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HomeMy WebLinkAboutAgenda Packet - January 31, 2011 - UB A 7 1SA IIGNT Rd'ATFR AGENDA REGULAR MEETING OF AZUSA UTILITY BOARD AZUSA LIGHT & WATER JANUARY 31, 2011 729 N. AZUSA AVENUE 6:30 P.M. AZUSA, CA 91702 AZUSA UTILITY BOARD ROBERT GONZALES CHAIRPERSON KEITH HANKS JOSEPH R. ROCHA VICE CHAIRPERSON BOARD MEMBER URIEL E. MACIAS ANGEL CARRILLO BOARD MEMBER BOARD MEMBER 6:30 P.M. Convene to Regular Meeting of the Azusa Utility Board • Call to Order • Pledge to the Flag • Roll Call A. PUBLIC PARTICIPATION 1. (Person/Group shall be allowed to speak without interruption up to five (5) minutes maximum time, subject to compliance with applicable meeting rules. Questions to the speaker or responses to the speaker's questions or comments shall be handled after the speaker has completed his/her comments. Public Participation will be limited to sixty(60) minutes time.) 1 001 B. UTILITIES DIRECTOR COMMENTS C. UTILITY BOARD MEMBER COMMENTS D. CONSENT CALENDAR The Consent Calendar adopting the printed recommended action will be enacted with one vote. If Staff or Councilmembers wish to address any item on the Consent Calendar individually, it will be considered under SPECIAL CALL ITEMS. 1. Minutes. Recommendation: Approve minutes of regular meeting on November 22, 2010 as written. Nov-10 Minutes.pdf 2. Underground Electric Conduits Across Gladstone Street Near Intersection at Duggan Ave. Recommendation: Approve the selection of MJ Star-Lite Inc. to furnish and install underground electric conduits across Gladstone Street near intersection at Duggan Avenue in amount not-to-exceed $37,048. Conduit Replcnt Bid.pdf 3. Water Main Replacement Project W-266A. Recommendation: Approve the advertisement and solicitation of bids for Project W-266A, Water Main Replacement in Hilltop Avenue in Azusa and in San Bernardino Road and Workman Avenue in West Covina. Water Main Replant Project W-266A.pdf 4. Hsu-Canyon Filtration Plant Engineering Report. Recommendation: (1) Approve scope of work of request for proposals (RFP) to prepare the Hsu-Canyon Filtration Plant Engineering Report for the California Department of Public Health; and (2) authorize staff to solicit proposals from qualified consultants to prepare said Report. - 11C4- ,Parka "Web. RFP for CFP RFP Letter to Engineering Report.p Engineers DPH Engin( 2 002 E. SCHEDULED ITEMS 1. California Resource Connections, Incorporated (CRC) Funding Request. Recommendation: Consider (1) Approval of Memorandum of Understanding (MOU) with CRC to provide CRC with $39,822 in funding for an Educational Community Garden and Compost Demonstration Site at Memorial Park and authorize the Director of Utilities to execute MOU; and (2) approval of budget amendment for same amount from Fund 39 to fund the project. CRC Funding Diagram pdf CRC-Azusa-MOU.pdf CRC Proposal.pdf Request.pdf 2. Commercial Recycling Program Contract Award. Recommendation: Approve (1) selection of proposal by E. Tseng and Associates in amount not-to-exceed $128,450 to provide technical services for the implementation of a commercial recycling program in the City of Azusa; and (2) budget amendment in same amount from Fund 39 to fund contract award. Eaf- 121f Lft ComRecyclingRpt.pd Tseng-BusinessRecy f clingProposal.pdf 3. Power Supply/Rate Impact Assessment Tool. Recommendation: (1) Approve the scope of work for a Power Supply/Rate Impact Assessment Tool; and (2) authorize staff to solicit proposals. __ I,;; Rate Assessment Rate Impact RFP.pdf Spec.pdf 4. February 28, 2011 Utility Board Meeting. (Verbal) F. STAFF REPORTS/COMMUNICATIONS 1. Update on the Revised Service Agreement for Wholesale Distribution Service between Southern California Edison and Azusa Light &Water. 9 SCE Metering Agreement.pdf 3 00 '3 G. ADJOURNMENT 1. Adjournment. "In compliance with the Americans with Disabilities Act, if you need special assistance to participate in a city meeting, please contact the City Clerk at 626-812-5229. Notification three (3) working days prior to the meeting or time when special services are needed will assist staff in assuring that reasonable arrangements can be made to provide access to the meeting." "In compliance with Government Code Section 54957.5, agenda materials are available for inspection by members of the public at the following locations: Azusa City Clerk's Office - 213 E. Foothill Boulevard, Azusa City Library- 729 N. Dalton Avenue, and Azusa Light& Water-729 N. Azusa Avenue,Azusa CA." 4 004 AZUS.A VONT & 'WATER CITY OF AZUSA MINUTES OF THE REGULAR MEETING OF THE AZUSA UTILITY BOARD/CITY COUNCIL MONDAY,NOVEMBER 22,2010—6:30 P.M. The Utility Board/City Council of the City of Azusa met in regular session,at the above date and time,at the Azusa Light and Water Conference Room, located at 729 N. Azusa Avenue, Azusa, California. Chairman Gonzales called the meeting to order. Call to Order ROLL CALL Roll Call PRESENT: BOARD MEMBERS: GONZALES, CARRILLO, MACIAS, HANKS, ROCHA ABSENT: BOARD MEMBERS: NONE ALSO PRESENT: Also Present City Attorney Ferre,City Manager Delach,Assistant City Manager Makshanoff,Director of Utilities Morrow, Assistant to the Director of Utilities Kalscheuer, Business Development/Public Benefits Coordinator Reid, Assistant Director of Electric Operations Langit, Captain Momot, City Clerk Mendoza, Deputy City Clerk Toscano. PUBLIC PARTICIPATION Pub Part None. None UTILITIES DIRECTOR COMMENTS Dir Comments Director of Utilities Morrow provided information regarding upcoming item regarding an update on a Power Dir of Utilities Sales Agreement between the City and the Southern California Public Power Authority for the La Paz Solar Comments Tower Project. He also provided an update on the San Juan project and alternatives. UTILITY BOARD MEMBER COMMENTS Brd Mbr Cmts Moved by Board Member Carrillo, seconded by Board Member Hanks and unanimously carried to approve a Cert of Recog. Certificate of Gratitude from the City of Azusa to Mr. Bill Baca, field Representative for Senator Gloria B. Baca Romero, to be awarded at the December 6th City Council Meeting. Board Member Rocha wished all a Happy Holidays and safe Thanksgiving. Rocha Hpy Hol Chairman Gonzales asked that the Utility Board Meeting of December 27, 2010, be cancelled in light of the Gonzales Holidays. City Attorney Ferre responded stating that no vote was needed, only direction to Staff in order to Cancel Mtg post the notice of cancellation of the meeting. 005 The CONSENT CALENDAR consisting of Items D-1 through D-4, were approved by motion of Board Consent Cal Member Carrillo,seconded by Board Member Hanks and unanimously carried.Hanks abstained from Minutes. Appvd 1. The minutes of the regular meeting of October 25, 2010, were approved as written. (Hanks abstn) Minutes 2. Approval was given for the selection of Applied Engineering Concepts(AEC)to perform maintenance on Circuit Breaker seven outdoor vacuum circuit breakers at the Azusa Substation 12kV East in amount not-to-exceed Maint AEC $16,660. 3. Approval was given for the purchase of a new 40' insulating hydraulic aerial service truck for Electric Pur Aerial Svs Division and the bid was awarded to Terex Utilities Incorporated in amount not-to-exceed$ 124,984.40 Truck including tax. 4. Approval was given for the lease of City owned property at the Heck Reservoir on San Gabriel Canyon Site Lease Road and the City Manager was authorized to enter into and sign the communication lease agreement T-Mobile with T-Mobile. SCHEDULED ITEMS Sched Items Net Generator Payment Schedule. Net Generator Assistant to the Director of Utilities Kalscheuer presented the background information regarding the item and C. Kalscheuer stated that staff is proposing a"net"solar energy buy-back rate of 9.041 cents per kWh for FY 11. The rate Comments equals AL&W's average power supply cost for FY 11 and rate applies only if customers generate more than they consume over a 12 month period and rate would be administratively recalculated based on future fiscal year budgets. He responded to questions posed by the Board Members. Board Member Hanks offered a Resolution entitled: A RESOLUTION OF THE AZUSA UTILITY BOARD OF THE CITY OF AZUSA,AMENDING AZUSA Res. 10-C88 LIGHT & WATER'S RULES AND REGULATIONS TO INCLUDE A NET GENERATOR PAYMENT Amend L&W SCHEDULE FOR ELECTRIC UTILITY CUSTOMERS. Rules/Regs Include Net Moved by Board Member Hanks, seconded by Board Member Rocha to waive further reading and adopt. Generator Resolution passed and adopted by the following vote of the Board Members: Payment Schedule AYES: BOARD MEMBERS: GONZALES, CARRILLO, MACIAS, HANKS, ROCHA NOES: BOARD MEMBERS: NONE ABSENT: BOARD MEMBERS: Modification of Distributed Solar Program in Compliance with State Senate Bill 1 (SB 1). Solar Pgrm Business Development/Public Benefits Coordinator Reid addressed the item stating that in 2006 Senate Bill 1 P. Reid was adopted to make available up to$3 billion in solar rebates over ten years to promote distribution solar in Comments California. Azusa's share of the state rebate goal is $3 million or about $3000K per year. In June 2006, Utility Board approved implementation of a solar rebate program in compliance with Senate Bill 1. Since program inception, Azusa has paid $330K in rebates for 83 KW of production. Current rebate reservations total $403K for about 125 KW of solar power. He talked about the Solar Rebate Levels and Other Program Updates. He responded to questions posed by Board Members. Moved by Board Member Carrillo, seconded by Board Member Macias and unanimously carried to approve Solar Partner- the updated Solar Partnership Program, which includes a 7%reduction in solar rebate level. ship Program Updated 11/22/10 PAGE TWO 006 Advanced Utility Meter Infrastructure and Smarter Grid Plan Development. Smart Grid Assistant Director of Electric Operations Langit presented the subject item providing background information F. Langit regarding the Smart Meters also called "AMI" or Advanced Metering Infrastructure which allow 2 way Comments communications between meter and utility. Uses include enhanced customer service,tamper detection,power quality monitoring, outage management, load forecasting, etc. He stated that there is a need to obtain outside expertise for the complex activity. The Scope of work would evaluate various facets of plan development. Moved by Board Member Hanks,seconded by Board Member Carrillo and unanimously carried to approve the RFP Smarter Request for Proposals(RFP)scope of work for Advanced Utility Meter Infrastructure and Smarter Grid Plan, Grid Plan and authorize staff to finalize and issue the RFP to solicit proposals. Appvd Agency Agreement Between Financing Authority for Resource Efficiency in California(FARECaI)and the FARECaI City of Azusa. Director of Utilities Morrow presented the FARECaI(Financing Agency for Resource Efficiency in California) G. Morrow item providing background that it was formed in 1993, it is a Joint action agency under California law,they Comments have the authority to issue debt for utility projects of which Azusa has outstanding indebtedness. California Municipal Utilities Association is the administrator and Treasurer for FARECaI and has requested that Azusa assist them by providing and overseeing auditing and accounting of FARECaI and staff would like to issue an RFP for the services. Moved by Board Member Carrillo,seconded by Board Member Hanks and unanimously carried to approve the Agmt Agency Agreement between FARECaI and the City of Azusa and authorize staff to issue a Request for w/FARECaI Proposal (RFP)on behalf of FARECaI for auditing, accounting and record-keeping services, in compliance And RFP with the agreement. Auditing Svs STAFF REPORTS/COMMUNICATIONS Staff Rpts Assistant Director of Electric Operations Langit presented the Electric Vehicle Opportunities and Challenges Elect Vehicle detailing the potential impact EV may have on the Azusa Light&Water. He stated that there will be increased Opportunities electricity demand in existing residential homes or businesses,potential upgrades of existing electric facilities serving the premises of EV owners when multiple EV chargers are used concurrently within the area,utilities Rules & Regulation pertaining to sale of electricity solely used for EV charging, advanced metering and accounting of EV charging consumption, integration of EV in the overall development of smarter electronic distribution system and potential economic development for cities that embrace EV. Discussion was held between staff and Board Members regarding potential impacts. He stated that staff will continue to work to develop EV charging policies, return to Utility Board early in 2011 with recommendation issues which will include whether to separately meter, whether to establish a special rate to encourage off peak charging, AL&W's role, if any, in installing home charging equipment, who pays for external electric system improvements if any, and promotion/funding of community charging stations. Assistant to the Director of Utilities Kalscheuer presented the Electric and Water Funds FY 2010-11 First Electric & Quarter Report summarizing first the Electric 1S` quarter Statistics as follows: Sales at 26% of budget, Water Revenue at 28% of budget, Operating Expenses at 26% of budget, Capital Outlays at 6% of budget, Net Quarter Report "income"+$571K(vs-$3.1M FY budget),Debt Coverage of 8.8(1.10 is min.),Cash of$11.7M($12.6M min. target) and conclusion is modest progress. Water Summary 1S`Quarter Statistics: Sales at 31% of budget, Revenues at 28% of budget, Operating Expenses at 21% of budget, Capital Outlays at 2% of budget, Net "income" +$1.1M (vs-$2.4M FY budget), Debt Coverage of 2.3 (1.5 min.), Cash of$26.2M ($25M min. target), Conclusion is all is well. Assistant to the Director of Utilities Kalscheuer presented the California Resource Connection River Walk and California Compost Workshop Report stating that on January 25,2010 the Utility Board approved a request to fund the Resource two programs. Connection Programs 11/22/10 PAGE THREE Update 007 The River Walk&Litter Clean-up was held on April 17,2010 where the Clean-up was of a portion of the San River Walk Gabriel River, total event cost was$31,912, AL&W share was$7,400, attendance was 85 people aged 3-65 &Litter Clean- year old and 500 pounds of trash was collected. up The Backyard Composting Workshop was held on April 10,2010 at the North Recreation Center,77 people Backyard attended including 15 volunteers, the cost of the event was $17,925, AL&W share was $7,425, water Composting conservation and composting education was provided and 55 composting bins were distributed. Workshop Mr. Kalscheuer talked about the proposed Community Gardens and stated that information would be provided Community at another meeting. Garden Moved by Board Member Carrillo, seconded by Board Member Hanks and unanimously carried to adjourn. Adjourn TIME OF ADJOURNMENT: 7:38 P.M. SECRETARY NEXT RESOLUTION NO. 10-C89. 11/22/10 PAGE FOUR 008 A7 U SA fi IIT A Y.LfTi CONSENT CALENDAR TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE SA UTILITY BOARD FROM: GEORGE F. MORROW, DIRECTOR OF UTILITIES DATE: JANUARY 31, 2011 SUBJECT: AWARD CONTRACT FOR FURNISHING AND INSTALLING UNDERGROUND ELECTRIC CONDUITS ACROSS GLADSTONE STREET NEAR THE INTERSECTION AT DUGGAN AVENUE RECOMMENDATION It is recommended that the Utility Board approve the selection of MJ Star-Lite Inc. and award contract in the amount not-to-exceed $37,048 to furnish and install underground electric conduits across Gladstone Street near the intersection at Duggan Avenue. BACKGROUND In November, 2010, electric crews were scheduled to remove and replace an old segment of underground 12 kV cable from a power pole to an underground pullbox on Gladstone Street. This riser cable replacement was part of an upgrade necessary to provide additional capacity for a commercial electric customer located at 508 Duggan Avenue. (Gale Banks Engineering). The existing underground riser cable across Gladstone Street is a main 12 kV circuit which serves 13 other industrial buildings along Duggan Avenue south of Gladstone Street and serves part of Vincent Avenue. During the process of pulling the replacement cable into the spare conduit and replacing the existing underground electric riser cables, it was discovered that both the spare conduit and the adjacent conduit that contains the existing energized riser cables, were damaged. Crews attempted to ascertain the exact location of the damaged conduits, but determined that it would be more time consuming, costly and risky to undertake the conduit repairs if the existing riser cables remained energized. Thus, in order to avoid prolonged service interruption to the customers served from the existing riser cable, it is recommended that the damaged conduits 009 Furnish and Install Conduits January 31, 2011 Page 2 across Gladstone Street be replaced with new conduits. Staff prepared drawing ED2011-1 and solicited informal bids from three contractors pursuant to Azusa Municipal Code Section 2-520 Public Project Informal Competitive Purchasing Procedure. Two bids were received and the submitted cost proposals, inclusive of a 10% contingency allowance, are shown below: Company Bid Amount MJ Star-Lite Incorporated $37,048 Perry C. Thomas Construction $37,367 WFConstruction, Inc. Non-responsive After evaluation of the two bids, staff has determined that the bid of MJ Star-Lite meets all requirements for this work and is hereby recommended for contract award. Staff will prepare the Contract document to be entered by MJ Star-Lite and the City. FISCAL IMPACT Funds for repairs are available in the FY 2011 Electric Division Operating Budget under account number 33-40-735-930-6493. Prepared by: Hien K. Vuong, Electrical Engineer 010 Utility Board Meeting d�rrew ft 6 January 31 , 2011 Chair Robert Gonzales azus ,A LIGH�i h W ' Consent Agenda November 22 , 2010 minutes Underground Conduit Replacement — Gladstone & Duggan Water Main Replacement Project — West Covina Water Filtration Plant Engineering Report AZUSA CRC Community Garden & Compost Demonstration Site Azusa Utility Board January 31 , 2011 tai Lot AZUSA Background California Resource Connections, Inc. has been involved with the City in environmental programs — River Walk and Litter Clean-up — Smart Gardening & Backyard Composting Workshop CRC , in conjunction with City's Recreation and Family Services Dept, has proposed development of a "Public Educational Venue" 4.• 46 Iv:, AZUSA Project Contributors Canyon City Foundation Rivers and Mountains Conservancy Vulcan Materials Rainbird Corporation CalPortland Cement Misc labor from Sierra High School, Recreation and Family Services Dept and others irw AZUSA Proposed Facility Circle Entry Plaza — Seating for up to 40 people using large boulders, concrete benches, portable chairs "Square Foot Gardening" Demonstration Beds — Constructed of recycled , broken concrete Community Garden Circle — General purpose gathering space Compost Demonstration Plaza and Garden Patio — Multi-purpose space with composting bins ;y AZUSA • . Community1. Layout AZUSA LIGHT& WATER CONTRIBUTION: ACQUISITION OF A LONG-TERM STORAGE STRUCTURE LABOR 3 MATERIALS FOR GARDEN WALL i TRASH ENCLOSURE LABOR&MATERIALS FOR CITY STORAGE AREA \ LABOR A MATERIALS FOR.COMMUNITY GARDEN STORAGE AREA GYMNASIUM I LABOR A MATERIALS FOR COMMUNITY GARDEN PATIOS -) LABGR-&MATERIALS FOR IRON WORK, GATES&GABION SEATING ,-J CITY • � YARD r. • -, :1, ',; COMMUNITY �ENTRY�. GARDEN Y� : l .Y.4. r` Ii' •cs. ,,,,i, • _i.e.\ •r--777. r`/. � t -,1!...',..,-1:1.14----, ..... . 1 --.4, - ._�. f - , r f DEMONSTRATION GARDENS HEAD START SCHOOL 1 � City of Azusa - Memorial Park ow 7 AZUSA LIGHT & WATE P Light & Water Contribution 1 Composting Bins & Material Storage $3,690 2 Gather Spaces & Public Access $6, 162 3 Raised Planter Beds $2,760 4 Interpretive Displays $11 ,760 5 Storage & Security $15, 140 1Total Price $39,822 t iv • 8 au * AZUSA LIGHT & WA M -O-U Contains the business arrangements related to the Community Garden project between City and CRC Key terms: — Funding not to exceed $39,822 — Source of funding is AB939 funds — City will own/maintain all improvements and underlying property — CRC shall maintain insurance coverage as per City policy — Improvements to be complete NLT May, 2011 to IVMi '� AZUSA Recommendation It is recommended that the Utility Board : — Approve execution of the M-O-U — Approve a budget amendment to authorize expenditure of available AB939 funds 1.• t. - 0,1 AZUSA Commercial Recycling Program ry11111111111111 Azusa Utility Board January 31 , 2011 AZUSA LIGH T & WA T E 14 Background Today, all residential and commercial waste is processed by Athens at its Material Recovery Facility (MRF) Landfill rates are expected to rise over time due to Puente Hills closure Increased disposal costs means increased waste charges to customers fir ..,., AZUSA Commercial Recycling Some businesses may be sensitive to higher disposal costs Staff proposes to provide these businesses with technical assistance to set up a "source separated recycling program" On October 25, 2010 the Utility Board approved issuance of a RFP for such services 'TT `t, 444Y µ AZUSA Program Details Consultant would assist City with the following : — Creation of a "how to" Technical Assistance Handbook — Hold two workshops on how to set up on-site recycling . • Workshops to target top 200 waste generators in City and encourage sign up for a Waste Audit — Perform Waste Audits to identify opportunities — Provide program reports to allow staff monitoring of program TC AZUSA RFP Results . lit onsult ,. . HDR Team $156,547 $98,047 SEMCO $220,000 $139,130 E. Tseng & Associates $223,925 $128,450 ReCon Recycling $277,090 N/A Rincon Consulting $469,625 N/A Note: Program will target top 200 waste generators but likely only about 50 will elect to participate in technical assistance program „.„.„ ",".„ 4041: 15 AZUSA LIGH T & 44' RFP Results Hours Consultant Fee Handbook Workshop Field Audit Total Hourly Audits Reports Hours Cost E. TSENG $128,450 68 224 378 511 1181 $108.76 SEMCO $139,130 50 176 200 457 833 $157.56 HDR $98,047 180 94 178 134 586 $167.31 ,\‘ (----T _, ......".. tie,L, .",,,,,, ......., 'Ir 7141T V 16 AZUSA GHT & WA! c a Recommendation Staff recommends award to E. Tseng & Associates — Lowest cost per hour proposal — Over 20 years experience in providing relevant technical assistance — Broad experience in LA County from small businesses to industry giants — Worked closely with CalRecycle on Business Waste design Implementation and Training programs — Multi-language capability including Spanish, Chinese — Offered 200 additional hours for field audits and follow-up, this is heart of program — Database set-up for individual businesses for tracking/monitoring program results and master database for City to assist in AB 939 reporting. — Developed current Los Angeles County Smart Business recycling 0•••• database. 0,0%. AZUSA Power Supply & Rate Assessment Tool ( iden l '• i ti . t- smomsompaii, . ritraill ..... Mk\1 ,, ' V7.;1). z Irli lir: , ..I Ok• III" JI hi ----- -A - . • -(.- --!;1110 1r mil 11 101 : 1:0'1'.. :21111111116. :07. -, ,, 1,A111, Vg- ilk 11111%116. 1 ,0000•011 ,,,,,,,••• --., os ... / \i/ iAVIA. ..... j.t.:,..:E:.... ., •-41:itti: - , /I' \ • /7 \ \ \ , Azusa Utility Board JanuarY 31 , 2011 AzusA Background A number of legislative and regulatory actions pertaining to renewable energy and climate change impact Azusa. The most critical measures include: — CARB Renewable Electricity Standard (RES) — AB 32 (Global Warming Solutions Act) AZUSA LIGHT & W A T E. Renewable Energy Standard Effective January 1 , 2012 Establishes mandatory four step process to reach 33% renewable by 2020 Timeframe Renewable Target 2012-2014 20% 2015-2017 24% 2018-2019 28% 2020 and Beyond 33% ' " AZUS .A AB 32 Cap & Trade Effective 2012 for electric utilities Goal to reduce GHG emissions in 2020 to 1990 levels (about a 30% reduction) Utilities will receive GHG allowances in 2012 based on about 90% of historical levels (2008) declining about 2% a year thereafter. Allocation levels to industry groups and individual utilities still being refined Avf ° " AZUSA Azusa Impact Presently, Azusa has no formal tool for assessing impacts of RES and GHG regulations on the utility's power supply programs and electric rates. There will be a significant number of "moving parts" due to these regulations and their evolution . A computerized interactive tool will enable staff to effectively evaluate a variety of power supply and market scenarios and the effect of the two regulations on such . 22 AZUSA LIGHT & WA Assessment Tool " Modules" Load forecast scenarios Power resource modeling Market price assumptions for energy/gas RES targets, penalties, REC market price GHG targets, allocations, penalties Electric rate baseline & assumptions Financial targets & compliance Resource Adequacy (capacity) assumptions Modules for calculating RES, GHG, financial performance .a n. " .W IF AZUSA UGH1 8 WA'!A Other Acquisition of proposed Assessment Tool is consistent with UB approval in September, 2009 to issue RFP for a Comprehensive Power Supply Study. After receipt of proposals , however, the utility implemented only the Lodi Energy Center portion of the study since RES/GHG rules remained in flux. Now that rules have been adopted , it is important to move forward to analyze scenarios and potential rate implications . -;CZ. � 24 AZUSA LIGHT & WA ' Recommendation It is recommended that the Utility Board authorize the issuance of a RFP for development of a computerized " Power Supply and Rate Assessment Tool " . (/%f low 25 AZUSA February 28 , 2011 Utility Board Meeting ,,, / /** mos Staff suggests cancelling this meeting. AZUSA Update on SCE Agreement for CAISO Metering . .. 1 g Azusa Utility Board January 31 , 2011 Background In 2004/2005, SCE installed CAISO certified metering for the Kirkwall & Azusa Substations. SCE provided initial design and construction of the metering and Azusa agreed to reimburse them upon completion. In January 2010, SCE finally completed their accounting work on the project and sent Azusa a bill for $172,844. The Utility Board approved this payment (plus other monthly fees) at its January, 2010 meeting. ow ..... AZUSA Subsequent Activities SCE provided detailed cost information in conjunction with its required FERC filing . We found that SCE's proposed CPUC-approved fixed charge rate ( 16.08%) for SCE-financed facilities to be extraordinarily high. Negotiations with SCE produced an option that if Azusa paid upfront for substation metering then the monthly FCR would be only 4.58% . Upfront payment would increase from $172K to $224K. Monthly charges would drop from $2,882 to $1 ,320. 4 � AZUSA Update SCE is proceeding with an updated FERC filing which allows Azusa to pay capital costs of CAISO substation metering in return for lower monthly charges into " perpetuity" . 30 AZt; tiA 41,3 a - 7 ''-k,a.#3.. '� iS4. ,tF .,pF: >1+l'R ....7 r .+ac Vii• r t - ., ; fie. v +:;y: `-•ie;. :... ,.< ':e.a .. . ^...'t: "' 'aS}... S.. ,:d. "P: '• .'. .." 'F :'C aa s h>..gr b ^`ffi.. Xeti` # ty x "s.� 4 'i a. �•:fi � r i°° .na`a T9�.::�� •. ,�� y .,'" AZTS.A UG HT & WATER CONSENT CALENDAR TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AZUSA UTILITY BOARD FROM: GEORGE F. MORROW, DIRECTOR OF UTILITIES DATE: JANUARY 31, 2011 SUBJECT: APPROVAL TO SEEK BIDS FOR THE INSTALLATION OF PROJECT W-266A WATER MAIN REPLACEMENT IN HILLTOP AVENUE, IN AZUSA AND SAN BERNARDINO ROAD AND WORKMAN AVENUE, IN WEST COVINA RECOMMENDATION It is recommended that the Utility Board approve the advertisement for, and solicitation of bids, for Project W-266A, Water Main Replacement in Hilltop Avenue in Azusa and in San Bernardino Road and Workman Avenue in West Covina. BACKGROUND • The Water Division has a program of replacing water mains that have a history of leaks and/or may be experiencing flow and pressure problems. The mains to be replaced in this project have both leak problems requiring constant repair and deliver less flow than is optimal for current residential area standards. In all, this project will replace approximately 3895 linear feet of 10- inch ductile iron pipe water main and 50 linear feet of 8-inch ductile iron pipe water main in San Bernardino Road in West Covina; 415 linear feet of 8-inch ductile iron pipe water main and 260 linear feet of 6-inch ductile iron pipe water main in Hilltop Drive in Azusa; and 2950 linear feet of 10-inch ductile iron pipe water main, 1020 linear feet of 8-inch ductile iron pipe water main, 280 linear feet of 6-inch ductile iron pipe water main, and 100 linear feet of 4-inch ductile iron pipe water main in Workman Avenue in West Covina. A set of plans has been posted for public review at the City Library located at 729 N. Dalton Ave. in Azusa. FISCAL IMPACT There is no immediate fiscal impact to the bidding of this project. This item will be funded from Capital Improvement Program Budget No. 32-80-000-721-7145/72111A-7145. Prepared by: Chet F Anderson P.E., Assistant Director - Water Operations 011 * jir AZUSA f.11f L Y.'Lff4 CONSENT CALENDAR TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AZUSA UTILITY BOARD FROM: GEORGE F. MORROW, DIRECTOR OF UTILITIES DATE: JANUARY 31, 2011 SUBJECT: AUTHORIZE STAFF TO SOLICIT REQUESTS FOR PROPOSALS —HSU - CANYON FILTRATION PLANT ENGINEERING REPORT RECOMMENDATION It is recommended that the Utility Board: (1) approve the scope of work included in attached draft request for proposals (RFP) to prepare the Hsu-Canyon Filtration Plant Engineering Report for the California Department of Public Health, and (2) authorize staff to solicit proposals from qualified consultants to prepare said Report. BACKGROUND In July, 2009, the Azusa Light & Water Department (ALW) placed its upgraded and expanded Hsu-Canyon Filtration Plant (CFP) into operation. Because some equipment did not initially perform its intended function, adjustments to the Plant operation were necessary until October, 2010, the last adjustment being the KMnO4 dry feed system that is critical to the plant water disinfection process. The plant has now been fully functional since November, 2010. DPH has issued an amended permit (Amendment 1910007PA-002) to ALW to operate the CFP effective May 28, 2009. The Engineering Report that is the subject of this RFP is required by DPH in Requirement No. 25 of the Amended Permit as follows: "25. Within 60 days following the first full year of operation of the CFP, the Company shall submit an engineering report prepared by a qualified engineer describing the effectiveness of the plant operation. The report shall include results of all water quality tests performed and shall evaluate compliance with established performance standards under actual operating conditions. It shall also include a summary of MIT [Membrane Integrity Test] results, an assessment of problems experienced, corrective actions needed, and a schedule for providing needed improvements." 012 RFP for Treatment Plant DPH Report January 31,2011 Page 2 To perform the complex task of compiling and preparing the DPH Engineering Report, the attached draft Request for Proposals has been prepared to retain the services of a qualified and experienced engineering consultant. Following approval of the RFP and authorized solicitation it is anticipated that the RFP for Consultants to prepare the DPH CFP Engineering Report would be released shortly with consultant selection and Utility Board approval in March. FISCAL IMPACT The fiscal impact of this proposed Engineering Report will be reported in a Staff Agenda Report to the Utility Board following receipt of proposals in response to the RFP. Prepared by: Chet F. Anderson, P.E., Assistant Director - Water Operations AIR January 31, 2011 Consultant: Consultant Manager Consultant Name Address Suite City, CA Zip Reference: Request for Proposals - Provide Engineering Services For: California Department of Public Health Engineering Report For Azusa's Hsu - Canyon Water Filtration Plant Gentlemen: Azusa Light & Water(ALW) invites your proposal to perform the referenced Engineering Report for Azusa's Hsu - Canyon Water Filtration Plant (CFP). General Description of the Project In July, 2009, the Azusa Light & Water Department placed its upgraded and expanded CFP into operation. Because of some equipment that did not initially perform its intended function, adjustments to the Plant operation were necessary until November, 2010, the last adjustment being the KMnO4 dry feed system that is critical to the plant water disinfection process. The plant has now been fully functional since November. The CFP is a pressure membrane plant that is designed to treat surface water to State of California Department of Public Health (DPH) potable water standards at an ultimate flowrate of 16 Million Gallons per Day (MGD). The CFP is currently equipped and operated to treat surface water to DPH potable water standards at a flowrate of 12 MGD. DPH has issued an amended permit (Amendment 1910007PA-002) to ALW to operate the CFP effective May 28, 2009. A copy of the Amendment is attached (Attachment A) to this Request For Proposals (RFP). As stated in the amendment: "The purpose of this amendment, as stated in the application, is to allow the Company to make the following modification(s) to the public water system: - 1 - 014 Construct and operate the Upgraded and Expanded Canyon Filtration Plant (CFP) to treat the Company's surface water source derived from the San Gabriel River watershed. The CFP includes a raw water intake structure, pretreatment facilities consisting of flash mix pumps, flocculation basins, and sedimentation basins with plate settlers, membrane ultrafiltration (UF) system, 4.0 million gallon (MG) finished water reservoir (clearwell), residuals processing equipment, membrane feed and finished water pump stations, chemical feed facilities, plant control system, and emergency power generator. The initial capacity of the CFP is 12 million gallons per day (MGD), with an ultimate (future) capacity of 16 MGD." The Engineering Report that is the subject of this RFP is required by DPH in Requirement No. 25 of the Amended Permit as follows: "25. Within 60 days following the first full year of operation of the CFP, the Company shall submit an engineering report prepared by a qualified engineer describing the effectiveness of the plant operation. The report shall include results of all water quality tests performed and shall evaluate compliance with established performance standards under actual operating conditions. It shall also include a summary of MIT [Membrane Integrity Test] results, an assessment of problems experienced, corrective actions needed, and a schedule for providing needed improvements." Scope of Services The consulting firm chosen to perform the Engineering Report will perform the following tasks: I. Collect and Review Data Prior to performing the data collection for the Report, Consultant will meet with DPH in Los Angeles to discuss DPH's expectations and requirements for the content of the Report. The meeting with DPH will be organized and an agenda prepared for the meeting by Consultant. Consultant will visit the CFP to review the existing data on the CFP operation using historical results as available on the ALW computer and paper files including SCADA and lab reports. ALW staff will be available for assistance in locating data, however the Consultant must be prepared to complete a substantial amount of the work themselves. II. Analyze data Using the data collected in Task I, Consultant will analyze, graph, evaluate, and annotate the data and lab results collected. Each membrane rack will be assessed in terms of TMP (Transmembrane Pressure) rise, rate of permeability or resistivity change between CIPs (Clean- In-Place), performance of chemical CIPs, membrane breakage and repair(pins utilized), change of pressure decay data over time, etc. Water quality will be assessed in terms of turbidity, bacterial results, THM (Trihalomethane) results, pH, etc, to satisfy the requirements set forth by DPH for the engineering report. - 2 - 015 III. Engineering Report and Coordination with DPH After completion of Tasks I and II, Consultant will prepare a draft Report to meet DPH standards, two copies of which will be sent to ALW for review, and Consultant will perform a concurrent QA/QC review. Consultant will meet with ALW staff to review and comment on the draft, and subsequent revisions and additions will be added to the draft Report prior to submittal of two hard copies of the revised draft to DPH for review and comment. Consultant will receive DPH's comments and schedule a second meeting with DPH. Consultant will be responsible for organizing and preparing an agenda for the second meeting with DPH to discuss their comments on the draft. DPH will have the opportunity to provide feedback and discussion to ensure that their comments are fully addressed. DPH comments will be incorporated into the final Report and Consultants will prepare 5 hard copies and an electronic copy for ALW's submittal to DPH. IV. Additional Coordination with DPH As a separate item on their proposal, Consultant will provide a cost for coordinating one additional meeting with DPH if an additional meeting is necessary. The proposed cost of this additional meeting and the coordination activities that may be involved will be included in the total cost of the proposal, but this task may be omitted in its entirety if an additional meeting with DPH is deemed unnecessary by all parties. Submittals required for this proposal Consultants proposing on this project shall submit the following along with any other information the consultant considers supportive: 1. A list of DPH (or DHS) Engineering Reports prepared by Consultant. 2. Resumes of consultant personnel with experience, particularly DPH/DHS Engineering Report experience, who may work on this project. 3. A complete and current consultant fee schedule. 4. A schedule of insurance coverage. Minimum insurance requirements for consultants are included in Azusa's Standard Professional Services Agreement attached as Attachment B 5. A recitation of the scope of services proposed including Tasks that may not be discussed above but which the Consultant believes will be required for the successful completion of the Report. - 3 - 016 6. A schedule for completing the Consultant's milestones required for the process of preparing and gaining approval for the Final Engineering Report 7. A Total fee estimate for the proposed services broken down by cost for each task. Date and Time Due The requested proposals shall be submitted to the Light & Water Department second floor desk on or before 12:00 PM, Monday, March 7, 2011 Consultant selection will be made on the basis of qualifications and experience and cost will be a factor in the selection. Please contact Chet Anderson, at 626-812-5209 with questions and requests for additional information. There will be no Pre-proposal Meeting. Very truly yours, Chet F. Anderson, P.E. Assistant Director of Utilities- Water Operations cc: George Morrow Steve Seffer - 4 - 017 AZ US• A uur a warry SCHEDULED ITEM TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AZUSA UTILITY BOARD FROM: GEORGE F. MORROW, DIRECTOR OF UTILITIES DATE: JANUARY 31, 2011 SUBJECT: FUNDING REQUEST BY CALIFORNIA RESOURCE CONNECTIONS, INC. RECOMMENDATION It is recommended that the Utility Board consider: (A) approval of attached Memorandum of Understanding with the California Resource Connections, Inc. (CRC) to provide CRC with $39,822 in funding for an Educational Community Garden and Compost Demonstration Site at Memorial Park and authorize the Director of Utilities to execute said MOU; and (B) approval of a budget amendment in amount of $39,822 from Fund 39 to fund the educational community garden and composting demonstration site project. BACKGROUND For the past three years, CRC has successfully coordinated two environmental programs annually for the City of Azusa -- a River Walk and Litter Clean up Event and a Smart Gardening and Backyard Composting workshop. Both programs have been supported by funding provided by City from restricted resources, such as State grants for litter clean up, and the City's AB 939 fee which provides revenue to promote recycling including backyard composting. This last year, CRC has been working with the City of Azusa's Recreation and Family Services Department to develop an educational community garden and compost demonstration site at Memorial Park to serve as a permanent facility that can be used on a regular basis to promote sustainable living, especially healthy food production, composting, landscape water conservation, and reuse and recycling of resources. As noted in attached proposal, this project, referred to in attached as the `Memorial Park Community Garden and Public Education Venue Project', has already received contributions of resources from such entities as the Canyon City Foundation, Rivers and Mountains Conservancy, Vulcan Materials, Rainbird Corporation, CalPortland Cement, and donations of labor from others 018 CRC Proposal January 31,2011 Page 2 • like our own Recreation and Family Services Department and Sierra High School. However, CRC is requesting additional support for this project to complete it and has requested that Azusa Light & Water consider the attached request for$39,882 for the following project elements: Task Amount Compost Bin and Garden Materials Storage $3,690 Gathering Spaces and Public Access 6,162 Raised Planter Beds 2,760 Interpretive Displays 11,760 Storage and Security 15,450 Total $39,822 It is expected that representatives from CRC will be present at the Utility Board meeting to provide an overview and more detail about the Community Garden and Public Education Venue project and plans on how the facility will be used. While Azusa Light & Water has reviewed the proposal and provided comments on earlier drafts, Azusa Light & Water staff was not involved in the earlier stages of the design of the project. However, the project will qualify for use of AB 939 fee funds provided the project allows the City to conduct backyard composting workshops, store and distribute compost bins to residents, and provides public education information about composting, reuse and recycling of materials, especially organic materials. This should be the finding of the Utility Board in approving this project and authorizing the use of AB 939 fee revenues to pay for this project. Since this is a capital project on public property, staff felt that it was appropriate for CRC to enter into an MOU which sets forth various terms and conditions for the release of funds and disposition of improvements once they are completed. A draft of the MOU is attached, and it is understood that should the Utility Board approve the funding request, the MOU would be subject to review and approval by the City Attorney. FISCAL IMPACT Should the Utility Board approve Azusa Light & Water's support for this project, staff proposes that AB 939 fee revenue be used and that a budget amendment be approved by the Utility Board using Fund 39 fund balance. Sufficient AB 939 funds exist to support the proposed CRC project. Prepared by: Cary Kalscheuer, Assistant to the Director of Utilities 019 CALIFORNIA RESOURCE CONNECTIONS, INC. 1201 N. Azusa Avenue • Azusa, CA 91702 • 626.969.2491 • www.watershedconnections.org RESEARCH • EDUCATION • ACTION • LAND AZUSA LIGHT&WATER CONTRIBUTION: ACQUISITION OF A LONG-TERM STORAGE STRUCTURE LABOR&MATERIALS FOR GARDEN WALL/TRASH ENCLOSURE LABOR&MATERIALS FOR CITY STORAGE AREA LABOR&MATERIALS FOR COMMUNITY GARDEN STORAGE AREA — GYMNASIUM LABOR&MATERIALS FOR COMMUNITY GARDEN PATIOS LABOR&MATERIALS FOR IRON WORK,GATES&GABION SEATING CITY YARD ## _ t ti � ' - ' J1 ' ` '% 1 COMMUNITY 5 ; �� P.`— GARDEN "R I .4 -- I • ��•. • • ow no' '-1_1 i _�. 1* ,. Gi DEMONSTRATION GARDENS I HEAD START SCHOOL f City of Azusa - Memorial Park Community Garden & Plaza tV O MEMORANDUM OF UNDERSTANDING RELATING TO THE IMPROVEMENTS OF THE: AZUSA COMMUNITY GARDEN MEMORIAL PARK 320 N. ORANGE PLACE AZUSA, CALIFORNIA 91702 By and Between, CITY OF AZUSA a California municipal corporation AND CALIFORNIA RESOURCE CONNECTIONS, INC. a California non-profit organization 1201 N. Azusa Avenue Azusa, CA 91702 (626) 969-2491 January 2011 021 MEMORANDUM OF UNDERSTANDING RELATING TO AZUSA COMMUNITY GARDEN IMPROVEMENTS 1. PARTIES AND DATE. This Memorandum of Understanding ("MOU") relating to the Azusa Community Garden Improvements is made this day of , 2011 ("Effective Date"),between the City of Azusa, a California municipal corporation organized under the laws of the State of California ("City"), and California Resource Connections, Incorporated, a California non-profit organization organized under the laws of the State of California ("CRC"). Azusa and CRC are sometimes referred to individually as "Party" and collectively as "Parties" throughout this MOU. 2. RECITALS. WHEREAS, the California Resource Connections, Inc. (CRC)has received grant funding from the Canyon City Foundation and Rivers and Mountains Conservancy to seed fund and design the installation of a community garden and public education space at the property located in Memorial Park, 320 N. Orange Place, Azusa, California, 91702 (hereinafter"Property"); and WHEREAS, the Property can be used for holding workshops and hands-on community education events related to gardening,composting, landscape water conservation,healthy living and sustainability topics; and WHEREAS, significant in-kind support through labor and material donations have been received from program partners, who will be commemorated by having their name and/or logo incorporated into a mural adjacent to the Community Garden; and WHEREAS,CRC determined it did not have enough funds to complete the improvements at the Property due to additional permanent features being added into the overall Community Garden Concept; and WHEREAS, the CRC has requested funding from the City of Azusa for certain improvements to the Property which includes: (1) Compost Bins and Materials Storage, (2) Gathering Spaces and Public Access, (3) Raised Planter Beds, and (4) Interpretative Displays; (5) Additional Secure Storage; and WHEREAS, the educational content to be taught at the Community Garden regarding the beneficial uses of yard waste and vegetative food waste,e.g.,composting,including storage facilities for compost bins and compost demonstration equipment, are eligible uses of AB 939 fee revenue; NOW, THEREFORE, the Parties adopt this Memorandum of Understanding and agree to the following terms and conditions: 022 3. TERMS & CONDITIONS. 3.1 Community Garden Project. Parties agree that this MOU is intended to set forth the obligations of each Party with respect to completing work to construct the Community Garden Project, hereinafter referred to as "Project", located in Memorial Park. 3.2. Construction and Design. Parties agree that the Project shall be constructed according to the design and concept provided by CRC in attached Exhibit A,which includes entry plaza,security wall and storage bins, iron and gabion fencing, and educational material and tool storage. 3.3. Project Cost and Improvements. Parties agree that the following Tasks or Improvements and corresponding costs represent the maximum amount which the City of Azusa agrees to fund through this MOU: TASK 1: Composting Bins and Garden Materials Storage $3,690 TASK 2: Gather Spaces and Public Access 6,162 TASK 3: Raised Planter Beds 2,760 TASK 4: Interpretive Displays 11,760 TASK 5: Storage and Security 15,450 GRAND TOTAL: $39,822 3.4.1 CRC's Obligations. CRC agrees to be responsible for completing all work to be performed in constructing outstanding Community Garden improvements, including contracting with qualified contractors, scheduling work, and coordinating work with staff from the City's Recreation and Family Services Department. CRC shall also be responsible for purchasing any supplies,equipment, and materials, necessary to furnish outstanding items to complete the Project. 3.4.2 Insurance Requirements. CRC agrees to require its contractors and subcontractors certificate of insurance against claims for injuries to persons or damages to property which may arise from or in connection with the completion of the Project improvements. Such insurance shall meet the City's minimum levels of coverage: (A) Minimum Scope of Insurance. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001); (2) Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto); and (3) Workers'Compensation and Employer's Liability:Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. (B) Minimum Limits of Insurance. Contractor shall maintain limits no less than: (1) General Liability: $1,000,000 per occurrence for bodily injury,personal injury and property damage. If Commercial General Liability Insurance or other form with general aggregate limit is used, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit; (2)Automobile Liability: 2 023 $1,000,000 per accident for bodily injury and property damage; and(3)Workers'Compensation and Employer's Liability: Workers' Compensation limits as required by the Labor Code of the State of California. Employer's Liability limits of$1,000,000 per accident for bodily injury or disease. 3.4.2.1 Insurance Endorsements. The insurance policies shall contain the following provisions, or Contractor shall provide endorsements on forms supplied or approved by the City to add the following provisions to the insurance policies: (A) General Liability. The general liability policy shall be endorsed to state that: (1)the City, its directors, officials,officers, employees, agents and volunteers shall be covered as additional insured with respect to the Work or operations performed by or on behalf of the Contractor, including materials,parts or equipment furnished in connection with such work;and (2) the insurance coverage shall be primary insurance as respects the City, its directors, officials, officers,employees,agents and volunteers,or if excess, shall stand in an unbroken chain of coverage excess of the Contractor's scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its directors, officials, officers, employees, agents and volunteers shall be excess of the Contractor's insurance and shall not be called upon to contribute with it in any way. (B) Automobile Liability. The automobile liability policy shall be endorsed to state that: (1)the City,its directors,officials,officers,employees,agents and volunteers shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased,hired or borrowed by the Contractor or for which the Contractor is responsible; and(2)the insurance coverage shall be primary insurance as respects the City, its directors,officials,officers,employees,agents and volunteers,or if excess,shall stand in an unbroken chain of coverage excess of the Contractor's scheduled underlying coverage. Any insurance or self-insurance maintained by the City,its directors,officials,officers,employees,agents and volunteers shall be excess of the Contractor's insurance and shall not be called upon to contribute with it in any way. (C) Workers' Compensation and Employers Liability Coverage. The insurer shall agree to waive all rights of subrogation against the City, its directors, officials, officers, employees, agents and volunteers for losses paid under the terms of the insurance policy which arise from work performed by the Contractor. (D) All Coverages. Each insurance policy required by this Agreement shall be endorsed to state that: (A)coverage shall not be suspended, voided,reduced or canceled except after thirty(30)days prior written notice by certified mail,return receipt requested, has been given to the City; and (B) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to the City, its directors, officials, officers, employees, agents and volunteers. 3.4.2.2 Separation of Insureds;No Special Limitations. All insurance required by this Section shall contain standard separation of insureds provisions. In addition,such insurance shall not contain any special limitations on the scope of protection afforded to the City, its directors, officials, officers, employees, agents and volunteers. 3.4.2.3 Deductibles and Self-Insurance Retentions. Any deductibles or self- insured retentions must be declared to and approved by the City. Contractor shall guarantee that,at 3 024 the option of the City, either: (1) the insurer shall reduce or eliminate such deductibles or self- insured retentions as respects the City, its directors, officials, officers, employees, agents and volunteers; or (2) the Contractor shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 3.4.2.4 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating no less than A:VIII, licensed to do business in California, and satisfactory to the City. 3.4.2.5 Verification of Coverage. Contractor shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Agreement on forms satisfactory to the City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf,and shall be on forms provided by the City if requested. All certificates and endorsements must be received and approved by the City before work commences. The City reserves the right to require complete,certified copies of all required insurance policies, at any time. 3.4.3 Hold Harmless. CRC agrees to hold the City of Azusa harmless from any and all claims for injuries to persons or damages to property which may arise from or in connection with the completion of the Project improvements. 3.4.4 Indemnity.CRC agrees to indemnify the City of Azusa against any and all claims,demands, causes of action, costs, expenses, liability, loss damage or injury, in law or equity, to property or persons in any manner arising out of or in connection with the performance of this Project or this MOU, including without limitation the payment of all consequential damages. 3.4.5 Project Schedule. CRC agrees to complete all work by , 2011 and CRC shall make every effort to open the Project to the public during April and Clean Month. 3.4.6 Invoices and Supporting Documentation. CRC agrees to provide invoices and supporting documentation to the Director of Recreation and Family Services within 10 days of completion of Project Tasks, in amount not-to-exceed costs listed in Section 3.3 of this MOU. 3.4.7 Excessive Costs. CRC agrees that it shall solicit additional funding or in-kind support through corporate sponsors; federal, state and private grants; water agencies; and or congressional appropriations,for all Project costs which exceed those amounts iterated in Section 3.3 of this MOU, in order to complete Project to the satisfaction of the City of Azusa. 3.5.1 City of Azusa Obligations. The City of Azusa agrees to provide funding to CRC in amount not-to-exceed those costs listed in Section 3.3 of this MOU. 3.5.2 Cooperation and Inspection. The City of Azusa Department of Recreation and Family Services agrees to work with CRC and provide timely inspection of Task Work to be completed pursuant to this MOU. 3.5.3 Payment Processing. The City of Azusa authorizes the Director of Recreation and Family Services to approve all invoices by CRC for work performed to complete Project in accordance with this MOU. All such approvals for payments of task work shall represent that the work performed by 4 025 CRC is complete and acceptable to the City of Azusa for purposes of releasing payment to CRC. If an invoice cannot be approved, staff from the Department of Recreation and Family Services will notify CRC in a timely manner of the reasons why said invoice is not approved. All approved invoices will be paid by the City of Azusa within 30 days of receipt. 3.6 Property Ownership and Maintenance. Parties agree that all improvements and equipment purchased pursuant to this MOU by CRC and its contractors or subcontractors to complete Project shall become property of the City of Azusa. The City of Azusa's Department of Recreation and Family Services shall be responsible for all ongoing site maintenance. 3.7 Permitted and Discontinued Use of Facilities. Once the Project is complete, it is the understanding of Parties that the facility is to be used for community gardening, workshops and hands-on community education events related to gardening, composting, landscape water conservation,healthy living and sustainability topics. Parties agree that ongoing use of facilities for these purposes will be at the sole discretion of the City of Azusa, and such permitted use may be revoked at any time for any reason whatsoever, including but not limited to,the facility becoming a public nuisance; cost of maintenance; or lack of public interest. 3.8 Authority to Enter into Agreement. The City and CRC warrant that they have all requisite power and authority to execute and perform this MOU. Each person executing this MOU on behalf of their Party warrants that he or she has the legal power, right, and authority to execute this MOU and bind his or her respective Party. 3.9 Recitals Incorporated. The Recitals set forth in this MOU are incorporated as part of the mutual understandings of this MOU. IN WITNESS WHEREOF,the City and CRC have caused with this MOU to be executed by their respective duly authorized representatives as set forth below: CITY OF AZUSA CALIFORNIA RESOURCE CONNECTIONS, INC. George F. Morrow, Director of Utilities Richard A. Thomas, President DATE: DATE: Approved as to Form: City Attorney 5 026 CALIFORNIA RESOURCE CONNECTIONS, INC . 1201 N. Azusa Avenue • Azusa, CA 91702 • 626.969.2491 • www.watershedconnections.org RESEARCH • EDUCATION • ACTION • LAND PROPOSAL (Revised January 21, 2011) MEMORIAL PARK PUBLIC EDUCATION GARDEN & COMPOST DEMONSTRATION SITE City of Azusa/ Memorial Park Project Description The public education garden and compost demonstration site is part of the overall Memorial Park Community Garden and Public Education Venue Project that is being implemented by California Resource Connections, Inc. (CRC)with support from the City of Azusa Recreation Services Department and a host of generous partners. The project is partially funded through a grant from the Canyon City Foundation and a supplemental grant from the Rivers and Mountains Conservancy. Additional in-kind funding has been provided through labor and material donations including the City of Azusa Recreation Services, Vulcan Materials Corporation, Rain Bird Corporation, Rivers and Mountains Conservancy, CalPortland Cement, and Sierra High School, among numerous other planning team and site volunteer participants. The vision for this project focuses on education and sustainable living specifically as it pertains to composting, landscape water conservation, healthy food production, efficient use and reuse of resources, and recycling. The project site has been provided by the City of Azusa Recreation Services Department which will also manage and maintain the site once CRC has fully installed the project's various components. The overall space has been designed to be a multi-use demonstration site and gathering place for conducting periodic educational workshops on composting techniques, water conservation, native-and regionally-approproate garden design, edible gardening, and recycling, as well as providing a space for a host of other topics that can be presented. The design includes four(4)gathering spaces of various sizes for this purpose. ■ The Circle Entry Plaza is the largest public education space seating up to 40 people with a combination of seating options—large boulders, permanent concrete benches, portable chairs provided by the City of Azusa, and lawn chairs brought by participants. This space provides flexibility to present different kinds of programs and varying numbers of participants. Presenters have adequate space for display tables, portable composting bins and support equipment, and program-related interpretive materials. The adjacent decorative fencing can be used to attach posters, banners, and other supporting materials. The entry plaza has also been designed as a stand alone public space that is attractive and useful to year-round visitors to the park during all park hours. It includes shade trees and landscaping that demonstrates attractive garden design using native plant species and compatible, non-native plant species that can be replicated in smaller home landscapes. The design includes a high efficiency irrigation system and maximized permeable surfaces to allow stormwater to infiltrate rather than runoff during storm events. ■ The "Square Foot Gardening" Demonstration Beds are immediately behind the decorative fencing and consist of raised planter beds dedicated to teaching about square foot gardening and other highly efficient forms of food production including how to use compost in the garden. The demonstration beds will be installed and maintained by Square Foot Gardening experts and the Head Start Program adjacent to the site. The raised beds will be constructed using recycled broken concrete. The gathering space around the demonstration beds include a permanent concrete bench that will accommodate up to 12 people seated with an additional 12 more standing or sitting on portable chairs. ▪ The Community Garden Circle is a general purpose gathering space that is found at the center of the interior community garden space and is surrounded by individual garden plots. This space can be used as one station in a series of educational stations set up for a major public education event. This is the smallest of all gathering spaces but can accommodate a minimum of 10 people standing or sitting on portable 027 CALIFORNIA RESOURCE CONNECTIONS, INC. 1201 N.Azusa Avenue • Azusa,CA 91702 • 626.969.2491 • www.watershedconnections.org RESEARCH • EDUCATION • ACTION • LAND chairs. It can also be used to display temporary and/or semi-permanent interpretive displays on composting and smart gardening during events. • The Compost Demonstration Plaza and Garden Patio is located at the rear of the community garden. This is a multipurpose space that focuses attention on actively used,permanent composting bins that recycle green waste materials from the community garden and entry plaza for reuse in the garden. Healthy compost requires regular maintenance and a commitment of time,material,and energy. As part of the establishment of the Azusa Community Garden,a garden club or association is being created to work with the City of Azusa Recreation Services Department to manage and maintain the interior community garden portion of the overall project. In part,the association will be producing the material to be composted in the permanent composting demonstration bins and will be responsible for maintaining healthy composting practices at the site for public education purposes as well as reuse of compost materials in the community garden itself. The surrounding gathering space consists of a combination of stablized decomposed granite and broken concrete patio surfaces. Seating for events includes permanently placed boulders and wood benches,as well as portable chairs and standing room as necessary. Above the compost bins,the North Recreation Center wall will include a permanently-mounted mural that depicts composting and smart gardening techniques to be used during workshops and throughout the year by the garden plot users. Additionally,this area will include a Conex storage container to secure garden education materials,tools, and other supplies. The exterior of this structure will be used to present temporary and/or semi-permanent interpretive displays for use during education events.The space can accommodate a minimum of 25 people around the composting bins. The garden patio area can also be broken up into two or more stations as part of a series of stations for a major public education event. Overall,the Memorial Park Public Education Garden and Compost Demonstration site can accommodate up to 95 participants during a large event. Additionally,the site is adjacent and connected to the North Recreation Center (NRC)within Memorial Park. The NRC,as appropriate,can be used in conjunction with outdoor educational activities conducted at the site. This use significantly expands opportunities at the garden venues to conduct compost and garden educational events,particularly events that are multifaceted or that could contain vendor and resource representatives to assist participants. 028 CALIFORNIA RESOURCE CONNECTIONS , INC . 1201 N . Azusa Avenue • Azusa, CA 91702 • 626.969.2491 • www.watershedconnections.org RESEARCH • EDUCATION • ACTION • LAND PROPOSED BUDGET NEED (Revised January 21 , 2011) Task Description Cost Donated Materials TASK 1 ACTIVE COMPOSTING DEMONSTRATION BINS AND GARDEN MATERIAL STORAGE Materials $0.00 • Block and associated construction materials are being donated. ■ Concrete to be provided by CalPortland at a discounted rate. _ Installation $3,690.00 Construct 75 linear feet of partition walls to create active composting bins, compost and garden soil storage, and other garden- related material storage. Cost includes labor and equipment (cement mixer, grout pump, etc.). Purpose and Value Provide a multi-use facility that includes permanent bins for active and on-going composting activities and storage of bulk garden materials. Composting and storage bins will be managed for everyday use by the Azusa Community Garden "association". Compost created at the site and other stored materials will be used in operation of individual garden plots and for the adjacent "Circle Entry Plaza" public education garden. Permanent compost bin structures will provide an active compost demonstration site for special purpose uses including composting workshops and various edible and water conservation gardening workshops. TASK 2 GATHERING SPACES AND PUBLIC ACCESS A Broken Concrete Paving Materials $0.00 • Mortar and sand to be donated • Broken concrete has been donated by the Rivers and Mountains Conservancy/ Watershed Conservation Authority from the Duck Farm site along the SG River. • Broken concrete loading and transportation to the garden has been donated by America West Landscape, Inc. • Broken concrete will be sized, sorted, and placed by community volunteers and the California Conservation Corps. Installation $3,000.00 Install approximately 1 ,000 square feet of broken concrete paving — in sand and/or mortared — for public education entry plaza, walkways, and rear garden patio. Includes labor only. B Interlocking Pavers Materials $0.00 • Pavers and associated construction materials are being 029 • CALIFORNIA RESOURCE CONNECTIONS, INC . 1201 N. Azusa Avenue • Azusa, CA 91702 • 626.969.2491 • www.watershedconnections.org RESEARCH • EDUCATION • ACTION • LAND donated. ■ Concrete to be provided by CalPortland at a discounted rate. Installation $3,162.00 Install approximately 493 square feet of interlocking concrete pavers in sand at two circle gathering areas. Includes labor and equipment(paver saw, vibrating plate, etc.). _ Purpose and Value Provide a multi-use, year-round facility that includes public gathering spaces and safe access within an existing park context. Newly paved areas will include the Circle Entry Plaza, the Compost Demonstration Plaza and Garden Patio, and walkways connecting these two public gathering spaces. These spaces are intended for use by multiple audiences including ongoing community garden users, workshop and education program participants, and general park visitors. The Circle Entry Plaza will be open to all public users during park hours. This area will consist of recycled broken concrete surrounding permeable decomposed granite and interlocking pavers made from recycled materials. The Compost Demonstration Plaza and Garden Patio will be open to community garden users including the Head Start Program at all times and open to general park visitors during hands-on education programs. This area will consist of a large patio made from recycled broken concrete and decomposed granite surfaces. Interconnecting walkways consist of poured concrete lined with recycled broken concrete. TASK 3 RAISED PLANTER BEDS Materials $1,200.00 • Mortar and sand to be purchased • Broken concrete has been donated by the Rivers and Mountains Conservancy/ Watershed Conservation Authority from the Duck Farm site along the SG River. • Broken concrete loading and transportation to the garden has been donated by America West Landscape, Inc. Installation $1,560.00 Construct four 4'xl O'xl 8" raised planter beds out of broken concrete in garden for gardening method demonstration purpose and dedicated disabled accessibility to garden facilities. Purpose and Value Provide a site within the community garden for year-round demonstration of Square Foot Gardening techniques as well as appropriate use of compost in a garden setting.The raised planter beds are located behind decorative security fencing to ensure health of plant material for use in educational events and to allow regular and secure maintenance by Head Start staff and youth. Raised planter beds and associated permanent seating are to be constructed using recycled broken concrete. TASK 4 INTERPRETIVE DISPLAYS Materials and Installation $11,760.00 • Panels, displays, and graphic Four 2'x3' panels for semi-permanent, design to be purchased. "revolving"displays mounted on the decorative fencing; One 3'x3' event and garden information sign and bulletin board to be mounted adjacent to the garden gate; Five 3'x3' panels for semi-permanent, 030 CALIFORNIA RESOURCE CONNECTIONS, INC . 1201 N. Azusa Avenue • Azusa, CA 91702 • 626.969.2491 • www.watershecconnections.org RESEARCH • EDUCATION • ACTION • LAND "revolving"displays mounted on the Conex storage unit; and Two free-standing 2'x3'x5' moveable interpretive displays with permanent information and space to mount program specific information. Purpose and Value Provide semi-permanent and/or revolving display panels and free-standing interpretive displays for use year-round and during special composting and gardening education events. Additionally, graphic design template would be developed for easy updates and special needs posters, banners, and interpretive panels. Interpretive display panel topics will include recycling, composting, smart gardening, use of native plants, water conservation, and rainfall capture and use in the garden. TASK 5 STORAGE AND SECURITY A Decorative Fencing w/ Interpretive &Workshop Panel Space Materials and Installation $11,100.00 • Iron posts and iron mesh for One 10-foot gate, seven sections of fence, gabion base have been galvonized mesh, iron frame 2"x2"x1/8", and purchased and installed. solid round pickets 1/2"x3/8". • Decorative iron pickets, fence sections, and double gate to be purchased. • Broken concrete has been donated by the Rivers and Mountains Conservancy/ Watershed Conservation Authority from the Duck Farm site along the SG River. • Broken concrete loading and transportation to the garden has been donated by America West Landscape, Inc. B Secure Storage Materials and Installation $4,350.00 • Conex shipping container to be 8'wide x 20'long x 8' high Conex shipping purchased. container for storage of education materials, compost bins, and other garden program materials. Purpose and Value Decorative fencing and on-site storage facilities will provide needed security to protect composting and gardening demonstration sites, educational materials to be stored on-site, and individual plot gardens during non-event hours. Decorative fencing will provide the background for mounting semi- permanent and revolving compost, smart gardening, and water conservation interpretive panels, as well as garden and event information panels. Decorative fencing will also provide a backdrop to post workshop materials during events held within the Circle Entry Plaza. The Conex storage unit will provide a background for mounting semi-permanent and revolving compost, recycling, smart gardening, and water conservation interpretive panels, as well as garden and event information panels. TOTAL REQUEST $39,822.00 031 $1 , A_7USA TIGHT d, AATEk SCHEDULED ITEM TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE : SA UTILITY BOARD FROM: GEORGE F. MORROW, DIRECTOR OF UTILIT DATE: JANUARY 31, 2011 SUBJECT: COMMERCIAL RECYCLING PROGRAM CONTRACT AWARD RECOMMENDATION It is recommended that the Utility Board approve: (1) selection of proposal by E. Tseng & Associates in an amount not-to-exceed $128,450 to provide technical services for the implementation of a commercial recycling program in the City of Azusa; and (2) budget amendment in same amount from fund 39 to fund contract award. BACKGROUND At its regular meeting on October 25, 2010, the Utility Board approved the issuance of a Request for Proposals (RFP) for municipal solid waste management consulting services to provide technical assistance to businesses to help them set up a commercial source separated recycling program, decrease waste taken to landfill and reduce their disposal costs. With the closure of Puente Hills Landfill in 2013, it is expected that landfill rates will increase substantially and so the Azusa Light & Water staff believe there will be continuing interest by businesses in how costs can be reduced. The following proposals were submitted by the RFP deadline to the Azusa Light & Water offices: Consultant Cost Cost 200 Waste Audits 50 Waste Audits HDR Team $ 156,547 $98,047 SEMCO $ 220,000 $139,130 E. Tseng & Associates $ 223,925 $128,450 ReCon Recycling $ 277,090 N/A Rincon Consulting $ 469,625 N/A After reviewing qualifications, experience, work plan, and cost, staff narrowed down the selection to three consultants: HDR Team, SEMCO, & E. Tseng & Associates. 032 Commercial Recycling Contract January 31,2011 Page 2 Although the recycling program will target the top 200 biggest waste generators within the City, staff recognizes that fewer businesses are likely to actually participate in the program. Based on input from the consultants, including their actual experience in other cities, we can expect that about 50 businesses will take advantage of the free technical assistance in the form of waste audits through this program outreach effort. Once we have concrete examples of "success stories" we will likely get additional interest next year. Hence, in considering this initial program phase, the cost and task hours of the top three proposals were evaluated based on 50 audits. The table below shows the consultant budgeted hours broken down for each of the work activities specified by the RFP Scope of Work, lump sum amounts and hourly cost based on all hours: Lump Sum Fee Workshop Field Audit Total Hourly Consultant (inc.costs) Handbook Outreach/Actual Audits Reports Hours Cost SEMCO $139,130 50 176 200 457 883 $157.56 E. Tseng&Associates $128,450 68 224 378 511 1181 $108.76 HDR Team $98,047 180 94 178 134 586 $167.31 Staff has reviewed additional information and product samples requested for further evaluation and 2-3 former or current clients of each consultant were contacted for reference. On lump sum fee value, it appears that HDR Team's proposal is lower than E. Tseng and Associates. However, there is a significant difference in the number of hours to perform each task especially regarding field audits. While the lowest cost proposed by HDR Team was considered, staff would like to recommend E. Tseng & Associates (ET&A) to be awarded one year contract to administer the City's business recycling program in amount not-to-exceed $128,450 with the following justifications: • Eugene Tseng has the most extensive experience in providing business technical assistance for over 20 years in different jurisdictions and agencies including the Los Angeles County, City of Los Angeles, CalRecycle, Bureau of Sanitation, and other cities with businesses ranging from small strip mall businesses (Starbucks, Kinko's) to multi- national industrial giants (Toyota, Honda). His team was originally formed at the request of EPA/Cal EPA specifically to assist businesses in waste reduction/recycling. • E.Tseng has worked closely with CalRecycle on Business Waste Design Implementation and Training programs, diversion measurement method, uniform waste characterization method, and is intimately familiar with various relevant regulatory and pending regulations regarding commercial recycling. • Multi-language capability in Spanish, Chinese, and Indonesian. • ET&A proposed 130 additional hours for outreach and workshop which is a vital part in getting businesses' participation. • 200 additional hours for field audits, including follow-up, which is the heart of the program. These additional hours are important for businesses that may need more hands- on help with setting up the program, documentation, monitoring program progress, how to train staff, and assistance in finding specific markets for non-traditional recycling materials. • In addition to the periodic reports, ET & A will include setting up of database for individual businesses for tracking and monitoring recycling program results with integrated environmental benefits calculator to measure GHG, energy used etc. This database can be used after one year so businesses can continue to monitor and compare 0 3 3 Commercial Recycling Contract January 31,2011 Page 2 future waste and recycling program data. ET & A will also set-up a master database which allows for queries by material type and generate reports that can be used in the City's annual AB 939 reporting. The lead staff for database programming served as the Calrecycle's statistical methods instructor. • The team developed the current Los Angeles County Smart Business Recycling database. Azusa will benefit from any current change in the industry. Payments to consultant will be based on actual hours performed for each task but will not exceed the proposed cost. Program results will be evaluated after one year and based on the results, the Utility Board can decide whether or not the City should expand the program to a second phase to cover more businesses within the City of Azusa. FISCAL IMPACT The cost of the proposed program is $128,450 and it is an eligible use of AB 939 fee revenue. There are adequate funds available to support this type of technical assistance program; however, a budget amendment is required to authorize use of funds for this program purpose. Prepared by: Cary Kalscheuer, Assistant to the Director of Utilities Liza Cawte, Sr. Administrative Technician Attachment: Proposal by E. Tseng & Associates 034 Response to "Request for Proposals" Business Recycling Outreach and Technical Assistance Plan City of Azusa January 2011 E. Tseng and Associates, Inc. 30023 West Rainbow Crest Drive Agoura Hills, CA 91301 Telephone: 818-802-7111 Fax: 818-889-5458 E-mail: etseng(waol.com 035 1. TITLE PAGE Name of Proposer: Proposer/Contractor: Contact Person: Eugene Tseng E. Tseng and Associates, Inc. 30023 West Rainbow Crest Drive Agoura Hills, CA 91301 Telephone: 818-889-8628 Cell: 818-802-7111 Fax: 818-889-5458 e-mail: etseng(daol.com Title of Service Requested: Business Recycling Program Authorized Person: Eugene Tseng is the authorized person to make representations for the Proposal team. Date of Submittal: January 6, 2011 This proposal is firm and irrevocable for ninety days from the date above. 2 036 2. TABLE OF CONTENTS Page 3. Transmittal Letter 4 4 Company and Staff Qualifications 5 5. Work Plan/Technical Approach 14 6. Data Request 29 7. Scope Exclusions/Addenda 30 8. Deliverables 31 9. Lump Sum Not-to-Exceed Fee 33 10. Hourly Rate Schedule 35 11. Other Consultant Commitments 36 12. Other 36 ATTACHMENTS: EXAMPLE OF BEST MANGEMENT PRACTICES(REFERENCE) ACKNOWLEDGEMENT BY CIWMB(Cal Recycle)TO E.TSENG RESUMES OF PROJECT STAFF 3 037 3. TRANSMITTAL LETTER E. Tseng and Associates, Inc. 30023 West Rainbow Crest Drive Agoura Hills,CA 91301 Telephone: 818-802-7111 Fax: 818-889-5458 etseng(d aol.com January 6, 2011 Mr. Cary A. Kalscheuer, Assistant Director of Utilities Azusa Light and Water 729 N. Azusa Avenue City of Azusa, CA 91702 Re: Letter of Transmittal: Response to Request for Proposal Dear Mr. Kalscheuer, E. Tseng and Associates, Inc. is please to submit this proposal for providing technical services for developing and implementing the "Business Recycling Program". Eugene Tseng is the authorized person to make representations for the proposal team. Eugene Tseng E. Tseng and Associates, Inc. 30023 West Rainbow Crest Drive Agoura Hills, CA 91301 Telephone: 818-889-8628 Fax: 818-889-5458 e-mail: ctscng()aol.com We have an appreciation and in-depth understanding of the work that needs to be accomplished for this proposal and will work within the time period required. We believe our team is the best qualified to perform this engagement because our experienced team of Business Recycling Consultants has extensive experience in business assistance, and is uniquely qualified to complete this scope of work to provide business assistance. Our proposal team pioneered most of the business assistance protocols /methodologies and environmental metrics utilized in this industry, and have developed many award winning business assistance programs in Southern California. This proposal is firm and irrevocable for ninety days from the date above. Thank you very much for the opportunity to provide this valuable service to your department. Sincerely, Eugene Tseng President, E. Tseng and Associates 4 038 4. COMPANY AND STAFF QUALIFICATIONS 4.1 Principal Place of Business/Mailing Address for Project Team: E. Tseng and Associates, Inc. 30023 West Rainbow Crest Drive Agoura Hills, CA 91301 Telephone: 818-802-7111 Fax: 818-889-5458 e-mail: etseng@aol.com 4.2 Overall Consultant Experience: E. Tseng and Associates' proposal team has the most extensive experience with providing business technical assistance for waste reduction and recycling. We have been in business and have been conducting business waste reduction and recycling technical assistance and outreach programs for over sixty(60) cities for over 20 years. E. Tseng and Associates have worked with Business Improvement Districts (BIDs) in the City of Los Angeles (in conjunction with the Bureau of Sanitation)to setup independent third party recycler programs with businesses to implement source separated recycling programs(at no cost to businesses). In the last 15 years, our staff/team has provided on-site waste reduction/recycling assistance to over 10,000 businesses in California(in over 50 cities). Business range from very small strip mall businesses (e.g., Starbucks, Kinkos, etc:)to regional hospitals, to corporate campuses of multi-national industrial giants (e.g., Honda, Toyota, Raytheon, etc.), including large semi- autonomous entities such as airports (San Diego International Airport and Dallas/Fort Worth International Airport. Experienced Staff We propose only to utilize staff with extensive experience in conducting business waste reduction/recycling technical assistance and setting up independent third party recycling programs. Most of our proposed staff(e.g.,Julie Hast, Betsy Stoeven, Scott Hill, Karl Wong,) have been conducting business waste recycling audits on an average for more than 8 years,with several proposed staff with over 10 years experience with well over 2000+businesses each. All of our proposed staff have conducted business assistance with on previous a previous Smart Business Program. Denis Keyes will be the database programmer/manager, and will also be involved with data quality control/quality assurance. Denis Keyes and Eugene Tseng developed the current LA County Smart Business database. Denis Keyes has unmatched qualifications in the area of statistical analysis. Denis Keyes served as the CIWMB's statistical methods instructor through a special interagency agreement with Cal EPA. Denis Keyes also worked with Eugene Tseng to develop the statistical/GIS analytical tools used by the City of Los Angeles for"environmental justice"analysis. • 5 039 • Foreign Language Capability: Our proposed Business Recycling Consultant personnel have capability in Spanish, Chinese (Mandarin)and Indonesian (Malay). We have found that these two languages are an absolute must for dealing with the smaller and medium sized businesses. Chinese and Hispanic businesses are a rapidly growing segment of small businesses for many of the jurisdictions that our team has worked in. . Dedication of Staff: One of the unique characteristic of our staff is that we have been all working together for a number of years, some for almost 20 years. Business waste reduction/recycling and the "environment" are a PASSION. It is not"just a job". All of our proposed personnel are involved with outside activities that relate to the environment, such as teaching recycling, e.g., teaching at elementary schools (Julie Hast), member of Rainforest Foundation (Scott Hill), teaching at UCLA Engineering(Karl Wong, Eugene Tseng), building a house out of recycled materials (Scott Hill). We passionately believe in the goal and the importance of the business assistance programs. We believe that businesses can make a significant impact on the environment. Extensive In-House Training: The Business Recycling Consultants are all cross-trained so that each person is well rounded but also have specialty areas they have extensive experience. Experience has shown that cross training allows flexibility, as cross-trained staff can fill in for each other as needed. As the project develops, each Business Recycling Consultant will develop specific expertise, for various business types e.g., manufacturing, schools, hospitals, etc, as well as in various materials types, paper, plastics, C & D, etc. Each person will participate in developing upgrade training for each other for the purpose of cross training. This methodology has worked very well with the other Business Recycling Consultants currently working with other Southern California jurisdictions. Training will be offered to any City of Azusa staff that wishes to attend. Benchmarking and "Continued Improvement" Ethic: Most of the protocols and methods utilized in business waste audits were pioneered by E. Tseng and Associates and the proposed personnel. E. Tseng and Associates was originally formed at the request of the EPA/Cal EPA specifically to assist businesses in waste reduction/recycling and environmental sustainability. The methodologies that have been developed by our proposed team and currently utilized in the Smart Business effort is the "benchmark" of business assistance. Even so, we are constantly striving for better methods for motivating people and businesses to implement waste reduction and recycling. Our team and staff is constantly improving upon our waste reduction/recycling methodologies and sharing the learned field experience in our internal cross training program. Our methodologies are recognized to be the benchmark in the industry and our team actually provides training to other consulting firms, trash haulers, and personnel from many jurisdictions. E. Tseng and the proposed staff are currently developing the Business Waste Reduction and Recycling training materials for the CIWMB / UCLA Engineering Extension's Waste Recycling 6 040 /MSW Management Certificate Training Program. The training is based upon the methodologies/protocols develop and utilized in the Los Angeles County Smart Business Program and also form the City of Vernon and the City of Los Angeles. This training is also being developed in cooperation with the SWANA (Solid Waste Association of North America). UCLA plans to make this training available thru their distance learning on- line training program. Our dedication to education/training requires our team to always be striving to create the teaching or reference models. This goal sets the highest level for business technical assistance; and also requires us to be constantly incorporating innovative methods to make business assistance more effective. E. Tseng and Associates, Inc. specializes in developing and providing technical assistance,and developing recycling and environmental sustainability education/training programs for businesses. We develop reference protocols and methodologies along with the environmental metrics, as well as the education/outreach materials associated with those efforts. In 2008 to the present, we provided business waste reduction and recycling outreach assistance to the City of Los Angeles,the County of Los Angeles, and the City of Vernon, and also developed recycling training materials for UCLA. We are actively working with UCLA Engineering Extension in designing their on-line(distance learning)training program on teaching how to conduct business waste reduction and recycling assessments, and how to implement and evaluate the programs. The proposal E. Tseng and Associates team has worked together on various business outreach contracts and our team is literally a family of environmentalists. Example 1: E. Tseng and Associates has worked with the City of Los Angeles for the last 20 years on business recycling assistance. Our team was selected for developing the references for the"best management recycling practices" for every specific major business/industry type (based on the Standard Industrial Classification). We target the businesses that have the largest potential for recycling and conduct on-site business waste reduction/recycling visits to assist in the implementation of programs. The scope of work for businesses involves everything from helping to draft environmental mission statements,negotiating with the trash/recycling service providers, and conducting employee training/workshops, and recycling equipment selection. E. Tseng and Associates have provided training to City staff and supervised their program. Businesses audited ranged from city departments, various types of small businesses, hospitals, to complete entertainment centers, e.g. LA LIVE, Staples Center, etc. Example 2: Dr. Tseng and the proposed business assistance staff pioneered the"functional waste audit" for businesses, on behalf of the U.S. EPA and the United Nations. E. Tseng worked with the Cal Recycle(formerly CIWMB) and the California Resource Recovery Association (CRRA) to conduct business waste reduction and recycling auditing training to staff/consultants from over 200 jurisdictions. In addition, Dr. Tseng was retained by the CIWMB to conduct the same training to over 300 "State Facilities"representatives/staff for the AB 75 (State Facility recycling requirement)rollout by the CIWMB. Much of this effort has been done in conjunction with the City of Vernon, which serves as a test jurisdiction for new waste reduction and recycling methods for businesses. We have been working with the City of Vernon on business assistance and developing environmental sustainability assistance for the last 10 years on an ongoing basis. The new waste recycling methods and auditing protocols are continually updated into the training program developed by UCLA Engineering and Cal Recycle(CIWMB). 7 041 Example 3: E. Tseng and Associates team conducted one of the most extensive waste reduction /recycling technical assistance efforts at a corporate campus of multi-national the industrial giant, Toyota Motor Sales facility in Torrance (5000+ employees), and implemented an extensive waste reduction /recycling program that resulted in a"zero disposal to landfill". This achievement was recognized by Cal EPA and the Governor's office, and Toyota was awarded the "Governor's Environmental Leadership Award" in 2007 for the most outstanding waste reduction and recycling program. We are now developing the national rollout to assist Toyota achieve zero disposal at every facility in the U.S. http://www.mswmanagement.com/mw 0804 thinking.html Example 4: Dr. Tseng and the staff assisted the City of Carson in organizing and implementing their business technical assistance program. The City of Carson businesses won fifty (50) CIWMB (now Cal Recycle) Waste Reduction Awards Program (WRAP) awards in 1998, the most ever given to any one jurisdiction in a single year. The City of Carson also won the CIWMB "Trashcutters Award" for the most innovative waste reduction and recycling audit program, which utilized a private public partnership approach. Example 5: E. Tseng and Associates was the County of Los Angeles' Business Recycling Technical Assistance contractor for over six years. One of our most significant achievements while being the L.A. County's Smart Business program contractor was that the County program was nationally recognized by the Walt Disney Company as "Best Management Practices" for a business assistance program and winning a CIWMB "Trashcutter's" award. Example 6: At the request of the United Nations and the U.S EPA, Eugene Tseng developed and taught the first university level course at UCLA's MBA program at the Anderson Graduate School of Business Management, in which waste reduction/recycling and environmental issues are taught as part of the MBA program along with business management principles, in a course titled"Business and the Environment". The "functional audit" was taught as part of the MBA curriculum. With over sixty of the Fortune 500 businesses participating in the program, our team has an unparalleled access to what key motivators and what upper management needs to be able to implement waste reduction and recycling programs. Over 90% of business waste reduction and recycling best management practices case studies utilized in the international UCLA Engineering Extension's Recycling/MSW Management Certificate Training Program was developed from actual business audits conducted by the staff of E. Tseng and Associates (other 10% are international examples from the European Union and Asia). Much of the curriculum related to business waste reduction/recycling, as well as the "environmental metrics" (quantification protocols)was developed thru the efforts of our business recycling team, each member also participate in mentoring and teaching. As a Charter Member of the U.S. EPA National Advisory Council for Environmental Policy and Technology, Eugene Tseng was asked by the EPA to specifically develop business technical assistance programs. The following examples demonstrate that our business waste reduction/recycling assistance work are considered"best management practice" and the "benchmark"of the industry, as well as to demonstrate our dedication and unmatched in-depth experience. We hope to utilize the businesses from the City of Azusa to become "best management practices"case study examples as part of our effort. 8 042 Professional Employees and Organizational Chart: We currently have 6 professional-level staff that conducts business waste assistance assessments and one professional database/statistician. Detailed resumes are provided in the Attachments Name Role Eugene Tseng, Principal Project Director, Technical Director developing protocols and (E.Tseng and Associates) methods, and will provide overall technical direction and oversight Also responsible for providing the most current training, and environmental metrics methodologies, metrics information. Will conduct highly technical site visits requiring integrated systems input to waste reduction/recycling, including updating greenhouse gas (AB 32) environmental metrics measurement protocols related to recycling Yu Yue Yen Project Management; provide day to day project operational coordination. Julie Hast Technical Management; provide day to day technical and audit protocol coordination (including QA/AC). Senior Trainer Karl Wong Senior Business Recycling Consultant/Auditor, Workshop coordinator, speaks Chinese (Mandarin), Trainer Denis Keyes Database management, senior statistician, environmental justice specialist, also data QA/QC Scott Hill Senior Business Recycling Consultant/Auditor, Workshop Speaker/ coordinator, Trainer Betsy Stoeven Senior Business Recycling Consultant/Auditor, Workshop Speaker/ coordinator, speaks Spanish, Trainer Eugene Tseng Project Director I i Yu Yue Yen Julie Hast Project Manager Project Manager Operations/Admin Technical Betsy Stoeven Scott Hill Karl Wong Denis Keyes Senior Auditor Senior Auditor Senior Auditor Database Management and Environmental Metrics 9 . 043 4.3 References: 1. City of Vernon Contact: Mr. Lew Pozzebon, Director of Environmental Health Dept. Telephone: 323-583-8811 LPozzebon(?a,ci.vernon.ca.us Contract Term: Year 1999—Present Annual Contract Value: Approx: $50,000 - $150,000 per year Project Descriptions: E. Tseng and Associates have been conducing approximately 100 business waste reduction and recycling assessments per year since 1999. Business waste recycling assessments/audits also include providing technical assistance on environmental sustainability issues. The City of Vernon assisted in pioneering many of the protocols and environmental metrics utilized in business assistance programs. The City of Vernon has been a pilot research"test jurisdiction"for Cal Recycle/UCLA Engineering Extension's Recycling/MSW Management Program(for testing new methods to increase business recycling), and have been testing the various programs and documentation protocols/methods for meeting the requirements of the new mandatory commercial sector recycling law. We also developed a complete new base year study for the City of Vernon. 2. City of Los Angeles, Department of Public Works,Bureau of Sanitation Contact: Ms. Karen Coca,AB 939 Program Manager Karen.Coca(a�lacity.org or George Payba george.paybaAlacity.org Telephone: 213-485-3698 Contract Term: Year 1990—Present Total Contract Value: Approx: $250,000(current contract) Annual Contract Value: Not Applicable, ongoing/on-call basis Project Descriptions: A. Business Waste Assessments/Assistance&AB 939 Assistance (from 1990 to Present) E. Tseng and Associates has worked with the City of Los Angeles for the last 20 years on business recycling assistance. Our team researched the"best management recycling practices" for every specific major business/industry type (based on the Standard Industrial Classification). We developed targeting strategies for the businesses that have the largest potential for recycling and conduct on-site business waste reduction/recycling 10 044 visits to assist in the implementation of programs. E. Tseng and Associates has been conducting extensive education and outreach to the businesses in the City of Los Angeles over the last two years, as well as working to develop the long term tracking and reporting database for the City's business recycling program. Dr. Tseng served as the Technical Director for the City's $1.5 million dollar Solid Waste Generation Study in 1990 and provided the technical oversight for the City. We also recently conducted recycling(and environmental sustainability)training for City of Los Angeles recycling staff and for the staff of businesses audited. B. Waste Characterization and Disposal Capacity Studies E. Tseng and Associates conducted a Regional Eight-County Disposal Capacity for the City of Los Angeles that encompasses the counties of Los Angeles, Ventura, Orange, San Bernardino, Riverside, Imperial, Kern,and San Diego. Methodology utilizes advanced statistical tools and modeling and is GIS (Geographical Information System) mapping enabled. Also currently assisting the City of Los Angeles to develop the Los Angeles Area Regional Agency. Assist in drafting the Joint Powers Agreement, organizing jurisdictions; develop technical methods to calculate a new regional agency baseyear diversion rate. E. Tseng rovided technical oversight on the methodology of the Year 1990 Solid Waste Generation Study,Year 1995 and Year 2000 New Base Year Studies and for the citywide generator based waste composition study for the City of Los Angeles. Provided training on waste composition analysis and on waste reduction and recycling audits. C. Residential Curbside Recycling Residual Waste Characterization Study Conducted the Bureau of Sanitation's Residential Curbside Recycling(Blue Bin) Residual Waste Characterization Study. This is one of the nation's most extensive waste characterization studies designed to assess the collection efficiency, MRF recovery efficiency, and the level of contamination in the City of Los Angeles residential curbside recycling program. Study utilized both physical field sorting and visual sorting protocols and integrated"functional"characterization as a tool to determine potential methods of improvement in the operation of the program in an effort to reduce contamination. The study resulted in significant findings that will be utilized in reducing contamination. 3. Cal Recycle (formerly, California Integrated Waste Management Board) Contact: Gary Petersen (former CIWMB Board Member) gnetersen3@verizon.net Telephone: 310-720-2020 Contract Term: (Interagency Grant to UCLA) Total Contract Value: Approx: $500,000 (Cumulative Total) A. Business Waste Reduction and Recycling Program Design/Implementation 11 045 Boardmember Petersen worked with Eugene Tseng(E. Tseng and Associates) on various business waste reduction and recycling program implementation and training programs. Mr. Petersen requested the development of the UCLA Engineering Extension's "Recycling/MSW Management Certificate Program". Mr. Petersen and Eugene Tseng worked on assisting Toyota Motor Sales corporate office achieve zero disposal in 2007 (Toyota won the Governor's Environmental Achievement Award in 2007 for best waste reduction/recycling program in California). B. Diversion Measurement Method Developed the AB 2494 CIWMB "Adjustment Method" for the measurement of recycling rates. Mr. Eugene Tseng also conducted technical outreach and stakeholder workshops for the CIWMB. Eugene Tseng has developed technical outreach materials on solid waste regulations and recycling for the CIWMB and has presented in forums to over 200 jurisdictions in California. He was also the CIWMB contractor to train the waste management specialists and recyclers for State Facilities (AB 75)at CIWMB sponsored workshops which were attended by almost 400 state facility personnel. C. CIWMB Uniform Waste Characterization Method California Integrated Waste Management(CIWMB),the Waste Characterization Database(http://www.ciwmb.ca.gov/WasteChar/BizData.htm). The database provided a waste characterization for each type of business and will also estimate the composition and volume for each city in California. It is most accessed waste characterization database in the world. The CIWMB gave specific acknowledgement and thanks to Eugene Tseng on their website: http://www.ciwmb.ca.gov/WasteChar/Thanks.htm . Ms. Nancy Carr(CIWMB "Trash Queen")is the project manager/contract manager for the development of the CIWMB Uniform Waste Characterization Method. Completion in year 1997 D. Regulatory/Legislative Infrastructure Analysis Dr. Tseng has worked on developing legislation and regulations on behalf of the CIWMB (e.g., AB 2494 (1992), AB 2202 (2000)). He served on the Compost Regulations Subcommittee for the CIWMB. More recently (during years 2000-2002), Dr. Tseng served on the AB 2202 Subcommittee as the request of the CIWMB. Dr. Tseng also has been on many national/international panels dealing strategies related to solid waste and hazardous waste (U.S. EPA/United Nations). Prior to AB 939, Eugene Tseng worked on AB 2020,the California Bottle Bill. This work was done in conjunction with the environmental community, and with Mr. Gary Petersen,the newly appointed CIWMB Board member. E. Tseng worked with Mr. Petersen on developing the operational infrastructure for the California Bottle Bill, AB 2020. In addition,Mr. Petersen and Eugene Tseng co-taught the "Recycling: Design, Markets, and Operations"course at UCLA Extension, and they both served on the Advisory Board for the Extension's MSW Management Certification Program. (1989— 1997) E. Solid Waste Training and Education/Outreach Stakeholder Experience 12 046 Dr. Tseng worked with Board Member Gary Petersen to develop the UCLA Recycling and Municipal Solid Waste Certification Program. The program was developed through an extensive stakeholder process/Advisory Board. Dr. Tseng was the program founder and was responsible for integrating the Advisory Board/Stakeholder selected policy goals and technical skill requirements into a cohesive training program. This program was developed at the request of the CIWMB and also the U.S. EPA. 4. County of Los Angeles Contact: Wilson Fong WFONGAdpw.lacounty.coy Telephone: 626-458-3500 Contract Term: 2002 - 2008 E. Tseng and Associates was a subcontractor to Edelman Worldwide and conducted the on-site business outreach for the Los Angeles County Smart Business Program. We developed the County's business outreach training program, conducted over 2000 business assistance site visits,maintained their tracking database, as well as assisted in the County's AB 939 Generation/New Base Year Study. This is the single largest business assistance program and has been recognized by the Cal Recycle and the Walt Disney Company as "best management practice" for a business waste reduction and recycling technical assistance program. 13 047. 5. WORK PLAN /TECHNICAL APPROACH Our approach to the work plan is based on a time-proven business waste reduction/recycling planning and technical assistance methodologies utilized in the previous business assistance efforts (with several new innovations/updates). Our team has worked with over 60 jurisdictions in California in refining and implementing their business recycling technical assistance audit programs, and also implementing other AB 939 Source Reduction and Recycling Element (SRRE) plans and programs. The work plan consists of completing the following deliverables: • Develop a "Recycling Handbook" • Conduct a Business Recycling Workshop • Conduct Site Visits and Waste Audits • Other Support Activities and Reporting Requirements IMPORTANT NOTE: It is important to note that there is now a"Mandatory Commercial Recycling Measure"required by State law for all cities in California that has taken affect, and there is a significant amount of programmatic tasks/documentation required of all jurisdictions. E. Tseng and Associates has specifically tailored the tasks of this proposal to meet both the City of Azusa's recycling RFP requirements and also the new State mandatory commercial recycling requirements for program implementation, tracking/monitoring, greenhouse gas (GHG) calculations and GHG tracking/monitoring. We have already been implementing this same program in other cities to meet this new State requirement. (Please see Section Scope Exclusions/Addenda for details). 5.1 Develop a"Recycling Handbook" The proposer will complete a Recycling Handbook which includes a directory of recyclers (by material type) within the first two months. We currently maintain an annually updated listing of recyclers in Los Angeles County. In addition,the Recycling Handbook will have to explain the new requirements for cities and businesses under the new mandatory commercial sector recycling law and how recycling can positively impact greenhouse gas emissions and climate change/global warming. Our team is currently developing similar guidebooks for the City of Los Angeles, and have in the past completed multilingual handbooks for other cities and for the County of Los Angeles (available on the internet). The mailing list of the Recycling Handbook will be from the business license list from the City of Azusa. The Dunn and Bradstreet database (CIWMB/Cal Recycle Default Waste Characterization database) shows approximately 1400 businesses and approximately 17,000 employees in the City of Azusa. Distribution of the handbook can be economically done electronically by e-mail and/or thru the postal system in conjunction with either the franchise trash hauler's billing, the utility billing, and/or with the City's business license mailings. 14 Q48 5.2 Conduct Business Recycling Workshops The proposal team will mail invitations to businesses to attend a workshop and prepare a power point presentation. The project team will specifically target the 200 largest businesses in the City of Azusa, although all businesses will be invited. The team will work cooperatively with AL&W on the presentation. The proposal team will work with local business organizations and service organizations, e.g., Chamber of Commerce, Rotary, South Bay Business Environmental Coalition, etc. to help recruit business participation(this has been very successful done in the past, for example, over 100 in attendance for a satellite broadcast"recycling workshop" in conjunction with the City of Carson. All workshop materials (handouts,worksheets, etc.)will be provided for participants, and will also be provided in electronic format(PDF format) for interne dissemination to the businesses via the City of Azusa website. For the first workshop, we recommend a half-day session,typically from 9:00 a.m. till noon time period for the maximum convenience of the local businesses. Our team will work with AL&W on a proposed agenda. Our team has extensive experience in conducting business workshops, and has conducted business recycling workshops for over 200 jurisdictions on behalf of Cal Recycle (CIWMB)and for over 400 State Agencies, as well as for many private companies. Our primary goal is to mentor/teach(teaching the businesses"how to fish") so that they can independently implement and optimize their programs. The workshop will also be coordinated with the City's franchise hauler. Our proposal team, in fact,has conducted AB 939 recycling workshops to over 40 haulers in the Los Angeles County area thru the organized efforts of many local cities. No other firm is dedicated to environmental education, nor have they the developed/conducted more recycling training programs than our team. For the second workshop(to be conducted about 4 months after the first workshop), we recommend that the agenda be jointly developed by our team,AL&W,and with the input of the participating businesses. We have found that businesses have very specific coverage requests in regards to what they need to learn from these workshops. Specifically, our experience indicates business typically need much more hands on help with documentation and measurement protocols in measuring environmental program progress,how to train staff, and assistance in finding specific markets for non-traditional recyclable materials, and explanations on how recycling reduces greenhouse gas emissions, etc. Although much of this can be done with individual follow-ups to the business audits,we have found that this information is typically very well received in a"workshop format". i of best managementpractices from other jurisdictions We have a huge number of"case studies" g � (and hopefully some from Azusa soon), and can have speakers from these companies to help similar businesses in Azusa implement waste reduction and recycling programs. In part of preparing the invitations to the businesses to participate in the workshops and also to sign up to participate for a cost free audit provided by the City, we will be able to concurrently document providing the needed outreach to businesses (based on franchise hauler customer listings) as required by the mandatory commercial recycling law. 15 049 5.3 Conduct Site Visits and Waste Audits This task is the heart of the Business Recycling Program, and is also an integral part of the task that has to be done under the new mandatory commercial sector recycling program. In this section, we will detail our proven technical approach that will be used. This effort will be coordinated with the City and the City's franchise hauler. A preliminary analysis of the City of Azusa commercial wastestream indicates that"food waste" is the single number one component. Paper(various kinds) is the second largest component of the disposed waste stream. "Restaurants" is the single largest waste generating sector, followed by "Construction" sector, "Manufacturing-Other", and followed by "Retail Trade-Building Material and Garden". These tables are from the CIWMB waste characterization database developed by Eugene Tseng. As part of our plan, we will work with AL&W to develop a targeting strategy on which businesses to focus on which will result in the greatest amount of additional third party recycling that can be achieved with this business recycling technical assistance and outreach program. City of Azusa: Estimated Non-Residential (Commercial Sector) Waste Composition http://www.calrecycle.ca.gov/WasteChar/wcabscrn.asp Estimated Business Waste Amounts Sorted by Total Disposal Total Disposed: 18,211 Tons Percent of Total Commercial Business SIC Grouping Annual Tons Disposed Disposal Retail Trade-Restaurants 2,347 12.9% Construction 2,130 11.7% Manufacturing-Other 1,457 8.0% Retail Trade-Building Material and Garden 1,439 7.9% Services-Education 1,133 6.2% Wholesale Trade-Nondurable Goods 1,015 5.6% Retail Trade-Other 988 5.4% Services-Other 887 4.9% Manufacturing-Electronic Equipment 839 4.6% Wholesale Trade-Durable Goods 815 4.5% Manufacturing-Furniture/Fixtures 775 4.3% Retail Trade-Food Store 644 3.5% Manufacturing-Primary/Fabricated Metal 604 3.3% Services-Business Services 381 2.1% Services-Medical/Health 369 2.0% Services-Other Professional 368 2.0% Public Administration 287 1.6% Manufacturing-Lumber and Wood Products 260 1.4% Manufacturing-Printing/Publishing 252 1.4% Retail Trade-Auto. DIrs& Serv. Stations 245 1,3% 16 050 Manufacturing-Chemical/Allied 129 0.7% Transportation-Other 118 0.6% Manufacturing-Instruments/Related 112 0.6% Retail Trade-General Merchandise Stores 91 0.5% Agriculture/Fisheries 88 0.5% Manufacturing-Industrial Machinery 68 0.4% Trucking and Warehousing 67 0.4% Manufacturing-Apparel/Textile 59 0.3% Utilities 57 0.3% Services-Hotels/Lodging 53 0.3% Finance/Insurance/Real Estate/Legal 42 0.2% Manufacturing-Transportation Equipment 40 0.2% Services-Motion Pictures 40 0.2% Manufacturing-Paper/Allied 12 0.1% Forestry 0 0.0% Mining 0 0.0% Manufacturing-Food/Kindred 0 0.0% There are several methods of targeting businesses for participation in waste audit programs, 1) businesses can be targeted by size or potential for successful implementation, and/or 2) can be targeted by the type of business most common in the jurisdiction, or by a combination of factors. We proposed to select businesses for auditing based upon the size of the businesses, and targeting fifty (50)of the largest businesses within the City of Azusa. Based upon our experience, by targeting 200 of the largest businesses, we typically get a very positive response to conduct onsite technical assistance audits for about 25% of the targeted companies. For budgetary purposes, to conserve City resources, we are only proposing 50 audits, and if the responses by the companies are to the satisfaction of the City of Azusa, this can be expanded (with an appropriate budget and potentially an increased level of assistance) at a later date. We recommend this phased approach because the State (Cal Recycle/CIWMB) may be adding additional requirements to the outreach and/or documentation requirements as the State will be finalizing the draft regulations and how they are interpreting how the regulations are to be satisfied. We are familiar with the current Cal Recycle staff interpretation of the mandatory commercial recycling program, but the State reserves to revise these requirements in the early part of 2011. (Just trying to be careful with the use of the City's funds and be mindful of ever- changing non-funded State mandates upon local jurisdictions. (As a environmental law professor, Eugene Tseng keeps track of these regulations /policies and tries to provide the most cost effective and innovative programs to cities.) We have utilized this approach in virtually all of our cities that we have worked with. Priorities are very different between jurisdictions. The most common approach is to work with the companies that will have the most significant impact for the City based upon the trash service level and/or by size based on number of employees (proxy for waste generation volumes). 17 051 AZUSA:Overall Commercial Waste Stream Sorted by Percent of Waste Stream Annual Disposal Percent of Commercial Material Type Tonnage Stream Food 2,677 14.4% Remainder/Composite Paper 1,736 9.3% Lumber 1,573 8.4% Uncoated Corrugated Cardboard 1,305 7.0% Remainder/Composite Organic 1,269 6.8% Leaves and Grass 963 5.2% Film Plastic 805 4.3% Other Miscellaneous Paper 785 4,2% Other Ferrous 527 2.8% Durable Plastic Items 520 2.8% Newspaper 487 2.6% Remainder/Composite Construction and 445 2.4% Demolition White Ledger 437 2.3% Remainder/Composite Metal 411 2.2% Rock,Soil and Fines 376 2.0% Textiles 359 1.9% Magazines and Catalogs 313 1.7% Remainder/Composite Plastic 291 1.6% Gypsum Board 255 1.4% Other Office Paper 231 1.2% Remainder/Composite Glass 212 1.1% Bulky Items 198 1.1% Remainder/Composite Special Waste 189 1,0% Clear Glass Bottles and Containers 170 0.9% Concrete 167 0.9% Tin/Steel Cans 154 0.8% Mixed Resdue 144 0.8% Prunings and Trimmings 142 0.8% Paper Bags 124 0.7% HDPE Containers 121 0.6% Manures 91 0.5% Miscellaneous Plastic Containers 90 0.5% Computer Paper 83 0.4% Tires 72 0.4% PETE Containers 63 0.3% Flat Glass 61 0.3% Other Non-Ferrous 55 0.3% Brown Glass Bottles and Containers 51 0.3% Color Ledger 42 0.2% Phone Books and Directory 41 0.2% 18 O52- Green Glass Bottles and Containers 38 0.2% Aluminum Cans 28 0.1% Asphalt Paving 21 0.1% Major Appliances 17 0.1% Remainder/Composite Household Hazardous 12 0.1% Batteries 8 0.0% Paint 7 0.0% Asphalt Roofing 6 0.0% Ash 5 0.0% Branches and Stumps 4 0.0% Industrial Sludge 3 0.0% Other Colored Glass Bottles and Containers 3 0.0% Agricultural Crop Residues 2 0.0% Vehicle and Equipment Fluids 1 0.0% Used Oil 1 0.0% Treated Medical Waste 0 0.0% Sewage Solids 0 0.0% 19 053 5.3 Site Visit / Consultation Fundamental in our business assistance approach is our recognition that each business is unique, that a relationship have to be built by the Business Recycling Consultant who represents the City's business assistance program. Our team will consist of senior experienced Business Recycling Consultants, each with many years of experience. We have found that the Business Recycling Consultants have to be experienced to be credible, and be able to recognize the unique materials flow, sometimes referred to as "mass balance flow", of how each entity operates and creates waste materials. The technical approach utilized for the business site visit is called a "Functional Audit". The "functional audit" is a systems engineering approach which combines the Cal Recycle/CIWMB's and the U.S. EPA's policy of"integrated waste management" hierarchal approach with an engineering materials flow utilization/systems analysis (utilized as part of a "environmental management systems analysis") originally developed for use in assessing hazardous waste utilization in businesses. Our project team pioneered the use of the functional audit for use in the "municipal solid waste / recycling" industry, and is now the reference standard for business audits / site visits. (Eugene Tseng developed the functional audit approach for hazardous waste, and the approach was taught as part of the UCLA Engineering Extension's Hazardous Materials Management Program). No other business assistance team has the depth of experience and passion for business assistance that our proposal team has. The functional audit approach asks the following questions in each "department" or "function" at a business (when targeting recyclable materials): • What is the "material(s)"? (at the specific function/location) • What is the function of the material? (how utilized) • Can the use of the material be eliminated? • Can the use of the materials be reduced? • Can it be reused? • Can it be recycled/composted? • What is the best disposal option? (avoid landfill) • Can business consider or specify: 1) recycled content, 2) design for sustainability, and 3) minimum waste The approach incorporates the "integrated waste management" hierarchy of 1) source reduction/waste reduction, 2) recycling, 3) environmentally safe transformation and environmentally safe landfilling. The functional audit also has a set of criteria that is "systematically" utilized to determine the most appropriate waste reduction / recycling approach. To determine the appropriate waste reduction and/or recycling program, the following factors are analyzed: • Waste Composition (tonnage / volumes available for recycling) • Control of the materials / waste (e.g., janitorial participation required?, etc.) • Ease of implementation / operations (program convenience is key) • Cost of program (cost effectiveness) • Potential for success • Current infrastructure (e.g., existing programs, hauler interface, building owner/manager, etc.) 20 054 • Amount of resources needed to implement • How to monitor, evaluate, and provide feedback Typically the programmatic recommendations fall into the following programmatic classifications: • Improved operational and housekeeping procedures • Waste segregation ▪ Product and materials substitution • Technology changes • Reclaiming, recycling,and reusing • Participating in waste exchanges This approach examines how materials flow are purchased,inventoried, utilized, recycled, and disposed of, in the business entity. "Paper"can be functionally"office paper", or can be "packaging paper", different functions,different paper,different markets, different prices. Maybe a mixed paper program is ideal,or a more extensive"paper recycling"program that separates"office paper" from"other mixed paper"may be appropriate, depending upon the desires and constraints of that businesses, e.g., recognizing that there over 100 different grades of paper recognized by the recycling industry. (NOTE: The importance of a structured and systematic approach is that as each business entity goes through the assessment process, and can learn how to apply it themselves,that is part of our approach. The businesses are better equipped to develop and improve their own waste reduction and recycling programs. E. Tseng pioneered the"functional audit"and that methodology is now the standardized protocol used in business technical assistance that has been utilized in over 50 cities in California, and has being taught by the CIWMB to over 200 jurisdictions (and to be taught in the on-line"as part of the UCLA Engineering Extension's Recycling/MSW Management Certificate Training Program). Our Business Recycling Consultants are the most prepared,trained, and experienced. Prior to each site visit, our staff has researched the potential businesses that they will be conducting the site visit at. This is done to maximize the effective use of the time that we have at each business. Prior to the visit, our staff already has an in-depth understanding of the potential waste stream. We have specific waste characterizations of each type of business that we review periodically. In-fact, Eugene Tseng and the proposed Business Recycling Consultants pioneered the use of "generator based waste composition analysis" for the CIWMB, and developed the CIWMB business waste characterization database,business specific waste composition for each business type. During the visit, we will conduct confirmatory volume-based"visual"characterization of the disposed wastestream to make sure that the wastestream does not pose any problematic issues for the recommended waste reduction and recycling programs. (please see http://www.ciwmb.ca.gov/WasteChar/JurisSel.asp), the CIWMB specifically gave recognition to Eugene Tseng for pioneering this internationally utilized tool (please see: http://www.ciwmb.ca.gov/WasteChar/Thanks.htm). Copy of acknowledgement is included in the Attachments. We have completed and refined waste composition and audit studies that have identified"best waste reduction and recycling practices" for each specific industry that our staff has developed over the last 13 years. Many of these best waste reduction and recycling practices are actually 21 055 used in teaching programs at UCLA Engineering. These best management practices documents and case studies are also reviewed as constantly updated (Example included in Attachments). During our regular staff meetings to discuss the business outreach program, our proposal team/ staff cross train and extensively discuss new best management practices, barriers that they have encountered in their work, and discuss solutions to overcome the barriers and constraints. Based upon more than 10 years of on-site business recycling waste reduction and recycling audits and follow-ups for more than 50 cities, the table below show some labor hour estimates that are required for the on-site audits/assessments follow-ups, and database/documentation efforts by size of business. The "follow-ups"hours are very dependent upon the type of assistance requested. We have had many different types of requests to provide the business with assistance, ranging from identifying specific recycling markets to providing extensive staff training and assisting to conduct training for an in-house waste characterization study, and to efforts as documenting their energy conservation efforts related to their"sustainability" programs. Facility Size Waste Audit Hours Follow-Up Hours per Total Hours per per Business Business Business Less than 20 Employees 2-3 2-4 4-7 20—49 Employees 4 4 8 50—99 Employees 5 4 9 100—249 Employees 6 4-6 9-11 250—499 Employees 6-8 4-8 10-16 Other(e.g., 500 16-24 16-40 32-64 employees or more, mulit- (depends upon specific (depends upon specific national companies, etc.) requests) requests) The project team is very flexible, and will work with AL&W to determine the applicable scope that should be provided as part of this specific program. The key to remember is that the follow- ups have to be done in a timely manner according to the needs of the individual business. We are extremely sensitive to business operations, e.g., mealtimes for restaurants, tax /inventory times for warehouses, etc. One of the analytical tools that our team will utilize is the use of environmental justice analysis. The Cal Recycle/CIWMB requires every jurisdiction to conduct an environmental justice analysis of their AB 939 programs to make sure the environmental justice analysis issues and requirements are being addressed, as such, we pay special attention to the needs of minority- owned and/or small businesses. Below is a graphical example for the City of Rosemead dealing with the need for a Chinese speaking Business Recycling Consultant, because of"linguistic isolation"(only functional in Chinese and not English). 22 056 Percent of Households That Speak an Asian/Pacific Language and Are Linguistically Isolated by Census Block Group-Active and Not Active Facilities City of Rosemead-Based on 2000 Decennnial Census Summary File 3 tam iontsinfillo azigjohrtassimirst littirdrjant 1r pronvay MOM=MN �/_ MedBml 7renef.r No. Not Active ScU Dlaposal ndf Not Active SoYd Waeta LandfYYDlaposal Site - • �'f �� Block Groop3F3 OA%•S.S% 1100, �_�♦1� �I_4ii.„,11,42.411,11.*m�� • W E 3 0 3 6 Miles Our proposal team has unmatched qualifications in the field on Environmental Justice. Denis Keyes and Eugene Tseng developed the environmental justice analytical tools currently utilized by the City of Los Angeles Environmental Affairs Department and also the Local Enforcement Agency. Eugene Tseng teaches a class on environmental justice as part of the law school program at the University Of West Los Angeles School Of Law, and was nominated to become co-director of the Center for Environmental Justice. In 2006, Eugene Tseng received the U.S. EPA's Environmental Achievement Award for his work on Environmental Justice and for his training programs on waste reduction and recycling for businesses. 5.3.1 Follow-up The Business Recycling Consultants will follow up with businesses, one or more times within three months after conducting the initial site visit to gauge how waste diversion has improved. We shall track site visits in a database log and submit brief reports for the city on a monthly basis. More importantly, additional assistance will be provided. Assistance will range from providing training programs to employees/staff, finding markets for non-traditional recyclable materials, drop off recycling bins, developing management presentations to showcase the benefits of recycling programs, to developing environmental metrics (benefits of recycling) and developing cost metrics for determining the impact of waste reduction and recycling programs. In addition, more and more businesses are asking how recycling and global warming are related. The most basic factors considered by business are"cost" and space requirements. With tipping fees dramatically increasing over the last few years, many of our existing businesses have asked us to estimate cost savings and to provide "avoided" disposal cost metrics for their management. Our project proposal team has the capability to work with the businesses to provide basic "environmental metrics and program cost metrics". Below are typical examples of various program cost metrics and a recycling time series waste generation utilized in by businesses for determining the cost of a zero disposal to landfill 23 057 program. Our project team has a database developed and being tested with various businesses, and also being reviewed by a Technical Advisory Board (UCLA Engineering Extension) in which we can help businesses estimate the cost impact of their waste reduction and recycling programs. Cost of Waste Disposal and Recycling Program $200,000 .._._.n . $150,000 ------_____ _ _____.-__ `ter_ 54,502_ $106,804 — $130.767 $108,591 ,tgnnual TOTAL Cost of Removal from HO Site $100,000 $102,139 $93,409 ...Nei-Annual DISPOSAL and DIVERSION Cost Avoidance ilii (not having to remove from HO Site) $50.000 - Recycling Revenue $20,725 $6,500 $6,894 $3,097 1-.0—Total Net Program Coat(Benefit)(Total coat of $0 ! removal less recycling cost avoidance lass recycling FY 06 FY 07 FY 08 Annualized ' revenue). Actual Actual (First Full Year of Zero Waste To Landfill . ($31.725) ) ($50.000) ($66.635) ($100.000) _ -. - Fiscal Year Waste Generation(without Waste Reduction) 100% .. r% 90% -- -- — ■Annual HQ Total Landfill Rate 80% — _...—._._ _._._. 70% r� I ■Annual HQ Total Waste To 60% anClatin Energy Rate 50% Ramal OFFSITE Recycling Rate 40% 30% ® l Ranual ONSITE Recycling Rate 20% 10% 0% FY 06 FY 07 FY 08 Annualized Actual Actual (First Full Year of Zero Waste To Landfill) Fiscal Year Only recently, many companies indicated that they wanted an understanding of how increasing their recycling programs efforts will impact the greenhouse gas footprint (global warming). Our team has been developing and testing various greenhouse gas databases/calculators for a number of jurisdictions (City of Livermore, City of Vernon, City of Los Angeles, etc.) as part of business assistance. We will be utilizing and incorporating greenhouse gas information and metrics as part of our outreach materials and also in our on-site discussions with the businesses. With the passage of the California landmark legislation, AB 32 (the California version of a global warming initiative), businesses are keenly aware of global warming issues, but have not connected it to recycling. 24 058 Once of the innovative tools that we are planning to utilize is to incorporate information on "environmental benefits"related to global warming and greenhouse gas footprint related to waste disposal and recycling. E. Tseng has been working with the UCLA Engineering in developing environmental metrics related to the reduction of the greenhouse gas footprint resulting from the implementation of recycling programs by businesses. The following is an example of the impact of source reduction and recycling on greenhouse gases (this will be available for each individual participating business that we audit (this is part of our documentation for the mandatory commercial sector recycling law: Tons Source Tons Tons Commodity Reduced Tons Recycled Tons Landfilled Combusted Composted Total MTCO2E Aluminum Cans - U - 4 NA (6) Steel Cans - - - 6 NA (9) Glass - - - 42 NA 2 HDPE - 0 - 6 NA 5 PET - - - 6 NA 6 Corrugated Cardboard - 188 - 4 NA '589' Magazines/third-class mail - 80 - 6 NA 248 Newspaper - 100 - 2 NA (281 Office Paper 24 350 - 10 NA (1,199) Phonebooks - - 7 NA (5) Dimensional Lumber 11 - - 34 NA (49) Food Scraps NA NA - 170 55 (41) Yard Trimmings NA NA - 6 - (1) Grass NA NA - - 443 (88) Mixed Paper,Office NA 386 - 12 NA (1,327) Mixed Metals NA 46 - 2 NA (244) Mixed Plastics NA 14 - 76 NA 55 Mixed Organics NA NA - 19 29 (10) Mixed MSW NA NA - - 93 NA (11) Carpet - - - 15 NA 6 Personal Computers - 46 - - NA (105) Concrete NA 18 - NA NA (0) Fly Ash NA 5 - NA NA' (4) Total Change in GHG Emissions: (4,224) MTCO2E This is equivalent to... Passenger Cars from the Removing 914 Roadway Each Year We will be offering and providing this database/information to businesses that request this type of information. This database will also be used for compliance with the new State "mandatory commercial recycling" documentation requirements. 5.3.2 Outreach and Education Approach: Our proposal team is fluent in Spanish and Chinese, and if necessary, materials may be developed in those languages. Our"Outreach and Education" approach is unique in that is specifically developed and structured in a way that reflects the learned experience from in-depth studies by the U.S. EPA and others to determine why people don't and do recycle. Whether our Business Recycling Consultants are on the site visits, or when we are developing"outreach and educational" 25 059 materials for the promotion of the program,we utilize the following guidelines to get businesses /people to develop and participate in recycling programs: • Build Awareness (outreach function,recognizing the issues) • Provide Education (what to do and why) • Importance of what you are doing o Importance of participation(what you do is important) o Individual makes a difference(individual contributions count) • Motivate the business/people o Extrinsic Motivation(external factors,recycling revenue, cost savings, etc.) o Intrinsic Motivation("right thing to do") • Motivating the business/staff to incorporate long term waste reduction and recycling practices to be their standard operating procedure and institutional infrastructure The above principles of outreach and education were integrated together into an overall approach that is now the standard of outreach and educational programs for increasing participation in recycling programs. This approach has been so effective that the United Nations Environment Program and the U.S. EPA's National Advisory Council of Environmental Technology Transfer requested Eugene Tseng to develop a course called"Business and the Environment"in the UCLA Graduate School of Management(MBA Program) and to incorporate these education/ outreach principles to be part of the curriculum for help businesses implement environmental programs. In the education and outreach area, environmental justice factors such as linguistic isolation, educational level, race, ethnicity, income, and other factors must be considered. Our staff has extensive experience with developing the outreach and educational materials to take these factors into consideration. Our team has prepared both Chinese and Spanish informational education/outreach brochures related to waste reduction and recycling. As discussed before,our project proposal team has unmatched qualifications in the area of Environmental Justice. We can assist the City of Azusa develop promotional materials, if requested/needed. Julie Hast was formally with Edelman Worldwide, and assisted in developing videos,posters, communication strategies, for the City of Los Angeles' residential curbside recycling program. Our staff also assisted in developing the outreach materials for the County of Los Angeles' Smart Business Program. Since the mandatory commercial sector recycling requirement has taken effect, many other cities are now including an analysis of the impact of their recycling programs for businesses on the greenhouse gas (GHG) footprint and providing this information to the businesses. Our team has been asked to do this for all of our current business assistance programs. As we have seen, for many environmental professionals,the expansion of the tasks related to recycling have lead naturally to getting involved with a much larger subject of"environmental sustainability". Our plan will take this into consideration and will be sensitive to how this task can be incorporated into the larger scope of environmental sustainability, should the City decide to follow this approach. The recycling program can be a"stand alone"program if the City chooses so, or we can design the plan to be eventually incorporated within an overall environmental sustainability plan/program. A successful"Business Technical Assistance Program"must be responsive in a timely manner and must serve to be a resource to businesses that does not have the capability for waste 26 060 reduction training, so our approach typically require cities to commit to a long-term effort to provide the "technical resources" for the businesses. We either train City Staff and/or our team can serve as an extension of the City to serve as the technical resource for recycling and environmental sustainability. Ongoing monitoring and evaluation is needed to determine the progress /success of the programs, and feedback is needed for program optimization. E. Tseng and Associates has developed a waste reduction and recycling program tracking database that cities can use to monitor the progress of each program. This database is currently being used in over a dozen cities(City of Los Angeles, County of Los Angeles, County of San Diego, City of Livermore, City of Vernon, etc.). We would customize the database specific for the City of Azusa. The database was developed at a cost of over$500K and has been tested by many jurisdictions. It was also utilized by the County of Los Angeles and by the County of San Diego for their new base year study. This database is available for this project. We can perform the needed data entry and also maintain the database for the City of Azusa, or can train the City staff to do the same. The database can keep a"time series"record of the recycling efforts of the businesses (and city departments). (Can provide the details/examples during the interview if you request so). 5.3.3 Recycler Awards As part of our business audits,we will recommend a list of Azusa businesses for recognition by the City Council for exemplary recycling programs. Our project team has other extensive experience with National, State and local award programs. E. Tseng and Associates have assisted more than 300 individual businesses in California with applications for just the Cal Recycle/CIWMB WRAP program. We manage and implement ongoing award programs in several of the jurisdictions that we provide business assistance to. Our staff not only assisted each business individually,but also assisted in the drafting of the press statements and Environmental Policies. More recently,we have focused on local and regional award for jurisdictions. Many businesses preferred local recognition by the local community in preference to a state award. In addition to local level (City/County),we have assisted Los Angeles Unified School District with the EPA's WasteWise Award, and have assisted Toyota with the Governor's Environmental Achievement Award nomination. We highly recommend that the business outreach program include recognition/awards program by the City Council. Our experience shows that the businesses really appreciate the recognition given by local government, and helps with the institutionalization of the recycling programs implemented by businesses. 5.4 Other Support Activities and Reporting Requirements We will submit monthly reports starting 30 days after the execution of the contract. Quarterly reports will be submitted quarterly starting 90 days after contract execution. And a Draft Annual Report will be submitted within 13 months of contract execution and will then submit the final report after AL&W's review of the draft report. The final report will also include all of the necessary documentation and description of program implementation required of the new 27 061 mandatory commercial sector recycling law (including the reduction impact of greenhouse gases achieved). NOTE: We have a business auditing database example of that was completed for the County of Los Angeles and also for the City of Vernon that can be shown to you upon request. We are already working with the Cal Recycle on various protocols and methodologies to document the new AB 32 greenhouse gas reduction impact resulting from the implementation of source reduction and recycling programs. 28 062 6. DATA REQUEST The following is needed to assist in facilitating the business outreach program and meeting the requirements of the new mandatory commercial sector recycling law: • Listing of Business (Business License Listing) in Azusa, including SIC code, contact information and mailing address • Introductory Letter to Businesses • Assigned City contact person for businesses to call for details/confirmation of program • List from Franchise Hauler(s) of customers, contact info, and service levels (for AB 32 Mandatory Commercial Recycling documentation/tracking requirement) • List of businesses that City may be in potential/actual litigation (to prevent conflict) • List of businesses that are under any criminal actions/other enforcement actions • Contact information for key community environmental leaders/opinion makers, and community organizations that we may want to interface with in holding recycling workshops (e.g., Rotary, Chamber of Commerce, etc.) A business listing with contact information is required for this project. If the City is not able to provide this,a commercial database from Dunn and Bradstreet and/or ABI is available at approximately$0.30 per record. The participation by the franchise hauler is also required to get the trash service information level, and if this is not available, a proxy based on number of employees can be used for waste generation. This has been the accepted method utilized by the Cal Recycle/CIWMB in their waste characterization database. Our firm developed the Waste Characterization Database for the Cal Recycle/CIWMB. . 29 063 7. SCOPE EXCLUSIONS/ADDENDA As described before, a"Mandatory Commercial Recycling Measure"required by State law for all cities in California that has taken affect, and there is a significant amount of programmatic tasks/documentation required of all jurisdictions. The California Air Resources Board Scoping Plan for the California Global Warming Solutions Act of 2006(AB 32,Nunez, Chapter 488, Statutes of 2006)was adopted with a Mandatory Commercial Recycling Measure designed to achieve a reduction in greenhouse gas emissions of 5 million metric tons of carbon dioxide (CO2) equivalents. According to 2008 Statewide Waste Characterization data,the commercial sector generates more than half of the solid waste in California (approximately 68 percent of waste disposed). While significant commercial recycling already occurs, much of the commercial sector waste disposed in landfills is clean enough to be recycled. The commercial sector, however, is not directly subject to the requirements of the Integrated Waste Management Act of 1989, (AB 939, Sher, Chapter 1095, Statutes of 1989),to divert waste from landfills. As a result, the Mandatory Commercial Recycling Measure focuses on increased commercial waste diversion as a method to reduce greenhouse gas emissions. To achieve the measure's objective, an additional 2 to 3 million tons of materials will need to be recycled from the commercial sector(Statewide)by the year 2020 and beyond. E. Tseng and Associates has specifically tailored the tasks of this proposal to meet both the City of Azusa's recycling RFP requirements and also the new State mandatory commercial recycling requirements for program implementation,tracking/monitoring, greenhouse gas (GHG) calculations and GHG tracking/monitoring. We have already been implementing this same program in other cities to meet this new State requirement. Our recycling tracking/monitoring databases have already been updated to track this type of data. The only additional task that needs to be done is to track and monitor the most current environmental metrics used"officially" by the State of California, as they become published and officially adopted, and we will have to modify our databases to reflect the current protocols used in documenting the progress of the implemented programs. State law requires that each jurisdiction provide an environmental justice analysis of proposed/implemented diversion programs. This is already included with our proposed tasks, we provide this work as an integral part of all our business assistance programs that we perform for our jurisdictional clients. 30 064 8. DELIVERABLES The following deliverables will be provided in a timely manner: • Develop a"Recycling Handbook" • Conduct Two Business Recycling Workshop • Conduct Site Visits and Waste Audits • Other Support Activities and Reporting Requirements Below are additional details: 8.1 Develop a"Recycling Handbook" The proposal team will produce a draft"Recycling Handbook" for review by the City and a final revised version reflecting comments from the City. The contents and format will meet the description provided by the City's RFP. 8.2 Conduct Two Business Recycling Workshops Conduct two(2)workshops approximately three(3)hours per workshop. All workshop materials (handouts,worksheets, etc.)will be provided for participants, and will also be provided in electronic format(PDF format) for internet dissemination to the businesses via the City of Azusa website. All businesses will be invited to participate, with special emphasis to recruit participation from the 200 largest businesses. 8.3 Conduct Site Visits and Waste Audits Our project team proposes to conduct fifty (50)business waste reduction and recycling site visits/audits and the conduct the associated follow-ups per year(with an option for the City to extent the contract on a yearly basis. This will provide an opportunity for the City to evaluate the cost effectiveness of the program, and also be able to meet some of the outreach requirements of the new mandatory commercial sector recycling regulations. 8.4 Other Support Activities and Reporting Requirements As required by the RFP, we will provide the following supporting activities and reports: • Monthly reports starting 30 days after the execution of the contract. • Quarterly reports will be submitted quarterly starting 90 days after contract execution • Draft Annual Report will be submitted within 13 months of contract execution • Final Report after AL&W's review of the draft report. • Database Summary/Log of Business Audits including Summary of Recycling (by material type and tonnage) • Monthly meetings with the AL&W staff on the progress of the project • Two (2) Waste Reduction/Recycling and Sustainability Training Sessions (3-hour sessions) 31 065 • Greenhouse Gas Emissions Summary(for each participating business, the data must be treated as confidential, aggregate data for all of the participating businesses can be made public) The final report will also include documentation and description of program implementation required of the new mandatory commercial sector recycling law (including the reduction impact of greenhouse gases achieved). Estimated Schedule/Timeline for Project Task ID Task Description Start Date Completion Date 1 Kickoff Meeting Within one week of January 2011 contract award 2 Draft Recycling Handbook(for AL &W review) February 2011 March 2011 3 Final Draft Recycling Handbook Upon receipt of Within two weeks comments from of receipt of AL&W comments 4 Invitations to Workshops /Outreach February 2011 March 2011 5 Workshop # 1 May 2011 May 2011 Workshop #2 August 2011 August 2011 6 Conduct Audits to Fifty (50) Business February 2011 November 2011 7 Conduct Follow-up Visits to Businesses March 2011 Ongoing until December 2011 8 Data Entry, Tracking/Monitoring Database February 2011 November 2011 (monthly summaries to be provided) 9 Training Sessions for City Staff(Two sessions) City Scheduled City Scheduled 10 Monthly Reports February 2011 Every 30 days 11 Quarterly Reports End of March,June, End of March, September, June, September, December 2011 December 2011 12 Draft Annual Report December 2011 December 2011 13 Final Annual Report Upon receipt of Within two weeks comments from of receipt of AL&W comments Note: Assumes award of contract in January 2011. Timeline/schedules can to be finalized depending upon agreed upon task details(after kickoff meeting) 32 066 9. LUMP SUM NOT-TO-EXCEED FEE The table on the following page provides the cost of each task, including a listing of the personnel assigned to each task,hourly rate, and the number of hours each staff is budgeted to each task. The table also includes an estimate for expenses such as postage for mailings, and potential business listing from commercial databases(if needed). The total cost of the proposed project is $128,450. If the City of Azusa wishes to modify the tasks and to revisit the costs, we are flexible and willing to negotiate. 33 067 Cost and Labor Details for Not-to-Exceed-Fee Contract Staff Assigned to Task Eugene Yu Yue Julie Scott Karl Betsy Denis Task Task Description Tseng Yen Hast Hill Wong Stoeven Keyes Expenses Task Cost Notes: ID $135 $105 $105 $95 $95 $95 $105 1 Kickoff Meeting 3 3 3 0 0 0 0 $75 $1,110 2 Draft Recycling 16 4 32 0 0 0 8 $0 $6,780 Handbook Final Draft Recycling 3 Handbook 1 1 4 0 0 0 2 $0 $870 Invitations to 4 Workshops/ 8 12 12 16 16 16 12 $2,800 $12,220 Postage based on 1400 Outreach business(x two workshops) 5 Workshop# 1 10 8 16 8 8 8 8 $150 $7,140 Workshop#2 10 8 16 8 8 8 8 $150 $7,140 6 Conduct Audits 50 10 10 24 60 60 60 0 $1,000 $23,020 Mileage Businesses 7 Follow-up Visits to 8 8 8 30 30 30 40 $1,000 $16,510 Businesses 8 Tracking/Monitoring 2 2 4 24 24 24 60 $25 $14,065 Includes copy of database Database for City 9 Training Sessions for Donated City Staff Time $0 $0 No Charge for This Task 10 Monthly Reports 11 11 22 22 11 22 0 $0 $10,175 Based on 11 monthly reports and monthly meetings 11 Quarterly Reports 16 44 44 8 8 8 8 $250 $14,770 4 quarterly reports 12 Draft Annual Report 8 16 12 8 8 8 40 $250 $10,750 13 Final Annual Report 8 4 4 4 4 4 8 $0 $3,900 Includes final meeting Total Project Cost $128,450 Includes total Expenses of $5,700 C) CO 10. Fee Schedule/Hourly Rates We are very flexible on how to contract. We can enter into a not-to-exceed total fixed-cost contract. You retain the right to stop work or modify at any time (with appropriate budget adjustments). Our 2011 — 2012 long-term government client fully loaded labor rates are as follows: Year 2011 -2012 Labor Rates* for E. Tseng & Associates Staff Name Position/Classification Hourly Billing Rate Tseng, Eugene Principal/Attorney/Engineer $ 135 Yu Yue Yen Sr. Project Manager $ 105 Hast,Julie Sr. Project Manager $ 105 Hill, Scott Business Recycling Specialist $ 95 Keyes, Denis Database Specialist/Statistician $ 105 Wong, Karl Business Recycling Specialist $ 95 Betsy Stoeven Business Recycling Specialist $ 95 *Note: Reasonable expenses(e.g.,travel,hotel,mileage,postage,photocopying,etc.)to be added at cost. 069 11. OTHER CLIENT COMMITTMENTS We are currently contracted with the following cities to conduct business technical assistance: • City of Vernon • City of Los Angeles • City of Hermosa Beach • University of California at Los Angeles Engineering Extension • United States Government, Department of the Navy E. Tseng and Associates staff conducts business recycling assistance outreach programs for the City of Vernon, City of Los Angeles, and the City of Hermosa Beach. Many members of our staff are also instructors (Julie Hast, Yu Yue Yen, Eugene Tseng)with the UCLA Engineering Extension's Recycling/MSW Management Training/Certification Program, providing training to industry, government, and consultants on how to conduct business recycling technical assistance. In addition, Eugene Tseng is under contract to the United States Government, Department of the Navy as the task force leader on identifying the international best management practices for the generation of renewable energy from the conversion of municipal solid wastes. He is tasked with developing a national blueprint for conversion technology projects and developing partnerships with potential local jurisdictions. Eugene Tseng is available 20% of the time, with each of the other proposed staff members available for 60%-75% of the time (40-hour work week). As required by the RFP, Eugene Tseng of E. Tseng and Associates, Inc., attest to the availability of the key staff to fulfill the needs of this study in a professional and timely manner. Please note that Eugene Tseng is on 24-hr call for the Local Enforcement Agency of the City of Los Angeles for environmental emergencies. He also responds to 24-hr on-call requests for the Federal Government (Department of the Navy) in his role of developing the renewable energy/ environmental sustainability blueprint. 12. OTHER We would really appreciate the opportunity to be of service to the City of Azusa. Our staff (together with students from UCLA Engineering) worked with the City of Azusa staff to conduct the City's waste characterization study in the early 1990's (a study sponsored by Waste Management and the Cal Recycle/CIWMB to test new characterization protocols developed for the CIWMB"s Uniform Waste Characterization Method). 36 070 ATTACHMENTS Example of Best Management Practices Write-up/ Case Study (for Restaurants) Acknowledgement from Cal Recycle/CIWMB to Eugene Tseng Resumes for Project Staff 37 071 EXAMPLE OF BEST MANAGEMENT PRACTICES WRITEUP INDUSTRY GROUP 04: RETAIL TRADE—RESTAURANTS (EATING & DRINKING SIC Major Group,NAICS Code: 722 INTRODUCTION The City of Los Angeles is a recognized leader amongst the major cities in the United States in solid waste prevention and recycling programs. Los Angeles has well exceeded the California state mandate of achieving and maintaining a 50%waste diversion rate for the year 2000. To idents the materials still reaching landfill disposal, and to assist local businesses in creating their own waste diversion programs, we are providing information on waste disposal and diversion for specific industry groups. Major Group 58: Restaurants (Eating And Drinking Places) includes retail establishments selling prepared foods and drinks for consumption on the premises; and also lunch counters and refreshment stands selling prepared foods and drinks for immediate consumption. Restaurants, lunch counters, and drinking places operated as a subordinate service facility by other establishments are not included in this industry,unless they are operated as leased departments by outside operators. GENERAL WASTE COMPOSI MON The Retail Trade—Restaurants industry disposed 261,108 tons of waste in 2000 or approximately 7.4%of the total City of Los Angeles disposed waste stream(3,544,611 tons). Figure 1 displays the total waste composition by material category. The two categories that comprise the majority of the waste stream, Other Organic(63.9%)and Paper(16.7%), are further discussed in the"Detailed Waste Composition" section that follows. Figure 1. Waste Composition: Retail Trade -Restaurants Year 2000 Other Organic 63.9% Paper — *1■11111111111111016.7% Plastic Construction&" Glass Metal 9.2% Demolition 2.2% 7.2% 0.7% 38 072 DETAILED WASTE COMPOSITION As Figure 2 indicates, the top three material sub-categories of Other Organic materials disposed (by weight) are Food, Remainder/Composite Organic (R/C Organic)', and Textiles, followed by Prunings&Trimmings. Figure 2. Material Sub-Categories: Top Four Organic, Year 2000 Retail Trade -Restaurants 80% - -- — 62.2% y I 60% ---- — — — + o 'ti rj1 40% �_! o y 20% - ° 0% 3 0.9% 0.5% 0.3% Food R/C Organic Textiles Prunings& Trimmings Material Sub-Category As Figure 3 indicates, the top three material sub-categories of Paper disposed are Remainder/Composite Paper (R/C Paper)2, Cardboard, and Newspaper, followed by Other Miscellaneous3 and Bags. r Figure 3. Material Sub-Categories: Top Five Paper, Year 2000 Retail Trade - Restaurants 8% -es 6% - _ • cA CV 4% 3.2% — — 3• 2% 1.7% 1.5% 0% R/C Paper Cardboard Newspaper Other Bags Miscellaneous Material Sub-Category WASTE DISPOSAL TRENDS According to the California Integrated Waste Management Board, "Remainder/Composite Organic" means organic material that cannot be put in any other type or subtype. This type includes items made mostly of organic materials,but combined with other material types and does not include any subtypes.Examples include leather items,carpets,cork,hemp rope,garden hoses, rubber items, hair, carpet padding, cigarette butts, diapers, feminine hygiene products, small wood products (such as Popsicle sticks and tooth picks),and animal feces. 2 According to the California Integrated Waste Management Board,"Remainder/Composite Paper"means items made mostly of paper but combined with large amounts of other materials such as wax,plastic,glues,foil,food,and moisture. Examples include waxed corrugated cardboard,aseptic packages,plastic-coated paper milk cartons,waxed paper,tissue,paper towels,blueprints, sepia,onion skin,fast food wrappers,carbon paper,self adhesive notes,and photographs. 3 According to the California Integrated Waste Management Board,"Other Miscellaneous"Paper means items made mostly of paper that do not fit into any of the above subtypes. Paper may be combined with minor amounts of other materials such as wax or glues. This subtype includes items made of chipboard, ground wood paper, and deep-toned or fluorescent dyed paper. Examples include cereal and cracker boxes,unused paper plates and cups, goldenrod colored paper, school construction paper, butcher paper,and hard cover and soft cover books. 39 073 Overall, Retail Trade—Restaurants waste has increased by 111,271 tons since 1990 (149,837 tons). Even though the disposed waste decreased to 121,724 tons between 1990 and 1995, it increased to 261,108 tons by the year 2000. As Figure 4 indicates, the Paper and Other Organic material categories demonstrate the most variation in volume between the years 1990, 1995, and 2000 and they comprise the majority of the waste stream (at least 81%) during all years. These materials should be targeted for waste diversion programs by businesses in this industry. Figure 4. Waste Disposal Trends: Retail Trade - Restaurants E 70% I — 1 63.9%I 1 s.. 60% - ' 54.6% )•1990 .r 1.1° CO 50% ❑1995 c 40% 36% 1I ❑2000 30% - 29.5v I 1 . b 20% 16.7°/T `C• —I I 7.2% 11.5% 9.2% 0 10% - 1 0 1 9%2.2% 0 0 0 ° ° I 0 13.44_,„ ,`3.2/01.3/0 ir.61 0.9/01.1/00.7/00/0 - I I Paper Glass Metal Plastic Other Organic Construction& Demolition Material Category Figure 5 provides a closer look at waste disposal trends for Other Organic and Paper materials. Although some progress was made between 1990 and 1995 in reducing the amount of Other Organic materials that were landfilled, by 2000 they comprised 63.9% of the waste stream. Overall, the amount of Other Organic materials has increased since 1990 when Other Organic materials comprised 51.8% of the waste stream, versus 54.6% in 1995 and 63.9% in 2000. Disposal of Paper increased between 1990 and 1995 from 29.5% to 36% then significantly decreased to 16.7% of the waste stream by 2000. Although, taken together, waste in the top two material categories has decreased, opportunities to reduce Other Organic and Paper waste continue to exist, as discussed in the "Waste Diversion Tips" section that follows the section on "Waste Diversion Accomplishments". Figure 5. Waste Disposal Trends: Retail Trade -Restaurants Other Organic & Paper Materials 1990 51.8/0 ®Other Organic' 29.5% _ ___ 0 Paper a 54.6% 44 1995 36% IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII 63.9% 2000 16.7% i 0% 10% 20% 30% 40% 50% 60% 70% of Industry Waste Stream 40 • 074 WASTE DIVERSION ACCOMPLISHMENTS Businesses can reduce the volume of materials that are disposed in landfills, and in turn save money on disposal costs, by following the solid waste management hierarchy as set forth by the California Integrated Waste Management Board. The hierarchy sets out a preferred approach for dealing with waste. In order of preference this is: • Source Reduction—preventing waste at its source by using less of a material in the first place and/or repeatedly using an item or items • Recycling and Composting—recycling: the process by which materials otherwise destined for landfills are collected, remanufactured, and purchased; and composting: the biological decomposition of organic materials such as leaves, grass clippings,brush, and food waste into a soil amendment • Transformation—incineration of municipal solid waste;not including composting or biomass conversion • Landfilling—the process by which residual solid waste is placed in a landfill,which is a physical facility used for the disposal of residual solid wastes(trash and garbage)on the earth's surface and between layers of earth Businesses in the City of Los Angeles have made significant accomplishments in the diversion of solid waste from landfills. The City of Los Angeles conducted waste diversion and recycling audits during the year 2000 and collected information indicating that the Retail Trade — Restaurants industry diverts 5,169 tons of waste from landfill disposal each year through waste prevention,reuse, recycling, and composting programs. Figure 6 depicts the material sub-category types that were diverted from landfills in 2000. The top five materials diverted are Wood—Pallets; Cardboard Bales; Metal Scrap,Post-1990;Food; and Paper—Office. Please note that the"Other" category is comprised of a group of material types that individually were below 1.0% of the total diverted materials. In order from most to least (by weight), these are Plastic Buckets (5 gallon), Bread Racks, Mixed CRV4 Containers, Food — Baked Goods, and Paper — Shredded. Also,Plastic(NEC)means Plastic,Not Elsewhere Classified. CRV means California Redemption Value. 41 075 Figure 6. Waste Diversion Material Sub-Category Types, Year 2000 Retail Trade - Restaurants Metal Scrap, Cardboard Bales Post-1990 13.5% 13.5% Wood-Pallets Food 22.4% rb 12.0% Plastic(NEC) 2.5% Paper-Office 8.8% Durable Plastic Items• Food-Gease, Plastic Crates (Milk) Other Bins/Totes/Boxes 2.60 3.l% Bones,°&Fat 8.8% ° 5.3/° Glass Bottles -CRV Cardboard Boxes or mix 4.7% 2.6% NN. STE DIVERSION TIPS Figures 2 and 3 indicate that Other Organic and Paper materials comprise the majority of the Retail Trade—Restaurants industry waste stream. Businesses in this industry should target these material categories for waste diversion programs through source reduction, recycling and composting activities. Most materials are eligible for recycling programs in their existing forms, except for Remainder/Composite (R/C) materials, which are not. Programs for R/C materials should focus on source reduction activities, unless an opportunity to separate recyclable components of the material exists,as discussed below. Tables 1 and 2 contain tips for achieving waste diversion programs for the top sub-categories(by weight)of the Other Organic and Paper material categories. 42 076 Table 1. Waste Diversion Tips: Other Organic FooD TONS PER YEAR(2000): 162,506 % INDUSTRY WASTE STREAM: 62.2% Source Donate edible food to charity organizations that feed the hungry. reduce Send surplus food waste to an animal feed processor. Food must be free of wires, plastic bags, etc. as these items will kill the animals, even if ingested in small quantities. Some animal feed processors pick up the food free of charge if there is a large enough quantity or for a small fee if the quantity is small. Evaluate and adjust the size of your meal portions if they are consistently being returned unfinished. Offer half-portions to your guests and a children's menu for younger diners. Check your produce deliveries carefully for rotten or damaged product, and let your supplier know if you are unsatisfied with the quality you are receiving. Recycle/ Recycle food scraps and leftovers with a food waste recycler/composter. If this is not cost-effective for your business, consider teaming up with other restaurants in your area to collectively set aside food waste,both pre-and post- Compost consumption,for recycling/composting. Set up a rendering service for your waste grease,fat or used cooking oil. Table 2. Waste Diversion Tips: Paper RJC PAPER Tors PER YEAR(2000):22,749 %OF INDUSTRY WASTE STREAM:8.7% Source Since this material is not recyclable, see the definition for RIC Paper on page 2 to identify reduce types of this paper that your business uses,and that you can reduce or eliminate the use of. Prevent recyclable paper from becoming R/C Paper. Use separate containers for discarding paper and food waste. Tossing food into the same container as recyclable paper contaminates the paper,which can no longer be recycled. Utilize reusable drinking cups/mugs instead of paper cups. In employee and customer restrooms,replace paper towel dispensers with hot air hand dryers. Utilize reusable table linens instead of.a.er or •lastic dis.osable ones. CARDBOARD TONS PER YEAR(2000):8,289 %OF INDUSTRY WASTE STREAM:3.2% Source Encourage suppliers to deliver food and other goods in reusable containers (plastic, wood, or reduce metal) that they take back. This practice reduces the need for disposal or recycling on your .art, and ma save our su..liers mone , .ossibl reducin: our costs. Recycle Source-separate for recycling collection. If your business has large amounts of cardboard, obtain a baler. If your business does not generate enough cardboard to justify a baler, request a bin from your waste hauler or a local recycler. If this is too expensive, consider teaming up with other local businesses to slit the costs for rec din! service. NEWSPAPER TONS PER YEAR(2000):4,369 %OF INDUSTRY WASTE STREAM: 1.7% Recycle Source-separate for recycling collection. Keep separate from food to ensure recyclability. When food is discarded with News.a.er it becomes R/C Pa.er and cannot be rec cled. 43 077 OTHER WASTE DIVERSION IDEAS Even though the following materials are not part of the top material sub-categories, some comprise a large portion of the waste stream and should be targeted for waste diversion programs. Consider the waste diversion tips in Table 3 below. Table 3. Other Waste Diversion Ideas ITEM SUGGESTED ACTIONS Film Plastic Use, or ask vendors to use large "rubber bands" instead of shrink-wrap to keep items secured on pallets. Reuse shrink-wrap as padding in shipments. Recycle the stretch wrap used to secure boxes and supplies on pallets, damaged bags and other scrap plastic. Pallets Reuse pallets or ask suppliers to take them back. Store excess pallets on site for collection by a pallet reuse company. Plastic Reuse empty plastic containers and buckets for storing food. If you have excess Containers containers, donate them to schools, nurseries or churches, or offer them to your customers. Table Use washable napkins and tablecloths where appropriate. Linens Beverage Provide cash discounts to customers who bring their own coffee mug or beverage Containers containers. Recycle glass,plastic and aluminum drink containers for a cash refund. Condiment Use health department-approved refillable condiment dispensers instead of individual Dispensers packets whenever possible. Tin Cans Rinse,clean and source-separate for recycling collection. Food Provide reusable flatware, plates, glasses, and mugs in dining areas instead of disposable Service paper and plastic utensils. Items Use biodegradable flatware and plates where appropriate. Equipment Donate equipment and furniture to local or international charity organizations. List &Furniture available items for donation on the County of Los Angeles' materials exchange web site, LaCoMAX, at http://ladpw.org/epd/lacomax/. Also, contact L.A. Shares at 213-485-1097 for donation information. Recycled- Purchase recycled-content products, such as office paper, toner cartridges, toilet paper, Content and paper towels. If too expensive, join a buying cooperative program to reduce costs. Products Contact the City for more information on recycled-content products. Constructio For construction projects, mandate recycling and waste reduction in contracts. Items that n Materials can be recycled include lumber,metal,drywall,asphalt,and concrete. 44 078 INCREASING THE AMOUNT OF RECYCLABLE MATERIALS • Keep food and other contaminants separate from materials that are recyclable. For example, when food is discarded with paper, it becomes R/C Paper and cannot be recycled. LARGE QUANTITIES OF RECYCLABLE MATERIALS • Determine the materials with the largest volumes of waste and target them for recycling. The greater volume of materials you generate,the more likely you are to be paid for the materials. SMALL QUANTITIES OF RECYCLABLE MATERIALS • If you have recyclable materials in small quantities, consider paying for recycling collection as long as the cost is less than what you pay for waste disposal. Your company will "make money" by reducing its waste disposal costs. • Consider teaming up with other businesses in your area to share recycling service costs and revenues. WHEN RECYCLING COLLECTION SERVICES ARE NOT AVAILABLE • If recycling collection services are not available from your waste hauler or recyclers, work with employees or local individuals to collect and transport recyclable materials from the business. Policies that will help businesses to implement and uphold waste diversion programs include: • Develop and commit to responsible solid waste management plans with emphasis on source reduction and recycling activities. • Continually monitor the effectiveness of solid waste management programs facility-wide and in individual departments. • Dedicate the necessary funding and personnel resources to ensure the ongoing success of waste diversion programs. MEASURES PROPOSED BY THE CITY OF Los ANGELES In addition to programs and policies that businesses can implement on their own, the City proposes to provide the following support services to help the Retail Trade — Restaurants industry to divert waste from landfills: • Technical assistance to businesses expressing an interest in developing and implementing effective waste diversion programs. • Publicly recognizing and promoting businesses that demonstrate high solid waste diversion rates and a strong commitment to waste diversion. • Establishing a working relationship with industry-related associations such as the California Restaurant Association for the purposes of enhancing training programs and communicating plans and progress with waste diversion programs. • Assisting in the design of tracking programs for the purpose of documenting waste diversion programs. • Tracking and monitoring industry disposal and diversion rates through periodic sampling and surveying of businesses and biannually re-evaluating waste diversion opportunities. • Identifying sources of recycled-content products for the industry and providing guidelines for purchasing contract modifications that support procurement of recycled products. 45 079 CASE STUDY LSC SKYCIIEF—LAX Address: 7051 World Way W Los Angeles,CA 90045 Contact Person(s): Joyce Uhi Zoubul Contact Number: (310) 215-4555 Type of Business: Food Preparation SIC Code: 5812 Employees: 250 Trash Hauler: HDM Waste Disposal Recycler(s): See below 46 090 BUSINESS OVERVIEW LSG Skychef the world's largest in-flight food service company, prepares meals for consumption during airplane flights. The following table presents the three materials that LSG Skychef— LAX diverts from landfills through recycling and reuse activities on an annual basis. MITERLIL A\?VIAL RECYCLER DESCRIPTION TONS Tin cans 15 N/A Recycle 100 tin cans from fruits and vegetables per day Wood pallets 104 N/A Reuse wood pallets for shipping and receiving at the rate of approximately 40 pallets, three times er week Cardboard 125 N/A Recycle 5 cubic yards twice per week by utilizing an on-site cardboard baler TOTAL 24 FEAR 2000 COST SAti'JAGS/REI E,NtIE A cost savings/revenue estimate for the waste reduction programs is not available. SUMMARY OF RESULTS LSG Skychef diverts a total of 244 tons of materials from disposal at local landfills each year. Significant diversion rates are realized through the practice of metal scrap recycling, wood pallet reuse, and cardboard recycling. 081 Acknowledgement from Cal Recycle/CIWMB to Eugene Tseng http://www.ciwmb.ca.gov/WasteChar/Thanks.htm This database exists because of the vision and perseverance of its developer, Dr. Eugene Tseng of UCLA Extension's Waste Management and Recycling Certificate Program. Dr. Tseng developed the database under contract to the California Integrated Waste Management Board. Because of his high standing in the solid waste industry in California, local governments, members of the private waste industry, and solid waste consultants were willing to share information, time, and expertise and donate their resources to this project. If we had to pay for these in-kind donations, it would have cost over$2 million. The Board would like to thank the following people for cooperating with this project. The database would not have been possible without them. Daryl Yao Non-Paid Student Interns (UCLA Extension) Harding Lawson Associates/US Navy Rhys and Associates City of San Diego/Americorps City of San Jose City of Los Angeles (BOS/ISWMO) Lake County/Solid Waste Los Angeles County Department of Public Associates Works InfoCD Riverside County SMI Trinity County Teltron Computers Sonoma County K& G Clements Engineers City of Glendale Nikki Mizwinski Browning-Ferris Industries Media 2 Waste Management of San Diego US EPA Other Haulers and Recyclers (did not wish to be named) MSW Management Magazine 48 082. EUGENE TSENG SUMMARY OF QUALIFICATIONS AND EXPERIENCE SECTION 1: COMPANY DATA Eugene Tseng E. Tseng and Associates 30023 West Rainbow Crest Drive Agoura Hills, California 91301 Telephone (818) 889-8628 FAX (818) 889-5458 etseng(a)aol.com Bachelor of Science (Engineering, Materials Science/Environmental), UCLA 1973 Juris Doctorate, University of La Verne, 1985 Program of Instruction for Lawyers, Harvard University, 1986 The Los Angeles business tax license number is#208762-79. SECTION 2: SUMMARY OF QUALIFICATIONS AND EXPERIENCE E. Tseng and Associates is uniquely qualified to provide the wide range of technical assistance in municipal solid waste management projects and hazardous waste management projects. The firm also has extensive experience in corporate environmental management issues dealing with environmental compliance, corporate greening and green marketing. The firm's founder, Eugene Tseng is an environmental engineer and a licensed California attorney specializing in environmental law. He has over 38 years of engineering experience in the municipal solid waste and hazardous waste management field. Dr. Tseng has extensive mechanical process design and site layout experience for materials recovery facilities and refuse-derived-fuel facilities as well as densification plants and composting plants. Dr. Tseng was selected by the United Nations Development Programme to be their international specialist in municipal solid waste and hazardous waste management to assist developing countries in organizing their environmental regulatory, industry, and educational programs. Dr. Tseng is also an Adjunct Law Professor for Environmental Law at the University of La Verne. Dr. Tseng has extensive experience in developing training seminars and workshops for critical issues on the environment. He has organized stakeholder and training workshops on behalf of the California Integrated Waste Management Board, City of Los Angeles, the EPA, and the California Department of Health Services, and with the University of 49 083 California at Los Angeles. He also assisted in developing workshops to provide training on solid waste issues to journalists specializing in environmental news. E. Tseng and Associates provided technical oversight and management for the City of Los Angeles' AB 939 Solid Waste Generation Study. E. Tseng and Associates prepared the RFP and designed the technical methodology and format of the AB 939 generator- based study. The firm also under contract to the Department of Environmental Affairs to provide technical and legal services in starting up the Local Enforcement Agency (LEA) effort for the City of Los Angeles. Eugene Tseng served an Adjunct Professor at the UCLA Anderson Graduate School of Management. He teaches a pilot course entitled "Business and the Environment". This class was developed in response to an EPA and United Nations Environmental Programme request to develop model MBA curriculum to address environmental issues. as part of the business management training. Dr. Tseng teaches the corporate greening and green marketing subjects in addition to compliance/Superfund topics. As a member of the U.S. EPA's National Advisory Council for Environmental Policy and Technology, Dr. Tseng works with the Environmental Protection Agency Region IX office to develop integrated solid waste management training programs. Dr. Tseng serves as the Program Director and as instructor at UCLA's Municipal Solid Waste Management Program. Dr. Tseng teaches a national model course on MSW Management Technology at both UCLA and UC Davis. The course covers materials recovery facility and waste- to-energy facility design. Dr. Tseng serves as faculty advisor to university joint intern research projects done with regulatory agencies and municipalities. SECTION 3: SUMMARY OF RELATED WORK EXPERIENCE I. Technical and Regulatory Experience in MSW Management Projects Eugene Tseng has over 33 years experience in the recycling, secondary products manufacturing, and municipal solid waste management field. While Dr. Tseng was with National Ecology (an American Ecology company) he was a senior member of the professional staff and later Vice President of American Ecology Corporation. Eugene Tseng professional duties included mechanical process design and site layout for material recovery facilities and refuse-derived-fuel (RDF) facilities as well as densification plants and composting plants. He has extensive experience in performing technical and economic analysis on recycling and mechanical solid waste processing systems. Dr. Tseng has also performed economic and needs assessment studies along with technical feasibility studies for solid waste planning. His experience includes developing and conducting waste composition analysis procedures for US and international municipal and private clients for recycling, materials processing, and waste- to-energy projects. 50 084 Dr. Tseng was the technical director under contract to the City of Los Angeles to provide technical oversight and management of the City's "generator-based" AB 939 Solid Waste Generation Study from 1990 to 1993. Dr. Tseng provided oversight for the City of Los Angeles Year 2000 New Base Year Generation Study, and was the technical director for the City of Los Angeles' Year 2003 Eight-County Disposal Capacity Study. In the area of regulatory compliance and enforcement of solid waste facilities, Dr. Tseng assisted in the preparation and documentation of the City of Los Angeles' Local Enforcement Agency's Enforcement Program Plan (EPP) and also served as the LEA's interface with the California Integrated Waste Management Board. Dr. Tseng is developing the permitting and enforcement procedures manuals for solid waste facilities. Part of the services is to provide technical support to LEA staff in the review of landfill closure plans,permit modifications, and permit revisions. Dr. Tseng was the Principal Investigator for the Interagency Agreement between UCLA and the CIWMB in the development of the AB 2494 uniform disposal based quantification compliance method. Dr. Tseng designed the technical approach and developed the regulatory compliance measurement scheme use by jurisdictions to measure their progress towards the waste diversion goals. Dr. Tseng developed secondary product manufacturing and technology in the recycled glass field and has received two US patents 1) Ash Coated Cellular Glass Pellets, #4,143,202 and 2) Method for Forming Coated Cellular Glass Pellets, #4,081,259 for process and equipment systems design for the manufacture of secondary products using materials recovered from the solid waste stream. He has also assessed European secondary manufacturing technology for application in the United States on behalf of many international clients. Eugene Tseng is also the founder and Program Director of the University of California at Los Angeles Extension's Municipal Solid Waste Management Program. He serves as an Advisory Board Member and is also the Industry Program Coordinator. He has organized and co-taught the following courses: i) Principles of Municipal Solid Waste Management ii) Recycling: Design,Marketing, and Operations iii) Siting of Waste Treatment and Disposal Facilities iv) Municipal Solid Waste Management Technology v) Case Studies in Municipal Solid Waste Management vi) Regulatory Framework for MSW Management This is the first integrated training program for solid waste managers in the country. The program is designed to meet the personnel demands of industry, regulatory agencies, and grassroots environmental organizations in trying to meet the solid waste planning and implementation requirements for industry and municipalities. Dr. Tseng also served on the Advisory Board for the University of California at Davis Solid Waste Management Program. 51 085 2. Regulatory and Legislative Experience Eugene Tseng is a licensed California attorney specializing in Environmental Law. While with American Ecology Corporation as Vice President of Environmental Affairs, part of his job responsibilities was to provide legal and impact analysis on proposed state and national legislation and regulations in hazardous waste and municipal solid waste management. He also served on the California Integrated Waste Management Board's Composting Regulations Committee. Dr. Tseng assisted the City of Los Angeles develop its Local Enforcement Agency's Enforcement Program Plan for solid waste facility permitting, inspection, enforcement, and corrective action. Eugene Tseng has organized and taught the following UCLA Extension courses: i.) Regulatory Framework for Hazardous and Toxic Materials Management ii.) Environmental Law iii.) Regulatory Framework for MSW Management These legal courses on Hazardous Materials are utilized to train the new hires from Los Angeles County Health Hazardous Waste Inspection Program and also for in-house training for new hires for personnel from the California Department of Health Services, Toxic Substances Control Division. In 1988 Dr. Tseng was selected by the United Nations Development Programme to be their international specialist in municipal solid waste and hazardous waste management for assisting countries in organizing their environmental regulatory, industrial, and educational programs. Dr. Tseng was in the People's Republic of China in February 1990 to assist in prioritization of hazardous waste management activities. He has trained MSW regulatory personnel from Saudi Arabia and many other countries. 3. Information/Clearinghouse Experience From 1990-1992, Dr. Tseng served as the Executive Director for the EPA's Region 9 Institute of Cooperative Environmental Management (ICEM) Technical Assistance and Information Center for hazardous waste and municipal solid waste management. The ICEM is a non-profit organization called EcoSource International. Its primary focus is developing private-public partnerships to promote the concept of cooperative environmental management and to provide integrated technical assistance to academia, industry, and government for the purpose of developing and implementing model environmental education/training programs. From 1996 to 1999, Dr. Tseng served as the Executive Director for EcoTelesis International, an environmental non-profit public interest group that specializes in the development of environmental education and providing technical assistance and planning for municipalities and private companies. 52 086 Dr. Tseng also served on the Technical Advisory Committee for the California Museum of Science and Industry for their project on "Our Urban Environment". He provided technical review for exhibits on recycling, solid waste management and hazardous material/waste management. Dr. Tseng currently serves on the Editorial Advisory Board of MSW Management magazine. 4. Hazardous Materials Management Experience Eugene Tseng has experience in the interface between municipal solid waste and hazardous waste and he teaches this topic in the UCLA MSW program. Dr. Tseng has also been involved with preliminary design and process engineering of an integrated hazardous waste treatment facility. Dr. Tseng has extensive international technology assessment experience in evaluating European hazardous waste treatment technology. He served on the EPA's technology peer review committee for a manual titled "Summary of Treatment Technology " Effectiveness for Contaminated Soil." As the Industry Advisor and Assistant Executive Director (1987-1989) of the National Science Foundation's Engineering Research Center for Hazardous Substances Control at UCLA, Dr. Tseng assisted in raising over $15 million for research at UCLA and assisted in developing the Hazardous Waste Information Center to serve the informational requirements of industry, regulatory agencies, communities, and basic research needs of the research institutions. Dr. Tseng was also responsible for developing joint public- private partnerships in developing innovative hazardous waste management technologies. Dr. Tseng served on the UCLA Hazardous and Toxic Materials Management Certificate Advisory Board at UCLA and was an instructor for its Hazardous Waste Management Technology course as well as the Regulatory Framework and Environmental Law courses. 5. Other Relevant Experience Eugene Tseng has been utilized by industry, government, and others for expert witness in the field of municipal solid waste management. In addition, Dr. Tseng has been conducting contract compliance / financial audits on behalf of many jurisdictions to determine the level of compliance of trash haulers with their franchise contracts. Dr. Tseng currently serves on the Los Angeles County Alternative Technology Task Force, and has conducted conversion technology evaluations for over 30 years. 53 087 ROBERT SCOTT HILL SPECIALIZING IN SOLID WASTE MANAGEMENT, RECYCLING & WASTE PREVENTION 3633 Military Ave. • Los Angeles, CA. • 90034-7005 • (310) 836-3659 EXPERIENCE E.Tseng&Associates &EcoTelesis International Inc. 2/95-present Over 10 years experience working as a solid waste professional for ETA/EcoTelesis International team. Manage, Perform Functional Audits after setting appointments by telephone or cold calling,few telephone Audits after initial cold-call visit to business, Perform Calculations of materials by type plus data input which includes (R - Recycle, PR - Potential Recycle, SR - Source Reduction & PSR - Potential Source Reduction), Provide Technical Assistance w/follow-up for Potential Recycle Programs and Source Reduction Opportunities, Assisted business to obtain CIWMB Wrap Awards, and training Recycle Coordinators, CIWMB Board Stafjand ETA staff for the following clients_ City of Modesto City of Lodi City of Compton City of Carson City of Torrance City of Gardena City of South Gate City of Salinas City of Lomita City of Corona-75 audits City of La Verne City of Oxnard City of La Puente City of Long Beach City of Manhattan Beach/ 149 Audits-Completed Aug.2000 City of La Canada/Flintridge(also Project Manager)- 100 Audits Completed Aug.2000 City of Woodland/Sacramento/Interface between City Rec. Coordinator&Hauler 150 Audits - Completed Sept. 2000 City of Inglewood-Implementation for Waste management. Train City staff City&County of Ventura-over 250 audits City of Carson City of Irvine-over 130 audits County of San Diego-Unincorporated-including largest C&D facilities City of San Diego-over 300 audits San Diego International Airport-Detailed audit of all airlines,concessions and airport facilities City of Orange-over 175 audits City of Rosemead City of Livermore-6 years-over 150 audits City of Los Angeles-current over 100 audits Port of LA- 110 plus audits County of Los Angeles-5 years and over 450 audits competed Since 2003 served as Business Recycling Consultant(BRC) for County Los Angeles Smart Business Program conducting over a 450 waste audits in unincorporated areas including Rancho 54 088 p 8 Dominguez,Marina Del Rey,&Hacienda Heights. Conducted specialized audits of County's largest facilities: Universal Studios,Pepperdine University,&Six Flags Magic Mountain. In addition,provided assistance to El Camino College with Large Waste Diversion Project(Sept- Nov. 2002).Provided assistance to Honda of America Corporation with review of recycling &waste reduction programs and to help obtain EPA Waste Wise Award. Other solid waste work experience: Supervise and Manage waste sorts including: (a)City of Los Angeles @ 2 City locations,total of 80 Recycle waste sorts performed with sample sizes of 300.0 plus lbs. samples sorted by crew of 20 with a total of 20 material types separated; (b)City of Los Angeles @ Bradley Landfill,total of 40 Greenwaste waste sorts performed with sample sizes of 500.0 plus lbs. samples sorted by crew of 2-4 with a total of 20 material types separated; (c)City of Los Angeles @ Sunshine Canyon,total of 15 Recycle waste sorts performed with sample sizes of 300.0 plus lbs. samples sorted by crew of 5 with a total of 54 material types separated. TreePeople 12/81-6/93 On-Site Park Program Manager and Rainforest Program Development. Duties included: tours and staff training, research and display development. Developed rainforest education program and an international rainforest education network. Involved with development of premier Los Angeles Recycling Education School Program. Aided in research, development, design, and implementation of recycling & waste management education curriculum and programs for K-12th grades. Designed and constructed park's popular recycling, organic & herb gardens, compost, and HI-1W display. Frequently interfaced with media, international, and special interest groups, involved in teacher workshops, and acquired donations of goods &services. EDUCATION UCLA Extension Certificated Program on Rainforests —i Cal State University Bachelor of Science Degree in Management of Recreation&Leisure Northridge Services Santa Monica City College A.A.Degree in Recreation and Certificate in Therapeutic Recreation USGBC-LEED Basic training I Green Building classes 55 089 JULIE T . HAST julie.hast@verizon.net EDUCATION: UCLA Extension Certified in Recycling & Waste Management University of California At Los Angeles B.S. Kinesiology -- Graduated with departmental honors Background in education/learning disabilities and mathematics EXPERIENCE: E. Tseng & Associates/ EcoTelesis International 6/95 - 5/96 3/98 - currently Project Manager: Lead for various projects including: City of Los Angeles Business Technical Assistance and Waste Reduction; Solid Waste Minimization Studies at DFW International and San Diego Airports, Raleigh Studios, and El Camino College; AB939 Base Year Studies for the cities of: San Diego, Torrance, Redondo Beach, City of Orange and others; AB939 Annual Report and program implementation assistance for: Port of Los Angeles, Fountain Valley, Huntington Beach, and Westminster. Other significant projects include: UCLA Extension / EPA Wa$teWi$e Program joint venture to develop waste prevention quantification methodologies for large companies; Toyota Motor Sales HQ recycling implementation, waste assessments, and award applications; and U.S. Navy base waste audit. Managed and performed business technical assistance and waste assessments for EcoTelesis International team of auditors for over a hundred clients including cities, counties, and large and small companies from all business sectors. EARTH SPIRIT 2/95 - 11/96 Program Development Director. Content acquisition and grant writer for the organization's environmental online computer network and involvement on the Internet. Also responsible for program development to meet needs of network providers and users, community service volunteers and office administration. Southwest Regional Laboratory 3/91 - 8/93 Environmental Education Specialist. Development of environmental curriculum, programs, and studies. Implemented and acted as liaison for Youth Education Component for the Los Angeles Resource Program. Presented workshops for California Science Teachers Association, Greater L.A. Science Teachers Association, UCLA Extension / Department of Education and Torrance Adult School. TreePeople 9/85 - 10/90 School Program Assistant Manager. Developed, designed, and 56 b implemented environmental education curriculum and program for grades K-12. Produced children's newsletter, supervised staff training, presented assemblies and tours, assisted at teacher workshops, and worked with media and special interest groups. ADDITIONAL INFORMATION: Other experience: Church Elder. I . Performing Arts Professional: Dancer, Actor, Choreographer, Production Assistant, High School dance technique instructor. Computer Skills: Macintosh & PC: MS Word, Excel, Filemaker Pro, PowerPoint, Delta Graph, Access. Professional Memberships & Unions: USGBC, SAG, Aftra • 57 090 DENIS J. KEYES EDUCATION: Masters Degree, Statistics, University of Denver, Colorado—Graduated with straight A (4.0) average, and received Maurice Davies Award as most outstanding student in Statistics. Bachelors Degree, Business, College of Santa Fe,New Mexico—Graduated Magna Cum Laude, and on Dean's List every semester of attendance. WORK EXPERIENCE: E. Tseng and Associates Los Angeles, California 1999 to present • Developed and proposed estimation methodology for complex statistical survey conducted by the State of California to measure waste types and amounts disposed in various levels of geography for California. The methodology involved statistical techniques such as cluster sampling, stratified sampling, ratio estimates,post- stratification, and development of sampling errors using replication techniques. • Researched and developed estimation methodology for complex statistical survey to measure recycling and diversion rates for commercial/industrial businesses in selected California cities and the County of Los Angeles Unincorporated Areas. The methodology involved statistical techniques such as stratified sampling, ratio estimates, and development of sampling errors. The County of Los Angeles project involved the development of a Microsoft Access database to manage the database of business sites, stratify and randomly select a sample of businesses, produce various reports, and extrapolate sample results to represent the entire Unincorporated Area. Visual Basic code was also written to completely automate the sample selection. ARCVIEW Geographical Information System(GIS) was used in the sample selection procedure. Research on sampling errors was done using Microsoft Excel. • Developed Microsoft Access database to measure disposal and diversion activities in County of Los Angeles government facilities. Activities measured included types of material, as well as annual tons. • Developed other Microsoft Access databases including a computer-based application form for the California Waste Reduction Award Program(WRAP), and assisted Orange County in the development of their Disposal Reporting System used to measure city compliance to state laws regarding disposal reduction. • Developed statistical methods for estimation of waste disposal and waste generation for County of San Diego Waste Disposal Capacity Study(used for Siting Plan), and also for the City of Los Angeles' Eight-County Disposal Capacity Study(2003). • 58 091 Department of Public Works, City of Los Angeles Los Angeles, California OPERATIONS AND STATISTICAL RESEARCH ANALYST II 1991 to 1999 (8 years) • As only statistician in Department, responsible for developing and implementing advanced statistical procedures to accurately measure types and amounts of waste generated in the City of Los Angeles. Results successfully proved that the City met and greatly exceeded State legal requirements for recycling and avoided the payment of annual fines of several million dollars. • Introduced many innovative and effective statistical techniques to the waste management field including complex sampling procedures,regression models to forecast waste and detect outliers, and analysis of variance testing. • One of prime developers of statistical techniques for the generator-based approach to measure waste at the businesses that generate the waste,rather than at the landfills that receive the waste. These techniques are now used as the model for the State of California. • Responsible for planning and conducting a variety of surveys including generator- based questionnaires, generator-based composition sampling, gate surveys at landfills, diversion surveys,hauler surveys, and landfill/transfer station composition sampling. This included developing software and writing reports in addition to managing the surveys. ,III • Extensively used both mainframe and PC based software for statistical analysis of large amounts of data. Wrote programs in mainframe Statistical Analysis System (SAS),and developed applications in a variety of PC based software such as spreadsheets(Excel and Quattro-Pro),relational databases (Access and Paradox), graphic packages (Harvard), and geographic information systems (Atlas). • Extensively wrote reports on the research methodology and results. Also required much personal and telephone contact, and some presentations before groups. • Supervised team of outside contractors, computer and telephone personnel who assisted the City. Personnel Department, City of Los Angeles Los Angeles, California MANAGEMENT ASSISTANT 1990 to 1991 (1 '/i years) • Responsible for administering examinations for City Personnel Department. Composed written exams and interview questions, arranged and oversaw interview boards,handled any applicant protests, and saw to the successful completion of examinations for a variety of professional and clerical positions. Bureau of Labor Statistics, U. S. Department of Labor Washington, D. C. STATISTICIAN 1975 to 1989 (13 years) 59 092 • Conducted research as a chief researcher for Local Area Unemployment Statistics Program. Devised methodology used by States to estimate employment for multi- billion dollar allocation programs. • Developed innovative applications using advanced statistical techniques such as regression, spectral analysis, Kalman filters and other time series techniques, complex sampling techniques, and minimization. • Received monetary awards and special award from the U. S. Secretary of Labor for work. Performance rating was "outstanding". Promoted to GS-13 level. • Helped coordinate the implementation of this employment methodology with State agencies, Bureau regional offices, and other groups. Involved much personal and telephone contact, and the presenting of several seminars in the new methodology. • Responsible for producing sample size and standard error estimates for the nationwide Current Population Survey. Also involved explanation of the technical aspects of the Survey to other Bureau personnel and to the public in seminars and personal contact. • Programmed or supervised the programming of software for research and production of estimates for the new methodology and the Current Population Survey. Extensively used statistical software packages (SAS and BMDP) and other languages (PL/1, FORTRAN and BASIC). 60 093 Karl Wong WORK ETA/EcoTelesis International, Environmental Consultant,May 1998—Present. EXPERIENCE Project Manager. Over 10 years of experience in Solid Waste Management,providing technical assistance to more than 2,500 businesses from Industrial/Commercial sector in multi-languages: waste assessment,waste reduction and recycling,and program implementation for all types of industries(Manufacturing, Construction,Hospitality, Health,Agriculture,Wholesale/Retail, IT,Airport, School,etc). Since July 2005 served as BRC for County Los Angeles Smart Business Program conducting over a hundred waste audits(including some in Chinese Mandarin language). Assisted California municipalities and jurisdictions over compliance with State of California AB 939 Mandate: City of San Buenaventura,Mission Viejo,Irvine,Westminster,La Habra,Baldwin Park,Irwindale, Rosemead,Compton,Carson,Vernon,Corona,Dublin, Livermore, Stockton, Lodi, Modesto,Port of Los Angeles, San Diego Unincorporated County,City of San Diego, Walnut,Orange,Lancaster,Palmdale,Torrance,Newport Beach,West Covina,City of Los Angeles,and County Unincorporated of Los Angeles; including Dallas/Fort-Worth International Airport,Texas. Measuring waste diversion percentage for each jurisdiction based on California Integrated Waste Management Board standard methodology; Jurisdiction's Annual Report and Biennial Review. Waste Composition Studies at Landfills,Transfer Stations,and at Material Recovery Facilities(MRFs). Technical training for student interns and at governmental level on waste reduction/recycling. Developing standardized method for conducting"Waste Reduction and Recycling Methods"for business based on CIWMB and the USEPA Guidelines. International Metals EKCO Ltd.,Los Angeles,CA. September 1995 -March 1998. Scrap Metals Recycling Company,Assistant Manager. Conducted compliance with environmental regulations,both State and Federal,such as OSHA,Hazardous Waste, CEQA,and Storm Water;attending environmental seminars, i.e. California Compliance School;conducting materials processing,recovery,and materials grading;handling CRV report of recycled aluminum cans, glass,and plastic bottles to the State of California, Department of Conservation,Recycling Division. The U.S. Environmental Protection Agency-Corvallis Environmental Research Laboratory,Corvallis,Oregon July 1994-June 1995. Measurement of CO2 and Global Climate Change effects on forest plants, the TERA Research Project, Research Intern. Conducted photosynthesis and respiration measurement of 02 and CO2,calibration measurement of O2 and CO2 at zero level, grounding,harvesting at cascade mountain,analysis of plants structures, soil tests, and chemical analysis in ICP lab on N2 and NO2. EDUCATION University of California at Los Angeles, Extension Program in Recycling and Waste Management,January 1997—June 1998. Oregon State University,Corvallis,Oregon.Bachelor of Science,major in Environmental Science,emphasis in Environmental Biology,June 1995 University of California at Berkeley, Summer School,June-August 1991 61 094 LANGUAGE English, Chinese-Mandarin, and Indonesian-Malay SKILLS COMPUTER Knowledge in Windows and Apple PCs, MS Word, MS Excel,MS Access, MS PowerPoint, SKILLS MS Project, Internet Search Engines, Statgraphic, ScrapWare,ArcMap. TRAINING California Department of Toxic Substances Control (Cal EPA), California Compliance School,Los Angeles,May 14-15, 1996. Module I: Hazardous Waste Identification and Overview II: Onsite Management Requirement(tanks &containers) III: Preparedness, Prevention, and Training IV: Transportation (with California manifest& LDRs) AWARDS & Awarded,U.S. EPA Certificate of Appreciation ACTIVITIES Awarded,California Hazardous Waste Compliance School Certificate of Satisfactory Completion Member, California Resource Recovery Association Member,National Recycling Coalition 62 095 8 , : . TT I,, 6 AZUWATERSA SCHEDULED ITEM TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE SA UTILITY BOARD FROM: GEORGE F. MORROW, DIRECTOR OF UTILITIES DATE: JANUARY 31, 2011 SUBJECT: APPROVE SCOPE OF WORK FOR A POWER SUPPLY/RATE IMPACT ASSESSMENT TOOL AND AUTHORIZE SOLICITATION OF PROPOSALS RECOMMENDATION It is recommended that the Utility Board approve the scope of work for a Power Supply/Rate Impact Assessment Tool and authorize to Staff to solicit proposals. BACKGROUND As reported in a September 27, 2010 Board item titled "UPDATE ON AZUSA LIGHT & WATER's RENEWABLE ENERGY PROGRAM", a number of legislative and regulatory actions and measures pertaining to renewable energy and climate change have been undertaken state-wide and regionally. Two of these measures in particular are of interest and critical importance to Azusa as they directly impact the Publicly Owned Utilities (POUs), and in that measure Azusa Light & Water. These measures are: 1) Implementation by the California Air Resources Board (ARB or CARB) of Renewable Electricity Standard (RES) regulation, as based on Governor's Executive Orders S-14-08 and S-21-09, and 2) The Greenhouse Gas (GHG) cap-and-trade regulation, also implemented by the ARB, as based on the California Assembly Bill 32 (Global Warming Solutions Act) The RES regulation will become effective January 1, 2012 and establishes a mandatory four step process to reach a 33% renewable energy target by 2020. The steps are as follows: 20% renewable energy for years 2012 - 2014; 24% renewable energy for years 2015 — 2017; 28% renewable energy for years 2018 & 2019; and 33% renewable energy for year 2020 and beyond. The GHG cap-and-trade regulation will also become effective on January 1, 2012 and targets major California industries that emit or contribute to emissions of greenhouse gases (global/climate warming effect). In general the goal is to reduce the California 096 Power Supply/Rate Impact Assessment Tool RFP January 31,2011 Page 2 greenhouse gas emissions in 2020 to the levels of 1990 emissions (i.e. by about 30%) and further to reduce emissions in 2050 by 80% of the 1990 level. The currently issued regulation and compliance methodology addresses primarily the 2012 — 2020 period. In general industries, among them electric utilities, will be given declining amounts of allowances to cause/contribute to the reduction of greenhouse gases. It is clear that electric utilities and their rate payers will be impacted by the above regulations. It is then imperative to be able to reasonably assess/project what impact the above regulations will have on Azusa's power supply portfolio and potentially on future electric rates. Accordingly, Staff respectfully requests Board's approval to issue an RFP for a computerized Power Supply/Rate Assessment Tool with the initial scope and functionality listed below: - Module for input/modeling of Azusa load for up to 20 years forward - Module for input/modeling of Azusa resources for up to 20 years forward - Module for input of energy & gas reference prices up to 20 years forward - Module for RES targets and penalties up to 20 years forward - Module for GHG targets, allocations, and penalties up to 20 years forward - Module for inputting Azusa base electric rates - Module for inputting Azusa financial targets (net income, bond coverage, etc.) - Module for inputting Azusa market transactions - Module for calculating Azusa resource adequacy and its cost (energy; 20 year horizon, 10 yrs minimum) - Module for calculating Azusa RES compliance and its cost (20 year horizon, 10 yrs minimum) - Module for calculating Azusa GHG compliance and its cost (20 years horizon, 10 yrs minimum) - Module for assessing Azusa financial targets (20 year horizon, 10 yrs minimum) Please note that on September 28, 2009, the Board authorized Staff to issue an RFP for a comprehensive Power Supply Study. Part of the scope of that RFP was preparation of models for cost of power supply, Resource Adequacy capacity, RPS energy, and GHG. On January 5, 2010 the Board approved Black & Veatch to conduct a portion of that RFP scope -- evaluation of Azusa's planned participation in Lodi Energy Center. The RFP discussed herein would in essence complete the earlier approved work scope. FISCAL IMPACT The cost of the discussed tool/model will be reported to the Board following receipt of proposals from qualifying vendors. Prepared by: Yarek Lehr, Assistant Director of Resource Management 1197 Power Supply/Rate Impact Assessment Tool RFP January 31,2011 Page 3 Attachment: Power Supply/Rate Impact Assessment Tool (General Characteristics) 098 Power Supply/Rate Impact Assessment Tool (General Characteristics) Statement of need: Recently a number of state, regional, and/or federal regulations have been implemented or proposed that will have considerable impact on cost of the electric energy. Electric power production industries as well as the wholesale electricity and fuels markets are already adjusting in response to the regulations. In response to these profound regulatory and what follows wholesale electricity market changes, electric utilities that serve retail customers need to be able to reasonably forecast and asses the economic impact of the regulations and on their customers. Accordingly, the City of Azusa Department of Light & Water desires to develop an automated, computer based, tool that will aid in assessment of the future cost of wholesale'power supply in the context of its impact on electric rates. General platform characteristics: 1. MS Excel based model 2. Open code 3. User friendly operation in terms of data inputs, data setup, and data outputs 4. Ability to accept uploads of large data files (such as Azusa demand for 20 years) 5. Ability to allow for downloads of large data files 6. Ability to compute and print reports with user-selected information 7. 20 year data and calculation horizon Inputs 1. STUDY PERIOD SETS. Any and all inputs shall be in monthly, quarterly, annual, and the total study period sets (for all types of data/information output categories defined in#2, #3, and#4 below). 2. LOAD. For each applicable study period as defined in#1 above enter a. Full requirement Monthly load (ISO metered load) in MWh (On-pk and Off-pk) b. % to be used for Azusa retail load calculation (for RES compliance calculation) c. Expected monthly peak (ISO metered peak) for System and Local Resource adequacy capacity allocation. 1 099 3. RESOURCES. For each resource (PPA, share of ownership, contract, etc) for each applicable study period as defined in#1 above enter: a. MW profile (on-pk and off pk) b. Price in $/MWH c. Other associated costs in $/MWh (Transmission losses, CRR, scheduling, balancing) d. MW that can be used for System Resource Adequacy capacity e. MW that can be used for Local Resource Adequacy capacity f. MWHs that qualify for RES energy g. MWHs that qualify for Azusa RPS but not for RES energy ("POU RES") 4. REGULATORY REQUIREMENTS. a. CEC regulated RES energy as % of retail load b. Azusa Board RPS (same as POU RES) as % of retail load c. System RA capacity requirement (15% planning margin or user entered) d. Azusa Local RA capacity requirement in MW (from the ISO or user entered) e. GHG (MT of CO2 equivalent) requirements as per ARB regulation 5. MARKET INFORMATION a. Energy forward curves for SP15, NP15, PV, Md-230, 4C, Marketplace b. Forward gas curves (SoCal Border, PG&E City gate, HH/Nymex) c. Forward GHG credits prices for California/WCI (in $/MTCO2 equivalent) d. Forward GHG offset prices for California/WCI (in $/MTCO2 equivalent) 6. TRANSMISSION RESERVATION/CRRs a. Long Term CRRs via Allocation vs Intended Annual /Monthly CRRs via Auction b. Transmission loss factors from different external points (imports) Outputs: 1. STUDY PERIOD SETS. Any and all outputs shall be in monthly, quarterly, annual, and the total study period sets (for all types of data/information output categories defined in #2, #3, and #4 below). For example: For a two year study horizon, outputs for each data/information category/type defined in#2, #3, and #4 below, there shall be separate output sets for each month (M1, M2, M3, M4, M5, M6, M7, M8, M9, M10, M11, M12) of Year-1; Q1,Q2,Q3,Q4 of Year-1; Total for Year-1 and each month (M1, M2, M3, M4, M5, M6, M7, M8, M9, M10, M11, M12) of Year-2, Q1,Q2,Q3,Q4 of Year-2; Total for Year-2 and Total for the entire period/horizon of 2 years. 2 100 2. ENERGY (conventional and RES). For each data/information category stated below in a), b), c), d), e), f) (for each applicable study period as defined in #1 above) the output shall be: Total period MWHs, total period cost (cumulative cost for the period and average $/MWh for the period), % of total period demand served by the energy category for of the following: a. Conventional energy (other than coal) (on-pk and off-pk) b. Conventional energy - coal (on-pk and off-pk) c. CEC RES Renewable energy (on-pk and off-pk separately) d. POU RPS energy (on-pk and off-pk e. User defined Energy Product (on-pk and off-pk) f. Total energy - sum of a), b), c), and d) above (on-pk and off-pk) g. Flag (yes/no) whether the user defined (in MWh or %) energy requirement threshold/target for Total Energy is met. i. If not met, show the amount of deficiency in (MWh and %) h. Flag (yes/no) whether the user defined (in MWh or %) energy requirement threshold/target for RES Energy is met. i. If not met, show the amount of deficiency in (MWhs and %) i. Flag (yes/no) whether the user defined (in MWh or %) energy requirement threshold/target for User Defned Product is met i. If not met, show the amount of deficiency in (MWhs and %) ii. If met, what is the excess amount (price associated with this excess volume) 3. CAPACITY. For each data/information category listed below in a), b), c) below (for each applicable study period as defined in#1 above) the output categories shall be: period capacity in MW, list of resources providing such capacity (as based on the resources capacity flag being set on/off). a. Total System Capacity (on-pk and off-pk) b. Total Local Capacity (on-pk and off-pk) c. Place holder for other user-defined capacity products d. Flag (yes/no) as whether the user defined (in MWh or %) System Capacity requirement threshold/target for System Capacity is met e. Flag (yes/no) whether the user defined (in MWh or %) Local Capacity requirement threshold/target for RES Energy is met f. Flag (yes/no) whether the user defined (in MWh or %) User selectable capacity requirement threshold/target for RES Energy is met 4. MEETING GHG REGULATORY REQUIREMENTS. For each data/information category stated below (for each applicable period as defined in #1 above) the output shall be: GHG in Metric Tones (MT) of CO2 equivalent "burn/usage", total period GHG cost to Azusa value ($) as based on the market 3 101 value of GHG credits offsets with separate accounting for allocated and separate for purchased GHG credits (in MT of CO2 equivalent) a. Total Azusa GHG compliance requirement obligation as based on resources used to serve Azusa load (either automated calculation based on the type of resources used or user selectable requirement from user input info) b. Flag (yes/no) whether the user defined (MT of CO2 equivalent) allocations meet Azusa's compliance requirement in a) above c. Calculated total Azusa GHG credit excess/shortage (Azusa GHG allocation less compliance from item a) above for each applicable period) d. Cost of GHG allocations/offsets that have to purchased by Azusa to mitigate "shortage" in c) above and satisfy ARB compliance requirement (Calculated as a product of the amount of GHG credits shortage and market cost for either credits/allocations or offsets to be purchased) 5. TRANSMISSION RESERVATION/HEDGING ADEQUACY & COST. For each data/information category stated below (for each applicable period as defined in#1 above) the output shall be: a. Total Azusa transmission requirement associated with imports for each applicable tie 102 4 it t . ;, 4 * ITNIMOrr . ZLISA _CHI & 'N4?El INFORMATIONAL ITEM TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AZUSA UTILITY BOARD FROM: GEORGE F. MORROW, DIRECTOR OF UTILITIES DATE: JANUARY 31, 2011 SUBJECT: UPDATE ON THE REVISED SERVICE AGREEMENT FOR WHOLESALE DISTRIBUTION SERVICE BETWEEN SOUTHERN CALIFORNIA EDISON (EDISON) AND AZUSA LIGHT & WATER (AZUSA). BACKGROUND This item is an update on an earlier approval by the Utility Board dated January 25, 2010 regarding a one time payment to Southern California Edison (Edison) for substation metering and communication facilities charges. This update reflects the final arrangements as accepted in the Federal Electric Regulatory Commission Filing of January 13, 2011 under Docket No. ER 11-2321-000. In January 2010, Staff met with representatives of Edison to discuss the certified metering and communication facilities at Kirkwall & Azusa Substations. The metering & communication facilities were installed by Edison on behalf of Azusa Light & Water pursuant to requirements by CAISO dating back to 2004. After this meeting, staff recommended Utility Board the approval of a one time payment to Edison. (For reference see January 25, 2010 consent agenda item) UPDATE Following the January 2010 Utility Board meeting, Azusa Light & Water received detailed cost support from Edison for the metering facilities as part of Edison's draft filing of the Revised Service Agreement at FERC. Upon further review of the cost support and in consultation with legal counsel, there was an opportunity to improve the payment methodology by negotiating a lower fixed charge rate. This was possible if Azusa were to elect to finance the substation cost improvements rather than have Edison do so. As part of this final agreement filing process, the following modifications were made to the Revised Service Agreement between the parties: • Change from Edison financed facilities to Azusa Light & Water financing • Payment of a capital contribution in an amount similar to that initially approved by Utility 103 SCE Metering Agreement January 31, 2011 Page 2 Board ($172,844.72), but adjusting for additional monthly charges accrued up to the date of Acceptance of Filing at FERC of the Revised Service Agreement(new total is $224,579.10). • Allow Azusa Light & Water to pay the capital contribution in two installment payments, if desired • Reduce the monthly metering charges at both substations (from $2,882.95 to $1,320.03). The reduction in monthly costs results from using the CPUC established annual fixed charge rate for customer-financed facilities (4.58%) versus a higher rate of 16.08% applicable for Edison-financed facilities, as originally proposed. (The higher rate accounts for Edison's rate of return, income taxes and depreciation.) • Inclusion of legal language in the Revised Service Agreement that states the lower, unique rate does not create a precedent with respect to future rates, services, or matters. CONCLUSION Overall, the Revised Service Agreement as reviewed by staff and counsel, and as filed by Edison and accepted by FERC, is favorable to Azusa Light & Water. Prepared by: Federico Langit Jr., Assistant Director - Electric Operations 104