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HomeMy WebLinkAbout2017-08-22 - RESOLUTIONS - TEMP BIN AND ROLL-OFF WASTE MGMT SERVICE FROM RECO (2)RESOLUTION NO. 17-76 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA, CALIFORNIA, APPROVING THE TRANSFER OF EXCLUSIVE FRANCHISEE RIGHTS FOR TEMPORARY BIN AND ROLL -OFF BOX SOLID WASTE MANAGEMENT SERVICE FROM RECOLOGY LOS ANGELES TO ARACO ENTERPRISES, LLC, AN AFFILIATE OF ARAKELIAN ENTERPRISES, INC., DBA ATHENS SERVICES DUE TO THE SALE OF BUSINESS WHEREAS, Article XI, Section 7 of the California Constitution authorizes cities to protect public health and safety by taking measures in furtherance of their authority over police and sanitary matters; and WHEREAS, the Legislature of the State of California, by enactment of the California Integrated Waste Management Act of 1989, also known as AB 939 (Act), established a solid waste management process, which requires cities and other local jurisdictions to implement plans for source reduction, reuse, and recycling as integrated waste management practices for solid waste attributed to sources within their respective jurisdictions; and WHEREAS, California Public Resources Code Section 40059 provides that aspects of solid waste handling of local concern include, but are not limited to, frequency of collection, means of collection and transportation, level of services, charges and fees, and nature, location and extent of providing solid waste services, and whether the services are to be provided by means of nonexclusive, partially exclusive, or wholly exclusive franchise, contract, license or otherwise, which may be granted by local government under terms and conditions prescribed by the governing body of the local agency; and WHEREAS, the Santa Clarita Municipal Code implements Article XI, Section 7 of the California Constitution and California Public Resources Code Section 40059 in the City of Santa Clarita (City); and WHEREAS, the City is obligated to protect the public health and safety of the residents of the City and arrangements made by solid waste enterprises and recyclers for the collection of temporary bin and roll -off solid waste should be made in a manner consistent with the exercise of the City's police power for the protection of public health and safety; and WHEREAS, on February 17, 2006, the City entered into a Temporary Bin and Roll -Off Box Solid Waste Agreement (Agreement), Contract 06-00025, such Agreement, as amended by the First and Second Amendments referred to in the last recital hereof, the Agreement with Crown Disposal Co., Inc.; and WHEREAS, Crown Disposal Co., Inc., sold substantially all of its assets to Recology Los Angeles or an affiliate thereof, and WHEREAS, on March 10, 2015, the City approved the transfer of the Agreement and franchise to Recology Los Angeles and entered into a Temporary Bin and Roll -Off Box Solid Waste Agreement, Contract 06-00025, such Agreement, as amended by the Third Amendment referred to in the last recital hereof, the Agreement with Recology Los Angeles; and WHEREAS, Recology Los Angeles sold a substantial portion of its assets to Araco Enterprises, LLC, affiliates of Arakelian Enterprises, Inc., dba Athens Services, requires in Section 23, a resolution of the City Council approving any transfer by Recology Los Angeles; and WHEREAS, the City and Araco Enterprises, LLC are mindful of the provisions of the laws governing the safe collection, transport, recycling, and disposal of temporary bin and roll- off solid waste, including the Act, the Resource Conservation and Recovery Act, 42 U.S.C. Sections 6901, and what follows, and the Comprehensive Environmental Response, Compensation, and Liability Act, 42 U.S.C. Sections 9601, and what follows; and WHEREAS, the City and Araco Enterprises, LLC desire to leave no doubts as to their respective roles and to make it clear that by allowing the transfer from Recology Los Angeles to Araco Enterprises, LLC, the City is not thereby becoming a generator or an arranger, as those terms are used in the context of CERCLA Section 107(a)(3), and that it is Araco Enterprises, LLC, an independent entity, not the City, which will arrange to collect temporary bin and roll -off solid waste from premises in the City, and to transport for recycling and disposal, and dispose of temporary bin and roll -off solid waste, which may contain small amounts of household products with the characteristics of hazardous waste, collect and compost green waste, and collect and recycle recyclable solid waste from premises in the City, and collect and recycle or dispose of construction and demolition materials; and WHEREAS, Araco Enterprises, LLC agrees to abide by the Agreement and by those Amendments to Contract 06-00025, set forth in the First Amendment approved by the Santa Clarita City Council on June 9, 2009, Resolution 09-41, the Second Amendment approved by the Santa Clarita City Council on December 9, 2010, Resolution 10-89, and the Third Amendment approved by the Santa Clarita City Council on March 10, 2015, Resolution 15-08, and the Fourth Amendment approved by the Santa Clarita City Council on October 27, 2015, Resolution 15-72. NOW, THEREFORE, the City Council of the City of Santa Clarita does hereby resolve as follows: SECTION 1. Transfer Franchise: City hereby consents to the assignment of the Agreement, and the franchise provided for therein, from Recology Los Angeles to Araco Enterprises, LLC, effective as of the date hereof. Upon the date hereof, Araco Enterprises, LLC shall be successor in interest to the Recology Los Angeles franchise and shall with those other solid waste enterprises granted similar franchises, have an exclusive duty, right, and privilege to collect, transport, process, recycle, compost, retain, and dispose of all temporary bin and roll -off solid waste, as defined in the Agreement, produced, generated and/or accumulated at premises in the City, except as provided below or elsewhere in the Agreement. The collection and disposal of residential solid waste from single-family and multi -family residences or other similar places is not within the scope of the Agreement, but is within the scope of a separate residential 2 agreement. The collection and disposal of construction and demolition materials from residential and commercial premises through the use of roll -off or other bins is within the scope of the Agreement. However, accumulation, collection, and recycling or disposal of construction and demolition materials by a licensed contractor, such as a roofing contractor performing work within the scope of the contractor's license, and removing a roof and installing a new roof, using equipment owned or leased by the contractor, is not within the scope of the Agreement. SECTION 2. Term of Franchise: Araco Enterprises, LLC accepts and acknowledges that collection services under the aforementioned franchise and the Agreement shall be provided for a period terminating at midnight on June 30, 2018, unless sooner terminated. SECTION 3. Cash Bond: The City has on file a cash bond from Recology Los Angeles, as required by Section 18 of the Agreement. That bond shall remain with the City until Araco Enterprises, LLC deposits with the City a cash bond meeting the requirements of Section 18. After the deposit of Araco Enterprises, LLC's bond, the City shall within a reasonable period return Recology Los Angeles' bond, or Recology Los Angeles may terminate same. SECTION 4. Bin Labeling: Notwithstanding anything to the contrary in Section 22.E of the Agreement, Araco Enterprises, LLC will not be obligated to pay the City liquidated damages if a bin is out of compliance with Section 7 of the Agreement at any time within the 90 -day period following the effective date of assignment of the Agreement. SECTION 5. Remainder of Agreement Intact: Except as specifically identified in this Resolution, terms of the Agreement, including the First, Second, Third, and Fourth Amendments remain in full force and effect. The City Clerk shall certify to the adoption of this Resolution. PASSED, APPROVED, AND ADOPTED this 22nd day of August 2017. MAYOR ATTEST: CITY CLERK DATE: C f" 5 2 o p STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) I, Mary Cusick, City Clerk of the City of Santa Clarita, do hereby certify that foregoing Resolution No. 17-76 was duly adopted by the City Council of the City of Santa Clarita at a regular meeting thereof held on the 22nd day of August 2017, by the following vote: AYES: COUNCILMEMBERS: Weste, Miranda, McLean, Kellar, Smyth NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None CITY CLERK C!