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Home My WebLink AboutAgenda - 01-20-2011 - 4jORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: January 20, 2011 Action Agenda Item No. ~f- - ~~ SUBJECT: Renewal of Urban Curbside Recycling Services A reement DEPARTMENT: Solid Waste Management PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Proposed Urban Curbside Recyclable Materials Collection Services Agreement Addendum INFORMATION CONTACT: Gayle Wilson, 968-2788 PURPOSE: To continue the agreement with Waste Industries, LLC of Durham, North Carolina for the provision of Urban Curbside Recycling Collection Services effective April 1, 2011 through June 30, 2012. BACKGROUND: The Urban (or In-Town) Curbside Recycling Program provides weekly collection services to single-family homes within the Towns of Carrboro, Chapel Hill, and Hillsborough. The Department of Solid Waste Management has provided contracted curbside recycling services since 1988. The contracts for rural and urban curbside have been awarded by competitive bidding process, and then renewed as needed, provided service was acceptable and funds were appropriated. In June 2001, the Rural and Urban Curbside Contracts were merged into a single Curbside Recycling Contract, and the contract was reissued to Waste Industries for two years with a two-year extension beyond that (through June 2005). On June 1, 2005 the County de-privatized Rural Curbside Recycling Collection services and began the provision of Rural Curbside Recycling Collection as aCounty-operated program. In October of 2005, after a competitive bidding process, the County awarded a contract to Waste Industries, LLC of Durham for the provision of urban curbside recycling services. This contract authorized a 42 month initial term, with a two year extension. In March of 2009 the County extended the initial term from April 1, 2009, through March 31, 2011. This proposed addendum engages Waste Industries fora 15 month extension through June 30, 2012 as allowed for in the agreement addendum approved two years ago. During the period of the agreement extension, staff will be evaluating the transition to single stream collection for both the urban and rural curbside programs, with the expectation of a 2012 competitive bid for urban single stream collection services at that time. FINANCIAL IMPACT: The cost per household shall not exceed $4.09 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 2010 to the annual value of the same index for 2009. Once the 2010 CPI is published in mid-February 2011, the exact household price will be established. The total projected cost for the Urban Curbside Recycling Program agreement for FY 2011/12 will be approximately $946,000. These funds will be included in the Manager's Recommended FY 2011/12 Recycling Division operating budget in the Solid Waste Management enterprise fund. RECOMMENDATION(S): The Manager recommends that the Board approve the agreement addendum with Waste Industries to continue the provision of Urban Curbside Recyclable Materials Collection Services and authorize the Chair to sign the agreement. 3 STATE OF NORTH CAROLINA SECOND ADDENDUM TO AGREEMENT ORANGE COUNTY FOR URBAN CURBSIDE RECYCLABLE MATERIALS COLLECTION SERVICES Addendum to that certain agreement effective October 1, 2005 between The County of Orange, on behalf of its Department of Solid Waste Management, (hereinafter "County"), and Waste Industries, LLC of Durham, North Carolina (hereinafter "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 azeas, located within the Town limits of Carrboro, Chapel Hill and Hillsborough, NC (hereinafter the "Contract"). In consideration of the mutual promises and conditions set forth herein, the County and Contractor agree to amend the Contract as follows: Defmitions• Definitions of specific terms referred to throughout this Contract shall be amended as follows: Processing Fee: Per ton fee paid by the Contractor to the County for delivery of recyclables collected by the Contractor pursuant to this service agreement and delivered to the County's Eubanks Processing Center on Eubanks Road for sorting/mazketing by County. Term of Agreement: Section 2 of the Contract is amended as follows: The renewal term of the Contract will be for a period of 15 months (April 1, 2011 until June 30, 2012) (hereinafter "Renewal Term"), assuming that funds aze appropriated and the performance of Contractor aze satisfactory. This Contract may be extended and/or expanded following the initial and any renewal terms on a month to month basis, upon written request by County at least 30 days prior to expiration. The County may also have the .option of extending the renewal term of the Contract for one (1) yeaz from July 1, 2012 to June 30, 2013 assuming that the Urban Curbside Recycling Program is at the expected level of performance. Costs of Services Section 4(a) of the Agreement is amended as follows: a) Urban Curbside Program The cost of service for Urban Curbside Recycling for April 1, 2011 through June 30, 2011 shall be $4.09 per Residence per month. The cost of service for Urban Curbside Recycling for Fiscal Year 2011-2012, July 1, 2011 through June 30, 2012 (including any month to month extension), 4 shall not exceed $4.09 per Residence multiplied by a factor determined by comparing the annual measurement of the Bureau of Labor Statistics Consumer Price Index (CPI) for Garbage and Trash Collection for 2010 to the annual value of the same index for 2009. Once the 2010 CPI is published in mid February 2011, the exact household price will be established. 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(b), of this Contract. County's Representative Section 6 of the Agreement is amended as follows: County's Representative for the purposes of this Agreement shall be: Cody Marshall, Recycling Programs Manager Orange County Department of Solid Waste Management PO Box 17177 Chapel Hill, NC 27516-7177 Phone: (919) 968-2788 Frequency and Time of Collection Section 8 is amended by adding Subsection (c) as follows: c) Rerouting of Scheduled Services Contractor acknowledges and represents that no re-routes will be permitted during the Renewal Period, unless legislation or ordinances are passed that would significantly impact program participation (i.e. annexations), thus needing to accommodate more efficient collection of Recyclable Materials. Processing Center Section 14 of the Agreement is amended as follows: Contractor may bring the Recyclable Materials to the Eubanks Processing Center located on Eubanks Road in Chapel Hill, Orange County. Once material is delivered to the Eubanks facility, the County is responsible for the processing and sale of such Recyclable Materials. The County will charge a processing fee of $10 per ton processing fee for the material delivered unless modified by the parties in writing. Notices Section 26 of the Agreement is amended as follows: All notices required or contemplated by this Contract shall be personally served or mailed, 2 5 postage prepaid and return receipt requested to the parties as follows: To: Orange Caunty Department of Solid Waste Management Attn: Mr. Cody Marshall PO Box 17177 Chapel Hill, NC 27516-7177 To: Waste Industries Attn: Mr. Richard Johnson 148 Stone Park Court Durham, NC 27703 Full Force and Effect The Parties confirm the Contract as amended by this Second Addendum and acknowledge and agree that, except as amended by this Second Addendum, the Contract is binding and is and remains in full force and effect. IN TESTIMONY WHEREOF, the parties have hereunto set their hands and seals the day and year first above written. COUNTY: BY: Bernadette Pelissier, Chair CONTRACTOR: Signature Printed Name and Title ATTEST: Donna S. Baker, Clerk to the Board Orange County Board of Commissioners WITNESS: Signature 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 3 Approved as to technical content. Gayle Wilson, Department Director Approved as to form and legal sufficiency. uiiice of the County Attorney 7 STATE OF NORTH CAROLINA ORANGE COUNTY I, , a Notary Public for said County and State, do hereby certify that Donna 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 Bernadette Pelissier, Chair, sealed with its official seal, and attested by herself as its Clerk. WITNESS my hand and official seal, this the day of Notary Public My Commission expires: STATE OF _ COUNTY OF 2011. I, , a Notary Public, do hereby certify that personally appeared before me this day and acknowledged the due execution of the foregoing Agreement. WITNESS my hand and official seal, this the day of Notary Public My Commission expires: 2011. 5