6.4. SR 07-09-2012REQUEST FOR ACTION
TO ITEM NUMBER
~Ia~or and Cirn Council 6.-1
AGENDA SECTION MEETING DATE PREPARED BY
~Crork Session Jul~r 9, 2012 Rebecca Haug, En~-ironmental
administrator
ITEM DESCRIPTION REVIEWED By
Residential Garbage and Rec~clii~g Contract Renewal (;al Portlier, Cit<- administrator
Tim Simon, Finance Director
REVIEWED BY
Peter Beck, City ~ttornei
ACTION REQUESTED
Discuss extending the contracts with _~llied Waste and Rand~'s En~ironmentll Ser~-ices, Inc., to continue
pro~-iding collection sei-~rices to Elk Ri~-er residents.
BACKGROUND/DISCUSSION
The Cit<- of Elk Ri~-er has had an organized garbage collection program since 1991. In the beginning of
the program, the city was divided into tour sections with tour different haulers. 0~-er the gears, the
smaller haulers were bought out b~~ Rand~~s Environmental Sei-~Tices, Inc., and allied ~~aste. The city
currenth has t<vo collection districts ser~-iced b~ these haulers.
The positi~Tes of ha~-ing an organized collection include the ability to contract for a set price, control over
«-here the material is disposed of, less «-ear and tear on cit<- streets kith less thick traffic, and impro~-ed
safetywith fewer tn~cks on the roads.
The contract with the current haulers is due to ezpire on December 31, 2012, and staff has worked with
the haulers to eztend their contracts.
There are se~Teral proposed changes to the contract. The first is a term change from a fire-i ear contract
to 1O ~-ear contract with biennial re~Tiew. The premise behind extending the term is the haulers are able to
keep rates lower and offer additional ser~-ices. The contract does ha~-e language to terminate the
contracts it either part<T is not satisfied with the ser~rices. B~- continuing with the existing contracts, rates
are kept low and the residents will not have their ser~-ices disn~pted.
The second change is a switch from a dual stream recycling program to a single stream recycling program.
Currently, we require residents to separate paper products from plastic containers and place them in
paper bags in their green rec cling bin. R'ith a single sort s~~stem, the residents recei~-e a 32-gallon
container similar in size to their trash container in which all reci clables can be placed for reci cling.
Residents ha~-e requested this set-~rice for manor gears and in manor communities single stream collection
has increased reci cling immensely. The haulers requested a 10- ear contract to offset the in~restment in
new recycling containers.
rawEnlo ar
N:',Public Bodies City l ~tinal'~,Council RCS. agenda Pacbet ~)`-09-30L~,6.~ Garbage Contracts.doc~; ~~~~
The haulers are requesting a three percent rate increase in the even numbered Bears starting in 201-I. The
rec~rcling rates will sta~~ the same for a fi~-e-dear period. In 2013, the prices will increase from X3.00 to
$3.2~ and then in 2018, the prices will increase to ~3.=I9. E~-en with the prices increases, staff will be
able to keep the residents' rates the same due to the cash balance a~railable in the Garbage Fund. The
attached figures are based on current practices and ezpenditl~res. No increases are projected for the ne_Yt
se~Teral dears. _~nnual budget re~riews will determine when rates need to be adjusted.
FINANCIAL IMPACT
Please see the attached spreadsheet.
ATTACHMENTS
^ Draft agreement for Garbage, Refuse, and Recircling Collection
^ Financial Spreadsheet
^ Co~-erage area ~Iap
Q-Ct1011 Motion br Second br Note
Follow Up
N:~~Pubhc Bodies CitcrConn~il~,Counal RC~,_lgenda Pacbet 0 U~) 3U12~,(~.~ Garbage Conhacts.doc~
CITY OF ELK RIVER
AGREEMENT FOR GARBAGE, REFUSE AND RECYCLING COLLECTION
January 1, 2013 through December 31, 2022
This AGREEMENT (Agreement) made as of XXX, 2012, between the CITY OF ELK RIVER,
MINNESOTA, a Minnesota municipal corporation (City) and XXXX., a Minnesota Corporation
(Contractor),
RECITALS
WHEREAS, the City requires the collection and disposal of Garbage, Refuse, Rubbish,
Recyclables and Source Separated Organics (SSO) from residences in the City of Elk River; and
WHEREAS, it is the intent of the City to esta
Refuse, Rubbish, Recyclables and Source Separated
discourages disposal; and
volume-based collection system of Garbage,
cs (SSO) that encourages recycling and
WHEREAS, the Contractor is a licensed hauler
collection and disposing of Garbage, Refuse, Rubbish,
(SSO); and
WHEREAS, the City desires to
provide these services to the
City of Elk River engaged in the business of
ables and Source Separated Organics
of the Contractor and the Contractor desires to
The Contractor shall collect all Garbage, Refuse, Rubbish, Recyclables and Source Separated
Organcs (SSO) set out for collection within the "Designated Area" identified on Attachment A,
all within the corporate boundaries of the City of Elk River, on a weeldy basis (or on a biweel~ly
basis for those customers with biweeldy collection accounts) during the term of the Agreement.
Such collections shall include all residential properties having four or less dwelling units in a
single building by use of individual containers. In consideration of the exclusive collection rights
for the "Designated Area" set forth in Attachment A, subject to the terms of this Agreement,
Contractor acknowledges it is prohibited from the collection of Garbage, Refuse, Rubbish,
Recyclables and Source Separated Organics (SSO) from residential properties having four or less
dwelling units in a single building outside the "Designated Area" within the corporate limits of the
City.
IL TERM OF CONTRACT
The term of this Agreement shall be for a period of ten (10) years commencing on
January 1, 2013.
III
The City and the Contractor may agree to extend the term of this Agreement beyond the original
term upon such terms and conditions, and for such length of time, as the parties shall
mutually agree in writing.
DEFINITIONS
For purposes of this Agreement, the following terms shall have the following meanings:
"Additional Collection Service" means all items that are collected in excess of the maximum
volume allowed for a dwelling unit.
"Day-Certain collection" means the Cir
established day-certain schedule. Tlus
and is based on a five (5) day, Monday
"day-certain" plan shall be during those
ly Collection Service by an
xi on the same day of each week
Neelc. The only exceptions to the
idays occur.
within the City of Ellc River identified in Attachment A as:
is responsible for collections within the scope of this
(welling place with a l~itchen or area for the preparation of
"Garbage" means aiumal and vegetable waste resulting from the handling, preparation, coolang,
service, and consumption of food.
"Hazardous Waste" means waste identified as hazardous by State or Federal law, Hiles and
regulations, including but not limited to 42 U.S.C. § 6903 (5), and regulations interpreting such
act, or in Mimlesota Statutes § 116.06, subd. 13, and regulations interpreting such statute, but not
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including waste excluded from regulation by Minnesota Rules 7045.0120A, as any of the
foregoing may be amended from time to time.
"MPCA" means the Minnesota Pollution Control Agency.
"Source Separated Organics (SSO)" is comprised of food wastes, fish and animal waste, plant
materials, and paper that is not recyclable because the MPCA has determined that no other person
is willing to accept the paper for recycling
"Recyclables" means reusable or reprocessable materials designated by the City. Recyclables
include such items as newsprint, corrugated and ledger paper, glass, plastics, tin cans, aluminum,
used motor oil, batteries, tires, and other metal goods. Recyclables specifically exclude refuse.
"Recycling Container" means a container supplied 1
Recyclables in for collection.
"Refuse" means putrescible and nonputrescible
and Rubbish, and specifically excluding Yard
further excludes industrial, connnercial, agricul
wastes.
dwelling unit to place
waste from residences including Garbage
Recyclables, and Hazardous Wastes. Refuse
and construction Garbage or Rubbish and
"Rubbish" means inorganic solid waste, including ashes,
noncombustible wastes, such as wood, bedding, crockery
also includes nonrecvclable types of Glass, paper, cardbo
"Unacceptable Waste
the MPCA, County,
or may cause damage
not limited to: inciner
fisting of both combustible and
other nonreusable waste. Rubbish
u~d metal cans.
"Volume-based" Collection Service" means the maximum amount of garbage and refuse a
dwelling unit is permitted to dispose under the contract rate.
"White goods" are large household items including refrigerators, stoves, dishwashers, washers and
dryers, water heaters, carpeting and padding, mattresses, chairs, couches, tables, and such other
items of furniture which are too large for one person to pick up.
"Yard Waste" means garden wastes. leaves, la~~m cuttings. ~~~eeds, shrub and tree ~easte and prunings.
IV. SCOPE OF CONTRACT
A_ Collection Service
Garbage, Refuse and Rubbish Collection
occupations.
will provide biweel~ly low volume Collection Services for
ner users and two 90 gallon containers for large volume
action of the Environmental Administrator, at the rate set
Refuse and Rubbish in excess of the designated volume-base per
unit will be subject to additional Collection Service charges as
1) Contractor shall pickup excess Garbage, Refuse and Rubbish in
bags placed outside of the resident's container only if the bag has a
City issued sticker placed on it. Contractor shall be reimbursed
$1.50 for each such bag picked up. Contractor shall be responsible
for advising City of addresses which consistently have excess
amounts of Garbage, Refuse and Rubbish, and City will determine
whether to increase the container size for that address.
Diners shall be placed at the curb on
ssible to motor vehicle pick-up.
pick-up prior to 6:00 a.m. and
av of collection to insure service.
Contractor at the direction of the
and disabled customers.
required to provide Collection Services or be
eholds within the designated service area that
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2) Collection Service for white goods and large items must have prior
arrangements made between the Contractor and resident for
collection. The prices to be charged to residents for these Collection
Services shall be as set forth in Attachment C. These charges will
be billed directly from the Contractor to the resident.
If a Facility has a reasonable basis to believe that Garbage, Refuse and
Rubbish delivered by the Contractor contains Hazardous Waste or other
Unacceptable Waste, the Facility operator may require the Contractor, at
Contractor's expense, to recover and properly manage or dispose of waste
deposited upon the tipping floor which contains Hazardous Waste or
Unacceptable Waste. lit the event Garbage, Refuse and Rubbish is rejected
by the Facility, and the Contractor disagrees with a decision by the Facility
to reject a load of Garbage, Refuse and Rubbish, the Contractor shall have
the right to present information to the County, the Facility, and the City in
support of its claim. The claim will then be resolved by the City, County
and Facility.
2. Recycling Collection
a. Recycling collection shall take place weeldy (biweeldy for customers with
biweeldy collection accounts) for each dwelling unit. The schedule shall be
consistent with the weeldy schedule of the Garbage, Refuse and Rubbish
collection. Daily service hours shall not begin prior to 6:00 a.m. nor
continue past 7:00 p.m.
b. All occupant or resident properties consisting of four or less dwelling units
in a single building in the City will be provided Recycling Containers by the
City for Recyclables.
side. Collection must be for all materials
~ items as paper, new
aluminum, tin cans, c
> (SSO). The City m,
uring the term of this
magazines, and
Ord, plastics, and
mate additional
of refuse or inorganic materials
o as to make the Recyclables
center.
B.
rovide monthly reports to the City of all
squired information includes the market, the
and type of material.
shall be conducted between the hours of 6:00 a.m. and
Hugh Friday, except when an emergency shall exist, at which
ill notify the City Environmental Administrator of such
Collection Services on Saturday when a holiday falls on a
2. Collection Services shall be done in accordance with a schedule of pick-ups to be
established by the Contractor and submitted in writing to the City Environmental Adminstrator
for prior approval. The schedule
shall include the areas in which pick-ups will be made each day of the week and
how many vehicles will be used in the area. Each dwelling uiut shall have its
refuse collected a minimum of once a week, except those dwelling units for which
the City has approved biweeldy pick-up.
a. The Contractor may request a change in the day of pick-up by requesting
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such change in writing to the Environmental Administrator at least twenty-
one (21) days prior to the
b.
c.
fourteen (14) days'
proposed date the requested change is to take effect. A change shall be
effected only upon authorization from the Environmental Administrator and
notice to the residents.
The Contractor shall bear all costs involved on notifying residents
of approved schedule changes.
The Contractor may request a
such change in writing to the _
thirty (30) days prior to the
proposed date the regi
be effected only upon
The Contractor shall not be
Day, Memorial Day, liidepf
Christmas Day (the Holiday
will be the only day on whi
weekday, the Con
day for the rest of
zation
to provide
ie route schedule by requesting
tal Administrator and at least
effect. A route change shall
environmental Administrator.
on New Year's
have been authorized by the City
e Contractor shall not be entitled to payment
the Environmental Administrator.
t that a dwelling unit has been authorized for refuse Collection
1 the Environmental Administrator wishes to discontinue
Services at such residence, the Environmental Administrator
the Contractor to that effect at least one week prior to the date
7uance of such service.
b. When the Environmental Administrator notifies the Contractor, in writing,
e-mail or by facsimile, that the owner or occupant of a residence has refused
service, such service shall be discontinued within one week from the time of
such request.
The City reserves the right to improve or temporarily close any street or alley
which may prevent the Contractor from traveling his/her accustomed route or
routes for collection. The Contractor shall contact the Enviromnental
Administrator prior to each construction season to determine areas of conflict and
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possible alternate routes or solutions. No additional compensation will be due for
this interference.
6. The City reserves the right to adjust the "Designated Area" identified in
Attachment A as provided in this Agreement.
C. Performance of Collection
Equipment
b. All vehicles shall be painted and marked uniformly and shall have the
hauler's name and telephone number prominently displayed in letters of a
contrasting color, at least three inches high, on each side of the velucles.
d. The Contractor shall furnish the Environmental Administrator with a
written description of all vehicles and equipment to be used within the City
of Ells River and in the performance of this Agreement and shall advise the
Enviroiu7lental Administrator in writing on any withdrawal of a part of such
equipment or of any change therein within one week of the time of malting
such change.
e. Each collection vehicle shall have a flashing light warning system, fire
extinguisher and proper back-up alarms as approved by the Environmental
Adminstrator.
2. Persom7el Requirements
a. There shall be no limitation on the size of the hauler's collection crew so
long as they are sufficient to fulfill the requirements of the specifications of
this Agreement.
Supervision
4. Complaints
a. The Contractor shall establish and maintain, in a location approved by the
City, an office with continuous supervision for accepting complaints and
resident calls. The office shall be in service during the hours of 8:00 a.m.
and 4:30 p.m., Monday through Friday, except holidays as specified in this
Agreement. The address and telephone number of such office and any
changes shall be given to the Environmental Administrator in writing.
Verified failure to make apick-up or follow up on a complaint shall be
cause to deduct $15.00 as liquidated damages from the monthly payment by
the City.
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b. Whenever the City or a resident notifies the Contractor of a location which
has not received scheduled Collection Service, the Contractor is required to
service such location no later than the following working day from the time
of complaint. A record of all complaints and action taken thereon shall be
kept by the Contractor and reported monthly to the City. All complaints
shall be answered by the Contractor courteously and promptly.
Legal Compliance
The Contractor shall comply with
regulations of Sherburne County <
agencies relating to sanitation and
Recyclables, and SSO in effect dL
Garbage, Refuse, I
for enforcement pt
the Environmental
nances of the City and the laws and
he State of Minnesota and their
ection of Garbage, Refuse, Rubbish,
.aces pertaining to
collection and disposal
and filthy conditions, to
in all sanitary and safety
on of its employees as may be
welfare and comply with federal,
well as those of other bodies and
safety and sanitation facility
ulesota Statutes, Ch. 182 and in the
stry's Labor Safety Code Rule (LISC 73-75).
D.
mpensate the Contractor according to the rates set forth in
.r Collection Service, based on the number of dwelling units
°ek, by a volume-based method. The actual number of dwellings
determined from the invoices issued by the City to customers for
ce for that service month.
2. Additions or deductions in the number of ants collected shall be subject to
verification and agreement between the City and the Contractor. Such adjustments
may not be made more often than once per month.
a. The City will supply a record of accounts and adjustments to the Contractor
on a weeldy basis.
term of this Agreement.
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b. The City will notify the Contractor of the dwelling uiuts that make changes
in their billing rate.
New accounts will be divided equally between the City's two collection
districts on a bi-annual basis. The new accounts will be counted bi-
annually, but will not be adjusted unless there is a difference of more than
50 accounts.
Pri
dwelling unit pri
6.
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the Citv to the Contractor shall be as
lent B to this Agreement. Beginning on November 1 of each
1e City and the Contractor shall meet to jointly review the
ant, including the payment schedule outlined in Attachment B,
justments are needed. However, nothing in this clause or
;ate the City to increase payment to the Contractor as a result
on Services
Charges for pick-up of additional items and for additional Collection Service shall
be made directly by the resident owner to the Contractor at a rate approved by the
City Administrator. The additional Collection Service price is established in
Attachment C to this Agreement.
State sales tax and surcharges.
The applicable state sales taxes and surcharges shall be billed by City to customers
and paid to the state by City
E. Performance of Agreement
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established in Attac
The Contractor shall keep complete and accurate records in accordance with
generally accepted accounting practices.
2
Payment and Collection of fees for Collection Services
4. Insurance
or agents in c~
on
ent, the Contractor shall maintain, at its cost
ides or certificates of Workers'
Minimum insurance policy coverage
arising out of the use of or operation of any vehicles used by the Contractor or the
Contractor's emI
shall be in form
the City Clerk. ~
insurance coverii
Clerk within ten
thereafter, at leas
of insurance for f
issued by an insu
of Minnesota anc
policies and rece-
showing paymen
date provided therein.
Indennufication
The Contractor agrees to indemnify and hold harmless the City, its agents, officers,
and employees from any and all claims, causes of action, liabilities, losses,
damages, costs, expenses including reasonable attorneys' fees, suits, demands, and
judgments of any nature, because of bodily injury to, or death of, any person or
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persons and/or because of damages to property of the Contractor or others,
including loss of use from any cause whatsoever, which may be asserted against the
City on account of any act or omission, including negligence, of the Contractor, or
the Contractor's employees or agents in coiu7ection with the Contractor's
performance of this Agreement. The Contractor agrees to defend any action
brought against the City on any such matters, and to pay and satisfy any judgment
entered thereon together with all costs and expenses incurred in connection
therewith. The City shall in no way be liable for any claims or charges incurred by
the Contractor in the performance of this Agreement.
6
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Guaranty of Nondiscrimination
Assignment and
a. The Contractor will not make or create, or suffer to be made or created, any
not be unreasonably withheld.
b. The City shall be entitled to require, except as otherwise provided in this
Agreement, as conditions to any such approval that:
total or partial sale, assignment, conveyance, or lease, or any tn~st or power,
or transfer in any other mode or form of or with respect to this Agreement
or any pant thereof or any interest therein, or any agreement to do airy of the
same, without the prior written approval of the City, which approval will
Any proposed transferee shall have the qualifications and financial
responsibility, as reasonably determined by the City, necessary and
adequate to fulfill the obligations undertaken in this Agreement by
Contractor; and
2. The transfer does not create an anti-trust situation in the local refuse
hauling industry that is contrary to the public interest of the residents
of Ells River; and
Any proposed transferee, by instrument in writing satisfactory to the
City for itself and their successors and assigns, and expressly
assumed all of the obligations of service under this Agreement and
agreed to be subject to all the conditions and restrictions to which
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service is subject. It is the intent of this Section IV.E.7., together
with other provisions of this Agreement, that (to the fullest extent
permitted by law and equity and excepting only in the manner and to
the extent specifically provided otherwise in this Agreement) no
transfer of, or any interest therein, however consummated or
occurring, whether voluntary or involuntary, shall operate, legally or
practically, to deprive or limit the City of or with respect to any
rights or remedies or controls provided in or resulting from this
Agreement; and
4. There shall be submitted to the City for review all instruments and
other legal documents involved in effecting such transfer, and if
approved by the City, its approval shall be indicated to the
Contractor in writing. The proposed transferee shall submit to the
City for review all bonds, insurance policies, and any and all other
documents required by this Agreement, and if approved by the City,
its approval shall be indicated to the proposed transferee in writing.
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Payment of Subcontractors and
The Contractor shall promptly pay all persons doing work or furnishing skills,
iii. By the City, if more than five (5) complaints regarding
Contractors performance under this Agreement are
received in one (1) month. In this instance, Contractor
will be put on probation for six (6) months. If any
complaints additional complaint is received during the
six month probation period, tlus Agreement may be
terminated by the City upon written notice to the
Contractor.
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By:
Its:
have executed this Agreement the day and
John J. Dietz
Its: Mayor
Tina Allard
Its: City Clerlc
Date: Date:
By:
By:
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CERTIFICATES OF ACKNOWLEDGMENT
STATE OF MINNESOTA )
ss.
COUNTY OF SHERBURNE )
On this day of , 2012, before me personally appeared
to me know, who, being duly sworn, did say he is the , of XXXX., and acknowledged
that he executed the same as his free act and deed.
Public
STATE OF MINNESOTA )
COUNTY OF SHERBURNE 1
On this
Allard, to me personally
City of Elk River, Minn
corporation.
~rsonally appeared Jolu1 A. Dietz and Tina
they are the Mayor and City Clerk of the
to be the free act and deed of said
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ATTACHMENT C
Charges for Special Collection of Additional Items
(Based on Curbside Pick-Up)
Auto car seat -single $18.00
Auto car seat -bench $18.00
Mattress $18.00
Box S rin $18.00
Car et er s care ard) $0.90
Car et adding ( er s ware and $0.60
Chair, U holstered) $18.00
Couch $20.00
Hide-A-Bed $22.50
Bath tub $20.00
Television u to 27" $45.00
Television over 27" or console $65.00
Other items and charges for pick-up As negotiated between
from other than curbside. Contractor and Property owners
All items identified ab
manpower with paymf
for these items.
to provide proper equipment and
pay collection and disposal costs
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