HomeMy WebLinkAboutResolution No. 2019-C24RESOLUTION NO. 2019-C24
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA,
CALIFORNIA, APPROVING THE TWENTY-THIRD AMENDMENT
TO THE EXCLUSIVE FRANCHISE AGREEMENT WITH ARAKELIAN
ENTERPRISES TO AMEND THE REFUSE RATES AND ADOPT THE
MONTHLY ORGANIC RECYCLING FEES FOR PERIOD OF JULY 1,
2019 THROUGH JUNE 30, 2020
WHEREAS, on October 2, 2000, the City Council of the City of Azusa, approved
an Exclusive Franchise Agreement with Arakelian Enterprises, Incorporated (Contractor), for
refuse collection and recycling services ("Original Agreement"); and
WHEREAS, the Franchise Agreement allows for increases in solid waste collection rates
due to increasing costs, including but not limited to the following: (i) solid waste disposal
charges at landfills (so called "tipping" fees), (ii) fuel costs, (iii) AB 939 and other statutory
recycling and diversion compliance costs (including recycling facility fees), (iv) other
operational costs in providing solid waste collection services, as well as (v) the annual
percentage increase in the Consumer Price Index, all Urban Consumers, for the Los Angeles -
Anaheim -Riverside Statistical Area, as determined by the United States Department of Labor
Statistics, or its successor ("CPI"); and
WHEREAS, the current level of solid waste collection and disposal service rates
(hereinafter collectively referred to as "rates") is insufficient to recover the total costs of
providing said service; and
WHEREAS, the City proposes to increase its solid waste service rates in an amount that
corresponds to the amount necessary for the collection, conveyance, recycling and disposal of
solid waste via the City's Franchise Agreement with Athens Services. Therefore, the City
Council finds, with respect to the revenue derived from the solid waste rates, that (1) there is a
reasonable relationship between the use of the rates increased herein and the services for which
they are imposed; (2) the revenue derived from the increased rates does not exceed the amount
necessary to provide the services; (3) the increased rates shall not be used for any purpose other
than that for which the rates are imposed, including but not limited to, solid waste pick-up,
transportation, recycling and disposal, facilities and equipment maintenance, capital projects and
financing, and billing and account management; (4) the increased rates do not exceed the
proportional cost of the services attributable to each parcel served; and (5) the increased rates are
not levied for general governmental purposes; and
WHEREAS, pursuant to California Proposition 218 (California Constitution Article
XIIID, Section 6), at least 45 days prior to the hearing on this Resolution, the City has mailed,
postage prepaid, a notice of the public hearing on the proposed solid waste rate increase to the
property owner of each identified parcel upon which the increased rates are being proposed, and
WHEREAS, said notice identified: (1) the amount of the increased rates to be charged;
(2) the basis upon which the rate increase was calculated; (3) the reason for the rate increase; and
(4) the date, time, and location for the public hearing on the rate increase; and
WHEREAS, on July 15, 2019 at 7:30 p.m., the City Council conducted a duly noticed
public hearing at which time all those wishing to be heard were afforded an opportunity to be
heard, and at which time the City Council considered any and all written protests concerning the
proposed solid waste rate increase; and
WHEREAS, the City did not receive written protests from a majority of the identified
parcels that would be subject to the proposed rate increase; and
WHEREAS, all other prerequisites to the adoption of this Resolution have occurred.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Azusa,
California, does find and declare the:
SECTION 1. Based on the written and verbal evidence presented to the City Council,
the amounts of the solid waste service rates, as set forth in Exhibit "A" and Exhibit `B", attached
hereto and incorporated by reference herein, are hereby approved and adopted by the City
Council of the City of Azusa. The solid waste collection service and organics recycling rates set
forth herein shall become effective July 1, 2019, retroactively.
SECTION 2. Pursuant to Section 21080(b)(8) of the Public Resources Code, and Section
15273(a) of the Guidelines for the Implementation of the California Environmental Quality Act
("CEQA"), review under CEQA is not required because the City Council action increasing solid
waste service rates is for the purpose of (i) meeting solid waste collection and disposal operating
expenses, (ii) purchasing or leasing supplies, equipment, or materials for the solid waste
collection and disposal services, and (iii) obtaining funds for capital projects necessary to
maintain solid waste collection and disposal service. This action is also exempt pursuant to
Sections 15061(b)(3) and 15378(b)(4) of the CEQA Guidelines because it involves the creation
of a government funding mechanism that does not involve any commitment to any specific
project which may result in a potentially significant physical impact on the environment. The
City Clerk is hereby directed to file a Notice of Exemption with the County Clerk within five (5)
days following the date of this Resolution.
SECTION 3. The City Clerk shall certify to the passage and adoption of this Resolution;
shall cause the same to be entered in the Book of Resolutions of the City of Azusa; and shall
make a record of the passage and adoption thereof in the records of the proceedings of the City
Council of said City in the minutes of the meeting at which the same was passed and adopted.
SECTION 5. This Resolution shall take effect immediately.
SECTION 6. If any section, sub -section, sentence, clause, phrase or portion of this
Resolution is for any reason held to be invalid or unconstitutional by the decision of any court of
competent jurisdiction, such decision shall not affect the validity of the remaining portions of the
Resolution. The City Council hereby declares that it would have adopted the Resolution and
each section, sub -section, sentence, clause, phrase or portion thereof, irrespective of the fact that
2
any one or more sections, sub -sections, sentences, clauses, phrases or portions to be declared
invalid or unconstitutional.
PASSED, APPROVED and ADOPTED this 15t" day of July, 2019.
Z54��e
Joseph Romero cha
Mayor
ATTEST:
SJL��
I a Cornejo, .
ity Clerk
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF AZUSA )
I HEREBY CERTIFY that the foregoing Resolution No. 2019-C24 was duly adopted
by the City Council of the City of Azusa at a regular meeting thereof, held on the 15th day of
July, 2019, by the following vote of the Council:
AYES: COUNCILMEMBERS: GONZALES, CARRILLO, MACIAS, ALVAREZ
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: ROCHA
Je e a Cornejo, J K.
it y Cler
APPROVED AS TO FORM:
....
Best Bet & Kriegerl LLP
City Attorney
AMENDED AND RESTATED FRANCHISE AGREEMENT
BETWEEN THE CITY OF AZUSA AND ARAKELIAN ENTERPRISES, INC.
FOR REFUSE COLLECTION, RECYCLING AND DISPOSAL SERVICES
AMENDMENT NO. 23
This twenty-second Amendment to the Exclusive Franchise Agreement is entered
into this 15th day of July 2019 by and between the City of Azusa, a municipal
corporation ("City") and Arakelian Enterprises, Inc., a California Corporation
("Contractor").
Effective July 1 st, 2019, the attached rate schedule shall replace Exhibit A of the
Existing Exclusive Franchise Agreement approved on October 2, 2000.
MONTHLY ORGANIC WASTE RECYCLING RATES
The Monthly Organic Waste Recycling Rate Schedule (Exhibit B) for businesses
that generate 4 cubic yards of commercial solid waste under AB 1826 threshold to
arrange for organic waste recycling services.
IN WITNESS WHEREOF, the parties have executed this agreement as of the
date first set out herein.
Date: �II$I Ix
CITY OF AZUSA
A Municipal Corporation
Joseph Romero Ro&a
Mayor
g
4Wnc4eConmejo, J .
City Clerk
APPROVED AS TO FORM:
Best t & Krieger, i
LP
City A torney
4
Date: a /5/,g
ARA AN ENTE P ISES, INC.
d.b.aXTfiENS S S
EXHIBIT A
TO FRANCHISE AGREEMENT
BETWEEN THE CITY OF AZUSA AND ARAKELLAN ENTERPRISES, INC.
FY 2019/20 REFUSE AND RECYCLING RATES
Effective July 1, 2019
July -June July -June
2018-2019 2019-2020
SERVICES
Current
Proposed
Change
Total Monthly Rate
Total Monthly Rate
% $
Residential Barrel Service
$25.96
$27.72
6.78% $1.76
Multifamily Bin
$22.37
$23.35
4.37% $0.98
Commercial Bins
Size - 3 Cubic Yards
1 Day/Week
$132.19
$140.94
6.62% $8.75
2 Days/Week
$196.93
$211.85
7.58% $14.92
3 Days/Week
$261.75
$282.83
8.05% $21.08
4 Days/Week
$326.39
$353.63
8.35% $27.24
5 Days/Week
$391.33
$424.76
8.54% $33.43
6 Days/Week
$523.51
$565.69
8.06% $42.19
Size - 2 Cubic Yards
1 Day/Week
$117.58
$124.54
5.91% $6.95
2 Days[Week
$170.10
$181.51
6.71% $11.42
3 Days/Week
$222.36
$238.24
7.14% $15.88
4 Days/Week
$275.84
$296.21
7.38% $20.37
5 Days/Week
$327.83
$352.66
7.57% $24.83
Size - 1.5 Cubic Yards
1 Day/Week
$89.67
$94.95
5.89% $5.28
2 Days/Week
$150.35
$159.80
6.28% $9.45
3 Days/Week
$210.15
$223.73
6.46% $13.58
Size - 30 Cubic Yards*
$433.00
$448.52
3.58% $15.51
*Rate includes 1 Ton of Waste Processed at Material Recovery Facility MRF
EXHIBIT B
TO FRANCHISE AGREEMENT
BETWEEN THE CITY OF AZUSA AND ARAKELLAN ENTERPRISES, INC.
MONTHLY ORGANICS RECYCLING
Effective July 1, 2019
July -June
2018-2019
July -June
2019-2020
SERVICES
Current
Proposed
Change
Size - 64 Gallon Barrel
Total Monthly Rate
Total Monthly Rate
% $
One / Week
Primary
$116.91
$120.57
3.15% $3.66
Addt'I
Barrels
$102.33
Two / Week
Primary
$203.54
$209.93
3.15% $6.39
Addt'I
Barrels
$178.63
Three / Week
Primary
$290.18
$299.31
3.15% $9.13
Addt'I
Barrels
$254.95
Four / Week
Primary
$376.83
$388.68
3.15% $11.85
Addt'I
Barrels
$331.25
Five / Week
Primary
$463.47
$478.06
3.15% $14.59
Addt'I
Barrels
$407.57
Six / Week
Primary
$550.12
$567.43
3.15% $17.31
Addt'I
Barrels
$420.85