HomeMy WebLinkAboutResolution No. 2021-C55RESOLUTION NO.2021-055
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA,
CALIFORNIA, APPROVING THE TWENTY-SEVENTH
AMENDMENT TO THE AMENDED AND RESTATED FRANCHISE
AGREEMENT WITH ARAKELIAN ENTERPRISES, INCORPORATED
TO AMEND THE REFUSE COLLECTION, RECYCLING AND
DISPOSAL SERVICES RATES EFFECTIVE JANUARY 1, 2022
THROUGH JUNE 30, 2022, AND APPROVING SUCH RATES AND
TAKING OTHER ACTIONS RELATING THERETO
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, on November 1, 2021, the City Council of the City of Azusa, approved
the 261" Amendment to the Amended and Restated Franchise Agreement with Contractor for
refuse collection, recycling and disposal services ("Amended Agreement"); and
WHEREAS, Section 5.0(B) of the Amended Agreement requires that the refuse
collection, recycling and disposal services rates be modified annually to account for the cost
of living changes, disposal costs, and other adjustments due to extraordinary increases in
operating costs ("Adjustments") on July 1 of each year; and
WHEREAS, refuse rate adjustments have been calculated pursuant to the terms and
conditions of the Amended Agreement; and
WHEREAS, SB 1383, the Short-lived Climate Pollutant Reduction Act of 2016, requires
CalRecycle to develop regulations to reduce organics in landfills as a source of methane. The
regulations place requirements on multiple entities including cities, residential households,
commercial businesses and business owners, commercial edible food generators, haulers, self -
haulers, food recovery organizations, and food recovery services to support achievement of
statewide organic waste disposal reduction targets; and
WHEREAS, the City is required by state law to implement an organics waste recycling
program for residential and commercial customers that are required by SB 1383 to implement
organics waste recycling; and
WHEREAS, in order to implement the organics recycling program in the City, Athens
Services, the City's franchised trash hauler, is offering organics recycling services to residential
and commercial businesses that are required to implement an organic recycling program under
SB 1383, and charge these customers that utilize such services for the cost of those services; and
WHEREAS, the Monthly Organic Waste Recycling Rates ("trash rates") attached
herewith will be adopted and applicable to all residential and commercial customers required to
comply with SB 1383 effective January 1, 2022 and if approved the new rates will be adjusted
every July 1 St based upon the annual percentage changes in the Consumer Price Index (CPI) as
determined by the United States Department of Labor Statistics, All Urban Consumers for
Garbage, and Trash Collection; and
WHEREAS, the City is proposing automatic rate adjustment beginning July 1, 2022, and
each July 1 thereafter for a five-year period, through and including adjustments effective on or
after July 1, 2026, the trash rates may be adjusted annually, without a further public hearing,
according to CPI plus one percent capital improvement charge (CPI + 1), with a floor of 3%;
provided, however, the monthly rates shall not increase by more than 10% in any fiscal year; and
WHEREAS, article XIII D, section 6 of the California Constitution ("Article XIII D")
requires that prior to imposing any increase to the trash rates, the City shall provide written notice
("Notice") by mail of the new or increased trash rates to the record owner of each parcel upon
which the trash rates are proposed for imposition and any tenant directly liable for payment of the
trash rates, the amount of the trash rates proposed to be imposed on each parcel, the basis upon
which the trash rates were calculated, the reason for the trash rates, and the date, time, and
location of a public hearing ("Hearing") on the proposed trash rates; and
WHEREAS, pursuant to Article XIII D such Notice is required to be provided to the
affected property owners and any tenant directly liable for the payment of the trash rates not less
than forty-five days prior to the Hearing on the proposed trash rates; and
WHEREAS, the City did provide such Notice to the affected property owners and
tenants in compliance with Article XIII D; and
WHEREAS, on December 13, 2021, the City Council conducted a public hearing in
accordance with Article XIII D and determined that a majority protest did not exist, and that the
proposed trash rates could be implemented; and
WHEREAS, the City Council wishes to adopt the maximum rates for the solid waste
charges effective January 1, 2022 and take other actions as set forth herein.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Azusa,
California, does find and declare that:
SECTION 1: Adoption of 271h Amendment. The attached 27th Amendment to the
Amended and Restated Franchise Agreement Between the City of Azusa
and Arakelian Enterprises, Inc. for Refuse Collection, Recycling and
Disposal Services (Exhibit A) is hereby approved.
SECTION 2: The rate schedule for the trash rates included in Exhibit A as a part of the
twenty-seventh Amendment is approved, and shall supersede any rate
schedule previously adopted.
SECTION 3: Adoption of Automatic Rate Adjustment. Beginning July 1, 2022, and
each July 1 thereafter for a five-year period, through and including
adjustments effective on or after July 1, 2026, the trash rates may be
adjusted annually, without a further public hearing, according to CPI plus
one percent capital improvement charge (CPI + 1), with a floor of 3%;
provided, however, the trash rates shall not increase by more than 10% in
any fiscal year. Notice shall be provided at least 30 days prior to the
effective date of such adjustment.
4
SECTION 4: Effective Date. This Resolution shall become effective upon its adoption.
SECTION 5: Authorization. That the Mayor shall sign and the City Clerk shall
certify to the passage and adoption of this Resolution.
PASSED, APPROVED and ADOPTED this 13th day of December, 2021.
Robert onzales
Mayor
S
Je e wXrwem
Coej o, Jr.
ity Clerk
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF AZUSA )
I HEREBY CERTIFY that the foregoing Resolution No. 2022-055 was duly adopted
by the City Council of the City of Azusa at a special meeting thereof, held on the 13th day of
December, 2021 by the following vote of Council:
AYES: COUNCILMEMBERS: GONZALES, ALVAREZ, AVILA, MENDEZ, BECKWITH
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
Je Are Cornej o, Jr
C ty Jerk
APPROVED AS TO FORM:
!tie
Best est & Krieg , LLP
City Attorney
4