HomeMy WebLinkAboutOrd 1993-2569 ORDINANCE NO. 2569
AN ORDINANCE OF THE CITY OF CHULA VISTA ADDING CHAPTER
8.23 ENTITLED "WASTE MANAGEMENT FRANCHISE" TO THE CHULA
VISTA MUNICIPAL CODE
The City Council of the City of Chula Vista does ordain as follows:
SECTION I: That Section 8.23.010 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.010 Definitions.
Whenever in this ordinance the words or phrases hereinafter in this section defined are used, they
shall have the respective meaning assigned to them in the following definitions (unless in the given
instance, the context wherein they are used shall clearly import a different meaning):
A. "Aluminum" means recoverable aluminum materials such as used beverage containers, siding,
screening, and other manufactured items.
B. "Bulky Waste" means large items of solid waste such as White Goods, furniture, large auto parts,
trees, stumps and other oversize wastes whose large size precludes or complicates their handling
by normal collection, processing or disposal methods.
C. "Buy-back Center" means a facility which pays a fee for the delivery and transfer of ownership to
the facility of source separated materials for the purpose of recycling, mulching or composting.
D. "City shall mean the City of Chula Vista, a municipal corporation of the State of California in its
present incorporated form or in any later reorganized, consolidated, enlarged or reincorporated form.
E. "Collection" means the act of collecfing Solid Waste materials, or Reeyclables at Residential,
commercial, industrial, or governmental sites, and hauling it to a facility for processing, transfer,
disposal or burning.
F. "Contract or Franchise Agent (s)" means any person or entity designated by the City Council pursuant
to Article XII of the City Charter and Chula Vista Municipal Code, Chapter 8.24, as being responsible
for administering, directing, supervising, collecting, operating and/or providing for the disposal or
transfer of refuse, or the collecfion and/or processing of Designated Recyclables.
G. "Curbside Collection" means the collection of Designated Recyclables from the Residential waste
stream from the curb or alleyway. May include single-family, MuIti-family residences and mobile
home trailer courts that receive curbside collection of refuse or that are otherwise specially
designated as having curbside collection.
H. "Designated Recyc~ing ~~~~ecti~n ~r St~rage ~~~ati~n" means a p~ace designated by the c~ty Manager
in conjunction with the Contract or Franchise Agent(s) for pick up or storage of recyclables
segregated from other waste material. Designated Recycling Collection or Storage hocations include,
but are not limited to, the curbside of a Residential neighborhood; the service alley, loading dock,
or basement of a commercial enterprise or Multi-family complex.
Ordinance No. 2569
Page 2
I. "Designated Recycling Containers" ("Containers") shall mean those containers or receptacles
designated by the City Manager or its Contract or Franchise Agent for pick-up or storage of
Designated Recyclables.
J. "Designated Recyclables" means materials that are recyclable, reclaimable, and/or reusable within
the following categories of Residential, commercial and industrial and as defined more specifically
herein within each category. Any materiaI having an economic value on the secondary materials
market or that is otherwise salvageable shall be included and/or other materials that have been
separated from other Residential, commercial, or industrial Solid Waste for purposes of being
recycled for resale and/or reuse, and placed at a Designated Recycling Collection or Storage Location
or in a Designated Recycling Container for the purpose of collection and processing, or any such
Designated Recyclables materials collected under a Mixed Waste Processing program.
K. "Exterior Recycling Containers" means Designated Recycling Containers to be used for outside
storage of Franchised Recyclables.
L. "Franchised Recyclables" means any Residential Recyclables, as defined herein and by CVMC Chapter
8.25, placed in Designated Recycling Containers placed at Designated Recycling Collection or
Storage Location(s) to be collected by the Grantee, excluding yard waste.
M. "Garbage" means all kitchen and table waste, and animal or vegetable waste that attends or results
from the storage, preparation, cooking, or handling of food stuffs, except organic wastes separated
therefrom and used in composting in accordance with Chula Vista Municipal Code Chapter 8.25,
Section 8.35.090.
N. "Glass Bottles and Jars" means food and beverage containers made from silica or sand, soda ash and
limestone, the product being transparent or ~'anslucent and being used for packaging or bottling,
including container glass designated redeemable under the California Beverage Container Recycling
and Litter Reduction Law, Division 12.1 (commencing with Section 14500) of the California Public
Resources Code, as well as glass jars and bot~es without redeemable value ("scrap"), but excluding
household, kitchen, and other sources of non-container glass such as drinking glasses, ceramics,
light bulbs, window pane glass, and similar glass products that are not bottles or jars.
O. "Grantee" shall mean Laidlaw Waste Systems, Inc. and its lawful successors or assigns.
P. "Gross Receipts" shall mean all gross operating revenues received by Grantee from the collection and
disposal of refuse or collection and sale of recyclable materials.
Q. "Interior Recycling Containers" means a small (approximately 6 gallon) Designated Recycling
Container to be provided to each eligible residential customer in the Multi-familyRecycling program.
R. "Landfill" means a disposal system by which solid waste is deposited and compacted before burial
in a specially prepared area which provides for environmental monitoring and treatment.
S. "Mixed Waste Processing" means a system of recovering recyclables from the mixed waste stream
through separation at a processing facility, transfer station, Landfill, or other such facility instead
of separation at the waste generation source.
T. "Mulfi-family" means a structure or structures containing a total of 3 or more dwelling units in any
vertical or horizontal arrangement on a single lot or building site.
Ordinance No. 2569
Page 3
U. "Newspaper" means newsprint-grade paper including any inserts that come in the paper, and
excluding soiled paper, all magazines, and other periodicals, telephone books, as well as all other
paper products of any nature.
V. "Nuisance" means anything which is injurious to human health, or is indecent or offensive to the
senses, and interferes with the comfortable enjoyment of life or property, and affects at the same
time an entire community or neighborhood, or any number of persons, although the extent of
annoyance or damage inflicted upon the individual may be unequal, and which occurs as a result
of the storage, removal, transport, processing, or disposal of Solid Waste, compost, and/or
Designated Recyclables.
W. "Plastic Borde" means a plastic container with narrow neck or mouth opening smaller than the
diameter of the container body, used for containing milk, juice, soft drinks, water, detergent,
shampoo or other such substances intended for household or hospitality use; to distinguish from
non-bottle containers (e.g., deli or margarine tub containers) and from non-household plastic bottles
such as those for containing motor oil, solvents, and other non-household substances.
X. "Processing" means the reduction, separation, recovery, conversion, or Recycling of Solid waste.
Y. "Recycling" shall mean any process by which materials which would otherwise become Solid Waste
are collected (source separated, cornmingled, or as "mixed waste"), separated and/or processed and
returned to the economic mainstream in the form of raw materials or products or materials which
are otherwise salvaged or recovered for reuse.
Z. "Refuse" means Garbage and Rubbish.
AA. "Removal" means the act of taking Solid Wastes or Designated Recyclables from the place of
generation either by the Contract or Franchise Agent(s), or by a person in control of the premises.
BB. "Removal Frequency" means frequency of removal of Solid Wastes or Recyclables from the place of
generation.
CC. "Residential" for purposes of this Chapter, means any building or portion thereof designed or used
exclusively as the residence or sleeping place of one or more persons, including single and multiple
family dwellings, apa~hnent-hotels, boarding and lodging houses. Residential does not include
short-term residential uses, such as motels, tourist cabins, or hostels which are regnlated as
Hospitality establishments as defined in Sub-Section U of CVMC Chapter 8.25.
DD. "Residential Recyclables" means those specific recyclable materials from Residential Solid Waste
(single family and multi-family) including, but not limited to, Aluminum, Glass Bottles and Jars,
Newspaper, Plastic Bottles, Tin and Bi-Metal Cans, White Goods, and Yard Waste.
EE. "Rubbish" means non-putrescible solid wastes such as ashes, paper, yard clippings, glass, bedding,
crockery, plastics, rubber by-products or litter. Such materials that are designated as Recyclable or
Compost may be exempt from categorizing as rubbish provided such materials are handled,
processed and maintained in a properly regniared manner.
FF. "Salvaging or Salvageable" means the controlled and/or authorized storage and removal of Solid
Waste, Designated Recyclables or recoverable materials.
GG. "Scavenging" means the uncontrolled and/or unauthorized removal of Solid Waste, Designated
Recyclables or recoverable materials.
Ordinance No. 2569
Page 4
HH. "To Segregate Waste Material" means any of the following: the placement of Designated Recyclables
in separate Containers; the binding or bagging of Designated Recydables separately from other
waste material and placing in a separate container from Refuse, or the same Container as Refuse;
the physical separation of Designated Recyclables from other waste matezial (either at the
generating source, Solid Waste transfer station, or processing facility).
II. "Solid Waste" means all putrescible and nonputrescible solid, semi-solid and liquid wastes, such as
Refuse, Garbage, Rubbish, ashes, industrial wastes, demoiition and construction wastes, abandoned
vehicles and parts thereof, discarded home and industrial appliances, manure, vegetable or animal
solid and semi-solid wastes, also includes liquid wastes disposed of in conjunction with Solid Wastes
at Solid Waste transfer/processing stations or disposal sites, but excludes: sewage collected and
treated in a municipal or regional sewage system or materials or substances having commercial
value or other importance which can be salvaged for reuse, Recycling, composting or resale.
JJ. "Storage" means the interim containment of Solid Wastes, Yard Wastes, or Recyclables in an
approved manner after generation and prior to disposal, Collection or processing.
KK. "Streets" shall mean the public streets, ways, alleys and places as the same now or may hereafter
exist within said City, including state highways now or hereafter established within said City.
LL. "Tin and Bi-Metal Cans" means any steel food and beverage containers with a tin or Aluminum
plating.
MM. "Transfer or Processing Station" means those facilities utilized to receive Solid Wastes and to
temporarily store, separate, convert, or otherwise process the Solid Waste and/or Recyclables.
NN. "Unit" means an individual residence contained in a Residential Multi-family complex.
OO. "White Goods" means kitchen or other large enameled appliances which includes, but is not limited
to, refrigerators, washers, and dryers.
PP. "Yard Wastes" means leaves, grass, weeds, and wood materials from trees and shrubs from single
family and multi-family Residential sources (to include landscape haulings from residential sources).
SECTION II: That Section 8.23.020 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.020 Purpose.
The franchise to collect and dispose of Refuse and to collect Residential Recyclables, excluding Yard
Waste, from single family and Multi-family dwellings within the City of Chula Vista in the manner and
on the terms herein specified and to use for such purposes the Streets, ways and places within said City
is hereby granted to Laidlaw Waste Systems, Inc. its successors and assigns.
SECTION III: That Section 8.23.030 is hereby added to the Chula Vista
Municipal Code to read as follows:
Ordinance No. 2569
Page 5
Sec. 8.23.030 Term.
The franchise term shall be extended for the term of five (5) years from and after the current
termination date of September 4, 1987 or until the state or some municipal or public corporation duly
authorized by law shall purchase by voluntary agreement all property actually used and useful in the
exercise of said franchise, or until said franchise shall be forfeited for noncompliance with its terms as
provided herein. In addition, the Grantee shall have two five-year renewal options if the Grantee is not
in breach of this ordinance and has performed in the manner found satisfactory by the City. The five-
year extension and the two five-year options are conditioned upon the Grantee constructing a new
operating senrice facility within the City of Chula Vista within fifteen years (15) months of the adoption
of this ordinance. Said facility including land and improvements to cost approximately $1.5 million.
During such term, grantee shall have the exclusive right to collect and dispose of all refuse created,
accumulated or produced within the City of Chula Vista.
SECTION IV: That Section 8.23.040 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.040 Consideration.
The Grantee of said franchise shall during the term thereof pay to the City four and one-half percent
(4~h%) of the gross annual receipts of said grantee. City is authorized to increase said fee up to a
maximum amount of ten percent (10%). Beginning April 1, 1986, the franchise fee shall be increased
by one-half percent (1/2%) and one-half percent (1/2) each year thereafter until it reaches a maximum of
ten percent. It is understood that any increase in the franchise fee by the City shall be cause for the
Grantee to increase charges in order to "pass through" the cost of the franchise fee.
SECTION V: That Section 8.23.050 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.050 Reports, Dates of Payment and City Audit.
The Grantee shall file with the Director of Finance of said City on a monthly basis commencing
August 1, 1982, and monthly thereafter, a duly verified statement showing in detail the total gross
receipts of such Grantee during the preceding month or fractional month from the collection and
disposal of refuse within said City. Grantee shall pay to said City within fifteen (15) days after the time
of filing of such statement, in lawful money of the United States, the aforesaid percentage of its gross
receipts for such month, or such fractional month, covered by such statement. Any neglect, or omission
or refusal by Grantee to file such verified statement or to pay such percentage at the time and in the
manner specified shall be grounds for the declaration of a forfeiture of this franchise and all rights of
Grantee hereunder.
SECTION VI: That Section 8.23.060 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23,060 Compliance with Laws.
Grantee shall comply with all laws and regulations of the State of California and the City of Chula
Vista. Further Chapter 8.24 of the Chula Vista Municipal Code is expressly made a part of this franchise
and it is incorporated herein by reference as if set forth in full. Grantee and City agrees to be bound
Ordi nance No. 2569
Page 6
by all provisions of such ordinance, or any amendments thereto, or other ordinances that might affect
the collection or disposal of refuse in the City. It is understood that said ordinances are intended to be
minimum standards and that higher standards and regulations may be required under the franchise.
SECTION VII: That Section 8.23.070 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.070 Obligations of Grantee.
Grantee undertakes and agrees, for the consideration hereinafter mentioned, to furnish: all labor,
equipment, and vehicles (including adequate equipment and vehicles in a standby capacity to provide
the service herein required in the event of a breakdown of equipment); insurance and bonds necessary
to insure the efficient and timely picking up, collecting, removing and disposing of City refuse; and to
collect, pick up, remove and dispose of, all refuse which is generated or accumulated by or upon all
property within the City during the time that this franchise is in effect, except as herein otherwise
provided and subject to and in accordance with the terms and provisions hereof.
The collection and removal of said refuse by Grantee shall be, at all times during the term of this
franchise performed to the satisfaction of the City Manager or his delegate who shall have the fight to
issue orders, directions and instructions to grantee from time to time with respect to the collection,
transportation, and removal of refuse, the performance of Grantee's services hereunder, and the Grantee's
compliance with the provisions of the ordinances of the City of Chula Vista as they now exist or may
from time to time be amended, and Grantee agrees to comply therewith. Such collection and removal
of refuse shall be done in a prompt, thorough, lawful and workmanlike manner.
Grantee shall submit a detailed plan of operation prior to beginning of his work pursuant to this
franchise. It shall describe the routes to be established and shall contain details regarding servicing
schedule, the equipment to be used, and alternate procedures to be followed in the event of severe
weather or equipment failures.
Grantee shall provide and maintain at his own expense, a solid waste collection system capable or
providing service to all entities in the City requiring, or required to avail itself of said senrice. Not less
than one regular weekly collection shall be provided to each residential unit. Grantee shall provide
binds as required for commercial customers or whenever other customers of Grantee request their use.
Each bin shall be placed in an accessible, outside location on a hard surface according to individual
agreement.
Grantee shall provide collection vehicles and equipment in amounts adequate to perform in
accordance with its operational plan. Initially, and throughout the franchise term, the average age of
all regularly assigned collection vehicles must be not more than four (4) years, and all must be radio
controlled. Collection vehicles, containers, and other contractor furnished equipment must comply with
the standards set forth in the Chula Vista Municipal Code.
All refuse collected by Grantee shall become the property of Grantee immediately upon the collection
thereof, and shall be forthwith removed and transported by Grantee to an approved place of disposal,
which shall be provided, arranged for or furnished by Grantee.
In the event Grantee fails, refuses, or neglects to collect and dispose of refuse set out or placed for
collection at the time and in the manner herein required, City may collect and dispose of the same or
cause the same to be collected and disposed of and Grantee shall be liable for all expenses incurred in
connection therewith. Such remedy of City shall be cumulative and in addition to any and all other
Ordinance No. 2569
Page 7
remedies it may have in the event of such failure, refusal or neglect of Grantee. The collection and
disposal of refuse by City or by others as aforesaid shall not be deemed an election of remedies which
shall preclude City from availing itself of additional remedies for Grantee's breach of contract.
The following shall be considered legal holidays for purposes of this agreement: New Year's Day,
Memorial Day, Independence Day, Labor Day, Thanksgiving Day and Chrisnnas Day. Any other days
must have prior written approval from the City. When a regularly scheduled residential collection falls
on a legal holiday, the collection for that day and succeeding days of that week shall be rescheduled one
day later. Holiday disruptions of commercial collections shall be handled in a manner mutually
agreeable to the Grantee and individual customers.
Grantee agrees to provide and maintain litter containers for the use of the general public for public
areas such as plazas and rights-of-way other than parks and those publicly owned facilities maintained
by the city as specifically designated by resolution of the city and to empty and dispose of the contents
as necessary.
Grantee shall prepare and furnish to all customers not less than four (4) days prior to the beginning
of, or change in senrice, schedules setting fomh the days on which the collections shall be made. Notice
shall be in such form as is first approved by the City Manager or his delegate.
SECTION VIII: That Section 8.23.080 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.080 Disposal Requirements.
Grantee shall be obligated as set forth hereinabove to provide for the collection and the disposal of
all refuse within the City of Chula Vista; provided, however, Grantee shall undertake the disposal of said
refuse in accordance with specific direction of City if at any time during the period of this franchise, City
shall determine that the public interest requires a disposal program differing from that which the
Grantee has established.
SECTION IX: That Section 8.23.090 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.090 Rates for Collection.
A. Basis for Future Modifications.
The rate charged to, and to be paid by waste removal ratepayers ("Ratepayers") in the City of Chula
Vista, shall be those as may from time to time be established by Council resolution determined in
accordance with the provisions of this Section. The rates to be charged at the time of the
codification of this ordinance amending this section shall be those established by Resolution No.
16301, adopted on August 27, 1991.
B. Rate Modification Procedure.
Either Party may, upon filing a notice of intention to modify rates ("Notice of Intention') which
contains accurate and complete information satisfactorily supporting any increase requested, forty-
five (45) days in advance ("Notice Period") with the other Party, modify rates subject to the
following conditions and limitations:
Ordinance No. 2569
Page 8
1. Contents of Notice of Intention.
The Notice of Intention shall demonstrate for each type of service (residential, commercial), the
existing rate; that portion of said rate charged for the purpose of reimbursing the Grantee for
Grantee's landfill costs ("Landfill Rate Component"), that portion of said rate charged for the
purpose of paying the required franchise fees imposed under the authority of this Ordinance
("Franchise Fee Rate Component"), and that portion of said rate charged for all other purposes
("Other Rate Component"); the amount of modification in each Component of the rate that is
being sought; the amount of the modification in the entire rate being sought; the amount of the
new Rate Component; the amount of the new rate after the proposed modification; and the
justification for said proposed modification.
2. "Other Rate Component" Changes.
The proportion of modification to the "Other Rate Component" shall be limited by the
proportion of change since grantee's last rate increase in the San Diego area Consumer Price
Index for all urban consumers as compiled by the United States Department of Labor, Bureau
of Labor Statistics for the latest twelve-month period for which statistics are available. In no
event shall the amount of the increase exceed six percent (6%) of the service Rates.
a. In the event that the Consumer Price lndex referred to in Paragraph (2) above shall no
longer be published, then another similar generally recognized index may be substituted
upon approval by the City Manager.
3. "Landfill Rate Component" Changes.
The proportion of modification to the Landfill Rate Component shall not exceed the proportion
of change since grantee's last rate increase in the rate charged by the County of San Diego to
Grantee for "tipping fees" at the Otay Landfill, or if the Otay Landfill has been closed, at the
next closest operating landfill, for the latest twelve-month period.
4. Franchise Fee Rate Component Changes.
The proportion of modification to the Franchise Fee Rate Component shall not exceed the
proportion of change in the Franchise Fee that is or may be required by law to be paid to the
City of Chula Vista.
S. Increase Approval Hierarchy.
Annual modifications which constitute rate increases shall be subject to the review and written
approval of the City Manager, unless the City Council shall, within 20 days ("Public Hearing
Option Period') after the commencement of the Notice Period set the rate modification request
for public hearing, in which case said rate increases shall be subject to, and not instituted until,
the review and written approval of the City Council after said public heating.
6. No Public Hearing Approval Procedure.
If the City Council has not set a public hearing during the Public Hearing Option Period, the
City Manager shall notify grantee in writing of his approval or denial of the increase within five
(5) days of the end of the Public Heating Option Period. --
Ordinance No. 2569
Page 9
7. Notice to Grantee of Public Hearing Approval Procedure.
The City Council shall have the unilateral right to require a hearing for any rate increase at its
discretion. If the City intends to require a public hearing, it shall notify grantee within five (5)
days after the end of the Public Hearing Option Period.
8. Automatic Approval.
In the absence of any written communication from the City Manager or Council within five (5)
days after the end of the Public Hearing Option Period to the contrary, a modification
representing a rate increase is deemed approved.
9. Frequency of Rate Increase Requests.
No more than one such increase may be implemented in any one calendar year although
grantee shall have at any time the right to submit a request to the City Council for additional
rate relief at any time extraordinary expenses are incurred.
C. Senior Rate Schedules.
The City Council of the City of Chula Vista may at anytime, by amending Chapter 8.24 of the Chula
Vista Municipal Code, establish a program for preferential rates for senior citizens or other
classifications which are deemed to be in the public interest.
D. Variable Rate Structure.
Grantee agrees to discuss with the City the concept, design and implementation of a change in rate
structure from a fixed rate to a rate structure which would vary based on the number and size of
containers, or such other basis which the City believes would provide an incentive for waste
reduction.
SECTION X: That Section 8.23.100 is added to the Chula Vista Municipal
Code to read as follows:
Sec. 8.23.100 Insurance and Performance Bond.
Grantee agrees, at Grantee's own expense, to carry comprehensive public liability and automobile
liability insurance coverage during the full term of this franchise, with City also named as an additional
insured thereunder, covering liability for bodily injuries, death and property damage, arising out of or
in connection with the operations of Grantee, under this franchise in an amount not less than
$1,000,000 for injuries including death to any one person and in an amount not less than $5,000,000
for any one accident or occurrence, and property damage in an amount not less than $200,000. Grantee
further agrees to carry, at Grantee own expense, workers' compensation insurance in accordance with
the laws of the State of California. All of said insurance policies, or certificates thereof, shall be
deposited by Grantee with the City Manager together with endorsements or statement from the insuring
companies providing that such policies will not be subject to cancellation, modification or reduction of
the limits of the policy until ninety (90) days after written notice to the City by registered or certified
mail. Such policies shall guarantee payment of any final judgment rendered against Grantee or the City
within the coverage provided, irrespective of the financial condition of, or any acts or omission of, said
Grantee. All of said policies shall be subject to the approval of the City Attorney.
Ordinance No. 2569
Page 10
Grantee shall secure and deliver to the City Manager a twelve (12) month performance bond in the
amount of $1,000,000 to secure the full, true and faithful performance of all their terms, obligations and
conditions of this franchise on the part of Grantee. Grantee shall present said bond together with a
certificate from the surety showing payment in full for such bond, to the City Manager prior to the
commencement of operations pursuant hereto and provide a one-year renewal and certificate f payment
prior to the start of each year of this agreement.
In the event of the termination or cancellation of the insurance or bond required hereunder or the
failure of Grantee to provide such other insurance and/or bond as hereinabove provided, prior t the
effective date of such cancellation or termination, this franchise may be suspended or terminated
forthwith by City, by written notice thereof to Grantee. Any such suspension shall be for such period
or periods as the City Manager from time to time may determine. No liability or obligation shall be
incurred by City in favor of Grantee by virtue of any such notice r notices or from any such suspension
or termination. In the event of such suspension or termination by City upon the failure of Grantee to
secure and maintain on file said insurance and/or bond during the full term of this franchise, Grantee
shall be liable for any and all damages suffered by City arising out of such suspension or termination.
SECTION XI: Section 8.23.110 is hereby added to the Chula Vista Municipal
Code to read as follows:
Sec. 8.23.110 Hold Harmless.
Grantee of the franchise granted hereby shall indemnify, save and hold harmless, City and any
officers and employees thereof against and from all damages, judgments, decrees, costs and expenditures
which City, or such officer or employee, may suffer, or which may be recovered from, or obtainable
against City, or such officers or employee, for, or by reason of, or growing out of or resulting from the
exercising by Grantee of any or all of the rights or privileges granted hereby, or by reason of any act or
acts of Grantee or its servants or agents in exercising the franchise granted hereby, and Grantee shall
defend any suit that may be instituted against City, or any officer or employee thereof, by reason of or
growing out of or resulting from the exercise by Grantee of any or all of the rights or privileges granted
hereby, or by reason of any act or acts of Grantee, or its servants or agents, in exercising the franchise
granted hereby. This hold harmless clause shall apply to any extension of the franchise.
SECTION XII: That Section 8.23.120 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.120 Obligations of City.
Except as hereinafter otherwise provided, Grantee shall have the sole right to pick up, gather, and
remove refuse generated by residential, and commercial, or industrial property within the City except
as otherwise provided in Section 8.24.080 of the Municipal Code and any other amendments thereto by
the City until such time as this franchise is terminated as herein provided. City will not let any contract
to, or enter into any contract with, any other person, firm, or corporation for the performance of the
services herein required to be performed by Grantee, except as expressly otherwise herein provided, as
long as this franchise is in effect.
City shall protect Grantee's fights to such exclusive contract by proper ordinances, and by reasonable
enforcement thereof. Grantee and Grantor hereby expressly except herefrom the picking up, gathering,
Ordinance No. 2569
Page 11
and removal of refuse pursuant to a competitively bid contract between the Sweetwater Union High
School District and an authofized City trash franchisee.
SECTION XIII: That Section 8.23.130 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.130 Miscellaneous.
The failure of either party at any time to require performance by the other of a provision hereof,
shall in no way affect the right of such party entitled to performance to enforce the same thereafter.
Nor shall the waiver of either party of any breach of any provisions hereof be construed to be a waiver
of such provisions or of any succeeding breach thereof.
Any notice that may be given to Grantee under or with respect to this franchise shall be deemed to
have been given when delivered to Grantee or to an officer of Grantee, personally or when sent to
Grantee by registered or certified mail, postage prepaid, addressed to Grantee at:
Laidlaw
881 Energy Way
Chula Vista, CA 92911
City reserves the right to determine, in the exercise of its powers to provide for the public health
and welfare, whether technological or other changes materially affect the necessity of or level of the
service provided for hereunder, and, in such case, the level of senrlce hereunder shall be adjusted by
City, and this franchise shall be reviewed and revised accordingly.
SECTION XIV: That Section 8.23.140 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.140 Forfeiture.
This franchise is granted upon each and every condition herein contained, and shall ever be strictly
construed against Grantee. Nothing shall pass by the franchise granted hereby to Grantee unless it be
granted in plain and unambiguous terms. Each of said conditions is a material and essential condition
to be granting of the franchise. If Grantee shall fail, neglect or refuse to comply with any of the
conditions of the franchise granted hereby, and ff such failure, neglect or refusal shall continue for more
than thirty (30) days after written demand by the City Manager for compliance therewith, then City, by
the City Council, in addition to all rights and remedies allowed by law, thereupon my terminated the
fight, privilege and franchise granted in and by this ordinance, and all the rights, privileges and the
franchise of Grantee granted hereby shall thereupon be at an end. Thereupon and immediately, Grantee
shall surrender all rights and privileges in and to the franchise granted hereby. No provision herein
made for the purpose of securing the enforcement of the terms and conditions of the franchise granted
hereby shall be deemed an exclusive remedy or to afford the exclusive procedure for the enforcement
of said terms and conditions, but the remedies and procedure outlined herein or provided, including
forfeiture, shall be deemed to be cumulative.
SECTION XV: That Section 8.23.150 is hereby added to the Chula Vista
Municipal Code to read as follows:
Ordinance No, 2569
Page 12
Sec. 8.23.150 Authority for Grant.
Notwithstanding any other provision herein contained, this franchise is granted solely and
exclusively under Sections 1200, 1201, 1202, 1203, 1204, 1205 and 1206 of Article XII of the Charter
of the City of Chula Vista and no other authority.
SECTION XVI: That Section 8,23,160 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.160 Effective Date.
This ordinance shall become effective thirty days after its final passage unless suspended by a
referendum petition filed as provided by law.
SECTION XVII: That Section 8.23,170 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.170 Publication Costs.
The Grantee of said franchise shall pay to the City a sum of money sufficient to reimburse it for all
publication expenses incurred by it in connection with the granting thereof; such payment to be made
within thirty (30) days after the City shall have furnished such Grantee with a written statement of such
expense.
SECTION XVIII: That Section 8,23.180 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.180 Written Acceptance.
The franchise granted hereby shall not become effective until written acceptance thereof shall have
been filed by the Grantee with the City Clerk.
SECTION XIX: That Section 8.23,190 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.190 Publication.
The City Clerk shall cause this ordinance to be published once within fifteen (15) days after its
passage in the Chula Vista Star News, a newspaper of general circulation published and circulated in
said City.
SECTION XX: That Section 8,23,200 is hereby added to the Chula Vista
Municipal Code to read as follows:
Ordinance No. 2569
Page 13
Sec. 8.23.200 Special Events.
Grantee agrees to cooperate with the City in carrying out special events to improve community
appearance.
SECTION XXI: That Section 8.23.210 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.210 Residential Curbside Recycling Services.
Grantee agrees to implement residential curbside recycling services to all single family homes as
follows:
A. Exclusivity - The City grants to Grantee the exclusive right to collect Recyclable Materials deposited
at the curbside of single-family dwellings in such containers ("Designated Recycling Container"; or
alternatively ("Container") as are herein required to be provided within the City limits, to include
all residences receiving refuse collection and disposal services described in the following paragraph
B.(1). This does not exclude duly licensed non-profit organizations and community groups from
conducting recycling programs for the purpose of raising funds, nor does it exclude private
individuals from selling or otherwise disposing of their own recyclable material. However, once
materials have been placed at the curb in a Designated Recycling Container provided by the
Grantee, the material CFranchised Recyclables") becomes one of the subject matters of this grant
of franchise.
B. Obligations of Grantee.
1. Collection - Grantee shall collect and remove all Franchised Recyclables which are placed in a
Designated Recycling Container at the curbside on public streets, from all single-family
residences. Grantee shall collect the Franchised Recyclables once each week, regardless of
weather conditions. Collection will be on the same day of the week as the regularly scheduled
trash collection day. Grantee and City will mutually agree to any changes in collection day.
Grantee will notify residents of any changes in the collection day by distributing a flyer no later
than two weeks prior to the affected day.
2. Containers - Grantee shall purchase and distribute recycling containers to be used by each
eligible residential customer included in the program. The type and cost of container to be
used, or changes of container type shall be approved by the City prior to purchase and
distribution. Grantee shall retain ownership of the containers. Each residence eligible to
participate in the program will receive one container. If Grantee determines that the volume
of recyclable material exceeds the capacity of the one container, additional containers shall be
provided at no cost to the resident. Replacement of containers that are stolen and/or damaged
shall be made at no cost to the resident at Grantee's discretion. Grantee will be responsible for
keeping records and making them available to the City regarding additional containers
requested, and the reason for the request, e.g. damaged, stolen, needed to handle residence
recyclables beyond capacity of one container.
3. Transportation of Materials - Grantee shall transport collected recyclable materials to a central
collection point and shall retain responsibility for the sale of such materials in a timely and
efficient manner, so as to yield the highest possible market value for the material.
Ordinance No. 2569
Page 14
4. Missed Pick-Ups - In case of a missed pick-up called in by a resident, Grantee shall, where
possible, provide collection within 24 hours. If unable to accommodate due to inadequate
notice, the materials shall be picked up on the next scheduled collection day and resident is to
be so notified. Information on missed pick-ups shall be logged by Grantee and shall be available
to the City.
5. Public Awareness Program - The Grantee will prepare an Introductory Packet of information
regarding the Citywide Single-Family Curbside Recycling Program, approved in advance by the
City, and will distribute such packet with the recycling containers to each eligible residence.
The packet shall include, but not be limited to: a) An informational brochure that details the
program elements and describes how they can participate; and b) doorknob hangers or other
methods encouraging use of the recycling container and explaining the program.
The Grantee will assist with media events, make presentations to community groups and
businesses on an as needed basis, and attend County wide meetings related to recycling,
speaking on the CiW's Curbside Recycling Program if needed. The Grantee also agrees to assist
in developing incentives to increase participation and tonnage collected, and to encourage
involvement of community and youth groups.
The Grantee and the City agree that the main purpose of an aggressive public education
program is to increase participation and diversion. Beginning in the second year, if, in the City's
judgment, it is reasonably determined that the public education effort has not resulted in high
enough program interest, the Grantee will perform reasonable public education activities at the
City's direction at a cost not to exceed $.10 of the monthly billing.
6. Local Manager - The Grantee shall at all times during the term of this agreement have a local
manager charged with the responsibility for supervision of the recycling operations and
obligations of the Grantee.
C. Obligations of City - The City shall have lead responsibility for directing the development and
expenditures of the Public Awareness Program as provided in paragraph B.(S). The City also agrees
to take such steps as may be reasonably necessary to protect recyclable materials placed at the
curbside for collection by Grantee under the terms of this Agreement and shall deliberate upon the
merits of enacting and reasonably enforcing an anti-scavenging ordinance.
D. Funding and Rates for Collection.
1. Funding Sources - The residential curbside collection program will be funded by four sources:
a monthly recycling fee to all eligible residents; revenue from the sale of collected recyclable
material; savings in disposal cost of material diverted from the landfill; and grant funds when
available and awarded.
(a) A monthly recycling fee charged to eligible residents is the primary source of funding for
this program. In general, it will be allocated equally among the customer base receiving
said recycling service and will be determined by the Grantee's operating expenses directly
attributable to the recycling program, less: revenue received from the sale of collected
recyclable material, the savings realized in disposal costs of material diverted from the
landfill, and application of grant funds. Specific fee information is outlined in paragraph
D.(2) below.
(b) All collected recyclable material will be sold at fair market value and revenues obtained
from such sales shall be retained by Grantee as an offset against operating expenses.
Ordinance No. 2569
Page 15
(c) Recyclable materials collected in the program will be diverted from disposal in the landfill,
thereby resulting in a cost savings to Grantee ("Landfill Diversion Credit'). On a monthly
basis, Grantee will determine the recycled material tonnage collected and the resulting
Landfill Diversion Credit and will credit this savings during the first year of operation as an
offset against operating expenses. When reevaluating program costs in subsequent years,
the City agrees to consider Landfill Diversion Credits of less than 100%. The amount will
be subject to negotiation and the intent is to provide an economic incentive for the Grantee
towards increased participation and program success.
(d) Any grant funds received will be applied to the costs of the program when award is noticed
or during the next rate review procedure if the award takes place once a specific rate has
been determined, with the intent of directly reducing the monthly fee to the homeowner.
2. Rates for Collection - It is the City's intent to ensure that the rates charged to the citizens for
the recycling program are appropriate and equitable. Based on experience gained in the City's
pilot curbside and other recycling programs, the recycling fee for the first period of operations
will be $1.10 per month, billed quarterly in the same manner as the trash collection fee. The
monthly fee of $1.10 per residence will be the established fee for the period beginning February
1, 2991 through March 31, 1992.
Specific rate review procedures will be prepared by the City and will be used with the
concurrence of the Grantee in consideration of all requests for rate adjustments by the Grantee.
Rate review will include adjustments for actual sale of materials and landfill diversion credits
in previous period compared to original estimated amounts. Shortfalls or overages will be used
in determining rates for upcoming periods. Rate review will be conducted annually beginning
in 3anuary 1992, and will be concluded prior to the notification deadline for the 45 day notice
of the annual CPI increase for refuse collection as referenced in Section 9 of the franchise as
amended by Ordinance No. 2104, Rates for Collection. An increase in rates for recycling
services will be subject to the same limitations and conditions for refuse collection rates listed
in Section 9.
By amending Chapter 8.24 of the Chula Vista Municipal Code, the City may establish a program
for preferential rates for senior citizens or other classifications which are deemed to be in the
public interest. The program parameters and rate structure will be determined by the City with
the concurrence of the Grantee which concurrence shall not be unreasonably withheld.
All changes to a preferential rate will be subject to the rate review and notification procedures
referenced in this paragraph as well as the limitations and conditions for refuse collection rates
listed in Section of Ordinance No. 2104.
E. Reports - Grantee shall file with the City written quarterly and annual reports of Grantee's
performance under this agreement as follows:
1. Quarterly Project Reports - Within fifteen (15) working days after the last day of each quarter,
Grantee shall submit a quarterly project report to include but not be limited to the following:
(a) Summaries of tonnage of all recyclable materials recovered, by material.
(b) Summaries of tonnages of all recyclable materials sold, by material.
(c) Market price for all recyclable materials collected from the curbside and sold by Grantee.
The weight receipts shall be available for inspection by the City.
Ordi nance No. 2569
Page 16
(d) Resident participation rates in terms of weekly set-out counts.
(e) Overall assessment of performance during the quarter.
(f) Discussion of problems and noteworthy experiences in program operation.
(g) Recommendations to increase tonnage of recyclable materials recovered.
2. Annual Report - On or before July 31 of each year of the term of this agreement, Grantee shall
submit a fiscal year-end annual report to include but not be limited to the following:
(a)A collated summary of the information contained in the quarterly reports, and a summary
of the participation rates and tonnages of recovered material.
(b)A report of public awareness activities and their impact on participation and recovered
volumes.
(e)A report of highlights and other noteworthy experiences, measures taken to resolve
problems, increase efficiency and household participation.
(d) Additional information as necessary to meet State and/or Federal mandated reporting
requirements.
F. Performance Standards - This Agreement for curbside recycling services is subject to the
performance standards and franchise conditions detailed in Section 8.23.140 Forfeiture. While it
is the intent of Section 21 to describe specific recycling collection services to be provided by the
Grantee in addition to existing refuse collection and disposal services, Grantee agrees that acceptable
performance of recycling services will be considered severable from this agreement.
G. Additional Franchise Fee - The Grantee, as part of the consideration of this agreement, agrees to pay
to the City an additional franchise fee at a rate consistent with that paid for refuse collection and
detailed in Section 8.23.040 Consideration. This rate will begin at seven percent (7%) of the annual
receipts collected by said Grantee within the City of Chula Vista from residents for the recycling
program within the City. Beginning April 1, 1991, the franchise fee shall be increased by one-half
percent (1/2%) and one-half percent (l/a%) each April thereafter until it reaches a maximum of ten
percent. It is understood that any increase in the franchise fee by the City shall be cause for the
Grantee to increase charges in order to "pass through" the cost of the franchise fee.
H. Term - It is the intent of the City that the term for the provision of Residential Curbside Recycling
Services shall be to the year 2002, subject to a two year notice of cancellation by the City without
cause which cannot be tendered sooner than the end of the third year. The services remain
cancelable for cause at any time.
I. Recycling Program Expansion - It is the City's intention to develop a comprehensive recycling
program to reduce the amount of material being disposed of in County landffils and to comply with
the mandates of the California Integrated Waste Management Act of 1989 (AB 939). Both parties
hereby agree that the City may not go out to bid for the expansion of this recycling program to
other land uses (e.g., multiple family, commercial, industrial) or other recyclable materials (e.g.,
yard waste, etc.) until after the City has met and conferred with Grantee with regard to its intent
to do so. If separate amendments to the agreement for refuse collection and disposal are not
negotiated between the City and the Grantee, the City may go out to separate bid.
Ordinance No. 2569
Page 17
SECTION XXIII: That Section 8.23.230 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.220 Residential Multi-family Recycling Services.
Grantee shall provide Residential Recycling services to all Multi-family dwellings within the territory
of the City as follows:
A. Exclusivity - The City grants to Grantee, for the term herein specified and subject to such
terminations herein allowed, the exclusive right to collect Residential Recyclables, excluding Yard
Waste, deposited in Designated Recycling Containers (or alternatively, "Containers") located at
Designated Recycling Collection or Storage Location(s) as may be identified on each Multi-family
residential parcel within the City. This grant of exclusive license is not intended and does not
preclude duly licensed non-profit organizations and community groups from conducting recycling
programs for the purpose of raising funds, nor does it preclude a person from selling or otherwise
disposing of their own Recyclables at a Buy-back Center or for donation, so long as said collection,
donation or sale does not occur at the Designated Recycling Collection or Storage Location.
However, once the Residential Recyclables have been placed in the Designated Recycling Containers
provided by the Grantee, the material ("Franchised Recyclables") becomes one of the subject matters
of this grant of franchise. The Grantee agrees to cooperate with the City in reaching a modification
to this ordinance to the extent required by law at anytime it should be deemed necessary in the
future.
B. Obligations of Grantee.
1. Implementation Schedule - Grantee shall commence and diligently implement this franchise
Citywide from the date of this franchise so that all multi-family residential complexes in the City
have Recycling Collection service by October 1, 1993 in accordance with the City's mandatory
recycling ordinance, Chapter 8.25 of the Chula Vista Municipal Code.
2. Collection - Grantee shall furnish said labor, services, materials and equipment required to
perform this franchise.
Grantee shall provide Collection and Removal services for all Franchised Recyclables subject to
the provisions of this ordinance which are placed in Designated Recycling Containers at
Designated Recycling Collection or Storage Locations, as defined by the City of Chula Vista
Municipal Code Chapter 8.25, segregated from Refuse, separated by commodity as outlined
herein, from all Multi-family residences. Grantee shall collect the Franchised Recyclables not
less than once per week and provide any additional Collection as shall be necessary to prevent
overflow of the Exterior Recycling Containers, regardless of weather conditions. Collection will
be on regularly scheduled days as shall be arranged with the building property owner, manager
or designated agent thereof. The Grantee and the City will mutually agree to any changes in
Collection schedule frequencies or Removal Frequency. Grantee will notify the buffring property
owner, manager or, designated agent thereof, of any changes in Collection dayCs) by written
notification no later than two weeks prior to the affected day, to be enforced nine months from
the date of this ordinance.
Design of Collection vehicles shall be done to limit the contamination and maximize the resale
value of collected Franchised Recyclables. Any and all changes to the established means of
Collection of Franchised Residential Recyclables, as herein outlined, shall be notified to the City
in advance, including any changes in the way that the Franchised Residential Recyclables are
collected (separated and/or commingled), design of vehicles, etc.
Ordinance No. 2569
Page 18
3. Containers - Grantee shall purchase and distribute Designated Recycling Containers, to include
the following:
a. Interior Recycling Containers. An appropriate Container to be used inside the Residential
Unit, shall be provided to each eligible Residential customer included in the Multi-family
Recycling program. The type of Container to be used or changes of Container type shall be
approved by the City prior to purchase and distribution. Grantee shall retain ownership of
the Containers.
Replacement of Containers that are stolen and/or damaged shall be made at no cost to the
resident at Grantee's discretion, up to one per Unit. If a Unit requires an additional Interior
Recycling Container beyond the maximum of two allowed, the property owner, manager or
designated agent thereof, may purchase additional interior Containers from the Grantee at
a cost not to exceed the market price of the Container and a reasonable handling charge.
Grantee will be responsible for keeping records and making them available to the City
regarding additional Containers requested, and the reason for the request, e.g., damaged,
stolen, needed to handle residence recyclables beyond capacity of one Container, etc.
b. Exteri~rRecyc~ingC~ntainers.Anappr~priateC~ntainer(s)sha~~bepr~videdf~ruseateach
Multi-family complex that meets the space restraints and Collection needs of the respective
complex and the residents therein. Said Containers may include 90 gallon carts on wheels,
2 cubic yard bin or 3 cubic yard bin. Each container shall conform to the following: slots
in lids for placement of beverage containers (circular holes of appropriate sizes) and _
newspaper (narrow slots of appropriate size); plastic containers should include recycled
plastic content; be fire resistent; be of durable quality and warranty; be heat stamped or
labeled for commodity; be clearly labeled on the lids and the front facing of the bin, in
Spanish and English (with graphics) as to the Designated Recyclable(s) and "No Trash"; be
clearly labeled with the Grantee's name and phone number.
Grantee agrees to provide to each Multi-family complex at least one Exterior Recycling
Container per complex for commingled hard recyclables {Aluminum cans, Glass Bottles and
Jars, Plastic Bottles and Tin and Bi-Metal Cans) and one Exterior Recycling Container for
Newspapers or alternatively at least one, 2- or 3- yard divided bin that effectively separates
commingled hard recyclables from Newspapers. To the extent possible, Exterior Recycling
Containers will be required to be placed ad]acent to or near the Refuse Collection
containers.
4. Transportation and Marketing of Franchised Recyclables - Grantee shall transport collected
Franchised Recyclables to a central collection and Processing point and shall retain
responsibility for the sale of such materials in a timely and efficient manner, so as to yield the
highest possible market value for the Franchised Recyclables as collected and in accordance with
any Processing contract held by the Grantee. No noncontaminated Franchised Recyclables shall
be Landfilled, unless approved by the City. Should market failure occur for one or more material
types, only the City Manager (or designee) of the City of Chula Vista may decide not to collect
the affected material. All wTitten contracts, if any, with processors, recyclers or other buyers
of Franchised Recyclables shall be submitted to the City.
Franchised Recyclables that are contaminated due to the placement of Refuse in a Designated
Recycling Container, or inclement weather that leaves the Franchised Recyclables unmarketable, -.
may be landfilled. The Grantee shall retain a record of such occurrences and report said
occurrences to the City on a quarterly basis. Should contamination occur more than twice at a
Ordinance No. 2569
Page 19
single complex said complex shall be notified. Should contamination occur at a complex three
or more times, the complex shall be notified and charged the necessary disposal fee for dumping
the contaminated recyclables as Refuse at the Landfill.
S. Missed Pick-ups - In case of missed pick-up called in by a property manager, owner or
designated agent thereof, Grantee shall, where possible, provide Collection within 24 hours. If
unable to accommodate due to inadequate notice, the Franchised Recyclables shall be picked-up
on the next scheduled collection day and the property manager is to be notified. If the
Designated Recycling Containers are overflowing or otherwise creating a Nuisance as a
consequence of a missed pick-up, the Grantee is required to provide Collection within 48 hours
of notification of missed pick-up. Information on missed pick-ups shall be logged by Grantee
and shall be available to the City.
6. Public Awareness Program - The parties hereto agree to work diligently to formulate
promotional plans and/or advertising to encourage Recycling in the City and thereby maximize
the mutual benefits of this ordinance. The Grantee, in conjunction with the City, is responsible
for promotion, education and outreach activities related to the program. The Grantee will
prepare an Introductory packet of information regarding the Citywide Multi-family Recycling
program and will distribute such packet with the Interior Recycling Containers to each eligible
residence. The packet shall include, but not be limited to: a) an informational notice,
appropriate for hanging on refrigerator or other location indoors, that details all program
elements, Recyclables to be collected, how residents can participate, use of the Interior
Recycling Container, proper placement of Recyclables in Exterior Recycling Containers, the City's
mandatory recycling ordinance and recycling hotline phone number; b) posters that can be
placed in complex hundry rooms, pool areas and other public locations that explain the
program, materials to be collected, description of program elements, the City's mandatory
recycling ordinance and recycling hotline phone number.
All promotional materials shall be developed with the City's Conservation Coordinator's or other
designated City employee's advise and consultation, from the first step in development, through
the final printing and distribution of materials. No materials shall be developed or distributed
without the approval of the Conservation Coordinator or other designated City employee. All
Introductory Materials shall be fully translated into Spanish, unless otherwise approved by the
City. All subsequent materials shall be fully or at least partially translated into Spanish, unless
otherwise approved by the City. All program materials shall utilize graphic representation of
Designated Recyclables.
The Grantee shall provide to the City a detailed outline of program promotional materials to be
developed and outreach activities to be conducted in advance of program implementation. The
Grantee will participate in community and school outreach activities during the initial phase
of program implementation and provide ongoing outreach activities, to include, but not be
limited to, Multi-family tenant and owner associations, community events, media events, make
presentations to community groups and businesses on an as needed basis and as directed by the
City, and attend County-wide meetings related to recycling, speaking on the City's Multi-family
Recycling Program if needed and directed by the City. The Grantee also agrees to reasonably
assist in developing incentives to increase participation and tonnage collected, and to encourage
involvement of community and youth groups.
The Grantee and the City agree that the main purpose of an aggressive public education
program is to increase participation and diversion, as well as limiting contamination of
Franchised Recyclables. Beginning in the second year, if, in the Cit,fs judgement, it is
reasonably determined that the public education effort has not resulted in high enough Program
Ordinance No. 2569
Page 20
interest, the Grantee will perform reasonable public education activities at the City's direction
at a cost to the Grantee not to exceed $.10 per Unit per month. If needed, as part of the
educational activities as determined by the City with input from the Grantee, the Grantee will
develop incentives to increase participation, such as, offering rewards for complexes that have
high participation levels and high tonnage levels.
The Grantee agrees to provide technical assistance to property owners, managers or designated
agent thereof and work with the City to provide said technical assistance for Program design
and implementation. The Grantee agrees to work with the City to provide ongoing Program
monitoring services and quality control to prevent contamination of materials and encourage
participation to property managers, to include on-site visitations, as deemed necessary by the
Grantee and/or the City.
The Grantee will provide to the City a quarterly accounting of all outreach activities conducted
during the previous quarter. The Grantee will also provide an accurate accounting of all costs
associated with Program outreach, to include, but not be limited to, costs for designing of
outreach materials, printing of outreach materials, etc.
7. Local Manager - The Grantee shall at all times during the term of this ordinance have a local
manager charged with the responsibility for supervision of the recycling operations and
obligations of the Grantee and agrees to provide, at a minimum, one (1), half-time person
directly assigned to the Multi-family Recycling Program, whose duties are to include:
promotional material development and distribution; program monitoring (including on-site
visitations); educational outreach to school children; community outreach.
8. Anti-scavenging - The Grantee agrees to provide information to all property owners, managers
or designated agents thereof regarding the City's anti-scavenging ordinance and how to report
scavenging occurrences. The Grantee agrees to inform all of its employees of the City's anti-
scavenging ordinance on a regular basis and how said employees shall report scavenging
C. Obligations of the City - Subject to the provisions of Paragraph B5 of this ordinance, the City shall
have lead responsibility for directing the development and expenditures of the public awareness
activities for the Multi-family Recycling Program. The City also agrees to take such steps as may
be reasonably necessary to protect the Franchised Recyclables placed in the Designated Recycling
Collection or Storage Containers placed in the Designated Recycling Collection Location(s) for
collection by Grantee under the terms of this ordinance and shall reasonably enforce the City's anti-
scavenging ordinance (CVMC, No. 2492).
If during the initial period of the franchise, or any extension thereof, the City discontinues the
separate collection of multi-family recyclables and reverts to a Mixed Waste Processing system for
commingled collection of waste and recyclables, the City agrees to allow a rate adjustment to permit
the Grantee to recover the loss incurred on the sale of vehicular equipment specifically purchased
to meet the Grantees obligations under this ordinance. Such loss will be calculated by deducting
the realizable market value of the equipment from the reasonably depreciated book value of the
equipment at the time of the sale of equipment.
D. Funding and Rates for Collection
1. Funding Sources - The Residential Multi-family Recycling Program will be funded by four
sources: a monthly recycling fee to all eligible residents (to be billed to the property manager
or resident, as with refuse billings); Net revenues from the sale of collected recyclable material;
Ordinance No. 2569
Page 21
savings in disposal cost of material diverted from the landfill; grant funds when available and
awarded.
a. A monthly recycling fee, charged to eligible residents is the primary source of funding for
this program. In general, it will be allocated equally among the customer base, as
determined by Section D.2 below, receiving said Recycling Collection services and will be
determined by the Grantee's operating expenses directly attributable to the recycling
program, less: revenues received from the sale of the collected Recyclables net of processing
and brokering fees, the savings realized in disposal costs of material diverted from the
landfill and any grant funds received for the program.
b. All collected Recyclables will be sold at fair market value, as outlined in Section B.3 above,
and net revenues obtained from such sales shall be retained by Grantee as an offset against
operating expenses. The City shall be notified of significant changes in fair market values
in writing as part of the quarterly reporting requirements.
c. Recyclables collected in the Program will be diverted from disposal in the landfill, thereby
resulting in a cost savings to the Grantee ('Landfill Diversion Credit"). On a monthly basis,
Grantee will determine the recycled material tonnage collected and the resulting Landfill
Diversion Credit based on the landfill disposal cost approved by Council for refuse collection
rates and will credit this savings during the first year of operation as an offset against
operating expenses. When reevaluating program costs in subsequent years, the City agrees
to consider Landfill Diversion Credits of less than 100 percent. The amount will be subject
to negotiation and the intent is to provide an economic incentive for the Grantee towards
increased participation and program success.
d. Any grant funds received will be applied to the costs of the Program when award is noticed
or during the next rate review procedure if the award takes place once a specific rate has
been determined, with the intent of directly reducing the monthly fee to the rate payer.
2. Rates for Collection - it is the City's intent to ensure that the rates charged to the citizens for
the Multi-family Recycling Program are appropriate and equitable. The monthly fee of $1.50
per unit will be the established fee for the period of July 1, 1993 through March 31, 1994,
billed in the same manner as the refuse collection fee.
Specific rate review procedures will be used by the City which are consistent with the
procedures used for normal Refuse Collection. Rate review will consider adjustments for actual
sale of Recyclables and Landfill Diversion Credits in previous period compared to original
estimated amounts. Shortfalls or overages will be used in determining rates for upcoming
periods. Rate review will be conducted as referenced in Section 9 of the Franchise as amended,
including the amendment created by Ordinance No. 2104, Rates for Collection. An increase in
rates for Multi-family Recycling services will be subject to the same limitations and conditions
for Refuse Collection rates listed in Section 9.
E. Record Keeping and Reports - Grantee agrees to accurately record collection data sufficient to
comply with the reporting requirements delineated below and shall file with the City written
quarterly and annual reports of Grantee's performance under this ordinance as follows:
1. Quarterly Program Reports - Within fifteen (15) working days after the last day of each quarter,
Grantee shall submit a Quarterly Program report to include, but not be limited to, the follow/ng:
Ordinance No. 2569
Page 22
a.Tonnage summaries of all Franchised Recyclables Recovered, by material and including a
revenue statement of all sales of Franchised Recyclables from the Program, by material.
b. Market price for all Recyclables collected from the Multi-family Recycling Program and sold
by the Grantee and/or its processor assignee. The weight receipts and market value for
material at the time sold shall be available for inspection by the City.
c. Total number of customers served in the Program and resident participation rates in terms
of an overall Program average. Any increases to the number of customers serviced shall
also be reflected.
d. Discussion of problems and noteworthy experiences in the Program operation, to include
specifically contamination occurrences, listed by complex. Grantee agrees to monitor each
complex at least once per year in order to reflect general participation by complex residents,
contamination problems, other problems and assess need for additional public outreach
activities.
e. Report of all education and community outreach efforts conducted during the quarter.
f. Overall assessment of performance during the quarter.
g. Recommendations to increase tonnage of Franchised Recyclable materials recovered.
2.Annual Report - On or before July 31 of each year of the term of this ordinance, Grantee shall
submit a fiscal year-end annual report to include, but not be limited to, the following:
a. A collated summary of the information contained in the quarterly reports and a summary
of the average overall Program participation rates and tonnages of recovered Franchised
Recyclables.
b. Discussion of problems and noteworthy experiences in the Program operation, measures
taken to resolve problems, increase efficiency and Program participation. Number of
complaints listed by type of complaint, i.e., missed pick-up, quality of service, etc., that
occurred during the year.
c. Report of ali education and community outreach efforts conducted during the year and a
discussion of their general impact on participation and recovered tonnages.
d. Overall assessment of performance during the year.
e. Kecommendations to increase tonnage of recydable materials recovered.
f. Additional information as necessary to meet State and/or Federal mandated reporting
requirements.
F. Performance Standards - This ordinance for Residential Multi-family Recycling services is subject
to the performance standards and franchise conditions detailed in Section 14 Forfeiture of the
franchise (ordinance No. 1993). While it is the intent of Section 22 to describe specific Multi-family
Recycling collection services to be provided by the Grantee in addition to existing refuse collection
and disposal services, Grantee agrees that unacceptable performance of recycling services will be
considered severable from its other obligations under the Franchise.
Ordinance No. 2569
Page 23
Every reasonable effort must be made by the Grantee to maintain high levels of participation in
order to reach the City's established diversion goals and assist in meeting the diversion standards
set out in Assembly Bill 939 and the City and County's Mandatory Recycling Ordinances.
G. Additional Franchise Fee - The Grantee, as part of the consideration of this ordinance, agrees to pay
to the City an additional franchise fee at a rate consistent with that paid for refuse collection and
detailed in Section 4 Consideration of the Franchise, as amended by Ordinance 2104. This rate will
begin at eight percent (8%) of the annual Gross Receipts collected by said Grantee within the City
of Chula Vista from residents for the Multi-family Recycling Program within the City, and increase
by one-half (1/2) percent in accordance with the refuse and single-family recycling franchise fee
increases. However, said franchise fee increase must be approved by City Council. It is understood
that any such increase in the franchise fee by the City shall be cause for the Grantee to increase
charges in order to "pass through" the cost of the franchise fee.
H. Term - it is the intent of the City that the term for the provision of Residential Multi-family
Recycling Services shall be to the year 2002, subject to a two year notice of cancellation by the City
without cause which cannot be tendered sooner than the end of the third year. The services remain
cancelable for cause at any time.
SECTION XXIV: That Section 8.23.230 is hereby added to the Chula Vista
Municipal Code to read as follows:
Sec. 8.23.230 Residential Yard Waste Recycling Services.
Grantee shall provide Yard Waste Recycling services to all Single-family Residences and those Multi-
family dwellings not serviced by Curbside Collection or by landscapers who haul yard waste from the
Multi-family dwelling ("Specified Multi-Family"), on the following terms and conditions:
A. Exclusivity - The City grants to Grantee, for the term herein specified and subject to such
terminations herein allowed, the exclusive right to collect Yard Waste, deposited in Designated Yard
Waste Recycling Containers (or alternatively, 'Containers") and/or bundles located at Designated
Recycling Collection or Storage Location(s) as may be identified for Single-family households and
by Specified Multi-family dwellings. This grant of exclusive license is not intended and does not
preclude duly licensed landscape contractors, non-profit organizations and community groups from
conducting recycling programs for the purpose of raising funds, nor does it preclude a person from
selling or otherwise disposing of their own Yard Waste through a landscape contractor, self-haul or
composting, so long as said collection, donation or sale does not occur at the Designated Recycling
Collection or Storage Location. However, once the Yard Waste has been placed in the Designated
Recycling Containers or at a Designated Recycling Collection or Storage Location, the material
CFranchised Recyclables") becomes one of the subject matters of this grant of franchise. The
Grantee agrees to cooperate with the City in reaching a modification to this Section to the extent
required by law at anytime it should be deemed necessary in the future.
B. Obligations of Grantee.
1. Implementation Schedule - Grantee shall commence and diligently implement this franchise
Citywide from the date of this franchise so that all single-family residences and Specified Multi-
Family residential complexes in the City have Yard Waste Recycling Collection senrice by
December 1, 1993.
Ordinance No. 2569
Page 24
2. Collection - Grantee shall furnish said labor, services, materials and equipment required to
perform this franchise. Grantee shall provide Collection and Removal services for all Yard Waste
which is placed in Designated Recycling Containers or in bundles, at Designated Recycling
Collection or Storage Locations, as defined by the City of Chula Vista Municipal Code Chapter
8.25, segregated from Refuse, from all Single-family and Specified Multi-Family residences.
Grantee shall offer collection of Yard Waste not less than once per week and provide any
additional Collection as shall be necessary to prevent overflow of the Exterior Recycling
Containers at specified Multi-family Residences. Collection will be on regularly scheduled
Refuse Collection days or as negotiated with the City for Single-family residences and as shall
be arranged with the building propen7 owner, manager or designated agent thereof for
Specified Multi-family complexes. The Grantee and the City will mutually agree to any changes
in Collection schedule frequencies or Removal Frequency.
Design of Collection vehicles shall be done to limit the contamination and maximize the
salvageable value of the collected Yard Waste. Any and all changes to the established means
of Collection of Franchised Residential Recyclables, as herein outlined, shall be notified to the
City in advance.
Acceptable materials for collection include all Yard Waste as herein defined, excluding palm
fronds, treated or processed wood or lumber, Bulky Waste or any other materials as shall be
determined by the City as to not be Salvageable. All acceptable Yard Waste shall be void of
nails, wire, rocks, dirt or any other material that is not considered Yard Waste.
3. Containers - Grantee shall purchase and distribute, or otherwise arrange for the distribution of,
Designated Recycling Containers, to include the following:
a. Yard Waste Recycling Container. A Container on wheels (approximately 65 gallons) to be
used for the collection of Yard Waste shall be offered to each eligible Residential customer
for purchase or rent. Grantee shall distribute Containers to all customers requesting use
of said Containers. The type of Container to be used or changes of Container type shall be
approved by the City prior to purchase and distribution. Grantee shall retain ownership of
the Containers unless the customer pays in full for the Container, as specified herein.
Paper (kraft) or plastic bags will not be acceptable in the program, unless negotiated
between the City and the Grantee. Properly bundled materials, such as tree limbs shall be
included in the Collection, as herein defined. Acceptable bundles shall be no longer than
four (4) feet in length, no more than eighteen (18) inches in diameter, or no heavier than
forty (40) pounds. Bundles may be tied with string or twine only; no wire, plastic or other
material may be used. Residents may provide their own "refuse" can-like Container for the
purpose of storing the Yard Waste for Colleetion. This Container must be of the type
acceptable by the City for the Collection of Refuse, in accordance with City ordinances. No
Container shall be more than 35 gallons in size and weigh more than fifty (50) pounds
when used for Storage of Yard Waste for Collection. All Containers used for the Storage of
Yard Waste shall be kept so that operational performance allows for maximum hauler
Collection efficiency.
Grantee will be responsible for keeping records and making them available to the City
regarding additional Containers requested, and the reason for the request, e.g., damaged,
stolen, etc.
b. Exterior Recycling Containers. An appropriate Yard Waste Collection and Storage
Container(s) shall be provided for use at each Multi-family complex that meets the space
Ordinance No. 2569
Page 25
restraints and Collection needs of the respective complex and the residents therein. Said
Containers may include 90 gallon carts on wheels, 2 cubic yard bin or 3 cubic yard bin.
Each container shall conform to the following: plastic containers should include recycled
plastic content; be fire resistent; be of durable quality and warranty; be heat stamped or
labeled for commodity; be clearly labeled on the lids and the front facing of the bin, in
Spanish and English (with graphics) as to the Designated Recyclable(s) and "No Trash"; be
clearly labeled with the Grantee's name and phone number.
c. Compost bins. The Grantee agrees to offer Compost Bins to all residents. The Grantee shall
arrange for a mechanism that allows for bins to be ordered through the Grantee and sold
to residents at the bulk purchasing cost (including shipping and a reasonable handling and
administration charge). Compost bin types to be considered should be sturdy and proven
state-of-the-art compost design. The Grantee may choose to offer residents a choice of two
different models, e.g., one "open composting system" and one "closed." Bins should be
composed of scrap waste wood and/or recycled plastic content. Residents shall be allowed
to purchase the bins through an ordering system designed by the Grantee, with assistance
from the City, that allows for wide distribution of the ordering mechanism (e.g., mail order
coupons) to a majority of Chula Vista residents. The franchisee will work with the City to
establish and implement the bin ordering system.
The Grantee will work with the City to provide information to the residents on bin delivery
and/or pick-up specifics, and on the use of the composting bins, once received. Bins may
be dropped or shipped to a central location in the City for pick-up by residents from that
site, provided residents are properly notified as to the pick-up point, or as an alternative
bins may be delivered directly to residential dwellings.
4. Transportation and Marketing of Franchised Recyclables - Grantee shall transport collected
Franchised Recyclables to a central collection and Processing point and shall retain
responsibility of the materials, so as to yield the highest possible Salvageable value for the
Franchised Recyclables as collected and in accordance with any Processing contract held by the
Grantee. No noncontaminated Franchised Recyclables shall be Landfilled, unless approved by
the City. Should the collected Yard Waste be unsalvageable, only the City Manager (or
designeel of the City of Chula Vista may decide not to collect the affected Yard Waste material.
All written contracts, if any, with processors, recyclers or other brokers of Franchised
R. ecyclables shall be submitted to the City.
Franchised Recyclables that are contaminated due to the placement of Refuse in a Designated
Recycling Container, or inclement weather that leaves the Franchised Recyclables unsalvageable,
may be landfilled. The Grantee shall retain a record of such occurrences and report said
occurrences to the City on a quarterly basis. Should contamination of Franchised 1~ecyclables
occur at a Single-family or Multi-family complex, said residence shall be notified. Should
contamination occur three or more times, said residence shall be notified that they are in
violation of CVMC Chapter 8.25 and that said residence in subject to penalties therein described.
In order to allow for the Yard Waste Program to fully assist the City in meeting its AB 939
obligations, the City is interested in having the collected Yard Waste processed for compost or
mulch (not biofuel). To this end, the City reserves the right to direct the Grantee to transport
the collected materials to a duly permitted composting facility in the South Bay area, if it deems
it to be in the best interest of the City. The City will negotiate with the Grantee to allow for
the most equitable and beneficial processing of the collected yard waste. City staff will assist in
the marketing of material to the extent practical and feasible.
Ordinance No. 2569
Page 26
5. Missed Pick-ups - In case of missed pick-up called in by a Single-family Resident or Multi-family
complex property manager, owner or designated agent thereof, Grantee shall, where possible,
provide Collection within 24 hours. If unable to accommodate due to inadequate notice, the
Franchised Recyclables shall be picked-up on the next scheduled collection day and Single-
family Resident or Multi-family complex owner, property manager or designated agent thereof
is to be notified. If the Designated Recycling Containers are overflowing or otherwise creating
a Nuisance as a consequence of a missed pick-up, the Grantee is required to provide Collection
within 48 hours of notification of missed pick-up. Information on missed pick-ups shall be
logged by Grantee and shall be available to the City.
6. Public Awareness Program - The parties hereto agree to work diligently to formulate
promotional plans and/or advertising to encourage Recycling in the City and thereby maximize
the mutual benefits of this ordinance. The Grantee, in conjunction with the City, is responsible
for promotion, education and outreach activities related to the program. The Grantee will
prepare an introductory packet of information regarding the Citywide Yard Waste Recycling
program and will distribute such packet to each eligible residence and Specified Multi-family
complex owners, property managers or designated agent thereof. The packet shall include, but
not be limited to: a) an informational notice, appropriate for hanging on refrigerator or other
location indoors, that details all program elements, how residents can participate, proper
placement of Yard Waste in Containers or Bundles, the City's mandatory recycling ordinance and
recycling hotline phone number; and, b) a general information brochure on composting;
A "pay as you go" sticker designed with a tear-off portion to allow the Yard Waste Collection
driver to remove the tear-off portion once the materials are collected shall also be made
available to Program participants. The Grantee, with assistance from the City, shall arrange for
distribution of the stickers through at least t~vo retail outlets, the Grantee's business location,
and other locations, as necessary, to be negotiated.
All promotional materials shall be developed with the City's Conservation Coordinator's or other
designated City employee's advise and consultation, from the first step in development, through
the final printing and distribution of materials. No materials shall be developed or distributed
without the approval of the Conservation Coordinator or other designated City employee. All
Introductory Materials shall be fully translated into Spanish, unless otherwise approved by the
City. All subsequent materials shall be fully or at least partially translated into Spanish, unless
otherwise approved by the City. All program materials shall utilize graphic representation of
Designated Recyclables. The franchisee will be required to distribute the City's composting
guide {upon resident request) and other City developed yard waste related informational
materials; the City will provide copies of guides and City developed materials at no cost to the
negotiated franchisee.
The Grantee shall provide to the City a detailed outline of program promotional materials to be
developed and outreach activities to be conducted in advance of program implementation. The
Grantee will participate in community and school outreach activities during the initial phase
of program implementation and provide ongoing outreach activities, to include, community
events, media events, make presentations to community groups and businesses on an as needed
basis and as directed by the City, and attend County-wide meetings related to recycling,
speaking on the City's Yard Waste Recycling Program if needed and directed by the City. The
Grantee also agrees to reasonably assist in developing incentives to increase participation and
tonnage collected, and to encourage involvement of community and youth groups. All such Yard
Waste Program outreach may be conducted in conjunction with the other franchised Recycling
programs, upon approval by the City.
Ordinance No. 2569
Page 27
The Grantee and the City agree that the main purpose of an aggressive public education
program is to increase participation and diversion, as well as limiting contamination of
Franchised Recyclables. Beginning in the second year, if, in the City's judgement, it is
reasonably determined that the public education effort has not resulted in high enough Program
interest, the Grantee will perform reasonable public education activities at the City's direction
at a cost to the Grantee to be agreed upon by the City and added to the cost of the Program fee,
not to exceed $.10 per Unit per month. If needed, as part of the educational activities as
determined by the City with input from the Grantee, the Grantee will develop incentives to
increase participation, such as, offering rewards for program participants that have high
participation levels and high tonnage levels.
The Grantee agrees to work with the City to provide ongoing Program monitoring services and
quality control to prevent contamination of materials and encourage participation to property
managers, to include on-site visitations, as deemed necessary by the Grantee and/or the City.
The Grantee will provide to the City a quarterly accounting of all outreach activities conducted
during the previous quarter. The Grantee will also provide an accurate accounting of all costs
associated with Program outreach, to include, but not be limited to, costs for designing of
outreach materials, printing of outreach materials, etc.
7. Local Manager - The Grantee shall at all times during the term of this ordinance have a local
manager charged with the responsibility for supervision of the recycling operations and
obligations of the Grantee and agrees to provide, at a minimum, one {1), quarter-time person
directly assigned to the Yard Waste Program, whose duties are to include: promotional material
development and distribution; program monitoring (including on-site visitations); educational
outreach to school children; community outreach and reporting duties.
8. Anti-scavenging - The Grantee agrees to provide information to all property owners, managers
or designated agents there of regarding the City's anti-scavenging ordinance and how to report
scavenging occurrences. The Grantee agrees to inform all of its employees of the City's anti-
scavenging ordinance on a regular basis and how said employees shall report scavenging
C. Obligations of the City - Subject to the provisions of Paragraph B5 of this ordinance, the City shall
have lead responsibility for directing the development and expenditures of the public awareness
activities for the Yard Waste Recycling Program.
The City agrees to reasonably enforce all Program specifications. This includes the following: that
Single-family residents and Multi-family complexes are allowed to place up to five containers (to be
no more than 3S gallons in size each) and/or bundles at the Designated Collection Location per
"pay-as-you-go" sticker; the City's mandatory recycling ordinance requirements as they pertain to
Yard Waste and as described herein; and, Yard Waste Container specifications.
If during the initial period of the franchise, or any extension thereof, the City discontinues the
separate collection of multi-family recyclables and reverts to a Mixed Waste Processing system for
commingled collection of waste and recyclables, the City agrees to allow a rate adjustment to permit
the Grantee to recover the loss incurred on the sale of vehicular equipment specifically purchased
to meet the Grantees obligations under this ordinance. Such loss will be calculated by deducting
the realizable market value of the equipment from the reasonably depreciated book value of the
equipment at the time of the sale of equipment.
Ordinance No. 2569
Page 28
D. Funding and Rates for Collection.
1. Funding Sources - The Residential Yard Waste Recycling Program will be funded by four
sources: a monthly recycling fee to all eligible residents (to be billed to the property manager
or resident, as with refuse billings); Net revenues from the sale of collected Yard Waste material,
at such time as the market provides revenues for Yard Waste; savings in disposal cost of
material diverted from the landfill; grant funds when available and awarded.
a. A monthly recycling fee, charged to eligible residents is the primary source of funding for
this program. In general, it will be allocated equally among the customer base, as
determined by Section D.2 below, receiving said Recycling Collection services and will be
determined by the Grantee's operating expenses directly attributable to the recycling
program, less: any such revenue that shall be received from the sale of the collected
Recyclables at such time that the market allows, the savings realized in disposal costs of
material diverted from the landfill and any grant funds received for the program.
b. All collected Recyclables will be marketed at fair salvageable value, as outlined in Section
B.3 above, and any such net revenues as shall be obtained from such sales shall be retained
by Grantee as an offset against operating expenses. The City shall be notified of significant
changes in fair salvageable values in writing as part of the quarterly reporting requirements.
c. Recyclables collected in the Program will be diverted from disposal in the landfill, thereby
resulting in a cost savings to the Grantee ("Landfill Diversion Credit"). On a monthly basis,
Grantee will determine the recycled material tonnage collected and the resulting Landfill
Diversion Credit based on the landfill disposal cost approved by Council for refuse collection
rates and will credit this savings during the first year of operation as an offset against
operating expenses. When reevaluating program costs in subsequent years, the City agrees
to consider Landfill Diversion Credits of less than 100 percent. The amount will be subject
to negotiation and the intent is to provide an economic incentive for the Grantee towards
increased participation and program success.
d. Any grant funds received will be applied to the costs of the Program when award is noticed
or during the next rate review procedure if the award takes place once a specific rate has
been determined, with the intent of directly reducing the monthly fee to the rate payeL
2. Rates for Collection - It is the Ciry's intent to ensure that the rates charged to the citizens for
the Yard Waste Recycling Program are appropriate and equitable. The City hereby establishes
the following fees and charges for Residential Yard waste services, based on using the service,
using the senrice with a resident's own container, or using the service with a Laidlaw-provided
container, either rented or purchased. These fees and charges are subject to change by the
Council by resolution from time to time as the Council determines necessary. The Council
directs that the below listed fees and charges shall be placed in the City's Master Fee Schedule,
and any amendments hereto shall be by resolution amending said Master Fee Schedule:
Optional Service Levels. Each Item below is in the alternative:
1. Charge if Resident is Not Using System* $0.00
Ordinance No. 2569
Page 29
2. Subscription Services, Monthly Fee with Rental
A. For Laidlaw Container Rental $1.00
B. For Weekly Collection Services*** $2.00**
Total Monthly Fee for Services With Rental $3.0__0
3.Subscription Services, Monthly Fee with
Purchase of Container.
A. For Weekly Collection Services*** $2.00
B. One-Time Laidlaw Container Purchase Price $50.00-$70.00*
4. Pay-As-You Go Services, Sticker Purchases
A. For 5 cans or bundles per Sticker $1.00
Notes to Service Charges
* Requires tomposting ofyardwaste (consistent with rules and regulations for composting
in Sections 8.25,040 and 8.25.090) or self-haul. Yardwaste may no longer be put in
regular trash.
** Purchase of Laidlaw Container Required If Resident Desires Not to Rent Laidlaw
Container. See Item 3 Below.
*** Service price entitles Resident to put out weekly 1 Laidlaw container (65 gal) and up
to 6 bundles in addition to the Laidlaw container.
Specific rate review procedures will be used by the City which are consistent with the
procedures used for normal Refuse Collection. Council intends to provide annual reviews of the
aforementioned fees and charges, and currently intends that same shall occur on or about May
31st of each year. Rate review will consider adjustments for actual sale of Recyclables and
Landfill Diversion Credits in previous period compared to original estimated amounts. Shortfalls
or overages will be used in determining rates for upcoming periods. Rate review will be
conducted as referenced in Section 9 of the Franchise as amended, including the amendment
created by Ordinance No. 2104, Rates for Collection. An increase in rates for Yard Waste
Recycling services will be subject to the same limitations and conditions for Refuse Collection
rates listed in Section 9.
E. Record Keeping and Reports - Grantee agrees to accurately record collection data sufficient to
comply with the reporting requirements delineated below and shall file with the City written
quarte~y and annual reports of Grantee's performance under this ordinance as follows:
1. Quarterly Program Reports - Within fifteen (15) working days after the last day of each quarter,
Grantee shall submit a Quarte~y Program report to include, but not be limited to, the following:
a. Tonnage summary of all Franchised Recyclables Recovered, by material and including a
revenue statement of all sales of Franchised Recyclables from the Program, by material.
Ordinance No. 2569
Page 30
b. Salvageable value for all Recyclables collected from the Yard Waste Recycling Program by
the Grantee and/or its processor assignee. The weight receipts and salvageable value for
material at the time processed shall be available for inspection by the City.
c. Total number of customers served in the Program and resident participation rates in terms
of an overall Program average. Any increases to the number of customers serviced shall
also be reflected.
d. Discussion of problems and noteworthy experiences in the Program operation, to include
specifically contamination occurrences, listed by Residence. Grantee agrees to monitor
Program participation to reflect general participation by residents, contamination problems,
other problems and assess need for additional public outreach activities.
e. Report of all education and community outreach efforts conducted during the quarter.
f. Overall assessment of performance during the quarter.
g. Recommendations to increase tonnage of Franchised Recyclable materials recovered.
2. Annual Report - On or before July 31 of each year of the term of this ordinance, Grantee shall
submit a fiscal year-end annual report to include, but not be limited to, the following:
a. A collated summary of the information contained in the quarterly reports and a summary
of the average overall Program participation rates and tonnages of recovered Franchised
Recyclables.
b. Discussion of problems and noteworthy experiences in the Program operation, measures
taken to resolve problems, increase efficiency and Program participation. Number of
complaints listed by type of complaint, i.e., missed pick-up, quality of service, etc., that
occurred during the year.
c. Report of all education and community outreach efforts conducted during the year and a
discussion of their general impact on participation and recovered tonnages.
d. Overall assessment of performance during the year.
e. Recommendations to increase tonnage of recyclable materials recovered.
f. Additional information as necessary to meet State and/or Federal mandated reporting
requirements.
F. Performance Standards - This ordinance for Residential Yard Waste Recycling sentices is subject to
the performance standards and franchise conditions detailed in Section 14 Forfeiture of the franchise
(Ordinance No. 1993). While it is the intent of Section 23 to describe specific Yard Waste collection
services to be provided by the Grantee in addition to existing refuse collection and disposal services,
Grantee agrees that unacceptable performance of recycling services will be considered severable
from its other obligations under the Franchise.
Every reasonable effort must be made by the Grantee to maintain high levels of participation in
order to reach the City's established diversion goals and assist in meeting the diversion standards
set out in Assembly Bill 939 and the City and Count3/s Mandatory Recycling Ordinances.
Ordinance No. 2569
Page 31
G. Additional Franchise Fee - The Grantee, as part of the consideration of this ordinance, agrees to pay
to the City an additional franchise fee at a rate consistent with that paid for refuse collection and
detailed in Section 4 Consideration of the Franchise, as amended by Ordinance 2104. This rate will
be set at eight percent (8%) of the annual Gross Receipts collected by said Grantee within the City
of Chula Vista from residents for the Yard Waste Recycling Program within the City unless increased
by resolution of the City Council. It is understood that any such increase in the franchise fee by the
City shall be cause for the Grantee to increase charges in order to "pass through" the cost of the
franchise fee.
H. Term - it is the intent of the City that the term for the provision of Residential Yard Waste Recycling
Senrices shall be to and until October 21, 2002, subject, however, to the right of the City to cancel
same upon giving a two year notice of cancellation by the City without cause which cannot be
tendered sooner than the end of the third year from the date of the adoption of the ordinance
enacting this Section. The services remain cancelable for cause at any time.
SECTION XXI: This ordinance shall take effect and be in full force and
effect on the thirtieth day from and after its adoption.
Presented and Approv s to form by
Ordinance No. 2569
Page 32
PASSED, APPROVED and ADOPTED by the City Council of the City of Chula Vista,
California, this 21-t-Frday of September, 1993, by the following vote:
AYES: Councilmembers: Fox, Horton, Moore, Rindone, Nader
NOES: Councilmembers: None
ABSENT: Councilmembers: None
ABSTAIN: Councilmembers: None
Tim Nader, Mayor
ATTEST:
Beverly ~. Authelet, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO ) ss.
CITY OF CHULA VISTA )
I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do
hereby certify that the foregoing Ordinance No. 2569 had its first reading on
September 14, 1993, and its second reading and adoption at a regular meeting of
said City Council held on the 21th day of September, 1993.
Executed this 21th day of September, 1993.
Beverly ~/Authel~t, City Clerk