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HomeMy WebLinkAboutAGENDA REPORT 2011 1207 CC REG ITEM 10GMOORPARK CITY COUNCIL AGENDA REPORT TO: The Honorable City Council FROM: Teri Davis, Senior Management Anal ITEM 10.G. DATE: November 23, 2011 (CC meeting of December 7, 2011) SUBJECT: Consider Resolution Amending the City of Moorpark Franchise Agreements with G.I. Industries and Moorpark Rubbish Disposal, for both Residential and Commercial Solid Waste Services, and Authorize the City Manager to Execute the Amendments to the Agreements BACKGROUND In December, 2010, the City Council (Council) approved by resolution the extension of the Franchise Agreements with both G.I. Industries and Moorpark Rubbish Disposal (Franchise Agreements) for six months from their expiration date of December 20, 2010 to June 30, 2011 and in May, 2011, the City Council again approved by resolution the extension of the Franchise Agreements for an additional six months from June 30, 2011 to December 31, 2011. The Franchise Agreements allow annual rate adjustments to be effective on January 1. DISCUSSION Council is being asked to consider amendments to the Franchise Agreements, to extend the Agreements for an additional two months 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 two months. FISCAL IMPACT No fiscal impact. STAFF RECOMMENDATION 1. Adopt Resolution No. 2011- , Amendment to City of Moorpark Franchise Agreements between the City of Moorpark and G.I. Industries and the City of Moorpark SAPublic Works \Everyone \Solid Waste \Staff Reports \SR 11 1207 Agmt Extensions.doc 94 Honorable City Council December 7, 2011 Page 2 and Moorpark Rubbish Disposal for Providing Commercial Solid Waste and Recycling Services and Residential Solid Waste and Recycling Services. 2. Authorize the City Manager to execute the amendments to the Franchise Agreements subject to final language approval of the City Manager and City Attorney. Attachment A — Draft Resolution 95 RESOLUTION NO. 2011- 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 FOR PROVIDING RESIDENTIAL SOLID WASTE SERVICES AND COMMERCIAL SOLID WASTE SERVICES 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 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 and were extended for another six (6) months to December 31, 2011 with the adoption of Resolution Number 2011 -3024; 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. 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 in its entirety, replacing the current language with the following language: "Section 2. TERM The collection services to be provided pursuant to this Agreement shall begin on October 1, 2002, and end on February 29, 2012, unless sooner terminated. Grantee's duty to provide indemnification shall survive the end of the period during which collection services are to be provided." 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 2. The Franchise Agreements for Residential Solid Waste Services and for Commercial Solid Waste Services, Exhibit G.A, shall be amended to include Resolution No. 2011 - Page 2 "Consideration for the rate adjustment scheduled to be effective January 1, 2012 shall be deferred for two months." SECTION 3. 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 7th day of December, 2011. Janice S. Parvin, Mayor ATTEST: Maureen Benson, City Clerk 97