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Home My WebLink AboutAGENDA REPORT 2018 0606 CCSA REG ITEM 10FCITY OF MOORPARK, CALIFORNIA City Council Meeting of June 6, 2018 ACTION Approved staff recommendation. Adopted Reso No. 2018-3709 BY M. Benson Consider a Resolution Authorizing Amendment No. 16 to the Local Street Access Agreement between the City of Moorpark and Waste Management of California, Inc., Doing Business As the Simi Valley Landfill and Recycling Center, to Extend the Term to June 30, 2030. Staff Recommendation: Adopt Resolution No. 2018- ____ authorizing Amendment No. 16 to the Local Street Access Agreement; and 2) Authorize the City Manager to sign the amendment , subject to final language approval by the City Manager Item: 10.F. MOORPARK CITY COUNCIL AGENDA REPORT TO: Honorable City Council FROM: Brian Chong, Assistant to the City Manager DATE: May 23, 2018 (CC Meeting of 6/6/2018) SUBJECT: Consider a Resolution Authorizing Amendment No. 16 to the Local Street Access Agreement between the City of Moorpark and Waste Management of California, Inc., Doing Business As the Simi Valley Landfill and Recycling Center, to Extend the Term to June 30, 2030 BACKGROUND AND DISCUSSION In 1998, the City of Moorpark (City) entered into an agreement with Waste Management of California, Inc. (WM), doing business as the Simi Valley Landfill and Recycling Center (Landfill), with the understanding that the Landfill would accept all discarded material from the City. In consideration of increased vehicle usage of City streets due to the transport of Moorpark discards to the Landfill, WM would in turn compensate the City by paying a monthly Local Street Access Fee. The Local Street Access Fee for calendar year 2018 is $2.74 per ton of solid waste taken to the Simi Valley Landfill and Recycling Center. Pursuant to the Local Street Access Agreement, the fee is adjusted annually based on a Consumer Price Index (CPI)-based calculation, with the next adjustment to become effective on January 1, 2019. The original 1998 Agreement has been extended 15 times to be coterminous with the City’s solid waste franchise agreements and currently is set to expire on June 30, 2018. Proposed Amendment No. 16 would extend the Agreement to June 30, 2030. This twelve-year extension matches the twelve-year term of the proposed new solid waste franchise agreement with Waste Management (dba USA Waste of California, Inc.), which is being considered as a separate agenda item by the City Council. On December 6, 2017, the City and G.I. Industries (Waste Management) entered into a Memorandum of Understanding (MOU) that outlined many of the major points of the Item: 10.F. 565 new franchise agreement. The MOU included a provision that both the City and Waste Management extend the Local Street Access Agreement for the duration of the new franchise agreement, thus ensuring that the City continues to get reimbursed by the landfill for the increased vehicle usage of City streets. FISCAL IMPACT The Local Street Access Fee currently generates approximately $60,000 in general fund revenue annually. Approving the renewal of the Agreement will ensure the continuation of this revenue source. Not extending the Agreement would result in the loss of this revenue. STAFF RECOMMENDATION 1. Adopt Resolution No. 2018-____ authorizing Amendment No. 16 to the Local Street Access Agreement between the City of Moorpark and Waste Management of California, Inc. Doing Business As the Simi Valley Landfill and Recycling Center. 2. Authorize the City Manager to sign the amendment, subject to final language approval by the City Manager. Attachment 1: Resolution Attachment 2: Draft Amendment No. 16 for Local Street Access Agreement 566 RESOLUTION NO. 2018- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MOORPARK, CALIFORNIA, AUTHORIZING AMENDMENT NO. 16 TO THE LOCAL STREET ACCESS AGREEMENT BETWEEN THE CITY OF MOORPARK AND WASTE MANAGEMENT OF CALIFORNIA, INC., DOING BUSINESS AS THE SIMI VALLEY LANDFILL AND RECYCLING CENTER, TO EXTEND THE TERM TO JUNE 30, 2030 WHEREAS, Waste Management of California, Inc. (“Waste Management”) operates the Simi Valley Landfill and Recycling Center (“Landfill”); and WHEREAS, the City has the authority and intent to direct solid waste franchisees to dispose of refuse collected in the City at the Landfill; and WHEREAS, the Landfill receives refuse from other haulers serving Ventura and Los Angeles Counties, in addition to refuse collected in the City; and WHEREAS, the foregoing-described patronage of the Landfill will cause increased usage of certain streets within the City; and WHEREAS, Waste Management wishes to fairly compensate the CITY for the increased usage of certain streets within the City during the term of this Agreement; and WHEREAS, on April 1, 1998, the City and Waste Management entered into a one-year Local Street Access Agreement; and WHEREAS, on March 3, 1999, the City and Waste Management extended the term of the Local Street Access Agreement to June 27, 2004; and WHEREAS, on October 15, 2003, the City and Waste Management extended the term of the Local Street Access Agreement to June 30, 2009; and WHEREAS, on July 21, 2009, the City and Waste Management extended the term of the Local Street Access Agreement to June 30, 2014, and amended the calculation of the Local Street Access Fee; and WHEREAS, the City and Waste Management further extended the term of the Local Street Access Agreement to June 30, 2018, through a series of twelve subsequent time extensions between 2014 and 2017; and WHEREAS, the City Council declares its intention to further extend the term of the Local Street Access Agreement to June 30, 2030, to be coterminous with the City’s Solid Waste Franchise Agreements. 567 NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK, DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. The Local Street Access Agreement, Section 3, Term, shall be amended to read, in its entirety: “3. Term. The term of this AGREEMENT commences on March 2, 1998, and ends on June 30, 2030, unless sooner terminated.” SECTION 2. With the exception of the change to the above noted document, all other provisions contained in the Local Street Access Agreement shall remain in full force and effect. SECTION 3. The City Manager is authorized to execute the above noted amendment to the Local Street Access Agreement. 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 6th day of June, 2018. Janice S. Parvin, Mayor ATTEST: Maureen Benson, City Clerk 568 AMENDMENT NO. 16 LOCAL STREET ACCESS AGREEMENT WASTE MANAGEMENT OF CALIFORNIA, INC., DOING BUSINESS AS THE SIMI VALLEY LANDFILL AND RECYCLING CENTER This Amendment No. 16 to the Local Street Access Agreement, dated April 1, 1998, between the City of Moorpark, a municipal corporation (“City”), and Waste Management of California, Inc., a corporation doing business as the Simi Valley Landfill and Recycling Center and hereinafter referred to as “WM”, is made and entered into this ___ day of ____________________, 2018. RECITALS WHEREAS, on April 1, 1998, the City and WM entered into a one (1) year Agreement for Local Street Access; and WHEREAS, on March 3, 1999, the City and WM entered into Amendment No. 1 to the Agreement extending the term until June 27, 2004; and WHEREAS, on October 15, 2003, the City and WM entered into Amendment No. 2 to the Local Street Access Agreement for an additional five (5) year period extending the Agreement until June 30, 2009; and WHEREAS, on July 21, 2009, the City and WM entered into Amendment No. 3 to the Local Street Access Agreement for an additional five (5) year period extending the Agreement until June 30, 2014; and WHEREAS, on June 6, 2014, the City and WM entered into Amendment No. 4 to the Local Street Access Agreement for an additional six (6) month period extending the Agreement until December 31, 2014; and WHEREAS, on December 9, 2014, the City and WM entered into Amendment No. 5 to the Local Street Access Agreement for an additional six (6) month period extending the Agreement until June 30, 2015; and WHEREAS, on June 3, 2015, the City and WM entered into Amendment No. 6 to the Local Street Access Agreement for an additional six (6) month period extending the Agreement until December 31, 2015; and WHEREAS, on November 18, 2015, the City and WM entered into Amendment No. 7 to the Local Street Access Agreement for an additional three (3) month period extending the Agreement until March 31, 2016; and WHEREAS, on March 16, 2016, the City and WM entered into Amendment No. 8 to the Local Street Access Agreement for an additional three (3) month period extending the Agreement until June 30, 2016; and 569 WHEREAS, on June 1, 2016, the City and WM entered into Amendment No. 9 to the Local Street Access Agreement for an additional six (6) month period extending the Agreement until December 31, 2016; and WHEREAS, on October 5, 2016, the City and WM entered into Amendment No. 10 to the Local Street Access Agreement for an additional six (6) month period extending the Agreement until June 30, 2017; and WHEREAS, on June 30, 2017, the City and WM entered into Amendment No. 11 to the Local Street Access Agreement for an additional three (3) month period extending the Agreement until September 30, 2017; and WHEREAS, on September 30, 2017, the City and WM entered into Amendment No. 12 to the Local Street Access Agreement for an additional one (1) month period extending the Agreement until October 31, 2017; and WHEREAS, on October 31, 2017, the City and WM entered into Amendment No. 13 to the Local Street Access Agreement for an additional two (2) month period extending the Agreement until December 31, 2017; and WHEREAS, on December 27, 2017, the City and WM entered into Amendment No. 14 to the Local Street Access Agreement for an additional three (3) month period extending the Agreement until March 31, 2018; and WHEREAS, on March 30, 2018, the City and WM entered into Amendment No. 15 to the Local Street Access Agreement for an additional three (3) month period extending the Agreement until June 30, 2018; and WHEREAS, the City and WM mutually agree, with Amendment No. 16, to further extend the term of the Local Street Access Agreement to June 30, 2030. NOW, THEREFORE, it is mutually agreed by and between the parties to the Agreement as follows: I. Section 3, Term, shall be amended to read, in its entirety, as follows: “3. Term. The term of this AGREEMENT commences on March 2, 1998, and ends on June 30, 2030, unless sooner terminated.” II. Other Provisions: All other provisions of the Agreement shall remain in full force and effect. 570 In W itness whereof, the parties hereto have caused this Amendment to be executed the day and year first above written. CITY OF MOORPARK WASTE MANAGEMENT OF CALIFORNIA, INC., dba the SIMI VALLEY LANDFILL AND RECYCLING CENTER _______________________________ _______________________________ Troy Brown City Manager Scott Tignac District Manager Attest: _______________________________ Maureen Benson, City Clerk 571