreading of waste for the purpose of
recovery, and/or includes the use of conveyor belts, sorting lines, or volume reduction equipment, or
as otherwise defined in 14 CCR Section 17402(a)(20).
1.64 RATE YEAR
Rate Year" means the period July 1 to June 30, for each year during the Term of this Agreement.
1.65 RECYCLABLES OR BLUE CONTAINER WASTE
Recyclable Materials’ or ‘Recyclables’ means non-putrescible and non-hazardous recyclable wastes,
including, but not limited to, bottles, cans, metals, plastics, and glass, or as otherwise defined in 14
CCR Section 18982(a)(43); or that is collected in a blue container as defined in 14 CCR 18982(a)(5).
The term is used interchangeably with Blue Container Waste or materials. See Exhibit 4 for accepted
and prohibited materials. The City and Contractor agree to meet from time to time as needed, and in
good faith consider modifications to the list in Exhibit 4 of acceptable Recyclable Material to address
7.2.a
Packet Pg. 474
ADDENDUM #1
City of Diamond Bar – DRAFT 15 June 12, 2023
developments in processing technologies, emerging uses for various types of materials, changes in
available markets, or other relevant issues.
1.66 RECYCLE, RECYCLING
Recycle” or “Recycling” means the process of Collecting, sorting, cleansing, treating, Processing and
reconfiguring materials for the purpose of returning them to the economic mainstream in the form
of raw material for new, Reused, or reconstituted products that meet the quality standards
necessary to be used in the marketplace. Recycling includes processes deemed to constitute a
reduction of Landfill Disposal pursuant to 14 CCR, Division 7, Chapter 12, Article 2. Recycling does not
include gasification or transformation as defined in Public Resources Code Section 40201.
1.67 REFUSE OR GRAY CONTANER WASTE
Refuse’ means discarded waste or garbage that may contain nonorganic material, or processed
industrial materials or that is collected in a gray container as defined in 14 CCR 18982 (a)(28). The
term is used interchangeably with Gray Container Waste. “Refuse” does not include sewage,
Construction and Demolition Debris, Recyclable Materials, and/or Organic Materials placed in source-
separated Containers for Collection.
1.68 RENEWABLE NATURAL GAS OR RNG
Renewable Natural Gas” or “RNG” means gas derived from Organic Waste that has been Diverted
from Landfill Disposal and Processed at an in-vessel digestion facility that is permitted or otherwise
authorized by 14 CCR to recover Organic Waste, or as otherwise defined in 14 CCR Section
18982(a)(62).
1.69 RESIDENTIAL
Residential" refers to services performed at and for Residential Premises, which include both single-
family and Multi-Family Premises.
1.70 RESIDUAL OR RESIDUE
Residual” or “Residue” means the Solid Waste destined for Disposal, further Transfer/Processing as
defined in 14 CCR Section 17402(a)(30) or 14 CCR Section 17402(a)(31), or transformation which
remains after Processing has taken place and is calculated in percent as the weight of Residual
divided by the total incoming weight of materials.
1.71 ROLL-OFF BOX
Roll-Off Box” means an open or closed-top metal Container, roll-top Container, or closed compactor
Container serviced by a roll-off truck and with a Container capacity of 10 cubic yards or more. Roll-
Off Boxes are also known as drop boxes or debris boxes.
7.2.a
Packet Pg. 475
ADDENDUM #1
City of Diamond Bar – DRAFT 16 June 12, 2023
1.72 SINGLE-FAMILY, SINGLE-FAMILY DWELLING
Single-Family,” or “Single-Family Dwelling,” means, for purposes of this Agreement, notwithstanding
any contrary definition in a City of Diamond Bar Municipal Code, any detached or attached house or
residence designed or used for occupancy by one (1) family, provided that Collection Service feasibly
can be provided to such Premises as an independent unit, and the owner or occupant of such
independent unit is billed directly for the Collection Service. “Single-Family,” or “Single-Family
Dwelling,” includes Residential units of a duplex, tri-plex, or four-plex Residential structure.
1.73 SENATE BILL 1383 (SB1393)
SB 1383" means the Short-Lived Climate Pollutants Act of 2016 (Chapter 395, Statutes of 2016), as it
may be amended, supplemented, superseded, or replaced from time to time.
1.74 SOLID WASTE
Solid Waste" means all Solid Wastes generated by Residential, Commercial, and industrial sources,
including Refuse, Recyclable Materials and Organic Materials, and all Solid Waste generated at
construction and demolition sites, which are Collected and Transported under the authorization of
the City or are self-hauled by residents or contractors. Municipal Solid Waste does not include
agricultural crop residues, mining waste and fuel extraction waste, forestry wastes, ash from
industrial boilers, furnaces and incinerators or Hazardous Material, any waste which is not permitted
to be Disposed of at a Class III Landfill and which fall within the definition of “Nonhazardous Solid
Waste” set forth in Title 23, Chapter 15, Section 2523(a) of the California Code of Regulations as
amended or designated Class II wastes. Materials shall be deemed “Solid Waste” consistent with the
meaning of California Public Resources Code Section 40191, and for purposes of this Agreement shall
be regulated as such, whether or not they may be potentially Recyclables, in either of the following
instances: (a) the material is mixed or commingled with other types of Solid Waste such that more
than 65% of the material consists of Solid Waste rather than Recyclables, or (b) the payment of a fee,
charge, or other consideration, in any form or amount, is directly or indirectly solicited or received
from the generator by any Person or combination of Persons in exchange for Collection, removal,
Transportation, storage, Processing, handling, consulting, Container rental or Disposal services (“fee
for service” Recycling), whether or not arranged by or through a subcontractor, broker, agent,
consultant, or affiliate of the provider of such service.
1.75 SOLID WASTE SERVICES
Solid Waste Services” means the Collection, Transfer, Transport, Recycling, Processing, and Disposal
of Solid Waste.
1.76 STATE
State” means the State of California.
7.2.a
Packet Pg. 476
ADDENDUM #1
City of Diamond Bar – DRAFT 17 June 12, 2023
1.77 TRANSFER STATION
Transfer Station” means a Facility that receives Solid Waste from Collection vehicles and transfers
the material to larger vehicles for Transport to Landfills and other destinations. Transfer Stations may
or may not also include MRFs transferring residual Refuse (Refuse left after the sorting of Recyclable
Materials) to Landfills and Recyclable Materials, including Organic Materials and/or Construction and
Demolition Debris, to processors, brokers, or end-users.
1.78 TRANSPORT OR TRANSPORTATION
Transport” or “Transportation” means the act of conveying Collected materials from one location to
another.
1.79 TRANSFORMATION
Transformation” means incineration, pyrolysis, distillation, gasification, or biological conversion
other than composting. “Transformation” does not include composting.
1.80 UNIVERSAL WASTE OR U-WASTE
Universal Waste” or “u-waste” means any of the following waste that are conditionally exempt from
classification as hazardous wastes pursuant to Title 22 of the California Code of Regulations (22 CCR),
66261.9: (i) batteries as described in 22 CCR § 66273.2; (ii) thermostats as described in 22 CCR §
66273.4; (iii) lamps as described in 22 CCR § 66273.5; and (iv) cathode tube materials as described in
22 CCR § 66273.6; (v) Electronic Waste or E-waste as defined in Section 1.40.
1.81 WORK DAY(S)
Work Days” or “Working Days” means days on which the CONTRACTOR is required to provide
regularly scheduled Collection services under this Agreement.
1.82 WASTE GENERATOR
Waste Generator" means any Person as defined by the Public Resources Code, whose act or process
produced Solid Waste as defined in the Public Resources Code, or whose act first causes Solid Waste
to become subject to regulation.
1.83 YARD WASTE OR GREEN WASTE
Yard Waste” or “Green Waste” means leaves, grass clippings, brush, branches, and other forms of
Organics Materials generated from landscapes or gardens, which have been Source-Separated from
other Solid Waste. Yard Waste is a subset of Organics Materials and excludes Hazardous Materials.
See Exhibit 4 for accepted and prohibited materials.
7.2.a
Packet Pg. 477
ADDENDUM #1
City of Diamond Bar – DRAFT 18 June 12, 2023
ARTICLE 2: GRANT AND ACCEPTANCE OF FRANCHISE
2.1 GRANT AND ACCEPTANCE OF FRANCHISE, INDEMNITY OF AWARD
Subject to the terms and conditions of this Agreement (including but not limited to the exclusions set
forth in Section 2.9 hereof) and applicable State laws, and to the rights of State, county and school
district facilities to use a Solid Waste enterprise other than Contractor, City hereby grants to
Contractor and Contractor hereby accepts from City, for the Term hereof, the exclusive Franchise,
right and privilege to provide Solid Waste Services as defined in this Agreement within the
boundaries of the City (the “Franchise”).
Contractor agrees to and shall timely take all actions that are reasonably necessary to defend the
validity and enforceability of this Agreement and shall pay all costs related to such defense. To the
maximum extent permitted by law, Contractor shall defend, indemnify, protect and hold harmless,
the City, its officers, agents and employees from any and all claims, actions or proceedings to attack,
set aside, void, annul or seek monetary damages resulting from an approval by the City of this
Agreement, including but not limited to any action brought by referendum or under Proposition 218
Calif. Const. Art. XIIID) to challenge the City’s entry into this Agreement or the setting of Solid Waste
rates as set forth in this Agreement. The City shall promptly notify Contractor of any such claim,
action, or proceeding. The City and Contractor shall meet in good faith in an effort to come to a
mutual agreement for a joint defense; provided that the City shall be entitled to select legal counsel
of its choice to conduct the defense if an agreement cannot be reached. Contractor’s obligations to
pay all costs, defend, indemnify, protect and hold harmless under this section shall not be altered in
the event City retains separate counsel. Contractor hereby accepts the Franchise on the terms and
conditions set forth in this Agreement.
2.2 EXCLUSIVE NATURE OF FRANCHISE
During the term of this Agreement, except as otherwise provided in Section 2.9 below, or as may
otherwise be provided by federal or state law, the rights granted to the Contractor under this
Agreement shall be exclusive to the Contractor. The City will not let any contract to, or enter into any
agreement with, any other Person for the performance of the services herein required to be
performed by the Contractor.
To the extent permitted under state or federal law, the City shall protect the Contractor’s exclusive
rights by proper ordinances, and may take action to enforce those ordinances upon request and at
the City’s sole and absolute discretion. Should the City take administrative, law enforcement, or
other legal action against any Person that infringes on the Contractor’s exclusive rights, the
Contractor shall reimburse the City for its reasonable administrative, law enforcement, or other legal
costs related to any such action. To the extent permitted under state or federal law, nothing herein
shall preclude Contractor from taking such legal action against third parties as it deems appropriate
7.2.a
Packet Pg. 478
ADDENDUM #1
City of Diamond Bar – DRAFT 19 June 12, 2023
to protect the exclusive nature of its Franchise.
2.3 EFFECTIVE DATE
The effective date of this Agreement shall be thirty (30) days after the date which the City Council
approves this Agreement.
2.4 TERM OF AGREEMENT
The term of this Agreement shall be ten (10) years, commencing beginning September 1, 2025, and
terminating on August 31, 2035, subject to extension as provided herein. Notwithstanding the
foregoing, the unexcused failure or refusal of Contractor to perform any material term, covenant,
obligation, or condition contained in this Agreement shall give rise to the right, in favor of City, for
earlier termination of this Agreement for cause in accordance with the procedures elsewhere
contained herein.
2.5 CITY’S OPTION TO EXTEND TERM
City shall have the sole option to extend the Term for up to twenty-four (24) months following
expiration of the Term under Section 2.4. The City may, upon at least ninety days (90-days) advance
written notice to the Contractor prior to the expiration of the Term, exercise this extension option. If
City provides this extension notice, this Agreement will automatically renew up to a maximum of
twenty-four (24) months. This extension period shall terminate, upon the earlier of: (i) the expiration
of the aforementioned twenty- four (24) months, or (ii) ninety (90) days following the date upon
which City gives Contractor written notice of final termination.
2.6 REPRESENTATIONS AND WARRANTIES OF CONTRACTOR
Contractor hereby covenants, represents, and warrants the following to City for the purpose of
inducing City to enter into this Agreement and to consummate the transaction contemplated hereby,
all of which shall be true as of the date of this Agreement and as of the effective date:
A. Contractor is validly existing as a corporation under the laws of the State of California.
B. Neither the execution of this Agreement nor the delivery by Contractor of services nor the
performance by Contractor of its obligations hereunder: (1) conflicts with, violates or results in a
breach of any Applicable Law; (2) conflicts with, violates or results in a breach of any term or
condition of any judgment, decree, agreement (including, without limitation, the certificate of
incorporation of Contractor) or instrument to which Contractor is a party or by which Contractor
or any of its properties or assets are bound, or constitutes a default under any such judgment,
decree, agreement or instrument; or (3) will result in the creation or imposition of any
encumbrance of any nature whatsoever upon any of the properties or assets of Contractor.
C. There is no action, suit or other proceeding as of the date of this Agreement, at law or in equity,
or to the best of Contractor’s knowledge, any investigation, before or by any court or
7.2.a
Packet Pg. 479
ADDENDUM #1
City of Diamond Bar – DRAFT 20 June 12, 2023
governmental authority, pending or threatened against Contractor or ________________
parent/guaranteeing company] which is likely to result in an unfavorable decision, ruling or
finding which would materially and adversely affect the validity or enforceability of this
Agreement or any such agreement or instrument entered into by Contractor or
parent/guaranteeing company] in connection with the transactions
contemplated hereby, or which could materially and adversely affect the ability of Contractor to
perform its obligations hereunder or which would have a material adverse effect on the financial
condition of Contractor or ________________ [parent/guaranteeing company].
D. Contractor has no knowledge of any Applicable Law in effect as of the date of this Agreement
that would prohibit the performance by Contractor of this Agreement and the transactions
contemplated hereby.
E. Contractor has made an independent investigation, satisfactory to it, of the conditions and
circumstances surrounding this Agreement and the work to be performed by it, and is satisfied
that those conditions and circumstances will not impair its ability to perform the work and
provide the Collection services required by this Agreement.
F. The information supplied by Contractor in all submittals made in connection with negotiation
and execution of this Agreement, including all materials in Exhibits of this Agreement, and all
representations and warranties made by Contractor throughout this Agreement are true,
accurate, correct and complete in all material respects on and as of the effective date of this
Agreement. Note that inaccuracies in Contractor’s Proposal, such as material omissions of past
and pending litigation as requested under the Request for Proposals through which this
Agreement was procured, are grounds for termination of this Agreement.
G. Contractor’s representative, designated in Section 14.3 shall have authority in all daily
operational matters related to this Agreement. City may rely upon action taken by such
designated representative as action of Contractor unless the actions taken are not within the
scope of this Agreement.
2.7 CONDITIONS TO EFFECTIVENESS OF AGREEMENT
The obligation of City to permit this Agreement to become effective and to perform its undertakings
provided for in this Agreement is subject to the satisfaction of each and all of the conditions set out
below, each of which may be waived in whole or in part by City.
A. Accuracy of Representations. Representations and warranties made by Contractor throughout
this Agreement are accurate, true and correct on and as of the effective date of this Agreement.
B. Absence of Litigation. There is no litigation pending in any court challenging the award of this
Franchise to Contractor or the execution of this Agreement or seeking to restrain or enjoin its
performance.
C. Furnishing of Insurance, Bond, and Letter of Credit. Contractor shall have furnished evidence of
the insurance, bonds, deposit and letter of credit as required by Article 11, and shall comply with
all ongoing requirements relating thereto.
7.2.a
Packet Pg. 480
ADDENDUM #1
City of Diamond Bar – DRAFT 21 June 12, 2023
D. Effectiveness of City Council Action. City’s Resolution approving this Agreement shall have
become effective pursuant to California law.
2.8 DELEGATION OF AUTHORITY
The administration of this Agreement by City shall be under the supervision and direction of the City
Manager’s office and the actions specified in this Agreement, unless otherwise stated, shall be taken
by the Contract Administrator, or his or her designee.
2.9 LIMITATIONS TO THE SCOPE
Notwithstanding any provision to the contrary contained in this Agreement, the exclusive franchise,
right and privilege to provide Solid Waste Services at Premises within City granted to Contractor by
this Agreement specifically excludes the following services, which services may be provided by
Persons other than Contractor and which may be subject of other permits, licenses, franchises or
agreements issued or entered by City:
A. The sale or donation of Recyclable Materials or Organics Materials by the Generator to any
person or entity other than Contractor ; provided, however, to the extent permitted by law, if
the Generator is required to pay monetary or non-monetary consideration for the Collection,
Transport, Transfer, or Processing of Recyclable Materials or Organics Materials, the fact that the
Generator receives a reduction of discount in price (or in other terms of the consideration the
Generator is required to pay) shall not be considered a sale or donation and shall not be exempt.
B. Solid Waste that is removed from any Premises by the Generator, by means of “self-hauling” (as
described in the City of Diamond Bar Municipal Code), and Transported personally by such
Generator (or by his or her full-time employees, but not a subcontractor) to a Processing or
Disposal Facility in a manner consistent with all applicable laws and regulations.
C. Yard Waste removed from the Premises by a gardening, landscaping, or tree trimming
contractor, utilizing its own equipment, as an incidental part of a total service offered by that
contractor rather than as a hauling service.
D. The Collection, Transfer, Transport, Recycling, Processing, and Disposal of animal waste remains
from slaughterhouse or butcher shops for use as tallow.
E. The Collection, Transfer, Transport, Recycling, Processing, and Disposal of by-products of sewage
treatment, including sludge ash, grit and screenings.
F. The Collection, Transfer, Transport, Recycling, Processing, and Disposal of Hazardous Substances,
Hazardous Waste, and radioactive waste regardless of its source.
G. Construction and Demolition Debris which is removed by a duly licensed construction or
demolition company or as part of a total service offered by said licensed company or by the City,
where the licensed company utilizes its own equipment in compliance with Construction and
Demolition Debris requirements of the City of Diamond Bar Municipal Code.
7.2.a
Packet Pg. 481
ADDENDUM #1
City of Diamond Bar – DRAFT 22 June 12, 2023
H. The Collection, Transfer, Transport, Recycling, Processing, and Disposal of Solid Waste by the City
through City officers or employees in the normal course of their employment.
I. Solid Waste Services for governmental agencies, other than the City, which may have facilities in
the City, but over which the City has no jurisdiction in connection with the regulation of Solid
Waste.
J. Solid Waste Services for Solid Waste originating outside the City from hauling such Solid Waste
over City streets, provided such collectors comply with any governing laws and/or ordinances.
K. Containers delivered for Recycling under the California Beverage Container Recycling Litter
Reduction Act (California Public Resources Code, Section 14500, et seq.).
L. Edible Food which is collected from a Generator by other person(s), such as a person from a Food
Recovery Organization or Food Recovery Service, for the purposes of Food Recovery, or which is
Transported by the Generator to another person(s), such as a person from a Food Recovery
Organization, for the purposes of Food Recovery, regardless of whether the Generator donates,
sells, or pays a fee to the other person(s) to collect or receive the Edible Food from the
Generator.
M. Food Scraps that are separated by the Generator and used by the Generator or distributed to
other person(s) for lawful use as animal feed, in accordance with 14 CCR Section 18983.1(b)(7).
Food Scraps intended for animal feed may be Self-Hauled by Generator or hauled by another
party.
N. Contractor’s right to Collect and/or Dispose of Solid Waste shall not be exclusive in the event of
failure to Collect under Article 12 of this Agreement during which Contractor fails to maintain
substantially complete regular Collection services pursuant to this Agreement and the Collection
schedules then in effect, for any reason, including a strike by Contractor’s employees or similar
labor dispute. The City may provide for Collection and/or Disposal services from persons other
than Contractor during such periods, including Contractor’s Bin and/or Roll-Off Box Service
Customers.
Contractor acknowledges and agrees that City may permit other Persons besides Contractor to
Collect any or all types of the Solid Waste listed in this Section 2.9 as exempt from Contractor’s
Franchise, including Recyclable Materials, without seeking or obtaining approval of Contractor under
this Agreement. This grant to Contractor of an exclusive Franchise, right and privilege to Collect,
Transport, or Process and Dispose of Solid Waste shall be interpreted to be consistent with all
Applicable Laws, now and during the term of the Franchise, and the scope of this exclusive Franchise
shall be limited by current and developing Applicable Laws with regard to Solid Waste handling,
exclusive Franchise, control of Recyclable Materials, Solid Waste flow control, and related doctrines.
In the event that future interpretations of current law, enactment or developing legal trends limit the
ability of City to lawfully provide for the scope of Franchise services as specifically set forth herein,
Contractor agrees that the scope of the Franchise will be limited to those services and materials
which may be lawfully provided for under this Agreement, and that City shall not be responsible for
any lost profits claimed by Contractor to arise out of further limitations of the scope of the
7.2.a
Packet Pg. 482
ADDENDUM #1
City of Diamond Bar – DRAFT 23 June 12, 2023
Agreement set forth herein. In such an event, it shall be the responsibility of Contractor to minimize
the financial impact to other services being provided as much as possible.
2.10 CITY’S RIGHT TO DIRECT CHANGES
2.10.1 GENERAL
City may direct Contractor to perform additional services (including new Diversion programs, etc.) or
modify the manner in which it performs existing services or bills for services. Pilot programs and
innovative services which may entail new Collection methods, and different kinds of services and/or
new requirements for Generators are included among the kinds of changes which City may direct.
Contractor acknowledges that State law may increase the Diversion requirement during the term of
this Agreement and Contractor agrees to propose services to meet such Diversion requirements.
Contractor shall be entitled to an adjustment in its Contractor Compensation for providing such
additional or modified services, if Contractor demonstrates that its cost of service would increase, as
set forth in Sections 2.10.2 and 2.10.3. City may utilize cost components included in the Contractor’s
Proposal in calculating equitable rate adjustments.
2.10.2 NEW DIVERSION PROGRAMS
Contractor shall present, within sixty (60) days of a request to do so by City, a proposal to provide
additional or expanded Diversion services. The proposal shall contain a complete description of the
following:
x Collection methodology to be employed (equipment, staffing, etc.).
x Equipment to be utilized (vehicle number, types, capacity, age, etc.).
x Labor requirements (number of employees by classification).
x Type(s) of Containers to be utilized.
x Type(s) of material to be Collected.
x Provision for program publicity/education/marketing.
x Projection of the annual financial results of the program’s operations in an operating
statement format including documentation of the key assumptions underlying the
projections and the support for those assumptions.
x Any other information reasonably requested by the Executive Director.
2.10.3 CITY’S RIGHT TO ACQUIRE SERVICES
At any time during the Term of this Agreement, City may permit other Persons besides Contractor to
provide additional Solid Waste Services not otherwise contemplated under this Agreement. If
pursuant to Sections 2.10.1 and 2.10.2, Contractor and City cannot agree on terms and conditions of
7.2.a
Packet Pg. 483
ADDENDUM #1
City of Diamond Bar – DRAFT 24 June 12, 2023
such services within ninety (90) days from the date when City first requests a proposal from
Contractor to perform such services, Contractor acknowledges and agrees that City may permit
Persons other than Contractor to provide such services, which shall be considered exempt from the
exclusivity provisions of Section 2.9.
2.11 OWNERSHIP OF SOLID WASTE AND CITY’S RIGHT TO DIRECT SOLID WASTE
Once Solid Waste is placed in Containers and properly placed at the designated Collection location,
ownership and the right to possession shall transfer directly from the Waste Generator to Contractor
by operation of this Agreement. Subject to Contractor’s objective to meet the Source Reduction and
Recycling goals which apply to City and City’s right to direct Contractor to Process and Dispose of
Solid Waste at a particular licensed Solid Waste facility or to Dispose of Solid Waste at a particular
licensed Disposal Site, if and only if City exercises such right by providing specific written direction to
Contractor, Contractor is hereby granted the right to retain, Recycle, Process, Dispose of, and
otherwise use such Solid Waste, or any part thereof, in any lawful fashion or for any lawful purpose
desired by Contractor; this does not impact Contractor’s right to retain Recyclable Materials revenue
under 5.3. Subject to the provisions of this Agreement, Contractor shall have the right to retain any
benefit resulting from its right to retain, Recycle, Process, Dispose of, or reuse the Solid Waste which
it Collects. Solid Waste which is delivered to a Disposal Site or sites (whether Landfilll, Transformation
Facility, Transfer Station, Organic Materials Processing Facility or Material Recovery Facility) shall
become the property of the Owner or operator of the Disposal Site(s) once deposited there by
Contractor. City may obtain ownership or possession of Solid Waste placed for Collection upon
written notice of its intent to do so, however, nothing in this Agreement shall be construed as giving
rise to any inference that City has such ownership or possession unless such written notice has been
given to Contractor.
City has the option to provide written direction to the Contractor specifying a Facility for handling,
Processing, and Disposal of Solid Waste. If City directs Contractor to a Facility other than a
Designated Facility as listed in Exhibit 3 of this Agreement, or otherwise requested by Contractor,
and in doing so it adversely affects the ability of the Contractor to meet either or both of the
requirements of Section 11.1.3 and Section 5.2, then in this event the City and Contractor shall meet
and confer and mutually agree on revised obligations for Sections 11.1.3 and 5.2. The foregoing
notwithstanding, in the event City directs Contractor to a Facility other than a Facility listed in this
Agreement or otherwise requested by Contractor, then Contractor shall be entitled to a rate
adjustment based upon any increase or decrease in costs associated with handling, Processing,
Disposal and Transportation.
2.12 CONTRACTOR’S CORPORATE STATUS
Contractor represents and warrants that it is duly organized, validly existing and in good standing
under Applicable Laws. It is qualified to transact business in the State of California and has the power
to own its properties and to carry on its business as now owned and operated and as required by this
Agreement.
7.2.a
Packet Pg. 484
ADDENDUM #1
City of Diamond Bar – DRAFT 25 June 12, 2023
2.13 CONTRACTOR CORPORATE AUTHORIZATION
Contractor represents and warrants that it has the authority to enter into and perform its obligations
under this Agreement. The Board of Directors or partners of Contractor (or the shareholders, if
necessary) have taken all actions required by Applicable Law, its articles of incorporation, and its
bylaws or otherwise to authorize the execution of this Agreement. The Persons signing this
Agreement on behalf of Contractor have authority to do so. Contractor shall authorize one employee
for the City as a single point of contact for issues arising under this Agreement. City may accept that
this employee’s actions are taken on behalf of and with the full approval of the Contractor.
2.14 ANNEXATIONS
This Agreement extends to any territory annexed to the City during the term of this Agreement
except to the extent that Collection by Contractor within that annexed territory would violate the
provisions of Public Resources Code Section 49520. In such event, this Agreement shall become
effective as to such area at the earliest possible date permitted by law, and City agrees that it shall
cooperate with Contractor to fulfill any requirement necessary for Contractor to serve the annexed
area consistent with this paragraph.
2.15 PERMITS AND LICENSES
Contractor shall acquire and maintain all necessary permits and licenses for the Collecting,
Transporting, Recycling, Processing, Disposing, and storing of Solid Waste as required under this
Agreement. Failure to maintain all required permits shall be deemed a material breach of contract
for which City may terminate this Agreement as provided in Section 13.3. Contractor must follow
requirements of the City of Diamond Bar Municipal Code, including, but not limited to, obtaining a
City of Diamond Bar business license.
ARTICLE 3: SCOPE OF COLLECTION SERVICES
3.1 SERVICES TO BE PROVIDED – GENERAL
The work to be done by Contractor pursuant to this Agreement shall include, but not be limited to,
the furnishing of all labor, supervision, equipment, materials, supplies, and all other items necessary
to perform the services required. The enumeration of, and specification of requirements for,
particular items of labor or equipment shall not relieve Contractor of the duty to furnish all others, as
may be required, whether enumerated elsewhere in the Agreement or not, unless excused in
accordance with Article 13.8.
The work to be done by Contractor pursuant to this Agreement shall be accomplished in a thorough
and professional manner so that Customers within City are provided reliable, courteous and high-
7.2.a
Packet Pg. 485
ADDENDUM #1
City of Diamond Bar – DRAFT 26 June 12, 2023
quality Solid Waste Services at all times. The enumeration of, and specification of requirements for,
particular aspects of service quality shall not relieve Contractor of the duty of accomplishing all other
aspects in the manner provided in this section, whether such other aspects are enumerated
elsewhere in the Agreement or not.
3.2 SINGLE-FAMILY DWELLING COLLECTION SERVICE
Contractor shall provide a three-Container Collection program for the separate Collection of Refuse,
source separated Recyclable Materials, and source-separated Organic Waste using Containers that
comply with the requirements of Section 4.3. Single Family Dwelling includes multi-family dwellings
of four or less units. Recyclable Materials and Organic Waste acceptable for collection are listed in
Exhibit 4.
Collection frequency shall be not less than once per week from Carts placed at a suitable location,
which is typically on the curb, but may be in the street against the curb or in an alley. If a Customer
and Contractor cannot agree upon the designated collection location, City shall make the final
determination of the designated collection location.
Recycling Carts and Organics Carts shall be collected on the same day as Refuse carts.
3.2.1 CART SIZES
Contractor shall provide at minimum one 65-Gallon Cart for Refuse, one 65-Gallon Cart for
Recyclables, and one 65-Gallon Cart for Organics. At Customers request, Contractor shall provide as a
substitute 35 or 96-gallon Carts for Refuse Collection and / or 96-gallon for Recyclables or Organics
Collection. The rate for the Collection of all three Carts shall be based on the size of the Refuse Cart.
Customers may request and Contractor shall provide a second Recyclables and or Organics Cart at no
additional charge. Additional Carts beyond one (1) for Refuse, two (2) for Recycling, and two (2) for
Organics Collection may be requested at an additional monthly fee.
3.2.2 CART COLOR
Carts shall comply with CalRecycle color and labeling requirements under SB 1383. Contractor shall
provide blue Carts for the Collection of Recyclable Materials, green Carts for the Collection of Organic
Waste and gray or black Carts for the Collection of Refuse. Alternatively, Contactor may provide Carts
with blue, green, and gray or black lids to meet the Container color requirement.
3.2.3 REFUSE CART OVERAGE
Residential Customers using Carts are entitled to two annual pickups per calendar year and an end-
of-year pickup of material that does not fit in the Refuse Cart(s) at no additional cost, as provided in
this Section 3.2.3. A pickup shall consist of up to the equivalent of three (3) large bags, boxes or
barrels of Refuse and placement of more than that amount at any one time shall constitute two
pickups. In addition to the two (2) free pickups, Contractor shall Collect all additional Refuse placed
out for Collection in the Customer’s own Containers (bags, boxes, barrels, etc.) at no additional
charge for two weeks beginning each December 26. This service is limited to Refuse that could
7.2.a
Packet Pg. 486
ADDENDUM #1
City of Diamond Bar – DRAFT 27 June 12, 2023
otherwise be placed in the Refuse Cart, and not Bulky Items which are Collected in accordance with
Section 1.12 and 3.6. Contractor shall Collect, and Customers may be charged an extra fee per pickup
in accordance with the approved rate schedule for overage pickups) of, all Refuse put out for
Collection that does not fit in the Refuse Cart(s) above and beyond the free pickups described above.
Customer shall be instructed to call in both free and additional overages. However, if not called in,
Contractor shall Collect and record pickup per Section 4.1.6.
3.2.4 BACKYARD SERVICE
Backyard service means the Contractor removes all Collection Carts, Green Waste bundles and
Refuse Cart Overages per Section 3.2.3 from a Cart Customer’s designated Collection location other
than curbside, such as backyard, side yard, or drive, for Collection, and returns Carts and other
containers when Collection is complete. Contractor may charge customers requesting backyard
service in accordance with the approved rate schedule, unless the Customer falls under the
exception described in Section 3.2.5 below.
3.2.5 BACKYARD SERVICE FOR DISABLED PEOPLE
Contractor shall provide disabled Customers with backyard service at no additional charge.
Contractor will remove Refuse, Recyclable and Organic Waste Containers, Green Waste bundles and
Refuse Cart Overages per Section 3.2.3 from Customer’s storage area, place them out for Collection,
and return Containers to Customer’s storage area after Collection, ensuring that all doors or gates
are closed securely. In order to qualify as disabled under this section, Customers must have been
issued handicap placard from the Department of Motor Vehicles or otherwise obtain approval to
receive such service from the City, following a verification site visit by Contractor’s route supervisor.
Additionally, walk-out service need not be provided if an able-bodied adult resides with the disabled
Customer.
3.2.6 DOOR-TO-DOOR HHW COLLECTION
Contractor shall provide Residential Customers with door-to-door call-in HHW Collection service.
Each Residential Dwelling Unit shall be entitled to two door-to-door Residential HHW pickups per
calendar year at no additional charge. Items to be Collected include, at a minimum: Syringes and
other Home Generated Sharps; paint and paint products including but not limited to thinners, glues,
caulking, stains, wood preservatives and strippers; universal waste, household cleaners; automotive
wastes; swimming pool chemicals; garden chemicals; fluorescent tubes; thermometers; and
household batteries; and Electronic Waste.
Contractor may direct Residential Customers to use the Bulky Item pickup option for televisions,
computers and other HHW that may safely and legally be Collected as Bulky Items as described in
Section 3.6.
7.2.a
Packet Pg. 487
ADDENDUM #1
City of Diamond Bar – DRAFT 28 June 12, 2023
3.2.7 ANNUAL HOUSEHOLD HAZARDOUS WASTE EVENT
Contractor will assist the City in increasing awareness of Household Hazardous Waste events by
promoting the Los Angeles County Household Hazardous Waste collections held in Diamond Bar.
Promotional activities will include: posting on Contractor’s website, inclusion in the Annual
Brochures/ Mailings mailed to each Residential Customer, billing inserts, social media targeted
outreach, and press releases to local news outlets.
3.2.8 CURBSIDE USED OIL AND OIL FILTER COLLECTION
Contractor shall Collect used oil placed curbside beside Refuse Collection Cart by Customers on the
regular Collection day at no additional charge. Contractor shall educate Customers to place used oil
in clean containers and used oil filters in clean zip -lock bags.
3.2.9 HOME GENERATED SHARPS MAIL BACK PROGRAM
Contractor will implement a program for Collection and safe processing of Home Generated Sharps
generated by its Residential Customers, through a mail-based program and/or a drop-off program.
Residential Customers requesting this service may apply to Contractor to participate in this program,
and Sharps containers will be delivered directly to them at no cost to the Customer or City. Through a
drop-off program, Contractor will make arrangements with pharmacies and/ or other locations
throughout the City for Residential Customers to drop-off Sharps at no cost to the Customer or City.
3.2.10 MEDICATION TAKEBACK PROGRAM
Contractor will assist the City in increasing awareness of medication takeback programs provided by
the Los Angeles County Sheriff’s station and any third-party events held in Diamond Bar. Promotional
activities will include: posting on Contactor’s website, inclusion in the Annual Brochures/ Mailings
mailed to each Residential Customer, billing inserts, social media targeted outreach, and press
releases to local news outlets.
3.2.11 FREECYCLE.COM
Contractor will publicize to Residential Customers its free materials exchange/ gifting program,
known as FreeCycle.org, and shall promote FreeCycle.org Contractor’ s website, and the Annual
Brochure/Mailings described in Section 6.3.1.D.
3.2.12 ANNUAL HOLIDAY TREE COLLECTION
Contractor shall provide holiday tree Collection from December 26 through the second Sunday in
January. During this period, all holiday trees placed out for Collection by Residential Customers shall
be Collected by Contractor. After this period, trees will be Collected as Bulky Items under Section 3.6.
Trees up to seven (7) feet in length will be Collected and Diverted without Customers needing to cut
7.2.a
Packet Pg. 488
ADDENDUM #1
City of Diamond Bar – DRAFT 29 June 12, 2023
them. Contractor may request that Customers with larger trees cut the trees to pieces no longer than
seven (7) feet. Contractor will Divert all holiday trees from Landfill Disposal.
3.2.13 MULCH GIVE-A-WAY
TO BE UPDATED BASED ON PROPOSALS]
Contractor shall distribute free mulch to Residential Customers. Contractor shall distribute coupons
through quarterly Billings entitling Residential Customers to receive two bags per event at two
community events per year to be identified by City.
3.3 COMMERCIAL AND MULTI-FAMILY COLLECTION SERVICES
Contractor shall provide a three-Container Collection program for the separate Collection of Refuse,
source separated Recyclable Materials, and source-separated Organic Waste using Containers that
comply with the requirements of Section 4.3. Contractor shall provide a program sufficient to enable
City and Customers to meet or exceed the requirements of SB 1383 as of the start of Collection
services under this Agreement. Commercial Premises includes multi-family dwellings of five or more
units. Recyclable Materials and Organic Waste acceptable for collection are listed in Exhibit 4.
Collection frequency shall be at least once per week and more frequently if required to the waste
generated at the Premises where the Containers are located. To resolve a dispute between
Contractor and Customers, or if the City has health or safety concerns, City shall make final
determination as to the number and size of Containers, frequency of Collection to be provided to
Customers. Special consideration shall be given when determining the pickup areas to ensure that
the flow of traffic is not impeded.
3.3.1 BIN SIZES
Contractor shall provide 1, 1.5, 2, 3, 4 and 6 cubic yard Bins upon request. Contractor will service Bins
equipped with compaction devices (known as compactors) that attach to the Bins if requested by
Customer. The provision, sale, or lease of the compaction device itself is outside this Agreement.
Contractor is not required to provide the compaction device.
3.3.2 COMMERCIAL AND MULTI-FAMILY PREMISES CART SERVICE
Contractor shall offer Collection in Carts to Customers at Commercial Premises and Multi-Family
Premises of five units or more that do not have space for, or do not generate enough waste to
require the use of Bins for Collection. If Contractor and Customer have a disagreement as to whether
Cart service is appropriate, or if City determines that Collection in Carts causes health and safety or
other concerns, City shall make the final determination as to whether Collection in Carts may occur.
7.2.a
Packet Pg. 489
ADDENDUM #1
City of Diamond Bar – DRAFT 30 June 12, 2023
3.3.3 CONTAINER COLOR
Bins and Carts shall comply with CalRecycle color and labeling requirements under SB 1383.
Contractor shall provide blue Containers for the Collection of Recyclable Materials, green Containers
for the Collection of Organic Waste and gray or black Containers for the Collection of Refuse.
Alternatively, Contactor may provide Containers with blue, green, and gray or black lids to meet the
Container color requirement.
3.3.4 SITE VISITS, EDUCATION AND OUTREACH – COMMERCIAL RECYCLING AND ORGANICS
THIS SECTION SUBJECT MODIFICATION BASED ON PROPOSAL]
Contractor will promote Commercial Recycling and Organics programs and assist the City in providing
reports on Customers’ participation. Contractor shall conduct the planned tasks, and procedures
contained in Exhibit 5 “AB 341, AB 1826, and SB 1383 Compliance Plan.”
Annually, a Contractor representative will contact, via in-person meetings, all Multi-Family and
Commercial Customers not subscribing to Recycling or Organics Collection service required under
applicable CalRecycle requirements. The Contractor representative shall assist customers with
selecting appropriate Containers and Container sizing, identifying acceptable Recyclables and
Organics for Collection, and attempting to resolve any logistical detriments to providing Recyclables
and Organics Collection service. Contractor shall provide a written proposal to each AB 341 and
AB1826/SB 1383 non-compliant Commercial Customer annually. The proposal shall provide pricing
for implementing Recycling and Organics service and reducing, or ‘right-sizing’, Refuse service to
account for materials Diverted through the Contractor-provided programs; a proposed start date for
the implementation of new Recycling services; a description of the requirements of AB 341 and AB
1826/SB 1383 any relevant City ordinances; a plan for training staff and/or residents; and any other
components as directed by the City. A proposal template shall be approved by the City prior to
initiation of services under this Agreement. Electronic copies of all service proposals from site visits
that have been submitted to a Customer shall be provided to the City in an electronic storage format
acceptable to the City, such as a cloud-based file sharing system that can be accessed by the City or
its representatives.
If a Customer rejects the proposal from the Contractor or does not provide a response within 30 days
of the Contractor submitting the proposal, and, after at least three documented attempts by the
Contractor to follow-up with the Customer, the Customer continues to be non-responsive, the
Contractor may refer the Customer to the City for Enforcement Action through any future ordinances
that may be implemented by the City. Such a referral to the City by the Contractor for non-compliant
accounts must include a written summary and timeline of the actions taken by the Contractor to
implement an AB 341 and AB 1826/SB 1383-compliant program; a copy of the written proposal
submitted to the Customer by the Contractor; and any written correspondence from the Customer to
the Contractor. If, after the City begins enforcement proceedings against the Customer, the
Customer agrees to comply and implement an AB 341 and AB 1826/SB 1383-compliant program, the
7.2.a
Packet Pg. 490
ADDENDUM #1
City of Diamond Bar – DRAFT 31 June 12, 2023
City will notify the Contractor of the Customer’s willingness to comply and the Contractor will
coordinate with the Customer to implement an AB 341 and AB 1826/SB 1383-compliant program.
Contractor will incorporate education regarding Recyclables and Organics Collection and the State
requirements into materials produced under Section 6.3 and will develop its own Recycling and
Organics-specific instructional materials for use in educating participating Customers.
All Organics Recycling participants shall receive ongoing, on-site training from Contractor for
management, kitchen staff, service employees, janitors, etc. Annually, Contractor will create and
distribute a letter to all Customers that are enrolled in the Contractor’s Organics Recycling program
to offer re-training services, printed collateral such as signage and posters, and general technical
assistance. Additional materials may include instructional posters, brochures, educational
presentations, bin signage, enclosure signage, stickers to be attached to internal recycling
receptacles, or other formats as mutually agreed to between City and Contractor. All outreach
materials must be submitted for review and approval by City prior to distribution.
Contractor shall provide a report, on City-approved forms, to the City noting the time, Customer
contact, name of Contractor’s staff that contacted the Customer, and result of each meeting and, if
the Customer will not agree to a meeting, provide the time of contact, Customer contact name and
number, and reason for not accepting a meeting. Reports will be updated on a quarterly basis and
submitted with Contractor quarterly reports to the City. Contractor will report all Customers that
have service levels within the thresholds of AB 341 on reporting forms provided by the City on a
quarterly basis. The report will document whether the Customer receives Recycling service from the
Contractor, self-recycles, or receives Recycling from a third party. Any internal Recycling programs or
third-party recycling programs that the Contractor encounters while conducting Customer site visits
shall be documented using a City-approved electronic reporting form and provided in an electronic
format such as a cloud-based file-sharing system that can be accessed by the City or its
representatives.
3.3.5 PROCESSING OF MIXED WASTE
Contractor shall Process mixed Solid Waste at a Material Recovery Facility for those Commercial
Customers that do not subscribe to a Source-Separated Recycling program, or otherwise participate
in a qualifying Recycling program in accordance with AB 341.
3.3.6 SCOUT SERVICE
Upon request, Contractor shall provide scout service, whereby Contractor will access Containers
using a small vehicle either to move Containers to street or other public right-of-way for Collection,
or Collecting Solid Waste directly from Container storage location. Under no circumstance shall
Containers remain in the public right-of-way or outside of Container storage location for a period
exceeding two (2) hours. In the event of a dispute between Contractor and Customer as to whether
scout service will be used, Contractor Administrator will make the final determination.
7.2.a
Packet Pg. 491
ADDENDUM #1
City of Diamond Bar – DRAFT 32 June 12, 2023
Contractor is responsible for verifying that an encroachment permit has been obtained from the City
prior to placing a Container in the public right-of-way. If the Customer has not obtained an
encroachment permit, the Contractor shall inform the Customer that the Container shall not be
placed in the public right-of-way until the Customer provides Contractor with verification of an
encroachment permit, instructing the Customer as to how to obtain the permit. A copy of the
encroachment permit shall be affixed to the Container.
3.3.7 BIN PUSHOUT SERVICE
Contractor may not charge a fee for pushing or rolling Bins to point of Collection.
3.3.8 LOCKING BINS
Contractor shall provide locking Bin Service (providing the hasp and lock and servicing the lock) to
Customers that request such service in accordance with the approved rate schedule, based upon a
monthly fee per locking Bin.
3.3.9 REDELIVERY/RETURN TRIP FEE
Contractor may charge a fee, per the approved rate schedule, in the event that Contractor arrives on
time for a scheduled Collection of Bins or Roll-Off Boxes, is impeded from Collection due to Container
being blocked or otherwise unable to be Collected due to issues within the Customer’ s control, and
Contractor must return for Collection prior to the Customers next scheduled Collection. Charge may
be assessed for the trip, not per Bin, in the event of a Customer with multiple Bins.
3.4 ROLL-OFF BOX SERVICE
Contractor shall provide permanent and temporary Roll-Off Box Collection service upon request.
When accepting an order for Roll-Off Box service, it shall be Contractor’s duty to assist Customer
with arranging service that maximizes the Diversion of Solid Waste from Landfill Disposal.
Contractor must deliver a temporary Roll-Off Box to a Customer within forty-eight hours of request
excluding Saturday, Sunday, and Designated Holidays). Contractor shall confirm that Customer has
obtained an encroachment permit from the City prior to Contractor placing a Container in the public
right-of-way.
The provision, sale, or lease of compactor Roll-Off Boxes, which are enclosed Containers attached to
a compaction devise, is not included in this Agreement. Providing service to such compactor Roll-Off
Boxes is included.
Rates shall be charged at a set rate for the service component (per pull) plus the per-ton charge
dump) based on actual tonnage Collected. Contractor may charge a fee in the event a scheduled
Roll-Off Box Collection is impeded from Collection due to Container being blocked or otherwise
7.2.a
Packet Pg. 492
ADDENDUM #1
City of Diamond Bar – DRAFT 33 June 12, 2023
unable to be Collected and Contractor must return for Collection. There will be no charges other than
the specific charges identified in the approved rate schedule.
Roll-Off Boxes shall comply with SB 1383 color and labeling requirements.
3.5 TEMPORARY BIN SERVICE
Contractor shall provide temporary Bin Service to Customers upon request. Contractor must deliver a
temporary Bin to a Customer within forty-eight (48) hours of request (excluding Saturday, Sunday,
and Designated Holidays). Contractor shall confirm that Customer has obtained an encroachment
permit from the City prior to Contractor placing a Container in the public right-of-way. There will be
no charges other than the specific charges identified in the approved rate schedule.
3.6 ON-CALL BULKY ITEM PICKUP
Contractor shall provide Bulky Item pickup service to all Residential Customers. Each Residential
Dwelling Unit shall be entitled to four Bulky Item pickups per calendar year at no additional charge.
Customers may put out up to four (4) Bulky Items at each pickup. Contractor may instruct Customers
to provide Contractor with a minimum of one business days’ notice for the items, which shall be
Collected on the Customer’s regular Collection day. Contractor shall Collect all Bulky Items as defined
in Section 1.12 including items referred to as Electronic Waste or “E-waste.”
The following provisions shall apply to this program:
1. No single item that cannot be handled by two workers will be accepted.
2. The following items will not be picked up: Hazardous Substances, Hazardous Waste, including
waste oil or anti-freeze, with the exception of Bulky Items per Section 1.12 (including without
limitation, universal wastes such as fluorescent bulbs, household batteries, and televisions,
monitors and other items commonly referred to as “e-waste” that will be Collected by and
Disposed of by Contractor in accordance with this section as well as Sections 3.6 and 5.2.5.)
3. Contractor shall record by class and weight (in tons) the Solid Waste Collected from Bulky
Item pickups. Contractor shall record the kinds and weights (in tons) of this Solid Waste that
is Diverted from Landfill Disposal through Recycling, reuse, Transformation, or other means
of Diversion. Contractor shall include this information in its monthly reporting per Section
8.3.1. Residential Customers that exceed the number of free pickups and Commercial
Customers may receive Bulky Item Collection under the same terms for a fee, in accordance
with the approved rate schedule.
7.2.a
Packet Pg. 493
ADDENDUM #1
City of Diamond Bar – DRAFT 34 June 12, 2023
3.7 CITY SERVICES
3.7.1 CITY FACILITIES
Contractor shall collect all Solid Waste including but not limited to Recyclables, Organics, Bulky Items,
Electronic Waste, and Construction and Demolition Solid Debris which is generated at City
government Premises at no additional cost to the City. The City shall provide Contractor with a list of
locations and number of containers, sizes, and frequency of collection from which such Solid Waste
shall be collected. Such Premises include, but are not limited to, City Hall, City offices, parks, City yard
and street maintenance operations. Solid Waste at City yard will include Solid Waste Collected from
street litter Containers. The list of City locations and the number of containers, sizes, and frequency
of collection may be modified from time to time by the Contract Administrator without additional
compensation paid to the Contractor. Solid Waste generated by such City operations shall be
collected by Contractor per a schedule provided to Contractor by the Contract Administrator.
3.7.2 CITY-SPONSORED EVENTS
Contractor shall provide Solid Waste Collection and Disposal/Processing service for City-sponsored
events at no additional charge to City or Ratepayers. This shall include providing Refuse Containers
Carts, Bins, Roll-off Boxes, and cardboard waste boxes with liners) to Collect and Dispose of, or
Process, all Solid Waste. Contractor shall provide Containers for the Collection of Recyclables and
Organics. The list of City-sponsored events may change over time and include, but are not limited to:
x Concerts in the Park
x City Birthday Celebration
x Fourth of July
x Fall Fun Festival
x Winter Snow Festival
x Arbor Day
x Easter Egg Hunt
3.7.3 EMERGENCY COLLECTION AND DISPOSAL SERVICE
Contractor will assist City at the City’ s request with emergency Collection and Disposal service in the
event of major disaster, such as an earthquake, storm, riot or civil disturbance, or as otherwise
determined necessary by the City, by providing Collection equipment and drivers normally assigned
to City. Contractor may charge City for actual Disposal costs plus service rates per the approved rate
schedule.
7.2.a
Packet Pg. 494
ADDENDUM #1
City of Diamond Bar – DRAFT 35 June 12, 2023
3.7.4 ABANDONED ITEM COLLECTION FROM CITY RIGHT-OF-WAY PUBLIC PROPERTY
Contractor will Collect and Dispose of, at no additional charge to City or Ratepayers, within one
Business Day of notification from City, all items left in the City’ s right-of-way, such as sidewalks,
alleys, streets, and parkways. Contractor will not be required to Collect Hazardous Waste (with the
exclusion of Electronic Waste and universal wastes as provided in this Agreement), liquid wastes, or
automobile parts that are individually too large for Collection by two people, but will be required to
Collect any items defined as Bulky Items per Section 1.12. Contractor will properly Divert from
Landfilling or Dispose of such items in accordance with Sections 5.2.3.
3.7.5 COMMUNITY DEVELOPMENT REVIEW SERVICES
Upon City request and at no additional charge, Contractor will review building permit applicants’
plans and advise regarding adequacy of Container storage space and access, particularly to
accommodate Recycling containers.
3.7.6 LARGE VENUE EVENT ASSISTANCE
Contractor will assist planners of large venue events at no additional charge with reporting and
planning needs as may be useful in meeting the requirements of AB 2176, found at California Public
Resources Code 42648, et seq. and Contractor shall provide Recycling services upon request to
special event planners.
3.7.7 CONFISCATION OF UNAUTHORIZED CONTAINERS
1) City authorizes Contractor to confiscate illegal Collection Containers located within the City’s
public rights-of-way. Upon notification from City, or Contractor’s locating of an illegally
placed Container, Contractor shall begin the following procedure within 24 hours:
2) Contractor shall first place a notice on Container, directing the illegal hauler or its Customer
to remove the Container within 24-hours of notice, citing relevant sections of the City of
Diamond Bar Municipal Code, indicating where the Container may be retrieved, impound
and storage costs, and warning that, should the Container not be removed by the hauler that
Container may be removed without warning. If the company can be identified and its address
ascertained, Contractor shall mail the warning as well.
3) Notify City of the notice and request authorization to impound the Container.
4) With written City approval, impound the Container if it has not yet been removed by the
illegal hauler.
5) For subsequent violations by the same company after the initial notice has been posted, and
after Contractor has mailed a warning to the company, Contractor may request written
approval from City to remove company’ s Containers immediately, mailing a notice if address
is known as to where the Container may be retrieved and impound and storage costs. If
7.2.a
Packet Pg. 495
ADDENDUM #1
City of Diamond Bar – DRAFT 36 June 12, 2023
address is unknown, Contractor shall place the notice as close as feasible to where the
Container was located.
Written approval from City under this section will include, but is not limited to, approval sent by e-
mail or facsimile.
3.7.8 PROVISION OF STORAGE CONTAINERS
Contractor will provide the City with eleven 40-cubic-yard portable storage containers to be used for
storage at City facilities and schools for the duration of the Agreement, and will maintain them in a
condition satisfactory to the City. Contractor may transfer ownership of these storage containers to
City, provided Contractor will remove and Dispose of these containers when requested to by City.
3.7.9 PROCUREMENT OF RECOVERED ORGANICS WASTE PRODUCTS
TO BE MODIFIED BASED ON PROPOSAL]
Contractor shall procure sufficient compost, mulch, and/or renewable natural gas to meet the City’s
per capita requirement contained in SB 1383. Contractor may meet this obligation by one or a
combination of the following activities:
x Bulk Compost and/or Mulch Reserved for Jurisdiction – Company shall make available for
City Compost or Mulch for use in City parks and facilities at no cost to the City.
x Mulch Giveaway as described in Section 3.2.13.
x Use of renewable natural gas in Collection vehicles.
Contractor shall ensure sufficient capacity of California recovered organics waste products to meet
the mandatory procurement requirements for jurisdictions contained in SB 1383, as may be
amended, during the term of this Agreement including Agreement extensions granted by the City.
Contractor shall provide assurance through the execution of a liability waiver stating that all organic
waste products provided by the Contractor and used within the City are free from pathogens and
inorganic waste material that may be harmful to the health and welfare of the City. The Contractor
shall indemnify and hold harmless the City against any claims arising from contaminated recovered
organic waste products provided by the Contractor as set forth in Section 11.1.
7.2.a
Packet Pg. 496
ADDENDUM #1
City of Diamond Bar – DRAFT 37 June 12, 2023
ARTICLE 4: REQUIREMENTS FOR OPERATIONS, EQUIPMENT, AND PERSONNEL
4.1 OPERATIONS
4.1.1 SCHEDULES
To preserve peace and quiet, Contractor shall provide Collection services from Residential areas only
between 6:30 A.M. and 6:30 P.M. Monday through Friday, with Saturday Collection permitted during
weeks with a Designated Holiday. Commercial and industrial locations may be Collected between
6:00 A.M. and 6:30 P.M. Monday through Saturday.
Contractor may not make exceptions to these Collection days and times without advance written
approval from the City. If the regularly scheduled Collection day falls on a Designated Holiday,
Collection days for the remainder of that week shall all be postponed one Collection day.
Contractor shall review its operations plan outlining the Collection routes, intervals of Collection and
Collection times for all materials Collected under this Agreement with City upon thirty (30) days
written notice requesting said review. Contractor shall submit a copy of its schedule and route map
within seven (7) Business Days if requested by City. If the plan is determined to be inadequate by
City, Contractor shall revise it incorporating any changes reasonably necessary to make it satisfactory
to City within thirty (30) days. Changes to schedules and routing shall not be implemented without
City approval and not until at least fifteen (15) Business Days following notification to Customers. The
City may restrict the timing and frequency of any route changes based upon the City of Diamond Bar
City of Diamond Bar Municipal Code or any other applicable law or requirement.
4.1.2 MISSED PICKUPS
When notified of a missed pickup (which was not justified under the provisions of this Agreement)
prior to 12: 00 p.m., Contractor shall Collect the Refuse, Recyclables, and/ or Organics that was not
Collected the same day. If notified after 12: 00 p.m., Collection must take place no later than the next
Business Day. If Contractor determined that the missed pickup was justified under this Agreement,
Contractor will notify Customer as to the reason within this same time period.
4.1.3 HOLIDAY COLLECTION SCHEDULE
Contractor shall not be required to provide Collection services or maintain non-emergency office
hours on the Designated Holidays. If the regularly scheduled Collection day falls on a Designated
Holiday, Collection days for the remainder of that week shall all be postponed one Collection day and
Residential Collection is permitted on Saturday during the make-up week. Only the City may change
the holiday collection schedule.
7.2.a
Packet Pg. 497
ADDENDUM #1
City of Diamond Bar – DRAFT 38 June 12, 2023
4.1.4 CHANGE IN COLLECTION SCHEDULE
Contractor shall notify City forty-five (45) days prior to, and Customers not later than thirty (30) days
prior to, any change in Collection operations which results in a change in the day on which Solid
Waste Collection occurs. Contractor will not permit any Customer to go more than seven (7) days
without service in connection with a Collection schedule change. City's approval of any change in
Collection is required prior to such change, and such approval will not be withheld unreasonably.
Any changes in the route map or Collection schedule shall require the prior approval of the City. City
may require reasonable changes to the route map or Collection schedule, to improve service, to
resolve complaints or for other reasons. Prior to the change of a route schedule, Contractor shall
provide written notice of the change to affected Customers ninety (90) days in advance.
Contractor shall coordinate with the Contract Administrator to ensure that Solid Waste Collection is
compatible with the City’s street sweeping operations. Contractor will be required to complete their
designated routes each day so as not to interfere with the City’s street sweeping operations.
4.1.5 DEDECATED ROUTES
Solid Waste Collected in the City shall not be commingled in Collection vehicles with Solid Waste
from other jurisdictions. All routes approved under this Agreement shall be dedicated exclusively to
Solid Waste Collected in the City of Diamond Bar, with the exception of Commercial Organics routes.
4.1.6 OVERFLOWING CONTAINERS
Customers that regularly produce more Refuse than their current level of service can accommodate
may have their service level increased in accordance with the following procedure:
A. Residential Customers
First Incident in Six Month Period: If more material is placed for Collection than fits in a Cart
unless Collection of the overage has been properly arranged under Section 3.2.3), Contractor
shall photograph the overflowing Cart, Collect the Solid Waste, and send to the Customer (at
both the service and billing addresses) the picture and a letter instructing that further instances
of an overflowing Cart may result in a charge, and possibly in an increase in the level of service.
Second Incident in Six Month Period: Upon the second event of an overfilled Cart (unless
Collection of the overage has been properly arranged under Section 3.2.3) in a three-month
period, Contractor shall photograph the overflowing Cart, Collect the Solid Waste, and send to
the Customer the picture and a letter instructing that a third incident in that same three month
period may result in an increase in the level of service. If Refuse was left beside the Cart for
Collection other than. as permitted under Section 3.2.3, Contractor may charge the Cart Overage
Fee in the approved Rate Schedule.
7.2.a
Packet Pg. 498
ADDENDUM #1
City of Diamond Bar – DRAFT 39 June 12, 2023
Third Incident in Six Month Period: Upon the third event of an overfilled Cart (unless Collection
of the overage has been properly arranged under Section 3.2.3) in a three-month period,
Contractor shall photograph the overflowing Cart, Collect the Solid Waste, and send to the
Customer the picture and a letter requesting that Customer increase its service level. If the
Customer declines, Contractor may petition City to permit Contractor to increase the service
level to accommodate the higher demand for service. If Refuse was left beside the Cart for
Collection other than as permitted under Section 3.2.3, Contractor may charge the Cart Overage
Fee in the approved Rate Schedule.
Each incident shall be counted as one of the Customer's free pickups or, if Customer has used the
annual free pickups, Contractor shall Bill Customer for the additional pickups per the approved rate
schedule. Contractor shall send City via e-mail or U.S. mail a copy of each letter and picture sent to a
Customer under this Section 4. 1. 6.
B. Commercial Customers
First Incident in Six Month Period: If more material is placed for Collection than fits in a
Container, Contractor shall photograph the overflowing Container, Collect the Solid Waste, and
send to the Customer (at both the service and billing addresses) the picture and a letter
instructing that further instances of an overflowing Container may result in an increase in the
level of service.
Second Incident in Six Month Period: Upon the second event of an overfilled Container in a
three-month period, Contractor shall photograph the overflowing Container, Collect the Solid
Waste, and send to the Customer the picture and a letter requesting that Customer increase its
service level. if the Customer declines, Contractor may petition City to permit Contractor to
increase the service level to accommodate the higher demand for service.
Contractor shall send City via e-mail or U.S. mail a copy of each letter and picture sent to a Customer
under this Section 4.1.6.
4.1.7 GRAFFITI REMOVAL
Contractor shall remove graffiti from any Container within three (3) Business Days (excluding
Saturday, Sunday, and Designated Holidays of request by City or Customer at no additional charge.
Contractor is required to proactively look for graffiti when Collecting Containers, with all graffiti
removed from Containers as stated above after any Collection without notification.
4.1.8 LITTER ABATEMENT
A. Minimization of Spills. Contractor shall use due care to prevent Solid Waste or fluids from
leaking, being spilled and/or scattered during the Collection or Transportation process. If any Solid
Waste or fluids leak or are spilled during Collection, Contractor shall promptly clean up all such
materials. Each Collection vehicle shall carry a broom and shovel at all times for this purpose.
7.2.a
Packet Pg. 499
ADDENDUM #1
City of Diamond Bar – DRAFT 40 June 12, 2023
Contractor shall not transfer loads from one vehicle to another on any public street, unless it is
necessary to do so because of mechanical failure, accidental damage to a vehicle, or a pre-approved
method of Solid Waste transfer between vehicles, without prior written approval by City.
B. Clean Up. Contractor shall clean up litter in the immediate vicinity of any Solid Waste storage
area if Contractor has caused the litter during the Collection process. Customer shall be responsible
for cleanup of litter in Solid Waste storage area not caused by Contractor. Contractor shall identify
instances of repeated spillage not caused by it directly with the Waste Generator responsible and will
report such instances to City. Contractor may address habitual offenders in accordance with Section
4.1.6.
In the event of a spill of materials (vehicle fluids, Organic Waste leachate, etc.), Contractor shall
provide a cleanup of the spill to the satisfaction of City and other governing agencies. Cleanup
methods may include pressure washing (Contractor must capture and reclaim water) or other similar
clean-up methods.
C. Covering of Loads. Contractor shall properly cover all open Roll-Off Boxes during Transport to
the Disposal Site.
4.1.9 HEALTH AND SAFETY TRAINING
Contractor shall provide suitable operations, health and safety training on an ongoing basis for all of
its drivers and other employees who use or operate equipment or who are otherwise directly
involved in Collection or other related operations.
4.1.10 UNAUTHORIZED MATERIAL REMOVAL
Contractor shall dismiss or discipline employees who remove documents or any other material from
Containers, other than specifically for the purposes of Disposal and Diversion as described in this
Agreement.
4.1.11 REPORT OF ACCUMULATION OF SOLID WASTE; UNAUTHORIZED DUMPING
Contractor shall direct its drivers to note (1) the addresses of any Premises serviced under this
Agreement at which they observe that Solid Waste is accumulating and which is not being place out
for Collection; and (2) the address, or other location description, at which Solid Waste has been
dumped in an apparently unauthorized manner. Contractor shall deliver the address or description to
City within five (5) Work Days of such observation.
4.1.12 ROUTE AUDIT
Once during the first year or at City request but not more than once per year, Contractor shall
conduct an audit of its Collection routes in the City. City may use information from the audit to
develop a request for proposals for a new service provider. City may instruct Contractor when to
7.2.a
Packet Pg. 500
ADDENDUM #1
City of Diamond Bar – DRAFT 41 June 12, 2023
conduct the audit in order for the results to be available for use in preparation of a request for
proposals or for other City uses. City may also instruct Contractor to conduct an audit at a time that
would produce the most accurate Customer service information for a new service provider to use in
establishing service with Customers. In setting these audit dates, City will establish due dates for
Contractor providing routing and account information, and later, the report, to City.
The route audit, at minimum, shall consist of an independent physical observation by Person(s) other
than the route driver of each Customer in City. This Person(s) is to be approved in advance by City.
The route audit information shall include, as a minimum, the following information for each account:
x Route Number;
x Truck Number;
x Number and size of Carts by waste stream (Refuse, Recycling, Organics)
x Cart condition;
x For Bin and Roll-Off Box Customers:
x Route Number;
x Truck Number;
x Account Name;
x Account Number;
x Account Service Address;
x Account Type (Residential, Commercial, Roll-Off Box Service);
x Service Level per Contractor Billing system (Quantity, Size, Frequency, Waste Stream);
x Observed Containers (Quantity, Size, Frequency, Waste Stream).
x Container condition;
x Proper signage; and,
x Graffiti.
Within thirty (30) days after the completion of the route audit, Contractor shall submit to City a
report summarizing the results of the audit. This summary shall include:
x Identification of the routes;
x Route map;
x Truck numbers;
x Number of accounts, by route and in total (Residential, Commercial and Roll-Off Box Service);
x Confirmation that all Refuse routes are dedicated exclusively to City Customers;
7.2.a
Packet Pg. 501
ADDENDUM #1
City of Diamond Bar – DRAFT 42 June 12, 2023
x Number and type of exceptions observed;
x Total monthly service charge (Residential, Commercial and Roll-Off Box Service), pre-audit;
x Total monthly service charge (Residential, Commercial and Roll-Off Box Service), post-audit
subsequent to corrections of identified exceptions); and,
x The report shall include a description of the procedures followed to complete the route
audit. This description shall include the names and titles of those supervising the route audits
and the name and titles of those performing the observations.
The report shall also include a description of the changes and Contractor’s plans to resolve the
exceptions. The results of the audit, and supporting back-up data, shall be available for review by City
or its representative.
4.1.13 SERVICE EXCEPTIONS; HAZARDOUS WASTE NOTIFICATIONS
A. Failure to Collect. When Solid Waste is not Collected from any Solid Waste Customer,
Contractor shall notify its Customer in writing, at the time Collection is not made, through the use of
a “tag” or otherwise, of the reasons why the Collection was not made.
B. Hazardous Material Inspection and Reporting. Contractor reserves the right to reject Solid
Waste observed to be contaminated with Hazardous Material and the right not to Collect Hazardous
Material put out with Solid Waste. Contractor shall notify all agencies with jurisdiction, if
appropriate, including the California Department of Toxic Substances Control and Local Emergency
Response Providers and the National Response Center of reportable quantities of Hazardous
Material, found or observed in Solid Waste anywhere within the City. In addition to other required
notifications, if Contractor observes any substances which it or its employees reasonably believe or
suspect to contain Hazardous Materials unlawfully Disposed of or released on any City property,
including storm drains, streets or other public rights of way, Contractor will immediately notify the
City Manager or the City Manager’s designee. Contractor shall implement and maintain a training
program that will assist its employees in identifying and properly disposing of any Hazardous
Material that may come into their possession.
C. Hazardous Material Diversion Records. Contractor shall maintain records showing the types
and quantities, if any, of Hazardous Material found in Solid Waste and which was inadvertently
Collected from Customers within the City, but Diverted from Landfill Disposal.
4.1.14 COLLECTION OF FORMER CONTRACTOR’S CONTAINERS
If any Solid Waste enterprise providing Solid Waste Services to Customers prior to the start of
Collection services under this Agreement does not remove the Containers it had in use prior to the
start of Collection services under this Agreement, Contractor shall Collect and Recycle/Dispose of all
such Containers at no additional charge to City or Customers.
7.2.a
Packet Pg. 502
ADDENDUM #1
City of Diamond Bar – DRAFT 43 June 12, 2023
4.2 VEHICLE REQUIREMENTS
4.2.1 GENERAL
Contractor shall provide Collection vehicles sufficient in number and capacity to efficiently perform
the work required by the Agreement in strict accordance with its terms as described in Contractor's
Proposal. Any additional vehicles/routes that may be required to meet the service standards during
the term of this Agreement, above the number included in Contractor's Proposal shall be done so at
Contractor's sole expense. Contractor shall have available on Collection days sufficient reserve
vehicles for each type of Collection vehicle, which can be dispatched within one (1) hour of any
breakdown to complete the Collection routes and to respond to complaints and emergencies. Such
reserve equipment shall correspond in size and capacity to the equipment used by the Contractor to
perform the contractual duties. All equipment of Contractor used to provide the services set forth in
this Agreement shall be subject to inspection by City upon request.
4.2.2 VEHCILE SPECIFICATIONS
A. All route Collection vehicles will be not older than 2-years and in like-new condition upon
initiation of services under this Agreement. Contractor shall operate no vehicles within the
City over 10-years in age during the initial ten-year term of this Agreement and no older than
15-years in age during any future extensions of this Agreement.
B. Such vehicles must be registered with the California Department of Motor Vehicles and shall
have water-tight bodies designed to prevent leakage, spillage or overflow. Hoppers shall be
enclosed on top and on all sides to prevent material from leaking, blowing or falling from the
Vehicles. All such Vehicles shall have Each Collection vehicle shall be equipped with a shovel
and broom for clean-up of spillage. Collection Vehicles shall never be loaded to exceed the
manufacturer’s recommended weight limit or otherwise operated unsafely or in violation of
any Applicable Law.
C. At all times during the term of this Agreement, Contractor’s Collection vehicles shall comply
with Department of Transportation requirements, South Coast Air Quality Management
District Requirements and the California Air Resource Board requirements as they are
currently in force and as they may be approved for Refuse removal vehicles, as well as other
Federal, State and local laws and regulations that may be enacted during the term of this
Agreement.
D. All route Collection vehicles used by Contractor in providing Refuse, Recycling, and Organics
Collection services, excluding spares, Roll-off Box Collection vehicles, scout vehicles,
supervisor vehicles, Container delivery and other specialty vehicles used on a sporadic basis,
shall use alternative fuel such as compressed or liquified natural gas, liquified petroleum gas,
methanol, electricity, fuel cells, or other advanced technologies, approved by the South
Coast Air Quality Management District (SCAQMD) for Solid Waste Services.
7.2.a
Packet Pg. 503
ADDENDUM #1
City of Diamond Bar – DRAFT 44 June 12, 2023
4.2.3 VEHICLE IDENTIFICATION
Contractor's name, local telephone number, and a unique vehicle identification number designed by
Contractor for each vehicle shall be prominently displayed on all vehicles, in letters and numbers no
less than six (6) inches high. City must approve truck labeling. No advertising shall be permitted other
than the name of the Contractor except promotional advertisement of the Recyclable Materials and
Organic Materials programs, other programs specific to the City, or information requested by City. All
advertisement must be approved by the City. Contractor shall not place City's name and/or any City
logos on Contractor vehicles.
4.2.4 CLEANING AND MAINTENANCE
1) Contractor shall maintain all of its properties, vehicles, facilities, and equipment used in
providing service under this Agreement in a good, safe, neat, clean, and operable condition
at all times.
2) Vehicles used in the Collection of Refuse, Recyclable Materials, and Organics shall be painted,
thoroughly washed, and thoroughly steam cleaned on a regular basis so as to present a clean
appearance. City may inspect vehicles at any time to determine compliance with this
Agreement. Contractor shall also make vehicles available to the County of Los Angeles for
inspection, at any frequency it requests. Contractor agrees to replace or repair to the City’s
satisfaction, any vehicle which City determines to be of unsightly appearance, leaking, or in
unsatisfactory operating condition.
3) Contractor shall repaint all vehicles used in the Collection of Refuse, Recyclable Materials and
Organics at least every five years, and within thirty (30) days' notice from City if City
determines that their appearance warrants painting.
4) Contractor shall inspect each vehicle daily to ensure that all equipment is operating properly.
Vehicles which are not operating properly shall be removed from service until repaired and
operating properly. Contractor shall perform all scheduled maintenance functions in
accordance with the manufacturer's specifications and schedule. Contractor shall keep
accurate records of all vehicle maintenance, recorded according to date and mileage, and
shall make such records available to City upon request.
5) Contractor shall repair, or arrange for the repair of, all of its vehicles and equipment for
which repairs are needed because of accident, breakdown, or any other cause so as to
maintain all equipment in a safe and operable condition. Contractor shall maintain accurate
records of repair, which shall include the date and mileage, nature of repair and the
verification by signature of a maintenance supervisor that the repair has been properly
performed.
6) Contractor shall clean up any leaks or spills from its vehicles per the National Pollutant
Discharge Elimination System (NPDES) permit in effect at the time. No fluids shall be washed
into storm drains at any time. All NPDES dry-cleaning measures shall be complied with. All
Collection Vehicles must be equipped with absorbent for such cleanup efforts.
7.2.a
Packet Pg. 504
ADDENDUM #1
City of Diamond Bar – DRAFT 45 June 12, 2023
7) Upon request, Contractor shall furnish City a written inventory of all equipment, including
Collection vehicles, used in providing service. The inventory shall list all equipment by
manufacturer, ID number, date of acquisition, type, and capacity.
8) All vehicles used to provide services under this Agreement shall at all times have in the cab
the registration of the truck, evidence of insurance meeting the requirements of this
Agreement and an identification card with the name of whom to telephone in case of an
accident or emergency. Each truck shall be equipped with a minimum of a 20 -pound fire
extinguisher that has been certified by the state fire marshal. This fire extinguisher shall be
recharged as needed, but not less than once annually. Vehicles shall be equipped with a
shovel and broom to clean up any spillage.
9) All trucks used to provide services under this Agreement in the City shall be required to be
completely enclosed with a nonabsorbent cover while Transporting Refuse, Recyclables or
Compostable Materials or other Solid Waste materials in or through the city. "Completely
enclosed with a nonabsorbent cover" means that Refuse, trash, Recyclable or Compostable
materials shall not be visible from the public highway, nor shall any of the substances be
permitted to leak, spill or become deposited along any public highway.
4.2.5 VEHICLE OPERATIONS
Vehicles shall be operated in compliance with the California Vehicle Code, and all applicable safety
and local ordinances. Contractor shall not load vehicles in excess of the manufacturer's
recommendations or limitations imposed by state or local weight restrictions on vehicles.
Contractor equipment used for Refuse, Recycling, and Organics services shall be registered with the
California Department of Motor Vehicles. Equipment shall comply with US EPA noise emission
regulations, currently codified at 40 CFR Part 205 and other applicable noise control regulations, and
shall incorporate noise control features throughout the entire vehicle. Noise levels of equipment
used for Collection shall comply with the City of Diamond Bar Municipal Code Chapter 8.16 and in no
event shall the noise level exceed 75 dba when measured at a distance of 25 feet from the vehicle,
five feet from the ground. Contractor shall store all equipment in safe and secure locations in
accordance with City's applicable zoning regulations.
Contractor shall be responsible for any damage, normal wear and tear excepted, resulting from or
directly attributable to any of its operations, and which it causes to: City's driving surfaces, whether
or not paved, public or private; associated curbs, gutters, and traffic control devices; and all other
public and private improvements.
4.2.6 CITY INSPECTION PER CODE
City may cause any vehicle used in performance of this Agreement to be inspected and tested at any
commercially reasonable time and in such manner as may be appropriate to determine that the
vehicle is being maintained in compliance with the provisions of the State Vehicle Code, including,
but not limited to, California Vehicle Code Sections 27000(b), 23114, 23115, 42030, 42032, and all
7.2.a
Packet Pg. 505
ADDENDUM #1
City of Diamond Bar – DRAFT 46 June 12, 2023
Vehicle Code Sections regarding smog equipment requirements. City may direct the removal of any
vehicle from service if that vehicle is found to be in nonconformance with applicable codes or any
provision of this Agreement. No vehicle directed to be removed from service shall be returned to
service until it conforms and its return to service has been approved by the City.
4.2.7 VEHICLE INSPECTIONS
Upon City request, Contractor shall submit the Safety Compliance Report/Terminal Record Update
from its Biennial Inspection of Terminal, or BIT. If Contractor receives a terminal rating below
satisfactory, the Contractor is in violation of the Agreement. The Contractor has the time allowed by
the Department of California Highway Patrol (“CHP”) to cure violations and bring the terminal rating
up to satisfactory. If the CHP does not adjust the rating to satisfactory or better within six months,
then the Contractor shall be considered in default of the contract and the City may terminate the
Agreement as provided in Section 13.2.
4.2.8 CORRECTION OF DEFECTS
Following any inspection, the City Administrator shall have the right to cause Contractor, at its sole
cost and expense, to recondition or replace any vehicle or equipment found to be unsafe, unsanitary
or unsightly. The City Administrator’s decision will be final.
4.2.9 CITY INFORMATIONAL DISPLAYS
Contractor shall equip all vehicles which Collect Solid Waste within the City with informational
displays. The City shall advise Contractor as to the messages which should be displayed while vehicles
are operating for the City. The City may, at its option, have the messages to be displayed changed
once per year at no additional cost.
4.2.10 VEHICLE AND EQUIPMENT INVENTORY
On or before the effective date of this Agreement, the Contractor shall provide to the Contract
Administrator an inventory of Collection Vehicles and major equipment used by the Contractor for
Collection or Transportation in performance of services under this Agreement.
The inventory shall indicate each Collection vehicle by identification number, DMV license number,
the age of the chassis and body, type of fuel used, the type and capacity of each vehicle, the date of
acquisition, and the maintenance and rebuilt status.
The Contractor shall submit to the Contract Administrator an updated inventory including all of the
information required above in each annual report, or more often at the request of the City. Each
vehicle inventory shall be accompanied by a certification signed by the Contractor that all Collection
Vehicles meet the requirements of this Article.
7.2.a
Packet Pg. 506
ADDENDUM #1
City of Diamond Bar – DRAFT 47 June 12, 2023
4.3 CONTAINER REQUIREMENTS
4.3.1 CART REQUIREMENTS
A. Cart Selection, Distribution and Exchanges. Contractor shall provide Customers with
new Refuse, Recycling and Organics Carts at the start of service under this Agreement, at no extra
charge.
In advance of initial new Cart distribution, Contractor shall mail a notice of rates, and provide
Customers the opportunity to request service changes. If no response is received by Customer by
specified date, Customer will retain the same level of service currently provided as reported by the
previous waste hauler.
B. Cart Design Requirements. The Carts shall be manufactured by injection or rotational
molding and meet the Cart design and performance requirements as specified below. All Carts
selected shall be subject to City approval. The City will not permit Carts and Cart lids with
inconsistent colors or in poor condition to be used in the City at any time during the term of this
Agreement, and may require Contractor to replace such Carts. Contractor shall ensure that all Carts
in service during the terms of this Agreement comply with CalRecycle requirements under SB 1383.
C. Cart Colors. The Refuse, Recycling and Organics Carts or Cart lids will be differentiated by
color. The colors shall be colorfast and resistant to fading as a result of weathering or ultraviolet
degradation. Cart and Cart lid colors shall be consistent throughout the City, and shall comply with
CalRecycle requirements under SB 1383.
D. Capacity. References to Cart sizes of 35, 64, or 96 gallons are approximate.
Acknowledging the different sizes provided by the various Cart manufacturers, the Carts shall be
uniform in appearance and must conform to the following ranges in size:
x 30 to 40 gallons,
x 60 to 70 gallons, and
x 90 to 101 gallons.
E. Cart Handles. The Cart handles and handle mounts may be an integrally molded part of the
Cart body or molded as part of the lid. The Cart handles will provide comfortable gripping area for
pulling or pushing the Cart or lifting the lid. Pinch points are unacceptable.
F. Cart Lid Performance. Each Container shall be provided with a lid that continuously
overlaps and comes in contact with the Container body or otherwise causes an interface with the
Container body that simultaneously:
x Prevents the intrusion of rainwater, rodents, birds, and flies;
x Prevents the emission of odors;
7.2.a
Packet Pg. 507
ADDENDUM #1
City of Diamond Bar – DRAFT 48 June 12, 2023
x Enables the free and complete flow of material from the Container during the dump cycle
without interference with the material already deposited in the truck body or the truck body
itself and its lifting mechanism;
x Permits users of the Container to conveniently and easily open and shut the lid throughout
the serviceable life of the Container;
x Prevent damage to the Cart body, the lid itself or any component parts through repeated
opening and closing of the lid by residents or in the dumping process as intended;
x Remain closed in winds up to 25 miles per hour from any direction. All lid hinges must remain
fully functional and continually hold the lid in the original designed and intended positions
when either opened or closed or any position between the two extremes; and,
x Lid shall be designed and constructed such that it prevents physical injury to the user while
opening and closing the Container.
x The lid handle shall be an integrally molded part of the lid;
x The lid (and body) must be of such design and weight that would prevent an empty
Container from tilting backward when flipping the lid open; and,
x The lid shall be hinged to the Cart body in such a manner so as to enable the lid to be fully
opened, free of tension, to a position whereby it may rest against the backside of the
Container body.
G. Cart Labeling and Hot Stamping. Labels used on Carts shall be placed on the inside of
the Cart lid, and hot stamps shall be on the top of the lid and/or on the body of the Cart. Each Cart
shall be hot stamped with the material type (e.g., Refuse, Recycling, Organics) in English, Mandarin,
and Korean. Labels shall include graphic instruction on what materials should and should not be
placed in each Cart. Design for both the labels and the hot stamps must be approved by City prior to
ordering labels or Carts. City shall approve what information is included on the label and in the hot
stamp, as well as approve design and quality. Labels shall be replaced when worn, and when
information on the label is in need of updating, but no later than 90 days of request from City.
Information on the Carts shall include the telephone number to call for Contractor for Bulky Item
pickups and for general Customer service. All Carts shall be labeled in accordance with CalRecycle
requirements under SB 1383 throughout the term of this Agreement.
H. Cart Performance Requirements. All Carts shall be designed and manufactured to
meet the minimum performance requirements described below. I. Cart Load Capacity. Depending on
the capacity, the Carts shall have a minimum load capacity as noted below without Container
distortion, damage, or reduction in maneuverability or any other functions as required herein.
7.2.a
Packet Pg. 508
ADDENDUM #1
City of Diamond Bar – DRAFT 49 June 12, 2023
Cart Capacity
Gallons)
Minimum Load
Capacity
lbs)
90-101
60-70
30-40
200
130
70
I. Cart Durability. Carts shall remain durable, and at a minimum, shall meet the following
durability requirements to satisfy its intended use and performance, for the term of this Agreement:
x Maintain its original shape and appearance;
x Be resistant to kicks and blows;
x Require no routine maintenance and essentially be maintenance free;
x Not warp, crack, rust, discolor, or otherwise deteriorate over time in a manner that will interfere
with its intended use;
x Resist degradation from ultraviolet radiation;
x Be incapable of penetration by biting or clawing of household pets (i.e., dogs and cats);
x The bottoms of Cart bodies must remain impervious to any damage, that would interfere with
the Cart’s intended use after repeated contact with gravel, concrete, asphalt or any other rough
and abrasive surface;
x All wheel and axle assemblies are to provide continuous maneuverability and mobility as
originally designed and intended; and,
x Resist degradation by other airborne gases or particulate matter currently present in the ambient
air of the City.
J. Chemical Resistant. Carts shall resist damage from common household or Residential
products and chemicals. Carts, also, shall resist damage from human and animal urine and feces.
K. Stability and Maneuverability. The Carts shall be stable and self-balancing in the upright
position, when either empty or loaded to its maximum design capacity with an evenly distributed
load, and with the lid in either a closed or open position. The Carts shall be capable of maintaining an
upright position in sustained or gusting winds of up to 25 miles per hour as applied from any
direction. The Carts shall be capable of being easily moved and maneuvered, with an evenly
distributed load equal in weight to its maximum design capacity on a level, sloped or stepped
surface.
7.2.a
Packet Pg. 509
ADDENDUM #1
City of Diamond Bar – DRAFT 50 June 12, 2023
L. Cart Repairability Or Replacement. Contractor shall be responsible for Cart repair and
maintenance, and replacing lost, stolen or damaged Carts within three (3) business days of
notification (excluding Saturday, Sunday and Designated Holidays, at no additional charge to the
Customer or to City, unless Contractor can demonstrate to the Contract Administrator that the
damage or loss was due exclusively to the Customer’s intentional or wanton destruction. Contract
Administrator shall make the final determination. All repairs must restore the Cart to its full
functionality. If City permits a Cart replacement charge to be assessed against Customer, Contractor
may charge the Customer the Cart Replacement Fee in the approved rate schedule. Unsightly/worn-
out/broken Carts shall be replaced by Contractor upon Customer request at no additional cost to
Customer.
Customers are responsible for the cleanliness and sanitation of Carts. Contractor shall steam clean
Carts upon request of Customers at the rates shown in the approved rate schedule. All Carts in
service for the duration of this Agreement shall comply with color and labeling requirements
specified by CalRecycle under SB 1383.
4.3.2 BIN REQUIREMENTS
A. Cleaning and Maintenance. Contractor shall provide Customers with Bins required
during the term of this Agreement and maintain Containers in safe working condition. The size of
Contractor-provided Bins shall be determined by mutual agreement of Customer and Contractor. All
Bins in use shall be constructed of heavy metal, or other suitable, durable material, and shall be
watertight and well painted. Wheels, forklift slots, and other apparatuses, which were designed for
movement, loading, or unloading of the Bin shall be maintained in good repair.
Upon Customer or City request, or if required to maintain the Containers in a clean condition,
Contractor shall clean Customer Bins once per year at no additional charge.
Contractor shall perform cleaning, repainting, or replacement of Bins as necessary to prevent a
nuisance caused by odors or vector harborage, or if requested by Customer or City for an additional
charge at the rates listed in the approved rate schedule. When a Bin is removed for cleaning,
Contractor shall replace the Bin, either temporarily or as a change-out, with another Container.
B. Bin Identification and Color. Each Bin placed in City by Contractor shall have the name of
Contractor and phone number in letters not less than three (3) inches high on the exterior of the Bin
so as to be visible when the Bin is placed for use. Bin type (Refuse, Recycling, Cardboard, Organic
Waste) may be identified with an affixed sign.
Bins shall be labeled to include English, Korean, and Mandarin and graphic instruction on what
materials should and should not be placed in each Bin. Contractor shall have labels approved by City
prior to ordering and placement on Bins. Labels shall be replaced when worn, and when information
on the label is in need of updating, but no later than 90 days of request from City.
7.2.a
Packet Pg. 510
ADDENDUM #1
City of Diamond Bar – DRAFT 51 June 12, 2023
Contractor shall repaint Bins at the City’s request if the City deems it necessary to maintain a neat
appearance. All Bins in service for the duration of this Agreement shall comply with color and
labeling requirements specified by CalRecycle under SB 1383.
4.3.3 ROLL-OFF BOX REQUIREMENTS
Contractor shall provide sufficient Roll-Off Boxes to meet Customer demand throughout the Term of
the Agreement, and will keep all Roll-Off Boxes clean, free from graffiti, equipped with reflectors, and
with the name and phone number of Contractor in letters not less than three (3) inches high on the
exterior of the Roll-Off Box so as to be visible when the Roll-Off Box is placed for use. Contractor shall
properly cover all open Roll-Off Boxes during Transport as required by the State Vehicle Code. All
Roll-Off Boxes in service for the duration of this Agreement shall comply with color and labeling
requirements specified by CalRecycle under SB 1383.
4.4 PERSONNEL
4.4.1 QUALIFIED PERSONNEL
Contractor shall furnish such qualified drivers, mechanical, supervisory, clerical, management and
other personnel as may be necessary to provide the services required by this Agreement in a
satisfactory, safe, economical and efficient manner. All drivers shall be trained and qualified in the
operation of vehicles they operate and must possess a valid license, of the appropriate class, issued
by the California Department of Motor Vehicles.
4.4.2 IDENTIFICATION REQUIRED
Contractor shall provide its employees, companies, and subcontractors with identification for all
individuals who may make personal contact with residents or businesses in City. City may require
Contractor to notify Customers yearly of the form of said identification. Contractor shall provide a list
of current employees, companies, and subcontractors to City upon request.
City reserves the right to perform a security and identification check through the City's Police
Department on the Contractor and all their present and future employees employed by Contractor to
work in the City, in accordance with accepted procedures established by City, or for probable cause.
4.4.3 HAZARDOUS MATERIAL EMPLOYEE TRAINING
Contractor shall establish and implement an educational program which will train Contractor's
employees in the identification of Hazardous Material. Contractor's employees shall not knowingly
place such Hazardous Material in the Collection vehicles, nor knowingly Dispose of such Hazardous
Materials at the Processing Facility or Disposal Site.
7.2.a
Packet Pg. 511
ADDENDUM #1
City of Diamond Bar – DRAFT 52 June 12, 2023
4.4.4 FEES AND GRATUITIES
Contractor shall not, nor shall it permit any agent, employee, or subcontractors employed by it to
request, solicit or demand, either directly or indirectly, any compensation or gratuity for services
authorized to be performed under this Agreement except as described in this Agreement, in
accordance with the approved rate schedule.
4.4.5 NON-DISCRIMINATION
Contractor shall not discriminate in the provision of service or the employment of Persons engaged
in performance of this Agreement on account of race, color, religion, sex, age, physical handicap, or
medical condition in violation of any applicable federal or state law.
4.4.6 HIRING OF DISPLACED EMPLOYEES
In accordance with Labor Code Sections 1070, 1072, 1075, and 1076, Contractor shall offer
employment to qualified existing employees of the current contractor that may be displaced if the
current contractor is not retained. Immediately following award of this Agreement, Contractor shall
work with the current contractor to obtain a complete list of full-time non-management employees
in good standing working exclusively to provide direct Collection services to City and Collection
support services. Contractor shall conduct outreach, complete interviews, and offer employment to
eligible employees. Contractor will not be required to hire for more positions than the maximum
anticipated positions needed to provide the services required by this Agreement or hire employees
for positions if those employees have not been successfully executing duties similar to those needed
by Contractor to provide the services required by this Agreement.
4.4.7 CITY LIAISON
Contractor shall designate a person to serve as agent and liaison between the Contractor and the
City and shall maintain a telephone and a means for contact at all times including during periods of
strike or other emergencies. The Contractor's City Liaison shall meet with the City as necessary to
effectuate the purposes of the Agreement. Contractor shall immediately inform City of any changes
in the designated City Liaison. Contractor shall not change this designation without prior approval of
the City, excluding cases of termination of the employee.
4.4.8 SERVICE LIAISON
Contractor shall designate a field supervisor as the City’s “Service Liaison” who shall be responsible
for working with Contract Administrator to resolve Customer service-related complaints. The Service
Liaison shall be accessible via cell phone or radio in the field at all times. Contractor shall immediately
inform City of any changes in the designated Service Liaison. Contractor shall not change this
designation without prior approval of the City, excluding cases of termination of the employee.
7.2.a
Packet Pg. 512
ADDENDUM #1
City of Diamond Bar – DRAFT 53 June 12, 2023
4.4.9 ENVIRONMENTAL COORDINATOR
To achieve a high level of Recycling education and awareness, Contractor will hire at least one full-
time, fully trained and experienced, environmental coordinator.
The environmental coordinator shall develop and conduct all education and outreach activities
required under the Agreement including, providing technical assistance to Residential (including
Multi-Family Premises), and Commercial Customers; promoting waste reduction, Recycling, and
Diversion programs; submitting monthly reports to the City regarding waste audits, outreach
activities, and any other information requested by the City. The environmental coordinator shall fully
cooperate with the City in implementing the City’s Customer Education Plan.
4.4.10 CITY’S RIGHT TO APPROVE CITY AND SERVICE LIAISON
City may request that Contractor change the City and Service Liaisons and shall have the right to
approve the designated liaisons. Contractor shall immediately inform City of any changes in the
designated liaisons.
ARTICLE 5: PROCESSING AND DISPOSAL REQUIREMENTS
5.1 TRANSPORTATION OF DISCARDED MATERIALS
The Contractor shall Transport all Solid Waste Collected under Article 3 to the Designated Facilities
listed in Exhibit 3. The Contractor shall maintain accurate records of the quantities of Solid Waste
Transported to Solid Waste facilities and will cooperate with the City in any audits or investigations of
such quantities.
5.2 DIVERSION AND PROCESSING REQUIREMENTS
Contractor shall Divert from Landfill Disposal a minimum of ___% of all Solid Waste it Collects under
this Agreement excluding Construction and Demolition Debris. Compliance will be measured on a
calendar year basis, except that compliance will be measured during the first compliance period for
the fifteen (15) months ending December 31, 2026, and compliance during the final year will be
based on a partial year if the term ends before December 31 in the final year. Solid Waste Collected
shall only be considered to have been Recycled or Diverted as required under this Agreement if it is
deemed to be Diversion by CalRecycle in connection with efforts to meet City’s Diversion goals.
Contractor shall provide documentation to the City within 45 days of the end of each calendar year
stating and supporting that calendar year’s Diversion rate. Diversion from sources other than
Contractor’s Collection and Diversion efforts (such as source reduction, reuse, or Recyclable
Materials Diverted by other Solid Waste enterprises, Collection of materials that are not the subject
of this Agreement, or the efforts of self-haulers) is not to be counted as Diversion achieved by
7.2.a
Packet Pg. 513
ADDENDUM #1
City of Diamond Bar – DRAFT 54 June 12, 2023
Contractor. Failure to achieve the minimum Diversion requirement may result in liquidated damages
as described in Section 11.1 of this Agreement. In the event that the minimum Diversion requirement
is not met, and, no sooner than three (3) years after the start of services under this Agreement, and
not more often than once every two (2) years thereafter, the Parties agree to meet and confer
regarding adjustments to the minimum Diversion rate, based on factors including waste
characterization data provided by Contractor, trends in source reduction and reuse, trends in third
party Diversion, the availability of permitted Facilities that are capable of Processing material to
achieve the required levels of Diversion, emerging methods of Processing and Recycling/reusing new
waste materials, the availability of markets, and the impact of scavenging. City shall consider such
information provided by Contractor and other industry data and shall, at its sole discretion,
determine if any adjustments to the minimum Diversion requirements shall be made, and such
changes must be approved by the City Council before becoming effective. If these Diversion
requirements are not met, City may instruct Contractor to initiate new programs at Contractor’s
expense in order for this goal to be met on a consistent basis.
5.2.1 PROCESSING OF RECYCLABLES AND ORGANICS
Contractor shall deliver all Collected Recyclables and Organics to a fully permitted Processing
Facilities capable of separating and recovering materials to maximize Diversion credit for City in
accordance with CalRecycle regulations.
All expenses related to Recyclable and Organics Material Processing and marketing will be the sole
responsibility of the Contractor. Contractor shall ensure that all Recyclables and Organics Collected
are Diverted and not Disposed of in a Landfill except as a Residue resulting from Processing or loads
rejected by the Processing Facility operator or loads not delivered to the Processing facility by
Contractor due to the presence of excessive contamination rendering the Recyclable loads unfit for
Processing.
Recyclables or Organics loads rejected by the Processing Facility operator or not delivered to the
Processing Facility due to excessive contamination shall be reported to City together with
information regarding the source or route from which it originated. Failure to do so places the
Contractor in default. The City has the option, but not obligation, to direct the Contractor where to
deliver the material.
5.2.2 END USES FOR ORGANICS
Contractor is responsible for monitoring how the Organic Material will be Diverted at selected
facilities and for selecting alternative facilities if necessary to ensure full Diversion credit. Failure to
do so places the Contractor in default. City has the option, but not obligation, to direct Contractor
where to deliver the material, and if City directs Contractor to an alternative Facility then Contractor
may request a rate adjustment in accordance with Section 2.10.
5.2.3 BULKY ITEM DIVERSION
Bulky Items Collected by Contractor in accordance with Section 3.6, or otherwise Collected under this
7.2.a
Packet Pg. 514
ADDENDUM #1
City of Diamond Bar – DRAFT 55 June 12, 2023
Agreement, may not be Landfilled or Disposed of until the following hierarchy of Diversion efforts
has been followed by Contractor:
1) Reuse as is,
2) Disassemble for reuse or Recycling,
3) Recycle or market and sell Recyclable Materials for Recycling,
4) Disposal.
This hierarchy is intended to preclude the use of front or rear loading packer vehicles for Bulky Items
unless the compaction mechanism is not used to compact the Bulky Items, unless they have been
designated for Disposal.
5.2.4 CONSTRUCTION AND DEMOLITION DEBRIS DIVERSION
Contractor will bring all loads of mixed Construction and Demolition Debris to a C&D Designated
Processing Facility as listed in Exhibit 3 for separation and recovery of this material. Contractor may
deliver separated loads of Construction and Demolition Debris, such as clean dirt, concrete or rebar,
to facilities specializing in the reuse of such materials, provided this material is Diverted from Landfill
Disposal. Contractor shall Divert from Landfill Disposal a minimum of 75% or the State-mandated
Construction and Demolition Diversion percentage, whichever is greater, of all Construction and
Demolition Debris Collected.
5.2.5 DIVERSION OF ELECTRONIC, UNIVERSAL AND OTHER SPECIAL WASTE
Contractor shall Divert waste requiring special handling, such as Electronic Waste, or “E-Waste”
Collected in accordance with Sections 3.6, or by other means under this Agreement, by taking these
goods to a properly permitted Facility, and not by Landfill Disposal.
5.3 MARKETING AND SALE OF RECYCLABLES
Contractor shall be responsible for marketing and sale of all Recyclables Collected pursuant to this
Agreement. Contractor may retain revenue from the sale of Recyclable Materials, and shall report
the amount of such revenues to City upon request. In the event that Contractor is unable, after
reasonable diligence, to sell or donate certain Recyclable Materials due to the lack of an available
market, Contractor may request, and City may authorize Contractor, in its sole discretion, to Dispose
of said Recyclables without sale, subject to on-going review by the City. In the event market
conditions for said Recyclables change such that they can, once again, be sold by Contractor, City
may withdraw its consent for Contractor to Dispose of said Recyclables and may, again, require
Contractor to sell said Recyclables as otherwise provided in this Agreement.
5.4 USE OF DESIGNATED FACILITIES
The Contractor, without constraint and as a free-market business decision in accepting this
Agreement, agrees to use the Designated Facilities as listed in Exhibit 3 for the purposes of
7.2.a
Packet Pg. 515
ADDENDUM #1
City of Diamond Bar – DRAFT 56 June 12, 2023
Processing and/or Disposing of all Source Separated Recyclable Materials, Source Separated Organics
Materials, Refuse, Bulky Items, and other materials Collected in the City over the Term of this
Agreement. Contractor agrees that such decision by the Contractor in no way constitutes a restraint
of trade.
The Contractor shall not knowingly deliver materials Collected under this Agreement to facilities that
do not comply in all material aspects with Applicable Law. The Contractor, and not the City, must use
reasonable efforts to assure that all Disposal, Transfer, and Processing facilities to which the
Contractor delivers material under this Agreement are properly permitted to receive material
Collected under this Agreement, except for any other facility that the City directs the Contractor to
use. Failure to comply with this provision may result in the Contractor being in default under this
Agreement.
Contractor shall actively work with the Designated Facility(ies) operator(s) throughout the Term of
this Agreement to ensure that Contamination remains below the limits established by Applicable
Law, including, without limitation, SB 1383.
Through written notice to the City annually on or before July 1, Contractor shall identify the facilities
to which Contractor will Transport Solid Waste including Source Separated Organic Waste, Source
Separated Recyclable Materials, Refuse, Bulky Items, and other materials Collected in the City over
the Term of this Agreement.
5.5 USE OF CONTRACTOR-OWNED APPROVED FACILITEIS
If the Contractor or Affiliate owns and/or operates a Designated Facility, all expenses associated with
permitting, licensing, regulatory compliance, closure and post-closure, etc. and all other costs
associated with the operation and ownership of the Designated Facility is the sole responsibility of
the Contractor. All expenses related to Processing and / or marketing of Organics and Recyclables will
be the sole responsibility of the Contractor. Any request to adjust the Contractor’s rates shall be
done in accordance with Article 10.
5.6 SOLID WASTE CAPACITY GUARANTEE
Solid Waste facility Capacity Guarantee Contractor shall provide City with guaranteed capacity for the
following Solid Waste facilities for the Term of this Agreement:
INCLUDE LIST FROM COMPANY'S PROPOSAL]
7.2.a
Packet Pg. 516
ADDENDUM #1
City of Diamond Bar – DRAFT 57 June 12, 2023
ARTICLE 6: OTHER SERVICES
6.1 BILLING AND CONTRACTOR COMPENSATION
The Contractor shall be solely responsible for the billing and collection of payments for all Collection
services. The Contract Administrator shall have the right to review and approve the format of all
Customer bills. The Contractor shall be entitled to set rates for all services provided pursuant to this
Agreement, provided that such rates do not exceed the maximum approved rates in accordance with
the approved rate schedule.
Contractor Compensation is exclusively derived from revenue received as a result of the Billings for
services listed on the approved rate schedule, and Contractor shall charge no additional fees unless
approved in advance by the City.
6.1.1 RESIDENTIAL CART CUSTOMERS
Contractor shall Bill Residential Cart Customers quarterly in accordance with the approved rate
schedule with invoice dated no sooner than the first day of the quarter Billed for, and payment shall
be due no sooner than 30 days after invoice date. The quarters shall begin on February 1, May 1,
August 1, and November 1. Extra Bulky Item pickups or extra overage pickups may be added to
quarterly Billing or may be Billed at time of service.
6.1.2 COMMERCIAL CART AND BIN SERVICE
Contractor shall be responsible for billing for Commercial Cart and Commercial Bin services and other
special charges as permitted in the approved rate schedule on a monthly basis. Bills must be itemized
by service type, Container size, frequency of service, discounts, and period billed for. All bills must
carry a due date, not "due upon receipt." Bills will not carry an itemization of fees remitted to the
City.
6.1.3 DISABLED CUSTOMER DISCOUNT
Customers determined to be disabled, either by the issuance of a handicap placard from the
Department of Motor Vehicles or by meeting City-established guidelines, will receive a X% discount
off the standard monthly rate for one Refuse, Recycling and Organics Cart service. The disabled party
must be the Customer named on the Billing. The discount shall be itemized or otherwise noted on
Customer invoices. Contractor shall administer the review and processing of Customer discount
applications. Contractor shall provide to the City an annual report containing the name and service
address of all Customers receiving the Disabled Customer Discount.
6.1.4 SENIOR DISCOUNT
Customers entitled to the senior rates included in the approved rate schedule are Customers that are
listed in the Bill, reside at the Premises where service is received and are 60 years of age or older.
7.2.a
Packet Pg. 517
ADDENDUM #1
City of Diamond Bar – DRAFT 58 June 12, 2023
The discount shall be itemized or otherwise noted on invoices. Contractor shall administer the review
and processing of Customer discount applications. Contractor shall provide the City with an annual
report (or more frequently if requested by City) containing the name and service address of all
Customers receiving the Senior Customer Discount.
6.1.5 FORM OF PAYMENT
Contractor will accept major credit cards for payment from Customers who request temporary Roll-
Off Box or temporary Bin service that do not have an account with Contractor. Customers without
such an account who do not use credit cards may be required by the Contractor to post a security
deposit or to pay on a "Cash on Delivery C.O.D.” basis. Any unused portion of a security deposit will
be refunded to the Customer within fifteen business days of the termination of service.
6.1.6 TEMPORARY BIN AND ROLL-OFF BOX SERVICE
1) Customers' temporary Bin and Roll-Off Box services may be Billed at the time of, or in
advance of, service, or on a monthly or bi-monthly Billing cycle.
2) Contractor may request advance payment for temporary services.
3) Contractor may require outstanding temporary services balances be paid prior to providing
subsequent temporary services.
4) Weekly Cart Collection services shall not be suspended due to outstanding balances for Bin
or Roll-Off Box Services.
6.1.7 AUTOMATED BILLING PAYMENT
Contractor shall make available to all Customers through Contractor’s website and customer service
portal, an automated billing and payment system at no additional charge. This system should allow
Customers to view and pay bills, obtain and electronic copy of their bill, request to cease paper billing
and receive e-bills via email or through Contractor’s website. The Contractor will ensure that the
electronic billing and payment website conforms to industry-standard practices for electronic
commerce security. The Contractor must ensure that Customers receiving e-bills are also receiving
billing inserts either via electronic mail or via US Postal Service. The Contractor shall promote the
website-based billing and payment system on all paper bills sent to Customers.
6.1.8 BILL PAYMENT BY PHONE
The Contractor shall make available to all Customers the ability to make bill payment by phone at no
additional charge.
6.1.9 REVIEW OF BILLINGS
Contractor shall review its Billings to Customers to determine that the amount which Contractor is
billing each Customer is correct in terms of the level of service being provided to such Customer by
7.2.a
Packet Pg. 518
ADDENDUM #1
City of Diamond Bar – DRAFT 59 June 12, 2023
Contractor. Contractor shall review Customer accounts annually and submit to City a written report
of that review annually on the anniversary of the Effective Day of this Agreement.
6.1.10 SUSPENSION OF SERVICE DUE TO NON-PAYMENT
A. Residential Customers: The following procedures apply to Customer accounts that are Billed
quarterly for weekly Cart service:
1) For balances outstanding for 60 days after due date, Contractor shall send a reminder notice
to Customer that payment is overdue. Notice should include a warning that balances
outstanding after 75 days shall be assessed a late fee, and that, if balance remains
outstanding after 90 days, service shall be suspended.
2) For balances outstanding for 75 days after due date, Contractor shall send a notice that that
service may be discontinued if overdue balance is not received within 15 days. Contractor
shall provide list of these Customers to the City the time these notices have been sent.
Contractor may charge a late fee equal to 10% of balance outstanding for at least 75 days
after due date.
3) For balances outstanding for 90 days, Contractor may provide Customer with notice that
service has been suspended until outstanding balance is paid in full, including late payment
fee, provided Contractor has completed steps 1 and 2 above and has provided City with a list
of Customers being so notified.
B. Commercial Customers: In the event of non-payment by a Commercial Customer
Billed by Contractor, Contractor must follow these steps before suspending service:
First Notice: If payment is not received by 15 days after due date, Contractor shall notify Customer in
writing of the non-receipt of payment and that non-payment can result in suspension of service.
Second Notice: If payment is not received within 15 days of the mailing of the first notice of non-
receipt of payment, Contractor shall mail a second notice of non -receipt of payment, wanting that 1)
service will be suspended in 15 days if payment is not received and that City will undertake code
enforcement against the delinquent Customer, and 2) Contractor may assess a penalty of up to 10%
on balances outstanding for sixty (60) days after the invoice date.
Contractor shall not suspend service without prior approval from City.
6.1.11 DEBT COLLECTION
Contractor shall be responsible for bad debt. Contractor may pursue independent collections against
Customers. City will not pursue collections on behalf of Contractor.
7.2.a
Packet Pg. 519
ADDENDUM #1
City of Diamond Bar – DRAFT 60 June 12, 2023
6.1.12 CONTINUED PROVISION OF SERVICE
In the event of a Billing dispute or to avoid an immediate threat to public health or safety, Contractor
shall continue to provide service to Customers if requested in writing by City, without regard to the
status of said Customer account and at no expense to City. Billing disputes between Contractor and
Customer may be resolved by City, and City' s decision shall be final and binding.
6.1.13 NO MARKETING
The Contractor will not market or distribute mailing lists with the name or address of Customers. The
Contractor’s obligations under this subsection are in addition to any other privacy rights accorded
Customers under Applicable Law.
6.2 CUSTOMER SERVICE
All service inquiries and complaints shall be directed to the Contractor. A representative of the
Contractor shall be available to receive the complaints during normal business hours. All service
complaints will be handled by the Contractor in a prompt, courteous, and efficient manner.
6.2.1 LOCAL OFFICE
Contractor shall maintain a local office. Office Hours shall be, at a minimum, from 7:00 A.M. to 5:00
P.M., Monday through Friday, exclusive of Designated Holidays. A responsible and qualified
representative of Contractor shall be available during Office Hours for personal communication with
the public at the local office, and to receive payments from Customers. Contractor shall have either a
representative, a message machine, or an answering service available outside of Office Hours. Calls
received outside of Office Hours shall be responded to on the next business day. Contractor shall
provide City with a twenty-four (24) hour emergency number to a live person, not voicemail.
6.2.2 CUSTOMER SERVICE PORTAL
Contractor shall maintain a company website and customer portal for all customer service matters.
The following customer transactions shall be supported both by automation (computer interaction)
and by a live customer service representative, depending on customer preference: (1) creation of a
new account; (2) closing an existing account; (3) requesting modification to service levels; (4)
submitting billing information and inquiries; and (5) identifying the next service date (when the
collection date is impacted by a Designated Holiday or other schedule change).
Customer service shall be ADA compliant. The Contractor’s website, mobile applications and
customer service telephone line shall be ADA compliant.
6.2.3 CUSTOMER COMPLAINTS, INQUIRIES AND SERVICE REQUESTS
Contractor shall maintain a Customer Relationship Manager (CRM) system to record and maintain
records of all customer complaints, inquiries, and service requests received including by telephone,
7.2.a
Packet Pg. 520
ADDENDUM #1
City of Diamond Bar – DRAFT 61 June 12, 2023
voicemail, e-mail, text, written, in person or any other communication media. The record for each
incident shall include the date and time of the incident, name, address and telephone number of
caller, description of the compliant, inquiry or request, employee recording incident, and the action
taken by Contractor to respond and remedy the incident. Contractor shall also record each instance
of non-collection and the form of notification used to inform the participants of the reasons for non-
Collection and the end result or means of resolution of the incident.
All written Customer correspondence shall be recorded into the CRM system when received and shall
be initially responded to within one (1) business day (excluding Saturday, Sunday, and Designated
Holidays) of receipt. Contractor shall use best efforts to resolve complaints within two (2) business
days.
Service complaints received by City will be directed to Contractor. All forwarded complaints shall be
recorded into the CRM system.
All Customer service records and logs kept by Contractor shall be available to City upon request. City
shall, at any time during regular Office Hours, have access to Contractor's Customer service
department for purposes that may include monitoring the quality of Customer service or researching
Customer complaints.
6.2.4 CUSTOMER SERVICE STANDARDS
Customer care is among the most important aspects of the services to be required of the Contractor.
Contractor shall perform customer service at a level that can be measured by the following two
standards:
A. Residential. The number of complaints in any one month shall not exceed 1% of the
number of residential customers served. For example, if 15,745 residential accounts are served, any
compliant above 154 in any given month will be considered a separate violation of this Agreement.
B. Commercial. The number of complaints in any one month shall not exceed 2.5% of the
number of commercial customers served. For example, if 300 commercial accounts are served, any
compliant above 8 in any given month will be considered a separate violation of this Agreement.
C. Call Center Capacity. Contractor must maintain sufficient telephone capacity during
normal office hours to ensure that all calls will be answered in less than an average of thirty (30)
seconds. Calls will be answered in less than an average of thirty (30) seconds, and thereafter will not
be placed on hold longer than an average of one (1) minute before talking to a customer service
representative of the Contractor. This standard must be measured quarterly, and the Contractor shall
not exceed this standard or it will be considered a separate violation of this Agreement. Contractor
shall ensure that all incoming calls are answered courteously and promptly during the office hours
stated above.
D. Service Standard Tracking. Contractor shall track complaints and call ringing and hold
requirements and include results in its quarterly report to the City. In any 12-month period,
7.2.a
Packet Pg. 521
ADDENDUM #1
City of Diamond Bar – DRAFT 62 June 12, 2023
accumulation by the Contractor of four or more separate customer service violations shall be
deemed a material breach of this Agreement and shall subject Contractor to all remedies which are
available to the City under this Agreement or otherwise. A violation is one month in which the
number of complaints exceeds the maximum permitted under Section 5.3.3(A) or 5.3.3(B) or one
calendar quarter in which fewer than 90% of calls placed by the City and its Customers to Contractor
are answered by a live customer service representative before the fourth ring under Section 5.3.3(C).
E. Customer Courtesy. Contractor shall train its employees in Customer courtesy, shall
prohibit the use of loud or profane language, and shall instruct Collection crews to perform the work
quietly. Contractor shall use its best efforts to assure that all employees present a neat appearance
and conduct themselves in a courteous manner. If any employee is found to be discourteous or not
to be performing services in the manner required by this Agreement, Contractor shall take all
necessary corrective measures including, but not limited to, transfer, discipline or termination. If City
has notified Contractor of a complaint related to discourteous or improper behavior, Contractor will
consider reassigning the employee to duties not entailing contact with the public while Contractor is
pursuing its investigation and corrective action process.
6.2.5 RESOLUTION OF CUSTOMER COMPLAINTS
Disputes between Contractor and its Customers regarding the services provided in accordance with
this Agreement may be resolved by the City. The City's decision shall be final and binding.
Intervention by the City is not a condition precedent to any rights or remedies third parties might
otherwise have in any dispute with Contractor. Nothing in this section is intended to affect the
remedies of third parties against Contractor. To the extent that remedies are warranted through this
Agreement, this section shall apply.
6.2.6 EMERGENCY CONTACTS
Contractor shall provide the Contract Administrator with a twenty-four (24) hour emergency phone
number to a live person, not a voicemail, where the Contractor can be reached.
6.2.7 MULTI-LINGUAL, TDD SERVICES
Contractor shall at all times maintain the capability of responding to telephone calls in English,
Mandarin, and Korean, and such other languages as City may direct. Contractor shall at all times
maintain the capability of responding to telephone calls through Telecommunications Device for the
Deaf (TDD) Services. These capabilities shall be maintained for both the local telephone number and
the emergency telephone number.
6.3 CUSTOMER OUTREACH AND EDUCATION
The Contractor shall be responsible for Customer outreach and education. Contractor shall develop
and implement outreach and education material that describes and promotes the Contractor’s Solid
7.2.a
Packet Pg. 522
ADDENDUM #1
City of Diamond Bar – DRAFT 63 June 12, 2023
Waste Services that are available to Customers and that addresses the requirements of AB 939, AB
341, AB 1826, and SB 1383 Diversion mandates.
Contractor agrees to take direction from City to expand Customer knowledge concerning needs and
methods to reduce, reuse and Recycle Solid Waste and to cooperate fully with City in this regard.
All materials produced by Contractor relating to services provided under this Agreement, including,
but not limited to: print, radio, television, or internet media before publication, distribution, and/or
release, shall be approved by City Manager or designee prior to being printed for distribution. A draft
of all text and illustrations shall be provided to City Manager or designee at least two (2) weeks in
advance of production of the final document. Comments provided by the City Manager or designee
shall be reasonably incorporated, and the final version of the text and illustrations shall be
acceptable to both City and Contractor. Printed materials shall be printed on recycled content paper.
All of Customer education materials shall be produced and/ or available in English, Mandarin, and
Korean languages, including pictures wherever applicable.
6.3.1 ON-GOING EDUCATION REQUIREMENTS
Contractor will provide a minimum of the following Customer education items to be developed at
Contractor’s expense and distributed as indicated below:
A. Initial Mailing. Contractor will prepare and mail an initial mailing to Customers explaining
the transition from the existing program to the new program. The mailing will describe program
changes, route changes, dates of program implementation, and other necessary information.
B. How-To Instructional Packet. Contractor will prepare and distribute an Instructional
Packet to new Customers when they start service. At a minimum, packet should include the following
information.
x Description of available services,
x Explanation of when, where, and how to place Containers for Collection,
x Explanation of which materials should be placed in each Container,
x Service phone number and who to contact with service or billing questions.
x Designated Holidays
C. Container Labels and Instructions. All Containers shall be labeled in accordance with
CalRecycle requirements under SB 1383 throughout the term of this Agreement. Contractor will
place stickers and/or hot stamp, Recyclable and Organics Carts, and will place stickers on Bins and
Roll-Off Boxes to demonstrate to Customers which materials are and are not acceptable for
placement in each Container. Stickers shall be replaced when materials change or as labels become
worn. Markings shall be written in English, Mandarin, and Korean.
7.2.a
Packet Pg. 523
ADDENDUM #1
City of Diamond Bar – DRAFT 64 June 12, 2023
D. Annual Brochure/Mailing. Not less than once per year during each Rate Year,
Contractor shall prepare and distribute to each Customer a mailing to update Customers regarding
program basics, program changes, holiday schedules and other services related information.
Mailings should promote and explain: all Solid Waste programs offered by City and Contractor (such
as Recycling, Organics, Holiday Tree, Bulky Item Collections, and FreeCycle. com) described in detail;
the environmental, regulatory, and other benefits of participating in Recycling; how to properly
Dispose of Household Hazardous Waste such as syringes, paint, etc.; Collection schedules, including
holiday schedules; Customers service numbers; and the procedures to begin and terminate services
if moving from Premises).
The mailing shall also include all information required in 14 CCR Section 18985.1(a), including but not
limited to the requirements on:
x Information on Organic Waste Generator’s requirements to properly separate materials in
appropriate containers.
x Information on methods for the prevention of organic waste generation, recycling organic
waste on-site, sending organic waste to community composting, and any other local
requirements regarding organic waste.
x Information regarding the methane reduction benefits of reducing the Landfill Disposal of
Organic Waste, and the methods of Organic Waste recovery Contractor uses.
x Information regarding how to recover organic waste.
x Information related to public health and safety and environmental impacts associated with
the Landfill Disposal of Organic Waste.
x Information regarding programs for the donation of Edible Food.
x Information regarding self-hauling requirements. Contractor will update and maintain its
website to include all information covered in outreach materials; as well as the multi-family
recycling instructional materials to be utilized by property owners, Front-of-house container
labels, and links to the City’s information about Edible Food donation and self-haul.
This brochure shall be at least four (4) pages and printed in full color. Contractor is responsible for all
associated costs.
E. Billing Inserts. City may require Contractor to insert notices in Contractor’s Billings up to
four (4) times per year. City may instruct Contractor to prepare such notices at Contractor’s expense,
or may choose to provide such notices for insertion. Additionally, City may periodically request that
Contractor include informative language directly on the invoices it sends.
F. Second Annual Mailer. Not less than once per year during each Rate Year, Contractor shall
prepare and distribute to each Customer a one (1) page, double-sided mailer printed in full color. City
7.2.a
Packet Pg. 524
ADDENDUM #1
City of Diamond Bar – DRAFT 65 June 12, 2023
and Contractor shall meet and confer to determine the subject matter of mailer. Contractor is
responsible for all associated costs. The method of delivery to Customers is at the City' s discretion.
F. Corrective Action Notice. Contractor shall develop a corrective action notification form
for use in instances where a Customer sets out unacceptable materials for Collection, that explains
the correct manner for Disposal of such items.
G. Technical Assistance. Contractor is responsible for providing technical assistance to
Customers to promote participation in the Diversion programs included in this Agreement, and
future regulatory requirements. Contractor may utilize the services of a consultant to provide these
services upon approval by the City.
H. Website. The Contractor shall develop and maintain a website dedicated to services
provided in the City that is accessible by the public. The web site shall include answers to frequently
asked questions; holiday schedules; rates for Collection services; acceptable materials and by waste
stream (Recyclables, Organics, and Refuse); proper Household Hazardous Waste Disposal
procedures; other useful information, as well as informing Customers how to Contact Contractor.
The Contractor’s website shall provide the public with the ability to e-mail complaints to the
Contractor and request services or service changes. (see Section 6.2.2)
6.3.2 AB 341, AB 1826, AND SB 1383 COMPLIANCE
Contractor shall ensure the City's compliance with AB 341, AB 1826, and SB 1383 by implementing
the planned tasks, procedures, proposed staffing assignments, and schedules for AB 341, AB 1826,
and SB 1383 included in Section 3.3.4 and more fully documented in the implementation plan
included in Exhibit 5.
Contractor will participate in the promotion of Recyclables and Organic Waste services available to
Residential, Multi-Family, and Commercial Customers and will fully cooperate with the City to
promote Customer education as follows:
x Sending letters to Commercial Customers not recycling to inform them of the requirements
of the Act;
x Assisting the City in informing Commercial Customers about the waiver and exemption
process and distributing and providing assistance in the preparation of the required form.
x Completing a compliance review of all Commercial Customers that generate two cubic yards
or more per week of Solid Waste per SB 1383 18995.1 (a)(1)(A);
x Contacting Commercial Customers not recycling, by telephone to inform them of the
requirements of the Act;
x Conducting site visits to Commercial Customers not recycling or participating in Organics
Collection, with each account not in compliance with the Act and subscribed to 2 cubic yards
or more of Solid Waste service receiving at least one site visit every three years;
7.2.a
Packet Pg. 525
ADDENDUM #1
City of Diamond Bar – DRAFT 66 June 12, 2023
x Evaluating requests for exemption or waiver from the Act’s requirements and providing the
Contract Administrator periodic recommendations for exemption/waiver approval, including
a site visit and re-evaluation at least every five years as required by the regulations;
x Providing the City with sufficient data, in a format provided by the City, for the City to
accurately monitor Commercial recycling efforts in the City, including an annual list of
accounts not in compliance with the Act and the account-holder’s contact information; and
x Identifying and promoting recycling services available to Customers on the Contractor
website, within its annual newsletter, and within the customer bill as an insert.
ARTICLE 7: FRANCHISE FEE, CALRECYCLE COMPLIANCE FEE, VEHICLE IMPACT
FEE, AND OTHER FEES
In addition to any other consideration set forth herein, as part of its consideration for entering into
this Agreement, and for the exclusive Franchise, right and privilege to provide Solid Waste Services as
specified herein, Contractor shall provide the following:
7.1 FRANCHISE FEE
Contractor shall pay the City a Franchise Fee of _____ percent [amount to be based on proposal
Attachment 6, Form 2.0 Rate Revenue] of Gross Receipts received from Customers billed by
Contractor. The amount of the Franchise Fee may be increased by resolution of the City Council and,
whenever said Franchise Fee is increased by resolution of the City Council, Contractor shall be
permitted to pass through to Customers one hundred percent (100%) of the amount of such
increase. Contractor and City agree that this Franchise Fee was set through good faith negotiations
and represents the reasonable value of the public right-of-way franchise rights granted to Contractor
under this Agreement and is a cost paid solely by the Contractor. Invoices submitted to Customers by
Contractor shall not reference the Franchise Fee.
7.2 CALRECYCLE COMPLIANCE FEE
Contractor shall pay to the City a CalRecycle Compliance Fee of Seven Hundred Fifty Thousand dollars
750,000) annually as adjusted herein. The CalRecycle Compliance Fee amount represents a
reasonable allocation of the City’s budgeted costs to comply with State mandates resulting from the
enactment of AB 939 and subsequent related legislation including, but not limited to: AB 2176
Chapter 879, Statutes of 2004), SB 1016 (Chapter 343, Statutes of 2008), AB 341 (Chapter 476,
Statutes of 2011), AB 1826 (Chapter 727, Statutes of 2014), and SB 1383 (Chapter 395, Statutes of
2016) which require jurisdictions to implement solids waste Collection programs, meet Processing
facility requirements, conduct contamination monitoring, provide education, maintain records,
submit reports, monitor compliance, conduct enforcement, and fulfill other requirements. Invoices
7.2.a
Packet Pg. 526
ADDENDUM #1
City of Diamond Bar – DRAFT 67 June 12, 2023
submitted to Customers by Contractor shall not reference the CalRecycle Compliance Fee.
The CalRecycle Compliance Fee shall be paid in monthly installments over the course of each Rate
Year. The initial monthly payments shall be Sixty-Two Thousand Five Hundred ($62,500) due under
the terms of Section 7.6. The foregoing notwithstanding, beginning with Rate Year 2 (July 1, 2026)
and for all subsequent Rate Years, the amount of the CalRecycle Compliance Fee shall be adjusted
annually to reflect the change in the average annual CPI for the twelve (12) month period ending
December. If there is no increase in the CPI or if the CPI decreases, the CalRecycle Compliance Fee
shall remain unchanged from the previous Rate Year.
7.3 RESIDENTIAL VEHICLE IMPACT FEE
Contractor shall pay a Residential Vehicle Impact Fee of One Hundred Seventy-Five Thousand dollars
175,000) annually as adjusted herein. The purpose of the Residential Vehicle Impact Fee is to
reimburse the City for a portion of the costs to provide road maintenance to City’s streets due to the
wear and tear” caused by the use of Contractor’s Solid Waste Collection vehicles on City Streets.
The Residential Vehicle Impact Fee shall be paid in monthly installments over the course of each Rate
Year. The initial monthly payments shall be Fourteen Thousand Five Hundred Eighty-Three dollars
and Thirty-Three cents. ($14,583.33) due under the terms of Section 7.6. The foregoing
notwithstanding, beginning with Rate Year 2 (July 1, 2026) and for all subsequent Rate Years, the
amount of the Residential Vehicle Impact Fee shall be adjusted annually to reflect the change in the
average annual CPI for the twelve (12) month period ending December as calculated in Section
10.4.3. If there is no increase in the CPI or if the CPI decreases, the Residential Vehicle Impact Fee
shall remain unchanged from the previous Rate Year.
7.4 RESIDENTIAL STREET SWEEPING FEE
Contractor shall pay a Residential Street Sweeping Fee of One Hundred Seventy-Five Thousand
dollars ($175,000) annually as adjusted herein. The purpose of the Residential Street Sweeping Fee is
to reimburse the City for the cost of sweeping residential streets.
The Residential Street Sweeping Fee shall be paid in monthly installments over the course of each
Rate Year. The initial monthly payments shall be Fourteen Thousand Five Hundred Eighty-Three
dollars and Thirty-Three cents. ($14,583.33) due under the terms of Section 7.6. The foregoing
notwithstanding, beginning with Rate Year 2 (July 1, 2026) and for all subsequent Rate Years, the
amount of the Residential Vehicle Impact Fee shall be adjusted annually to reflect the change in the
average annual CPI for the twelve (12) month period ending December as calculated in Section
10.4.3. If there is no increase in the CPI or if the CPI decreases, the Residential Street Sweeping Fee
shall remain unchanged from the previous Rate Year.
7.2.a
Packet Pg. 527
ADDENDUM #1
City of Diamond Bar – DRAFT 68 June 12, 2023
7.5 CONTRACTING FEE
Contractor shall make a one-time lump sum payment of One Hundred Thousand Dollars ($100,000)
within seven (7) Business Days of execution of this Contract to reimburse the City for costs it incurred
in connection with entering into this Agreement.
7.6 TIME AND METHOD OF FEE PAYMENTS TO THE CITY
On or before the thirtieth (30th) day month following the end of calendar month, during the Term of
this Agreement, Contractor shall remit to City The Franchise Fee, CalRecycle Compliance Fee,
Residential Vehicle Impact Fee, and Residential Street Sweeping Fee as described in section 7.1
through 7.4.
The fee payments shall be submitted with an itemized statement identifying the amount of each fee.
If the fees are not paid to the City on or before the thirtieth (30th) day following the end of the
calendar month, Contractor shall pay to City a penalty in an amount equal to ten percent (10%) of
the amount of each delinquent fee, or portion thereof, owing for that month. Contractor shall pay an
additional ten percent (10%), on any unpaid balance for each following thirty (30) day period the fees
remain unpaid. Late payment penalties shall not be included in any revenue requirement.
Each monthly Franchise Fee remittance to City shall be accompanied by a statement detailing Gross
Receipts from Customers billed by Contractor for the period covered from all operations conducted
or permitted, pursuant to this Agreement. In addition, Contractor shall maintain copies of all Billing
and Collection records for five (5) years, following the date of billing, for inspection and verification
by City at any reasonable time upon request. Each Franchise Fee payment shall be accompanied by
the following certification which shall be executed by an officer of the Contractor: “I hereby certify
that the foregoing statement of the payment to the City is made by me, that I am authorized to make
such payment of the amount of the payment due, and that to the best of my knowledge and belief,
the amount of the payment is true, correct and complete.”
ARTICLE 8: RECORDS, REPORTS AND INFORMATION REQUESTS
8.1 GENERAL
Contractor shall maintain such accounting, statistical and other records related to its performance
under this Agreement as shall be necessary to develop the financial statements and other reports
required by this Agreement. Also, Contractor agrees to conduct data collection, information and
record keeping, and reporting activities needed to comply with Applicable Laws and regulation and
to meet the reporting and Solid Waste program management needs of City. To this extent, such
requirements set out in this and other Articles of this Agreement shall not be considered limiting or
necessarily complete. In particular, this Article is intended to only highlight the general nature of
records and reports and is not meant to define exactly what the records and reports are to be and
7.2.a
Packet Pg. 528
ADDENDUM #1
City of Diamond Bar – DRAFT 69 June 12, 2023
their content. Further, with the written direction or approval of City, the records and reports to be
maintained and provided by Contractor in accordance with this and other Articles of the Agreement
shall be adjusted in number, format, or frequency.
8.2 RECORDS
8.2.1 GENERAL
Contractor shall maintain records required to conduct its operations, to support requests it may
make to City, and to respond to requests from City in the conduct of City business. Adequate record
security shall be maintained to preserve records from events that can be reasonably anticipated such
as a fire, theft, and earthquake. Electronically maintained data/records shall be protected and
backed up. All records shall be maintained for five (5) years, and shall continue to be available for five
5) years after the expiration of this Agreement. After minimum holding periods are met, Contractor
will notify City 90 days before destroying records and offer records to the City.
City shall have the right to inspect or review the specific documents or records required expressly or
by inference pursuant to this Agreement, or any other similar records or reports of Contractor or its
Affiliates that City shall deem, in its sole discretion, necessary to evaluate annual reports, and
Contractor' s performance provided for in this Agreement.
Contractor agrees that the records of any and all companies conducting operations addressed in the
Agreement shall be provided or made available to City and its official representatives during normal
business hours. Account histories shall be accessible to the City by computer for a minimum of five
5) years after termination of the Agreement.
Contractor shall make all records and documents to be reviewed and inspected by City as a part of
any audit or other record review conducted by City, available for City' s review, inspection and
copying within five (5) days of receiving written notice from City requesting the same. Additionally,
City may review records at Contractor' s local facility during normal business hours, within five (5)
days of request during normal business hours. Such records include, but are not limited to, financial,
Solid Waste, CERCLA and Disposal records.
8.2.2 FINANCIAL RECORDS
Contractor shall maintain financial records and expense and revenue information pursuant to its
operations pursuant to this Agreement shall be segregated from other areas served by Contractor.
Contractor shall maintain at least the following records:
x Audited financial statements for Contractor or, if a guarantee was provided, for the parent
company guarantor as a whole;
x Financial statements (compiled, reviewed, or audited) of revenue and expense for this
Agreement segregated from the other operations of Contractor (including without limitation
7.2.a
Packet Pg. 529
ADDENDUM #1
City of Diamond Bar – DRAFT 70 June 12, 2023
those operations of Contractor in City and surrounding jurisdictions which are not covered by
this Agreement), including a description of segregation methodology; and,
x Complete descriptions of related party transactions (corporate and/or regional management
fees, inter-company profits from Transfer, Processing or Disposal operations and supporting
data).
8.2.3 SOLID WASTE RECORDS
Contractor shall maintain and make available to the City upon request the following records relating
to its operations pursuant to this Agreement:
A. Customer services, billing, and City payment records;
B. Tons Collected, Processed, Diverted, and Disposed by waste stream (Refuse, Recycling,
Organics), by Customer type (Cart, Residential Bin, Commercial and Roll-Off Box), and
facilities (Transfer Station, MRF, Organic Material Processing Facility, Transformation Facility
or Landfill) where such material was taken (Residential Bin versus Commercial Bin tonnage
may be estimated based upon Container distribution or other method approved by City);
C. Quantity of Recyclable Materials recovered by material type;
D. Bulky Item, results including tons Disposed and Diverted;
E. Special Events tons including tons Disposed and Diverted;
F. Routes;
G. Facilities, equipment and personnel used;
H. Facilities and equipment operations, maintenance and repair;
I. Number of Refuse, Recycling and Organics Containers in service;
J. Complaints; and,
K. Missed pickups.
Contractor shall maintain copies of said Billings and receipts, each in chronological order, for a period
of five (5) years after the date of service and shall make said documents available for inspection by
City upon request. Contractor may, at its option, maintain those records in computer form, on
microfiche, or in any other manner, provided that the records can be preserved and retrieved for
inspection and verification in a timely manner, are sufficient to verify accuracy of any Fees owed to
the City, and may be produced in a form and manner sufficient to establish the existence of
Customer obligations in a court of competent jurisdiction.
8.2.4 CERCLA DEFENSE RECORDS
City views the ability to defend against the Comprehensive Environmental Response, Compensation
and Liability Act (CERCLA), State Hazardous Substance Law, and related litigation as a matter of great
importance. For this reason, the City regards the ability to prove where Solid Waste Collected in the
7.2.a
Packet Pg. 530
ADDENDUM #1
City of Diamond Bar – DRAFT 71 June 12, 2023
City was taken for Disposal, as well as where it was not taken, to be matters of concern. Contractor
shall maintain data retention and preservation systems which can establish where Solid Waste
Collected in the City was Landfilled (and therefore establish where it was not Landfilled) and provide
a copy or summary of the reports required in Section 8.3 for five (5) years after the term during
which Collection services are to be provided pursuant to this Agreement, or to provide copies of such
records to City.
Contractor agrees to notify City’s Manager and City Attorney before destroying such records and to
offer records to the City. This provision shall survive the expiration of the period during which
Collection services are to be provided under this Agreement.
8.2.5 OTHER PROGRAMS’ RECORDS
Records for other programs shall be tailored to specific needs. In general, they shall include:
A. Plans, tasks, and milestones; and,
B. Accomplishments in terms such as dates, activities conducted, quantities of products used,
produced, or distributed, and numbers of participants and responses.
8.2.6 AUDIT
City may conduct an audit of Contractor at any time. The scope of the audit, and auditing party, will
be determined by City and the scope may include, but is not limited to:
A. Extraordinary rate adjustment request;
B. Compliance with terms of this Agreement;
C. Customer service levels and Billing;
D. Fee payments;
E. Gross Receipts;
F. Tonnage;
G. Complaint log;
H. Compliance with Mandatory Commercial Recycling, Mandatory Commercial Organics, and SB
1383; and
I. Verification of Diversion rate.
The first audit, to be performed during calendar year 2027, will be based on the Contractor' s reports
and records from the start of the Agreement through calendar year 2026. Audits may be performed
every third year thereafter (the triennial audit) and will be based on the period from the end of the
previous audit through the end of the calendar year before the year in which the audit is to be
performed.
7.2.a
Packet Pg. 531
ADDENDUM #1
City of Diamond Bar – DRAFT 72 June 12, 2023
Contractor will reimburse the City the cost of such audits (including audits conducted by City staff) as
shown in the following table.
Audit Performed Audit Amount
2027 $90,000
2030 $98,000
2033 $108,000
Audit payments from the Contractor to the City are due January 1 of year the audit is being
performed.
Should the Agreement be extended beyond the extension terms as described in Section 2.5, the
audits shall continue every third year, and each additional audit amount shall be increased by ten-
thousand dollars ($10,000) per audit period for audits conducted after 2035.
Should an audit conducted or authorized by the City disclose that Franchise or other fees payable by
the Contractor were underpaid by two percent (2%) or more, or that tonnage was mis-reported by
2% or more, or that more than 2% of the Customers were inaccurately billed, for the period under
review, City may expand the scope of the audit and Contractor shall pay for additional audit costs.
8.2.7 PAYMENTS AND REFUNDS
Should an audit by the City disclose that any of the City fees payable by the Contractor were
underpaid or that Customers were overcharged for the period under review, Contractor shall pay to
City any underpayment of City fees and/or refund to Contractor's Customers any overcharges within
sixty (60) days following the date of the audit. Contractor shall pay interest to the City for any
underpayment or overcharges at an annual rate of 6%. Undercharges shall not be billed in arrears for
more than ninety (90) days of service, with any remaining undercharges absorbed by Contractor.
Should an audit disclose that fees were overpaid, City shall credit such amounts against future fees
payable by Contractor with interest of 6%.
8.3 REPORTS
Records shall be maintained in forms and by methods that facilitate flexible use of data contained in
them to structure reports, as needed.
Reports are intended to compile recorded data into useful forms of information that can be used to,
among other things:
7.2.a
Packet Pg. 532
ADDENDUM #1
City of Diamond Bar – DRAFT 73 June 12, 2023
x Determine and set rates and evaluate the efficiency of operations;
x Evaluate past and expected progress toward achieving AB 939 goals and objectives;
x Determine needs for adjustment to programs; and,
x Evaluate Customer service and complaints.
Contractor may propose report formats that are responsive to the objectives and audiences for each
report. The format of each report requires approval by City. The Contractor agrees to submit all
reports by electronic means in a format compatible with City’s software/computers at no additional
charge, if requested by City. Contractor will provide a certification statement, under penalty of
perjury, by an authorized Contractor official, that the report being submitted is true and correct.
Monthly and Quarterly reports shall be submitted within 30 calendar days after the end of the
reporting period. Annual reports shall be submitted within sixty (60) days following the reporting
year. If requested, Contractor’s complaint summary, shall be sent to the City Administrator within
five days of request.
All reports shall be submitted electronically and in an electronic format compatible with City’s
software/computers, at no additional charge, to City Manager and / or other City staff designated by
the City Manager at e-mail addresses to be provided by City. City may additionally request hard
copies, which would be delivered to:
City Manager (or designated representative)
City of Diamond Bar
21810 Copley Driver
Diamond Bar, CA 91765
8.3.1 MONTHLY REPORTS
A. Solid Waste Collected by Contractor for each month, sorted by type of Solid Waste (Refuse,
Recyclable and Organic Materials) and type of Customer (Residential Curbside Service,
Commercial, or Roll-Off Box Service) in tons, and the facilities where the tons were Processed
or Disposed. Bulky Waste items shall be reported as a separate line item. This report is to be
submitted in Microsoft Excel, or another software as requested by City.
B. Number of Warning notices issued for contaminated Recyclable and Organics Containers,
and HHW improperly placed for Collection.
C. Narrative summary of problems encountered and actions taken with recommendations for
City, as appropriate.
D. HHW Collected.
E. Customer complaint logs as described in Section 6.2.3.
8.3.2 QUARTERLY REPORTS
The information listed shall be the minimum reported:
7.2.a
Packet Pg. 533
ADDENDUM #1
City of Diamond Bar – DRAFT 74 June 12, 2023
A. Copies of promotional and public education materials sent during the quarter.
B. Commercial recycling and organics site visits summary, including the name and address of
Customer, the date of the visit and the contact name and phone number, demonstrating that the
required visits have been made, and reason provided for not establishing a recycling or organics
program, in accordance with Sections 3.3.4. The site visit summary will be completed on forms
approved by the City.
C. List of Customers that are required to participate in an Organics Recycling program per Public
Resources Code Section 42649.81.
D. List of Commercial and Multi-Family Premises Customers that do and do not participate in an
Organics program, whether the Organics program is provided by Contractor or another party,
and whether the program is for Food Waste and/or Yard Waste (such as a landscaper that
composts or otherwise Diverts Organic Materials).
E. Commercial and Multi-Family Customers participating in food recovery programs.
F. Commercial and Multi-Family Customers using third-party recycling.
G. Additional information that may be requested by CalRecycle or City related to Recycling and
Organics programs.
8.3.3 ANNUAL REPORTS
The Annual Report is to be essentially in the form and content of the monthly and quarterly reports
combined, but shall also include:
A. A complete inventory of equipment used to provide all services (such as vehicles and Containers
by size and waste stream type Container is used for).
B. Results of route audits.
C. Number of routes and route hours per day by type of service.
D. Copy of Hazardous Waste Diversion records showing types and quantities, if any, of Hazardous
Waste that was inadvertently Collected, but Diverted from Landfill Disposal.
E. Copies of all public education and outreach distributed during the reporting year including the
date of distribution.
F. A narrative summary of all City-sponsored, civic, and school events attended.
G. Copies of invoices documenting the amount of RNG used to provide services in the City. If routes
are commingled with other jurisdictions, Contractor must use an allocation method to quantify
the City’s allocated amount.
7.2.a
Packet Pg. 534
ADDENDUM #1
City of Diamond Bar – DRAFT 75 June 12, 2023
8.3.4 FINANCIAL REPORTS
The City may, at City’s option, request the Contractor's audited financial reports/statements (or
parent company, if parent company submits Corporate Guaranty of Performance), and Contractor’s
internally prepared supplemental statement of income and expenses related specifically to the City
Diamond Bar operations, for the most recently completed fiscal year in connection with an
extraordinary rate adjustment request, billing audit, Franchise Fee audit, or verification of other
information required under this Agreement.
The financial statements and footnotes shall be prepared in accordance with Generally Accepted
Accounting Principles (GAAP) and audited, in accordance with Generally Accepted Auditing Standards
GAAS) by a certified public accountant (CPA) licensed (in good standing) to practice public
accounting in the State of California as determined by the State of California Department of
Consumer Affairs Board of Accountancy. The cost for preparation of the financial statements and
audit shall be borne by Contractor as a direct cost of service. In addition, Contractor shall provide to
City the supplemental schedule on a compiled basis showing Contractor's results of operations,
including the specific revenues and expenses in connection with the operations provided for in this
Agreement, separated from others included in such financial statements.
8.4 REPORTING ADVERSE INFORMATION
Contractor shall provide City two copies (one to the City Administrator, one to the City Attorney) of
all reports, pleadings, applications, notifications, Notices of Violation, communications or other
material relating specifically to Contractor’s performance of services pursuant to this Agreement,
submitted by Contractor to, or received by Contractor from, the United States or California
Environmental Protection Agency, CalRecycle, the Securities and Exchange Commission or any other
federal, state or local agency, including any federal or state court. Copies shall be submitted to City
simultaneously with Contractor’s filing or submission of such matters with said agencies. Contractor’s
routine correspondence to said agencies need not be routinely submitted to City, but shall be made
available to City promptly upon City’s written request.
8.5 RIGHT TO INSPECT RECORDS
City shall have the right to inspect or review the specific documents or records required expressly or
by inference pursuant to this Agreement, or any other similar records or reports of Contractor or its
related party entities that City shall deem, in its reasonable discretion, necessary to evaluate annual
reports, compensation applications provided for in this Agreement and Contractor's performance
provided for in this Agreement. Contractor shall make all records and documents to be reviewed and
inspected by the City as a part of any audit or other record review conducted by the City, available
for the City’s review, inspection and copying within five business days (excluding Saturday, Sunday
and Designated Holidays) of receiving written notice from the City requesting the same.
7.2.a
Packet Pg. 535
ADDENDUM #1
City of Diamond Bar – DRAFT 76 June 12, 2023
8.6 FAILURE TO REPORT
The refusal or failure of Contractor to file any required reports, or to provide required information to
City, or the inclusion of any materially false or misleading statement or representation by Contractor
in such report shall be deemed a material breach of the Agreement as described in Section 11.1 and
shall subject Contractor to all remedies which are available to the City under the Agreement, the City
of Diamond Bar Municipal Code, or otherwise.
ARTICLE 9: REVIEW OF SERVICES AND PERFORMANCE
9.1 PERFORMANCE REVIEW MEETING
City may hold a meeting annually to review Contractor's Solid Waste Collection efforts, source
reduction, Processing and other Diversion services and overall performance under this Agreement
the " Solid Waste Services and Performance Review Meeting"). The purpose of the Solid Waste
Services and Performance Review Meeting is to provide for a discussion and review of technological,
economic, and regulatory changes in Collection, source reduction, Recycling, Processing and Disposal
to achieve a continuing, advanced Solid Waste Collection, source reduction and Recycling and
Disposal system; and to ensure services are being provided with adequate quality, effectiveness and
economy, and in full compliance with the terms of this Agreement. Topics for discussion and review
at the Solid Waste Services and Performance Review Meeting shall include, but shall not be limited
to, services provided, feasibility of providing new services, application of new technologies, Customer
complaints, amendments to this Agreement, developments in the law, new initiatives for meeting or
exceeding AB 939's goals, regulatory constraints, results of route audits, and Contractor
performance. City and Contractor may each select additional topics for discussion at any Solid Waste
Services and Performance Review Meeting.
City shall notify Contractor of its intent to hold a Solid Waste Services and Performance Review
Meeting at least sixty (60) days in advance thereof. Thirty (30) days after receiving notice from City of
a Solid Waste Services and Performance Review Meeting, Contractor shall submit a report to City
which may contain such information as it wishes to have considered, and shall contain the following:
A. Current Diversion rates and a report on Contractor' s outreach activities for the past year.
B. Recommended changes and/ or new services to improve City' s ability to meet the goals of AB
939 and to contain costs and minimize impacts on rates. A specific plan for AB 939 compliance
shall be included.
C. Any specific plans for provision for new or changed services by Contractor.
The reports required by this Agreement regarding Customer complaints shall be used as one basis for
review of Contractor' s performance, and Contractor may submit other relevant performance
information and reports for consideration at the Solid Waste Services and Performance Review
7.2.a
Packet Pg. 536
ADDENDUM #1
City of Diamond Bar – DRAFT 77 June 12, 2023
Meeting. In addition to the above, City may request Contractor to submit any other specific
information relating to its performance for consideration at the Solid Waste Services and
Performance Review Meeting, and any Customer may submit comments or complaints during or
before the Meeting, either orally or in writing. Contractor shall be present at and participate in the
Solid Waste Services and Performance Review Meeting.
As a result of its findings following any Solid Waste Services and Performance Review Meeting, City
may require Contractor to provide expanded or new services within a reasonable time and City may
direct or take corrective actions for any performance inadequacies ( although nothing contained in
this provision should be construed as requiring City to hold a Solid Waste Services and Performance
Review Meeting in order to enforce any rights or remedies it has pursuant to the terms hereof.)
Should City require expanded or new services as a remedy for Contractor' s failure to perform its
obligations hereunder, no additional compensation shall be due for such services. Otherwise, any
new or expanded services required of Contractor shall be subject to the provisions of Section 2. 10.
9.2 PERFORMANCE SATISFACTION SURVEY
If requested by the City, Contractor will create and conduct a survey at Contractor' s expense. If City
would like to present results at a Solid Waste Services and Performance Review Meeting, City shall
notify Contractor of its desire for such a survey at least 90 days in advance of the Solid Waste
Services and Performance Review Meeting. The purpose of the survey is to determine Customer
satisfaction with current Collection services and Customer service provided by Contractor. The
Survey will be distributed to one hundred percent (100%) of the Customers. Contractor shall obtain
City' s approval of the survey' s content, format, and mailing list prior to its distribution. City may
require that Contractor have Customer responses to the survey returned directly to City. The survey
results shall be made available to the City thirty (30) days prior to the Solid Waste Services and
Performance Review Meeting.
ARTICLE 10: CONTRACTOR COMPENSATION AND MAXIMUM SERVICE RATES
10.1 CONTRACTOR COMPENSATION
The maximum approved rates set forth in Exhibit 1, as more fully defined as Contractor
Compensation in this Article, shall be the maximum amount that the Contractor may charge
Customers, as full, entire and complete compensation due pursuant to this Agreement for all labor,
equipment, materials and supplies, fees or surcharges due to the City as applicable, taxes, insurance,
bonds, letters of credit, overhead, Disposal, Transfer, Processing, profit and all other things necessary
to perform all the services required by this Agreement in the manner and at the times prescribed.
From time to time, Customers may request services for which a rate is not provided in Exhibit 1. In
such cases, Contractor shall so advise the Contract Administrator and the Customer and Contractor
7.2.a
Packet Pg. 537
ADDENDUM #1
City of Diamond Bar – DRAFT 78 June 12, 2023
shall negotiate a rate for the requested services. If agreement cannot be reached, the matter shall be
referred to the Contract Administrator for establishment of the rate. Approved rates for requested
services shall be included in Exhibit 1 in the next Rate Year.
The Contractor shall impose no other charges for services provided under this Agreement to
Customers unless approved in advance in writing by the City Manager.
10.2 INITIAL RATES
The rates beginning September 1, 2025 and ending June 30, 2026 shall not exceed those set forth in
Exhibit 1 hereto, unless amended by a written amendment to this Agreement entered into by and
between the City and the Contractor. Contractor has reviewed these maximum rates and agrees they
are reasonably expected to generate sufficient revenues to provide adequate Contractor
Compensation. Unless and until the maximum rates set forth on Exhibit 1 are adjusted, Contractor
will provide the services required by this Agreement, charging no more than the maximum rates
authorized by Exhibit 1, except as provided herein and in Section 10.3.
10.3 SCHEDULE OF FUTURE ANNUAL RATE ADJUSTMENTS
Beginning with Rates Year starting July 1, 2026 and ending on June 30, 2027 and for all subsequent
Rate Years, Contractor may request an annual adjustment to the maximum rates shown in Exhibit 1.
The Contractor shall submit its request in writing, to be received by City in Person or via certified
mail, by the preceding March 31, and shall be based on the method of adjustment described in
Section 10.4. All future adjustments are to be effective July 1 of the same calendar year, following
the March 31 submission deadline. The City shall consider a failure to submit a written request by
March 31 as Contractor's determination not to seek an adjustment and shall constitute a waiver by
Contractor of its right to request such an increase for the subsequent Rate Year. However, the City
reserves the right to initiate a rate adjustment in instances where the Contractor fails to submit a
written rate adjustment request. Adjustment to the maximum rates is subject to the approval of the
City Manager.
If an annual adjustment that would have resulted in a rate decrease is not implemented for any
reason, the next rate adjustment will be measured based on the change in indices from the last
implemented rate adjustment; the intent is to ensure subsequent rate increases shall be offset with
any decrease not previously implemented.
Any rate adjustment percentage calculated using the procedure described in Section 10.4 resulting in
a rate adjustment percentage greater than 5% in any Rate Year shall be capped at 5%. Any
percentage amount over 5% or portion thereof in any one Rate Year will be carried over into any
future Rate Year with a rate adjustment of less than 5%.
10.4 METHOD OF ADJUSTMENTS
Pursuant to Section 10.3, the Contractor may request an adjustment to the maximum rates for all
7.2.a
Packet Pg. 538
ADDENDUM #1
City of Diamond Bar – DRAFT 79 June 12, 2023
rates using the Excel worksheet entitled Exhibit 2 Rate Adjustment Procedure, subject to review and
approval of the City. Exhibits 2A through 2D provide examples from the Excel worksheet. Exhibit 2E
provides examples for calculating the average annual changes in the public indices.
The rate adjustment calculation shall be prepared by completing the separate tabs in the Excel
worksheet; Tab 2A for Single-Family Cart Service, Tab 2B for Bin Service, TAB 2C for Roll-Off Box
Service, and Tab 2D for Other Services.
10.4.1 PROCEDURE FOR SINGLE-FAMILY CART SERVICE AND BIN SERVICE
The following procedure applies for both Tab 2A – Single Family Cart Service and Tab 2B – Bin
Service.
Step One: Calculate Collection Component Percentage Change.
The Collection Cost Component shall be calculated based on the following Cost Categories and
Indices.
Cost Category Index
Labor Driver rates based on labor agreement.
Fuel Producer Price Index WPU05522101PPI – Commodity data for Fuels and related
products and power-Commercial natural gas, not seasonally adjusted.
Equipment Producer Price Index PCU33612-33612 – Industry data for Heavy duty truck
manufacturing, not seasonally adjusted.
All Other Consumer Price Index CUURS49ASA0L1E – All items less food and energy in Los
Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
The following procedural steps for completing Step One in Tab 2A – Single-Family Carts and Tab 2B –
Bin Service refer to the image above.
AB CD E F
Row Cost Category
Previous
Index Value 1
New Index
Value 2
Percent Change
in Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
COL C * COL D)Index Source
1 Labor 26.250 27.040 3.0095% 25.000%0.75% Note 10
2 Fuel 230.298 299.751 30.1577% 5.000%1.51%
3 Equipment 153.450 156.743 2.1460% 20.000%0.43%
4 Other (Except Material Handling) 288.798 305.458 5.7687% 27.000%1.56%
5 Total Collection Component 77.000% 4.247%
STEP ONE: Calculate Collection Component Percentage Change
7.2.a
Packet Pg. 539
ADDENDUM #1
City of Diamond Bar – DRAFT 80 June 12, 2023
1) In Column A, enter the “Previous Index Values” for each Cost Category. For Rate Year July 1,
2026 rate adjustment application, the "Previous Index Value" shall be the annual average
values of the indices for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the
Previous Index Value" shall be the indices values from the previous year's rate adjustment
application.
2) In Column B, enter the "New Index Value" for each Cost Category. The “New Index Value”
shall be the annual average values of the indices ending December of the prior year.
3) In Column D, enter the “Component Weightings” for each Cost Category. For Rate Year July
1, 2026 rate adjustment application, "Component Weighting" shall be based [BASED ON
CONTRACTOR’S PROPOPSAL].
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027,
Component Weightings" shall be as calculated in Step 5.
Step Two: Calculate Material Handling Component Index.
The following procedural steps for completing Step Two in Tab 2A – Single-Family Carts and Tab 2B –
Bin Service refer to the image above.
1) Post collection facilities [BASED ON CONTRACTOR’S PROPOSAL].
2) For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will
be [BASED ON CONTRACTOR’S PROPOSAL].
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the
Prior Period Tonnage" values shall be the values from previous year's rate application.
3) For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will
be [BASED ON CONTRACTOR’S PROPOSAL].
GH I J K L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
COL G * COL H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
COL J * COL K)
6 Refuse [FACILTY NAME] 14,643.4 $75.00 1,098,255 14,643.4 $78.75 1,153,168
7 Recycling [FACILITY NAME] 3,640.1 $90.00 327,609 3,640.1 $94.50 343,989
8 Organics [FACILITY NAME] 7,040.9 $90.00 633,681 7,040.9 $94.50 665,365
9 Unused - - -
10 Totals 25,324 $2,059,545 25,324 $2,162,522
11 Prior Period Index Value (G11 / I11) >> $81.3265 New Index Value (J11 / L11) >> $85.3928
STEP TWO: Calculate Material Handling Component Index
7.2.a
Packet Pg. 540
ADDENDUM #1
City of Diamond Bar – DRAFT 81 June 12, 2023
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the
Prior Period Gate Fees" values shall be the values from previous year's rate application.
4) The Tonnage for each facility shall be the total tons delivered to the facility for the previous
12-month period ending December 31st.
5) The "Gate Fees" values shall be [TO BE NEGOTIATED BASED ON CONTRACTOR’S PROPOSAL.]
Step Three: Calculate Percentage Change in Weighted Material Handling Component Index.
The following procedural steps for completing Step Three in Tab 2A – Single-Familyl Carts and Tab 2B
Bin Service refer to the image above.
1) Calculate the percentage change in the index and multiply by component weighting.
2) For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be
based [BASED ON CONTRACTOR’S PROPOPSAL].
For Subsequent rate adjustment applications, "Component Weightings" shall be as calculated
in Step 5.
Step Four: Calculate The Permitted Percentage Rate Change.
The following procedural steps for completing Step Four in Tab 2A – Single-Family Carts and Tab 2B –
Bins Service refer to the image above.
1) Column R, Row 15 is the total percentage rate adjustment by summing the Collection
Component and the Material Handling Component.
MN OP Q
Row Cost Category
Previous
Index Value
COL I, ROW
11)
New Index
Value
COL K, ROW
11)
Percent Change
in Index
COL N - COL M)
COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 81.3265 85.3928 5.0000% 23.00%1.15%
STEP THREE: Calculate Percentage Change in Weighted Material Handling Index
RS TU V
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed Carry
Over Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL R + COL S)
Maximum
5% any Rate
Year
Next Period
Carryover)
Total Permitted
Percentage Rate
Adjustment
COL T - COL U)
13 Collection Component 4.2470%
14 Material Handling Component 1.1500%
15 Total 5.3970% 0.0000% 5.3970% 0.3970% 5.0000%
STEP FOUR: Calculate the Permitted Percentage Rate Change
7.2.a
Packet Pg. 541
ADDENDUM #1
City of Diamond Bar – DRAFT 82 June 12, 2023
2) Any Allowed Carry Over percentage from prior period(s) may be entered into Column S, Row
15.
3) Column T, Row 15 represents the total Rate Adjustment.
4) The percentage amount above the maximum 5% is calculated in Column U, Row 15.
5) Column V, Row 15 calculated the Permitted Percentage Rate Adjustment.
Step Five: Calculate Cost Component Weightings For Future Rate Adjustment Calculations.
Under Tab 2A – Single-Family Carts and Tab 2B – Bins Service, the component weights are
automatically reset to equal 100% for use in the subsequent rate adjustment.
Step Six: Calculate The Adjusted Rate.
The following procedural steps for completing Step Six in Tab 2A – Single-Family Carts and Tab 2B –
Bins Service refer to the image above.
1) Column AB, Row 22 and as many subsequent rows are required, enter the rates for each
service provided under the franchise agreement.
WX T Z AA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in Cost
Components
W * X)
Cost
Component
Increased
W + T)
Cost Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.9302%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0234%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8802%
19 Other (Except Material Handling) 27.0000% 1.5576% 0.4205% 27.421%27.1398%
20 Material Handling Component 23.0000% 1.1500% 0.2645% 23.265% 23.0263%
21 Total 100.00% 5.40% 1.03% 101.03% 100.00%
STEP FIVE: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
AB AC AD AE
Row Rate Category Current Rate
Permitted
Percentage
Change (from
Row 15
Column V)
Rate Increase
or Decrease
Column AB x
Column AC)
Adjusted
Rate
Column AB
Column
AD)
22 25.00$ 5.0000% 1.25 26.25$
23 25.00$ 5.0000% 1.25 26.25$
24 25.00$ 5.0000% 1.25 26.25$
STEP SIX: Calculate the Adjusted Rate
7.2.a
Packet Pg. 542
ADDENDUM #1
City of Diamond Bar – DRAFT 83 June 12, 2023
2) Column AC represents the permitted percentage rate change.
3) Column AD represents the applicable rate increase or decrease.
4) Column AE represents the adjusted rate.
10.4.2 PROCEDURE FOR ROLL-OFF BOX SERVICE
The following procedure applies for Tab 2C – Roll-Off Box Service.
Step One: Calculate Collection Component Percentage Change.
The Collection Cost Component shall be calculated based on the following Cost Categories and
Indices.
Cost Category Index
Labor Driver rates based on labor agreement.
Fuel Producer Price Index WPU05522101PPI – Commodity data for Fuels and related
products and power-Commercial natural gas, not seasonally adjusted.
Equipment Producer Price Index PCU33612-33612 – Industry data for Heavy duty truck
manufacturing, not seasonally adjusted.
All Other Consumer Price Index CUURS49ASA0L1E – All items less food and energy in Los
Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
The following procedural steps for completing Step One in Tab 2C – Roll-Off Box Service refer to the
image above.
1) In Column A, enter the “Previous Index Values” for each Cost Category. For Rate Year July 1,
2026 rate adjustment application, the "Previous Index Value" shall be the annual average
values of the indices for the year ending December 2024.
AB C D EF
Row Index
Previous Index
Value 1
New Index
Value 2
Percent Change
in Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
COL C * COL D)
Index
Source
1 Labor 26.250 27.040 3.0095% 30.000%0.90% Note 5
2 Fuel 230.298 299.751 30.1577% 6.000%1.81%
3 Equipment 153.450 156.743 2.1459% 25.000%0.54%
4 Other (Except Material Handling) 288.798 305.458 5.7687% 39.000%2.25%
5 Total Collection Component 100.000% 5.499%
STEP ONE: Calculate Collection Component Percentage Change
7.2.a
Packet Pg. 543
ADDENDUM #1
City of Diamond Bar – DRAFT 84 June 12, 2023
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the
Previous Index Value" shall be the indices values from the previous year's rate adjustment
application.
2) In Column B, enter the "New Index Value" for each Cost Category. The “New Index Value”
shall be the annual average values of the indices ending December of the prior year.
3) In Column D, enter the “Component Weightings” for each Cost Category. For Rate Year July
1, 2026 rate adjustment application, "Component Weighting" shall be based [BASED ON
CONTRACTOR’S PROPOPSAL].
For Subsequent rate adjustment applications, "Component Weightings" shall be as calculated
in Step 5.
Step Two: Calculate The Permitted Percentage Rate Change.
The following procedural steps for completing Step Four in Tab 2C – Roll-Off Box Service refer to the
image above.
1) Column G, Row 5 is the total percentage rate adjustment.
2) Any Allowed Carry Over percentage from prior period(s) may be entered into Column H, Row
5.
3) Column I, Row 5 represents the total Rate Adjustment.
4) The percentage amount above the maximum 5% is calculated in Column J, Row 5.
5) Column K, Row 5 calculated the Permitted Percentage Rate Adjustment.
GH I J K
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed Carry
Over Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL G + COL H)
Maximum 5%
any Rate Year
Next Period
Carryover)
Total Permitted
Percentage
Rate
Adjustment
COL I - COL H)
6 Collection Component 5.4986% 0.0000% 5.4986% 0.4986% 5.0000%
STEP TWO: Calculate the Permitted Percentage Rate Change
7.2.a
Packet Pg. 544
ADDENDUM #1
City of Diamond Bar – DRAFT 85 June 12, 2023
Step Three: Calculate Cost Component Weightings For Future Rate Adjustment Calculations.
Under Tab 2C – Roll-Off Box, the component weights are automatically reset to equal 100% for use in
the subsequent rate adjustment.
Step Four: Calculate Cost Component Weightings For Future Rate Adjustment Calculations.
The following procedural steps for completing Step Four in Tab 3A – Roll-Off Box Service refer to the
image above.
1) In Column Q, Row 12 and as many subsequent rows are required, enter the rates for each
service provided under the franchise agreement.
2) Column R represents the permitted percentage rate change.
3) Column S represents the applicable rate increase or decrease.
4) Column T represents the adjusted rate.
LMN O P
Row Cost Component
Component
Weighting This
Period
Percentage
Change as
Applied to Rate
Adjustment
Increase in Cost
Components
L * M)
Cost Component
Increased
L + N)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
7 Labor 30.0000% 0.9029% 0.2709% 30.271% 29.8556%
8 Fuel 6.0000% 1.8095% 0.1086% 6.109% 6.0248%
9 Equipment 25.0000% 0.5365% 0.1341% 25.134% 24.7893%
10 Other (Except Material Handling) 39.0000% 2.2498% 0.8774% 39.877%39.3304%
11 Total 100.00% 5.50% 1.39% 101.39% 100.00%
STEP THREE: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
QR S T
Row Rate Category Current Rate
Total Weighted
Percentage
Change (from
Row 6 Column
K)
Rate Increase
or Decrease
Column Q x
Column R)
Adjusted Rate
Column Q +
Column S)
12 225.00$ 5.0000% 11.25 236.25$
13 225.00$ 5.0000% 11.25 236.25$
14 225.00$ 5.0000% 11.25 236.25$
STEP FOUR: Calculate the Permitted Rate Change
7.2.a
Packet Pg. 545
ADDENDUM #1
City of Diamond Bar – DRAFT 86 June 12, 2023
10.4.3 PROCEDURE FOR OTHER SERVICES
The following procedure applies for Tab 2D – Other Services.
Rates for other services shall be based on changes in the Consumer Price Index CUURS49ASA0L1E –
All items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not
seasonally adjusted.
1) In Column A, enter the “Previous Index Values” for each Cost Category. For Rate Year July 1,
2026 rate adjustment application, the "Previous Index Value" shall be the annual average
values of the indices for the year ending December 2024.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the
Previous Index Value" shall be the indices values from the previous year's rate adjustment
application.
2) In Column B, enter the "New Index Value" for each Cost Category. The “New Index Value”
shall be the annual average values of the indices ending December of the prior year.
3) Any Allowed Carry Over percentage from prior period(s) may be entered into Column D.
4) Column E represents the total Rate Adjustment.
5) The percentage amount above the maximum 5% is calculated in Column F.
6) Column G is the Permitted Percentage Rate Adjustment.
10.5 EXTRAORDINARY RATE ADJUSTMENTS
Contractor or City may request an adjustment to maximum rates at reasonable times other than that
allowed under Section 10.3 in the event of extraordinary changes in the cost of providing service
under this Agreement. Such changes shall not include changes in the market value of Recyclables
from the values assumed in Contractor’s Proposal, inaccurate estimates by the Contractor of its
proposed cost of operations, or change in wage rates or employee benefits. Contractor may request
an extraordinary adjustment based on changes in a direct per ton fee assessed at the Disposal Site by
federal, state, or local regulatory agencies after the effective date.
AB C D E F G
Row Index
Previous
Index
Value 1
New
Index
Value 2
Percent Change
in Index (COL B -
COL A) / COL A
Allowed Carry
Over Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL C + COL D)
Maximum 5%
any Rate Year
Next Period
Caryover)
Total
Permitted
Percentage
Rate
Adjustment
COL E - COL F)
1 CPI 288.798 305.458 5.7687%0.0000% 5.7687% 0.7687% 5.0000%
STEP ONE: Calculate Percentage Change in Index
7.2.a
Packet Pg. 546
ADDENDUM #1
City of Diamond Bar – DRAFT 87 June 12, 2023
Contractor shall provide substantial proof and justification to support the need for the adjustment.
For each request for an adjustment to the maximum rates brought pursuant to this section,
Contractor shall prepare a schedule documenting the extraordinary costs. Such request shall be
prepared in a form acceptable to City with support for assumptions made by Contractor in preparing
the estimate. Contractor shall also submit a schedule showing how its total costs and total revenues
have changed over the past three years for the services provided under this Agreement. The City may
request from the Contractor such further information as it deems necessary to fully evaluate the
request and make its determination. Upon request by the City, Contractor shall provide a report of its
annual revenues and expenses for the services provided in the City, and City shall have the right to
audit this information in connection with the City’s review of Contractor’s rate adjustment request.
City may consider increases or decreases in the Contractor’s total revenues and total cost of services
when reviewing an extraordinary rate adjustment request.
The City may, in its sole judgment and absolute, unfettered discretion, make the final determination
as to whether an adjustment to the maximum rates will be made, and, if an adjustment is permitted,
the appropriate amount of the adjustment. Extraordinary rate adjustments shall only be effective
after approval by City Council in compliance with California Constitution Article XIIID (Proposition
218) and the Proposition 218 Omnibus Implementation Act (Govt. Code Sections 53750 et. seq.) and
may not be applied retroactively.
A rate adjustment request made in response to a new service requested by City will be determined in
accordance with Section 2.10.
ARTICLE 11: INDEMNIFICATION, INSURANCE AND PERFORMANCE BOND
11.1 INDEMNIFICATION OF THE CITY
11.1.1 GENERAL
To the maximum extent permitted by law, and without regard to the limits of any insurance
coverage, Contractor agrees to indemnify, defend with counsel appointed by the City, protect and
hold harmless the City, its representatives, officers, agents and employees, volunteers, and assignees
collectively, “Indemnitees”), from and against any and all causes of action, claims, fines,
assessments, costs (including but not limited to reasonable attorneys’ and expert witness fees),
losses, damages, penalties, forfeitures, demands, proceedings or suits, in law or in equity, of every
kind and description, including, but not limited to, injury to and death of any Person and damage to
property, injunctive relief, obligations, errors, omissions or liabilities, (“claims or liabilities”) that may
be asserted or claimed by any person, firm or entity arising out of or in connection with (i) violations
of the commerce clause of the U.S. Constitution, AB 939, the Comprehensive Environmental
Response, Compensation and Liability Act, Title 42 U.S.C. §9601 et seq. (“CERCLA”), HSAA, RCRA, any
7.2.a
Packet Pg. 547
ADDENDUM #1
City of Diamond Bar – DRAFT 88 June 12, 2023
other Hazardous Waste laws, other federal, state or local statutes or regulations, or municipal
ordinances, which arise from, challenge any validity of, or relate to the award of, this Agreement; (ii)
the negligent performance of the work or services of Contractor, its agents, employees,
subcontractors, or invitees, provided for in this Agreement; (iii) the negligent acts or omissions of
Contractor hereunder, or arising from Contractor's negligent performance of or failure to perform
any term, provision, covenant or condition of this Agreement, whether or not there is concurrent
passive or active negligence, on the part of the City, its representatives, officers, agents or employees
but excluding such claims or liabilities arising from the sole negligence or willful misconduct of the
City, its representatives, officers, agents or employees, who are directly responsible to the City, (iv)
actions or proceedings to attack, set aside, void, annul or seek monetary damages resulting from an
approval by the City of this Agreement, including but not limited to any challenge brought by
referendum or under Proposition 218 (Calif. Const. Art. XIIID) to challenge the City’s entry into this
Agreement or the setting of Solid Waste rates as set forth in this Agreement; and in connection
therewith:
A. Contractor will defend any action or actions filed in connection with any of said claim or
liabilities and will pay all costs and expenses, including legal costs and attorneys' fees incurred in
connection therewith;
B. Contractor will promptly pay any judgment rendered against the City, its officers, agents, or
employees for any such claims or liabilities arising out of or in connection with the negligent
performance of or failure to perform such work or services of Contractor hereunder; and Contractor
agrees to save and hold the City, its officers, agents and employees harmless therefrom;
C. In the event the City, its officers, agents or employees is made a party to any action or
proceeding filed or prosecuted against Contractor for such damages or other claims arising out of or
in connection with the negligent performance of or failure to perform the work or services of
Contractor hereunder, Contractor agrees to pay to the City, its officers, agents or employees, any and
all costs and expenses incurred by the City, its officers, agents or employees in such action or
proceeding, including but not limited to, legal costs and attorneys' fees.
Contractor's obligations hereunder shall survive the termination or expiration of this Agreement.
THE PROVISIONS OF THIS SECTION SHALL NOT TERMINATE OR EXPIRE, SHALL BE GIVEN THE
BROADEST POSSIBLE INTERPRETATION AND SHALL SURVIVE THE EXPIRATION OR EARLIER
TERMINATION OF THIS AGREEMENT.
11.1.2 HAZARDOUS MATERIAL INDEMNIFICATION
A. Without regard to any insurance coverage or requirements, and without limiting the above
general indemnification obligation in any way, Contractor specifically agrees to and shall, to the
maximum extent permitted by law, defend (with counsel acceptable to City), reimburse, indemnify,
and hold Indemnitees harmless from and against any and all claims, actions, liabilities, damages,
demands, judgments, losses, costs, liens, expenses, suits, actions, attorneys' fees, consultant fees,
7.2.a
Packet Pg. 548
ADDENDUM #1
City of Diamond Bar – DRAFT 89 June 12, 2023
penalties and any and all other losses, damages, fees and expenses of whatever kind or nature
Claims") (including but not limited to response costs, investigative costs, assessment costs,
monitoring costs, treatment costs, cleanup costs, removal costs, remediation costs, and similar costs,
damages and expenses) that arise out of or are alleged to arise out of or in any way relate to any
action, inaction or omission of Contractor that:
1. Results in any demand, claim, notice, order, or lawsuit, asserting that any Indemnitee is
liable, responsible or in any way obligated to investigate, assess, monitor, study, test, treat,
remove, remediate, or otherwise cleanup, any Hazardous Contaminant (as defined herein);
or
2. Relates to material Collected, Transported, Recycled, Processed, treated or Disposed of by
Contractor.
B. Contractor’s obligations pursuant to this section shall apply, without limitation, to:
1. Any Claims brought pursuant to or based on the provisions of any Environmental Law;
2. Any Claims based on or arising out of or alleged to be arising out of the ownership, use,
lease, sale, design, construction, maintenance, or operation of Contractor of any Facility;
3. Any Claims based on or arising out of or alleged to be arising out of the marketing, sale,
distribution, storage, Transportation, Disposal, Processing, or use of any materials recovered
by Contractor;
4. Any Claims based on or arising out of or alleged to be arising out of any breach of any
express or implied warranty, representation or covenant arising out of or in connection with
this Agreement.
C. The foregoing indemnity and defense obligations shall apply irrespective of the negligence or
willful misconduct of Contractor or any Affiliate of Contractor.
D. For purposes of this section, the term "Hazardous Contaminant" shall mean any Hazardous
Material any crude oil or refined or unrefined petroleum product or any fraction or derivative
thereof; and any asbestos or asbestos-containing material. The term "Hazardous Contaminant" shall
also include any and all amendments to any referenced statutory or regulatory provisions made
before or after the date of execution of this Agreement.
THE PROVISIONS OF THIS SECTION SHALL NOT TERMINATE OR EXPIRE, SHALL BE GIVEN THE
BROADEST POSSIBLE INTERPRETATION AND SHALL SURVIVE THE EXPIRATION OR EARLIER
TERMINATION OF THIS AGREEMENT
11.1.3 AB 939 INDEMNIFICATION AND GUARNATEE
Contractor unconditionally guarantees compliance with the requirements of AB 939 as amended
from time to time. Contractor shall carry out its obligations under this Agreement so that the City will
meet or exceed the Diversion requirements set forth in AB 939, and all amendments thereto more
7.2.a
Packet Pg. 549
ADDENDUM #1
City of Diamond Bar – DRAFT 90 June 12, 2023
fully set forth below. City and Contractor shall reasonably assist each other to meet the City's AB 939
Diversion requirements. In carrying out the provisions of this Section, Contractor agrees to perform
the following obligations at its cost and expense:
A. Defend, with counsel approved by City, indemnify and hold harmless the City against all fines
and/or penalties imposed by the CalRecycle, if Contractor fails or refuses to provide information
relating to its operations which is required under this Agreement and such failure or refusal prevents
or delays City from submitting reports required by AB 939 in a timely manner;
B. Assist City in preparing for, and participating in, CalRecycle's biannual review of the City's
source reduction and recycling element pursuant to Public Resources Code Section 41825;
C. Assist City in responding to inquiries from CalRecycle in applying for an extension under
Public Resources Code Section 41820, if so directed by City; in conducting any hearing conducted by
CalRecycle relating to AB 939; or in any other investigative or enforcement manner undertaken by
any agency;
D. Defend, with counsel acceptable to City, and indemnify and hold harmless the City against
any fines or penalties levied against it for violation of AB 939's Diversion requirements, provided that
Contractor's obligation to indemnify City shall be subject to the limitations set forth in Public
Resources Code Section 40059.1(c) as may be amended from time to time;
E. In cooperating with the City, should it seek to become its own enforcement agency, to the
extent it may be permitted under state law.
11.1.4 CALRECYCLE INDEMNIFICATION
Contractor’s duty to defend and indemnify herein includes payment of all fines and/or penalties
imposed by CalRecycle, subject to the restrictions set forth in Public Resources Code Section 40059.1,
if the requirements of AB 939, AB 341, AB 1826, and/or SB 1383 and corresponding regulations are
not met by the Contractor with respect to the Discarded Materials Collected under this Agreement,
and such failure is: (i) due to the failure of Contractor to meet its obligations under this Agreement,
or, (ii) due to Contractor delays in providing information that prevents Contractor or City from
submitting reports required by AB 939, AB 341, AB 1826, and/or SB 1383 and corresponding
regulations in a timely manner. The provisions of this Section shall survive the termination or
expiration of this Agreement.
11.2 EVALUATION OF LIABILITY
The Contractor’s obligation to defend, hold harmless, and indemnify under Article 11 shall not be
excused because of the Contractor’s inability to evaluate an Indemnitee’s liability or because the
Contractor evaluates such liability and determines that the Indemnitee is not liable to the claimant.
Within twenty (20) days of receiving written notice from the City of a claim for which the City is
7.2.a
Packet Pg. 550
ADDENDUM #1
City of Diamond Bar – DRAFT 91 June 12, 2023
entitled to indemnity, the Contractor shall confirm to the City in writing that the Contractor will
provide a defense to the claim and shall take appropriate actions to provide such defense.
11.3 SEPARATE COUNSEL
The City may elect to have and consult separate legal counsel from the Contractor at any time during
the pendency of any claim at its sole discretion. The City shall be responsible for paying its separate
counsel unless: (i) the City reasonably determines and notifies Contractor that separate counsel is
required to represent the City during the resolution of any claim; or (ii) a court of competent
jurisdiction rules that the Contractor has refused to satisfy its obligations under this Article 11.
Notwithstanding the preceding sentence or the first sentence of Article 11.1, with respect to a
particular claim, if the Contractor confirms to the City in writing Contractor’s obligation to indemnify
and defend the City, without reserving a right to later seek reimbursement from the City with respect
to such claim, the City shall not object to the counsel representing it being the same counsel that
represents Contractor in the defense of such claim and shall, if permitted by law, provide such
written conflict-of-interest waiver as may be required for such joint representation. If the Contractor
provides the aforementioned confirmation, but the City declines to consent to such joint
representation, the City may retain its own counsel at its own expense, the City shall have no right of
defense or reimbursement of defense costs with respect to such claim (but the City shall still be
entitled to indemnity), the City shall reasonably cooperate with Contractor in the defense and
settlement of such claim. If the Contractor does not provide the aforementioned confirmation, or if
the Contractor provides such confirmation and the City is prohibited by law from providing such
waiver, then the Contractor shall reimburse the City for the reasonable attorneys’ fees and costs of
the City’s separate counsel with respect to such claim.
11.4 CONSIDERATION
It is specifically understood and agreed that the consideration inuring to the Contractor for the
execution of this Agreement consists of the promises, payments, covenants, rights and
responsibilities contained in this Agreement and the consideration to the City are the Solid Waste
Services Contractor shall perform pursuant to this Agreement.
11.5 OBLIGATION
The execution of this Agreement by the Contractor shall obligate the Contractor to comply with the
foregoing indemnification provisions; however, the collateral obligation of providing insurance must
also be fully complied with as set forth in Article 11.8 below.
11.6 COLLECTION SERVICES SUBCONTRACTORS
Any Subcontractor(s), independent contractor(s) or any type of agent(s) performing or hired to
perform any term or condition of this Agreement on behalf of the Contractor, or as may be allowed
by this Agreement, shall comply with each term and condition of this Agreement, including each
term and condition of Article 11.8 entitled “INSURANCE” or a more appropriate level of coverage as
7.2.a
Packet Pg. 551
ADDENDUM #1
City of Diamond Bar – DRAFT 92 June 12, 2023
determined by the City. This applies to subcontractors performing Collection services for City
facilities. Furthermore, the Contractor shall be responsible for the Subcontractor’s acts, omissions
and satisfactory performance of the terms and conditions of this Agreement. The Contractor shall
require all Subcontractors performing Collection services under the terms of this Agreement to enter
into an agreement containing the provisions set forth in this Article 11 in their entirety and
Subcontractor shall fully indemnify the City in accordance with this Agreement.
11.7 SURVIVAL
Contractor’s indemnity obligations shall survive the expiration or termination of this Agreement and
continue until such obligations have been fully satisfied by the resolution of all claims for which
indemnity obligations are owed to the City.
11.8 INSURANCE
Contractor shall procure and maintain during the entire Term the following types of insurance, and
shall maintain the following minimum levels of coverage, which shall apply to any claims which may
arise from or in connection with Contractor' s performance hereunder or the actions or inactions of
any of Contractor' s officers, agents, representatives, employees, or subcontractors in connection
with Contractor' s performance. The insurance requirements hereunder in no way limit Contractor' s
various defense and indemnification obligations, or any other obligations as set forth herein.
A. Minimum Scope of Insurance. Coverage shall be at least as broad as:
1. The most recent editions of Insurance Services Office Commercial General Liability coverage
occurrence" form CG 00 01).
2. The most recent editions of Insurance Services Office form number CA 00 01 covering
Automobile Liability, code 1 "any auto" and endorsement CA 00 25.
3. Workers' Compensation insurance as required by the Labor Code of the State of California
and Employers Liability insurance.
B. Minimum Limits of Insurance. Contractor shall maintain in force for the term of this
Agreement limits no less than:
1. Comprehensive General Liability: Ten Million Dollars ($10,000, 000) limit aggregate and Ten
Million Dollars ($10,000,000) limit per occurrence for bodily injury, Personal injury and
property damage.
2. Automobile Liability: Five Million Dollars ($5,000,000) single limit per accident for bodily
injury and property damage.
3. Workers' Compensation and Employers Liability: Workers' compensation limits as required
by the Labor Code of the State of California or provide evidence of State approval to be self-
insured. Employers Liability in the minimum amount of One Million ($1,000, 000).
C. Deductibles and Self -Insured Retentions. Any deductibles or self-insured retentions must be
declared to and approved by City. At the option of City, either: the insurer shall reduce or eliminate
7.2.a
Packet Pg. 552
ADDENDUM #1
City of Diamond Bar – DRAFT 93 June 12, 2023
such deductibles or self-insured retentions as respects City, its officials, employees and agents; or
Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim
administration and defense expenses.
D. Other Insurance Provisions. The policies are to contain, or be endorsed to contain, the
following provisions:
1. General Liability and Automobile Liability Coverages
a) The Indemnitees shall be named as additional insureds as respects: liability arising out of
activities performed by or on behalf of Contractor; products and completed operations
of Contractor; Premises owned, leased or used by Contractor; or vehicles owned, leased,
hued or borrowed by Contractor. The coverage shall contain no special limitations on the
scope of protection afforded to the Indemnitees.
b) Contractor's insurance coverage shall be primary insurance as respects the Indemnitees.
Any insurance or self- insurance maintained by the Indemnitees shall be excess of
Contractor' s insurance and shall not contribute with it.
c) Any failure to comply with reporting provisions of the policies shall not affect coverage
provided to the Indemnitees.
d) Coverage shall state that Contractor's insurance shall apply separately to each insured
against whom claim is made or suit is brought, except with respect to the limits of the
insurer' s liability.
2. Workers' Compensation and Employers Liability Coverage: The insurer shall agree to waive
all rights of subrogation against the Indemnitees for losses arising from work performed by
Contractor for City.
3. All Coverages: Each insurance policy required by this clause shall be endorsed to state that
coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in
limits except after thirty (30) days' prior written notice (ten (10) days written notice in the
event of cancellation for non-payment) by certified mail, return receipt requested, has been
given to City.
E. Acceptability of Insurers. The insurance policies required by this section shall be issued by an
insurance company or companies authorized to do business in the State of California and with a
rating in the most recent edition of Best' s Insurance Reports of size category VII or larger and a
rating classification of A or better.
F. Verification of Coverage. Within thirty (30) days of the execution of this Agreement, or prior
to the start of service under this Agreement, whichever comes first, Contractor shall furnish City
certificates of each policy of insurance required hereunder, in form and substance satisfactory to
City. Such certificates shall show the type and amount of coverage, effective dates and dates of
expiration of policies and shall have all required endorsements. If City requests, copies of each policy,
together with all endorsements, shall also be promptly delivered to City.
Renewal certificates will be furnished promptly upon renewal to City to demonstrate maintenance of
7.2.a
Packet Pg. 553
ADDENDUM #1
City of Diamond Bar – DRAFT 94 June 12, 2023
the required coverage throughout the Term.
G. Required Endorsements.
1. Insurance policies shall contain an endorsement in substantially the following form:
Thirty (30) days prior written notice by certified mail, return receipt requested, shall be
given to City in the event of cancellation (Ten (10) days written notice in the event of
cancellation for non-payment), reduction in coverage, or non -renewal of this policy. Such
notice shall be sent to:
City Manager
City of Diamond Bar
21810 Copley Drive
Diamond Bar, CA 91765
2. “This policy shall be considered primary insurance as respects any other valid and collectible
insurance maintained by City, including any self-insured retention or program of self-
insurance, and any other such insurance shall be considered excess insurance only.”
3. “Inclusion of City as an insured shall not affect City's rights as respects any claim, demand,
suit or judgment brought or recovered against Contractor. Thus policy shall protect
Contractor and City in the same manner as though a separate policy had been issued to each,
but this shall not operate to increase Contractor's liability as set forth in the policy beyond
the amount shown or to which Contractor would have been liable if only one party had been
named as an insured."
H. Other Insurance Requirements
1. In the event any services are delegated to another company or subcontractor, Contractor
shall require such Contractor or subcontractor to provide statutory workers' compensation
insurance and employer's liability insurance for all of the Contractor or subcontractor's
employees engaged in the work in accordance with this Section 11.8. The liability insurance
required by this Section 11.8 shall cover all Contractor or subcontractors or the Contractor or
subcontractor must furnish evidence of insurance provided by it meeting all of the
requirements of this Section 11.8.
2. Contractor shall comply with all requirements of the insurers issuing policies. The carrying of
insurance shall not relieve Contractor from any obligation under this Agreement. If any claim
exceeding the amount of any deductibles or self-insured reserves is made by any third
Person against Contractor or any Contractor or subcontractor on account of any occurrence
related to this Agreement, Contractor shall promptly report the facts in writing to the
insurance carrier and to City.
If Contractor fails to procure and maintain any insurance required by this Agreement, City may take
out and maintain, at Contractor's expense, such insurance as it may deem proper and recover costs
from the Contractor's Performance Bond and/or Letter of Credit provided under Sections 11.8 and
11.10.
7.2.a
Packet Pg. 554
ADDENDUM #1
City of Diamond Bar – DRAFT 95 June 12, 2023
I. Cyber Liability. Contractor will maintain cyber liability insurance with a combined single limit
of not less than One Million ($1,000,000) per event. Contractor’s cyber policy must include language
related to Contractor data breach. Contractor shall verify by providing City Contract Manager a copy
of the Declarations Page for the policy for City review prior to the Commencement Date.
The insurance required by this subsection includes:
1. Premises Operations;
2. Independent Contractor's Protective;
3. Automobile Liability that includes Owned, Non-Owned, and Hired Motor Vehicles;
4. Broad Form Property Damage, including Completed Operations.
J. Proof of insurance shall be mailed to the following address or any subsequent address as
may be directed in writing by the City.
City Manager
City of Diamond Bar
21810 Copley Driver
Diamond Bar, CA 91765
K. Modification of Insurance Requirements. The insurance requirements provided in this
Agreement may be modified or waived by the City, in writing, upon the request of the Contractor if
the City determines such modification or waiver is fin the best interest of the City considering all
relevant factors, including exposure to the City.
L. Rights of Subrogation. All required insurance policies shall preclude any underwriter’s rights
of recovery or subrogation against the City with the express intention of the Parties being that the
required insurance coverage protects both Parties as the primary coverage for any and all losses
covered by the above-described insurance. The Contractor shall ensure that any companies issuing
insurance to cover the requirements contained in this Agreement agree that they shall have no
recourse against the City for payment or assessments in any form on any policy of insurance. The
clauses ‘Other Insurance Provisions’ and ‘Insured Duties in the Event of an Occurrence, Claim or Suit’
as it appears in any policy of insurance in which the City is named as an additional insured shall not
apply to the City.
M. Failure to Obtain Insurance. The failure of the Contractor to obtain and maintain any
required insurance shall not relieve Contractor of any liability under this Agreement (and the
Contractor may be answerable to the City for damages or any other remedy on account of such
breach) nor shall the insurance requirements be construed to conflict with or otherwise limit the
obligations of the Contractor concerning indemnification.
N. No Limitation of Liability. By requiring insurance herein, City does not represent that
coverage and limits will necessarily be adequate to protect Contractor, and such coverage and limits
7.2.a
Packet Pg. 555
ADDENDUM #1
City of Diamond Bar – DRAFT 96 June 12, 2023
shall not be deemed as a limitation on Contractor’s liability under the indemnities granted to City in
this contract.
11.9 FAITHFUL PERFORMANCE BOND
The Contractor shall, prior to the initial date of the term of this Agreement, execute and file with the
Clerk of the Council a surety bond in the penal sum of One-Hundred Twenty-Five Thousand Dollars
125,000), similar to the form provided in Exhibit 7 or otherwise in a form with language that is
acceptable to the City, which secures the faithful performance of this Agreement, including, without
limitation, payment of any penalty and the funding of any work to cure a breach of this Agreement,
unless such requirement is waived by the City Manager. The bond shall contain the original notarized
signature of an authorized officer of the surety and affixed thereto shall be a certified and current
copy of his power of attorney. The bond shall be unconditional and remain in force during the entire
term of the Agreement and shall be released only upon written release from City per Section 11.11
11.10 FAITHFUL PERFORMANCE LETTER OF CREDIT
A. In addition to a corporate surety bond as noted in Section 11.9 above, Contractor shall
furnish an irrevocable letter of credit in the amount of One Hundred Twenty-five Thousand Dollars
125,000), from a financial institution acceptable to the City and in a form acceptable to the City
Attorney as security for the performance of this Agreement the "LOC"). The LOC shall be the sole
responsibility of Contractor, shall be unconditional and remain in force during the entire Term of the
Agreement and shall be released only upon written release from City per Section 11.11.
B. As an alternative to providing the performance bond and letter of credit required under 11.9
and 11.10, Contractor may provide a letter of credit in the amount of Two-Hundred Fifty Thousand
Dollars ($250,000). The letter of credit shall be from a financial institution acceptable to the City in a
form acceptable to the City Attorney as security for the performance of this Agreement. The LOC
shall be the sole responsibility of Contractor, shall be unconditional and remain in force during the
entire Term of the Agreement and shall be released only upon written release from City per Section
11.11.
C. As an alternative to providing the performance bond and letter of credit required under 11.9
and 11.10, Contractor may deposit funds, on terms satisfactory to City, in an interest- bearing
account at an institution satisfactory to both City and Contractor. Contractor may replace any
required amount of the performance bond requirement, or the LOC requirement with an equivalent
deposit. The deposit shall be accessible to the City immediately without action required by
Contractor. The deposit shall be accessible to the City immediately without penalty, unless the funds
on deposit are increased in excess of the total Two-Hundred Fifty Thousand Dollars ($250,000)
required under Sections 11.9 and 11.10A by the maximum amount of the total potential penalty. The
funds on deposit shall be the sole responsibility of the Contractor, shall be unconditional and remain
on deposit during the entire Term of the Agreement and shall be withdrawn to Contractor' s custody
only upon written release from City per Section 11.11.
7.2.a
Packet Pg. 556
ADDENDUM #1
City of Diamond Bar – DRAFT 97 June 12, 2023
11.11 FORFEITURE OF PERFORMANCE BOND
In the event Contractor shall for any reason become unable to, or fail in any way to, perform as
required by this Agreement, City may declare a portion or all of the performance bond forfeited to
the City up to an amount which is necessary to recompense and make whole the City. Upon partial or
full forfeiture of the performance bond, Contractor shall restore the performance bond to its face
amount within thirty (30) days of the City's declaration. Failure to restore the performance bond to
its full amount within thirty (30) days shall be a material breach of the Agreement.
11.12 FORFEITURE OF LETTER OF CREDIT
Thirty (30) days following City providing Contractor with written notice of its failure to pay City any
amount owing under this Agreement, the LOC or deposit may be drawn upon by City for purposes
including, but not limited to:
A. Payment of sums due under the terms of this Agreement which Contractor has failed to timely
pay to City
B. Reimbursement of costs borne by City to correct violations of this Agreement not corrected by
Contractor, including but not limited to the liquidated damages described in Section 13.7.
City may draw upon the entire LOC and convert it to a cash deposit, or draw upon the entire deposit,
if Contractor fails to cause it to be extended or replaced with another satisfactory LOC or deposit no
later than 60 days prior to its expiration during the term hereof. If City partially draws down LOC or
deposit, Contractor must restore it to full amount within 30 days of City's draw. Failure to restore the
LOC or deposit to its full amount within. thirty (30) days shall be a material breach of the Agreement.
11.13 PERFORMANC SECURITY BEYOND SERVICE TERM
Some Agreement requirements extend beyond the Term and other requirements, such as minimum
Diversion rates per Section 5.2, will not be substantiated until after the final service date. Therefore,
the Contractor shall not terminate the performance bond, letter of credit or deposit, and will renew
them to ensure continuous availability to the City, until receiving a written release from the City or
until the second am -mal anniversary of the end of the Term. Permission from the City to discontinue
holding these performance securities does not relieve Contractor of payments to the City that may
be due, or may become due.
7.2.a
Packet Pg. 557
ADDENDUM #1
City of Diamond Bar – DRAFT 98 June 12, 2023
ARTICLE 12: CITY’S RIGHT TO CONTRACT WITH THIRD PARTIES TO PERFORM
FRANCHISE SERVICES
12.1 GENERAL
In the event that Contractor, for any reason whatsoever, fails, refuses or is unable to Collect, Recycle,
Process, Transport, or Dispose of any or all Solid Waste which it is required by this Agreement, at the
time and in the manner provided in this Agreement, for a period of more than two business days,
excluding Saturday, Sunday and Designated Holidays, and if, as a result thereof, Solid Waste should
accumulate in City to such an extent, in such a manner, or for such a time that such accumulation
endangers or menaces the public health, safety or welfare, then City shall have the right, but not the
obligation, upon twenty-four (24) hour prior written notice to Contractor during the period of such
emergency as determined by City, (1) to perform, or cause to be performed, such services itself with
its own or other personnel without liability to Contractor; and/or (2) to take possession of any or all
of Contractor's land, equipment and other property used or useful in the Collection and
Transportation of Solid Waste, and to use such property to Collect and Transport any Solid Waste
generated within City which Contractor would otherwise be obligated to Collect, Transport and
properly Dispose of or Process pursuant to this Agreement. Further, the City shall have access to the
MRF and composting facilities used by the Contractor for the Processing, Recycling and Organics
Diversion of Solid Waste produced or accumulated with the City. The right of the City to enter upon
and use facilities and equipment as specified herein shall extend following the date of cancellation of
this Agreement for a period of ninety (90) consecutive calendar days.
Notice of Contractor's failure, refusal or neglect to Collect, Transport and properly Dispose of or
Process Solid Waste may be given orally by telephone to Contractor at its principal office and shall be
effective immediately. Written confirmation of such oral notification shall be sent to Contractor
within one business day, excluding Saturday, Sunday and Designated Holidays of the oral notification.
Contractor further agrees that in such event:
A. It will take direction from City to effect the transfer of possession of equipment and
property to City for City's use, or for use by any Person or entity designated by the City.
B. It will, if City so requests, keep in good repair and condition all of such equipment and
property, provide all motor vehicles with fuel, oil and other service, and provide such other service as
may be necessary to maintain said property in operational condition.
C. City may immediately engage all or any personnel necessary or useful for the Collection and
Transportation of Solid Waste, including, if City so desires, employees previously or then employed
by Contractor, Contractor further agrees, if City so requests, to furnish City the services of any or all
management or office Personnel employed by Contractor whose services are necessary or useful for
Solid Waste Collection, Transportation, Processing and Disposal operations and for the billing and
Collection of fees for these services.
City agrees that it assumes complete responsibility for the proper and normal use of such equipment
7.2.a
Packet Pg. 558
ADDENDUM #1
City of Diamond Bar – DRAFT 99 June 12, 2023
and facilities while in its possession.
If the interruption or discontinuance in service is caused by any of the reasons listed in Section 11.5,
City shall pay to Contractor the reasonable rental value of the equipment and facilities, possession of
which is taken by City, for the period of City's possession, if any, which extends beyond the period of
time for which Contractor has rendered bills in advance of service, for the class of service involved.
12.2 TEMPORARY POSSESION OF CONTRACTOR’S PROPERTY
If City suffers an interruption or discontinuance of service (including interruptions and
discontinuance due to events described in Section 13.8), City may take possession of and use all of
Contractor's property described above until other suitable arrangements can be made for the
provision of Solid Waste Services which may include the grant of a Franchise to another waste
hauling company.
12.3 BILLING AND COMPENSATION TO CITY DURING CITY’S POSSESSION
During such time that City is providing Solid Waste Services, as above provided, Contractor shall bill
and Collect payment from all users of the above-mentioned services as described in Section 6.1
Contractor further agrees that, in such event, it shall reimburse City for any and all costs and
expenses incurred by City in taking over possession of the above-mentioned equipment and property
for Solid Waste service in such manner and to an extent as would otherwise be required of
Contractor under the Terms of this Agreement. Such reimbursement shall be made from time to time
after submission by City to Contractor of each statement listing such costs and expenses, but in no
event later than five (5) Work Days from and after each such submission.
12.4 CITY’S RIGHT TO RELINQUISH POSSESSION
It is further mutually agreed that City may at any time at its discretion relinquish possession of any or
all of the above-mentioned property to Contractor and thereupon demand that Contractor resume
the Solid Waste Services as provided in this Agreement, whereupon Contractor shall be bound to
resume the same.
12.5 CITY’S POSSESSION NOT A TAKING
Except as otherwise expressly provided in the previous paragraph, City's exercise of its rights under
this Article, 1) does not constitute a taking of private property for which compensation must be paid,
2) will not create any liability on the part of City to Contractor, and 3) does not exempt Contractor
from any of the indemnity and insurance provisions of this Agreement, which are meant to extend to
circumstances arising under this Section provided that the Contractor is not required to indemnify
the City against claims and damages arising from the active negligence of the City, its elected and
appointed boards, commissions, officers, employees and agents in the operation of Collection
vehicles during the time the City has taken possession of such vehicles.
7.2.a
Packet Pg. 559
ADDENDUM #1
City of Diamond Bar – DRAFT 100 June 12, 2023
12.6 DURATION OF CITY’S POSSESSION
City's right pursuant to this Article to retain temporary possession of Contractor's facilities and
equipment, and to render Collection services, shall terminate when City determines that such
services can be resumed by Contractor, or when City no longer reasonably requires such property or
equipment. In any case, City has no obligation to maintain possession of Contractor's property or
equipment and/or continue its use for any period of time and may at any time, in its sole discretion,
relinquish possession to Contractor.
ARTICLE 13: DEFAULT AND REMEDIES
13.1 EVENTS OF DEFAULT
Contractor’s breach of each and any provision of the Franchise or this Agreement may constitute a
default hereunder to the extent Contractor’s performance, services or obligations under this
Agreement are materially and adversely impacted. Events of default by the Contractor include, but
are not limited to, the following.
A. Fraud or Deceit or Misrepresentation. If the Contractor engages in, or attempts to
practice, any fraud or deceit upon City or makes a misrepresentation regarding material information
to City.
B. Insolvency or Bankruptcy. If Contractor becomes insolvent, unable, or unwilling to
pay its debts, files a bankruptcy petition or takes steps to liquidate its assets.
C. Failure to Maintain Coverage. If Contractor fails to provide or maintain in full force
and effect the Workers' Compensation, liability, performance bond, letter of credit, or
indemnification coverage as required by this Agreement.
D. Violations of Regulation. If Contractor violates any orders or filings of any regulatory
body having jurisdiction over Contractor relative to this Agreement, provided that Contractor may
contest any such orders or filings by appropriate proceedings conducted in good faith, in which case
no breach of the Franchise and this Agreement shall be deemed to have occurred until a final
decision adverse to the Contractor is entered.
E. Failure to Perform. If Contractor ceases to provide all or a portion of the Collection,
Processing or Recycling services, or any other Solid Waste Services as required under this Agreement
for a period of seven (7) consecutive days or more, unless, and only to the extent, performance is
excused pursuant to Section 13.8.
7.2.a
Packet Pg. 560
ADDENDUM #1
City of Diamond Bar – DRAFT 101 June 12, 2023
F. Failure to Pay. If Contractor fails to make any payments required under this
Agreement and/or refuses to provide City, within ten (10) days of the demand, with required
information, reports, and/or records in a timely manner as provided for in the Agreement.
G. Failure to Cooperate with Audits. Failure to complete, perform or cooperate with
any audit as described by this Agreement.
H. Failure to Submit Reports or Documentation. Failure to complete or to provide
required reports or documents to City as required by this Agreement.
I. Acts or Omissions.
1. Any act or omission by Contractor relative to the services provided under this
Agreement which violates the terms, conditions, or requirements of this Agreement, the
California Integrated Waste Management Act of 1989, as it may be amended from time to
time (AB 939), or any law, statute, ordinance, order, directive, rule, or regulation issued
pursuant to AB 939 shall constitute a default by the Contractor. Any failure to correct or
remedy any such violation within the time set in the written notice of the violation or, if
Contractor cannot reasonably correct or remedy the breach within the time set forth in such
notice, Contractor’s failure to commence to correct or remedy such violation within the time
set forth in such notice and diligently effect such correction or remedy thereafter shall
constitute a default by Contractor.
2. Any situation in which Contractor or any of its officers, directors or employees are
found guilty of any crime related to the performance of this Agreement, or of any crime
related to anti-trust activities, illegal Transport or Disposal of hazardous or toxic materials, or
bribery of public officials shall constitute a default by Contractor. The term “found guilty”
shall be deemed to include any judicial determination that Contractor or any of Contractor’s
officers, directors or employees is guilty as well as any admission of guilt by Contractor or any
of Contractor’s officers, directors or employees including, but not limited to, the plea of
guilty”, “nolo contendere”, “no contest”, and “guilty to a lesser charge.”
J. False or Misleading Statements. Any representation or disclosure made to City by
Contractor in connection with or as an inducement to entering into this Agreement, or any future
amendment to this Agreement, which proves to be false or misleading in any material respect as of
the time such representation or disclosure is made, whether or not any such representation or
disclosure appears as part of this Agreement.
K. Attachment. The seizure of, attachment of, or levy on, the operating equipment of
Contractor, including, without limits, its equipment, maintenance or office facilities, or any part
thereof.
L. Suspension or Termination of Service. Any termination or suspension of the
transaction of business by Contractor, including, without limitation, due to labor unrest including
strike, work stoppage or slowdown, sick- out, picketing, or other concerted job action lasting more
7.2.a
Packet Pg. 561
ADDENDUM #1
City of Diamond Bar – DRAFT 102 June 12, 2023
than seven (7) consecutive days, unless, and only to the extent, performance is excused pursuant to
Section 13.8, or Section 6.1.10.
M. Failure to Provide Assurance of Performance. If Contractor fails to provide
reasonable assurances of performance as required under Section 13.10.
N. Commingling of Recyclables With Refuse/Landfilling of Recyclables. If Contractor
negligently or willfully empties Containers of properly set out Recyclable Materials or Organics into a
Refuse load, or Transports a load of Recyclable Materials or Organics to a Landfill or other location at
which the material will not be Diverted from Landfill Disposal.
O. Failure to Comply with Requirements of SB 1383 Regulations. The Contractor fails
to comply with requirements of the Agreement including public education, reporting, contamination
monitoring, recordkeeping, or other obligations of this Agreement that delegate City’s responsibility
and/or authority under SB 1383 Regulations to Contractor.
P. Diversion Requirement. If Contractor does not reach Diversion requirement of ___%
of all tonnage Collected by Contractor under this Agreement per Section 5.2 for two consecutive Rate
Years.
Q. Failure to Provide and Maintain Performance Bond and/or Letter of Credit and/or
Deposit. Contractor fails to restore the full balance of the Performance Bond and/ or Letter of Credit
and/ or deposit required under Sections 11.9 and 11.10 to the full required value within 30 days of
being depleted due to payment to City under Sections 11.11 or 11.12, or Contractor allows any of the
securities at any time for any other reason to lapse or fall below required minimums for any period of
time.
13.2 RIGHT TO TERMINATE UPON DEFAULT AND RIGHT TO SPECIFIC PERFORMANCE
The City may terminate this Agreement immediately upon written notice to the Contractor in the
event the Contractor defaults under Article 13.1.Q entitled, “Failure to Provide and Maintain
Performance Bonds and/or Letter of Credit and/or Deposit.”
The Contractor shall be given ten (10) Business Days from written notification by the City to cure any
default which, in the CITY’s sole opinion, creates a potential public health and safety threat.
The Contractor shall be given ten (10) Business Days from written notification by the City to cure any
default arising under subsections E, F, G, H, K, L, M, N, and Q in Article 13.1 provided, however, that
the City shall not be obligated to provide Contractor with a notice and cure opportunity if the
Contractor has committed the same or similar breach/default within a twenty-four (24) month
period.
The Contractor shall be given thirty (30) calendar days from written notification by the City to cure
any other default (which is not required to be cured within ten (10) Business Days); however, the City
7.2.a
Packet Pg. 562
ADDENDUM #1
City of Diamond Bar – DRAFT 103 June 12, 2023
shall not be obligated to provide Contractor with a notice and cure opportunity if the Contractor has
committed the same or similar breach/default within a twenty-four (24) month period. Failure to
allege breach/default shall not constitute waiver by the City.
13.3 CITY’S REMEDIES IN THE EVENT OF DEFAULT
Upon the Contractor’s default, the City shall be entitled to unilaterally terminate this Agreement or
impose other such sanctions as it shall deem proper pursuant to the provisions in this Agreement or
the City of Diamond Bar Municipal Code, including the following remedies.
A. Waiver of Default. The City may waive any event of default or may waive Contractor’s
requirement to cure a default event if the City determines that such waiver would be in the best
interest of the City. The City’s waiver of an event of default is not a waiver of future events of default
that may have the same or similar conditions.
B. Suspension of the Contractor’s Obligation. The City may suspend Contractor’s performance
of its obligations if the Contractor fails to cure default in the time frame specified in Article 13.2 until
such time the Contractor can provide assurance of performance in accordance with the terms of this
Agreement.
C. Liquidated Damages. The City may assess Liquidated Damages for the Contractor’s failure to
meet specific performance standards pursuant to Article 13.7B.
D. Termination. In the event that the Contractor should default and subject to the right of the
Contractor to cure, in the performance of any provisions of this Agreement, and the default is not
cured for any default within ten (10) calendar days if the default creates a potential public health and
safety threat or arises under Article 13.1. E, F, G, H, K, L, M, Q and or otherwise thirty (30) calendar
days after receipt of written notice of default from the City, then the City may, at their option,
terminate this Agreement.
In the event the CITY decides to terminate this Agreement, the City shall serve twenty (20) calendar
days written notice of its intention to terminate upon Contractor and will not be required by this
Agreement to take any further action such as hold any hearing, bringing suite or taking any other
action.
In the event the City exercises its right to terminate this Agreement, the City may, at its option, upon
such termination, either directly undertake performance of the services or arrange with other
Persons to perform the services with or without a written agreement. Contractor shall not be
entitled to any further revenues from Collection operations authorized hereunder from and after the
date of termination.
This right of termination is in addition to any other rights of the City upon a failure of the Contractor
to perform its obligations under this Agreement.
E. Other Available Remedies. The City’s election of one (1) or more of the remedies described
herein shall not limit the City from any and all other remedies at law and in equity including
injunctive relief and / or specific performance of any breach of this Agreement.
7.2.a
Packet Pg. 563
ADDENDUM #1
City of Diamond Bar – DRAFT 104 June 12, 2023
13.4 CRIMINAL ACTIVITY
Should the Contractor or any of its officers, directors or employees be found guilty of felonious
conduct related to the performance of this Contract, or of felonious conduct related to anti-trust
activities, illegal Transport or Disposal of hazardous or toxic materials, or bribery of public officials,
the City reserves the right to unilaterally terminate this Contract or impose other such sanctions
which may include financial sanctions, temporary suspensions or any other condition deemed
appropriate short of termination) as it shall deem proper. Such action shall be taken after Contractor
has been given notice and opportunity to present evidence in mitigation. The term “found guilty”
shall be deemed to include any judicial determination that Contractor or any of Contractor’s officers,
directors or employees is guilty and any admission of guilt by Contractor or any of Contractor’s
officers, directors or employees including, but not limited to, the plea of “guilty”, “nolo contendere”,
no contest”, and “guilty to a lesser charge” entered as part of any plea bargain.
13.5 POSSESSION OF RECORDS UPON TERMINATION
In the event of termination for an event of default, the Contractor shall furnish the Contract
Administrator with immediate access to all of its business records, including without limitation,
proprietary Contractor computer systems, related to its Customers, Collection routes, and billing of
accounts for Collection services in the City of Diamond Bar.
13.6 CITY’S REMEDIES CUMULATIVE; SPECIFIC PERFORMANCE
The City’s rights to terminate this Agreement under Article 13.3, and to take possession of the
Contractor’s records under Article 13.5 are not exclusive, and the City’s termination of this
Agreement and/or the imposition of Liquidated Damages shall not constitute an election of
remedies. Instead, these rights shall be in addition to any and all other legal and equitable rights and
remedies, including but not limited to termination, which the City may have.
13.7 LIQUIDATED DAMAGES
A. General. City finds, and Contractor agrees, that as of the time of the execution of this
Agreement, it is impractical, if not impossible, to reasonably ascertain the extent of damages which
shall be incurred by City as a result of a breach by Contractor of certain specific obligations under this
Agreement. The factors relating to the impracticability of ascertaining damages include, but are not
limited to, the fact that: (i) substantial damage results to members of the public who are denied
services or denied quality or reliable service; (ii) such breaches cause inconvenience, anxiety,
frustration, and deprivation of the benefits of the Agreement to individual members of the general
public for whose benefit this Agreement exists, in subjective ways and in varying degrees of intensity
which are incapable of measurement in precise monetary terms; (iii) that the services that are the
subject of this Agreement might be available at substantially lower costs than alternative services
and the monetary loss resulting from denial of services or denial of quality or reliable services is
impossible to calculate in precise monetary terms; and (iv) the termination of this Agreement for
7.2.a
Packet Pg. 564
ADDENDUM #1
City of Diamond Bar – DRAFT 105 June 12, 2023
such specific breaches, and other remedies are, at best, a means of future correction and not
remedies which make the public whole for past breaches.
B. Service and Diversion Performance Standards; Liquidated Damages for Failure to Meet
Standards. The parties further acknowledge that consistent, reliable Solid Waste Service is of utmost
importance to City and that City has considered and relied on Contractor's representations as to its
quality-of-service commitment in entering into this Agreement. The Parties further recognize that
some quantified standards of performance are necessary and appropriate to ensure consistent and
reliable service and performance. The Parties further recognize that if Contractor fails to achieve the
performance standards, or fails to submit required documents in a timely manner, City and its
residents will suffer damages and that it is and will be impractical and extremely difficult to ascertain
and determine the exact amount of damages which City will suffer. Therefore, without prejudice to
City's right to treat such breaches as an event of default under this Article 13, the Parties agree that
the following liquidated damage amounts represent a reasonable estimate of the amount of such
damages for such specific breaches, considering all of the circumstances existing on the date of this
Agreement, including the relationship of the sums to the range of harm to City that reasonably could
be anticipated and the anticipation that proof of actual damages would be costly or impractical. In
placing their initials at the places provided, each party specifically confirms the accuracy of the
statements made above and the fact that each party has had ample opportunity to consult with legal
counsel and obtain an explanation of the liquidated damage provisions at the time that the
Agreement was made.
Contractor City
Initial Here Initial Here
The Contractor agrees to pay (as Liquidated Damages and not as a penalty) the following amounts:
LIQUIDATED DAMAGES
1. Collection Reliability Amount
A. For each failure to commence service to anew Customer account within seven (7) days
after order, which exceeds five (5) such failures annually.
100.00 per
occurrence.
B. For each failure, which exceeds ten (10) such failures annually, to Collect Solid Waste
from any established Customer account on the scheduled Collection day and not make
up the Collection within the time allotted per Section 4.6.1:
100.00 per
occurrence.
2. Collection Quality
A. For each occurrence of failure to properly return empty Containers to avoid pedestrian
or vehicular traffic impediments or to place Containers upright which exceeds ten (10)
such occurrences annually.
100.00 per
occurrence
7.2.a
Packet Pg. 565
ADDENDUM #1
City of Diamond Bar – DRAFT 106 June 12, 2023
LIQUIDATED DAMAGES
B. For each occurrence of excessive noise or discourteous behavior which exceed ten (10)
annually.
250.00 per
occurrence
C. For each occurrence of Collecting Solid Waste during unauthorized hours which
exceeds five (5) such occurrences annually.
250.00 per
occurrence
D. For each failure to clean up Solid Waste spilled from Solid Waste Containers within
ninety (90) minutes that exceeds ten (10) such failures annually.
150.00 per
occurrence
E. For each complaint that exceeds the maximum permitted number of complaints per
month in Section 5.2.3.
150.00 per
occurrence
F. For each occurrence of failure to verify that Customer has obtained an encroachment
permit from the City prior to Contractor placing a Container in the public right-of-way
which exceeds ten (10) such occurrences annually.
100.00 per
occurrence
G. For each occurrence of failure to return a Container to Container storage locations, as
described in Section 4. 1. 12 " Scout Service' of this Agreement, withal two (2) hours of
set out which exceeds ten (10) such occurrences annually.
100.00 per
occurrence
3. Collection Responsiveness
A. For each failure to initially respond to a Customer complaint within one (1) business
day, and for each additional day on which the complaint is not addressed, which
exceed five (5) annually.
150 per
occurrence
B. For each failure to process Customer complaints as required by Article 5, which exceed
five (5) annually.
150 per
occurrence
C. For each failure to remove graffiti from Containers, or to replace with Containers
bearing no graffiti, within three (3) business days of request from City or Customer.
50 per
occurrence
D. For each failure to repair or replace a damaged or missing Container within two (2)
business days of request from City or Customer.
50 per
occurrence
E. For each failure to process a claim for damages within thirty (30) days from the date
submitted to Contractor.
100 per
occurrence
F. For each additional thirty (30) day increment of time in which Contractor has failed to
resolve a claim for damages within thirty (30) days from the claim date.
100 per
occurrence
G. For each violation under Section 5. 2.3 (one month of excessive complaints or one
quarter of excessive delays in answering customer service calls).
500 per
occurrence
H. For each occurrence of inaccurate information being provided to Customers by
Contractor' s customer service department which exceeds five (5) such occurrences
annually.
100 per
occurrence
I. For every Organics Waste Cart Collected as Refuse without issuing a Warning Notice
per Section 4.2.7 which exceeds ten (10) such occurrences annually
200 per
Occurrence
J. For each failure to issue a Warning Notice to a Customer for materials not collected
due to improper set out which exceeds ten (10) such occurrences annually:
200 per
Occurrence
7.2.a
Packet Pg. 566
ADDENDUM #1
City of Diamond Bar – DRAFT 107 June 12, 2023
4. Diversion Efforts Amount
A. For each calendar year, beginning calendar year 2010 through calendar year 2017, in
which Contractor fails to provide support to the City within thirty 30) days of year-
end, documenting that it Diverted at least 25% of the Solid Waste Contractor Collected
under this Agreement.
25 for each
ton below
tonnage
level,
necessary to
meet 25 %
Diversion
goal.
B. For each calendar year, beginning January 1, 2018, in which Contractor fails to provide
documentation to the City within thirty (30) days of year- end, supporting that it
Diverted at least 25% of the Solid Waste Contractor Collected under this Agreement,
excluding Construction and Demolition Debris loads,
25 for each
ton below
tonnage level
necessary to
meet 25 %
Diversion
goal.
C. For each calendar year, beginning calendar year 2018, in which Contractor fails to
provide documentation to the City within thirty (30) days of yearend, supporting that it
Diverted at least 75 %, or the State -mandated Construction and Demolition Diversion
percentage, whichever is greater, of all Construction and Demolition Debris loads it
Collects under this Agreement.
25 for each
ton below
tonnage level
necessary to
meet 75%, or
State-
mandated
Construction
and
Demolition
Diversion
goal,
whichever is
greater.
5. Timeliness of Submissions to City Amount
A. Any report shall be considered late until such time as a correct and complete report is
received by City. For each calendar day a report is late, the daily liquidated damage
amount shall be:
i) Monthly Reports:
ii) Quarterly Reports:
iii) Annual Reports:
25 per day
50 per day
100 per day
6. Accuracy of Billing Amount
A. Each Customer invoice that is not prepared in accordance with the City’s approved
rate schedule, in excess of ten (10) annually:
25 per
occurrence
7. Customer Education and Outreach Amount
7.2.a
Packet Pg. 567
ADDENDUM #1
City of Diamond Bar – DRAFT 108 June 12, 2023
A. For each day that the Public Education and Outreach requirements contained in Section
5.3 are not adhered to after written notice provided to Contractor and Contractor does
not cure within 30 days:
8. Cooperation with Service Provider Transition
A. For each day routing information requested by City in accordance with Section 12.9 is
received after City-established due dates, both for preparation of a request for
proposals and for new service provider’s implementation of service:
1000.00 per
day
B. For each day delivery of keys, access codes, remote controls, or other means of access
to Solid Waste Containers is delayed beyond one (1) day prior to new service provider
servicing Customers with access issues, as described in Section 12.9:
1000.00 per
day
C. For delay in not meeting the requirements contained in Section 12.9 in a timely
manner, in addition to the daily liquidated damages for breach under 8(a) and 8(b)
above, liquidated damages of:
35,000.00
9. Diversion Efforts
A. For each Rate Year (July 1, 2022 through June 30, 2023 considered the first Rate Year)
in which Contractor fails to provide support to the City within forty-five (45) days of
year-end, documenting that it Diverted at least ___% of the Solid Waste Contractor
Collected under this Agreement per Section 4.6.1:
10. General Contract Adherence
A. For each day that Contractor fails to provide services required under the Agreement,
or comply with terms of the Agreement, five (5) business days after receipt of written
notification from City that such services are not being provided or terms are not being
met:
300.00 per
day
The City may determine the occurrence of events giving rise to liquidated damages through the
observation by its own employees or representatives, investigation of Customer complaints or self-
reporting by the Contractor.
Prior to assessing liquidated damages, City shall give Contractor notice of its intention to do so. The
notice will include a brief description of the incident(s)/non-performance. Contractor may review
and make copies at its own expense) all information in the possession of City relating to
incident(s)/non-performance. Contractor may, within ten (10) days after receiving the notice, request
a meeting with City. Contractor may present evidence in writing and through testimony of its
employees and others relevant to the incident(s)/non-performance. City will provide Contractor with
a written explanation of its determination on each incident(s)/non-performance prior to authorizing
the assessment of liquidated damages. The decision of City shall be final.
C. Amount. City may assess liquidated damages for each calendar day or event, as appropriate,
that Contractor is determined to be liable in accordance with this Agreement.
7.2.a
Packet Pg. 568
ADDENDUM #1
City of Diamond Bar – DRAFT 109 June 12, 2023
D. Timing of Payment. Contractor shall pay any liquidated damages assessed by City within ten
10) days after they are assessed. If they are not paid within the ten (10) day period, City may
proceed against the performance bond required by the Agreement or find Contractor in default and
terminate this Agreement pursuant to Section 13.1, or both.
13.8 SUSPENSION OF PERFORMANCE
13.8.1 FORCE MAJEURE
The Parties shall be excused from performing their respective obligations hereunder and from any
obligation to pay Liquidated Damages to the extent and for the period of time they are prevented
from so performing by reason of floods, earthquakes, pandemics, other acts of nature, war, civil
insurrection, riots, acts of any government (including judicial action), and other similar catastrophic
events which are beyond the control of and not the fault of the Party claiming excuse from
performance hereunder.
The interruption or discontinuance of Contractor' s services caused by one (1) or more of the events
excused shall not constitute a default by Contractor under this Agreement provided that other
services delivered to properties in Diamond Bar (such as and without limitation electricity, gas,
water, or Solid Waste Services) have been similarly disrupted as a direct result of the catastrophic
event. Notwithstanding the foregoing, however, if Contractor is excused from performing its
obligations hereunder for any of the causes listed in this section, City may contract with another
provider to perform all or part of this Agreement until such time Contractor is able to perform. If
Contractor is unable to renew its performance of this Agreement for a period of thirty (30) days or
more, where the City is not significantly impacted by the catastrophic event, City shall nevertheless
have the right, in its sole discretion, to terminate flus Agreement by giving ten (10) days' notice.
13.8.2 LABOR UNREST
Labor unrest, including work stoppage or slowdown or sick-out conducted by Contractor' s
employees or directed at Contractor is excused from performance only to the extent that the
following requirements are met:
x Contractor provides a contingency plan to the City prior to the execution of this Agreement
demonstrating how services will be provided. Plan is subject to City Manager approval and
Contractor shall amend plan until it meets City requirements, including reasonably
demonstrating how City' s basic Collection and sanitary needs will be met to the City's
satisfaction.
x Contractor shall meet all requirements of this plan; if Contractor does not meet all
requirements, City may choose to revoke this excuse from performance offered under this
Agreement and may choose to use enforcement provisions under this Agreement, including
Sections 13.1, 13.2 and 13.3.
7.2.a
Packet Pg. 569
ADDENDUM #1
City of Diamond Bar – DRAFT 110 June 12, 2023
The party claiming excuse from performance shall, within two (2) days after such party has notice of
such cause, give the other party notice of the facts constituting such cause and asserting its claim to
excuse under this section.
The interruption or discontinuance of Contractor' s services caused by labor-related events excused
under this Section 13.8.2 shall not constitute a default by Contractor under this Agreement.
Notwithstanding the foregoing, however, if Contractor is excused from performing its obligations
hereunder for any of the causes listed in this section for a period of thirty (30) days or more, City
shall nevertheless have the right, at its sole discretion, to terminate this Agreement by giving ten (10)
days' notice, and may contract with another party for Solid Waste Services.
13.9 DISPUTE RESOLUTION
Except as may otherwise be set forth expressly herein, all disputes arising under this Agreement shall
be resolved as set forth in this section.
13.9.1 NEGOTIATION AND MEDIATION
The Parties shall attempt in good faith to resolve any dispute arising out of or relating to this
Agreement promptly by negotiations between the Parties' authorized representatives. The disputing
Party shall give the other Parties written notice of any dispute. Within five (5) days after delivery of
such notice, the authorized representatives shall meet at a mutually acceptable time and place, and
thereafter as often as they reasonably deem necessary to exchange information and to attempt to
resolve the dispute. If the matter has not been resolved within ten (10) days of the first meeting, any
Party may initiate a mediation of the dispute. The mediation shall be facilitated by a mediator that is
acceptable to all Parties and shall conclude within thirty (30) days of its commencement, unless the
Parties agree to extend the mediation process beyond such deadline. Upon agreeing on a mediator,
the Parties shall enter into a written agreement for the mediation services with each Party paying a
pro rata share of the mediator' s fee, if any. The mediation shall be conducted in accordance with the
Commercial Mediation Rules of the American Arbitration Association; provided, however, that no
consequential damages shall be awarded in any such proceeding and each Party shall bear its own
legal fees and expenses.
13.9.2 CONFIDENTIALITY
All negotiations and any mediation conducted pursuant to this section shall be confidential and shall
be treated as compromise and settlement negotiations, to which Section 1152 of the California
Evidence Code shall apply, which Section is incorporated in this Agreement by reference.
13.9.3 INJUNCTIVE RELIEF
Notwithstanding the foregoing provisions, a Party may seek a preliminary injunction or other
provisional judicial remedy if in its judgment such action is necessary to avoid irreparable damage or
to preserve the status quo.
7.2.a
Packet Pg. 570
ADDENDUM #1
City of Diamond Bar – DRAFT 111 June 12, 2023
13.9.4 CONTINUING OBLIGATION
Each Party shall continue to perform its obligations under this Agreement pending final resolution of
any dispute arising out of or relating to this Agreement.
13.9.5 FAILURE OF MEDIATION
If after good faith efforts to mediate a dispute under the terms of this Agreement the parties cannot
agree to a resolution of the dispute, any party may pursue whatever legal. remedies may be available
to it at law or in equity before a court of competent jurisdiction and with venue in Los Angeles
County.
13.10 ASSURANCE OF PERFORMANCE
City may, at its option and in addition to all other remedies it may have, demand from Contractor
reasonable assurances of timely and proper performance of this Agreement, in such form and
substance as City may require. If Contractor fails or refuses to provide satisfactory assurances of
timely and proper performance in the form and by the date required by City, such failure or refusal
shall be an event of default.
ARTICLE 14: OTHER AGREEMENTS OF THE PARTIES
14.1 RELATIONSHIP OF PARTIES
The parties intend that Contractor shall perform the services required by this Agreement as an
independent Contractor engaged by City and not as an officer or employee of City nor as a partner of
or joint venture with City. No employee or agent or Contractor shall be or shall be deemed to be an
employee or agent of City. Except as expressly provided herein, Contractor shall have the exclusive
control over the manner and means of conducting the Solid Waste Services performed under this
Agreement, and all Persons performing such services. Contractor shall be solely responsible for the
acts and omissions of its officers, employees, Companies, Subcontractors and agents. Neither
Contractor nor its officers, employees, Companies, Subcontractors and agents shall obtain any rights
to retirement benefits, workers' compensation benefits, or any other benefits which accrue to City
employees by virtue of their employment with City.
14.2 COMPLIANCE WITH LAW
In providing the services required under this Agreement, Contractor shall at all times, at its sole cost,
comply with all Applicable Laws.
7.2.a
Packet Pg. 571
ADDENDUM #1
City of Diamond Bar – DRAFT 112 June 12, 2023
14.3 GOVERNING LAW
This Agreement shall be governed by, and construed and enforced in accordance with, the laws of
the State of California.
14.4 JURISDICTION
Except for those matters where Federal Courts have exclusive jurisdiction, any lawsuits between the
Parties arising out of this Agreement shall be brought and concluded in the courts of the State of
California, which shall have exclusive jurisdiction over such lawsuits. With respect to venue, the
Parties agree that this Agreement is made in and will be performed in Los Angeles County.
14.5 ASSIGNMENT
Except as may be provided for in Article 12, neither party shall assign its rights, nor delegate,
subcontract or otherwise transfer its obligations under this Agreement to any other Person without
the prior written consent of the other party. Any such assignment made without the consent of the
other party shall be void and the attempted assignment shall constitute a material breach of this
Agreement.
For purposes of this section the term "assignment" shall be given the broadest possible
interpretation, and shall include, but not be limited to (i) a sale, exchange or other transfer of
substantially all of Contractor' s assets dedicated to service under this Agreement to a third party; (ii)
a sale, exchange or other transfer of outstanding common stock of Contractor to a third party
provided said sale, exchange or transfer may result in a change of control of Contractor; (iii) any
dissolution, reorganization, consolidation, merger, re-capitalization, stock issuance or re -issuance,
voting trust, pooling agreement, escrow arrangement, liquidation or other transaction which results
in a change of ownership or control of Contractor; (iv) any assignment by operation of law, including
those resulting from mergers or acquisitions by or of Contractor of any of its Affiliates, insolvency or
bankruptcy, making assignment for the benefit of creditors, writ of attachment for an execution
being levied against this Agreement, appointment of a receiver taking possession of Contractor' s
property, or transfer occurring in the event of a probate proceeding; and (v) any combination of the
foregoing (whether or not in related or contemporaneous transactions) which has the effect of any
such transfer or change of ownership, or change of control of Contractor.
Contractor acknowledges that this Agreement involved rendering a vital service to City's residents
and businesses, and that City has selected Contractor to perform the services specified herein based
on (1) Contractor' s experience, skill and reputation for conducting its Solid Waste Services in a safe,
effective and responsible fashion, at all times in keeping with applicable Environmental Laws,
regulations and best Solid Waste management practices, and (2) Contractor' s financial resources to
maintain the required equipment and to support its indemnity obligations to City under this
Agreement. City has relied on each of these factors, among others, in choosing Contractor to perform
the services to be rendered by Contractor under this Agreement.
7.2.a
Packet Pg. 572
ADDENDUM #1
City of Diamond Bar – DRAFT 113 June 12, 2023
If Contractor requests City's consideration of and consent to an assignment, City may deny or
approve such request in its complete discretion. No request by Contractor for consent to an
assignment need be considered by City unless and until Contractor has met the following
requirements:
A. Contractor shall pay to City in advance of consideration of any assignment a flat fee of
250,000 for expenses for City staff costs, consultant and attorney's fees and investigation
costs necessary to investigate the suitability of any proposed assignee, and to review and
finalize any documentation required as a condition for approving any such assignment;
B. Contractor shall pay the City a transfer fee equal to 1% of the gross revenues times the
number of years (pro-rated for partial years) remaining under this Agreement (based on
actual rate revenues for the prior 12-months), plus the City’s costs of processing and
evaluating the assignment request;
C. Contractor shall furnish City with audited financial statements of the proposed assignee's
operations for the immediately preceding three (3) operating years;
D. A proforma financial statement (income statement and balance sheet) for the proposed
assignee with the projected results of operations assuming that the assignment is completed.
Such proforma financial statement shall reflect any debt to be incurred by the assignee as
part of the acquisition of Contractor’s operations; and,
E. Contractor shall furnish City with satisfactory proof: (i) that the proposed assignee has at
least ten (10) years of Solid Waste management experience on a scale equal to or exceeding
the sale of operations conducted by Contractor under this Agreement; (ii) that in the last five
5) years, the proposed assignee has not suffered any significant citations or other censure
from any federal, state or local agency having jurisdiction over its Solid Waste management
operations due to any significant failure to comply with state, federal or local Environmental
Laws and that the assignee has provided City with a complete list of such citations and
censures; (iii) that the proposed assignee has at all times conducted its operations in an
environmentally safe and conscientious fashion; (iv) that the proposed assignee conducts its
Solid Waste management practices in accordance with sound Solid Waste management
practices in full compliance with all federal, state and local laws regulating the Collection and
Disposal of Solid Waste including Hazardous Material; and, (v) of any other information
required by City to ensure the proposed assignee can fulfill the Terms of this Agreement in a
timely, safe and effective manner.
Under no circumstances shall City be obliged to consider any proposed assignment by City if
Contractor is in default at any time during the period of consideration.
14.6 AFFILIATED COMPANIES
Contractor's accounting records shall be maintained on a basis showing the results of Contractor's
operations under this Agreement separately from operations in other locations, as if Contractor were
an independent entity providing service only to City. The costs and revenues associated with
7.2.a
Packet Pg. 573
ADDENDUM #1
City of Diamond Bar – DRAFT 114 June 12, 2023
providing service to City shall not be combined, consolidated or in any other way incorporated with
those of other operations conducted by Contractor in other locations, or with those of an Affiliate. If
Contractor enters into any financial transactions with a Related Party Entity for the provision of labor,
equipment, supplies, services, capital, etc., related to the furnishing of service under this Agreement,
that relationship shall be disclosed to City, and in the financial reports submitted to City. In such
event, City's rights to inspect records, and obtain financial data shall extend to such Related Party
Entity or entities.
14.7 CONTRACTING OR SUBCONTRACTING
Contractor shall not engage any contractors or subcontractors for the Collection of Solid Waste.
14.8 BINDING ON ASSIGNS
The provisions of this Agreement shall inure to the benefit to and be binding on the permitted
assigns (if any) of the Parties.
14.9 TRANSITION TO NEXT CONTRACTOR
Prior to, and at, the end of the Term or in the event this Agreement is terminated for cause prior to
the end of the Term, Contractor shall cooperate fully with City and any subsequent Solid Waste
enterprise it designates to assure a smooth transition of Solid Waste Services. Contractor's
cooperation shall include, but not be limited to, providing route lists, Billing information and other
operating records needed to service all Premises covered by this Agreement.
In recognition of the difficulty inherent in Customer’s difficulty or inability to store two sets of
Containers, Contractor shall remove its Containers in coordination with the distribution of Containers
by the incoming service provider. Contractor shall cooperate with the City and incoming service
provider in agreeing to the timing of Container removal; if parties cannot agree on a phase-out
schedule and Contractor does not remove Containers in a timely manner that requires Customers to
store two Containers, City, incoming service provider, or another entity may remove Contractor’s
Containers and seek cost reimbursement from Contractor through its performance bond, letter of
credit or other means. The failure to cooperate with City following termination shall be conclusively
presumed to be grounds for specific performance of this covenant and/or other equitable relief
necessary to enforce this covenant.
Contractor shall, to the maximum extent feasible, provide a new service provider with all keys,
security codes and remote controls used to access garages and Bin enclosures. Contractor shall be
responsible for coordinating transfer immediately after Contractor’s final pickups, so as not to
disrupt service. Contractor shall provide City with detailed route sheets containing service names and
addresses, billing names and addresses, monthly rate, and service levels (quantity, material type, and
size of Containers and pickup days) at least 90 days prior to the transition date, and provide an
updated list two weeks before the transition and a final list of changes the day before the transition.
Contractor shall provide means of access to the new service provider at least one full calendar day
excluding Saturday, Sunday, and Designated Holidays) prior to the first day of Collection by another
7.2.a
Packet Pg. 574
ADDENDUM #1
City of Diamond Bar – DRAFT 115 June 12, 2023
party, and always within sufficient time so as not to impede in any way the new service provider
from easily servicing all Containers.
14.10 PARTIES IN INTERSET
Nothing in this Agreement, whether express or implied, is intended to confer any rights on any
Persons other than the parties to it and their representatives, successors and permitted assigns.
14.11 WAIVER
The waiver by either party of any breach or violation of any provisions of this Agreement shall not be
deemed to be a waiver of any breach or violation of any other provision nor of any subsequent
breach of violation of the same or any other provision. The subsequent acceptance by either party of
any moneys which become due hereunder shall not be deemed to be a waiver of any pre-existing or
concurrent breach or violation by the other party of any provision of this Agreement.
14.12 CONTRACTOR’S INVESTIGATION
Contractor has made an independent investigation ( satisfactory to Contractor) of the conditions and
circumstances surrounding the Agreement and the work to be performed by it.
14.13 NOTICE
All notices, demands, requests, proposals, approvals, consents, and other communications which this
Agreement requires, authorizes, or contemplates shall be in writing and shall either be personally
delivered to a representative of the parties at the address below or be deposited in the United States
mail, first class postage prepaid, addressed as follows:
If to the City:
City Manager
City of Diamond Bar
21810 Copley Drive
Diamond Bar, CA 92765
If to the Contractor:
NAME]
TITLE]
CONTRACTOR NAME]
ADDRESS]
CITY, ST, ZIP]
7.2.a
Packet Pg. 575
ADDENDUM #1
City of Diamond Bar – DRAFT 116 June 12, 2023
The address to which communications may be delivered may be changed from time to time by a
written notice given in accordance with this section.
Notice shall be deemed given on the day it is personally delivered or, if mailed, three days from the
date it is deposited in the mail.
This notice shall also be sent by e- mail to the City Manager.
14.14 REPRESENTATIVE OF THE PARTIES
All actions to be taken by City shall be taken by the City Council except as expressly provided herein.
The City Council may delegate authority to the City Manager, and/ or to other City employees and
may permit such employees, in turn, to delegate some or all of such authority to subordinate
employees. Contractor may rely upon actions taken by such delegates if they are within the scope of
the authority so delegated to them.
Contractor shall, by the effective date, designate in writing a responsible officer who shall serve as
the representative of Contractor in all matters related to the Agreement and shall inform City in
writing of such designation end of any limitations upon his or her authority to bind Contractor. City
may rely upon action taken by such designated representative as actions of Contractor unless they
are outside the scope of the authority expressly delegated to him/ her by Contractor as
communicated to City.
14.15 CITY FREE TO NEGOTIATE WITH THIRD PARTIES
City may investigate all options for the Collection, Transporting, Recycling, Processing and Disposal of
Solid Waste for periods during which this Agreement has expired or been terminated. Without
limiting the generality of the foregoing, City may solicit proposals from Contractor and from third
parties for the provision of Solid Waste Services which are the subject of this Agreement, including
without limitation Collection and Processing of Recyclable and Organic Materials, Disposal, and any
combination thereof, and may negotiate and execute agreements for such services which will take
effect upon the expiration or earlier termination of this Agreement pursuant to Section 13.2 or
otherwise.
14.16 COMPLIANCE WITH MUNICIPAL CODE
Contractor shall comply with those provisions of the City of Diamond Bar Municipal Code which are
applicable, and with any and all amendments to such applicable provisions during the term of this
Agreement.
14.17 PRIVACY
Contractor shall strictly observe and protect the rights of privacy of Customers. Information
identifying individual Customers or the composition or contents of a Customer' s waste stream shall
not be revealed to any Person, governmental unit, private agency, or company, unless upon the
7.2.a
Packet Pg. 576
ADDENDUM #1
City of Diamond Bar – DRAFT 117 June 12, 2023
authority of a court of law, by statute, or upon valid authorization of the Customer. This provision
shall not be construed to preclude Contractor from preparing, participating in, or assisting in the
preparation of waste characterization studies or waste stream analyses which may be required by AB
939. This provision shall not apply to reports or records provided to City pursuant to this Agreement.
14.18 PROPRIETARY INFORMATION, PUBLIC RECORDS
The City acknowledges that a number of the records and reports of Contractor are proprietary and
confidential. Contractor is obligated to permit City inspection of its records on demand and to
provide copies to City where requested. City will endeavor to maintain the confidentiality of all
proprietary information provided by Contractor. Notwithstanding the foregoing, any documents
provided by Contractor to City that are public records may be disclosed pursuant to the California
Public Records Act.
ARTICLE 15: MISCELLANEOUS AGREEMENTS
15.1 ENTIRE AGREEMENT
This Agreement contains the entire integrated agreement and understanding concerning the subject
matter herein and supersedes and replaces any prior negotiations, promises, proposals (including
Contractor's Proposal), and agreements between the Parties, whether written or oral. The. Parties
acknowledge this document has been executed with the consent and upon the advice of counsel.
Each of the Parties acknowledges that no Party or agent or attorney of any other party has made any
promise, representation, or warranty, express or implied, not contained in this Agreement, to induce
the other Party to execute this instrument.
15.2 SECTION HEADINGS
The article headings and section headings in this Agreement are for convenience of reference only
and are not intended to be used in the construction of this Agreement nor to alter or affect any of its
provisions.
15.3 REFERENCES TO LAWS AND OTHER AGREEMENTS
All references in this Agreement to laws shall be understood to include such laws as they may be
subsequently amended or recodified, unless otherwise specifically provided.
7.2.a
Packet Pg. 577
ADDENDUM #1
City of Diamond Bar – DRAFT 118 June 12, 2023
15.4 INTERPRETATION
This Agreement, including the Exhibits attached hereto, shall be interpreted and construed
reasonably and neither for nor against either Party, regardless of the degree to which either Party
participated in its drafting.
15.5 AGREEMENT
This Agreement may not be modified or amended in any respect except by a writing sighed by the
Parties.
15.6 SEVERABILITY
Invalidation of any of the provisions contained in this Agreement, or of the application thereof to any
person, by judgment or court order, shall in no way affect any of the other provisions hereof or the
application thereof to any other person or circumstance, and that same shall remain in full force and
effect, unless enforcement of this Agreement, as so invalidated, would be unreasonable or
inequitable under all the circumstances or would frustrate the purposes of this Agreement and/ or
the rights and obligations of the parties hereto.
15.7 EXHIBITS
Each of Exhibits identified as Exhibit "1” through "8” is attached hereto and incorporated herein and
made a part hereof by this reference.
15.8 ATTORNYS’ FEES
If either Party to this Agreement is required to initiate or defend or made a party to any action or
proceeding between the Parties in any way connected with this Agreement, the prevailing Party in
such action or proceeding, in addition to any other relief which may be granted, whether legal or
equitable, shall be entitled to recover its reasonable attorney' s fees and costs from the opposing
Party. Attorneys' fees shall include attorney' s fees on any appeal. A Party entitled to attorney' s fees
shall be entitled to all other reasonable costs for investigating such action, taking depositions and
discovery, expert fees, and all other necessary costs the court allows which are incurred in such
litigation. All such fees shall be deemed to have accrued on commencement of such action.
IN WITNESS WHEREOF, City and Contractor have executed this Agreement as of the day and year first above
written.
CITY OF DIAMOND BAR
City”
7.2.a
Packet Pg. 578
ADDENDUM #1
City of Diamond Bar – DRAFT 119 June 12, 2023
DATED: DATED:
CITY OF DIAMOND BAR CONTRACTOR
By: By:
CityManager
TITLE
Approved as to form:
By:
City Attorney NAME OF COMPANY
ATTEST: ADDRESS
TELEPHONE
City Clerk
7.2.a
Packet Pg. 579
ADDENDUM #1
City of Diamond Bar – DRAFT 120 June 12, 2023
EXHIBIT 1: INITIAL MAXIMUM SERVICE RATES
EXHIBIT 2: EXAMPLE OF RATE ADJUSTMENT PROCEDURE
EXHIBIT 2A – RATE ADJUSTMENT PROCEDURE – SFD CARTS
EXHIBIT 2B – RATE ADJUSTMENT PROCEDURE – BINS
EXHIBIT 2C – RATE ADJUSTMENT PROCEDURE – ROLL-OFF BOXES
EXHIBIT 2D – RATE ADJUSTMENT PROCEDURE – OTHER
EXHIBIT 2E – EXAMPLE OF INDEX CALCULATION
EXHIBIT 3: LIST OF DESIGNATED FACILITIES
EXHIBIT 4: LIST OF DIVERSION PRORAM MATERIALS
EXHIBIT 5: AB 341, AB 1826, AND SB 1383 COMPLIANCE PLAN
EXHIBIT 6: CORPORATE GUARANTY
EXHIBIT 7: FAITHFUL PERFORMANCE BOND
EXHIBIT 8: CONTRACTOR’S PROPOSAL
7.2.a
Packet Pg. 580
Exhibit 2A
Rate Adjustment Procedure - SFD Carts
Page 1 of 2
AB CD E F
Row Cost Category
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
COL C * COL D)Index Source
1 Labor 26.250 27.040 3.0095% 25.000%0.75% Note 10
2 Fuel 230.298 299.751 30.1577% 5.000%1.51%
3 Equipment 153.450 156.743 2.1460% 20.000%0.43%
4 Other (Except Material Handling) 288.798 305.458 5.7687% 27.000%1.56%
5 Total Collection Component 77.000% 4.247%
GH I J K L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
COL G * COL
H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
COL J * COL K)
6 Refuse [FACILTY NAME] 14,643.4 $75.00 1,098,255 14,643.4 $78.75 1,153,168
7 Recycling [FACILITY NAME] 3,640.1 $90.00 327,609 3,640.1 $94.50 343,989
8 Organics [FACILITY NAME] 7,040.9 $90.00 633,681 7,040.9 $94.50 665,365
9 Unused - - -
10 Totals 25,324 $2,059,545 25,324 $2,162,522
11 Prior Period Index Value (G11 / I11) >> $81.3265 New Index Value (J11 / L11) >> $85.3928
MN OP Q
Row Cost Category
Previous
Index Value
COL I, ROW
11)
New Index
Value
COL K, ROW
11)
Percent
Change in
Index
COL N - COL
M) / COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 81.3265 85.3928 5.0000% 23.00%1.15%
RS TU V
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL R + COL S)
Maximum
5% any Rate
Year
Next
Period
Carryover)
Total Permitted
Percentage Rate
Adjustment
COL T - COL U)
13 Collection Component 4.2470%
14 Material Handling Component 1.1500%
15 Total 5.3970% 0.0000% 5.3970% 0.3970% 5.0000%
STEP Five: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
WX T Z AA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in
Cost
Components
W * X)
Cost
Component
Increased
W + T)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.9302%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0234%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8802%
19 Other (Except Material Handling) 27.0000% 1.5576% 0.4205% 27.421%27.1398%
20 Material Handling Component 23.0000% 1.1500% 0.2645% 23.265% 23.0263%
21 Total 100.00% 5.40% 1.03% 101.03% 100.00%
STEP TWO: Calculate Material Handling Component Index
STEP ONE: Calculate Collection Component Percentage Change
STEP THREE: Calculate Percentage Change in Weighted Material Handling Index
STEP FOUR: Calculate the Permitted Percentage Rate Change
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 581
Exhibit 2A
Rate Adjustment Procedure - SFD Carts
Page 2 of 2
1)
2)
3)
4)
5)
6)
7)
8) The "Gate Fees" values shall be the most current per ton rate charged at each facility.
9)
10)
Note: For Contractor owned facilities, Gate fees will be negotiated based on an index for disposal and transportation
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not
seasonally adjusted.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
References to Indices are as follows:
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Gate Fee"
values shall be the values from previous year's rate application.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban
consumers, not seasonally adjusted.
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value
of the indices for the year ending December 2025.
The Tonnage for each facility shall be the total tons delivered to the facility for the previous 12 month period
ending December 31st.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value"
shall be the indices values from the previous year's rate adjustment application.
Labor: Driver rates based on labor agreement.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will be set based on
Contractor's Proposal.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will be set based on
Contractor's Proposal.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Tonnage"
values shall be the values from previous year's rate application.
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall
be as calculated in COL AA, ROWS 16-20.
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
Post collection facilities planned for use under this agreement.
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 582
Exhibit 2B
Rate Adjustment Procedure - Bins
Page 1 of 2
AB CDE F
Row Index
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
COL C * COL
D)Index Source
1 Labor 26.250 27.040 3.0095% 25.000%0.75% Note 10
2 Fuel 230.298 299.751 30.1577% 5.000%1.51%
3 Equipment 153.450 156.743 2.1459% 20.000%0.43%
4 Other (Except Material Handling) 288.798 305.458 5.7687% 33.000%1.90%
5 Total Collection Component 83.000% 4.593%
GH I JK L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
COL G * COL
H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
COL J * COL K)
6 Refuse [FACILTY NAME] 7,662.1 $75.00 574,658 6,895.9 $78.75 543,051
7 Recycling [FACILITY NAME] 3,708.4 $90.00 333,756 3,708.4 $94.50 350,444
8 Organics [FACILITY NAME] $90.00 - 766.2 $94.50 72,407
9 Unused - - -
10 Totals 11,371 $908,414 11,371 $965,902
11 Prior Period Index Value (G11 / I11) >> $79.8921 ew Index Value (J11 / L11) >>$84.9481
MN OPQ
Row Index
Previous
Index Value
COL I, ROW
11)
New Index
Value
COL K, ROW
11)
Percent
Change in
Index
COL N - COL
M) / COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 79.8921 84.9481 6.3284% 17.00%1.08%
RS TUV
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL R + COL S)
Maximum
5% any Rate
Year
Next
Period
Carryover)
Total
Permitted
Percentage
Rate
Adjustment
COL T - COL U)
13 Collection Component 4.5931%
14 Material Handling Component 1.0758%
15 Total 5.6690% 0.0000% 5.6690% 0.6690% 5.0000%
STEP Five: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
WX TZAA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in
Cost
Components
W * X)
Cost
Component
Increased
W + T)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.8992%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0172%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8554%
19 Other (Except Material Handling) 33.0000% 1.9037% 0.6282% 33.628%33.2425%
20 Material Handling Component 17.0000% 1.0758% 0.1829% 17.183% 16.9858%
21 Total 100.00% 5.67% 1.16% 101.16% 100.00%
STEP ONE: Calculate Collection Component Percentage Change
STEP TWO: Calculate Material Handling Component Index
STEP THREE: Calculate Percentage Change in Weighted Material Handling Index
STEP FOUR: Calculate the Permitted Percentage Rate Change
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 583
Exhibit 2B
Rate Adjustment Procedure - Bins
Page 2 of 2
1)
2)
3)
4)
5)
6)
7)
8) The "Gate Fees" values shall be the most current per ton rate charged at each facility.
9)
10)
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value"
shall be the indices values from the previous year's rate adjustment application.
Note: For Contractor owned facilities, Gate fees will be negotiated based on an index for disposal and transportatio
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average
value of the indices for the year ending December 2025.
Labor: Driver rates based on labor agreement.
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings"
shall be as calculated in COL AA, ROWS 16-20.
Post collection facilities planned for use under this agreement.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will be set based on
Contractor's Proposal.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Tonnage"
values shall be the values from previous year's rate application.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will be set based on
Contractor's Proposal.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Gate Fee"
values shall be the values from previous year's rate application.
The Tonnage for each facility shall be the total tons delivered to the facility for the previous 12 month period
ending December 31st.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
References to Indices are as follows:
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not
seasonally adjusted.
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban
consumers, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 584
Exhibit 2A
Rate Adjustment Procedure - Roll-Offs
Page 1 of 1
AB C D EF
Row Index
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
COL C * COL
D)
Index
Source
1 Labor 26.250 27.040 3.0095% 30.000%0.90% Note 5
2 Fuel 230.298 299.751 30.1577% 6.000%1.81%
3 Equipment 153.450 156.743 2.1459% 25.000%0.54%
4 Other (Except Material Handling) 288.798 305.458 5.7687% 39.000%2.25%
5 Total Collection Component 100.000% 5.499%
GH I J K
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed Carry
Over Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL G + COL
H)
Maximum 5%
any Rate Year
Next Period
Carryover)
Total
Permitted
Percentage
Rate
Adjustment
COL I - COL H)
6CollectionComponent 5.4986% 0.0000% 5.4986% 0.4986% 5.0000%
LMN O P
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to Rate
Adjustment
Increase in
Cost
Components
L * M)
Cost
Component
Increased
L + N)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
7 Labor 30.0000% 0.9029% 0.2709% 30.271% 29.8556%
8 Fuel 6.0000% 1.8095% 0.1086% 6.109% 6.0248%
9 Equipment 25.0000% 0.5365% 0.1341% 25.134% 24.7893%
10 Other (Except Material Handling) 39.0000% 2.2498% 0.8774% 39.877%39.3304%
11 Total 100.00% 5.50% 1.39% 101.39% 100.00%
1)
2)
3)
4)
5)References to Indices are as follows:
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall
be as calculated in COL P, ROWS 7-10.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
STEP ONE: Calculate Collection Component Percentage Change
STEP TWO: Calculate the Permitted Percentage Rate Change
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value
of the indices for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall
be the indices values from the previous year's rate adjustment application.
STEP Three: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban
consumers, not seasonally adjusted.
Labor: Driver rates based on labor agreement.
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not
seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 585
Exhibit 2D
Rate Adjustment Procedure - COther Rates
Page 1 of 1
AB C D E F G
Row Index
Previous
Index
Value 1
New
Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL C + COL
D)
Maximum 5%
any Rate
Year
Next Period
Caryover)
Total
Permitted
Percentage
Rate
Adjustment
COL E - COL F)
1 CPI 288.798 305.458 5.7687%0.0000% 5.7687% 0.7687% 5.0000%
1)
2)
3)
4)
STEP ONE: Calculate Percentage Change in Index
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual
average value CPI CUURS49ASAL1E for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index
Value" shall be the index value from the previous year's rate adjustment application.
The "New Index Value" shall be the annual average value of the CPI CUURS49ASAL1E ending December of
the prior year.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
Index shall be the CPI CUURS49ASA0L1E All items less food and energy in Los Angeles-Long Beach-Anaheim,
CA, all urban consumers, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 586
EXHIBIT 2E
Example Calculaon for
Average Annual Change in Published Indices
Fuel Index
The fuel rate adjustment index is calculated using the “average annual change” as demonstrated in the
example below, measured for the 12 months ending December prior to the Rate Year anniversary date
compared to the 12 months ending December in the previous year. The Bureau of Labor Stascs
publishes the Producer Price Index for Fuels and Related Products and Power – Natural Gas. In the
example below, the average annual index for the 12 months ended December 2022 of 299.7508 is
entered in Column B, Row 2, “New Index Value,” of the example rate adjustment formula in Exhibit 2A,
and the average annual index for the 12 months ended December 2021 of 230.2982 is entered in
Column A, Row 2, “Previous Index Value” in Exhibit 2A. This would have resulted in a 30.1577% increase
to the fuel component of rates as calculated in Column C, Row 2 of Exhibit 2A.
PPI Commodity Data
Series Id: WPU05522101
Not Seasonally Adjusted
Series Title: PPI Commodity data for Fuels and related products and power-Commercial natural gas,
not seasonally adjusted
Group: Fuels and related products and power
Item: Commercial natural gas, Pacific
Base Date: 199012
Source: hps://data.bls.gov/meseries/WPU05522101
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual
2013 184.3000 185.4000 183.2000 187.5000 190.8000 189.7000 186.2000 184.3000 181.9000 183.6000 190.3000 189.3000 186.3750
2014 195.0000 202.2000 216.3000 209.1000 206.2000 201.6000 203.1000 197.1000 195.3000 191.4000 193.6000 198.3000 200.7667
2015 196.6000 189.8000 183.1000 175.0000 169.3000 173.6000 173.5000 174.9000 171.0000 170.4000 171.1000 171.1000 176.6167
2016 173.1000 171.4000 164.2000 163.2000 161.4000 161.7000 170.3000 176.5000 176.5000 178.5000 183.4000 184.5000 172.0583
2017 192.1000 190.7000 188.5000 188.8000 188.1000 190.2000 187.4000 187.3000 185.8000 184.8000 190.9000 194.0000 189.0500
2018 193.1000 201.0000 195.8000 190.5000 184.6000 183.7000 185.1000 188.9000 186.1000 185.1000 191.3000 203.0000 190.6833
2019 203.5000 199.7000 198.5000 193.8000 187.0000 186.6000 185.4000 188.5000 184.4000 185.6000 190.9000 193.4000 191.4417
2020 195.1000 191.2000 187.3000 180.7000 178.8000 180.7000 178.5000 181.4000 185.6000 184.8000 200.8000 202.2000 187.2583
2021 206.2000 208.3000 212.7000 213.9000 215.9000 222.1000 223.6250 232.5240 238.5540 254.8440 267.3180 267.6130 230.2982
2022 269.8120 267.5040 265.5180 273.0230 291.6530 317.0510 306.7300 321.1900 330.3090 317.9990 312.2300 323.9900 299.7508
2023 363.911(P) 318.226(P) 284.739(P) 260.845(P)
Percent Change in Index (299.7508 - 230.2982) / 230.2982 30.1577%
7.2.a
Packet Pg. 587
EXHIBIT 2E
Example Calculaon for
Average Annual Change in Published Indices
Equipment Index
The PPI rate adjustment index is calculated using the “average annual change” as demonstrated in the
example below, measured for the 12 months ending December prior to the Rate Year anniversary date
compared to the 12 months ending December in the previous year.
In the example below, the average annual index for the 12 months ended December 2022 of 156.743 is
entered in Column B, Row 3, “New Index Value,” of the example rate adjustment formula in Exhibit 2A,
and the average annual index for the 12 months ended December 2021 of 153.45 is entered in Column
A, Row 3, “Previous Index Value” in Exhibit 2A. This would have resulted in a 2.146% increase to the
Other cost category of the rates as calculated in Column C, Row 3 of Exhibit 2A.
PPI Industry Data
Series Id: PCU33612-33612-
Series Title: PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted
Industry: Heavy duty truck manufacturing
Product: Heavy duty truck manufacturing
Base Date: 200312
Source: hps://data.bls.gov/
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual
2013 136.100 135.800 135.600 135.200 136.000 136.800 137.000 136.800 136.800 138.000 138.500 138.300 136.742
2014 138.800 139.200 139.300 139.100 139.100 139.100 139.100 139.400 139.400 139.600 139.700 139.600 139.283
2015 140.700 140.900 141.900 141.900 141.700 141.700 142.300 142.400 142.400 142.500 142.700 142.900 142.000
2016 144.300 144.300 144.200 144.600 144.800 144.600 144.600 144.800 145.200 145.000 145.200 145.400 144.750
2017 147.800 147.600 147.400 148.200 148.200 147.300 147.600 147.700 147.400 147.000 147.400 147.500 147.592
2018 147.600 148.500 148.700 148.500 148.800 148.800 149.200 150.300 150.300 150.300 150.300 150.300 149.300
2019 150.500 150.500 150.500 150.500 150.500 150.500 151.100 151.100 151.100 151.100 151.100 151.100 150.800
2020 151.800 151.800 151.800 151.800 151.800 151.800 152.600 152.600 152.600 152.700 152.700 152.900 152.242
2021 152.900 152.900 153.000 153.100 153.200 153.400 153.450 153.786 153.786 153.838 154.022 154.022 153.450
2022 154.646 154.701 154.701 154.701 156.845 157.527 157.546 157.683 157.743 158.147 158.232 158.446 156.743
2023 158.594 (P) 159.49(P) 159.491(P) 159.796(P)
Percent Change in Index (156.743 - 153.450) / 153.450 2.146%
7.2.a
Packet Pg. 588
EXHIBIT 2E
Example Calculaon for
Average Annual Change in Published Indices
CPI Index
The CPI rate adjustment index is calculated using the “average annual change” as demonstrated in the
example below, measured for the 12 months ending December prior to the Rate Year anniversary date
compared to the 12 months ending December in the previous year.
In the example below, the average annual index for the 12 months ended December 2022 of 305.458 is
entered in Column B, Row 4, “New Index Value,” of the example rate adjustment formula in Exhibit 2A,
and the average annual index for the 12 months ended December 2021 of 288.798 is entered in Column
A, Row 4, “Previous Index Value” in Exhibit 2A. This would have resulted in a 5.7987% increase to the
Other cost category of the rates as calculated in Column C, Row 4 of Exhibit 2A.
CPI for All Urban Consumers (CPI-U)
Series Id: CUURS49ASA0L1E
Not Seasonally Adjusted
Series Title: All items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not
seasonally adjusted
Area: Los Angeles-Long Beach-Anaheim, CA
Item: All items less food and energy
Base Period: 1982-84=100
Source: hps://data.bls.gov/meseries/CUURS49ASA0L1E
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual
2013 236.321 236.585 237.113 236.908 237.043 236.819 236.625 237.591 237.654 238.825 238.064 237.852 237.283
2014 239.084 239.908 240.322 240.507 240.366 240.460 240.981 241.574 242.016 242.360 241.842 241.491 240.909
2015 242.003 242.806 243.957 244.138 244.800 245.236 245.394 245.896 246.488 247.539 248.120 248.140 245.376
2016 249.652 251.059 251.438 251.672 253.179 253.074 253.042 253.775 253.898 254.388 253.711 253.882 252.731
2017 256.209 257.518 257.903 258.472 258.872 258.924 260.020 260.698 261.277 262.829 262.656 262.960 259.862
2018 264.641 266.332 267.434 267.945 268.532 268.094 268.484 268.939 271.259 271.982 271.552 270.898 268.841
2019 273.579 273.716 274.954 276.185 276.421 277.384 277.590 278.131 278.935 279.732 279.781 278.812 277.102
2020 281.022 282.124 280.815 280.885 281.340 282.329 283.839 283.752 282.712 283.055 283.873 282.907 282.388
2021 282.846 282.860 283.389 286.255 287.323 288.958 290.279 290.327 291.056 292.702 294.154 295.428 288.798
2022 298.501 299.588 300.952 302.803 304.024 306.206 306.958 308.463 309.292 310.310 309.578 308.824 305.458
2023 312.000 313.159 313.828 316.523
Percent Change in Index (305.458 - 288.798) / 288.798 5.7687%
7.2.a
Packet Pg. 589
EXHIBIT 6
CORPORATE GUARANTY
Guaranty
THIS GUARANTY (the “Guaranty) is given as of the ___ day of ___________, 2022.
THIS GUARANTY is made with reference to the following facts and circumstances:
A. ______________________, hereinaer (“Owner”) is a _______________________ organized
under the laws of the State of ___________, which is wholly owned by _______________________.
Guarantor).
B. Owner and the City have negoated an Agreement for Collecon, processing, and Disposal of
Solid Waste dated as of __________ ____, (hereinaer “Agreement ”). A copy of this Agreement is
aached hereto.
C. It is a requirement of the Agreement, and a condion to the City entering into the Agreement,
that Guarantor guaranty Owner’s performance of the Agreement.
D. Guarantor is providing this Guaranty to induce the City to enter into the Agreement.
NOW, THEREFORE, in consideraon of the foregoing, Guarantor agrees as follows:
1. Guaranty of the Agreement. Guarantor hereby irrevocably and uncondionally guarantees to
the City the complete and mely performance, sasfacon and observaon by Owner of each and every
term and condion of the Agreement which Owner is required to perform, sasfy or observe. In the
event that Owner fails to perform, sasfy or observe any of the terms and condions of the Agreement,
Guarantor will promptly and fully perform, sasfy or observe them in the place of the Owner or cause
them to be performed, sasfied or observed. Guarantor hereby guarantees payment to the City of any
damages, costs or expenses which might become recoverable by the City from Owner due to its breach
of the Agreement.
2. Guarantor’s Obligaons Are Absolute. The obligaons of the Guarantor hereunder are direct,
immediate, absolute, connuing, uncondional and unlimited, and with respect to any payment
obligaon of Owner under the Agreement, shall constute a guarantee of payment and not of collecon,
and are not condional upon the genuineness, validity, regularity or enforceability of the Agreement. In
any acon brought against the Guarantor to enforce, or for damages for breach of, its obligaons
hereunder, the Guarantor shall be entled to all defenses, if any, that would be available to the Owner in
7.2.a
Packet Pg. 590
EXHIBIT 6
CORPORATE GUARANTY
an acon to enforce, or for damages for breach of, the Agreement (other than discharge of, or stay of
proceedings to enforce, obligaons under the Agreement under bankruptcy law).
3. Waivers. Except as provided herein the Guarantor shall have no right to terminate this Guaranty
or to be released, relieved, exonerated or discharged from its obligaons under it for any reason
whatsoever, including, without limitaon: (1) the insolvency, bankruptcy, reorganizaon or cessaon of
existence of the Owner; (2) the actual or purported rejecon by a trustee in bankruptcy of the
Agreement, or any limitaon on any claim in bankruptcy resulng from the actual or purported
terminaon of the Agreement; (3) any waiver with respect to any of the obligaons of the Agreement
guaranteed hereunder or the impairment or suspension of any of the City’s rights or remedies against
the Owner; or (4) any merger or consolidaon of the Owner with any other corporaon, or any sale,
lease or transfer of any or all the assets of the Owner. Without liming the generality of the foregoing,
Guarantor hereby waives the rights and benefits under California Civil Code Secon 2819.
The Guarantor hereby waives any and all benefits and defenses under California Civil Code Secon 2846,
2849, and 2850, including without limitaon, the right to require the City to (a) proceed against Owner,
b) proceed against or exhaust any security or collateral the City may hold now or hereaer hold, or (c)
pursue any other right or remedy for Guarantor’s benefit, and agrees that the City may proceed against
Guarantor for the obligaons guaranteed herein without taking any acon against Owner or any other
guarantor or pledgor and without proceeding against or exhausng any security or collateral the City
may hold now or hereaer hold. City may unqualifiedly exercise in its sole discreon any or all rights and
remedies available to it against Owner or any other guarantor or pledgor without impairing the City’s
rights and remedies in enforcing this Guaranty.
The Guarantor hereby waives and agrees to waive at any future me at the request of the City to the
extent now or then permied by Applicable Law, any and all rights which the Guarantor may have or
which at any me hereaer may be conferred upon it, by statute, regulaon or otherwise, to avoid any
of its obligaons under, or to terminate, cancel, quit or surrender this Guaranty. Without liming the
generality of the foregoing, it is agreed that the occurrence of any one or more of the following shall not
affect the liability of the Guarantor hereunder: (a) at any me or from me to me, without noce the
Guarantor, performance or compliance herewith is waived; (b) any other of any provision of its
Agreement indemnificaon with respect to Owner’s obligaons under the Agreement or any security
7.2.a
Packet Pg. 591
EXHIBIT 6
CORPORATE GUARANTY
therefore is released or exchanged in whole or in part or otherwise dealt with; or (c) any assignment of
the Agreement is effected which does not require the City’s approval.
The Guarantor hereby expressly waives diligence, presentment, demand for payment or performance,
protest and all noces whatsoever, including, but not limited to, noces of non-payment or non-
performance, noces of protest, noces of any breach or default, and noces of acceptance of this
Guaranty. If all or any poron of the obligaons guaranteed hereunder are paid or performed,
Guarantor’s obligaons hereunder shall connue and remain in full force and effect in the event that all
or any part of such payment or performance is avoided or recovered directly or indirectly from the City
as a preference, fraudulent transfer or otherwise, irrespecve of (a) any noce of revocaon given by
Guarantor or Owner prior to such avoidance or recovery, and (b) payment in full of any obligaons then
outstanding.
4. Term. This Guaranty is not limited to any period of me, but shall connue in full force and effect
unl all of the terms and condions of the Agreement have been fully performed or otherwise
discharged and Guarantor shall remain fully responsible under this Guaranty without regard to the
acceptance by the City of any performance bond or other collateral to assure the performance of
Owner’s obligaons under the Agreement. Guarantor shall not be released of its obligaons hereunder
so long as there is any claim by the City against Owner arising out of the Agreement based on Owner’s
failure to perform which has not been seled or discharged.
5. No Waivers. No delay on the part of the City in exercising any rights under this Guaranty or
failure to exercise such rights shall operate as a waiver of such rights. No noce to or demand on
Guarantor shall be a waiver of any obligaon of Guarantor or right of the City to take other or further
acon without noce or demand. No modificaon or waiver of any of the provisions of this Guaranty
shall be effecve unless it is in wring and signed by the City and by Guarantor, nor shall any waiver be
effecve except in the specific instance or maer for which itis given.
6. Aorney’s Fees. In addion to the amounts guaranteed under this Guaranty, Guarantor agrees
in the event of Guaranty’s breach of its obligaons to pay reasonable aorney’s fees and all other
reasonable costs and expenses incurred by the City in enforcing this Guaranty, or in any acon or
proceeding arising out of or relang to this Guaranty, including any acon instuted to determine the
respecve rights and obligaons of the pares hereunder.
7.2.a
Packet Pg. 592
EXHIBIT 6
CORPORATE GUARANTY
7. Governing Law: Jurisdicon. This Guaranty is and shall be deemed to be a contract entered into
in and pursuant to the laws of the State of California and shall be governed and construed in accordance
with the laws of California without regard to its conflicts oflaws, rules for all purposes including, but not
limited to, maers of construcon, validity and performance. Guarantor agrees that any acon brought
by the City to enforce this Guaranty may be brought in any court of the State of California and Guarantor
consents to personal jurisdicon over it by such courts. Guarantor appoints the following person as its
agents for service of process in California:
With a copy by cerfied mail to:
8. Severability. If any poron of this Guaranty is held to be invalid or unenforceable, such invalidity
will have not have an effect upon the remaining porons of this Guaranty, which shall be severable and
connue in full force and effect.
9. Binding On Successors. This Guaranty shall inure to the benefit of the City and its successors and
shall be binding upon Guarantor and its successors, including transferee(s) of substanally all of its
assets and its shareholder(s) in the event of its dissoluon or insolvency.
10. Authority. Guarantor represents and warrants that it has the corporate power and authority to
give this Guaranty, that its execuon of this Guaranty has been authorized by all necessary acon under
its Arcle of Incorporaon and By-Laws, and that the person signing this Guaranty on its behalf has the
authority to do so.
11. Noces. Noce shall be given in wring, deposited in the U.S. mail, registered or cerfied, first
class postage prepaid, addressed as follows:
To the City: City Manager
7.2.a
Packet Pg. 593
EXHIBIT 6
CORPORATE GUARANTY
City of Diamond Bar
21810 Copley Driver
Diamond Bar, CA 91765
with a copy to the City Counsel at the same address.
To the Guarantor: ___________
By: ______________________
tle)
By: ______________________
tle)
7.2.a
Packet Pg. 594
EXHIBIT 7
CONTRACTOR’S FAITHFUL PERFORMANCE BOND
Guaranty
KNOW ALL MEN BY THESE PRESENTS:
That , a California , as PRINCIPAL, and ,
a Corporaon organized and doing business by
virtue of the laws of the State of California, and duly licensed for the purpose of making,
guaranteeing, or becoming sole surety upon bonds or undertakings required or authorized by
the laws of the State of California, as SURETY, are held and firmly bound to City, hereinaer
called OBLIGEE, in the penal sum of one-hundred twenty-five thousand dollars ($125,000) lawful
money of the United States, for the payment of which, well and truly to be made, we and each
of us hereby bind ourselves, and our and each of our heirs, executors, administrators,
successors, and assigns, jointly and severally, firmly by these presents.
NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH THAT:
WHEREAS, the above bounden PRINCIPAL has entered into a contract, entled "SOLID WASTE
SERVICE FOR THE CITY OF DIAMOND BAR" with City, to do and perform the following work, to
wit: Collect, Process and Dispose of Solid Waste generated within City, in accordance with the
contract.
NOW, THEREFORE, if the above bounden PRINCIPAL shall well and truly perform, or cause to be
performed each and all of the requirements and obligaons of said contract to be performed by
said PRINCIPAL, as in said contract set forth, then this BOND shall be null and void; otherwise it
will remain in full force and effect.
And the said Surety, for value received hereby spulates and agrees that no change, extension of
me, alteraon or addion to the terms of the contract or to the work to be performed
thereunder or the specificaons accompanying the same shall inany wise affect its obligaons
on this BOND, and it does hereby waive noce of any such change, extension of me, alteraon
or addion to the terms of the contract or to the work or to the specificaons.
7.2.a
Packet Pg. 595
EXHIBIT 7
CONTRACTOR’S FAITHFUL PERFORMANCE BOND
In the event suit is brought by OBLIGEE to enforce the provisions of this bond, said Surety will
pay to OBLIGEE a reasonable aorney’s fee, plus costs of suit, in an amount to be fixed by the
court.
IN WITNESS WHEREOF, said PRINCIPAL and said SURETY have caused these presents to be duly signed
and sealed this DAY OF 20 .
a California Corporaon SURETY
By: By:
PRINCIPAL) (ATTORNEYINFACT)
SEAL) (SEAL)
7.2.a
Packet Pg. 596
Exhibit 2A
Rate Adjustment Procedure - SFD Carts
Page 1 of 9
AB CD E F
Row Cost Category
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
COL C * COL D)Index Source
1 Labor 26.250 27.040 3.0095% 25.000%0.75% Note 10
2 Fuel 230.298 299.751 30.1577% 5.000%1.51%
3 Equipment 153.450 156.743 2.1460% 20.000%0.43%
4 Other (Except Material Handling) 288.798 305.458 5.7687% 27.000%1.56%
5 Total Collection Component 77.000% 4.247%
GH I J K L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
COL G * COL
H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
COL J * COL K)
6 Refuse [FACILTY NAME] 14,643.4 $75.00 1,098,255 14,643.4 $78.75 1,153,168
7 Recycling [FACILITY NAME] 3,640.1 $90.00 327,609 3,640.1 $94.50 343,989
8 Organics [FACILITY NAME] 7,040.9 $90.00 633,681 7,040.9 $94.50 665,365
9 Unused - - -
10 Totals 25,324 $2,059,545 25,324 $2,162,522
11 Prior Period Index Value (G11 / I11) >> $81.3265 New Index Value (J11 / L11) >> $85.3928
MN OP Q
Row Cost Category
Previous
Index Value
COL I, ROW
11)
New Index
Value
COL K, ROW
11)
Percent
Change in
Index
COL N - COL
M) / COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 81.3265 85.3928 5.0000% 23.00%1.15%
RS TU V
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL R + COL S)
Maximum
5% any Rate
Year
Next
Period
Carryover)
Total Permitted
Percentage Rate
Adjustment
COL T - COL U)
13 Collection Component 4.2470%
14 Material Handling Component 1.1500%
15 Total 5.3970% 0.0000% 5.3970% 0.3970% 5.0000%
WX T Z AA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in
Cost
Components
W * X)
Cost
Component
Increased
W + T)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.9302%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0234%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8802%
19 Other (Except Material Handling) 27.0000% 1.5576% 0.4205% 27.421%27.1398%
20 Material Handling Component 23.0000% 1.1500% 0.2645% 23.265% 23.0263%
21 Total 100.00% 5.40% 1.03% 101.03% 100.00%
STEP TWO: Calculate Material Handling Component Index
STEP ONE: Calculate Collection Component Percentage Change
STEP THREE: Calculate Percentage Change in Weighted Material Handling Index
STEP FOUR: Calculate the Permitted Percentage Rate Change
STEP FIVE: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 597
Exhibit 2A
Rate Adjustment Procedure - SFD Carts
Page 2 of 9
AB AC AD AE
Row Rate Category Current Rate
Permitted
Percentage
Change (from
Row 15
Column V)
Rate Increase
or Decrease
Column AB x
Column AC)
Adjusted
Rate
Column AB
Column
AD)
22 25.00$ 5.0000% 1.25 26.25$
23 25.00$ 5.0000% 1.25 26.25$
24 25.00$ 5.0000% 1.25 26.25$
STEP SIX: Calculate the Adjusted Rate
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 598
Exhibit 2A
Rate Adjustment Procedure - SFD Carts
Page 3 of 9
1)
2)
3)
4)
5)
6)
7)
8) The "Gate Fees" values shall be the most current per ton rate charged at each facility.
9)
10)
Note: For Contractor owned facilities, Gate fees will be negotiated based on an index for disposal and transportation
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not
seasonally adjusted.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
References to Indices are as follows:
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Gate Fee"
values shall be the values from previous year's rate application.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban
consumers, not seasonally adjusted.
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value
of the indices for the year ending December 2025.
The Tonnage for each facility shall be the total tons delivered to the facility for the previous 12 month period
ending December 31st.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value"
shall be the indices values from the previous year's rate adjustment application.
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
Post collection facilities planned for use under this agreement.
Labor: Driver rates based on labor agreement.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will be set based on
Contractor's Proposal.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will be set based on
Contractor's Proposal.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Tonnage"
values shall be the values from previous year's rate application.
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall
be as calculated in COL AA, ROWS 16-20.
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 599
Exhibit 2B
Rate Adjustment Procedure - Bins
Page 4 of 9
AB CDE F
Row Index
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
COL C * COL
D)Index Source
1 Labor 26.250 27.040 3.0095% 25.000%0.75% Note 10
2 Fuel 230.298 299.751 30.1577% 5.000%1.51%
3 Equipment 153.450 156.743 2.1459% 20.000%0.43%
4 Other (Except Material Handling) 288.798 305.458 5.7687% 33.000%1.90%
5 Total Collection Component 83.000% 4.593%
GH I JK L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
COL G * COL
H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
COL J * COL K)
6 Refuse [FACILTY NAME] 7,662.1 $75.00 574,658 6,895.9 $78.75 543,051
7 Recycling [FACILITY NAME] 3,708.4 $90.00 333,756 3,708.4 $94.50 350,444
8 Organics [FACILITY NAME] $90.00 - 766.2 $94.50 72,407
9 Unused - - -
10 Totals 11,371 $908,414 11,371 $965,902
11 Prior Period Index Value (G11 / I11) >> $79.8921 ew Index Value (J11 / L11) >>$84.9481
MN OPQ
Row Index
Previous
Index Value
COL I, ROW
11)
New Index
Value
COL K, ROW
11)
Percent
Change in
Index
COL N - COL
M) / COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 79.8921 84.9481 6.3284% 17.00%1.08%
RS TUV
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL R + COL S)
Maximum
5% any Rate
Year
Next
Period
Carryover)
Total
Permitted
Percentage
Rate
Adjustment
COL T - COL U)
13 Collection Component 4.5931%
14 Material Handling Component 1.0758%
15 Total 5.6690% 0.0000% 5.6690% 0.6690% 5.0000%
STEP Five: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
WX TZAA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in
Cost
Components
W * X)
Cost
Component
Increased
W + T)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.8992%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0172%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8554%
19 Other (Except Material Handling) 33.0000% 1.9037% 0.6282% 33.628%33.2425%
20 Material Handling Component 17.0000% 1.0758% 0.1829% 17.183% 16.9858%
21 Total 100.00% 5.67% 1.16% 101.16% 100.00%
STEP ONE: Calculate Collection Component Percentage Change
STEP TWO: Calculate Material Handling Component Index
STEP THREE: Calculate Percentage Change in Weighted Material Handling Index
STEP FOUR: Calculate the Permitted Percentage Rate Change
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 600
Exhibit 2B
Rate Adjustment Procedure - Bins
Page 5 of 9
AB AC AD AE
Row Rate Category Current Rate
Permitted
Percentage
Change (from
Row 15
Column V)
Rate Increase
or Decrease
Column AB x
Column AC)
Adjusted
Rate
Column AB
Column
AD)
22 200.00$ 5.0000% 10.00 210.00$
23 200.00$ 5.0000% 10.00 210.00$
24 200.00$ 5.0000% 10.00 210.00$
STEP SIX: Calculate the Adjusted Rate
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 601
Exhibit 2B
Rate Adjustment Procedure - Bins
Page 6 of 9
1)
2)
3)
4)
5)
6)
7)
8) The "Gate Fees" values shall be the most current per ton rate charged at each facility.
9)
10)
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value"
shall be the indices values from the previous year's rate adjustment application.
Note: For Contractor owned facilities, Gate fees will be negotiated based on an index for disposal and transportatio
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average
value of the indices for the year ending December 2025.
Labor: Driver rates based on labor agreement.
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings"
shall be as calculated in COL AA, ROWS 16-20.
Post collection facilities planned for use under this agreement.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will be set based on
Contractor's Proposal.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Tonnage"
values shall be the values from previous year's rate application.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will be set based on
Contractor's Proposal.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Gate Fee"
values shall be the values from previous year's rate application.
The Tonnage for each facility shall be the total tons delivered to the facility for the previous 12 month period
ending December 31st.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
References to Indices are as follows:
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not
seasonally adjusted.
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban
consumers, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 602
Exhibit 2A
Rate Adjustment Procedure - Roll-Offs
Page 7 of 9
AB C D EF
Row Index
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
COL C * COL
D)
Index
Source
1 Labor 26.250 27.040 3.0095% 30.000%0.90% Note 5
2 Fuel 230.298 299.751 30.1577% 6.000%1.81%
3 Equipment 153.450 156.743 2.1459% 25.000%0.54%
4 Other (Except Material Handling) 288.798 305.458 5.7687% 39.000%2.25%
5 Total Collection Component 100.000% 5.499%
GH I J K
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed Carry
Over Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL G + COL
H)
Maximum 5%
any Rate Year
Next Period
Carryover)
Total
Permitted
Percentage
Rate
Adjustment
COL I - COL H)
6CollectionComponent 5.4986% 0.0000% 5.4986% 0.4986% 5.0000%
LMN O P
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to Rate
Adjustment
Increase in
Cost
Components
L * M)
Cost
Component
Increased
L + N)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
7 Labor 30.0000% 0.9029% 0.2709% 30.271% 29.8556%
8 Fuel 6.0000% 1.8095% 0.1086% 6.109% 6.0248%
9 Equipment 25.0000% 0.5365% 0.1341% 25.134% 24.7893%
10 Other (Except Material Handling) 39.0000% 2.2498% 0.8774% 39.877%39.3304%
11 Total 100.00% 5.50% 1.39% 101.39% 100.00%
QR S T
Row Rate Category Current Rate
Total Weighted
Percentage
Change (from
Row 6 Column
K)
Rate Increase
or Decrease
Column Q x
Column R)
Adjusted Rate
Column Q +
Column S)
12 225.00$ 5.0000% 11.25 236.25$
13 225.00$ 5.0000% 11.25 236.25$
14 225.00$ 5.0000% 11.25 236.25$
1)
2)
3)
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall
be as calculated in COL P, ROWS 7-10.
STEP ONE: Calculate Collection Component Percentage Change
STEP TWO: Calculate the Permitted Percentage Rate Change
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value
of the indices for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall
be the indices values from the previous year's rate adjustment application.
STEP THREE: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
STEP FOUR: Calculate the Adjusted Rate
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 603
Exhibit 2A
Rate Adjustment Procedure - Roll-Offs
Page 8 of 9
4)
5)References to Indices are as follows:
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban
consumers, not seasonally adjusted.
Labor: Driver rates based on labor agreement.
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not
seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 604
Exhibit 2D
Rate Adjustment Procedure - COther Rates
Page 9 of 9
AB C D E F G
Row Index
Previous
Index
Value 1
New
Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
COL C + COL
D)
Maximum 5%
any Rate
Year
Next Period
Caryover)
Total
Permitted
Percentage
Rate
Adjustment
COL E - COL F)
1 CPI 288.798 305.458 5.7687%0.0000% 5.7687% 0.7687% 5.0000%
1)
2)
3)
4)
STEP ONE: Calculate Percentage Change in Index
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual
average value CPI CUURS49ASAL1E for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index
Value" shall be the index value from the previous year's rate adjustment application.
The "New Index Value" shall be the annual average value of the CPI CUURS49ASAL1E ending December of
the prior year.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
Index shall be the CPI CUURS49ASA0L1E All items less food and energy in Los Angeles-Long Beach-Anaheim,
CA, all urban consumers, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement
7.2.a
Packet Pg. 605
Subject: Diamond Bar Addendum #2
From: Enrique Vazquez <enrique@sloanvazquez.com>
Date: 7/20/2023, 5:35 PM
To: "Quiroa, Lily" <LQuiroa@wm.com>, David Perez <DavidPerez@zerepmanagement.com>, Jesse Quintana
JesseQuintana@zerepmanagement.com>
CC: 'Alfa Lopez' <ALopez@DiamondBarCA.Gov>
Lily Quiroa,
David Perez,
Aached is Addendum #2 consisng of responses to quesons submied as of July 10, 2023.
Please acknowledge receipt.
Best regards,
Enrique Vazquez
Sloan Vazquez McAfee
626-347-3226
www.sloanvazquez.com
Aachments:
DB RFP Addendum #2.pdf 377 KB
Aachment A..pdf 1.0 MB
7.2.a
Packet Pg. 606
REQUEST FOR PROPOSALS
FOR
SOLID WASTE SERVICES
ADDENDUM #2
Issued by
Prepared by:
3002 Dow Avenue, Suite 116, Tustin, CA 92780
Office: 866.241.4533
info@sloanvazquez.com · www.sloanvazquez.com
Contact: Enrique Vazquez
enrique@sloanvazquez.com
626-347-3226
July 20, 2023
7.2.a
Packet Pg. 607
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page2
This addendum #2 to the RFP for Solid Waste Services consists of answers to questions submitted by
proposers as of July 10, 2023, the deadline to submit questions. Note that the City has attempted to
provide all information available by answering these questions.
For questions that consisted primarily of requests to modify the language of the draft agreement, you
are reminded that the process is to submit substitute language with your proposals for the City’s
consideration. This step in the process is for questions and answers and not for negotiating.
Negotiations will be limited to sections identified by proposers and for which substitute language is
provided.
For questions with a response of “Under Review”, the City will attempt to respond to these prior to the
proposal due date but is not obligated to do so. Proposers are reminded to prepare their proposal
without further answers to the questions already provided. And also include these questions in your
proposals along with substitute language.
Although the deadline to submit questions has expired, you are welcome to contact Enrique Vazquez
through DiamondBarRFP@sloanvazquez.com or at 626-347-3226 with any technical questions regarding
the worksheets. Also, if there are questions that arise during the preparation of the proposals, you may
submit additional questions and every attempt will be made to respond to them. However, there is no
guarantee that further questions will be answered. Proposer must continue the preparation of their
proposals with the information provided thus far.
RESPONSES TO QUESTIONS
Question #1:
There is subscription service for Commercial but there is none for Residential. Just confirming that
Attachment 6 Residential service count is accurate. Need senior subscription information.
Response:
Proposers are to use the residential service subscription counts that are included in Attachment 6 Form
2.1 SFD. These service counts will be used to estimate the total revenue requirement of each proposal.
The City does not have a breakdown of cart size for the 3,425 senior subscription count. For the purpose
of this RFP, it will be assumed that the 3,425 senior subscriptions are for 64-Gallon cart size.
Note: Footnote #1 incorrectly states 3,325 senior discounted accounts. This should be 3,425.
The subscription counts for commercial service included in Attachment 6 Form 2.2 Commercial Rates
represent the best-known subscription information available to the City. Each proposer must provide
their own projection of subscription levels based on their own assumptions used for the preparation of
their own proposal.
As stated in the RFP, each proposer should take whatever steps it believes are necessary to determine
the actual service requirements of the City and understand service conditions when preparing a
proposal.
7.2.a
Packet Pg. 608
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page3
Question #2:
Please clarify why there are two rates. Additionally, there does not appear to be counts for 2A.?
Response:
Rate schedule Exhibit 2A is transitional and will not be required at the start of the new agreement.
Please note that under the new agreement rates for muti-family of five or less units with cart service will
be equivalent to the SFD rates and rates for multi-family dwellings of more than five will be equivalent
to the Commercial cart rates. The 2023/24 rate schedule for both residential and commercial services is
included at Attachment A.
Question #3:
Regarding Curbside Used Oil and Oil Filter Collection and Door-to-Door HHW.
Handling hazardous materials of both types is not recommended especially oil in containers that may
break and spill onto public property. HHW is also not recommended. Residents can be given free HHW
cleanup event information sponsored by the County of Los Angeles.
In the event City still requests this service, what collection history is available for this service?
Response:
The City is requesting Door-to-Door HHW Service, Curbside Used Oil and Filter Collection, and assistance
to the City in increasing awareness of Household Hazardous Waste events by promoting the Los Angeles
County Household Hazardous Waste collections held in Diamond Bar.
7.2.a
Packet Pg. 609
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page4
The following data was provided by the existing hauler for 2022.
Waste Oil: 16 gallons
Oil Filters: Zero
At Your Door Program: 0.73 tons of trash; 9.35 Tons Recycled
E-Waste 16.6 Tons
Question #4:
Regarding the CalRecycle Compliance Fee, there may be an uneven allocation of this amount. Not sure if
there is a forecasted level of activity in each sector to allocated this cost.
CALRECYCLE Compliance Fee: Contractor shall pay to the City a CalRecycle Compliance Fee of Seven-
Hundred Fifty Thousand Dollars ($750,000) adjusted annually as described in draft Agreement Section
9.2 and 9.7. The CalRecycle Compliance Fee amount represents a reasonable allocation of the City’s
budgeted costs to comply with State mandates resulting from the enactment of AB 939 and subsequent
related legislation including, but not limited to: AB 2176 (Chapter 879, Statutes of 2004), SB 1016
Chapter 343, Statutes of 2008), AB 341 (Chapter 476, Statutes of 2011), AB 1826 (Chapter 727, Statutes
of 2014), and SB 1383 (Chapter 395, Statutes of 2016) which require jurisdictions to implement solids
waste Collection programs, meet Processing facility requirements, conduct contamination monitoring,
provide education, maintain records, submit reports, monitor compliance, conduct enforcement, and
fulfill other requirements. Should the City issue separate franchises for Residential and Commercial
services, each franchisee shall pay a minimum CalRecycle fee of Three-Hundred Seventy-Five Thousand
Dollars ($375,000).
Response:
The AB 939 Fee were allocated based on historical proportionate payments of AB 939 Fees by the
haulers.
Question #5:
Regarding the Bin Pushout Service, there needs to be a distance limit.
Response:
Proposer must prepare their proposal based on the requirements specified in the RFP. Proposers may
submit alternative proposals for the City’s consideration, however the City is under no obligation to
review or consider any alternative proposal submitted.
Question #6:
Previous says no additional charge.
7.2.a
Packet Pg. 610
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page5
Regarding charges for additional services, the Contractor’s proposed rate schedule shall include all
charges for special services, including but not limited to:
x Additional carts.
x Scout service.
x Locking bins.
x Pulling or pushing containers to a collection vehicle.
x Steam cleaning containers (excluding carts) more frequently than one time per year as
requested by the customer.
x Additional bulky item collection services.
Response:
Pulling or pushing containers to a collection vehicle shall be provided at no additional charge. Proposers
may offer rates for any ancillary services that are not specifically listed or disallowed in the RFP or the
draft agreement.
Question #7:
Regarding rate adjustments procedures, the labor category assumes there is a Labor Agreement such as
with unions. Need to modify for non union.
Response:
Noted.
Question #8:
Draft Agreement call for a ten year contract with a 24 month extension. Would the City consider a 5 year
extension or a rolling term? With the additional investment required for regulation(s) compliance most
contracts awarded in the Southern California area are acknowledging that challenge and opting for
longer terms or longer and multiple extensions.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #9:
RFP states: When language differs between the RFP Sections and the draft agreement (Attachment 1),
please confirm that the language of the draft agreement prevails.
7.2.a
Packet Pg. 611
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page6
Response:
For clarification, the statement in RFP Section 1, Page 1 which states, “If there are differences between
this RFP and the Agreement, the terms and conditions in the Agreement shall prevail” was intended to
mean differences between the RFP and the final agreement. Should proposers find differences or during
the proposal preparation process, those should be identified for further clarification.
Question #10:
Will the City please revise Attachment 6 to the RFP (for all three lines of business) to limit the disclosure
requirements of the Rate Proposal Forms or clarify that proposers are not required to provide any
information that contains protected intellectual property, confidential information, or proprietary
information? The information requested in Attachment 6 to the RFP (for each line of business) includes
information that is unrelated to this RFP or the services, as well as protected proprietary information. By
way of example only, the information requested includes profit assumptions, direct and indirect wage
and compensation related to Contractor’s employees, costs and expenses related rent, utilities,
telephone, information technology, office supplies, bad debt, accounting, legal, public outreach, and
payments to the City (other than franchise fees). The requested information is excessive and is not
typically requested in an RFP bidding process and does not have bearing on responses by proposers.
Response:
The information requested is specifically related to the proposed services requested in the RFP. It is
common for this information to be requested and based on SVM’s experience managing solid waste
procurement for municipalities, this is information has always been provided. Personal information is
not being requested. For Equipment R&M and allocated costs, proposers may enter lump sums instead
of itemizing each cost. The cost information is needed to evaluate the reasonability of the rate proposal.
Question #11:
Agreement Section 1.1, Section 14.5, Section 14.6. Will the City revise these sections to permit an
assignment by Contractor to an affiliate having the same corporate parent entity? Transfer of
Contractor’s obligations to a subsidiary or sister company will have no effect on the quality or timing of
services provided.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
7.2.a
Packet Pg. 612
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page7
Question #12:
Section 1.30. Will the City please add Excluded Waste to the definition of Container Contamination for
clarity? This section includes “non-Solid Waste items” but doesn’t specify that Excluded Waste is
prohibited.
Response:
The City is agreeable to adding Excluded Waste. Nevertheless, please provide proposed substitute
language as required under Section 5 of the RFP.
Question #13:
Section 1.59. As drafted the definition of Organic Waste is overly broad and includes material that is not
acceptable for processing by the applicable facilities. In addition, some of the products defined here are
treated as solid waste (e.g. organic textiles and carpets) or recyclables (e.g. paper products, and printing
and writing paper). Will the City revise this section accordingly or confirm that it will discuss reasonable
revision to this definition in negotiations to correctly allocate these items into their proper definitions?
Response:
The intent is to ensure compliance with AB 341, AB 1826, and SB 1383. Proposers may describe their
services and list the materials that will be included or excluded from the program. The final agreement
will be modified to reflect the programs described by the successful hauler.
Question #14:
Section 1.65. This definition is unclear and includes three total definitions: a contract definition (Exhibit
4) and conflicting statutory definitions. Will the City please revise this definition to state that Recyclables
are just those items included in Exhibit 4 for clarity and consistency.
Response:
The intent is to ensure compliance with AB 341, AB 1826, and SB 1383. Proposers may describe their
services and list the materials that will be included or excluded from the program. The final agreement
will be modified to reflect the programs described by the successful hauler.
Question #15:
Section 1.74. This definition is similar but not identical to the definition in Public Resources Code Section
40191 or Municipal Code Section 8.16.020. Will the City please revise to align this definition with
applicable law?
Response:
Under review.
7.2.a
Packet Pg. 613
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page8
Question #16:
Section 2.1. Will the City please revise this section to state: “Contractor agrees to and shall timely take
all actions that are reasonably necessary to defend the validity and enforceability of this Agreement and
shall pay all costs related to such defense in accordance with Section 11.1.” for consistency with the
indemnity provisions of this Agreement?
Response:
Under review.
Question #17:
Section 2.5. Will the City revise this section to provide for extension of the term upon written agreement
with the Contractor? Unilateral extension rights do not permit Contractor to meet and confer with the
City to discuss or account for circumstances on the ground that may warrant amendment to the
agreement and places an undue and burden on Contractor.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #18:
Section 2.7. As written, this section includes prospective and on-going obligations of Contractor, which
by definition cannot be conditions precedent to effectiveness of the Agreement. Because these
prospective and on-going obligations are addressed in subsequent sections of the agreement, will the
City permit revision to this section during negotiations to remove such prospective and on-going
obligations?
Response:
Under review.
Question #19:
Section 2.9(A). Sold or donated Organic Waste should not be exempted from the franchise because
unlike recyclables it is a putrescible waste and not a commodity, and therefore is subject to the solid
waste laws and regulations. In addition, opening the door to exempting Organic Waste from the scope
of franchise agreements will lead to conflicts with the diversion goals, indemnity obligations, and
potentially SB 1383 requirements including reporting, for example. As such, will the City remove this
organics exemption?
7.2.a
Packet Pg. 614
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page9
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #20:
Section 2.10. As drafted, this section suggests that Section 2.10.2 and Section 2.10.3 provide a rate
adjustment mechanism for City directed changes. However, these sections do not provide for an
adjustment mechanism, only certain circumstances under which adjustments are made. Will the City
please revise this section to clarify how adjustments will be made, or in the alternative, permit revision
to the agreement during negotiations to clarify how such adjustments are made?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #21:
Section 3.2.13. Will the City please clarify whether the give-a-way is intended to be of mulch (as in the
Agreement), or of compost (as on p. 7 of the May 3, 2023 version of the RFP), or some combination of
both? The type of recovered organic waste product has different cost implications.
Response:
The Draft Franchise Agreement is correct. This requirement is for a mulch give-away.
The City is required to procure 4,537 tons of recovered organic waste annually through December 31,
2026. The City can meet its procurement requirement by contracting with the hauler that uses or gives
away organic end products on the City’s behalf. To this end, proposer may offer compost give-away
service. The mulch give-away requirement may be combined with any proposed assistance to the City
with procuring recovered organic waste products as addressed in RFP Section 3.8.
Question #22:
Section 3.4. Will the City provide a historical breakdown of estimated annual hauls and tons by material
type for temporary and permanent Roll-Off Box customers? Form 2.3 appears to ask for this differential
pricing and appears to be in conflict with this section.
Response:
The City does not have the annual hauls and tons by material for temporary and permanent roll-off box
customers. PLEASE NOTE: Only provide the proposed rates in Column B. Service assumptions for
7.2.a
Packet Pg. 615
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page10
Column D in Form 2.3 Roll-Off Rates are no longer required. Roll-Off and On-Call services will be
evaluated on a per unit prices basis. Roll-Off and On-call services revenue will not be used to evaluate
total revenue requirement. Accordingly, sections that request cost information for Roll-Off and On-Call
services do not need to be filled in.
Row 1 in Form 2.3 Roll-Off Rates is requesting rates for both permanent and temporary services. Row 2
is requesting the same for customer owned equipment (roll-off boxes, compactors).
Question #23:
Will the City consider differentiating fees for open top vs. compactor Roll-Off Box services, as the latter
require additional service time?
Response:
Proposer must prepare their rate proposal based on the term specified in the RFP. Proposers may
propose alternative proposals for the City’s consideration, however the City is under no obligation to
consider or review any alternative proposal submitted.
Question #24:
Section 3.6. Will the City clarify that for Bulky Item Pickups that exceed the four Bulky Item limit for each
pick up, Contractor may charge the applicable fee on the approved rate schedule?
Will the City clarify that the cubic yards measure of Bulky Items (as on p. 6 of the May 3, 2023 version of
the RFP) is specific only to bundled yard waste products? The RFP and Section 3.6 of the agreement
appear to conflict as to the amount of acceptable Bulky Items, as some Bulky Items cannot be easily
quantified by volume.
Response:
Contractor may charge a per item fee for each bulky item that exceeds four for each pickup. Contract
may also charge a per event fee for each pickup event that exceeds four in a [calendar] year. Each event
over four includes four items at the same rate.
The reference in the RFP allowing customers to put out up to 3 cubic yards of material may be removed.
It was intended to refer to Refuse Cart Overage requirement in page 5 of the RFP and in Section 3.2.3 in
the Draft Agreement.
Question #25:
Section 3.7.1. Will the City provide a list of current and potential City locations to be serviced under this
Agreement?
Will the City please revise this section to provide that the parties will meet and confer once every two
years to assess the scope of services provided at City Facilities, and any appropriate rate adjustments
7.2.a
Packet Pg. 616
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page11
related to increased services at those facilities? As written, this section is unrestricted as to the amount
of service and the number of facilities, which is unduly burdensome on the Contractor.
Response:
The list of facilities was provided with RFP as Attachment 5. This requirement is standard in Franchise
agreements in California.
Question #26:
Section 3.7.2. Will the City please revise this section to clarify that Contractor shall provide services
under this Section for only events organized and staffed by the City, and that City-sponsored events,
organized and staffed by third parties, are excluded from this section and shall receive service from
Contractor in accordance with Section 3.7.6?
Will the City agree to a set maximum number of events on an annual basis? As written, this section is
unrestricted as to the number of events which creates an undue burden on the Contractor. In the
alternative, will the City revise this section to permit rate adjustments for changes to the scope of
services or addition of events serviced by Contractor under this section?
Will the City clarify whether Organics Carts and Bins provided by Contractor will be primarily intended
for and used exclusively by vendors under this section? Containers at public events are often extremely
contaminated resulting in significant costs to remediate.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #27:
Section 3.7.6. Will the City clarify that recycling services provided under this section to Large Venues are
provided under separate agreements? This section is unclear as drafted.
Response:
Under review.
Question #28:
Section 4.1.6(A) and (B). Will the City please change the period of overage incidents from a six-month
period to a rolling twelve-month period? A rolling twelve-month period results in more consistent
monitoring and correction of behavior.
7.2.a
Packet Pg. 617
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page12
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #29:
Section 4.1.12. Will the City please revise this section to clarify that nothing in this section requires
Contractor to provide any confidential information, proprietary information, or protected intellectual
property of Contractor?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #30:
Section 4.1.13. Will the City please replace instances of “Hazardous Material” with “Excluded Waste” (as
defined in Section 1.43)? Excluded Waste is the appropriate defined term to use in this section.
Response:
Agreed. Please include in proposal as substitute language.
Question #31:
Section 5.1. Will the City please revise this Section to clarify that Contractor will cooperate with the City
in any audits or investigation of such quantities “in accordance with the terms of this Agreement”?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #32:
Section 5.3. Will the City revise this section to remove the obligation that Contractor disclose the
revenue generated from Recyclables? Where Recyclables are sold, and for how much, is protected
proprietary information.
7.2.a
Packet Pg. 618
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page13
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #33:
Section 6.2.5. Will the City revise this section to clarify that disputes may be resolved reasonably by the
City? In addition, will the City make the second paragraph mutual regarding the Contractor’s rights or
remedies in any dispute with a third party? It is foreseeable that Contractor may have claims against
third parties that cannot be contractually limited.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #34:
Section 8.1. Will the City revise this section to state that Contractor shall conduct the data collection,
information and recordkeeping, and reporting activities under this Agreement and as required by
Applicable Law in its performance of obligations under this Agreement? As written, this section is vague
and confusing and is so generalized it makes it impossible for Contractor to determine, and ultimately
perform, its obligations under Article 8.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #35:
Section 8.2 and Section 8.3. The scope of financial records required to be disclosed under these sections,
particularly Section 8.2.2 and Section 8.3.4, is too broad and requires disclosure of confidential
information, proprietary information, and protected intellectual property. Please revise this section, or
confirm that the City is willing to discuss language during negotiations, to limit the scope of records, to
provide for review but not possession by the City of confidential or proprietary information, and to
include protections for Contractor’s confidential information, proprietary information, and protected
intellectual property.
7.2.a
Packet Pg. 619
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page14
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #36:
Section 8.2.7. Will the City remove the 90-day limitation for undercharges? This is unnecessarily punitive
to Contractor where we are billing on a quarterly basis.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #37:
Section 8.3.2(G). This section requires additional reporting above and beyond what is required by the
Agreement or by CalRecycle. Will the City add language that the additional reports must be “readily
available and related to Contractor’s performance of this Agreement”? In addition, will the City add
language that Contractor is entitled to compensation for preparing reports that may be reasonably
required but contain information or data not readily available to Contractor from records it is required
to maintain under this Agreement? Preparation of additional reports requires substantial investment of
Contractor’s resources to prepare.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #38:
Section 8.3.3(G). Will the City revise this section to clarify that RNG, as defined under SB 1383, is not
available for commercial use in the City, but may be utilized by Contractor at such time as it becomes
commercially available in the City?
Response:
The RFP does not require the use of RNG vehicles (Refer to Addendum #1 RFP section Collection Vehicle
Requirements page 11. Section 8.3.3(G) is a reporting requirement only If there something to report.
7.2.a
Packet Pg. 620
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page15
Question #39:
Section 8.4. Will the City revise this section to limit this section only to those reports, pleadings,
applications, notifications, Notice of Violation, communications, or other material relating to
Contractor’s performance of services under this Agreement that would limit or prohibit Contractor’s
performance of this Agreement? As written this section is too broad and includes all routine and
ordinary communications to such agencies that otherwise have no bearing on Contractor’s performance
under this Agreement.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #40:
Section 10.3. Will the City please revise this Section to state that any excess adjustment that has not yet
been applied to the rate in the final year of the Term will be implemented in the final rate year? In
addition, will the City clarify that should any CPI adjustment result in a negative rate adjustment, the
adjustment for that year shall be 0%, and any negative adjustment will be rolled over to be applied to
the subsequent year?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #41:
Section 10.5. Will the City please revise this Section to state that if Contractor provides reasonable
support and justification in its request for an extraordinary rate adjustment the City will not
unreasonably deny the request?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #42:
Section 11.1.1, Section 11.1.3, and Section 11.3.
7.2.a
Packet Pg. 621
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page16
Will the City revise these sections to permit Contractor to select counsel for its indemnity obligations
under the Agreement? As the party defending claims under these sections, it is paramount that the
Contractor is able to choose its counsel provided such counsel is reasonably acceptable to the City.
Further, the City has the right to choose its separate counsel under Section 11.3 if it would like to
participate in the defense of any claim, so it is appropriate that Contractor be able to appoint counsel its
counsel.
Will the City please revise this section to clarify that Contractor’s indemnity obligations are limited to
the extent permitted by Applicable Law, including without limitation, Public Resources Code Section
40059.1?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #43:
Section 11.1.2.A. Will the City please revise this section to clarify as follows:
that arise out of or are alleged to arise out of or in any way relate to any action, inaction or omission of
Contractor in its performance under this Agreement that:…”
It is appropriate to clarify the scope of the indemnity under this section to Contractor’s performance
under the Agreement.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #44:
Section 11.1.3. Will the City revise this section to remove the first sentence regarding unconditional
guarantees of compliance with the requirements of AB 939? It is not possible for any proposer to make
this guarantee as written, as the agreement contemplates circumstances where performance under the
agreement might be excused, such as Section 13.8.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
7.2.a
Packet Pg. 622
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page17
Question #45:
Section 11.6. Will the City revise this section to remove the requirement that Subcontractors meet the
insurance requirements under the Agreement, as Subcontractors are unlikely to be able to meet these
requirements. Subcontractors will also have insurance, but it is unlikely to be in the amounts required by
the City in Article 11.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #46:
Section 11.8. Will the City permit reasonable and mutually agreeable changes to the insurance
provisions of this Agreement during negotiations to align the requirements with the policies held by
proposers?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #47:
Section 12.1. Will the City discuss reasonable revisions to Section 12.1 during negotiations with
proposers? As written, this section is too broad and extremely burdensome on proposers—it is not
reasonable, practical, or possible from a liability perspective for the City to take possession Contractor’s
equipment and property, require Contractor to maintain all such equipment and property, and
employee Contractor’s employees to perform the services if the Contractor is not able to perform as
contemplated by this Section. It is more reasonable to revise this section to state that in the event that
the City reasonably determines that the accumulation of waste endangers or menaces public health,
safety, or welfare, the City may contract with a third-party to perform the services until such time as
Contractor is able resume performance. The remaining sections of this Article must be revised to align
with changes made to Section 12.1.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
7.2.a
Packet Pg. 623
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page18
Question #48:
Section 13.1. Will the City discuss reasonable revisions to this Section during negotiations to remove
duplicative events of default and clarify ambiguous standards of performance? Many of the events of
default listed in this section are co-extensive with each other, leading to confusion and ambiguity about
which standard applies.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #49
Section 13.2. Will the City revise this section to state that, for events that cannot reasonably be cured in
ten (10) Business Days or thirty (30) calendar days, as applicable, will be resolved in a reasonable time as
agreed by the parties? Some events of default may not be reasonably able to resolve in the time
prescribed and flexibility in this regard benefits both Contractor and the City.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #50:
Section 13.5. In addition to the revisions in Section 8.2 and Section 8.3, this section explicitly requires
Contractor to provide proprietary information to the City, which is unreasonable and unacceptable.
Please revise this section or confirm that the City is willing to discuss reasonable revision to this section
during negotiations to clarify that Contractor shall provide immediate access to non-confidential, non-
proprietary business records it is required to maintain under this Agreement. Contractor is not able to
provide to or put in the City’s possession confidential information, proprietary information, or protected
intellectual property.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
7.2.a
Packet Pg. 624
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page19
Question #51:
Section 13.7. Will the City please provide its basis for the amounts detailed in Section 13.7 and detail
how the City determined these amounts were a reasonable estimate of damages for the alleged failure?
Further, some damages listed in this section are determinable at the time of assessment and therefore
cannot be liquidated damages by definition, making them unlawful penalties. Other penalties are unduly
burdensome on Contractor or do not cite to particular sections of the Agreement so they are ambiguous
as to the standards and obligations required to comply. Will the City permit mutually agreeable revisions
to this Section during negotiations to resolve these issues?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #52:
Section 13.8.1. Will the City revise the language below as follows:
The interruption or discontinuance of Contractor' s services caused by one (1) or more of the events
excused shall not constitute a default by Contractor under this Agreement provided that other services
in Diamond Bar (such as and without limitation electricity, gas, water, public transportation (including
bus, tram, or train service), or Solid Waste Services) have been similarly disrupted as a direct result of
the catastrophic event.
It is reasonable and foreseeable that a Force Majeure event contemplated by this Section would impact
only solid waste services but would not impact other services delivered to properties in the City that are
delivered by pipe or by cable, such as electricity, gas, or water. Rather, public transportation, which
relies on the use of drivers and surface streets, is a much closer analog and is a more appropriate
comparison. In the alternative, please remove the language above entirely.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #53:
Section 13.8.2. Will the City revise this section to state that Contractor will provide a contingency plan
within fourteen (14) days of an event of labor unrest? Because the contingency plan depends on the
facts and circumstances of the event of labor unrest, it is not practical to provide a contingency plan in
advance of the event of labor unrest.
7.2.a
Packet Pg. 625
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page20
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #54:
Section 14.9.
This provision, as drafted, conflicts with applicable data security and privacy laws, such as the California
Consumer Privacy Act’s protection of certain information and laws protecting trade secrets and business
proprietary information. Will the City add language to this section clarifying that: (1) nothing in this
Section requires Contractor to provide to the next contractor any confidential information, proprietary
information, or trade secrets, which are otherwise protected under the Agreement; and (2) that any
such transfer must comply with applicable laws, including, but not limited to, laws regarding data
security and privacy laws?
Will the City remove the language requiring the Contractor to provide security codes used to access
garages and Bin enclosures? Customers, not Contractor, provide means of access.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
Question #55:
Section 14.18. Consistent with Section 8.2 and Section 8.3, the scope of financial records required to be
disclosed under this Agreement is unreasonably broad and requires disclosure of confidential
information, proprietary information, and protected intellectual property. Please revise this section, or
confirm that the City is willing to discuss language during negotiations to limit the scope of records, to
provide for review but not possession of confidential or proprietary information, and to include the
following language which is typical for provisions of this type:
Notwithstanding anything to the contrary, Contractor acknowledges that City is legally obligated to
comply with the California Public Records Act (“CPRA”). City acknowledges that Contractor may consider
certain records, reports, or information contained therein, which Contractor is required to provide to
City under this Agreement, to be of a proprietary or confidential nature. In such instances, Contractor
will inform City in writing of which records are considered propriety or confidential. At such time as City
receives a request for records under the CPRA or Federal Freedom of Information Act or a subpoena or
other court order requesting disclosure of records that are marked or identified by Contractor as
proprietary or confidential, City shall notify Contractor of the request, subpoena or order and of City’s
obligation and intent to provide a response within 10 days. Contractor shall within five days either: (i)
7.2.a
Packet Pg. 626
City of Diamond Bar, California Addendum #2
RFPforSolidWasteServices July20, 2023 Page21
consent in writing to the disclosure of the records; or (ii) seek and obtain, at Contractor’s sole cost and
expense, the order of a court of competent jurisdiction staying or enjoining the disclosure of the
records.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the
City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to
section for which proposers offer alternative language.
7.2.a
Packet Pg. 627
City of Diamond Bar
DŽ ŽŽ Z
Z Z Ž Ž 4
1 | Page
Container Size Monthly
Z
Standard service with 35-gallon refuse cart $31.09
Standard service with 64-gallon refuse cart $38.31
Standard service with 96-gallon refuse cart $45.96
Senior service with 35-gallon refuse cart $26.76
Senior service with 64-gallon refuse cart $33.03
Senior service with 96-gallon refuse cart $39.40
Multi Family (MF) Standard service with 35-gallon refuse cart $29.07
MF Standard service with 64-gallon refuse cart $35.82
MF Standard service with 96-gallon refuse cart $42.98
MF Senior service with 35-gallon refuse cart $25.02
MF Senior service with 64-gallon refuse cart $30.89
MF Senior service with 96-gallon refuse cart $36.84
Additional 35-gallon refuse cart $8.56
Additional 64-gallon refuse cart $12.83
Additional 96-gallon refuse cart $17.15
Additional Recycling Cart (beyond 2 carts)$2.40
Additional Green Waste Cart (beyond 1 cart) $6.06
Backyard Service Surcharge $28.40
Yard Waste Reduction Discount $4.12
Additional Special Overage Pickup >2 per year $11.56
Additional Bulky Item Pickup > allowed free $43.34
Cart Exchange (after free exchange period)$21.69
Emergency Service rates - 1 crew & 1 Trk / HR $122.85
Addendum #2 ATTACHMENT A
1 of 5
7.2.a
Packet Pg. 628
City of Diamond Bar
DŽ ŽŽ Z
Z Z Ž Ž 4
2 | Page
D Z d Ž K Monthly
Z
Container Size
Multi Family Standard service with 35-gallon refuse cart $27.39
MF Standard service with 64-gallon refuse cart $33.75
MF Standard service with 96-gallon refuse cart $40.49
MF Senior service with 35-gallon refuse cart $23.57
MF Senior service with 64-gallon refuse cart $29.10
MF Senior service with 96-gallon refuse cart $34.71
Addendum #2 ATTACHMENT A
2 of 5
7.2.a
Packet Pg. 629
City of Diamond Bar
DŽ ŽŽ Z
Z Z Ž Ž 4
3 | Page
ZŽ-Ž Ž Z
Standard Roll-Off Box - Rate per pull (including container rental)
12 to 16 yard $278.52
25 to 30 yard $267.73
40 to 45 yard $259.18
Compactor Roll-Off Box – Rate per pull (excluding compactor rental)
30 yard $413.91
40 yard $462.28
Container Rental Fee – for use in Excess of 7 days without being serviced $33.09
Processing Per Ton $86.73
Temporary Roll-Off Box, 40 yard – rate includes container rental, pull
and disposal up to 6 tons
739.29
Temporary Roll-Off Box, Low Boy – rate includes container rental, pull,
and disposal up to 6 tons
784.18
Roll-Off Box Cleaning (above one per year) $150.33
Redelivery/Return Trip Fee/Dry runs – roll-off box $194.66
Addendum #2 ATTACHMENT A
3 of 5
7.2.a
Packet Pg. 630
City of Diamond Bar
DŽ ŽŽ Z
Ž Z Approved for July 1, 2023-June 30, 2024
1 | Page
Container Size W
1234 5 6Extra
Empty
1.5 Cubic Yard $116.93 $192.17
extra bin (2) $105.24 $172.95
2 Cubic Yard $133.92 $232.18 $317.41 $410.76 $509.06 $594.29 $51.12
extra bin (2)$120.51 $208.95 $285.68 $369.70 $458.16 $534.85
3 Cubic Yard $165.80 $274.87 $385.95 $501.08 $614.18 $749.59 $59.20
extra bin (2)$149.21 $247.35 $347.36 $450.96 $552.78 $674.64
4 Cubic Yard $209.91 $337.83 $468.66 $667.48 $798.32 $969.71 $67.31
extra bin (2)$188.90 $304.04 $421.77 $600.72 $718.50 $872.75
6 Cubic Yard $250.56 $413.90 $579.35 $842.02 $1,005.40 $1,214.53 $78.18
extra bin (2)$225.50 $372.52 $521.41 $757.84 $904.86 $1,093.09
Organics Cart $49.88 $99.74 $149.62 $199.49 $249.37 $299.24
Recycling – 96 gal. $21.89
Recycling – 1.5 yd.$49.75 $79.23
Recycling – 2 yd. $57.11 $95.78 $127.10 $163.98 $202.70 $235.81
Recycling – 3 yd.$82.92 $127.82 $178.40 $231.03 $282.66 $345.54
Scout Service (3) $83.81 $199.69 $299.54 $399.39 $499.23 $599.07
Z
Temporary Bin – 3
cubic yard
166.77 pull
Temporary Bin – 6
cubic yard
205.99 pull
Bin Cleaning (over
one per year)
67.15
Locking Bin, per
bin per month
14.56
Redelivery/Return
Trip Fee
129.93
Addendum #2 ATTACHMENT A
4 of 5
7.2.a
Packet Pg. 631
City of Diamond Bar
DŽ ŽŽ Z
Ž Z Approved for July 1, 2023-June 30, 2024
2 | Page
ZŽ-off Box ZŽ-Ž Ž Z
Standard Roll-Off Box - Rate per pull (including container rental)
12 to 16 yard $278.52
25 to 30 yard $267.73
40 to 45 yard $259.18
Compactor Roll-Off Box – Rate per pull (excluding compactor rental)
30 yard $413.91
40 yard $462.28
Container Rental Fee – for use in Excess of 7 days without being serviced $33.09
Processing Per Ton $86.73
Temporary Roll-Off Box, 40 yard – rate includes container rental, pull
and disposal up to 6 tons
739.29
Temporary Roll-Off Box, Low Boy – rate includes container rental, pull,
and disposal up to 6 tons
784.18
Roll-Off Box Cleaning (above one per year)$150.33
Redelivery/Return Trip Fee/Dry runs – roll-off box $194.66
Ž Z
Per
Service
Multi-Family Bulky Item Pickup – each pickup above four per year of up to four
items. (per item)
40.42
Emergency Service Rates – one crew and one collection truck (per hour) $114.47
Addendum #2 ATTACHMENT A
5 of 5
7.2.a
Packet Pg. 632
REQUEST FOR PROPOSALS
FOR
SOLID WASTE SERVICES
ADDENDUM #3
Issued by
Prepared by:
3002 Dow Avenue, Suite 116, Tustin, CA 92780
Office: 866.241.4533
info@sloanvazquez.com · www.sloanvazquez.com
Contact: Enrique Vazquez
enrique@sloanvazquez.com
626-347-3226
July 31, 2023
7.2.a
Packet Pg. 633
City of Diamond Bar, California Addendum #3
RFPforSolidWasteServices July31, 2023 Page2
This addendum #3 to the RFP for Solid Waste Services consists of answers to questions submitted by
proposers since the release of addendum #2 on July 20, 2023.
To date, the following items have been distributed to proposers.
1. RFP: May 3, 2023
2. Notification #1: May 15, 2023
3. Addendum #1: July 12, 2023
4. Addendum #2: July 20, 2023
5. Addendum #3: July 31, 2023
Reminder: Proposers must acknowledge receipt of all addenda in their proposals. This can be done in
the cover letter.
You may continue to send technical questions regarding the worksheets to
DiamondBarRFP@sloanvazquez.com or by calling Enrique Vazquez at 626-347-3226. Also, if there are
questions that arise during the preparation of the proposals, you may submit additional questions and
every attempt will be made to respond to them. However, there is no guarantee that further questions
will be answered. Proposer must continue the preparation of their proposals with the information
provided thus far.
RESPONSES TO QUESTIONS
Question #1:
I see the new res rates on the addendum. Do these effectively replace the RFP #’s or are they still
transitional rates? There’s a big jump. I take it this includes full organics program rates?
7.2.a
Packet Pg. 634
City of Diamond Bar, California Addendum #3
RFP for Solid Waste Services July 31, 2023 Page 3
RFP…
Response:
The rates entered into the worksheets reflected the approved rates at the time the RFP was prepared
and were entered into the worksheets to serve as an example of how to use the worksheet.
The addendum #2 provided the most current approved rates to inform you of the most recent approved
rates.
Proposers should enter their proposed rates into the worksheets.
There are no programmed transitional adjustments. All future adjustments to existing agreements will
be based on the procedures in the agreements.
Question #2:
Are we allowed to submit one bid package and just break out Citywide, Com, and SFD? Or do we need a
separate bid package for each?
Response:
You may submit proposals for
1) Commercial only (Fill in Attachment 6 Commercial Forms),
2) Residential only, (Fill in Attachment 6 Residential, or
3) Both residential and commercial (Fill in Attachment 6 Citywide).
If you submit option 3, you don't have to submit option 1 and 2.
Question #3:
In Form 2.2 for recycling, the non-red cells are marked at 50% of trash rate, the red cells do not have a
formula. Is this correct?
7.2.a
Packet Pg. 635
City of Diamond Bar, California Addendum #3
RFPforSolidWasteServices July31, 2023 Page4
Red cells in organics are not formula driven…the others are referencing the trash rates values.
Didn’t want to touch the aqua cells.
Response:
Commercial recycling container rates shall not exceed 50% of the rate proposed for the equivalent
container size and frequency for trash collection.
In Form 2.2, the recycling container rates beginning in row 19 shall not exceed 50% of the rate proposed
for the equivalent container size and frequency proposed for trash collection in rows 1 through 12. If
proposer is offering less than 50% than the rate proposed for trash collection, then enter the proposed
rate directly into the cell. Otherwise, either enter 50% of proposed trash rate or enter formula that
calculates 50% of the equivalent rate in rows 1 through 12.
Organics container rates shall not exceed the rate proposed for the equivalent container size and
frequency for trash collection.
In Form 2.2, the organic container rates beginning in row 28 shall not exceed the rate proposed for the
equivalent container size and frequency proposed for Trash collection in rows 1 through 12. If proposer
is offering less than the rate proposed for trash collection, then enter the proposed rate directly into the
cell. Otherwise, either enter rate equal to the proposed trash rate or enter formula the calculates 100%
of the proposed trash rates entered in rows 1 through 12.
7.2.a
Packet Pg. 636
City of Diamond Bar
REQUEST FOR PROPOSALS FOR
SOLID WASTE SERVICES
Final Report
Evaluation and Scoring of Proposals
Prepared by:
Municipal Solid Waste & Recycling Advisors
3002 Dow Avenue Suite 116
Tustin, CA 92780
Office: 714.348.6350
Fax: 714.276.0625
www.sloanvazquez.com
November 30, 2023
7.2.b
Packet Pg. 637
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page ii
TABLE OF CONTENTS
1. OVERVIEW ............................................................................................................................................. 1
1.1 RFP Goals............................................................................................................................................. 2
Process Goals: Integrity, Competition, and Industry-Standard Contract Terms .................................. 2
A. Program Goals: Quality, High-Value Programs ............................................................................. 2
B. State Diversion Requirements ...................................................................................................... 2
1.2 Participating Proposers ....................................................................................................................... 3
2. EVALUATION PROCESS .......................................................................................................................... 3
2.1 Evaluation Criteria ............................................................................................................................... 4
Responsiveness (Pass/Fail).................................................................................................................... 5
Proposer’s Qualifications ...................................................................................................................... 5
Technical Qualifications ........................................................................................................................ 5
Number And Materiality of Exceptions to the Agreement ................................................................... 6
Financial ................................................................................................................................................ 6
Rate Proposal ........................................................................................................................................ 6
3. FINDINGS ............................................................................................................................................... 7
3.1 Evaluation Scores ................................................................................................................................ 7
3.2 Overview of Revenue Requirement and Proposed Rates ................................................................... 7
3.3 City Fees .............................................................................................................................................. 9
4. PROPOSED RATES ................................................................................................................................ 10
4.1 Residential Rates ............................................................................................................................... 10
4.2 Commercial Rates ............................................................................................................................. 10
5. PROPOSAL EVALUATION ..................................................................................................................... 11
5.1 Summary of Proposer Evaluation Highlights .................................................................................... 11
VVS ...................................................................................................................................................... 12
Waste Management ........................................................................................................................... 12
5.2 Overview of Analysis for each Evaluation Criterion .......................................................................... 13
Proposer’s Qualifications .................................................................................................................... 13
Technical Qualifications ...................................................................................................................... 15
7.2.b
Packet Pg. 638
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page iii
Number and Materiality of Exceptions to Agreement ....................................................................... 18
Financial .............................................................................................................................................. 19
6. RATE PROPOSAL EVALUATION ............................................................................................................ 20
6.1 Rate Proposal Competitiveness ........................................................................................................ 21
6.2 Rate Proposal Reasonableness ......................................................................................................... 22
6.3 Combined Rate Proposal Rating ....................................................................................................... 23
TABLE OF TABLES
Table 1: Proposer Combination Options ....................................................................................................... 4
Table 2: Evaluation Criteria and Maximum Evaluation Score ....................................................................... 4
Table 3: Option Evaluation Score .................................................................................................................. 7
Table 4: Total Rate Revenue Requirement by Proposal ............................................................................... 8
Table 5: Revenue Requirement by Option .................................................................................................... 9
Table 6: Annual City Fees by Sector .............................................................................................................. 9
Table 7: Proposed Residential Rates ........................................................................................................... 10
Table 8: Proposed Commercial Rates ........................................................................................................ 11
Table 9: Proposer Staffing Overviews ......................................................................................................... 14
Table 10: Proposed Facilities ...................................................................................................................... 18
Table 11: Proposed Capital Investment ...................................................................................................... 19
Table 12: Proposed Collection Vehicles ...................................................................................................... 20
Table 13: Revenue Requirement Comptitiveness Rating ........................................................................... 21
Table 14: Revenue Requirement Reasonableness Rating .......................................................................... 23
Table 15: Combined Rate Proposal Rating .................................................................................................. 23
7.2.b
Packet Pg. 639
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 1
1. OVERVIEW
On May 3, 2023, The City of Diamond Bar released a Request for Proposals (RFP) to solicit proposals for
solid waste services from Valley Vista Services (VVS) and Waste Management, Inc. (WM). By issuing the
RFP for solid waste services, the City sought to competitively procure franchised solid waste services.
A draft solid waste services franchise agreement (Agreement) was included with the RFP that provides
definitions, contract terms, and conditions, including a complete description of the services to be
provided.
Currently, solid waste services are provided under a Residential Cart Customer Franchise Agreement
with WM and a Commercial Bin and Roll-Off Box Franchise Agreement with VVS.
WM provides collection services to residential premises that receive residential collection using carts
and for temporary roll-off box and temporary bin collection service for cleanup or construction work
performed at residential customers to whom WM provides collection service using carts. Temporary
collection service for the construction of new residences, and all work on commercial premises, and
residential premises that receive collection service using bins, are excluded from WM’s franchise
agreement.
VVS provides collection services to commercial premises and all residential premises that receive
collection using bins and including temporary bin and temporary roll-off box collection service with the
exclusion of residential premises that receive collection service using carts.
VVS and WM were exclusively invited to present a proposal to provide solid waste service to their
respective service area under the existing franchise agreements as well as a proposal to provide City-
wide solid waste services including residential, commercial, and permanent roll-off and on-call services.
The City reserves the right to invite additional proposers prior to making a final decision in the selection
of a contractor or contractors should the City determine that proposals received from VVS and WM are
inadequate to meet the City desired goals.
The City is seeking service provider(s) who can deliver efficient service while meeting the recycling
diversion targets set by the City and all requirements of State mandates. The successful contractor will
be required to execute a franchise agreement with the City. The franchise agreement will be based on
the Draft Agreement included with the RFP and may be modified to reflect the final negotiated terms
and conditions of service. (e.g., the optional programs selected; agreed upon exceptions to the draft
agreement, etc.). Services under the new agreement will commence on September 1, 2025, unless
otherwise agreed upon.
7.2.b
Packet Pg. 640
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 2
1.1 RFP Goals
As part of the development of the RFP, the City established key process and program goals. These goals
reflect the priorities and expectations of the City for the implementation of the RFP process, and the
City’s goals and objectives for future collection services.
Process Goals: Integrity, Competition, and Industry-Standard Contract Terms
Conduct the RFP process with integrity and transparency.
Stimulate competition among proposing companies.
Set high performance standards.
Ensure value for ratepayers.
Enter contract with fair terms and conditions.
The City’s approach has been conducted with integrity and transparency. The RFP has resulted in the
submission of competitive proposals with several alternative proposals.
A. Program Goals: Quality, High-Value Programs
Consistent, reliable, and quality service
Efficient service delivery that provides a strong value to the ratepayers
Responsive customer service system
Well-planned and professionally executed transition to any new programs and services.
Quality outreach and education
B. State Diversion Requirements
A program goal of special note is the City’s desire to procure effective diversion programs to ensure
compliance with regulatory requirements. The impact of the new State Law cannot be understated. SB
1383, targeting short-lived climate pollutants, includes numerous new requirements. The regulations
are highly prescriptive, with many detailed requirements. To ensure compliance with the requirements,
the state sets penalties on jurisdictions, haulers, and waste generators, ranging from $50/violation to
10,000/day. The legislation explicitly affirms that funding from the State is not required and therefore
implementation will require new revenues and will have rate impacts.
The City required proposers to include the programs and services necessary to meet the new
requirements associated with SB 1383, as well as existing mandates. These requirements include the
collection of organics (green waste and food waste) from residential, multi-family and commercial
businesses; extensive outreach, education, documentation and reporting requirements; and program
monitoring activities to evaluate effective program participation (I.e. does the amount of trash
contaminating organics exceed the allowed levels).
7.2.b
Packet Pg. 641
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 3
1.2 Participating Proposers
Proposers were invited to submit three separate rate proposals: 1) for residential sector only, 2) for
commercial sector services only, and 3) for both the residential and commercial sectors or citywide
services. Both VVS and WM submitted proposals on the established due date of August 30, 2023.
WM submitted the three separate rate proposals and in addition submitted an alternative rate proposal
for residential only and an alternative for citywide services. VVS submitted a citywide rate proposal and
clarified that their proposal included consideration for a residential only and a commercial only option.
The alternative proposals will not be evaluated at this time, however, should the City opt to negotiate
with WM, the alternative proposal will then be evaluated for consideration.
The following is a brief description of each company.
Valley Vista Services (VVS): VVS is a privately held company owned and operated by the Perez
family. Based in City of Industry, CA., VVS was formally incorporated in 1957 but has been in
business since 1957 when Manuel Perez procured his first truck and established City of Industry
Disposal. VVS cited five jurisdictions to which it currently provides solid waste services under
franchise agreements. The Perez family also owns and operates Grand Central Recycling, Inc. (GCR),
a separate corporate entity that serves as a transfer station and material recovery facility.
Waste Management (WM): WM with corporate headquarters in Houston, TX, is North America’s
largest waste hauler and recycling processor. WM also maintains a local headquarters in Baldwin
Park, CA. The company has provided similar services to more than 100 jurisdictions in Southern
California for over 40 years. Nationwide, WM’s 43,000 employees serve more than 21 million
customers throughout the U.S. and Canada. WM has been providing collection services in the City of
Diamond Bars for over thirty years.
2. EVALUATION PROCESS
Currently, WM provides solid wastes collection services only to the residential sector and VVS only to
the commercial sector.
By requesting for separate proposals for services to the residential sector only, the commercial sector
only, and for citywide services from each proposer, this procurement process allows for the
continuation of the current arrangement, that is, WM continues providing services to the residential
sector and VVS to the commercial sector. But it also allows for reversing this arrangement with VVS
providing services to the residential sector and WM to the commercial sector, or for granting an
exclusive, citywide franchise to a single contractor. As a result, there are four Options for the City to
select from resulting from the four possible combinations between VVS’s and WM’s proposals.
As listed in Table 1, Option 1 represents the current configuration, that is WM providing services only to
the residential sector and VVS only to the commercial sector. Option 2 swaps the service sectors so that
VVS provides services only to the residential sector and WM only to the commercial sector only. Under
7.2.b
Packet Pg. 642
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 4
Option 3, WM would provide citywide services under an exclusive franchise agreement. And under
Option 4, VVS would provide citywide services under an exclusive franchise agreement.
Table 1: Proposer Combination Options
Sector WM VVS
OPTION 1 (Current) Residential Only Commercial Only
OPTION 2 Commercial Only Residential Only
OPTION 3 Citywide n/a
OPTION 4 n/a Citywide
2.1 Evaluation Criteria
The evaluators consisting of Enrique Vazquez and other Sloan Vazquez McAfee (SVM) staff (the
Evaluation Team) conducted an analysis and evaluation of the four Options based on the proposals
submitted by each company on August, 2023 and other information submitted by proposers in response
to requests by the Evaluation Team.
The Evaluation Team reviewed and scored each Option based on a 1,000-point scale using the
evaluation criteria set forth in the RFP and the percentage weighting listed in Table 2.
Table 2: Evaluation Criteria and Maximum Evaluation Score
Technical Proposal Evaluation Criteria Weighting Available Points
Responsiveness to RFP Pass/Fail n/a
Proposer’s Qualifications and Experience 5.0% 50
Technical Qualifications 30.0% 300
Financial Resources 10.0% 100
Rate Proposal 50.0% 500
Exceptions to the Draft Agreement 5.0% 50
TOTAL 100.0% 1,000
Note: n/a = not applicable
The evaluation criteria, maximum score and scoring results are presented in Table 3. The six categories
and their corresponding subcategories are described below.
7.2.b
Packet Pg. 643
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 5
Responsiveness (Pass/Fail)
Proposer must be fully compliant with the RFP and procurement procedures as demonstrated by
submittal of all elements required by Sections 3 and 5 of this RFP; full completion of all rate proposal
forms; compliance with process guidelines presented in Section 4; and adherence to the code of
conduct signed by the proposer.
Proposer’s Qualifications
Collection Experience. Demonstrated experience of company providing the requested or similar
services to other jurisdictions. If the proposer is a joint venture, demonstrated experience of
parties working together.
Jurisdiction Satisfaction. Satisfaction of proposer references with services received, including
but not limited to, implementation, customer services, reporting, assistance developing
diversion programs, and working cooperatively with City staff.
Management and Customer Service Systems. Demonstrated capabilities of the company’s
existing management and customer service systems’ abilities to track and monitor contract
compliance, quality of collection service, and call center responsiveness.
Key Personnel Qualifications. Extent and relevance of the qualifications and experience of key
personnel proposed for the transition team and on-going management of collection operations.
Technical Qualifications
Implementation Plan. Reasonableness of implementation schedule and ability to meet
deadlines (e.g., reasonableness of equipment procurement schedules, implementation staffing
levels, public education program, itemized steps for initiation, roll out and maintenance of
diversion programs in all service sectors throughout the City, container/cart distribution, new
corporation or maintenance yard development, contingency plans, etc.
o Customer Service. Customer service approach, staffing levels, and City-specific training
programs.
o Billing System. Billing approach and procedures for handling customer billing activities.
o Collection Approach. Reasonableness and reliability of the proposed collection methods
e.g., technology, equipment, and containers); reasonableness of productivity and
operating assumptions (i.e., number of routes, route drivers, route hours, stops per
route, and other operating statistics), if applicable; and reasonableness of assumptions.
AB 341, AB 1826, and SB 1383 Implementation Plan. Completeness of proposed services, public
education program, roll out and maintenance of diversion programs in all service sectors
throughout the City, container/cart distribution.
Diversion Outreach and Education Programs. The nature, reliability, and innovation of
proposed diversion programs and potential of such programs to divert solid waste from landfill
disposal and meet diversion requirements. Compatibility of the proposed education program,
staffing level, and program ideas with the needs of the City; and, the quality of public education
samples relative to other proposers. Likelihood of diversion programs to meet State-mandated
outreach City of Diamond Bar, California Section 6. Proposal Evaluation RFP for Solid Waste
7.2.b
Packet Pg. 644
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 6
Services May 3, 2023 Page 32 and education, diversion monitoring and reporting and
performance measurement requirements.
Proposed Operations Facilities. Plan for providing the facilities needed for equipment storage
and parking, maintenance, and administration. Level of assurance provided, if any, about site
acquisition and timely development of necessary facilities if not proposing an existing,
operational and permitted facility.
Proposed Disposal, Transfer, and Processing Facilities. Reasonableness and reliability of the
proposed facilities for disposal, transfer, and processing of solid waste, recyclable materials, and
organic materials, including documentation of existing facility permitting/approvals and/or
guarantee of sufficient capacity for tonnage from the City service area, and the reasonableness
of proposed material transport plans.
Number And Materiality of Exceptions to the Agreement
The number, nature, and materiality of suggested changes to the Agreement will be considered in
evaluating proposals.
Financial
Financial Stability. Financial stability of proposer based on its financial ratios and other financial
considerations.
Insurance. Demonstrated ability of proposer to obtain adequate insurance.
Rate Proposal
Reasonableness of Rate Proposals. The logical relationship between proposed rates and
operational assumptions.
Competitiveness of Rate Proposals. The competitiveness of the overall revenue requirement is
evaluated relative to other proposals.
Evaluators allocated points on a percentage basis after reading, analyzing, and, if necessary, clarifying
the responses of each proposer in each of the evaluation sub-categories. The scores assigned to each of
the proposals reflect the extent to which the company fulfilled the requirements of the evaluation
criteria and the extent to which each criterion was fulfilled relative to other proposals. For example,
except for the “Rate Proposal” category, the response that evaluators deemed to be the most thorough,
complete, responsive, and/or effective was awarded the highest rating of 100%. Then, the remaining
proposals were scored based upon the evaluator’s determination of divergence (decline) from the best
rated response. Several factors were measured in each evaluation category. In some cases, responses
were deemed to be equal and were allotted the same scores.
7.2.b
Packet Pg. 645
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 7
3. FINDINGS
3.1 Evaluation Scores
The evaluation scores for each Option are presented in Table 3. Additional descriptions and analysis of
the Options provided in Sections 4 and 5. Based on this evaluation, Option 4-WM Citywide scored the
highest with 952 points out of 1,000. Option 2-VVS Resi/WM Comm came in second with 947 points out
of 1,000. Option 3 and 1 came in third and fourth, respectively.
Table 3: Option Evaluation Score
Technical Proposal Evaluation
Criteria
Available
Points
Option 1
WM-RESI
VVS-COMM
Option 2
VVS-RESI
WM-COM
Option 3
VVS
CITYWIDE
Option 4
WM
CITYWIDE
Responsiveness to RFP n/a Pass Pass Pass Pass
Proposer’s Qualifications and
Experience 50 49 49 50 48
Technical Qualifications 300 299 300 300 299
Financial Resources 100 90 90 80 100
Rate Proposal 500 440 460 453 460
Exceptions to the Draft Agreement 50 48 48 50 45
TOTAL 1,000 926 947 933 952
Ranking 4 2 3 1
3.2 Overview of Revenue Requirement and Proposed Rates
This section includes an overview of revenue requirements for each proposal and for each option or
arrangement of residential, commercial, or citywide services between VVS and WM. A comprehensive
analysis of proposed rates is provided in Section 4, and a description of the analysis of the rate proposal
and revenue requirement is provided in Section 6.
The total revenue requirement by proposer for each proposal is provided in Table 4. Also included are
the rate revenue 1 under the current franchise agreements, and comparisons of each rate proposal with
the adjusted current rate revenue. Prior to the implementation of the new agreement contemplated
with this RFP process, the current rates will be subject to an annual rate adjustment scheduled to take
effect July 1, 2024. To allow for a more realistic comparison, the current rates have been adjusted by a
1 Current rate revenue is based on current service rates and subscription levels as reported by each of the
franchisees and does not include revenue from roll-off services, temporary services, and other permitted charges.
7.2.b
Packet Pg. 646
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 8
factor of 3.0%. The proposed rate under Options 1 through 4 would take effect September 1, 2025 and
the first rate adjustment under the new franchise agreement (s) is scheduled for September 1, 2026.
The rate revenue comparison by proposer for residential only and commercial only is provided for
informational purposes only as either of those options would require services from both VVS and WM.
Table 4: Total Rate Revenue Requirement by Proposal
As already discussed, the proposed services can be configured into four possible combinations between
VVS and WM, listed as Options in Table 1.
The total revenue requirements for these four options are presented in Table 5. Included are also the
current rate revenue, adjusted rate revenue, ranking based on revenue requirement, dollar differences
from the adjusted current rate revenue, and percentage difference from the adjusted current revenue.
Based on this measure only, WM’s Citywide proposal or Option 4 with the lowest rate revenue
requirement of $8,410,415 ranks #1. The proposed rate revenue requirement for Option 4 represents a
12.9% decrease to adjusted current rate revenue. It is notable that Option 4 proposes an overall rate
revenue reduction of $1,244,900 or 22.9% to the residential sector with an overall increase of $393,004
or 15.7% to commercial rate revenue.
Option 2, with rate revenue requirement of $8,706,126, ranks as #2. Under Option 2, the haulers would
swap sectors, with VVS providing services to the residential sector and WM to the commercial sector.
The proposed rate revenue would increase by decrease by 9.8% over the adjusted current rate revenue
with residential revenue decreasing by $768,576 or 10.8% and commercial rate revenue decreasing by
180,613 or 7.2%.
VVS’s Citywide proposal or Option 3, with rate revenue requirement of $10,006,865, ranks #3,
representing an overall rate revenue increase of 3.6% over adjusted current rate revenue with
residential revenue decreasing by $768,576 or 10.8% and commercial rate revenue increasing by
1,120,127 or 44.6%.
Ranking fourth is Option 1 with total rate revenue of $10,276,865, representing an overall increase of
6.4% over adjusted current rate revenue. This option represents a continuation of the current
configuration with WM providing services to the residential and VVS to the commercial sector.
Residential rate revenue would decrease by $498,576 or 7.0% and commercial rate revenue would
increase by 1,120,127 or 44.6% over adjusted current rate revenue.
Total
Diff From
Current
Diff From
Current Total Diff
Diff From
Current
Residential Only 6,938,400 7,146,552 6,377,976 (768,576) -10.8%6,647,976 (498,576) -7.0%
Commercial Only 2,435,692 2,508,763 3,628,889 1,120,127 44.6%2,328,150 (180,613) -7.2%
Citywide 9,374,092 9,655,315 10,006,865 351,551 3.6%8,410,415 (1,244,900) -12.9%
Proposal
Current
WM-Resi
VVS-Comm
Current
Adj for
Inflation 3%
VVS WM
7.2.b
Packet Pg. 647
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 9
Table 5: Revenue Requirement by Option
3.3 City Fees
All proposals include payment of fees to the City as provided in Table 6.
Table 6: Annual City Fees by Sector
Option 1 Option 2 Option 3 Option 4
Sector
Current
WM-Resi
VVS-Comm
Current
Adj for
Inflation 3%
WM-Resi
VVS-Comm
VVS-Resi
WM-Comm
VVS
Citywide
WM
Citywide
Residential 6,938,400 7,146,552 6,647,976 6,377,976 6,377,976 5,508,648
Commercial 2,435,692 2,508,763 3,628,889 2,328,150 3,628,889 2,901,767
Total 9,374,092 9,655,315 10,276,865 8,706,126 10,006,865 8,410,415
4 2 3 1
Residential (498,576) (768,576) (768,576) (1,637,904)
Commercial 1,120,127 (180,613) 1,120,127 393,004
Total 621,551 (949,189) 351,551 (1,244,900)
Residential -7.0%-10.8%-10.8%-22.9%
Commercial 44.6%-7.2%44.6%15.7%
Total 6.4%-9.8%3.6%-12.9%
Ranking
Difference From Current Rate Revenue
Percentage Difference From Current Rate Revenue
Fee Type Residential Commercial Total
Franchise Fees $287,000 $123,000 $410,000
Cal Recycle $375,000 $375,000 $750,000
Residential Impact $175,000 $175,000
Residential Street Sweeping $175,000 $175,000
Total City Fees $1,012,000 $498,000 $1,510,000
7.2.b
Packet Pg. 648
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 10
4. PROPOSED RATES
4.1 Residential Rates
Proposed rates for standard residential cart service are provided in Table 7. Additional rates for ancillary
residential services are provided in Exhibit 1.
The first column in Table 7 provides the current rates followed by the adjusted rates and then the rates
proposed under Options 1 through 4. As noted previously, the current rates will be subject to an annual
rate adjustment scheduled to take effect July 1, 2024. The current rates have been adjusted by 3% to
allow for a more realistic comparison.
WM’s Citywide proposal or Option 4 offers the low lowest residential rates for a 64-gallon default cart
service 2. WM’s proposed residential rates represent reductions from 9.5% to 24.1% from adjusted current
rates for standard service and from 15.9% to 29.6% for senior service. VVS proposed the second lowest
residential rates under Options 2 – residential only and Option 3 – citywide. VVS’s proposed residential
rates represent reductions from adjusted current rates from 6.7% to 15.3% for standard service and from
7.5% to 20.9% for senior service.
Table 7: Proposed Residential Rates
4.2 Commercial Rates
A sample of current and proposed commercial rates for the most common commercial refuse collection
services are provided in Table 8. The current rates will be subject to an annual rate adjustment effective
July 1, 2024, a year prior to the start of the new agreement.
2 Standard service includes three 64-gallon carts: trash, recycling, and organics. Residents may choose to reduce or
increase their cart sizes according to their needs.
Rates Effective Date 1/2/2024 7/1/2024
Option 1 Option 2 Option 3 Option 4
Current
WM-Resi
VVS-Comm
Current
Adj for
Inflation 3%
WM-Resi
VVS-Comm
VVS-Resi
WM-Comm
VVS
Citywide
WM
Citywide
35-Gallon Cart $31.09 $32.02 $29.54 $29.89 $29.89 $28.99
Change from Current -7.8%-6.7%-6.7%-9.5%
64-Gallon Cart $38.31 $39.46 $36.39 $35.39 $35.39 $29.93
Change from Current -7.8%-10.3%-10.3%-24.1%
96-Gallon Cart $45.96 $47.34 $43.66 $40.11 $40.11 $36.64
Change from Current -7.8%-15.3%-15.3%-22.6%
35-Gallon Cart Senior $26.76 $27.56 $26.58 $23.91 $23.91 $23.19
Change from Current -3.6%-13.3%-13.3%-15.9%
64-Gallon Cart Senior $33.03 $34.02 $32.76 $31.46 $31.46 $23.94
Change from Current -3.7%-7.5%-7.5%-29.6%
96-Gallon Cart Senior $39.40 $40.58 $39.30 $32.09 $32.09 $29.31
Change from Current -3.2%-20.9%-20.9%-27.8%
9/1/2025
7.2.b
Packet Pg. 649
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 11
It should be noted that commercial rates cannot be fairly evaluated by comparing individual rates. The
full value of commercial services is best evaluated by comparing the revenue requirement of the entire
commercial sector based on proposed rates and subscription levels as provided in Table 5.
Table 8: Proposed Commercial Rates 3
5. PROPOSAL EVALUATION
This section provides an overview of the proposals submitted by VVS and WM. In Section 5.1, a
summary of each company’s proposal highlights is provided. Section 5.2 provides an overview of the
findings for each evaluation criterion category for both companies.
5.1 Summary of Proposer Evaluation Highlights
The following summary provides highlights of the proposal evaluations:
3 WM proposed rates are for the first bin. Second and additional bins are offered at a lower rate.
SIZE 1XWK 2XWK 3XWK 4XWK 5XWK 6XWK
2 Yard Bin $137.94 $239.15 $326.93 $423.08 $524.33 $609.03
3 Yard Bin $170.77 $283.12 $397.53 $516.11 $632.61 $772.08
4 Yard Bin $216.21 $347.96 $482.72 $687.50 $822.27 $998.80
2 Yard Bin $176.57 $326.29 $489.44 $652.58 $767.40 $874.96
3 Yard Bin $197.73 $368.62 $552.93 $737.23 $873.21 $1,001.94
4 Yard Bin $218.89 $410.94 $616.41 $821.88 $979.03 $1,128.92
2 Yard Bin $116.75 $210.15 $303.55 $396.95 $490.35 $525.32
3 Yard Bin $144.54 $260.18 $375.81 $491.45 $607.08 $722.72
4 Yard Bin $183.00 $329.40 $475.80 $622.20 $768.61 $915.01
2 Yard Bin $142.65 $256.76 $385.14 $513.53 $641.91 $770.29
3 Yard Bin $176.60 $317.89 $476.83 $635.78 $794.72 $953.67
4 Yard Bin $223.59 $402.47 $603.70 $804.94 $1,006.17 $1,207.41
CURRENT
OPTION 1 & OPTION 3: VVS CITYWIDE AND COMMERCIAL ONLY
OPTION 2: WM COMMERCIAL ONLY
OPTION 4: FROM WM CITYWIDE
7.2.b
Packet Pg. 650
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 12
VVS
VVS submitted a comprehensive, high-quality proposal that was tailored to the City of Diamond Bar’s
requirements. The following highlights from the VVS proposal provide a brief overview of some of the
primary differentiators.
Locally Owned and Community Focused. VVS described their family-owned business with over six
decades of experience, local headquarters, customer service call center, and operating facilities. The
company credits their commitment to “Satisfy the Customer at any Cost” as leading to their customers’
satisfaction.
Local Infrastructure. VVS described their local infrastructure:
Grand Central Recycling, Inc. (GCR) – A materials recovery facility owned and operated by the
Perez family as a separate corporate entity that plays a pivotal role in advancing their
comprehensive waste management strategy.
Proposed Organics Processing. GCR will serve as a hub to manage the waste streams with a
38,850 square foot expansion scheduled to be completed by July 2024 and consisting of a $25M
capital investment. This will add organics waste recovery capacity using the OREX (Organics
Extrusion Press) Technology developed by Anaergia Corporation.
Kitchen Pails. VVS will provide a 3-gallon lidded, dishwasher-safe pail with introductory roll of
pail liners and educational materials with clear program guidelines, detailing acceptable items
for both the yard waste cart and the food waste pail to all SFDs and multi-family units.
Waste Management
WM also submitted a thorough, high-quality proposal, specialized for the City of Diamond Bar. The
company emphasized its familiarity with the City while responding to the City’s new requirements. The
following highlights from the WM proposal describe some of the company’s primary differentiators.
Routing Technology. WM described their eRouteLogistics software for developing, managing, and
modifying routes. The software is used daily by the operations team to ensure that each route is well-
maintained and adjusted to reflect new developments and changes in service levels, customer counts,
and traffic patterns. eRouteLogistics displays customer locations in a user-friendly map through a variety
of coloring and labeling options and allows users to visualize existing and future routes. Updated in near
real-time, eRouteLogistics enables our route managers, drivers, dispatchers, and customer service
representatives to resolve any questions or concerns our customers or municipal partners may have
concerning routes.
Technology to Optimize Performance. WM described their operations framework, “Service Delivery
Optimization” or SDO, which focuses on four pillars of performance: Safety, Service, Savings and
Satisfaction. WM’s technology is used to define, track and measure all aspects of operations to achieve
continuous improvement. The company also emphasized their network of facilities which they
described as strategically located near Mission Viejo.
7.2.b
Packet Pg. 651
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 13
Effective Outreach and Education. The company emphasized the importance of “innovative,
personalized and proven” outreach and education to help customers in Mission Viejo navigate a major
change in services, including the significant expectations that customers separate organics and
recyclables as required by SB 1383. WM described an outreach and education campaign to engage
customers throughout the term of the new agreement.
Value, Partnership and Dedication. WM described the cost effectiveness achieved through SDO
technology and the proximity of their facilities, and how this gives them the ability to offer reasonable
rates. WM emphasized their 30 years of experience in delivering on-time, reliable services and their
ability to provide dependable services from day one of the new contract. The proposal also highlighted
the company’s stability as the largest service provider and ability to finance capital purchases and
provide “gold-standard” insurance. Additionally, WM described the dedication of their local team and
the service benefits associated with their knowledge of the City.
5.2 Overview of Analysis for each Evaluation Criterion
The following summary of findings provides highlights of the key proposal components that were
considered in the evaluation process.
Proposer’s Qualifications
Collection Experience. VVS and WM are both well qualified to provide service in the City of Diamond
Bar. Each service provider offers extensive experience in Southern California and has the local
infrastructure necessary to efficiently meet the City’s needs.
VVS cited four cities in addition to Diamond Bar including the City of La Puente, City of Cypress, City of
Walnut, and City of El Monte.
WM cited five cities including the City of Arcadia, City of La Verne, City of San Dimas, City of Baldwin
Park, and Chino Hills.
Jurisdiction Satisfaction. VVS provided the reference list above from five jurisdictions all with service
over eight years and the City of La Puente has been serviced over 29 years. WM provided the reference
list above from five jurisdictions, four of which were all with service over twelve years and City for the
Baldwin Park has been service for over 33 years. WM’s City of Chino reference from WM was only one
year old and described as the latest transition executed and transitioned in five months.
Both VVS and WM show longevity servicing these jurisdictions, which demonstrates jurisdiction
stratification.
Management and Customer Service Systems, Both VVS and WM offer customer service systems
capable of tracking and monitoring contract compliance, quality of collection service, and call center
responsiveness. Each company is exceptionally equipped with quality, industry-specific systems capable
of meeting the City’s requirements for documentation, reporting, and billing.
7.2.b
Packet Pg. 652
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 14
Both companies included digital enhancements to the customer service experience including on-line
chat, mobile application, expanded website capabilities, focus on social media and community outreach.
VVS included some new expanded customer service features:
Our Customer Service representative team comprises multilingual representatives proficient in
English, Spanish, Cantonese, Tagalog, Mandarin, and Vietnamese.
VVS uses Cisco WebEx contract center ensuring tracking calls and wait times.
Additional customer service features include live chat, mobile app, user-friendly website, social
media.
WM included some new expanded customer services features:
Interactive Voice Response (IVR) - self-service options online.
Contact Back System – get a call back, no need to wait on hold.
Live Chat support – online direct chat option.
MY WM App – application for customer to pay bills and request and schedule service.
Repeat Issues within two months, issues a ticket to management that requires accountability and
ticket closure.
Key Personnel Qualifications. VVS and WM both employ exceptionally qualified personnel possessing
decades of local industry experience.
VVS included summary resumes for 13 staff of which four had an percentage dedication to the City of
Diamond Bar equaling to 1.8 full-time employees. In their rate proposal forms, which included a budget
to support their proposed rates, VVS provided funding for 3.8 full-time employees excluding drivers.
WM included summary resumes for 19 staff of which 12 had a percentage dedication to the City of
Diamond Bar equaling to 8 FTE. In addition, WM provided summary resumes for a senior leadership
team of five. In their rate proposal forms, which included a budget to support their proposed rates, WM
provided funding for 4.8 full-time employees, excluding drivers indicating a discrepancy between
proposed FTE of 8 and budgeted FTE of 4.8.
Table 9: Proposer Staffing Overviews
VVS WM
Title % Title %
Contractor Representative 10% Public Sector Services Manager 100%
Operations Supervisor 50% Public Sector Reginal Manager 25%
Client Services Manager 20% Recycling Coordinator 25%
7.2.b
Packet Pg. 653
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 15
Additional Service Rep 100% Sustainability Manager 100%
District Manager 100%
Roll-Off Route Manager 50%
Residential Route Manager 50%
Residential Route Manager 50%
Commercial Route Manager 100%
Operations Specialists 25%
Contract Compliance Manager 25%
Maintenance Manager 100%
Full Time Equivalents 1.8 8.0
Chief Financial Officer
Controller
Human Resources Manager
Operations Manager
Risk and Safety Manager
Miantenance Manager
Government Affairs
Diversion Compliance
Coordinator
Social Media & Outreach
Coordinator
Not Indicated Area
Customer
Experience Manager Communications
Senior Manager Centralized
Dispatch Manager
Route Managers SB 1383 Team
of three Senior Leadership Team
of 5
Not Indicated Technical Qualifications Implementation Plan. Each company prepared a detailed implementation
schedule designed to meet the deadlines necessary to commence the new agreement on September 1,
2025. The plans were reviewed for reasonableness and completeness. Both VVS and
WM proposed implementation schedules capable of achieving staffing levels, procurement of equipment,
customer outreach and education program development and transition activities necessary to facilitate the
transition to new services. AB 341, AB 1826, and SB 1383 Implementation Plan. Both VVS and
WM prepared detail summaries meeting compliance with AB 341 (Commercial Recycling), AB 1826 (Organics
Recycling), and SB 1383 Organics Waste Reduction). Each companies’ proposals
addresses planning, education, diversion, implementation, reporting, and ongoing monitoring
to achieve successful
compliance. 7.2.
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 16
VVS and WM developed comprehensive programs to achieve the City’s diversion goals, ensure
regulatory compliance and respond to the new SB 1383 requirements. Each company proposed
collection programs designed to achieve the performance standards set forth in the agreement.
Additionally, the companies proposed the required dedicated recycling coordinator and prepared a
detailed outreach and education strategy to inform customers of the new requirements, promote
effective program participation and notify customers of compliance issues. VVS identified a specific staff
to serve as full-time recycling coordinator and WM committed to hire and train a qualified Recycling and
Sustainability Manager for the City of Diamond Bar.
Diversion Outreach and Education Programs. Both companies provided a thorough and comprehensive
plan for outreach and education accompanied with quality educational materials and state of the art
systems to support their programs.
VVS proposal included the following activities to promote diversion programs:
Identifying key stakeholders and conducting preliminary meetings; training sessions for city
personnel; providing information on proper sorting, container usage; targeted meetings with
property owners; tracking and monitoring diversion rates, tonnages, and conducting waste
compositions; generating regular reports to City; implementing contamination monitoring
including physical inspections, photo documentation, and customer notifications; providing
continuous assistance through helplines, online platforms, and community engagement events.
Food Rescue Collaboration including
o Stakeholder Engagement: Identifying and partnering with established food rescue
organizations.
o Targeted Awareness Campaigns: Informing residents, businesses, and food
establishments.
o Collection and Donation Process: Establishing collection routes, providing safe and
hygienic food storage and handling, collaborating with local food banks, shelters, and
community organizations.
WM proposal included the following activities to promote diversion programs:
Hiring a dedicated Recycling and Sustainability Manager
Targeted education and outreach for all sectors including conducting community workshops
including chamber, civic group, HOAs/property managers, educational institutions; distributing
educational flyers; creating how-to videos; providing City staff training including City’s contracted
janitorial service; working with code enforcement; providing City staff training on how to properly
recycle.
Incentive Programs: Residential recycling rewards, commercial recycling rewards, food recovery
program that recognizes commercial customers who work with local food recovery
organizations.
Use of Smart Truck SM program to track cart monitoring, which has been approved by CalRecycle
for tracking contaminate routes.
7.2.b
Packet Pg. 655
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 17
Conducting SB 1383 route audits and cart monitoring; conducting waste evaluations; reports to
the City; education and promotion using social media and website, conducting event education;
providing non-compliance notifications; conducting annual site visits to review compliance;
assistance to the City with waivers.
Commercial edible food recovery and donation: Create customized educational materials
highlighting how and where to participate in edible food recovery and donation.
Proposed Disposal, Transfer, and Processing Facilities. The facilities proposed by both companies meet
the requirements of the RFP. Both companies demonstrated the viability of their facility plan and have
secured the capacity necessary to manage the material collected within the City. VVS’s local
infrastructure is located in closer proximity to the City. Table 10 provides a list of the proposed facilities
to be used by proposers for landfilling and for recycling and organic waste material processing.
7.2.b
Packet Pg. 656
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 18
Table 10: Proposed Facilities
Type of Facility VVS WM
Organics GCR Materials Recovery Facility
17445 Railroad St
City of Industry, CA 91748
Materials are transported to Agromin
Organics.
Azusa Material Recycling Facility
1504 West Gladstone
Azusa, CA 91702
Material to be pre-processed and
transported to any of the following:
South Valley Compost Site
South Kern Industrial Center
Compost Facility
WM Pala Composting Facility
Ecology Compost
Recyclables Grand Central Recycling & T.S.
17445 Railroad St
City of Industry, CA 91748
Azusa Material Recycling Facility
1501 West Gladstone
Azusa, CA 91702
C&D Grand Central Recycling & T.S.
17445 Railroad St
City of Industry, CA 91748
Downtown Diversion, Inc (DDI)
2424 E. Olympic Blvd
Los Angeles, CA 90021
Maitri Road Recycling
24980 Maitri Rd.
Corona, CA 92883
Disposal El Sobrante Landfill
10910 Dawson Road
Corona, CA 91719
Olinda Alpha Landfill
1942 N. Valencia
Brea, CA 928239
El Sobrante Landfill
10910 Dawson Road
Corona, CA 91719
Transfer Grand Central Recycling & T.S.
17445 Railroad St
City of Industry, CA 91748
Pomona Valley Transfer Station
1371 E. 9th St
Pomona, CA 91766
Grand Central Recycling & T.S.
17445 Railroad St
City of Industry, CA 91748
Azusa Material Recycling Facility &
Transfer Station
1501 West Gladstone
Azusa, CA 91702
Number and Materiality of Exceptions to Agreement
VVS took no exceptions to the draft franchise agreement as published with the RFP.
WM listed two exceptions, 1) Section 105. Extraordinary Rate Adjustments, and 2) Section 13.7
Liquidated Damages. With regards to Extraordinary Rate Adjustments, WM proposed changes to the
draft franchise agreement that provides more latitude in the process for securing extraordinary rate
7.2.b
Packet Pg. 657
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 19
adjustments. Additional negotiations will be required to finalize the franchise agreement and due to
other considerations, such as their very competitive rates, SVM considers this a serious exception.
With regard to liquidated damages, WM did not propose specific changes but took exception to this
section to retain the option to discuss these items with the City during negotiations to further clarify and
resolve standards of performance and penalty amounts that WM considers ambiguous, unclear, or
excessive. SVM does not consider this exception to be difficult to resolve.
Financial
Financial Stability: VVS and WM demonstrated the financial capabilities necessary to service the City.
Based upon the review of the submitted financial statements, both companies are capable of acquiring
equipment and providing financial assurance of performance.
WM is a large national corporation with reported revenue of $19.7B for fiscal year 2022 and an asset
base of $31.4B. Based on its 2022 financial statement, WM’s current ratio calculates to 0.81 ($3,551B /
4,394B) and its debt ratio calculates to 0.78 ($24,503 / $31,367).
VVS is local corporation with reported of $115M for fiscal year 2022 for Valley Vista and Grand Central
Recycling combined and an asset base of $15.7M. Based on VVS report, its current ratio calculates to
0.84 ($15.7M / $18.6M) and its debt ratio calculates to 0.57 ($62.4M / $109.3M).
Each company’s anticipated capital investment is shown in Table 11. As the largest solid waste services
company in North America, WM’s financial capabilities exceed those of VVS, however for the purposes
of the Diamond Bar contract, both companies are financially equipped to provide the financial stability
required by the City.
Table 11: Proposed Capital Investment
Type of
Investment VVS WM
Sector Residential Commercial Total Residential Commercial Total
Vehicles $
4,981,199
11
1,253117
4
6,234,316
15
2,800,000
8
1,125,000
3
3,925,000
11
7.2.b
Packet Pg. 658
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 20
Total
Units
Containers
Carts
Pails
Bins
2,500,491
45,819
15,273
0
561,672
542
n/a
0
3,062,163 2,331,638
45,819
0
0
510,553
476
n/a
578
2,842,191
Other $0 $0 $0 $0 $80,000 $80,000
Total Capital $7,481,690 $1,814,789 $9,296,479 $5,131,638 $1,715,553 $6,847,191
Table 12 provides a list of the quantities and make and model of the collection vehicles proposed by each
company. It should be noted that for WM, the quantity of vehicles provided in Table 11 differ from those
in Table 12. The quantity and type of vehicle provided in Table 12 were taken from WM proposal while
the quantity of vehicles provided in Table 11 were taken from WM Rate Proposal forms. This is an
indication that WM’s proposal may be underpriced as it has not accounted for all the costs required to
provide the vehicles it proposes to provide.
Table 12: Proposed Collection Vehicles
Company Automated Side Load Front-End Load Scout
VVS Qty: 10
Chassis: CCC/LWT
Body: McNeilus
Cubic yard capacity: 28
Qty: 4
Chassis: CCC/LWT
Body: F.F. Gomez
Cubic yard capacity: 38
Qty: 1
Chassis: Not stated.
WM Qty: 9
Chassis: Peterbilt 520, Autocar ACX
Body: Not Stated
Cubic yard capacity: 40
Qty: 4
Chassis: Peterbilt 520, 56
Body: Not stated
Cubic yard capacity: 40
Qty: 2
Chassis: Ford F-150
6. RATE PROPOSAL EVALUATION
Proposers were required to provide detailed financial information by completing the Rate Proposal
Forms issued with the RFP. This information allows for the evaluation of the proposals rate revenue
requirements and reasonableness of their cost assumptions.
7.2.b
Packet Pg. 659
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 21
The RFP included criteria for evaluation of the Rate Proposal component of the proposals. The criteria are
described in detail under Section 2.0, Proposal Evaluation Process and are included here in summary form
for ease of reference:
Competitiveness of Cost Proposals: Cost competitiveness relative to other proposals.
Reasonableness of Cost Proposals: Logical relationship between proposed cost and operation
assumptions. Proposals were evaluated on total first-year revenue requirement.
The rate proposals were evaluated based on total revenue requirement. This is important because the
economic value of the contract cannot be assessed based on the price of a specific service. For example,
a low price quoted for the residential rate may not readily reflect the financial costs of the entire
contract. For this reason, the proposals were evaluated on the overall revenue requirement to perform
all the services required by the RFP.
6.1 Rate Proposal Competitiveness
Each rate proposal’s competitiveness was determined using a formulaic approach. First, the rates
quoted in the rate sheets by each proposer were used to project Year 1 revenue requirement. The
proposal with the lowest total revenue requirement was given a rating of 100% for competitiveness.
The remaining proposals were rated based on the percentage deviation from the proposal with the
lowest revenue requirement.
Based on this analysis Option 4-WM Citywide proposal offers the overall lowest revenue requirement
for Year 1 and therefore receives a rating of 100%. Option 2 – VVS Residential / WM Commercial offers
the second lowest revenue requirement. With a 3.0% additional requirement than Option 4, Option 2
receives a rating of 97.0%. Option 3-VVS Citywide receives a rating of 81.0% as it requires 19.0% more
rate revenue than Option 4. Option 1-WM Residential / VVS Commercial requires 21.4% more rate
revenue than Option 4 and receives a rating of 78.6%.
Table 13: Revenue Requirement Comptitiveness Rating
Proposer
Year 1
Proposed
Revenue
Difference
from Lowest
Option
Percent
Difference
from Lowest
Option
Rating
Option 4:
WM Citywide $8,410,415 $0 n/a 100.00%
7.2.b
Packet Pg. 660
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 22
Option 2:
VVS Residential
WM Commercial
8,706,126 $295,711 3.0% 97.0%
Option 3:
VVS Citywide $10,006,865 $1,596,450 19.0% 81.0%
Option 1:
WM Residential
VVS Commercial
10,276,865 $1,866,450 21.4% 78.6%
6.2 Rate Proposal Reasonableness
In addition to evaluating rate proposal competitiveness, the reasonableness of the rate proposals was
considered. The primary tool used to evaluate the reasonableness of the rate proposals was the
preparation of a financial proforma to serve as the Benchmark Proforma. Prior to the public distribution
of the RFP, SVM prepared the Benchmark Proforma to project the price for providing the services
requested in the RFP. SVM has many years of experience in preparing solid waste services rate
proformas. The model considers that there may be variations in proposer costs due to competitive
advantages or long-term arrangements they may have made that allows some of the proposers to
maintain an economic advantage. However, deviations from revenue requirement identified in the
Benchmark Proforma must be reasonably explained.
Our Benchmark Proforma indicated that the services contemplated in the RFP could reasonably be
performed with a Revenue Requirement of $10M per year, representing an increase in revenue
requirement of 20.1% from the adjusted current revenue requirement of $8.3M.
To perform the reasonableness rating for each rate proposal, the revenue requirement for each rate
proposal was compared to and rated based on the percentage deviation from the projected revenue
requirement in the Benchmark Proforma. While it was anticipated that proposers would deviate from
the Benchmark Proforma due to varying competitive advantages and/or disadvantages, deviations
greater than 20% may indicate that a proposal is significantly underpriced or overpriced. This is
important because an underpriced proposal can become problematic under a 10-year contractual
commitment. If the proposer is financially unable to sustain its operations, the City may have to consider
granting unexpected financial relief in order to minimize possible service disruptions.
Based on this analysis, Option 2 and 4 offered first year revenue requirements below the Benchmark
Proforma ranging from 13.1 to 16.0. Option 3 offered first year rate revenue at the same level as the
benchmark proforma. Option offered rate revenue above the proforma. All of these deviations are
reasonable. Option 3 came the closest to the benchmark proforma and received a rating of 100%.
Option 1 followed and received a rating of 97%. Option 2 and 4 received a rating of 87% and 84%
respectively due to their larger deviation from the benchmark proforma.
7.2.b
Packet Pg. 661
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 23
Table 14: Revenue Requirement Reasonableness Rating
Proposer
Year 1
Proposed
Revenue
Difference
from Lowest
Option
Percent
Difference from
Lowest Option
Rating
Option 4:
WM Citywide $8,410,415 ($1,606,284) -16.0% 84%
Option 2:
VVS Residential
WM Commercial
8,706,126 ($1,309,320) -13.1% 87.0%
Option 3:
VVS Citywide $10,006,865 ($3,901) 0.0% 100%
Benchmark
Proforma $10,010,766 $0 0% n/a
Option 1:
WM Residential
VVS Commercial
10,276,865 266,099 2.7% 97.0%
6.3 Combined Rate Proposal Rating
When the competitiveness and reasonableness ratings are combined, Option 4-WM Citywide ranks 1
with a 92% total. Option 2-VVS-Resi/WM Com ranks second with a 91.95% rating and followed by
Option 3-VVS Citywide and Option 1-WM Resi/WM Com.
Table 15: Combined Rate Proposal Rating
Option 1
WM-RESI
VVS-COM
Option 2
VVS-RESI
WM-COM
Option 3
VVS
CITYWIDE
Option 4
WM
CITYWIDE
Revenue Requirement -
Competitiveness 79.6% 97.0% 81.0% 100%
7.2.b
Packet Pg. 662
City of Diamond Bar Solid Waste Services RFP November 30, 2023
Evaluation Analysis Final Report Page 24
Revenue Requirement -
Reasonableness 97.3% 86.9% 100% 84.0%
Combined Rating 87.950% 91.95% 90.50% 92.0%
Ranking 4 2 3 1
7.2.b
Packet Pg. 663