HomeMy WebLinkAbout2005 S Solid Waste - Waste Industries, LLC. of Durham RFP Award: Urban Curbside Recycling Services Contract
North Carolina Agreement for
Orange County Urban Curbside Recyclable Materials
Collection Services
CURBSIDE RECYCLING AGREEMENT
between
The County of Orange
and
Waste Industries, LLC.
This agreement, entered into this the 1St day of October 2005, by and between the County of
Orange, North Carolina, on behalf of its Department of Solid Waste Management, (hereinafter
"County"), and Waste Industries, LLC. of Durham, North Carolina (Contractor) for the provision of
residential curbside recycling collection services to single family residents, and adjacent small
businesses, schools, churches, and pedestrian recycling stations within residential areas, located
within the Town limits of Carrboro, Chapel Hill and Hillsborough, NC;
WHEREAS,. Waste Industries desires to provide Recycling Collection Services as defined herein;
NOW, THEREFORE, The County of Orange and Waste Industries do hereby agree as follows:
SECTION 1
Defmitions
For purposes of this Contract, the following terms shall apply:
Containers: the subset of Recyclable Materials including glass bottles and jars, aluminum beverage
cans, steel food cans, plastic bottles #1, #2, #3, #4, #5, #6, and #7, and empty aerosol cans.
County: "County" means Orange County, NC, the administrator of this recycling program managed
by its Department of Solid Waste Management.
Fiber: the subset of Recyclable Materials including newspapers and their inserts, glossy magazines,
and phonebooks. Fiber may also include Old Corrugated Cardboard (OCC) and Mixed Paper
(OMP), but at present OCC and OMP are not currently accepted by the Urban Curbside Recycling
Program.
Fiscal Year (FY): shall refer to the time period beginning July 1St of any year and ending June 30th of
the following year. County budget cycle and curbside recycling planning shall be based on this time
period.
Handicap /Disabled: shall refer to citizens of the Towns who, for the purposes of this Contract, will
receive recycling service at their back door or some place other than curbside. County staff will
make the determination as to which citizens are eligible for Handicap collection. Said
determination will be based upon citizen need, as judged by County staff, and shall generally be
based upon the citizen being eligible to receive an handicap parking permit from the NC Division of
Motor Vehicles. Additionally, Handicap /Disabled services shall generally not be granted to
Residences with able-bodied adults in_the household.
Orange County: "Orange County" shall refer to the area within the geographic boundaries of
Orange County, NC.
Recycling Bin: (also known as Recycling Container) Recycling bins made of rigid plastic
construction to be used by residents to set out their Recyclable Materials and provided by County or
future landfill administrative government/organization. County presently provides Residences with
a fourteen (14) gallon Recycling Bin, though County reserves the right to switch to using sixteen
(16), or eighteen (18) gallon Recycling Bins. Contractor shall also accept Recyclable Materials
from any rigid container similar in shape and size to the Recycling Bin provided by County. All
Recycling Bins issued to Residents are provided by and are the property of County. Contractor will
not be expected to deliver bins to Residents or replace damaged bins.
Recycling Collection Services: Those services to be performed by Contractor as follows, except
where otherwise noted in this agreement: (a) the collection of Recyclable Materials from residential
areas specifically designated by the parties; (b) processing of Recyclable Materials which include
the sorting and preparation of Recyclable Materials for marketing at the Processing Center; (c)
marketing of the Recyclable Materials; and (d) keeping accurate and thorough records of the
amount of materials and number of Residences collected weekly.
Recyclable Materials: (also to be known as "recyclables") All newspapers and their inserts, glossy
magazines, phonebooks, glass bottles and jars, aluminum beverage cans, steel food cans, plastic
bottles #1, #2, #3, #4, #5, #6, and #7, empty aerosol cans, and other agreed on materials that are the
subject of this Contract.
Residence: Asingle-family home, duplex, triplex, or otherwise adjoined townhome, or an approved
church, school, small business, institution, or small apartment complex within residential sectors of
the Towns or Orange County. The occupant of a Residence shall be referred to as a Resident.
Segregated Materials: Recyclable Materials placed in or adjacent to Recycling Bin:
Set Out: A Set Out shall be defined as having occurred when a Resident places one or more
Recycling Bins for the Resident's Residence at the curb for collection. When counting Set-Outs for
measuring participation and productivity, Contractor shall count one Set-Out for each Residence
participating in the program. This count will be based on the number of households or Residences
participating, not on the number of Recycling Bins collected. For example, one (1) .Residence
placing two (2) Recycling Bins at the curb shall be considered one (1) Set-Out.
Successor: In the case of a transfer of landfill administration, the future government or organization
that administers the Orange County Landfill.
Towns: Unless otherwise stated, "Towns" shall mean the Towns of Carrboro, Chapel Hill, and
Hillsborough, which are incorporated municipalities within Orange County, NC and includes as
much of the Town of Chapel Hill that is located outside of Orange County.
Urban Curbside Recycling Program (also to be known as In-Town Curbside): that part of this
curbside recycling program intended to provide weekly collection service to Residences located
within the municipal boundaries of the Towns.
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SECTION 2
Term of Agreement
The term of the Contract will be for forty-two (42) months unless otherwise agreed by the parties;
the period from October 1, 2005, through March 31, 2009 (hereafter referred to as initial term)
assuming that funds are appropriated annually and the performance of the contractor is satisfactory.
The level of performance expected is defined in this contract.
This Contract may be extended and/or expanded following the initial term for a period of two (2)
additional years. assuming that the Urban Curbside Recycling Program is successful, that County
approves continuing the program, and that funding is approved annually through the approval of the
overall Department of Solid Waste Management budget.
Terms of this Contract may change if the change is agreed to by Contractor and County.
Contractor has no rights and will acquire no rights to notice or in the County Urban Recycling
Program or in recyclables (as defined in this Contract) beyond those contained in .this Contract.
Termination of this Contract resulting from default by Contractor or non renewal at the expiration of
its term or any extension terminates .all. rights of Contractor. with respect to the collection of
recyclables, notwithstanding any law purporting to create a right in Contractor to "displacement
compensation" named as such or identified by any other name.
SECTION 3
Performance Bond
Contractor shall provide County with a Performance Bond in the amount of One Hundred percent
(100%) of the first full year's projected contract price, or $609,444. This Performance Bond shall
be in effect for the duration of the Contract period. The form and substance of the Performance
Bond must be approved by County before the effective date of execution of this Contract. All
Performance Bond revisions and renewals must also be approved by County prior to their effective
date.
SECTION 4
Costs of Service
a) Urban Curbside Program
The cost of service for Urban Curbside Recycling for July 1, 2005 through March 31, 2006 shall
be $3.98. per Residence per month. The cost of service for Urban Curbside Recycling for April
1, 2006 through June 30, 2006 shall be $2.97 per Residence. per month. Residence count shall
be the number of units eligible for service in Carrboro, Chapel Hill, and Hillsborough plus any
serviceable Non-Residences as described in Section 4, subsection c of this Contract.
b) Expanding Collection to .Include Additional Materials
County may, with Contractor's approval, expand the list of Recyclable Materials to include
Mixed Paper (OMP) and Corrugated Cardboard (OCC). 'The monthly cost per Residence of
adding the additional materials will be as follows: $0.20/Residence to expand collection to
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include OCC, $0.15/Residence to expand collection to include OMP; and $0.33/Residence if
and when both materials are added.
c) Recycling Service to Non-Residences
The cost of providing curbside recycling service to small businesses, .churches, and other
institutions that are adjacent to a curbside recycling route will be determined as follows: the cost
will be equal to the cost of providing service to a Residence multiplied by the number of bins
assigned to the small business, church, or institution.
Example 1: During Fiscal Year 2005-2006, to service a preschool which is assigned three (3)
curbside recycling bins and located in a residential area within one of the Towns, County will
be billed at the rate of 3 x $2.97 per month or $8.91 per month.
Example 2: During Fiscal Year 2005-2006, to service a church and located in a residential
area within one of the Towns that is assigned two (2) curbside recycling bins, County will be
billed at the rate of 2 x $2.97 per month or $5.94 per month.
The cost of providing curbside recycling service to pedestrian recycling stations that are nearby
or adjacent to a curbside recycling route will be determined as follows: the cost will be equal to
.five (5) times the cost ofproviding service to a Residence.
Example 3: During Fiscal Year 2005-2006 to service a pedestrian recycling station located at
Carrboro Town Hall, County will be billed at the rate of 5 x $2.97 per month or $14.85 per
month.
d) Cost of Services for Future Fiscal Years
The monthly cost of collection per Residence in FY 2006-2007 shall not exceed $2.97 per
Residence multiplied by a factor determined by comparing the Annual measurement of the
Bureau of Labor Statistics Consumer Price Index for Garbage and Trash Collection for 2005 to
the Annual value of the same index for 2004. The index used shall be the US city average and
shall not be seasonally adjusted. If the Bureau of Labor Statistics makes the Consumer Price
Index for Garbage and Trash Collection available for the South Urban Region, then this region-
specific measurement of the index will replace the US city average for the purpose of
determining future costs.
If County and Contractor mutually agree to extend this Contract beyond the initial term,' actual
costs for future years will be provided in the contract extension agreement. The formula for
negotiating future costs is to be as follows:
The cost per Residence for any year shall not exceed the cost per Residence for the previous
year multiplied by a factor determined by comparing the Annual measurement of the Bureau of
Labor Statistics Consumer Price Index for Garbage and Trash Collection for the year ending
that December and comparing it to the annual value of the. same index for the year prior to that.
The index used shall be the US city average and shall not be seasonally adjusted.
For example: the cost per Residence for FY 2007-2008 shall be allowed to increase above the
FY 2006-2007 price by a factor determined by the change in the Annual value of the Bureau of
Labor Statistics Consumer Price Index for Garbage and Trash Collection as measured for 2006
and compared to the Annual value for 2005.
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e) Expansion or Reduction in Number of Residences Serviced
The Contract maybe expanded or reduced at the option of County to include additional or fewer
residential Residences and adjacent small businesses, schools, institutions, churches, and
pedestrian recycling stations. If legislation or ordinances are passed which significantly impact
.the program participation, the cost of service may be renegotiated between the Contractor and
County.
f) Fuel Cost Adjustment
County encourages Contractor to utilize a renewable clean burning alternative fuel such as
biodiesel or a biodiesel blend such as B-20 while providing service to County under this
Contract.
The Fuel Cost Adjustment will become effective on April 1, 2006. No Fuel Cost Adjustment
will be made prior to this time.
County and Contractor agree that fuel cost represents a significant portion of the costs to
Contractor in providing the services outlined in this Contract. In order to help adjust for the
- ~~nanr~ial-~rnpaot-af~he--eha~ges-in-the-cosLa~€u~l; ~Fu~l-Gust Adj-nstrnent-shafl-be-in-~rlaeP
as follows:
Base Line Fuel Usage shall be measured and determined annually, and shall be defined as the
number of gallons consumed each month by the Urban Curbside Recycling Collection
Vehicle Fleet as operated by Contractor in providing services to County under this Contract.
Base Line Fuel usage for Year 1 is 1,800 gallons of diesel fuel per month. Base Line Fuel
Usage shall be reset annually on July 1, and shall be determined by a verifiable audit of the
actual usage of fuel by the fleet of trucks dedicated to servicing the work under this Contract.
Contractor shall produce Fuel Usage Documentation of the actual fuel usage for the months
of April, May, and June, and the Average Monthly Fuel Usage of the fleet shall be calculated
from this information. Fuel Usage Documentation shall be provided for each vehicle, and
shall include for each vehicle the type of vehicle (including year, make/model, and engine
type), the typical function of that vehicle, the number of miles driven, the number of hours
operated, and the amount of fuel consumed during -the time in question. If the fuel usage of
any vehicle as determined from the above information (typically miles per gallon) exceeds
commonly accepted industry standard for that vehicle type, then County and Contractor will
negotiate a fuel usage value to be substituted for the exceptional value when calculating the
Base Line Fuel Usage, and this substituted fuel usage value will be set to industry standard
unless otherwise agreed to by both County and Contractor. The Average Monthly Fuel
Usage, determined as stipulated above, shall become the Base Line Fuel Usage used to
determine the Fuel Cost Adjustment for the next four quarters ending September 30,
December 31, March 31, and June 30.
Base Line Fuel Cost shall be determined annually. Base Line Fuel Cost for Year 1 is $2.30
per gallon of diesel fuel. Base Line Fuel Cost for future years shall be reset annually on July
1, and will be based on the average per-gallon cost of diesel fuel as paid by Contractor during
the months of .April, May and June, and verified by submittal of copies of actual fuel
invoices.
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For each quarter ending March 31, June 30, September 30, and December 31, Contractor
shall submit verifiable copies of fuel invoices. The Actual Per Gallon Fuel Cost of diesel
fuel as paid by Contractor shall be determined by computing a straight line average from the
invoices for the quarter in question (total: cost of diesel fuel /total gallons of fuel purchased),
and as calculated must be agreed upon by County and Contractor. If and only if the Actual
Per Gallon Fuel Cost for any quarter is either more than one hundred ten percent (110%) or
less than ninety percent (90%) of the Base Line Fuel Cost for that year, then a Fuel Cost
Adjustment shall be made. If the Actual Per Gallon Fuel Cost is neither less than 90% nor
more than 110% of the Base Line Fuel Cost, then no Fuel Cost Adjustment shall be made for
that quarter.
Fuel Cost Adjustments shall be made as follows:
If the Actual Per Gallon Fuel Cost is less than. 90% of the Base Line Fuel Cost, the difference
between the Base Line Fuel Cost and the Actual Per Gallon Fuel Cost shall be multiplied by
the Base Line .Fuel Usage and then multiplied by three (3) months. The resultant dollar
amount shall be considered the Fuel Cost Adjustment and shown as an itemized credit on the
invoice for service and shall be deducted by County when it pays the invoice.
If the Actual Per Gallon Fuel Cost is more than 110% of the Base Line Fuel Cost, the
difference between the Base Line Fuel Cost and the Actual Per Gallon Fuel Cost shall be
multiplied by the Base Line Fuel Usage and then multiplied by three (3) months. The
resultant dollar amount. shall be considered the Fuel Cost Adjustment and shown as an
itemized additional charge on the invoice for service, and shall be paid by County as
stipulated in .Section 16, Compensation for Services.
SECTION 5
Scope of Services
County's Request for Statements of Qualification (RFQ); and Request For Proposal (RFP)
number 5112, and any associated Addendum, as well as Contractor's Statement of Qualification
and Proposal dated April 14, 2005, are incorporated herein by reference. Any conflict between
the terms of .this Contract and the terms of any of the RFQ, the RFP or the April 14, 2005
Proposal will be governed by the terms of this Contract.
Contractor shall perform Recycling Collection Services as follows:
Contractor shall collect and remove for marketing or reuse all properly prepared Recyclable
Materials which are placed in or adjacent to approved Recycling Bins at the curb, roadside (in the
case when there is no curb), or other agreed upon location in the case of Handicap /Disabled
collection (for further details about proper preparation of Recyclable Materials, see Section 13 of
this Contract).
Contractor may use whatever collection style deemed beneficial when collecting Recyclable
Materials to the extent that newspaper, magazines, and telephone books must be sorted from the
Containers at. the curb, and must be transported to the processor in a separate compartment of the
collection vehicle. Contractor may not utilize "Single-Stream" style collection.
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County may, with Contractor's approval; add additional materials to the recycling stream, including
Mixed Paper (OMP) and Corrugated Cardboard (OCC). If these materials are added to the stream
of collected Recyclable Materials, the monthly cost per Residence-maybe adjusted by the amounts
stipulated in Section 4.
Upon servicing Recycling Bins, Contractor will place emptied Bins in such a manner as to ensure
that emptied Bins do not interfere with the flow of vehicle or pedestrian traffic. Additionally,
Contractor will ensure that emptied Recycling Bins do not block access to mail boxes or driveways.
Bins shall not be thrown or tossed, and Contractor shall take care not to damage Bins or personal
property of serviced Residences.
Collection routes will be run on a once per week collection schedule. The Recycling Collection
Services performed maybe expanded or contracted as the budget and other constraints permit.
Contractor shall assist in collection effectiveness by ensuring that any materials spilled in the
process of recycling collections, or any overflowing Recyclable Materials, are collected and placed
in the truck. Collectors shall carry a broom and dustpan to sweep up any broken glass or litter that
occurs in the process of recycling. Collection personnel shall also pick up any recyclables under or
immediately next to the Recycling Containers, when the rest of that Residence's recyclables have
been properly contained. When and if County receives a report of spilled recyclables, and County
determines that said spillage of materials occurred due to action or inaction of Contractor, County
may require Contractor to clean said spilled recyclables on the same business day that the report
was received by County. Failure to clean up verifiably spilled recyclables on the day of report of
said spillage may result in penalty fines being levied by County. County may assess a $25.00
penalty per day for each verifiable occurrence of spilled recyclables not cleaned up by Contractor by
.5:00 pm of the day of notification. A single verifiable occurrence of spilled recyclables shall be
defined as any one pile of materials (i.e. a single mound of broken glass) or any one isolated area
where paper or plastic bottles may have been blown from a truck. For example, if there are two (2)
piles of broken glass on any one street, separated by a distance of ten (10) or more feet, this shall
count as two (2) occurrences of spilled recyclables. One time each fiscal year the Contractor may
request that the County clean up the spilled recyclables, and in this case County may deduct the cost
of providing this service from the invoice for Recycling Collection Services performed by
Contractor. The cost to the Contractor for having County provide clean-up services will be $50.00
per hour, with a minimum charge of one hour.
Contractor's collection vehicles must also carry a spill kit to manage any spills or leaks of vehicular
fluids, such as oil, hydraulic fluid, transmission fluid, fuel etc. Contractor will manage both small
and large spills. Any spills or leaks will be the responsibility of the Contractor, including the
management of subsequent cleanup and abatement and compensation for damages if necessary.
Where there are improperly prepared recyclables, unacceptable materials placed in the bins, or
Recyclable Materials placed in an unapproved container, Contractor shall leave form notices for the
Resident explaining the problem. Said notice forms shall be referred to as "Oops Tags."
Contractor shall be responsible for providing the Oops Tags, including costs associated with design,
printing, and distribution. The form and content of the Oops Tags must be approved by County.
The Oops Tag notice must contain instructions describing how to properly prepare Recyclable
Materials for recycling and how to contact County for further information about recycling
programs.
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SECTION 6
County's Representative
The County's Representative, for purposes of this Agreement, shall be:
Robert Taylor
Orange County
Department of Solid Waste Management
PO Box 17177
Chapel Hill, NC 27516-7177
Ph. (919) 968-2788
County shall provide notice to Contractor, as provided for in this Contract, of a change in its
Representative.
SECTION 7
Contractor's Representative
Waste Industries' representative for purposes of this Agreement shall be:
Lee Bodenhamer, III
Branch Manager
148 Stone Park Court
Durham, NC .27703
Ph. (919) 933-9388
Contractor shall provide notice to County, as provided for in this Contract, of a change in its
Representative.
SECTION 8
Frequency and Time of Collection
a) Curbside Collection
Contractor shall pass each Residence or service point once each week and collect materials set
at the curb (or at other agreed upon location in the case of a Handicap /Disabled citizen).
Collection shall take place no earlier than 7:00 AM and no later than 7:00 PM.
b) Holiday Schedule
i. Holiday Schedule for Fiscal Year 2005=2006:
Contractor will not provide recycling service on Thanksgiving Day, Thursday November
24, 2005. Those recycling services regularly ~rovided on Thursday will be provided on
Saturday November 26th. Friday November 25 will receive collection services as usual.
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Contractor will provide all recycling service as regularly scheduled for the week of
Monday December 19, 2005 through Friday December 23, 2005 and the week .of
December 26, 2005 through December 30, 2005.
This (above) is the holiday schedule for the entire 2005-2006 Fiscal Year, other holidays
not listed will not be observed.
ii. Holiday Schedule for Future Fiscal Years (beyond FY 2005-2006)
Holiday schedules for future years will be negotiated annually and determined by County
and Contractor. Holidays with no collection may be Independence Day, Labor Day,
Thanksgiving Day, Christmas Day, New Year's Day, Martin Luther King Jr. Holiday, Good
Friday, and Memorial Day. In case of cancellation, Holiday week schedules maybe shifted to
have collections a day late following the holiday (i.e., if holiday falls on Thursday, Thursday's
collection will be on Friday, Friday's collection will be on Saturday). No changes will occur if
a holiday falls on a weekend.
iii. Complaint Calls During a Holiday
On days when County offices are closed (due to Orange County Government holiday) and
Contractor is providing recycling service, County may place the Contractor's office phone
number (933-9388 or 596-1363) on its automated telephone system. This will be done in
order to allow the citizens of Orange County to contact Contractor directly about issues
concerning recycling collection and service. When and if Contractor receives complaint
calls, these calls will be logged and handled under the normal complaint procedure (see
Section 12).
SECTION 9
Recycling Bins and Contents
The title to the Recycling Bins is with the County. Bins maybe 14, 16, or 18 gallons in volume
at the County's choice. Title to all of the Recyclable Materials within the Recycling Bins shall
be with the Contractor once the Bin is placed on the curb.
The County may choose to distribute a second Recycling Bin to each Residence to facilitate
Dual-Stream collection. Alternatively, the Contractor may, with County's approval and at no
cost to the County, provide an additional Recycling Bin to each Residence to facilitate Dual-
Stream collection. Any Recycling Bins distributed by Contractor with this purpose in mind shall
meet the specifications of the County-provided Recycling Bins, and shall become property of the
County once distributed.
Contractor may prosecute any person or persons found stealing or contaminating the contents of
Recycling Containers. This prosecution will have full cooperation of County.
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SECTION 10
Transportation and Temporary Storage of Recvclable Materials
Contractor shall transport the collected Recyclable Materials to its Processing Site(s). Contractor
shall take title to the Recyclable Materials upon placement in the Recycling Container by Residents
and shall be responsible for the sale of such recyclable materials and all of the proceeds of the sales.
The newspaper, glossy magazine and telephone book portion of the Fiber stream shall not be
commingled with Containers without express permission of County. County shall not grant
permission for the commingling of these two portions of the recycling stream except in the case of
emergency or otherwise dire circumstances.
No uncontaminated Recyclable Materials collected by Contractor shall be landfilled. Landfilling or
incinerating recyclables shall result in Contractor paying County a $500 penalty per incident of
uncontaminated Recyclable Materials to a landfill or incinerator.
SECTION 11
Labor and Costs
Contractor shall, at its sole cost and expense, except as otherwise provided herein, furnish all labor
and equipment required to perform curbside collection of Recyclable Materials pursuant to this
Contract.
SECTION 12
Procedures and Penalties for Missed Pick-Ups /Failure to Collect
All calls relating to missed pick-ups or other collection problems shall be logged by County's
Department of Solid Waste Management and will be available for review by Contractor. -
a) Individually Reported Missed Collections
In case of a missed pick-up reported by County or a Resident (late set-outs excluded),
Contractor shall collect the Recyclable Materials from such point by 5:00 pm of the working
day following written or faxed notification of said missed pick up if point was accessible and
not blocked. If Contractor contends that the pick-up was missed because of a late set-out, the
Contractor has the burden of proving to County the late set-out to avoid penalties.
If containers which were recorded by County as not collected by Contractor are not collected by
5:00 pm of the working day (including Monday through Friday, but not Saturdays, Sundays, or
designated holidays) following written or faxed notification of Contractor by County, County
may asses a penalty equal to $25 per Residence per day not collected. To avoid the penalty,
Contractor must provide legitimate explanation for non-collection before 5:00 pm of the day
following the non-collection report if the container was unable to be collected for a certain
reason.
b) Instances of Five (5) or more Missed Collections in Any One Area
If County receives a report of five (5) or more missed collections in one area on a working day
that is followed by anon-working day, Contractor will provide collection by 5:00 pm the
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following day, excluding holidays. For example if County receives notification of five or more
missed collections on one street, or in one neighborhood at 4:30 pm on a Friday and notifies
Contractor of the reported misses by close of business on that Friday, Contractor will provide
collection by 5:00 pm on Saturday (assuming that Saturday is not a recognized holiday).
Penalties for missed collections described in this section may be assessed as in the previous
subsection.
SECTION 13
Refusal to Pick Up
a) Improperly Prepared Recyclable Materials
In order to be considered properly prepared, Recyclable Materials must be free of contamination
from food, trash, or other non-recyclable items, and placed in an approved Recycling Container
(or in the case of newspaper, glossy magazines, or telephone books, placed in a paper bag beside
the Recycling Container).
When and if Recyclable Materials are not collected due to improper preparation, an Oops Tag
must be left at the Residence by Contractor. This Oops Tag must accurately describe why the
bin contents or Recyclable Materials were not collected. Failure on the part of Contractor to
leave a proper Oops Tag when refusing to collect improperly prepared recyclables may result in
County assessing a $25.00 penalty for each verifiable occurrence.
All types of household aerosol cans will be accepted. In order to be accepted, aerosol cans must
contain no discernible liquid. Contractor will make determination on a case-by-case basis as to
the emptiness of any particular aerosol can. Contractor may refuse to collect any aerosol can
that it determines is not empty. When and if an aerosol can is rejected, Contractor will leave an
appropriate Oops Tag as to the reason for rejection.
If recyclables are intermixed with non-recyclable materials in the recycling container,
Contractor may refuse to collect. If Recyclable Materials are placed in an unapproved recycling
container (i.e. a plastic bag, a trashcan, anover-sized tub, or a cardboard box) Contractor may
refuse to collect. In any such instance, Contractor is required to leave an appropriate Oops Tag
as to the refusal to collect.
b) Inaccessible Recyclable Materials
In a situation where a street is inaccessible to the Contractor's collection vehicle due to a
parked vehicle, utility work, construction work, or any other obstruction rendering a roadway
completely or partially blocked, Contractor may attempt to service said street later that same
day, either by sending the collection vehicle back, or by sending someone with a smaller
vehicle to collect the materials.
If Contractor cannot provide service on the scheduled day, Contractor will report non-
collection to County on the day that service is scheduled to be provided. County prefers to
be notified within 30 minutes of the discovery of an inaccessible area. Knowledge of
inaccessibility is important to County and is useful when communicating with the residents
of these areas as they call to report missed collections. If Contractor cannot notify County at
the time that inaccessibility is discovered, Contractor must notify County (either by
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telephone, fax, or in person) before 4:30 pm of that day. If Contractor fails to notify County
of areas that are not able to be collected due to inaccessibility by 4:30 pm of the day the area
is scheduled to be serviced, County may assess penalties equal to $25 per household not
collected.
When County receives a report of a missed collection from a Resident of an area that was not
serviced due to inaccessibility, County will instruct the Resident to leave their Recyclable
Materials at the curbside /roadside and to expect collection either later during their
scheduled service day or no later than 5:00 pm of the next working day (assuming that the
roadway is no longer inaccessible).
Contractor will provide collection of an area not serviced due to inaccessibility by 5:00 pm of
the next working day. In the ease of ongoing construction or blockage, recycling collection may
be temporarily suspended. In this case Residents will be notified by County that curbside
recycling must be suspended until construction is complete or the cause of the inaccessibility is
removed. Decisions to cancel curbside recycling service will be made by County with input
from Contractor. County may request and receive reduction in fees charged by Contractor for
services when cancellation affects an area with 25 or more Residences for more than one
consecutive service date.
If an area is inaccessible to the standard collection vehicle, but said area is not blocked due to
construction or some other obstacle, County may require Contractor to provide service from a
smaller collection vehicle, i.e. a pick-up truck. County may only require this of Contractor
when there are no other reasonable options for provision of Recycling Collection Service. An
example where County may require Contractor to provide service from apick-up truck might be
the case of a public street in Chapel Hill that is too narrow to accommodate safe passage of the
standard recycling collection vehicle. Use of a pick-up truck by Contractor for the collection of
..Recyclable Materials shall be negotiated on a case-by-case basis. Contractor will not be
required to provide recycling collection services in private alleys not built to Town standards
such as the private alleys in Southern Village.
SECTION 14
Processing Center
Contractor may maintain a Processing Center at its facilities located in the City of Durham, the City
of Raleigh or at other locations. All Recyclable Materials collected from Residents may be
processed at the Processing Center. Title to Recyclable Materials brought to the Processing Center
shall be with Contractor, and Contractor shall have the responsibility for the sale of such Recyclable
Materials. Storage of Recyclable Materials at the Processing Center shall be limited to that which
can be properly contained pursuant to permits issued by the responsible jurisdiction. Contractor
shall notify County, in writing, not less than thirty (30) days prior to any relocation of the
Processing or Drop-Off Center.
County shall not seek to claim ownership of Recyclable Materials during the Initial Term of this
Contract. If, after the initial term of this Contract, County elects to operate its own recycling
processing center, or elects to have the recyclables collected under this Contract diverted to any
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other existing facility, the recyclables collected in this program must be directed by Contractor to
that processing center whereupon they become property of County. Any adjustment in the cost
of service deemed necessary by Contractor because of a contended reduction in net revenue of
Contractor as a result of this change in destination and ownership of Recyclable Materials, or as
a result of the need for the Contractor to make equipment modifications as the result of the
redirection of recyclables, shall be negotiated, in good faith, between the Contractor and County.
SECTION 15
Public Awareness Program
County shall develop and implement a Curbside Recycling Public Awareness Program. Contractor
agrees to materially assist County with publicity efforts by ensuring that Contractor's employees
involved in this program are fully informed about the matenals collected in the program, and how
said materials are to be prepared. Drivers and collectors are to understand, at least m a generic
manner, how recyclables are processed.
Contractor's collection crews shall maintain a supply of recycling brochures furnished by the
County for Residents. Contractor may distribute County provided brochures as needed by
individual Residents.
At no time shall Contractor distribute, to any Residence or member of the public in Orange County,
any public education material related to the services provided under this. agreement that are not
authorized by County.
Any written materials that Contractor desires to distribute to Residents of Orange County shall first
be submitted to County for review and approval, and such approval may not be unreasonably
withheld by County.
Contractor representatives may distribute material unrelated to this program to participants in the
program at times other than during operation of the program; however, County must be mformed in
advance of such distribution and its contents.
County shall conduct public awareness programs and residential education programs to assure
proper preparation of Recyclable Materials and to encourage the public to remove lids from all
containers and flatten plastic bottles and aluminum and steel cans before depositing these items in
their Recycling Containers.
SECTION 16
Compensation for Services
County agrees to make monthly payments to Contractor within thirty (30) days of receipt by County
of an accurate invoice and corresponding collection data. Charges must be billed at the rates agreed
on in/established by Section 4 of this Agreement. Any penalties assessed by County during the
invoice period will be itemized and deducted by County when it pays the invoice.
If there are questions regarding the invoice or collection data, payment shall be guaranteed within
thirty (30) days of satisfactory resolution of the questions on the invoice or collection data.
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If Contractor should fail to provide requested and necessary corollary services required as part of
this Contract, payment on up to two months' invoices may be withheld until such services are
provided. Corollary services include repairs or replacement of County and or Towns' property, or
private property due to damage caused by Contractor as part of the recycling operation. Any repairs
or replacement must be complete within thirty (30) days of damage.
In the event of severe weather or other event that necessitates the temporary cancellation of
recycling services, County may negotiate with Contractor and receive a reduction in cost of services
for services that were not rendered. In general, if services are temporarily canceled at County's
request, County will pay in full for services which are not performed (except as otherwise noted
within this Contract), and in such case County may request that Contractor provide said services on
a make-up day at no further cost to County. If Contractor is unable to provide service due to severe
weather or other event, County may negotiate with Contractor and receive reduction in the cost of
services, to be deducted from the invoice for the period during which services were not provided, or
from an invoice for any service period following that service period. Any reduction in the costs of
services shall be based upon the pro-rata -share of services not rendered minus Contractor's
verifiable overhead expenses plus any verifiable increased expenses (i.e. overtime costs incurred by
Contractor due to excessive amounts of recyclable materials having been held over during period of
cancellation).
SECTION 17
Protection of Recyclable Materials
County agrees to take such steps as may be reasonably necessary to protect Contractor's ownership
of all Recyclable Materials placed in the recycling containers for collection by Contractor under the
terms of this Contract and may consider adopting anti-scavenging ordinances, if necessary, to
provide such protection.
SECTION 18
Permits and Licenses
Contractor, at its sole cost and expense, shall maintain throughout the term of this Contract all
permits, licenses and approvals necessary or required for Contractor to perform the work and
services described herein, including but not limited to the collection of Recyclable Materials and
operation of the Processing Center.
SECTION 19
Independent Contractor
Contractor shall perform all work and services described herein as an independent contractor and
not as an officer, agent, servant or employee of County. Contractor shall have exclusive control of
and the exclusive nght to control the details of the services and work performed hereunder and all
persons performing the same and nothing herein shall be constructed as creating a partnership or
point venture between County and Contractor. No person employed by Contractor, either as its
employee or its independent contractor, performing any of the work or services described hereunder
shall be considered an officer, agent, servant or employee of County, and no such person shall be
entitled to any benefits available or granted to employees of County.
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SECTION 20
Non-Assignment
Neither Contractor nor County shall assign, transfer, convey, or otherwise hypothecate this Contract
or their rights, duties or obligations hereunder or any part thereof without the prior written consent
of the other.
SECTION 21
Compliance with Laws and Regulations
Contractor agrees that, in the operation of the Processing Center and the performance of work and,
services under this Contract, Contractor will qualify under and comply with any and all Federal,
State and local laws and regulations now in effect, or hereafter enacted during the term of this
Contract, which are applicable to Contractor, its employees, agents ,or subcontractors, if any, with
respect to safety or the work and services described herein.
SECTION 22
Safe
Contractor certifies that it has appropriate safety policies in effect, and that Contractor takes all
reasonable and necessary measures to protect Contractor's employees and the citizens of Orange
County. Additionally, Contractor certifies that its employees are fully informed of said safety
policies.
SECTION 23
Insurance
Contractor shall obtain and maintain throughout the term of this Contract, at Contractor's sole cost
and expense, insurance with coverages equal to or greater than the coverages set forth below:
a) Workers' Compensation
Coverage A -
Coverage B -
Statutory
$500,000
b) Comprehensive Automobile Liability
Bodily Injury
$1,000,000 each person
$1,000,000 each accident
Property Damage
$1,000,000 each accident
to include coverage for all owned, non-owned, leased and hired automobiles.
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c) Comprehensive General Liability
Bodily Injury - $1,000,000 each occurrence
- $1,000,000 aggregate
Property Damage - $1,000,000 each occurrence
- $1,000,000 aggregate
The County of Orange is to be named as additional insured on the Comprehensive General Liability
policy.
Current valid insurance policies meeting the requirements herein identified -shall be maintained for
the duration of this Contract, including any extensions of it. There shall also be a 30-day advance
notification to County in event of cancellation of coverage or modification of any stipulated
insurance coverage. Certificates of Insurance evidencing compliance with the above requirements
shall be forwarded to the County prior to commencing of Contract performance and with each
insurance contract renewal thereafter.
It shall be the responsibility of the Contractor to insure that all subcontractors comply with the same
insurance requirements as Contractor. If the Contractor cannot meet these insurance requirements,
alternate insurance coverage satisfactory to County may be considered by County. Provided,
however, failure by Contractor to meet these insurance requirements is a material covenant default
in the performance of this Contract.
SECTION 24
Indemnity
Contractor agrees to indemnify and hold harmless County from all loss, liability, claims or expense
(including reasonable attorneys' fees) arising from bodily injury, including death or property
damage, to any person or persons caused in whole or in part by the negligence or willful misconduct
of Contractor except to the extent same are caused by the negligence or misconduct by County.
County agrees, to the extent allowed by law and to the extent of insurance policies owned by
County, to indemnify and hold harmless Contractor from all loss, liability, claims or .expense,
including death or property damage, to any person or persons caused in whole or in part by the
negligence or willful misconduct of the County except to the extent same are caused by the
negligence or misconduct by Contractor.
SECTION 25
Termination
a) In the event Contractor defaults in the performance of any of the material covenants or
agreements to be kept, done or performed by it under the terms of this Contract, County shall
notify Contractor in writing of the nature of such default. Within fifteen (15) days following
such notice:
i. Contractor shall correct the default; or
ii. In the event of a default not capable of being corrected within fifteen (15) days, Contractor
shall commence correcting the default within fifteen (15) days of County's notification
thereof, and thereafter correct the default with due diligence.
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b) If Contractor fails to correct the default as provided above, County, without further notice, shall
have all of the following rights and remedies which County may exercise singly or in
combination:
i. The right to declare that this Contract together with all rights granted Contractor hereunder
are terminated, effective upon such date as County shall designate;
ii: The right to license others to perform the services otherwise to be performed by Contractor,
or`to perform such services itself; and
iii. In the event of a default not capable of being corrected because of damage to the Processing
Center, due to force majeure, County may, but is not obligated to, provide Contractor with
a suitable temporary location for conducting processing and drop-off services.
c) The following is anon-inclusive list of events or occurrences of defaults by Contractor in the
performance of material covenants of this Contract:
i. The death or injury requiring hospitalization of an individual, other than employees of the
Contractor, proximately caused by the negligence or intentional act of Contractor in
carrying out this Contract.
ii. More than one incidence of greater than $20,000 property damage to property by the
Contractor while performing the recycling contract where the Contractor's negligence or
intentional act is the proximate cause of the property damage.
iii. Continued high level of unsatisfactorily resolved substantive customer complaints about
recyclables collection. As determined by County, a high level of unsatisfactorily resolved
complaints shall be greater than twelve (12) unsatisfactorily resolved complaints in one
calendar month for three consecutive calendar months. Unsatisfactorily resolved
complaints shall not include complaints about missed pickups where County or Contractor
can demonstrate that: the recycling bin was set-out late, the site was inaccessible at the time
of scheduled collection, or that the problem was resolved by 5 pm of the working day
following receipt of the complaint.
The principle of ejusdem generis shall not pertain in determining defaults in the material covenants
of this Contract. All agreements to be kept or observed by Contractor are material.
SECTION 26
All notices required or contemplated by this Contract shall be personally served or mailed, postage
prepaid and return receipt requested to the parties as follows:
To: Orange County
Department of Solid Waste Management
Attn: Mr. Robert Taylor
PO Box 17177
Chapel Hill, NC 27516-7177
To: Waste Industries
Attn: Mr. Lee Bodenhamer III
148 Stone Park Court
Durham, NC 27703
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SECTION 27
Records and Reports
Contractor shall maintain its books and records related to the performance of this Contract in
accordance with the following minimum requirements:
a) Contractor shall maintain any and all ledgers, books of account, invoices, vouchers and canceled
checks, as well as all other records or documents evidencing or relating to charges for services,
expenditures or disbursements borne by the County for a minimum penod of three (3) years, or
for any longer period required by law, from the date of final payment to Contractor pursuant to
this Contract.
b) Contractor shall maintain all documents and records which demonstrate performance under this
Contract for a minimum period of three (3) years, or for any longer period required by law, from
.the date. of termination or completion of this Agreement.
c) Any records or documents required to be maintained pursuant to this Contract shall be made
available for inspection or audit, at any time, during regular business hours, upon written request
by a County Representative at Contractor's address indicated for receipt of notices in this
Agreement.
d) Contractor shall provide monthly project reports to County during the contract period, to be due
on or by the 14~' day of the month following the month for which the report is being made.
Invoices will not be paid without submittal of accurate and complete reports. At a minimum,
the reports shall include:
i. Program summary of the tonnages of all recyclables recovered by material type.
ii. Residence participation rates.
This will be provided in terms of weekly household Set-Out counts. The Set-Out counts
shall be kept separately for each of the three Towns.
iii. Summaries of the total truck hours required to for the In-Town Curbside collection vehicles
to collect, transport, and unload the Recyclable Materials;
iv. Monthly productivity calculation shown in units of Residences and other collection points
collected per truck hour; and
v. Description of program progress, including any collection complaints or other problems
encountered and how they were resolved.
e) Contractor shall provide an annual costs and revenues report. At a minimum the report shall
include:
i. A summary of operation and maintenance costs for the collection of Recyclable Materials
as governed by this Contract;
ii. Processing costs by material;
iii. Summarized revenue information from monthly reports;
18
iv. A discussion of any public awareness activities and their impact on participation and
recovered volumes; and
v. A discussion of highlights and problems and measures taken to resolve problems and
increase efficiency and household participation.
f) Contractor shall, upon signature of this Contract, provide a copy of its incentive plan to increase
collector productivity so there is proof of the Contractor's intent to improve collection efficiency
to lower collection costs.
SECTION 28
Force Maieure
Contractor's performance hereunder may be suspended and its obligations hereunder excused in the
event and during the period that such performance is prevented by a cause or causes beyond the
reasonable control of Contractor unless such cause or causes are the sole result of action or
nonaction by Contractor. Such causes shall include, but not be limited to, acts of God, acts of war,
riot, fire, explosion, accident, flood or sabotage; lack of adequate fuel, power or raw materials,
judicial administrative or governmental laws, regulations, requirements, rules, orders or actions;
injunctions or restraining orders; the failure of any governmental body to issue or grant, or the
suspension or revocation or'modification of any license, permit or other authorization necessary for
the construction and/or operation envisioned by this Contract; national defense. requirements; labor
strikes, lockout or injunction.
SECTION 29
Waiver
A waiver of any breach of any provision of this Contract shall not constitute or operate as a waiver
of any breach of such provision. or of any other provisions, nor shall any failure to enforce any
provision hereof operate as a waiver of such provision or of any other provision.
SECTION 30
Law to Govern
County is a political subdivision of the State of North Carolina. Contractor is a North Carolina
Limited Liability Company. This Contract is entered into and is to be performed entirely within the
State of North Carolina. County and Contractor agree that the law of the State of North Carolina
shall govern the rights, obligations, duties and liabilities of the parties to this Contract and shall
govern the interpretation of this Contract.
SECTION 31
Titles of Sections
Section headings inserted herein are for convenience only, and are not intended to be used as aids to
interpretation and are not binding on the parties.
19
SECTION 32
Amendment
This Contract may be modified or amended only by a written agreement duly executed by the
parties hereto or their representatives. All amendments will become part of this Contract after its or
their effective date.
SECTION 33
Cooperation Among the Parties
Whenever consent, action or inaction is required, such consent, action or inaction will not be
unreasonably withheld by either party.
SECTION 34
Severability
The invalidity of one or more of the phrases, sentences, clauses or Sections contained in this
Contract shall not affect the validity of the remaining portion of the Contract so long as the material
purposes of this Contract can be determined and effectuated.
SECTION 35
Successors and Assigns
This Contract shall be binding upon the parties hereto, their successors and assigns
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IN TESTIMONY WHEREOF, the parties have hereunto set their hands
year first above written. .
CO RACTO
~~
Si ature
~~ (.oK.-caC. , liv~S~ ~, v ~
Printed Name and Title
WITNESS:
Signature
GCE l~a/,J~~ait~i/L~,~ ~~?~o.ucN /yl/ii+N~¢6~.2
Printed Name and Title
This instrument has been pre-audited in the manner required by the Local Government Budget
and Fiscal Control Act.
Finance Director
21
STATE OF NORTH CAROLINA
ORANGE COUNTY
I, ~ , a Notary Public for said County and State, do hereby
certify that D nna S. Baker personally appeared before me this date and acknowledged that she
is the Clerk to the Board of Commissioners of Orange County, and that by authority duly given
and as the act of Orange County, the foregoing instrument was signed in its name by Barry
Jacobs, Chair, sealed with its official seal, and attested by herself as its Clerk.
WITNESS my hand and official seal, this the ~ day of 2006.
Notary Publi
My Commission expires: ~~ l~ -~
STATE OF
COUNTY F
I, ~ ~~ 0~~C1`c.t/~C3~"""~ , a Notary Public, do hereby certify that
6~.~-c- personally appeared before me this day and acknowledged
the due execution of the foregoing Agreement.
WITNESS m hand and official seal this the da of ~ ~(. h
Y , ~ y c,~a~ 2006.
~k.
Not Public
My Commission expires: ~ ' ~ U ~~ {o
22