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HomeMy WebLinkAboutRES CC 1998 1424 1998 0107RESOLUTION NO. 98 -1424 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MOORPARK CONSENTING TO THE TRANSFER OF A NON - EXCLUSIVE SOLID WASTE FRANCHISE FROM RUBBISH CONTROL, INC. TO RUBBISH CONTROL, INC., A WHOLLY OWNED SUBSIDIARY OF REPUBLIC INDUSTRIES, INC. WHEREAS, from July 1, 1991 through December 22, 1995, Rubbish Control, Inc., a California corporation, ( "Rubbish Control ") collected solid waste in commercial areas within the corporate boundaries of the City of Moorpark ( "the City ") pursuant to a non - exclusive franchise agreement; and WHEREAS, on December 23, 1995, the City entered into exclusive franchises agreements with parties other than Rubbish Control for the collection of solid waste in all residential, multi - family and commercial areas within the corporate boundaries of the City ( "the Franchise Agreements "); and WHEREAS, by letter dated December 29, 1995 and pursuant to Public Resources Code section 49520 ( "the PRC Letter "), the City notified Rubbish Control that it could continue to collect solid waste in commercial areas within the corporate boundaries of the City through December 31, 2000 and that the provision of such solid waste collection services would be subject to the terms and conditions of the Franchise Agreements and the rate schedules set by the City Council of the City; and WHEREAS, Republic Industries, Inc., a Delaware corporation, ( "Republic ") desires to acquire Rubbish Control as a wholly owned subsidiary of Republic; and WHEREAS, Rubbish Control has requested that the City consent to a transfer of its non- exclusive franchise to Rubbish Control, a wholly owned subsidiary of Republic; and WHEREAS, sections 16 and 17 of the Franchise Agreements govern the transfer of franchises; NOW, THEREFORE, the City Council of the City of Moorpark does resolve as follows: SECTION 1. In accordance with sections 16 and 17 of the Franchise Agreements and subject to all of the rights and duties set forth in the PRC Letter, the City Council hereby consents to the transfer of the non - exclusive franchise from Rubbish Control to Rubbish Control, a wholly owned subsidiary of Republic, effective as of the date that Rubbish Control becomes a wholly owned subsidiary of Republic. Said consent is subject to the following conditions: A. Rubbish Control shall cease to collect solid waste within the corporate boundaries of the City as of January 1, 2001, and prior to said date Rubbish Control's provision of solid waste collection services in commercial areas within the corporate boundaries of the City Resolution No. 98 -1424 Page 2 shall be subject to the terms and conditions of the Franchise Agreements and the rate schedules set by the City; B. Rubbish Control shall be bound by Title 8, Chapter 36 of the Moorpark Municipal Code, all amendments thereto and all amendments to the Franchise Agreements, regardless of whether any such amendments are made before or after the effective date of the transfer, C. Prior to the effective date of the transfer, Rubbish Control shall pay to the City an administrative fee to cover the cost of all direct and indirect expenses reasonably incurred by the City to adequately analyze this requested transfer; and D. Prior to the effective date of the transfer, Rubbish Control shall pay to the City a transfer fee in the amount of $25,000 or 5 percent of gross revenue from the last twelve months, whichever is greater. APPROVED and ADOPTED this 7`h da, ATTEST: �--"Q. S. 1J►�� Deborah S. Traffenstedt, ity Clerk Resolution No. 98 -1424 Page 3 STATE OF CALIFORNIA ) COUNTY OF VENTURA ) ss. CITY OF MOORPARK ) I, Deborah Traffenstedt, City Clerk of the City of Moorpark, California, do hereby certify under penalty of perjury that the foregoing Resolution No. 98 -1424 was adopted by the City Council of the City of Moorpark at a meeting held on the 7th day of January, 1998, and that the same was adopted by the following vote: AYES: Councilmembers Evans, Perez, Teasley, Wozniak and Mayor Hunter NOES: None ABSENT: None ABSTAIN: None WITNESS my hand and the official seal of said City this 9th day of January, 1998. Deborah Traffenstedt, ity Clerk (seal)