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HomeMy WebLinkAboutResolution No. 2022-C47RESOLUTION NO.2022-C47 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA, CALIFORNIA, APPROVING THE TWENTY-NINTH AMENDMENT TO THE AMENDED AND RESTATED FRANCHISE AGREEMENT WITH ARAKELIAN ENTERPRISES, INCORPORATED TO AMEND THE REFUSE COLLECTION, RECYCLING AND DISPOSAL SERVICES RATES EFFECTIVE JULY 19 2022 THROUGH JUNE 30, 2023 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 261h 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 organic 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 attached herewith will be adopted and applicable all residential and commercial customers required to comply with SB 1383 effective July 1, 2022 and if approved the new rates shall be automatically adjusted annually based upon the annual percentage change from January to January) in the Consumer Price Index (CPI) for Trash and Garbage Collection (CUUROOOSEHG02), US City Average (not seasonally adjusted), as determined by the United States Department of Labor Statistics. 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 the percentage change in CPI plus one percent, with a floor of 3%, calculation; provided however, that the maximum rates shall not be increased by more than 10%; and NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Azusa, California, does find and declare that: SECTION 1. Adoption of 29°i Amendment. The attached 29th 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. The rate schedule adopted as part of the twenty-ninth Amendment shall supersede any rate schedule previously adopted. SECTION 2. Effective Date. This Resolution shall become effective upon its adoption. SECTION 3. Adoption of Automatic Rate Adjustment. If approved, 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 the percentage change in CPI plus one percent, with a floor of 3%, calculation; provided however, that the maximum rates shall not be increased by more than 10%. If a rate adjustment should exceed this amount in any single year, another public hearing will be held to consider that proposed rate adjustment. SECTION 4. 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 20th day of June, 2022. Robert Gonzales Mayor ATTEST: Jep6.y ,OrCAr ornejo, Jr. City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF AZUSA ) I HEREBY CERTIFY that the foregoing Resolution No. 2022-C47 was duly adopted by the City Council of the City of Azusa at a regular meeting thereof, held on the 20th day of June, 2022 by the following vote of Council: AYES: COUNCILMEMBERS: GONZALES, ALVAREZ, AVILA, MENDEZ, BECKWITH NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: Je a wr Cornejo, Jr. ity Clerk APPROVED AS TO FORM: ft a Best est & Krieger, 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. 29 This twenty-ninth Amendment to the Amended and Restatated Franchise Agreement is entered into this 20th day of June 2022 by and between the City of Azusa, a municipal corporation ("City") and Arakelian Enterprises, Inc., a California Corporation ("Contractor"). Effective July 1st, 2022, the attached rate schedule shall replace Exhibit A of the Amended and Restated Franchise Agreement approved on November 1, 2021. IN WITNESS WHEREOF, the parties have executed this agreement as of the date first set out herein. Date: CITY OF AZUSA A Municipal Corporation G Robert Gonz es, Mayor ATTEST: J9&eyUwp6i ce Comejo, C' Cler APPROVED AS TO FORM: City ttomey Best Best & Krieger, LLP Date: ARAKELIAN ENTERPRISES, INC. d.b.a. ATHENS SERVICES EXHIBIT A TO FRANCHISE AGREEMENT BETWEEN THE CITY OF AZUSA AND ARAKELLAN ENTERPRISES, INC. July 1, 2022 Refuse and Organics Recycling Rates Proposed Proposed Net Franchise AB 939 Monthly Rate Fee Fee Rate Residential & Multi -Family Cart Service Single-family 96 Gal Base Rate 33.47 3.72 0.82 38.01 32 Gal Base Rate - Senior Discount 30.12 3.35 0.74 34.21 96 Gal Add'I Cart (Any Type) 7.58 0.84 0.00 8.42 64 Gal Add'I Cart (Any Type) 5.69 0.63 0.00 6.32 32 Gal Add'I Cart (Any Type) 3.79 0.42 0.00 4.21 Commercial & Multi -Family Bin Bin: 6-Yard 6.00 1.00 1 day/week pickup 273.45 30.38 7.99 311.82 6.00 2.00 2 day/week pickup 430.95 47.88 15.63 494.46 6.00 3.00 3 day/week pickup 587.61 65.29 23.95 676.85 6.00 4.00 4 day/week pickup 744.50 82.72 31.93 859.15 6.00 5.00 5 day/week pickup 901.85 100.21 39.91 1,041.97 6.00 6.00 6 day/week pickup 1,175.33 130.59 47.89 1,353.81 Bin: 5-Yard 5.00 1.00 1 day/week pickup 246.31 27.37 6.66 280.34 5.00 2.00 2 day/week pickup 379.94 42.22 13.14 435.30 5.00 3.00 3 day/week pickup 513.05 57.01 19.96 590.02 5.00 4.00 4 day/week pickup 646.14 71.79 26.60 744.53 5.00 5.00 5 day/week pickup 779.70 86.63 33.14 899.46 5.00 6.00 6 day/week pickup 1,020.45 113.38 39.91 1,173.74 Bin: 4-Yard 4.00 1.00 1 day/week pickup 219.20 24.36 5.32 248.88 4.00 2.00 2 day/week pickup 328.95 36.55 10.65 376.15 4.00 3.00 3 day/week pickup 43851 48.72 15.97 503.20 4.00 4.00 4 day/week pickup 547.79 60.87 21.27 629.93 4.00 5.00 5 day/week pickup 65753 73.06 26.36 756.95 4.00 6.00 6 day/week pickup 86556 96.17 31.93 993.66 Bin: 3-Yard 3.00 1.00 1 day/week pickup 192.36 21.37 3.99 217.72 3.00 2.00 2 day/week pickup 278.19 30.91 7.99 317.09 3.00 3.00 3 day/week pickup 364.16 40.46 11.98 416.60 3.00 4.00 4 day/week pickup 449.84 49.98 15.96 515.78 3.00 5.00 5 day/week pickup 536.00 59.56 19.96 615.52 3.00 6.00 6 day/week pickup 728.36 80.93 23.95 833.24 Bin: 2-Yard 2.00 1.00 1 day/week pickup 174.75 19.42 2.66 196.83 2.00 2.00 2 day/week pickup 246.74 27.42 5.34 279.50 2.00 3.00 3 day/week pickup 318.33 35.37 8.00 361.70 2.00 4.00 4 day/week pickup 391.86 43.54 10.66 446.06 2.00 5.00 5 day/week pickup 463.03 51.45 13.30 527.78 2.00 6.00 6 day/week pickup 534.21 59.36 16.00 609.57 Proposed Proposed Net Franchise AB 939 Monthly Rate Fee Fee Rate Commercial & Multi -Family Bin (Continued) Bin: 1-1/2-Yard 150 1.00 1 day/week pickup 133.43 14.83 1.99 150.25 150 2.00 2 day/week pickup 221.09 24.57 3.98 249.64 150 3.00 3 day/week pickup 307.32 34.15 5.97 347.44 1.50 4.00 4 day/week pickup' 345.42 38.38 7.96 391.76 150 5.00 5 day/week pickups 405.00 45.00 9.95 459.95 150 6.00 6 day/week pickup 464.58 51.62 11.94 528.14 Compactor: 6-Yard 6.00 1.00 1 day/week pickup 455.54 50.62 0.00 506.16 Recycling 6.00 2.00 2 day/week pickup 795.15 88.35 0.00 883.50 6.00 3.00 3 day/week pickup 1,133.91 125.99 0.00 1,259.90 6.00 4.00 4 day/week pickup 1,472.94 163.66 0.00 1,636.60 6.00 5.00 5 day/week pickup 1,812.35 201.37 0.00 2,013.72 6.00 6.00 6 day/week pickup 2,151.79 239.09 0.00 2,390.88 Compactor: 3-Yard 3.00 1.00 1 day/week pickup 331.63 36.85 11.97 380.45 Trash 3.00 2.00 2 day/week pickup 556.72 61.86 23.97 642.55 3.00 3.00 3 day/week pickup 781.93 86.88 35.94 904.75 3.00 4.00 4 day/week pickup 1,006.87 111.87 47.88 1,166.62 3.00 5.00 5 day/week pickup 1,232.29 136.92 59.88 1,429.09 3.00 6.00 6 day/week pickup 1,457.70 161.97 71.88 1,691.55 Compactor: 2-Yard 2.00 1.00 1 day/week pickup 267.60 29.73 7.98 305.31 Trash 2.00 2.00 2 day/week pickup 432.42 48.05 16.02 496.49 2.00 3.00 3 day/week pickup 596.85 66.32 24.00 687.17 2.00 4.00 4 day/week pickup 763.20 84.80 31.98 879.98 2.00 5.00 5 day/week pickup 927.22 103.02 39.90 1,070.14 2.00 6.00 6 day/week pickup 1,091.23 121.25 48.00 1,260.48 Commercial Organics 1.00 1 day/week pickup 99.81 11.09 0.75 111.65 First Barrel 2.00 2 day/week pickup 173.79 19.31 0.75 193.85 3.00 3 day/week pickup 247.78 27.53 0.75 276.06 4.00 4 day/week pickup 321.77 35.75 0.75 358.27 5.00 5 day/week pickup 395.76 43.97 0.75 440.48 6.00 6 day/week pickup 469.75 52.19 0.75 522.69 Commercial Organics 1.00 1 day/week pickup 84.71 9.41 0.75 94.87 Each Additional Barrel 2.00 2 day/week pickup 147.87 16.43 0.75 165.05 3.00 3 day/week pickup 211.06 23.45 0.75 235.26 4.00 4 day/week pickup 274.22 30.47 0.75 305.44 5.00 5 day/week pickup 337.40 37.49 0.75 375.64 6.00 6 day/week pickup 348.40 38.71 0.75 387.86 Saturday Service 203.36 22.60 3.67 229.63 Lock -Lid Bin Change Out 101.48 11.28 0.00 112.76 Lock -Lid Ongoing Service 11.19 1.24 0.00 12.43 Temp Bins 211.37 23.49 0.84 235.70 Extra Dumps Perm or Temp - same day 77.15 8.57 0.84 86.56 Extra Dumps Perm or Temp - other day 110.03 12.23 0.84 123.10 Roll -Off Per pick-up - Actual MRF costs 526.72 58.52 7.73 592.97 Aaea Optional Additional Senxtce Rates- S!ledlvehily 1.2022 Optional Additiondservices Proposed Not Rate Franchise Fee A5939Fee Proporvd Raq AO Accounts: Declined Payrnent {any reason) S 26.S5 5 29S 5 S 29.50 AP Accounts: Late Fees ( L5% of past due balance per month, minimum fee) S &31 S 0.59 $ 5 5.90 AO Accounts: Stand Time (each delay of 15 minutes) 5 37.17 S 4.13 5 5 41.30 AO Accounts: Stop Service and/or Resume Service S 26LSS S 2.95 5 5 29.50 AO Accounts: Container Repair (per hour, exclutd S 97.91 S 10.88 S S t08.79 Permanent Bin Accounts: Bulky Rem Pick • Rat Item or Dead -Run on Scheduled Bulky Item Collection $ 26,55 S 2.9S $ 5 29.SO Permanent Bin Accounts: Bulky Item Pickup - Each Additional Bulky Item after First Item S 15.93 S 1.77 S $ 17.70 Permanent Bin Accounts: &n Exch a with Metal lid; S 203.19 S 22.58 $ $ 225,77 Permanent Bin Accounts: Custom Bin Fabrication (per cubit r S 319.59 S 34.S1 5 S 345,10 Permanent Bin Accounts: On -Call Bin Rental or Tipping Bin Rental (per month) $ S6.24 S 6.25 $ $ 62.49 Permanent & Temporary Bin Accounts: Delivery,Exchange, Size Exchange, Removal Wash -Cut S 83.90 S 9.31 S S 93.11 Permanent & Temporary Bin Accounts: Dead-Ru Go -Back, Excess Waste Excess Weight S 63.72 S 7.08 S S 70.90 Permanent & Temporary Bin Accounts: Bin Exchange • Burned Bin S 758.OS S 84.23 S 5 84228 Permanent & TqMparary Bin Accounts: Push Out or Scout Service(per bin x frequency) S &37 S 0.71 S S 7.09 Permanent & TerVorarV Sin Accounts: Sin Enclousure litter Clean -Up (per enclosure) S 26.32 S 2.92 5 5 29.24 Permanent & Temporary Sin Accounts: Bin Enclousure Pressure Washing (per hour, 1 hour minimum) S 7&96 5 &77 5 5 87.73 TempocarV Bin Accoursm 3 Cubk Yard C& D B1n r Uft - includes 7 days rental S 310.59 S 34.51 S S 345.10 Temporary Bun Accounts: Demurrage (per day no dump in 7 d 5 5.31 S 0.59 5 Is 5.90 Permanent Cart Accounts: Cart Replacement {customer damage, stolen) S 94.76 S 10.53 S 5 105.29 Permanent Cart Accounts: Delivery, Exchange, Size ExcitanBring in Wash4kn S 23.34 $ 2.59 S 5 25.93 Permanent Can Accounts: Dead -Run Go -Bach Excess Waste, UcessWeight, Extra Pick -Up S 23.54 S 2.62 5 5 26.16 Permanent Cart Accounts: Rol) -Out Service (per month) S 2LO6 S 234 S 5 23.40 Pennanm Can Accounts: Can Wash -out Service (includes three cans) S 21.06 S 2.34 S 5 23.40 Permanent Cart Accounts: Cat Wash Out Service (each cart over three carts) S 5.26 S 0.58 S S 5,84 Rol) Off Accounts. Overw t (in addition to disposal charges for each load exceeding 10 tons) S 104.23 S 1158 5 5 M81 Ro001fAccounts: Del Brf •irt Dead -Run, Go -Back Rebnti Same Expedite 5 10212 S 1135 5 5 113.47 Rol Off Accaatts: Rol -Top Lid Rental (per month) S 54.26 S 6.D3 5 $ 6029 Rol•OffAccounts: Open -Top Box or Storage Box Rental (per month) 5 11L48 S V-50 5 $ 124.98 Roll -Off Accounts: Compactor Rental moat S SOFA t5 S 56.24 S $ 56239 ROD Of! AccamtS: Plastic Uner S 41.06 S 4.56 $ S 45,62 RolOff Accounts: Certificate of Destruction 5 47.38 S 5.26 S $ S264 Rol•OffAccounts: `Rocket Lawcher'SerAce(per hots for actual hours billed by subcontractor) S 14LOS S 15.68 $ S tS6 76 Rog -Off Accounts: Demwn a on Hauler -Owned Containers (per day - no hands in 30 days) S 12.74 S 1.42 5 $ 14.16 RoIOHAccowts: Compactor Wash -Oust S 20&09 S 23.12 $ S 231.21 Ali Accounts: Organic Container Contamination - First offense During Program Implementation Phase S 47.38 S 5.26 S 5 5264 All Accounts: Organic Container Contamination - Second Offense Durtrq Program implementation Phase S 94.76 S 10.53 S S 10&29 All Accounts: Organic Container Contamination - Third Offense During Pro am implementation Phaso S 236.89 S 26.32 S S 263.21 All Accounts: Organic Container Contamination . First Offense During Program Enforcement Period S 94.76 S W.53 5 $ 105,29 All Accounts: Organic Container Contamination - Second Offense During Program Enforcement Period S 189.51 S 21.06 S S 21QS7 All Accounts: Organic Container Contamination - Third Offense During Program Enforcement Period S 473.78 S 52.64 S S 526,42 NOW. All rates an "per occurrence" • uNess noted athemise.