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HomeMy WebLinkAboutAgenda - 12-04-2000-8k.., ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: December 4, 2000 Action A en Item No. - SUBJECT: Addendum to Existin A regiment for Removal of Scra Tires DEPARTMENT: Solid Waste PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Gontract Addendum (p. 3-5) June 1993 Tire Recycling Agreement, as amended (p. 6-10) INFORMATION CONTACT: Gayle Wilson, Solid Waste Director 96$-2885 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To consider approving a two year extension of the Solid Waste Department agreement with U.S. Tire Recycling, L.P, for removal of waste tires at the Orange County Landfill. BACKGROUND: In 1989, the North Carolina General Assembly approved Senate Bill 111, which provided far sweeping changes in the ways that solid waste would be managed throughout North ,Carolina from that point forward. Among many other elements of that legislation was the implementation of a comprehensive scrap tire disposal program. There were several changes to funding for the program in the early 1990s, ,but since then, State law and regulations have generally included the levying of a 2% tax on the purchase of each new tire in North Catalina (the percentage levy is smaller an some larger, more expensive.tires). Each county receives a portion of the revenue accumulated through this State-administered tax to offset the casts of disposing of scrap tires received at each county's solid waste facilities. The law prohibits counties from charging far tire disposal at a county landfill, except far out-af- state generated tires, tires originating from illegal tire dumps, or tires in excess of 4 per trip that originate from a single residence (although in practice, we will allow up to 8 tires from a resident). Revenue received quarterly by Orange County, in addition to the $100/ton tire fee revenue from the tires that are exempt from free disposal, typically covers the cost of disposing of scrap tires. Scrap tine grants are available if scrap tire management expenses exceed revenues and reimbursements. In FY1999-00, the County received 1,232 tons (approximately 120,000) of tires for disposal. U.S. Tire Recycling, L.P. has been providing tire recycling at the Orange County Landfill since July 1993 under an agreement with the Town of Chapel Hill, which until April 2000 managed solid waste activities far the County and the municipalities. The proposed addendum to the 2 agreement with U.S. Tire Recycling would reflect that the scrap tire program is now being administered by the County, and would extend the life of the existing agreement through June 30, 2002. FINANCIAL IMPACT: The per ton disposal price under the addendum to the agreement would remain unchanged at $74. An upward or downward adjustment in the overall contract cast would be made based on the price of fuel for each load of tires transported. The County receives adequate revenue from the, State to cover the cost of the scrap fire disposal program. Sufficient funds for FY2000-01 have been budgeted in the Solid Waste/Landfill Enterprise Fund. RECOMMENDATION(S): The Manager recommends that the Board approve the Addendum to the agreement with U.S. Tire Recycling, subject to final review by staff and the County Attorney, and authorize the Chair to sign it. k~ STATE OF NORTH CAROLINA COUNTY OF ORANGE ADDENDUM TO SCRAP TIRE REMOVAL AGREEMENT Addendum to that certain Agreement effective July 1993, between The County of Orange, on behalf of its Salid Waste Department, hereinafter referred to as "County" and U.S. Tire Recycling L.P., herein .referred to as "Contractor" for removal of scrap tires from the Orange Regional Landfill located on Eubanks Road in Chapel Hill. In consideration ofi the mutual promises and conditions set forth herein, the County and Contractor agree to amend the Agreement as follows: 1. Change of Ownership: Ownership of the Orange County Landfill has been transferred to The County of Orange. 2. The agreement to be amended to extend contract period until June 30, 2002. 3. Under paragraph 2. Duties of Orange County amended as follows: .... Rate shall be $74.00 per ton, with a fuel surcharge, as per Fuel Surcharge Adjustment incorporated herein. IN TESTIMONY WHEREOF, the parties have hereunto set their hands and seals the day and year first above written. . COUNTY: BY: Chair ATTEST: Beverly A. Blythe, Clerk to the Board CONTRACTOR: WITNESS: This instrument has been pre-audited in the manner required by the Local Government Budget and Fiscal Control Act. Finance Director STATE OF NORTH CAROLINA ORANGE COUNTY I, , a Notary Public for said County and State, do hereby certify that Beverly A. Blythe 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 ,Chair, sealed with its official seal, and attested by herself as its Clerk. WITNESS my hand and official seal, this the day of 2000. Notary Public My Commission expires: STATE OF _ COUNTY OF 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 2000. Notary Public My Commission expires: Fuel Surcharge Adjustment The rate for services as described in the agreement for removal of scrap tires shall remain at $74.00 per ton with a fuel surcharge to be added to each load using the following formula: Price per Gallon $0.75-$0.99 $1.00-$1.24 $1.25-$1.49 $1.50-$1.74 $1.75-$2.00 Price Adjustment per mile -0.05 No Adjustment +0.05 +0.10 +0.15 The round trip mileage charge from the "County" to the "Contractor" is 91 miles. The price per gallon will be established on the first business day of each month by calling the Diesel Fuel Hotline at (202) 586-6966 at 12:00 noon, and obtaining the average diesel price for the East Coast. 6 STATE OF NORTH CAROLINA COUNTY OF ORANGE AGREEMENT FOR REMOVAL OF SCRAP TIRES This Agreement, made and entered into by and between the Town of Chapel Hill, hereinafter referred to as ."Town" and U. S. Tire Recycling L. P., hereinafter referred to as "U. S. Tire" for removal of scrap tires from the Orange Regional Landfill. Witnesseth That for and in consideration~of the mutual promises and conditions set forth below, the Town and U. S. Tire agree as follows: 1.. Duties of U. S. Tire: U. S. Tire agrees, as an independent contractor, to remove all scrap tires, including rims received at the Orange Regional Landfill on Eubanks Road. No more than approximately one load (10-12 tons) is allowed on the ground at one time during the term of the contract. All loading and hauling will be conducted by U. S.. Tire. To the maximum amount possible (minimum 40~), scrap tires must be recycled; landfilling of recyclable scrap tires is discouraged. U. S. Tire will provide an employee to load the tires on a regular basis; at least weekly. A11 state and federal regulations must be followed regarding transportation and disposal of scrap tires. The Town will determine the amount of scrap tires removed by U. S. Tire utilizing the landfill scales. The invoice to the Town will be calculated according to landfill scale records. Each load of scrap tires removed from the landfill will be weighed. 2. Duties of the Town: The Town agrees to keep a record of all scrap tine tonnages removed by U. S. Tire and to pay monthly at a rate of $72.00 per ton. The Town will provide an area at the landfill of appropriate size to conduct scrap tire activities. Loading facilities will be maintained by the Town. 3. Insurance Requirements: U. S. Tire will maintain and provide proof of the following insurance requirements: a. Workers' Compensation: Coverage to apply for all employees for statutory limits in compliance with the applicable state and federal laws. The policy must include employers' liability with a limit of $100,000 each accident, $100,000 bodily injury by disease each employee and $500,000 bodily injury by disease policy limit. 7 b. Com rehensive General Liabilit : Coverage shall have minimum limits of $1,000,000 per occurrence, combined single limit for bodily injury liability and property damage liability. This shall include premises and operations, independent contractors; products and completed operations and contractors; products and completed operations and contractual liability. c. Business Auto Liabilit : Coverage shall have minimum limits of $1,000,000 per occurrence, combined single limit for bodily injury liability and property damage liability. This shall include owned vehicles, hired and non-owned vehicles and employee non- ownership. SPECIAL REQUIREMENTS, a. The Town is to be named as an additional insured on the Comprehensive General Liability policy.. b. Current, valid insurance policies meeting and the above requirements shall be maintained for the duration of the event. Renewal certificate shall be sent to the Town 30 days prior to any expiration date. There shall also be a 30 day notification to the Town in the event of cancellation or modification of any stipulated insurance coverage. Certificates of insurance on an Accord 25 Form meeting the required insurance provisions shall be forwarded to the Town of Chapel Hill's Purchasing Agent. Wording on the Certificate which states that no liability shall be imposed upon the company for failure to provide such notice is not acceptable. Original policies or certified copies of policies may be required by the Town at any time. c. Hold Harmless U. S. Tire agrees to protect, defend, indemnify and hold harmless the Town 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 the contractor except to the extent same are caused by the negligence or misconduct of the Town. d. This agreement may be terminated by either party upon sixty day's written notice. e. Term- This•Agreement, unless amended as provided herein, shall be in effect from July 1, 7.993, through June 30, 1994. If mutually agreeable the Town and U. S. Tire Recycling may exercise an option for an additional two (2) years; through June 30, 1996. 8 This the TOWN OF CHAPEL HILL 199 U. S. Tire. Recycling, L. P. ~ y- v. s. -; ~~~ ~ecycl~~, Cep-, ~~`~ ~ ~~ ~.. ~,~ ~es~ ~.~,.-~ SECRETARY APPROVED AS TO FORM: t ~~ __ TOWN ATTORNEY Address• This instrument has be preaudited in the manner required by the Local Government and Fiscal. Control Act. K ANCE DTR CT R day of ADDENDUM I Addendum to that certain agreement effecta.ve July, 1993 through June 30, 1996, between the Town of Chapel Hill, hereinafter referred to as the "Town" and U. S. Tire Recycling L. P., hereinafter referred to as "U.S. Tire" for removal of scrap tires from the Orange Regional Landfill. 1. The agreement to be amended to extend contract period until June 30, 1997. 2. Under paragraph 2. Duties of the Town: This the ~ day of 1996. ....rate shall be $73.00 per ton, as per Attachment A, incorporated herein. Approved as to Form: TOWN U. S. ING L.P. ATTEST: TITLE: This instrument has been preaudited in the manner required by the Local Government Budget and Fiscal Control Act. SOLID TE AGEMENT DIREC R ANCE DIRECTOR 9 10 A.l7D E N1]UM Addendum to that certain agreement effective July, 1993 through June 30, 1996, between the Town of Chapel Hill, hereinafter referred to as the "Town" and U. S . Tire Recycling L . P . , hereinafter referred to as "U.S. Tire" for removal of scrap tires from the Orange Regional Landfill. 1. The agreement to be amended to extend contract period until . June 30, 1999. 2. Under paragraph 2. Duties of the Town amended as follows: ..... rate shall be $74.00 per ton, as per Attachment A, incorporated herein. This the 3 D~ day of June, 1997 . TOWN OF CHAPEL HILL II.S. TIRE REC~t~LING L.P. ~,•~ 3 TOWN MANAGER ~ o~ r+' ~_ ~ ~~ CLERK ~' ...:.rel. ~,. o Approved as to Form: ~~ WN ATTO EY TE DIRECTOR This instrument has been preaudited in the manner required by the Local Government Budget and Fiscal Cvntrvl Act. ,/Qc ~+~ I CE DIRECTOR