11-05-1973 - Laserfiche WebLink

Home Browse Search

Jack McFarland, 1200 East Fairhaven; Ray Villa, 309 South Bristol. The proponents stated that the transfer of all the outstanding shares of Great Western stock to SCA Services would assure constant access to increased experience with all aspects of refuse collection and disposal; that technically there is no legal requirement for Council approval of the stock transfer because it does not involve an assignment of the contract; that Great Western will maintain its corporate entity and the contractor remains the same; that the City has significant control of the operation on a daily basis; that the merger would afford greater opportunity to explore methods of recycling refuse; and that the contractor would be required to perform the services in accordance with the terms of the contract or face its probable~cancellation by the City. The following persons spoke in opposition to the request: Robert H. Stopher, representing the Apartment Association of Orange County, 840 North Birch Street; Janice Boer, 912 North Lowell; Arturo Jacques, 1525 Portola Avenue; Wade Herrin, 1505 North Baker; RObert J. Moore, representing the Apartment Hous~,~wners Association, 1905 West 15th Street. The opponents stated that the bid for the service was awarded several years ago largely prediqated on local ownership and con- trol; that the ownership and responsibility for the company are major concerns; that the $30,000 offered as an incentive for Council approval "smacked of a kick-back or bribe"; that the City should have the right to inspect profit and loss records; that the possibility for monopoly of trash collection services in the County is very real with SCA's acquisition of other refuse service companies; that very possibly Councilman Yama- moro and others on the Council did have a conflict of interest; that probably Council would pass some form of utility tax that would relieve Great Western from its obligation to return moneys to the General Fund as proposed; that amendments to the contract allowing rate increases had been a breach of public trust; that the payment back to the City be used to reduce the rate because it rightfully belongs to the people of Santa Ana. Further arguments presented expressed the opinion that matters of this nature should involve notice to all organizations and associations and be scheduled for full public hearing to insure the maximum public participation; and that just prior to the most recent increase granted to Great Western they had denied any intention to sell; however, Council received a sale of stock request within the three or four months following the approval of the rate increase and the extension of the contract date; and that if Great Western did not wish to continue its service, a new bid call was in order. RECESS present. At 11:55 P.M. a recess was declared, Council reconvened at 12:07 A.M. with all Council members CITY COUNCIL MINUTES 417 NOVEMBER 5, 1973