HomeMy WebLinkAboutAGENDA REPORT 2015 0603 CCSA REG ITEM 10I ITEM 10.1.
CITY OF MOORPARK.CALIFORNIA
City Council Meeting
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AGENDA REPORT BY: 17 . _44r.4-,--
TO: Honorable City Council
FROM: Dave Klotzle, City Engineer/Public Works Director
Prepared by: Shaun Kroes, Senior Management A alystt
DATE: May 22, 2015 (CC Meeting of 06/03/15)
SUBJECT: Consider Resolution Amending the City of Moorpark Franchise
Agreements with G.I. Industries and Moorpark Rubbish Disposal, LLC,
for both Residential and Commercial Solid Waste Services, and
Authorize the City Manager to Execute the Amendments to the
Agreements to Extend Term to December 31, 2015
BACKGROUND
In December, 2010, the City Council (Council) approved the extension of the Franchise
Agreements with both G.I. Industries and Moorpark Rubbish Disposal, LLC (Franchise
Agreements) for six months from their expiration date of December 20, 2010, to June 30,
2011, and in May, 2011, the Council again approved by resolution the extension of the
Franchise Agreements for an additional six months from June 30, 2011, to December 31,
2011. Since then the Council has approved several additional extensions through June 30,
2015. The Franchise Agreements allow annual rate adjustments to be effective on
January 1 however; no adjustments have been approved since January 1, 2011.
DISCUSSION
Council is being asked to consider amending the Franchise Agreements, to extend the
Agreements for an additional six months through December 31, 2015, so that City staff can
continue to negotiate terms of the Franchise Agreements including options for additional
service enhancements. Council is also being asked to defer consideration of the annual
rate adjustment for the same period.
FISCAL IMPACT
No fiscal impact.
486
•
Honorable City Council
June 3, 2015
Page 2
STAFF RECOMMENDATION
1. Adopt Resolution No. 2015 - , Amendment to City of Moorpark Franchise
• Agreements between the City of Moorpark and G.I. Industries and the City of Moorpark
and Moorpark Rubbish Disposal, LLC, for Providing Commercial Solid Waste and
Recycling Services and Residential Solid Waste and Recycling Services to Extend
Term to December 31, 2015.
2. Authorize the City Manager to execute the amendments to the Franchise Agreements
subject to final language approval of the City Manager.
Attachment A: Draft Resolution
Attachment B: G.I. Industries Commercial Agreement Amendment No. 11
Attachment C: G.I. Industries Residential Agreement Amendment No. 12
Attachment D: Moorpark Rubbish Disposal, LLC, Commercial Agreement Amendment
No. 11
Attachment E: Moorpark Rubbish Disposal, LLC, Residential Agreement Amendment
No. 12
487
S:\Public Works\EveryonelReports\Staff Reports120151June\6-3-2015(Franchise SW Agmt Extension).doc
Attachment A
RESOLUTION NO. 2015 -
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
MOORPARK, CALIFORNIA, AMENDING THE FRANCHISE
AGREEMENTS BETWEEN THE CITY OF MOORPARK
AND G.I. INDUSTRIES AND THE CITY OF MOORPARK
AND MOORPARK RUBBISH DISPOSAL, LLC, FOR
PROVIDING RESIDENTIAL SOLID WASTE SERVICES
AND COMMERCIAL SOLID WASTE SERVICES TO
EXTEND TERM TO DECEMBER 31, 2015
WHEREAS, the City provides residential and commercial solid waste and
recycling collection services; and
WHEREAS, on September 18, 2002, the City Council granted two exclusive
Franchise Agreements with G.I. Industries and two exclusive Franchise Agreements
with Moorpark Rubbish Disposal, LLC, for the collection, transportation, recycling, and
disposal of residential solid waste and commercial solid waste in designated areas
within the City limits; and
WHEREAS, the Franchise Agreements included an expiration date of December
31, 2010, with an option to extend the term for up to an additional two (2) years, and
Franchise Agreements were extended for six (6) months to June 30, 2011 with the
adoption of Resolution Numbers 2010-2977, 2010-2978, 2010-2979, and 2010-2980,
extended for another six (6) months to December 31, 2011 with the adoption of
Resolution Number 2011-3024, and extended again for two (2) months to February 29,
2012 with the adoption of Resolution Number 2011-3076, and extended again for
another two (2) months to April 30, 2012 with the adoption of Resolution Number 2012-
3085, and extended again for another five (5) months to September 30, 2012 with the
adoption of Resolution Number 2012-3102, and extended again for another three (3)
months to December 31, 2012 with the adoption of Resolution Number 2012-3125; and
extended again for another six (6) months to June 30, 2013 with the adoption of
Resolution Number 2012-3147; and extended again for another six (6) months to
December 31, 2013 with the adoption of Resolution Number 2013-3194; and extend
again for another six (6) months to June 30, 2014 with the adoption of Resolution
Number 2013-3234; and extend again for another six (6) months to December 31, 2014
with the adoption of Resolution Number 2013-3293; and extend again for another six (6)
months to June 30, 2015 with the adoption of Resolution Number 2014-3329; and
WHEREAS, the Franchise Agreements state that annual rate adjustments shall
be effective each January 1 during the term of the Franchise Agreements, and
WHEREAS, the City Council declares its intention to further extend the term of
the Franchise Agreements.
488
Resolution No. 2015 -
Page 2
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK,
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The Franchise Agreements for Residential Solid Waste Services
and for Commercial Solid Waste Services, Section 2, shall be amended to include 'The
collection services to be provided pursuant to this Agreement shall begin on October 1,
2002, and end on December 31, 2015, unless sooner terminated."
SECTION 2. The Franchise Agreements for Residential Solid Waste Services
and for Commercial Solid Waste Services, Exhibit G.A, shall be amended to include
"Consideration for the rate adjustment scheduled to be effective January 1, 2012 shall
be deferred until a date no later than December 31, 2015." With the exception of the
change to the above noted document, all other provisions contained in the Franchise
Agreements shall remain in full force and effect.
SECTION 3. This extension shall become effective upon execution of the
amendment by both parties.
SECTION 4. The City Clerk shall certify to the adoption of the resolution and
shall cause a certified resolution to be filed in the book of original resolutions.
PASSED AND ADOPTED this 3rd day of June, 2015.
Janice S. Parvin, Mayor
ATTEST:
Maureen Benson, City Clerk
489
Attachment B
AMENDMENT NO. 11
FRANCHISE AGREEMENT BETWEEN THE CITY OF MOORPARK AND
G.I. INDUSTRIES FOR MULTI-FAMILY AND COMMERCIAL
SOLID WASTE SERVICES
THIS AMENDMENT NO. 11 TO THE MULTI-FAMILY AND COMMERCIAL
FRANCHISE AGREEMENT, made and entered into this day of
, 2015, by and between the City of Moorpark, a municipal corporation
located in the County of Ventura, State of California, hereinafter referred to as "City" and
G.I. Industries, a corporation, hereinafter referred to as "Grantee" as an amendment to
the Multi-Family and Commercial Franchise Agreement between the City and G.I.
Industries, dated October 1, 2002.
WITNESSETH
WHEREAS, the City provides commercial — industrial solid waste and recycling
collection services; and
WHEREAS, on September 18, 2002, the City Council granted exclusive
franchise agreements with G.I. Industries and Moorpark Rubbish Disposal for the
collection, transportation, recycling, and disposal of solid waste in residential and
commercial — industrial areas within City limits; and
WHEREAS, the Franchise Agreement includes an expiration date of December
31, 2010, with an option to extend the term for up to an additional 2 years, and the
Franchise Agreement was extended for 6 months to June 30, 2011 with the adoption of
Resolution No. 2010-2979; for an additional 6 months to December 31, 2011 with the
adoption of Resolution No. 2011-3024; for an additional 2 months to February 29, 2012
with the adoption of Resolution No. 2011-3076; and for an additional 2 months to April
30, 2012 with the adoption of Resolution No. 2012-3085; and for an additional 5 months
to September 30, 2012 with the adoption of Resolution No. 2012-3102; and for an
additional 3 months to December 31, 2012 with the adoption of Resolution No. 2012-
3125; and for an additional 6 months to June 30, 2013 with the adoption of Resolution
No. 2012-3147; and for an additional 6 months to December 31, 2013 with the adoption
of Resolution No. 2013-3194; and for an additional 6 months to June 30, 2014 with the
adoption of Resolution No. 2013-3234; and for an additional 6 months to December 31,
2014 with the adoption of Resolution No. 2014-3293; and for an additional 6 months to
June 30, 2015 with the adoption of Resolution No. 2014-3329; and for an additional 6
months to December 31, 2015 with the adoption of Resolution No. 2015- ; and
WHEREAS, the City Council declares its intention to further extend the term of
the Franchise Agreement.
NOW, THEREFORE, in consideration of the mutual covenants, benefits, and
premises herein stated, the parties hereto agree to amend the aforesaid Agreement as
follows:
490
City of Moorpark, G.I. Industries
Multi-Family and Commercial Franchise Agreement
Amendment 11, Page 2 of 2
Section 2, Term, Part A, shall be amended, to read, in its entirety, as follows:
"A. TERM. The collection services to be provided pursuant to this Agreement
shall begin on October 1, 2002, and end on December 31, 2015, unless sooner
terminated. GRANTEE's duty to provide indemnification shall survive the end of the
period during which collection services are to be provided."
II. Exhibit G, Rate Adjustment Schedule, Part A, shall be amended to include:
"Consideration for the rate adjustment scheduled to be effective January 1, 2012
shall be deferred until a date no later than December 31, 2015."
III. Remaining Provisions:
All other provisions of the aforesaid Agreement shall remain in full force and
effect.
In WITNESS WHEREOF, the parties hereto have caused this Amendment No.
11 to be executed by their duly authorized officers the day and year first above written.
CITY OF MOORPARK: G.I. INDUSTRIES:
Steven Kueny, City Manager Mike Smith, Director of Operations
Date Date
ATTEST:
Maureen Benson, City Clerk
491
Attachment C
AMENDMENT NO. 12
FRANCHISE AGREEMENT BETWEEN THE CITY OF MOORPARK AND
G.I. INDUSTRIES FOR RESIDENTIAL SOLID WASTE SERVICES
THIS AMENDMENT NO. 12 TO THE RESIDENTIAL FRANCHISE
AGREEMENT, made and entered into this day of , 2015, by
and between the City of Moorpark, a municipal corporation located in the County of
Ventura, State of California, a corporation, hereinafter referred to as "City" and G.I.
Industries, a corporation, hereinafter referred to as "Grantee" as an amendment to the
Residential Franchise Agreement between the City and G.I. Industries, dated October 1,
2002.
WITNESSETH
WHEREAS, the City provides residential solid waste and recycling collection
services; and
WHEREAS, on September 18, 2002, the City Council granted exclusive
franchise agreements with G.I. Industries and Moorpark Rubbish Disposal for the
collection, transportation, recycling, and disposal of solid waste in residential and
commercial — industrial areas within City limits; and
WHEREAS, on December 9, 2009, Amendment No. 1 was signed to increase the
franchise fee to 6%; and
WHEREAS, the Franchise Agreement includes an expiration date of December
31, 2010, with an option to extend the term for up to an additional 2 years, and the
Franchise Agreement was extended for 6 months to June 30, 2011 with the adoption of
Resolution No. 2010-2977; for an additional 6 months to December 31, 2011 with the
adoption of Resolution No. 2011-3024; for an additional 2 months to February 29, 2012
with the adoption of Resolution No. 2011-3076; and for an additional 2 months to April
30, 2012 with the adoption of Resolution No. 2012-3085; and for an additional 5 months
to September 30, 2012 with the adoption of Resolution No. 2012-3102; and for an
additional 3 months to December 31, 2012 with the adoption of Resolution No. 2012-
3125; and for an additional 6 months to June 30, 2013 with the adoption of Resolution
No. 2012-3147; and for an additional 6 months to December 31, 2013 with the adoption
of Resolution No. 2013-3194; and for an additional 6 months to June 30, 2014 with the
adoption of Resolution No. 2013-3234; and for an additional 6 months to December 31,
2014 with the adoption of Resolution No. 2014-3293; and for an additional 6 months to
June 30, 2015 with the adoption of Resolution No. 2014-3329; and for an additional 6
months to December 31, 2015 with the adoption of Resolution No. 2015- ; and
WHEREAS, the City Council declares its intention to further extend the term of
the Franchise Agreement.
492
City of Moorpark, G.I. Industries
Residential Franchise Agreement
Amendment 12, Page 2 of 2
NOW, THEREFORE, in consideration of the mutual covenants, benefits, and
premises herein stated, the parties hereto agree to amend the aforesaid Agreement as
follows:
I. Section 2, Term, Part A, shall be amended, to read, in its entirety, as follows:
"A. TERM. The collection services to be provided pursuant to this Agreement
shall begin on October 1, 2002, and end on December 31, 2015, unless sooner
terminated. GRANTEE's duty to provide indemnification shall survive the end of the
period during which collection services are to be provided."
II. Exhibit G, Rate Adjustment Schedule, Part A, shall be amended to include:
"Consideration for the rate adjustment scheduled to be effective January 1, 2012
shall be deferred until a date no later than December 31, 2015."
III. Remaining Provisions:
All other provisions of the aforesaid Agreement shall remain in full force and
effect.
In WITNESS WHEREOF, the parties hereto have caused this Amendment No.
12 to be executed by their duly authorized officers the day and year first above written.
CITY OF MOORPARK: G.I. INDUSTRIES:
Steven Kueny, City Manager Mike Smith, Director of Operations
Date Date
ATTEST:
Maureen Benson, City Clerk
493
Attachment D
AMENDMENT NO. 11
FRANCHISE AGREEMENT BETWEEN THE CITY OF MOORPARK AND
MOORPARK RUBBISH DISPOSAL, LLC, FOR MULTI-FAMILY AND
COMMERCIAL SOLID WASTE SERVICES
THIS AMENDMENT NO. 11 TO THE MULTI-FAMILY AND COMMERCIAL
FRANCHISE AGREEMENT, made and entered into this day of
, 2015, by and between the City of Moorpark, a municipal corporation
located in the County of Ventura, State of California, hereinafter referred to as "City" and
Moorpark Rubbish Disposal, LLC, a limited liability company, hereinafter referred to as
"Grantee" as an amendment to the Multi-Family and Commercial Franchise Agreement
between the City and Moorpark Rubbish Disposal, dated October 1, 2002.
WITNESSETH
WHEREAS, the City provides commercial — industrial solid waste and recycling
collection services; and
WHEREAS, on September 18, 2002, the City Council granted exclusive
franchise agreements with G.I. Industries and Moorpark Rubbish Disposal for the
collection, transportation, recycling, and disposal of solid waste in residential and
commercial — industrial areas within City limits; and
WHEREAS, the Franchise Agreement includes an expiration date of December
31, 2010, with an option to extend the term for up to an additional 2 years, and the
Franchise Agreement was extended for 6 months to June 30, 2011 with the adoption of
Resolution No. 2010-2980; for an additional 6 months to December 31, 2011 with the
adoption of Resolution No. 2011-3024; for an additional 2 months to February 29, 2012
with the adoption of Resolution No. 2011-3076; and for an additional 2 months to April
30, 2012 with the adoption of Resolution No. 2012-3085; and for an additional 5 months
to September 30, 2012 with the adoption of Resolution No. 2012-3102; and for an
additional 3 months to December 31, 2012 with the adoption of Resolution No. 2012-
3125; and for an additional 6 months to June 30, 2013 with the adoption of Resolution
No. 2012-3147; and for an additional 6 months to December 31, 2013 with the adoption
of Resolution No. 2013-3194; and for an additional 6 months to June 30, 2014 with the
adoption of Resolution No. 2013-3234; and for an additional 6 months to December 31,
2014 with the adoption of Resolution No. 2014-3293; and for an additional 6 months to
June 30, 2015 with the adoption of Resolution No. 2014-3329; and for an additional 6
months to December 31, 2015 with the adoption of Resolution No. 2015- ; and
WHEREAS, the City Council declares its intention to further extend the term of
the Franchise Agreement.
NOW, THEREFORE, in consideration of the mutual covenants, benefits, and
premises herein stated, the parties hereto agree to amend the aforesaid Agreement as
follows:
•
494
City of Moorpark, Moorpark Rubbish Disposal
Multi-Family and Commercial Franchise Agreement
Amendment 11, Page 2 of 2
I. Section 2, Term, Part A, shall be amended, to read, in its entirety, as follows:
"A. TERM. The collection services to be provided pursuant to this Agreement
shall begin on October 1, 2002, and end on December 31, 2015, unless sooner
terminated. GRANTEE's duty to provide indemnification shall survive the end of the
period during which collection services are to be provided."
II. Exhibit G, Rate Adjustment Schedule, Part A, shall be amended to include:
"Consideration for the rate adjustment scheduled to be effective January 1, 2012
shall be deferred until a date no later than December 31, 2015."
III. Remaining Provisions:
All other provisions of the aforesaid Agreement shall remain in full force and
effect.
In WITNESS WHEREOF, the parties hereto have caused this Amendment No.
11 to be executed by their duly authorized officers the day and year first above written.
CITY OF MOORPARK: MOORPARK RUBBISH DISPOSAL, LLC:
Steven Kueny, City Manager Charles Anderson, Owner
Date Date
ATTEST:
Maureen Benson, City Clerk
495
Attachment E
AMENDMENT NO. 12
FRANCHISE AGREEMENT BETWEEN THE CITY OF MOORPARK AND
MOORPARK RUBBISH DISPOSAL, LLC,
FOR RESIDENTIAL SOLID WASTE SERVICES
THIS AMENDMENT NO. 12 TO THE RESIDENTIAL FRANCHISE AGREEMENT,
made and entered into this day of , 2015, by and between the
City of Moorpark, a municipal corporation located in the County of Ventura, State of
California, hereinafter referred to as "City"and Moorpark Rubbish Disposal, LLC, a limited
liability company, hereinafter referred to as"Grantee"as an amendment to the Residential
Franchise Agreement between the City and Moorpark Rubbish Disposal, dated October 1,
2002.
WITNESSETH
WHEREAS, the City provides residential solid waste and recycling collection
services; and
WHEREAS, on September 18, 2002, the City Council granted exclusive franchise
agreements with G.I. Industries and Moorpark Rubbish Disposal for the collection,
transportation, recycling, and disposal of solid waste in residential and commercial —
industrial areas within City limits; and
WHEREAS, on December 9, 2009, Amendment No. 1 was signed to increase the
franchise fee to 6%; and
WHEREAS, the Franchise Agreement includes an expiration date of December 31,
2010, with an option to extend the term for up to an additional 2 years, and the Franchise
Agreement was extended for 6 months to June 30, 2011 with the adoption of Resolution
No. 2010-2978; for an additional 6 months to December 31, 2011 with the adoption of
Resolution No. 2011-3024; for an additional 2 months to February 29, 2012 with the
adoption of Resolution No. 2011-3076; and for an additional 2 months to April 30, 2012
with the adoption of Resolution No. 2012-3085; and for an additional 5 months to
September 30, 2012 with the adoption of Resolution No. 2012-3102; and for an additional
3 months to December 31, 2012 with the adoption of Resolution No. 2012-3125; and for an
additional 6 months to June 30, 2013 with the adoption of Resolution No. 2012-3147; and
for an additional 6 months to December 31, 2013 with the adoption of Resolution No. 2013-
3194; and for an additional 6 months to June 30, 2014 with the adoption of Resolution No.
2013-3234; and for an additional 6 months to December 31, 2014 with the adoption of
Resolution No. 2014-3293; and for an additional 6 months to June 30, 2015 with the
adoption of Resolution No. 2014-3329; and for an additional 6 months to December 31,
2015 with the adoption of Resolution No. 2015- ; and
WHEREAS, the City Council declares its intention to further extend the term of the
Franchise Agreement.
496
City of Moorpark, Moorpark Rubbish Disposal
Residential Franchise Agreement
Amendment 12, Page 2 of 2
NOW, THEREFORE, in consideration of the mutual covenants, benefits, and
premises herein stated, the parties hereto agree to amend the aforesaid Agreement as
follows:
Section 2, Term, Part A, shall be amended, to read, in its entirety, as follows:
"A. TERM. The collection services to be provided pursuant to this Agreement shall
begin on October 1, 2002, and end on December 31, 2015, unless sooner terminated.
GRANTEE's duty to provide indemnification shall survive the end of the period during
which collection services are to be provided."
II. Exhibit G, Rate Adjustment Schedule, Part A, shall be amended to include:
"Consideration for the rate adjustment scheduled to be effective January 1, 2012
shall be deferred until a date no later than December 31, 2015."
Ill. Remaining Provisions:
All other provisions of the aforesaid Agreement shall remain in full force and effect.
In WITNESS WHEREOF, the parties hereto have caused this Amendment No. 12 to be
executed by their duly authorized officers the day and year first above written.
CITY OF MOORPARK: MOORPARK RUBBISH DISPOSAL:
Steven Kueny, City Manager Charles Anderson, Owner
Date Date
ATTEST:
Maureen Benson, City Clerk
497