4.8. SR 10-18-1999
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Item 4.8.
MEMORANDUM
River
TO:
MAYOR AND CITY COUNCIL
FROM:
STEPHEN ROHLF BUILDING &
ZONING ADMINISTRATOR $"~
DATE: OCTOBER 18,1999
SUBJECT: RENEWAL OF AGREEMENTS FOR
RESIDENTIAL GARBAGE, REFUSE
AND RECYCLING COLLECTION
The agreements for residential refuse and recycling collection in the City of Elk River
expire on October 31, 1999. The city currently contracts with three haulers: Browning-
Ferris Industries (BFI), Randy's Sanitation, Inc., and Corrow Sanitation. A copy of one
of these identical contracts is attached. There is also a map attached to this memo
showing the territory of each hauler.
Staff and the haulers have reached a recommended agreement on the renewal of their
contracts. The major changes in the new contracts are as follows:
.
. Recyclables will be picked up weekly versus biweekly (starting 1/1/00),
. a 60 gallon container will be an added service (starting 1/1/00); this container will
offer an alternative to the 90 gallon for people who faithfully recycle, but still can
not fit into a 32 gallon can,
. the new contract has specific language regarding the Elk River Landfill, if the city
should decide not to have its refuse go to the Refuse Derived Fuel Plant,
. a 3 percent or more increase in the CPI in a given year triggers an automatic
review of what the city pays the haulers, but not an automatic increase in their
pay, and
. the contract period is proposed to be extended from three years to five.
The following are the current and proposed prices paid to the haulers each month to pick-
up each size container:
Container size
32 gallon biweekly
32 gallon weekly
60 gallon weekly
90 gallon weekly
2-90 gallon weekly
Current
$9.40
$9.40
Proposed
$9.10
$9.20
$9.30
$9.40
$10.50
new
$9.40
$10.00
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13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330. TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425
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Recommendation
Staff is satisfied with our negotiations with the haulers regarding the proposed contracts.
The city gained a 60 gallon container size, weekly recycling, and held or reduced the
prices paid to the haulers. To do weekly recycling, haulers like Corrow will need to
purchase an additional truck at over $100,000. Due to this investment, the haulers
wanted a five year contract instead of three.
The three haulers doing the city's residential pick-up have done a good job. The city
receives a minimal number of complaints that the haulers respond to in a timely manner.
Staff heartily recommends approval of the proposed contracts.
Residential Fees
Once these contracts are finalized, staff can make a recommendation on the prices paid by
residents for refuse collection. Staff anticipates this issue being before the Council at
their November 8, 1999 meeting.
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CITY OF ELK RIVER
AGREEMENT FOR GARBAGE, REFUSE AND RECYCLING COLLECTION
November 1,1999 through October 31,2004
- AGREEMENT made as of
,1999, between the CITY OF ELK RIVER,
MINNESOTA, a Minnesota municipal corporation (City) and CORROW TRUCKING AND
SANITATION, INC., a Minnesota Corporation (Contractor),
RECITALS
WHEREAS, the City requires the collection and disposal of garbage, rubbish and
recyclables from residences in the City of Elk River; and
WHEREAS, it is the intent of the City to establish a volume-based collection system of
garbage, rubbish, and recyclables that encourages recycling and discourages disposal; and
WHEREAS, the Contractor is a licensed hauler in the City of Elk River engaged in the
business of collecting and disposing of garbage, rubbish and recyclables; and
. WHEREAS, the City desires to hire these services of the Contractor and the Contractor
desires to provide these services to the City; and
WHEREAS, the City currently has a contract with Sherburne CG>unty pursuant to which
the City has agreed to deliver all residential waste collected in the City to the Elk River Resource
Recovery Facility (ERRRF) owned and operated by NRG Energy, Inc., and to pay NRG directly
for all City waste managed at the ERRRF; and
WHEREAS, the City's current contract with Sherburne County will end prior to the
expiration of This Agreement and may not be renewed.
NOW, THEREFORE, it is agreed by and between the parties:
1. PURPOSE OF CONTRACT
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The Contractor shall collect all garbage, refuse and recyclables 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 weekly basis (or on a biweekly basis for those
customers with biweekly 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.
II.
TERM OF CONTRACT
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The term ofthis Agreement shall be a period offive (5) years commencing November 1,
1999.
The City and the Contractor may agree to extend the term of this beyond the original term
- upon such terms and conditions, and for such length of time, as the parties shall mutually
agree in writing.
III. DEFINITIONS
For purposes of this Agreement, the following terms shall have the following meanings:
"Additional collection service" shall include all items that are collected in excess of the
maximum volume allowed for a dwelling unit.
"Cart" means a 90-gallon, 60-gallon or 32-gallon receptacle with wheels supplied by the
Contractor used to contain garbage or refuse.
"Collection service" means a private operation engaged in collection and transportation of
refuse, yard waste and recyclables.
"Day-Certain collection" day-certain collection is a City-approved plan for weekly
collection services by an established day-certain schedule. This schedule requires refuse
and recyclable collection on the same day of each week and is based on a five (5) day,
Monday through Friday, working week. The only exceptions to the "day-certain" plan
shall be during those weeks in which legal holidays occur.
"Designated Area" is that area within the City of Elk River identified on Attachment A
as: "Corrow" for which the Contractor is responsible for collections within the scope of
this Agreement. In consideration of the exclusive collection rights for the area set forth in
Attachment A, subject to the terms of this Agreement, Contractor acknowledges it is
prohibited from the collection of garbage, refuse and recyclables from residential
properties having four or less dwelling units in a single building outside the "Designated
Area" within the corporate limits of the City.
"Dwelling Unit" means a separate dwelling place with a kitchen or area for the
preparation of food.
"ERRRF" means The Elk River Resource Recovery Facility.
"Facility" means the ERRRF, Elk River Landfill, or any other solid waste disposal
facility approved by the MPCA.
"Garbage" means animal and vegetable waste resulting from the handling, preparation,
cooking, service, and consumption of food.
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"Hazardous Waste" means waste defined as hazardous by State or Federal law, rules and
regulations, including but not limited to 42 U.S.C. S 6903(5), and regulations interpreting
such act, or in Minnesota Statutes S 116.06, subd. 13, and regulations interpreting such
statute, but not 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.
"Recyclables" are reusable or reprocessable materials approved and agreed to by the
parties hereto. 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 and compost.
"Recycling container" means a container supplied by the City to the dwelling unit to
place recyclable material in for collection.
"Refuse" is putrescible and nonputrescible solid waste from residences including garbage
and rubbish, and specifically excluding yard waste, recyclables, and toxic and hazardous
wastes. Refuse further excludes industrial, commercial, agricultural, and construction
garbage or rubbish and wastes.
.
"Rubbish" means inorganic solid waste, including ashes, consisting of both combustible
and noncombustible wastes, such as wood, bedding, crockery, and other nonreusable
waste. Rubbish also includes nonrecyclable types of glass, paper, cardboard, and metal
cans.
"Unacceptable waste" means waste delivered in quantities to the Facility which, as
determined by the State, County, City or Facility, may pose a threat to health or safety, or
to the environment, or may cause damage to, or materially adversely affect, the operation
of a Facility, including but not limited to: incinerator ash; foundry sand; explosives;
hospital, pathological and biological waste; hazardous waste, chemicals and radioactive
materials; oil sludges; asbestos in identifiable quantities; cesspool or other human waste
other than that contained in disposables diapers; sewage and other highly diluted, water-
carried materials or substances and those in gaseous forms; human or animal remains;
street sweepings; ash; mining waste; sludges; demolition debris; hazardous refuse of any
kind, such as cleaning fluids, crank case oils" cutting oils, paints, acids, caustics, poisons,
drugs and such other materials as may be specified in writing from time to time by the
City, County, State, or Facility.
"V olume-based" refuse and garbage collection means the maximum limit of garbage and
refuse a dwelling unit is permitted to dispose under the base refuse rate.
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"White goods" are large household items including refrigerators, stoves, dishwashers,
washers and dryers, water heaters, carpeting and padding, mattresses, chairs, couches,
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tables, and such other items of furniture which are too large for one person to pick up.
SCOPE OF CONTRACT
A. Collection Service
1. Garbage and Refuse Collection
(a) All occupants of residential properties consisting of four or less
dwelling units in a single building in the City shall be required by
ordinance to keep garbage or refuse in a cart container of 90, 60 or
32 gallons.
(b) Cart containers are to be furnished and maintained in good
condition by the Contractor. Actual service needs are to be
determined by volume accumulations as judged by the City Code
Enforcement Officer, upon review with the Contractor.
(c) Garbage and refuse collection shall not include hazardous waste.
(d)
Garbage and refuse cart containers shall be placed at the curb on
collection day, in a location easily accessible to motor vehicle
pick-up. Containers must be placed properly for pick-up" prior to
6:00 a.m. and cannot continue past 7:00 p.m. on the day of
collection to insure service.
(e) Door step service will be provided by the Contractor at the
direction of the City for elderly and disabled customers.
(f) The Contractor shall not be required to pick up refuse or be
compensated for those households within the designated service
area that operate as legal, permitted home occupations.
(g) The Contractor will provide biweekly low volume collection
services for 32 gallon container users, and two 90 gallon containers
for large volume users, at the direction of the Recycling
Coordinator at the rate set forth in Attachment B.
(h)
Garbage and refuse in excess of the designated volume-base per
dwelling unit will be subject to additional collection service
charges and will be billed separately by the Contractor. Contractor
shall be responsible for advising City of addresses which
consistently have excess amounts of garbage and refuse, and City
will determine whether to increase the container size for that
address. Collection service for white goods and large items must
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(k)
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have prior arrangements with the Contractor for collection. The
prices to be charged to residents for additional collection services
shall be as set forth in Attachment C.
(i)
Garbage containers and recycling bins will be dropped off at new
accounts by the Contractor within three (3) business days of
notification by the City Utilities Department. Such notification
must be in writing or by facsimile.
G)
The Contractor shall deliver all garbage and refuse it collects under
this Agreement to the ERRRF, unless otherwise directed by the
City, Sherburne County or the ERRRF. In the event that
Contractor is directed by City to a Facility other than the ERRRF
or The Elk River Landfill, the Contractor shall be credited $1.00
per mile by the City for the round trip mileage between the ERRRF
and the back-up Facility.
Unless otherwise directed by City, Contractor shall, upon delivery
of garbage and refuse to the ERRRF or other designated facility
give the Facility operator a load report on a form acceptable to
Sherburne County that provides information concerning the load as
may be required by the County. The Contractor shall also provide
the City, on a monthly basis, with receipts showing the weight of
garbage and refuse delivered to the ERRRF under this Agreement,
or any other Facility to which garbage and refuse collected under
this Agreement is delivered.
(1) The Contractor shall not deliver any Unacceptable Waste to a
Facility, nor shall the Contractor mix any unacceptable Waste with
garbage and refuse collected under this Agreement. If the
Contractor is uncertain whether certain waste is unacceptable,
Contractor may request a determination from the Facility by
submitting a "Pre-delivery Waste Evaluation" request in
accordance with procedures established by Sherburne County.
(m) If a Facility has a reasonable basis to believe that garbage and or
refuse 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. In the event
garbage or refuse is rejected by the Facility, and the Contractor
disagrees with a decision by the Facility to reject a load of garbage
or refuse, the Contractor shall have the right to present information
to the County, the Facility, and the City in support of its claim.
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The claim will then be resolved by the City, County and Facility.
2.
Recycling Collection
(a) Recycling collection shall take place weekly (biweekly for
customers with biweekly collection accounts) for each dwelling
unit. The schedule shall be consistent with the weekly schedule of
the refuse 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 ina single building in the City will be provided
recycling containers by the City for the recyclable materials agreed
upon by the City and the Contractor.
(c) Collection will be from the curbside. At a minimum, collection
must be for newspaper, magazines and catalogs, glass containers,
aluminum, tin cans, cardboard and plastics. If mutually agreed
upon, other materials can be added such as other types of paper and
metal.
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(d)
The Contractor shall not mix other types of refuse or inorganic
materials with the recyclables or take any action so as to ~make the
recyclable material unacceptable to the operators of the recycling
center.
(e) The Contractor shall provide monthly reports to the Cityfor all
materials collected. The required information includes the market,
the receipts, and the net weight and type of material.
B. Service Schedule
1. All collection service shall be conducted between the hours of 6:00 a.m.
and 7:00 p.m., Monday through Friday, except when an emergency shall
exist, at which time the Contractor shall notify the City of such emergency
conditions. The Contractor may perform collection services on Saturday
when a holiday falls on a weekday.
2.
Collections shall be done during Monday through Friday (both inclusive)
in accordance with a schedule of pick-ups to be established by the
Contractor and submitted in writing to the City Administrator for prior
approval. The schedule shall include the areas in which pick-up will be
made each day of the week and how many vehicles will be used in the
area. Each dwelling unit shall have its refuse collected a minimum of once
a week, except those dwelling units for which the City Council has
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approved biweekly pick-up.
(a) The Contractor may request a change in the day of pick-up by
requesting such change in writing to the City at least twenty-one
(21) days prior to the proposed date the requested change is to take
effect. A change shall be effected only upon authorization from
the City and fourteen (14) days' notice to the residents.
(b) The Contractor shall bear all costs involved on notifying residents
of approved schedule changes.
(c) The Contractor may request a change in the route schedule by
requesting such change in writing to the City at least thirty (30)
days prior to the proposed date the requested change is to take
effect. A route change shall be effected only upon authorization
from the City.
3.
The Contractor shall not be required to make regular collections on New
Year's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving
Day, or Christmas Day (the Holidays); provided, that the Holiday falls on
a weekday, it will be the only day on which routes are not collected.
When a Holiday falls on a weekday, the Contractor will collect the routes
for the designated day the following day for the rest of the week:
Specifically, if a Holiday falls on a Monday, the Monday routes will be
collected Tuesday, the Tuesday routes will be collected on Wednesday and
so on through Saturday of the week during which the Holiday falls. It
shall be the Contractor's responsibility to notify residents of any changes
in the collection schedule as a result of said Holidays.
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4. Only such pick-ups shall be made as have been authorized by the City, and
the Contractor shall not be entitled to payment for any pick-up(s) made
and not authorized by the City.
(a) In the event that a dwelling unit has been authorized for refuse
service and the City wishes to discontinue such service at such
residence, the City shall notify the Contractor to that effect at least
one week prior to the date of discontinuance of such service.
(b) When the City notifies the Contractor, in writing 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.
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5.
The City reserves the right to improve any street or alley which may
prevent the Contractor from traveling his/her accustomed route or routes
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for collection. The Contractor shall contact the Building and Zoning
Administrator prior to each construction season to determine areas of
conflict and possible alternate routes or solutions. No additional
compensation will be made for this interference.
6.
The City reserves the right to adjust the "Designated Area" identified in
Attachment A at the time of renewal of this Agreement.
C. Performance of Collection
1. Equipment
(a)
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The Contractor shall make all collections of garbage, refuse, and
recyclables in water-tight metal receptacles or vehicles with closed
tops so constructed that their contents will not leak, spill, or scatter
therefrom. Should any garbage, refuse, compost, or recyclables be
dumped or spilled in collecting or transporting, it shall be
immediately cleaned up. A broom and shovel in good usable
condition should be placed and maintained on each vehicle for this
purpose. Receptacles and vehicles shall be kept clean and as free
from all offensive odors as possible and shall not be allowed to
stand in any street, alley, or other place longer than is reasonably
necessary to collect garbage and refuse.
(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 vehicles.
(c) The Contractor shall keep all equipment used in the performance of
the work in good operating condition and in a clean, sanitary
condition, shall thoroughly disinfect each vehicle at least once a
week unless the same has not been used since the last disinfection
thereof, and shall thoroughly inspect each vehicle as necessary.
They shall be equipped to meet all federal, state, and municipal
regulations concerning vehicles used on public roads and
maintained to meet these standards. Equipment is subject to
periodic inspection by the City.
(d)
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The Contractor shall furnish the City with a written description of
all vehicles and equipment to be used within the City of Elk River
and in the performance of this Agreement and shall advise the City
in writing of any withdrawal of a part of such equipment or of any
change therein within one week of the time of making such change.
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(e)
Each collection vehicle shall have a flashing light warning system,
fire extinguisher, and proper back-up alarms as approved by the
City.
2. Personnel 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 and Agreement.
(b) The Contractor's employees shall handle all containers with
reasonable care t6 avoid damage, replace the containers in an
upright position on the boulevard adjoining the curb, and dispose
of any contents which may be spilled properly. The Contractor's
employees will also report to the Contractor any violations of
regulations as they observe in the performance of their work.
Employees shall be sober at all times in the performance of their
duties, be of a presentable appearance, perform work in a neat and
quiet manner, and at all times be courteous to the public.
3. Supervision
.
(a)
A full-time superintendent of collections shall be employed by the
Contractor and shall be the representative of the Contractor under
this Agreement. The superintendent shall be on the job during
normal hours of collection operations and shall maintain proper
schedules for collection. The superintendent shall have
supervisory duties which shall include servicing of complaints.
(b) All services to be performed for the City by the Contractor
pursuant to the terms of this Agreement shall be supervised by
such employee, agent, or officer of the City as the City
Administrator shall designate. The designated inspector may have
access to all of the Contractor's Elk River records and equipment at
reasonable times.
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 of8:00 a.m. and 4:30 p.m., Monday through Friday,
except holidays and as specified in the Agreement. Address and
telephone number of such office and any changes shall be given to
the City in writing. Verified failure to make a pick-up, or follow
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up on a complaint shall be cause to deduct $15.00 as liquidated
damages from the monthly payment by the City.
(b)
Whenever the City or a resident notifies the Contractor of a
location which has not received scheduled 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.
5. Legal Compliance
(a) The Contractor shall comply with the ordinances of the City and
the laws and regulations of Sherburne County and the State of
Minnesota and their agencies relating to sanitation and collection
of garbage and refuse in effect during the term of the Agreement.
(b)
The Contractor shall report all violations of ordinances pertaining
to garbage and refuse collection and disposal for enforcement
purposes, including all unsanitary and filthy conditions, to the City
Code Enforcement Office.
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6. Safety
The Contractor shall provide and maintain all sanitary and safety
accommodations for the use and protection of its employees as may be
necessary to provide for their health and welfare and comply with federal,
state, and local codes and regulations, as well as those of other bodies and
tribunals having jurisdiction. Employee safety and sanitation facility
regulations are set forth in Minnesota Statutes 182 and in the Department
of Labor and Industry's Labor Safety Code (LISC 73-75).
D. Payment
1. The City will compensate the Contractor, according to the rates set forth in
Attachment B, for collection of garbage, refuse, and recyclables upon the
basis of the number of dwelling units serviced each week, by a volume-
based method. The actual number of dwellings serviced shall be
determined from the invoices issued by the City to customers for refuse
service for that service month.
2.
The total number of residential units in the City as of August 1, 1999, is
agreed to be 4,344 residential units. Additions or deductions in the
number of units collected shall be subject to verification and agreement
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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 weekly basis.
(b) The City will notify the Contractor of the dwelling units that make
changes in their billing rate.
(c) New accounts will be divided equally between the City's three
collection districts on an annual basis. The new accounts will be
counted annually, but will not be adjusted unless there is a
difference of more than 50 accounts.
3. During the period of the Agreement, the City will pay to the Contractor
such compensation on or before the 15th of each month for garbage, refuse
and recyclable collection service performed by the Contractor. The
compensation shall be for the collection service billed during the
preceding calendar month in accordance with the directions from the City
Administrator.
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4.
Tipping fees charged by the ERRRF for garbage and refuse delivered to
and accepted by the ERRRF pursuant to this Agreement shall be paid
directly to the ERRRF by City, until such time as City shall notify
Contractor of an alternate arrangement. Tipping fees paid to any Facility
other than the ERRRF shall be paid by Contractor, unless other
arrangements are made in advance with City and City will reimburse
Contractor the lesser of actual tipping fees paid or the then current tipping
fees at the ERRRF. City shall have the right, upon 15 days written notice,
to have Contractor pay tipping fees to the ERRRF also. All tipping fees
paid to ERRRF will be reimbursed by City unless City has directed that
refuse be delivered to a different Facility.
5. Price.
.
The base dwelling unit price paid by the City to the Contractor shall be as
established in Attachment B to this Agreement. Beginning on November
1,2000, and on each November 1 thereafter for the duration of this
Agreement, the City and the Contractor shall meet to jointly review the
terms of this Agreement, including the payment schedule outlined in
Attachment B, to determine if any adjustments are needed. However,
nothing in this clause or Agreement shall obligate the City to increase
payment to the Contractor as a result of such meetings.
6.
Additional collection services.
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Charges for pick-up of additional items and for additional 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 will be
established in Attachment C to this Agreement.
7.
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
1. The Contractor shall keep complete and accurate records in accordance
with generally accepted accounting practices.
2. Payment and Collection for Services
(a) The City shall bill and collect monies due from residents for base
collection service.
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(b)
The Contractor shall be responsible for the billing of additional
collection services to the dwelling unit.
3.
The Contractor shall supply all labor, material, and equipment necessary
for the carrying out of the Agreement.
4.
Insurance
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During the entire period of the Agreement, the Contractor shall maintain,
at its cost and expense, and file with the City, policies or certificates of
Workers' Compensation and Liability Insurance. Minimum insurance
policy coverage requirements are $500,000 bodily injury per person,
$1,000,000 aggregate per occurrence, and $50,000 property damage. All
policies evidencing insurance required by this paragraph shall name the
City and the Contractor as named insureds, and shall insure the City and
the Contractor by reasons of any act or omission, including negligence, of
the Contractor or of the Contractor's employees or agents in connection
with the performance of this Agreement, including claims arising out of
the use of or operation of any vehicles used by the Contractor or the
Contractor's employees or agents in performing this Agreement. Such
policies shall be in form and content satisfactory to the City Attorney and
shall be filed with the City Clerk. A certificate showing that the
Contractor has in effect the aforesaid insurance covering both the
Contractor and the City shall be filed with the City Clerk within ten (10)
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days from the execution of the Agreement, and yearly thereafter, at least
thirty (30) days prior to the date of the expiration of said policies of
insurance for each year of the Agreement. All of the foregoing policies
shall be issued by an insurance company or companies licensed to do
business in the State of Minnesota and authorized to assume the risks
covered thereby. Memorandum policies and receipts for the payment of
premiums shall be filed with the City showing payment of premiums for at
least one year in advance and on each renewal date provided therein.
5.
Performance Bond.
(a)
Bond. The Contractor shall execute and deliver to the City a
performance bond in the sum of $1 00,000 conditioned upon the
faithful performance of the Agreement. In addition, to further
protect the City in the event the Contractor fails to properly
perform under the Agreement, the Contractor shall pledge to the
City all receivables collected by the City and not paid to the
Contractor, and all receivables not yet collected by the City. This
Agreement shall not become effective until such bond has been
delivered to the City in form acceptable to the City Attorney and
has been accepted by the City. Such bond shall be filed with the
City Clerk within ten (10) days from the execution of this
Agreement and shall remain in effect until the expiration of this
Agreement.
(b) Performance Guarantee. In lieu of providing a performance bond
or bonds with the City of Elk River, the Contractor shall guarantee
performance of this Agreement by delaying the billing of services
to the City until the 15th day of the month following the month in
which collection services were rendered by the Contractor. The
City may withhold payment from the Contractor for failure to
perform pursuant to this Agreement.
(c) Remedy. In the event the Contractor fails to properly perform
under this Agreement, the City may take whatever action is
necessary to secure substitute garbage and refuse collection for the
remainder of the Agreement term, and may use the proceeds of the
bond and/or receivables mentioned above to pay for the difference
between the rates provided by the Agreement and the actual cost of
such substitute service subject to Section IV.E.1 O.(a).
6.
Indemnification.
The Contractor agrees to indemnify and hold harmless the City, its agents,
officers, and employees from any and all claims, causes of action,
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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 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 connection 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.
7.
Guaranty of Nondiscrimination.
The Contractor agrees that during the life of the Agreement, the Contractor
will not, within the State of Minnesota, discriminate against any employee
or applicant for employment because of race, color, creed, national origin
or ancestry, or sex, and will include a similar provision in all subcontracts
entered into for the performance thereof. The Agreement may be
cancelled or terminated by the City, and all money due or to become due
may be forfeited for a second or subsequent violation of the terms or
conditions of this paragraph. This paragraph is inserted in the Agreement
to comply with the provisions of Minnesota Statutes, S 181.59.
8.
Assignment and Transfer.
(a) The Contractor will not make or create, or suffer to be made or
created, any total or partial sale, assignment, conveyance, or lease,
or any trust or power, or transfer in any other mode or form of or
with respect to this Agreement or any part thereof or any interest
therein, or any Agreement or agreement to do any of the same,
without the prior written approval of the City, which approval will
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:
1) 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
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interest of the residents of Elk River; and
3)
Any proposed transferee, by instrument in writing
satisfactory to the City for itself and their successors and
assigns, and expressly for the benefit of the City, have
expressly assumed all of the obligations of service under
this Agreement and agreed to be subject to all the
conditions and restrictions to which service is subject. It is
the intent of this Section IV.E.8., 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 change with respect to,
ownership or any part thereof, 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.
9. Payment of Subcontractors and Employees.
The Contractor shall promptly pay all persons doing work or furnishing
skills, tools, machinery, or materials or insurance premiums or equipment
or supplies and all just claims for such work, material, equipment,
insurance, and supplies in and above the performance of this Agreement.
10. Termination.
(a)
.
If the City determines that the Contractor is in violation of the
terms of this Agreement, a written notice will be sent to the
Contractor allowing ten (10) days to comply. Failure by the
Contractor to comply with the Agreement by the end of the 10-day
period will result in cause for the City to terminate this Agreement
by written notice to the Contractor.
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(b)
Upon failure of the Contractor to fulfill any of the provisions of
this Agreement, the City Administrator shall be authorized to hire
such personnel equipment, or assign City employees and
equipment, as may be necessary to do such work and the cost of
such expenses thereof may be charged and deducted from any
monies due the Contractor, collected from the Contractor, or
collected by recourse to the Contractor's bond or financial
guarantee instrument submitted subject to Section IV.E.I0.(a).
11. Entire Agreement.
This Agreement with Attachments A, B and C, incorporated herein by
reference, is the entire agreement between the parties. No modification of
this Agreement shall be valid or effective unless made in writing and
signed by the parties hereto.
.
.
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.
.
IN WITNESS WHEREOF, the City of Elk River and Corrow Trucking and Sanitation,
Inc., have executed this Agreement the day and year written below.
CORROW TRUCKING AND SANITATION, CITY OF ELK RIVER
INC:
By: By:
Henry A. Duitsman
Its: Mayor
By:
Patrick D. Klaers
Its: City Administrator
Date:
Date:
-17-
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.
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CERTIFICATES OF ACKNOWLEDGMENT
STATE OF MINNESOTA )
) ss.
COUNTY OF SHERBURNE )
On this _ day of ,1999, before me personally appeared
, to me known, who, being duly sworn, did say he is the
of Corrow Trucking and Sanitation, Inc., and acknowledged that he
executed the same as his free act and deed.
Notary Public
STATE OF MINNESOTA )
) ss.
COUNTY OF SHERBURNE )
On this _ day of , 1999, before me personally appeared Henry A.
Duitsman and Patrick D. Klaers, to me personally known, who, being duly sworn, did Say they
are the Mayor and City Administrator of the City of Elk River, Minnesota, and acknowledged the
instrument to be the free act and deed of said corporation.
Notary Public
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.
.
SPECIFICATIONS
ATTACHMENT B
During the period of the Contract, the base dwelling unit price for refuse, garbage, and
recyclables will be paid by the City to the Contractor monthly the following rate for each
dwelling unit of pick-up service:
Two 90 Gallon 60 Gallon 32 Gallon 32 Gallon
90 Gallon
(Weekly (Weekly (Weekly (Weekly (Biweekly
Collection) Collection) Collection) Collection) Collection)
Refuse and Garbage Collection 7.50 6.40 6.30 6.20 6.10
Recycling Collection 3.00 3.00 3.00 3.00 3.00
Total Dwelling Unit Rate 10.50 9.40 9.30 9.20 9.10
PXB 102656
.
.
.
1.
2.
3.
4.
5.
6.
7.
/8.
9.
A TT ACHMENT C
TO
ELK RlVER REFUSE SERVICE CONTRACT
Charges for Special Collection of Additional Items
(Based on Curbside Pick-up)
Item
Auto car seat - single
Auto car seat - bench
Mattress or box spring
Carpet and/or pad
Chair (lazy-boy style)
Couch
Hide-a-bed
Bathtub
Gar13ags (OV@f 32, ~Q Of 9Q gallm:J.lim.it)
Other items and charges for pick-up from other
than curbside
Charge
$ 9.00
$15.00
$10,00 per item
$1.00 per sq. yd.
$20.00
$20.00
$20.00
$20.00
$2. 50 per bag
As negotiated between Contractor
and property owners
All items identified above must be pre-scheduled with Contractor so as to provide prop'er
equipment and manpower with payment attached to said item(s). The Contractor shall pay
collection and disposal costs for these items.
GP:6I5654 vI
PXB 102656
- . , -
.
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