HomeMy WebLinkAbout60B - 1 YEAR EXTENSION OF CONSTRUCTION AND DEMO DERISREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
MARCH 17, 2020
TITLE
APPROVE A ONE-YEAR EXTENSION OF THE
CONSTRUCTION AND DEMOLITION DEBRIS
SERVICES AGREEMENTS WITH WASTE
MANAGEMENT COLLECTION AND
RECYCLING INC. AND WARE DISPOSAL,
AND HOST FEE AGREEMENT WITH
MADISON MATERIALS
/s/ Kristine
CITY MANAGER
RECOMMENDED ACTION
CLERK OF COUNCIL USE ONLY:
APPROVED
❑
As Recommended
❑
As Amended
❑
Ordinance on 111 Reading
❑
Ordinance on 2ntl Reading
❑
Implementing Resolution
❑
Set Public Hearing For
CONTINUED TO
FILE NUMBER
Authorize the City Manager to execute the proposed extension of the Agreement for Collection
and Handling of Construction and Demolition Debris with Waste Management Collection and
Recycling, Inc. (dba Waste Management of Orange County), extending the expiration date to
June 30, 2022, at the current terms, with an expected revenue of $150,000, subject to non -
substantive changes approved by the City Manager and City Attorney.
2. Authorize the City Manager to execute the proposed extension of the Agreement for Collection
and Handling of Construction and Demolition Debris with Ware Disposal, extending the
expiration date to June 30, 2022, at the current terms, with an expected revenue of $14,500,
subject to non -substantive changes approved by the City Manager and City Attorney.
3. Authorize the City Manager to execute the proposed extension of the Host Fee Agreement
with Madison Materials, extending the expiration date to June 30, 2022, at the current terms,
with an expected revenue of $22,000, subject to non -substantive changes approved by the
City Manager and City Attorney.
DISCUSSION
Construction and demolition (C&D) debris hauling services in Santa Ana are contracted
separately from solid waste services. The two authorized haulers are Waste Management of
Orange County and Ware Disposal (Exhibits 1 and 2). In addition, for maximum recycling
diversion, all processing of C&D debris is contracted directly to Madison Materials through a Host
Fee agreement (Exhibit 3). These agreements, established October 3, 2005, and extended to
June 30, 2021, are co -terminus with the Solid Waste Services agreement.
Approve Two-year Construction and Demolition and Host Fee Agreement Extensions
March 17, 2020
Page 2
City Council is considering a one-year extension of the Solid Waste Services Agreement with
Waste Management of Orange County to June 30, 2022. The agreement extensions will achieve
the objective of continued service until a new solid waste services Request for Proposals process
can be completed, which will determine ongoing C&D services contractors. As such, staff
recommends continuing the co -terminus status by extending the C&D and Host Fee agreements
through June 30, 2022, effective upon the effectiveness of the Solid Waste Services extension
agreement.
STRATEGIC PLAN ALIGNMENT
Approval of these items support the City's efforts to meet Goal #4 — City Financial Stability,
Objective #1 (maintain a stable, efficient and transparent financial environment).
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action. However, increased recycling
activity will divert materials from the landfill, thus extending the life of the landfill system and
recovering valuable recyclable resources.
FISCAL IMPACT
The C&D Collection and Handling and the Host Fee extension agreements maintain customer
service rates without increases, other than the standard, annual rate adjustment as detailed in
the current agreements. Revenues from the C&D Collection and Handling agreements are
deposited into the Refuse Collection Enterprise Maintenance Revenue Account No. 06917002-
53718. Host Fee agreement revenues are deposited into the Residential Street Improvement
Revenue Account No. 05817002-53730. Based on revenues to date for Fiscal Year 2019-20,
annual receipt of revenues during the one-year extension period are projected as follows:
AGREEMENT
FY 2021-22
C&D Collection and Handling
$150,000
Waste Management
C&D Collection and Handling
$14,500
Ware Disposal
Host Fee
$22,000
Madison Materials
TOTAL PROJECTED REVENUE:
$186,500
�. 1
Approve Two-year Construction and Demolition and Host Fee Agreement Extensions
March 17, 2020
Page 3
APPROVED AS TO FUNDS AND ACCOUNTS:
Nabil Saba, PE Kathryn Downs, CPA
Acting Executive Director Executive Director
Public Works Agency Finance and Management Services Agency
NS/MLM/CK
Exhibits: 1. Extension of C&D Agreement — Waste Management of Orange County
2. Extension of C&D Agreement — Ware Disposal
3. Extension of Host Fee Agreement — Madison Materials
EXHIBIT 1
SECOND EXTENSION OF AGREEMENT FOR COLLECTION AND HANDLING OF
CONSTRUCTION AND DEMOLITION DEBRIS GENERATED, PRODUCED,
AND/OR ACCUMULATED AT TEMPORARY CONSTRUCTION SITES
IN THE CITY OF SANTA ANA
This SECOND EXTENSION OF AGREEMENT FOR COLLECTION AND HANDLING
OF CONSTRUCTION AND DEMOLITION DEBRIS GENERATED, PRODUCED, AND/OR
ACCUMULATED AT TEMPORARY CONSTRUCTION SITES IN THE CITY OF SANTA
ANA ("Second Extension") is made and entered into this 17th day of March, 2020 by and between
the City of Santa Ana, a charter city and municipal corporation duly organized and existing under
the Constitution and laws of the State of California ("City") and Waste Management Collection
and Recycling, Inc., a California corporation dba Waste Management of Orange County
("Contractor").
RECITALS
A. City and Contractor entered into Agreement No. A-2005-259, dated October 3,
2005, by which City granted to Contractor a non-exclusive right to collect, recycle, divert,
and transport to appropriate facilities any construction and demolition debris generated,
produced, and/or accumulated at temporary construction sites in the City ("Agreement").
B. The original term of the Agreement continued through June 30, 2008, subject to
extension.
C. On April 3, 2006, the Agreement was amended to extend the tern through June
30, 2018 by the document entitled "First Amended and Restated Agreement for Collection
and Handling of Construction and Demolition Debris Generated, Produced, and/or
Accumulated at Temporary Construction Sites in the City of Santa Ana," Agreement No.
A-2006-076. The rate structure was amended as well.
D. On December 19, 2017, the Parties entered into Extension No. A-2017-366 by
which the tern of the Agreement was extended through June 30, 2020, with provision for a one-
year extension that was later agreed to by the Parties.
E. The Agreement remains in effect through June 30, 2021, and the Parties now wish
to further extend the Agreement through June 30, 2022.
The Parties therefore agree:
1. The tern of the Agreement shall be extended through June 30, 2022.
2. This Second Extension shall take effect only upon the effectiveness of the "Second
Amendment to Fourth Amended and Restated Agreement for Collection and Handling of Solid
Wastes Generated, Produced, and/or Accumulated in the City of Santa Ana," by and between City
and Contractor and dated March 17, 2020,
Page 1 of 2
60B-4
3. Except as extended and modified by this Second Extension, and Agreement No.
2006-076, all terms and conditions of the Agreement shall remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this Extension on the date and year
first written above.
ATTEST
Daisy Gomez
Clerk of the Council
APPROVED AS TO FORM
Sonia R. Carvalho, City Attorney
By: D/W lam.
Ain M. Funk
Assistant City Attorney
RECOMMENDED FOR APPROVAL
Nabil Saba
Acting Executive Director
Public Works Agency
Page 2 of 2
60B-5
CITY OF SANTA ANA
Kristine Ridge
City Manager
CONTRACTOR
20&R-CQLZAAJ
ame
Title:
i0a:u 310
SECOND EXTENSION OF AGREEMENT FOR COLLECTION AND HANDLING OF
CONSTRUCTION AND DEMOLITION DEBRIS GENERATED, PRODUCED,
AND/OR ACCUMULATED AT TEMPORARY CONSTRUCTION SITES
IN THE CITY OF SANTA ANA
This SECOND EXTENSION OF AGREEMENT FOR COLLECTION AND HANDLING
OF CONSTRUCTION AND DEMOLITION DEBRIS GENERATED, PRODUCED, AND/OR
ACCUMULATED AT TEMPORARY CONSTRUCTION SITES IN THE CITY OF SANTA
ANA ("Second Extension') is made and entered into this 17th day of March, 2020 by and between
the City of Santa Ana, a charter city and municipal corporation duly organized and existing under
the Constitution and laws of the State of California ("City") and Ware Disposal, Inc.
("Contractor").
RECITALS
A. City and Contractor entered into Agreement No. A-2005-242, dated October 3,
2005, by which City granted to Contractor a non-exclusive right to collect, recycle, divert, and
transport to appropriate facilities any construction and demolition debris generated, produced,
and/or accumulated at temporary construction sites in the City ("Agreement').
B. The original term of the Agreement continued through June 30, 2008, subject to
extension.
C. On April 3, 2006, the Agreement was amended to extend the term through June 30,
2018 by the document entitled "First Amended and Restated Agreement for Collection and
Handling of Construction and Demolition Debris Generated, Produced, and/or Accumulated at
Temporary Construction Sites in the City of Santa Ana," Agreement No. A-2006-077. The rate
structure was amended as well.
D. On December 19, 2017, the Parties entered into Extension No. A-2017-367 by
which the term of the Agreement was extended through June 30, 2020, with provision for a one-
year extension that was later agreed to by the Parties.
E. The Agreement remains in effect through June 30, 2021, and the Parties now wish
to further extend the Agreement through June 30, 2022.
The Parties therefore agree:
The term of the Agreement shall be extended through June 30, 2022.
2. This Second Extension shall take effect only upon the effectiveness of the "Second
Amendment to Fourth Amended and Restated Agreement for Collection and Handling of Solid
Wastes Generated, Produced, and/or Accumulated in the City of Santa Ana," by and between City
and Waste Management Collection and Recycling, Inc. and dated March 17, 2020.
[signatures on following page]
Page 1 of 2
�. 1
3. Except as extended and modified by this Second Extension, and Agreement No.
2006-077, all terms and conditions of the Agreement shall remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this Extension on the date and year
first written above.
ATTEST
Daisy Gomez
Clerk of the Council
APPROVED AS TO FORM
Sonia R. Carvalho, City Attorney
By: V,7yv. I.w-4,
J i M. Funk
Assistant City Attorney
RECOMMENDED FOR APPROVAL
Nabil Saba
Acting Executive Director
Public Works Agency
Page 2 of 2
CITY OF SANTA ANA
Kristine Ridge
City Manager
P.O. BOX 1318
1 •� / 1
►��'rIJ'/J�
�. 1
EXHIBIT 3
SECOND EXTENSION OF HOST FEE AGREEMENT BETWEEN
MADISON MATERIALS AND THE CITY OF SANTA ANA
This SECOND EXTENSION OF HOST FEE AGREEMENT ("Second Extension") is
made and entered into this 17th day of March, 2020 by and between Madison Materials
("Contractor") and the City of Santa Ana, a charter city and municipal corporation duly organized
and existing under the Constitution and laws of the State of California ("City").
RECITALS
A. City and Contractor entered into Agreement No. A-2005-243, dated October 3,
2005, by which City agreed to direct construction and demolition debris and incidental waste
generated at temporary construction sites in the City to Contractor's facility in exchange for a "host
fee" as further described therein ("Agreement").
B. The original term of the Agreement continued through June 30, 2008, subject to
extension.
C. On April 3, 2006, the Agreement was amended to extend the term through June 30,
2018 by the document entitled "First Amended and Restated Agreement for Madison Materials
and City of Santa Ana Host Fee Agreement," Agreement No. A-2006-078. The rate structure was
amended as well.
D. On December 19, 2017, the Parties entered into Extension No. A-2017-368 by
which the term of the Agreement was extended through June 30, 2020, with provision for a one-
year extension that was later agreed to by the Parties.
E. The Agreement remains in effect through June 30, 2021, and the Parties now wish
to further extend the Agreement through June 30, 2022.
The Parties therefore agree:
The term of the Agreement shall be extended through June 30, 2022.
2. This Second Extension shall take effect only upon the effectiveness of the "Second
Amendment to Fourth Amended and Restated Agreement for Collection and Handling of Solid
Wastes Generated, Produced, and/or Accumulated in the City of Santa Ana," by and between City
and Waste Management Collection and Recycling, Inc. and dated March 17, 2020.
3. Except as extended and modified by this Second Extension, and Agreement No.
2006-078, all terms and conditions of the Agreement shall remain in full force and effect.
[signatures on following page]
Page I of 2
�. 1
IN WITNESS WHEREOF, the parties hereto have executed this Second Extension on the date
and year first written above.
ATTEST
Daisy Gomez
Clerk of the Council
APPROVED AS TO FORM
Sonia R. Carvalho, City Attorney
By:
J n M. Funk
Assistant City Attorney
RECOMMENDED FOR APPROVAL
Nabil Saba
Acting Executive Director
Public Works Agency
Page 2 of 2
CITY OF SANTA ANA
Kristine Ridge
City Manager
CONTINIAT49,4N MATERIALS
P.O. BOX 1108
NTA ANA,, CCA92702
Nam
Title: