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HomeMy WebLinkAboutVI (A) Considerstion of the Available Options for the Collection and Disposal of Residential Garbage and Recycling within the CityAgenda 02-17-2004 Item VI A Mayor S. Scott Vandergrift City Manager Jim Gleason STAFF REPORT Commissioners Danny Howell, District 1 Scott Anderson, District 2 Rusty Johnson, District 3 Nancy J. Parker, District 4 TO: The Honorable Mayor and Board of City Commissioners FROM: Bob Zaitooni, Deputy Public Works Director DATE: February 17, 2004 RE: Residential Solid Waste Collection & Disposal Options ISSUE: Should the Honorable Mayor and Board of City Commissioners consider the available options for the collection and disposal of residential garbage and recycling in the City of Ocoee; and select and approve one of the available options? BACKGROUND AND DISCUSSION: The current rate charged for the residential solid waste (garbage and recycling) collection and disposal is $16.00 per customer per month. Staff previously requested the City Commission to increase the current rate to sustain the in-house residential garbage and recycling operation, and plan for the future growth and replacement of the rolling stock. The City Commission, on June 17, 2003, instructed staff to evaluate privatization of the residential waste collection and disposal within the City limits while ensuring relocation of the current City sanitation employees without loss of jobs. Staff conducted a comprehensive evaluation of the available options and has narrowed the choices to the options listed below for consideration by the City Commission. Option A. Privatization of residential garbage and recycling through a City RFP process. An RFP was advertised in August 2003 and six (6) formal proposals were received on October 14, 2003. In summary, the RFP contained the following: • A seamless transition from the current in-house to private hauler will take place with minimum impact to customer. • A weekly service consisting of two (2) Garbage and one (1) Recycling collection and disposal, to be phased in over a 3-year period. • The phase -in period would enable the City to relocate the staff within other Departments without displacement. • The current City 96-Gallon garbage carts are used. City of Ocoee Public Works - 301 Maguire Road - Ocoee, Florida 34761 phone: (407) 905-3170 ■ fax: (407) 905-3176 - www.ci.ocoee.fl.us • The City retained the option of shortening the phase -in period depending on speed of the employee relocation process. • Yard waste and bulky waste collection and disposal are not included in the RFP since a separate contract currently exists for this service. • Container management as well as contract administration, complaint resolution and inspection service will remain with City staff. • Substantial penalties are incorporated for missed service and unresolved customer issues. • Residential solid waste rates will not be increased Two (2) of the six (6) haulers have proposed a graduated rate, increasing every year through the life of the contract. The remaining haulers proposed a constant rate for the five (5) year contract. It should be noted that the rates shown in Table 1 are not adjusted to cover the in- house (City) administrative costs. The rates as proposed by the private haulers are summarized in the table below. Table 1. Proposed Rates by RFP Haulers Advance Disposal Republic Services *Waste Pro Onyx Base & Alt. 1 Florida Recycling *Waste Management 13.99 12.35 14.23 13.78 1 11.63 10.98 13.60 * Proposed graduated rate. Year 4 rates are shown. The City's selection committee met on January 20, 2004 and ranked the submitted RFP's based on the lowest responsive bid. The lowest responsive bid is defined as the lowest cost hauler with demonstrated capability, experience, and financial means to execute the requirements of the RFP as determined by the Selection Committee and approved by the City Commission. The Ranking by the selection committee were as follows: Rank 1. Onyx Waste Services, Alternate # 1 Rank 2. Florida Recycling Rank 3. Republic Services Rank 4. Waste Management Rank 5. Advanced Disposal Rank 6. Waste Pro In summary, Option A allows the City to hire a private hauler to perform the services using the 96-gallon carts without loss of employment for current City employees. This option will also guarantee the Residential Garbage and Recycling Rates will not increase beyond the current $16.00 for the next 5 years. The container management and contract administration will remain with City staff with the goal of minimum customer dissatisfaction. Option B. Orange County to provide the services through an Interlocal Agreement. Orange County Utilities, through use of their franchise agreement with various haulers, has submitted an Intedocal Agreement for the collection and disposal of residential solid waste within the City limits. Orange County has proposed 2 methods of collection, one that includes the use of the City's 96-gallon carts and a second that requires no carts. A summary of the highlights include the following: 2 • Services will include 2 Garbage, 1 Recycling, and 1 Yard Waste per week. • Curbside garbage service will include an unlimited number of containers and 2 containers of material from repairs and remodeling, at no additional charge. • Weekly curbside yard waste service of 3 cubic yards versus City's limit of 2 cubic yards. • Orange County will assign a hauler for services within the City of Ocoee. • City will maintain customer service for responding to Ocoee citizens. • Orange County will administer the contract with the hauler and will be responsible for enforcing the terms of the contract. • Orange County will be billing the City on a monthly basis with the option of annual assessments on the tax roll. • City of Ocoee will continue to bill the customers for services within the City, but may elect to become part of the County -wide assessment for residential solid waste. • Termination clause will be based on Orange County's contract with the assigned hauler. • The City will not have a franchise or contract with a private hauler. Orange County's current hauler collection plan includes five (5) service areas or zones. Each service area has been competitively bid and negotiated with a hauler. The current haulers for the service areas are as follows: Service Area Vendor Zone 1 Onyx Waste Services of Florida, Inc. Zone 2 Waste Management Inc. of Florida Zone 3 Republic Services of Florida LP Zone 4 Waste Management Inc. of Florida Zone 5 Republic Services of Florida LP Although each zone has been negotiated at a different annual compensation rate, using a compensation adjustment methodology, Orange County has equalized the annual rate for all customers through a MSTU program. The City of Ocoee falls within Zone 1 of the Orange County's current plan. However, Orange County reserves the right to assign the City to another hauler. Without the use of the 96-gallon carts and using only bags or 32-gallon cans, the current assessment rate as adopted by the Board of County Commissioners (BCC) is $146.06 per year, which is assessed on residential customer's tax bills in unincorporated Orange County. The current annual rate translates to $12.17 per customer per month. This rate is set annually by the County Commission and may be increased or decreased. With the use of the 96-gallon carts, which requires the private haulers to modify their current collection rolling stock with mechanical arms, the rate will be $15.24 per customer per month. This rate includes collection of yard waste on Wednesdays only throughout the City. If yard waste is collected throughout the week, the rate is $16.24 per customer per year. The rates shown here for Option B do not include the additional administrative costs, which will be incurred by the City. Option C. City Continues with the current in-house operations In order to stay in business, City must consider the actual cost of the in-house operation while providing for the future growth (new routes) as well as replacement of the existing fleet and supporting equipment. It is anticipated that a new route is required for approximately every 2 years. Therefore, a new truck ($150,000) and a new driver ($55,000) are required every 2 years. The current fleet of 9 trucks (7 garbage trucks and 2 recycling trucks) should also be systematically replaced after the fifth year of service but no more than 7 years to ensure delivery of the expected level -of -service, maximizing salvage value, and minimizing repair costs. A financial analysis of the historical costs versus revenues was conducted to provide the basis for formulating a true customer rate. This analysis identified the various cost components (personnel, operating, and capital) for the proceeding fiscal years. Adjustments for capitalization of new routes and replacement rolling stock were made where necessary for inclusion within the rates. The true cost of the in-house operation is calculated at $18.25 per customer per month through the end of fiscal year 2008-09. If Option C is chosen, the following actions and expenditures are recommended: Complete purchase of the truck currently on hold at nearly $146,000 Replace 2 truck in the current fiscal year $300,000 from R & R funds In FY 2004-05 budget, replace 1 truck at $150,000 and add 1 new truck ($150,000) and 1 new driver ($55,000), for the total cost of $355,000. The City currently receives a 20% Franchise Fees from Commercial Franchise for the collection of commercial waste within the City limits. For the fiscal year 2002-2003, a total of $139,768.21 was collected and deposited in General Funds. In addition to the Franchise Fees, the City receives revenues generally referred to as the "Delta" which is deposited into the Solid Waste Funds. The revenue is the difference between the rates established by Ordinance for the commercial customers versus the contract fees for the current franchisee. In FY 2002-03, City received $153,579.38 from this revenue source. ECONOMIC ANALYSIS: For Options A and B, in addition to the base rate, there are other cost components that consist of the administrative costs associated with the program and the costs of the current City's Yard and Bulky Waste Collection and Disposal. Table 2 includes a summary of the calculations with the addition of the other cost components. The calculation shown in Table 2 is for FY 2004-05 rates. 4 Table 2. FY2003-04 Rate Comparisons Rate Component Option A Private Hauler City RFP Option B Orange County Interlocal Option C city Operation Onyx, Alt.1 Florida Recycling 32-gallon 96-gallon Base rate 11.63 10.98 12.17 15.24 18.25 Yard waste 1.68 1.68 0 0 0 Admin. 2.69 2.69 1.30 1.30 0 Total 16.00 15.35 13.47 16.54 1825 The rate for the Intedocal Agreement with Orange County is established by the Board of County Commissioners and may increase or decrease. Historically, the rate has declined in the recent years. The current City's Yard & Bulky waste contract will expire in the end of August 2006, with an option to extend for an additional 2 years. The City may evaluate its options for this service as the expiration date nears. If Option B is chosen, City may chose to negotiate the immediate termination of the current Yard & Bulky Waste contract since the services are included. The calculations shown in Table 4 assume termination of the contract for Option B. Table 3 is a summary of projected rates for the current fiscal year and as projected for the next 5 years. Table 3. Comparison of Rates per Customer per Month Options FY 03-04 FY 04-05 FY 0"6 FY 06-07 FY 07-08 FY 08-09 Option A Onyx, Alt. 1 $16.00 $16.00 $16.00 $16.00 $16.00 $16.00 Florida Recycling $15.35 $15.35 $15.35 $15.35 $15.35 $15.35 *Option B 32 allon $13.47 $13.47 $13.74 $14.01 $14.29 $14.58 96-gallon $16.54 $16.54 $16.87 1 $17.20 $17.55 $17.90 O tion C Projected rate $18.25 $18.25 $18.25 1 $18.25 $18.25 1 $18.25 * Assumes a 2% increase per year after FY 2004-05 Administrative Costs The administrative costs associated with the options differ for the Orange County Intedocal versus the private hauler option. This is primarily due to the costs to the City for the management of the program including staff, equipment, and containers. The cost of customer billing remains similar for both options at this time. Option A will require one (1) Manager, one (1) Inspector, and one (1) customer service member for the management of the program. Considering all other costs such as vehicle, fuel & maintenance, communication, insurance, billing, and auditing, the in-house administrative cost is estimated at $2.69 per customer per month. Option B will require less in-house staffing which will include one-half (1/2) of an Inspector and one (1) customer service member will be needed for the management of the program. Considering all other costs such as vehicle, fuel & maintenance, communication, insurance, billing, and auditing, the in-house administrative cost is estimated at $1.30 per customer per month. 5 Method of Payment Under all 3 options, the City will continue monthly customer billing as currently exists. Under Option B, the current Orange County plan is designed for the customer charges to be assessed on their annual tax bill. This option will also be available to the City, at City's option, provided sufficient notice is served to the Orange County Property Appraiser and Tax Collector. PROGRAM COMPARISON: In addition to the actual costs of each program as discussed under economic analysis, each option presents a set of unique characteristics to be evaluated. These characteristics are sometime not readily quantifiable as the actual costs or rates as summarized below. Option Advantages Disadvantages Same service as in-house now Less City control Rate is not increased Lower level -of -service expectations q 96-gallon carts are used Less customer friendly than in-house option City administers contract a Anticipate contractual issues No reoccurring capital costs Minimum worker's compensation issues Strong contractual requirements Same service frequency e City does not administer contract Higher waste volumes allowed Less control by City g Have option to use of 96-gallon carts Not designed for 96-gallon cart operation Lower City administrative costs Collection routes and/or days may change No reoccurring capital costs W/ 96-gallon cart, rate is higher than Option A Minimum worker's compensation issues Strong contractual requirements City retains complete control Higher costs and rates 96-gallon carts are used Reoccurring capital costs C Better customer care by City staff Addition of new routes Response is faster to customer issues 9 High worker's compensation If subsidized, impacts other vital programs RECOMMENDATION: Based on staff evaluation of the available options as presented in this report, the following conclusions are made: 1. If the current method of collection using the 96-gallon carts is desired, the most economical option is Option A, which entails contracting a private hauler through the RFP process. This option guarantees "no increase" in the current rate for the next 5 years with City providing the containers as in the current in-house operation; and City retains control of the contract. 0 The selection committee has short-listed the top 2 haulers for the consideration by the City Commission as described earlier in this report. If this option is selected, staff requests that the RFP equipment age requirements be lifted for a period of 90 days from the award to allow the haulers to begin operation within 30-days of the award date. 2. If there is no preference for the 96-gallon carts, then the most economical option is Option B, which entails executing an Interiocal Agreement with Orange County to provide the services. Under this option, there are substantial cost savings to the City as described earlier in this report. It should be noted that under this option, the administration and enforcement of the contract provisions with the hauler would remain with Orange County. 3. If continued in-house operation is desired, a rate increase and implementation of the rolling stock replacement program as described earlier are required. From a level -of - service standpoint, this option will probably yield the best and most responsive customer care. Attachments: Orange County Interiocal Fleet Report Administrative Cost Calculations RFP Evaluation Form RFP Bid Tabulation 7 n Y $ N La D D Q 7 y �p 8� a a ? w N Gl ir v C m 78 m 3 T m O �e C o !A ci w m 0 jIt W W W N V V V V O W G `G `G G. �. ���pp �j O. O W W OQ ( N v_ — W N N N Y fA O N O O CD iu p 'O O O MCD O S � o� W W — W W N W a W 0 W p p_ W O V UI N N N N CA41 O j w. T(A can c(An cn W N j ® O ® O w s _ OA () _ O 1IPg (U _ Qw f� _• O �" UI Ul tll N N W m tll fA _f`O W W W W 000 O N� w -• W Q a0 !A W O Nw N 0>p p O N v 3 O a" 0 a a 'o a X m v m z 'a r G) a G) m a z v m 0 0 r z^ Y7 0 0 r m 0 4 0 z z v v_ 0 a r EVALUATION FORM RFP #03-001 Residential Garbage and Recycling Collection and Disposal Combined Evaluation Criteria Advanced Disposal Republic Sery Waste Pro Onyx Waste Florida Recycling Waste Mgmt Z!39 per mousenoia to the City 140-Base 169 (0-200 points) 116 170 98 Alternate 1 189 139 Ability to Provide High -Quality Service to the City's Residents, as evidenced by Type, number, age, & condition of the equipment, personnel, & procedures 128-Base (0450 points) 115 126 127 128-Altemate 1 121 131 Prior experience in the City of Ocoee or w/other Cities or Counties or to other groups of residents in a high -quality manner 59-Base (0-76 points) 53 56 55 59-Aftemate 1 55 61 Financial Condition & Stability of the Proposer & Financial Outlook for the proposer for the term of the contract 43-Base (0-60 points) 37 41 39 43-Altemate 1 34 43 innovative Cost saving methods, ability to incorporate the existing City owned equipment or existing City employees in the plan 24-Base (0-25 points) 12 14 10 25-Altemate 1 19 15 TOTAL POINTS (0-500) 333 407 329 394-Base 418 389 424-Alternate 1 V V V V V _ V V V v 0) CA) OOD 0) A N CN O O G) G)G)m ) �Q Gi O O n CT n cr Q n a- a n O' Cr a' U 0) 01 0) 0) 0) 01 0) 0) 0) (D = m (D (D 3 (D isto 0 CD m CDOD = z O z � co z O N (D c coO � OD (i.) C coN co m co CO j(A)0)N _ O OD O t0 0 O ODAW (A) (D OD A N N n = n O O y O o O O 3) o o O o@ CD n n n n '' E o n m _ m m m m m M m X m M M M m ;a � ID z m d v v T of au of d of d m 1 (D N N N m O� -n -n -n -JJn -n O "Jnn -n -n M JnJ Jn _n 0 0 0 0 0 0 0 p 0 0 0 0 01 OD OD -� N V - CA O) - CT - a A � w — CA)CD — m 0 0 a 0 0 6 0 0 00 ((DD 0 0 0 CD CO CO OD OD V V 0 w A A C" (r 0 CA " CA CT O 0 (r CT (r w 0 0 0 0 0 0 00 0 0 0 0 3 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o n (D 3 (D 3 1 N Q° 0t N A go 0) _ — 2) N N n m 13 O (D O) 0) (n.� V 0 m C c O K)) c 3 o (D N C 6 N 0) O C a z4 D-n 00 ZO "nm rm m m m M Q Administrative Cost Calculations Solid Waste Options Orange County Private Hauler 32-gallon 96-gallon Manager - 80,180 Inspector 27,435 54,870 Customer Service 56,880 56,880 Billing (Personnel) 16,510 16,510 Postage, Bills, Supplies 17,000 17,000 New Vehicle - 4,800 Maint. & Fuel 3,000 6,000 Insurance 800 800 Communication 500 1,100 Uniforms 300 600 Containers - 25,000 Auditing 8,900 8,900 Supplies & Fees 2,000 4,000 Total Annual Cost 133,325 276,640 Cost Per Month 11,110 23,053 Customers 8,570 8,570 Rate/Customer 1.30 2.69 ORANGE COUNTYXITY OF OCOEE INTERLOCAL AGREEMENT FOR SOLID WASTE COLLECTION AND DISPOSAL THIS INTERLOCAL AGREEMENT is entered into pursuant to Part I of Chapter 163, Florida Statutes by and between the City of Ocoee, Florida, a Florida municipal corporation, whose address is 150 North Lakeshore Drive, Ocoee, Florida 34761, (hereinafter referred to as the "City") and Orange County, Florida, a political subdivision and charter county of the State of Florida, whose address is 201 South Rosalind Avenue, Orlando, Florida 32801, (hereinafter referred to as the "County"), and is based on the following premises: WHEREAS, both the City and the County have the right to provide solid waste collection and disposal services within their respective territories; and WHEREAS, the County has recently undertaken competitive bids to secure the services of private haulers to collect and haul residential solid waste to an appropriate solid waste disposal facility; and WHEREAS, the City has determined it to be in its best interest to contract with the County pursuant to this Interlocal Agreement for the County to administer solid waste collection and disposal services using a County hauler to collect residential solid waste, recyclables, and yard waste within the City of Ocoee for residential units where curbside container collection is the required means of collection, (as opposed to dumpster disposal), and to dispose of the collected solid waste at Orange County transfer stations and the Orange County Landfill; and WHEREAS, to promptly implement this service, the City and the County have agreed that the City shall charge and collect from customers, and pay over to the County, the sum specified herein for residential solid waste collection and disposal until such time as the City, at its option, passes an ordinance and the County takes the necessary steps to have residential properties within the City added to the County's solid waste municipal service benefit unit (MSBU) so that the costs of collection and disposal can be collected from City customers as a County non -ad valorem assessment on the property tax bill; and WHEREAS, City and County agree that the amount charged by the County to the City or customers within the City shall be that amount established annually at the public hearing for the MSBU covering customers served under the County solid waste collection and disposal special assessment; provided, however, that the City may elect to charge its customers a rate established by the City unless the City at its option elects to have the County levy a non -ad valorem assessment on the property tax bill of City customers. NOW THEREFORE, be it agreed by and between the parties as follows: Section 1. Recitals Agreed To. Each and all of the foregoing recitals are acknowledged and agreed to and constitute a part of this Agreement. Section 2. Purpose The purpose of this Agreement is for the City and the County to memorialize the means for the County providing solid waste collection and disposal services to City residential customers as described in this Interlocal Agreement pursuant to Part I of Chapter 163, Florida Statutes. Section 3. Term. This Interlocal Agreement shall commence on the 1 st day of April, 2004, or as soon as possible thereafter, and the initial term shall be through the 31" day of December, 2014, to coincide with the term of the County "Residential Solid Waste and Recyclable Collection Agreement(s)", provided specifically, however, that this Agreement shall be automatically extended for additional terms not to exceed seven (7) years each, unless a Notice of Termination is delivered in accordance with Section 6. If the service charges are 10) placed by the County on the customers' annual property tax bills pursuant to Section 5B of this Agreement, the Agreement can only terminate on the 31' day of December of a given assessment year. Section 4. Services. The County has implemented a countywide mandatory residential solid waste collection and disposal system for residents in unincorporated Orange County. The County has secured bids from private haulers for each of five geographic zones covering the unincorporated area of Orange County. The low bidder for each zone was selected and assigned rights and responsibilities pursuant to a hauler's agreement between the County and the hauler. A hauler will be assigned by the County the responsibility and obligation to collect within the City of Ocoee pursuant to this Agreement. Solid waste collection and disposal, including the collection of yard waste and recyclables, is currently provided to each residential customer with two household garbage collections, one recyclables collection, and one yard waste collection. Services and responsibilities will be in accordance with the agreement between the hauler and the County, as said agreement may be amended from time to time. This will be the initial level of service provided to City of Ocoee customers pursuant to this Agreement. No amendments are currently contemplated, and a copy of a sample hauler agreement is attached as Exhibit "A" to this Agreement. Customers within the City of Ocoee must comply with the provisions of the —hauler agreement and the Orange County Code, Article IV, Chapter 32 as it relates to solid waste services, including container size and pick-up locations, frequency of collection, number of containers, and rules regarding curbside pick-up for solid waste containers, recyclables and yard trash. 91 The service standards for all customers in the County's solid waste system may periodically change, and such changes will apply to those customers located within the City of Ocoee. Notice of any such changes will be made known to customers through the County's Solid Waste Division customer service procedures. A copy of any service changes will be provided to the City at the address set forth herein, generally thirty (30) days in advance of any such changes in customer service procedures. Solid waste collection, yard waste collection and recycling collection services for customers within the City shall be at the same frequency and on the same per -customer cost basis as is applicable to other customers served by the County. The current level of service is: Solid Waste Collection Services to be Provided Basic Services to Be Provided and Frequency and Hours of Service. The following basic Curbside Residential Solid Waste and Recyclable Collection Services may be provided Monday through Saturday from 6:00 a.m. to 8:00 p.m., unless otherwise authorized by the County. The services to be provided as described in the balance of this Section 4, and any additional services that may be included in the County's Hauler Agreement, shall be provided by the County -assigned Hauler. Curbside Residential Garbage and Trash Collection Services. The County (through its Hauler) shall collect from each Residential Premise in the City the contents of an unlimited number of containers of Garbage, but no more than two containers of material from minor household repairs and minor remodeling jobs, twice per week, with not fewer than three days between regularly scheduled collections. 12 Curbside Vegetative Waste Collection Services. The County shall collect from each Residential Premise in the City up to three cubic yards of Bundled Vegetative Waste once per week. In the event the Customer sets out more than three cubic yards of Vegetative Waste on the Vegetative Waste collection day, the County may either collect all of the Vegetative Waste set out or collect three cubic yards and place a tag on the remaining waste indicating that the amount of Vegetative Waste set out exceeded the three cubic yard limit. Curbside Bulk Waste Collection Services. The County shall collect from each Residential Premise in the City up to three cubic yards of Bulk Waste once per week, except that the County shall collect Freon -Containing Devices only when they are labeled certifying that Freon has been removed or if from the appearance of the appliance it is apparent that it contains no Freon. Curbside Residential Recyclable Collection Services. The County shall collect from each Residential Premise in the City the contents of an unlimited number of Recycling Containers and paper kraft bags containing Recyclable Materials once per week. The County shall separate Recyclable Materials at the curbside into two groups. The first group shall consist of newspaper, brown paper grocery bags, and telephone directories. The second group shall consist of glass, plastic bottles, aluminum and steel cans, aseptic packaging and other Recyclable Materials added to the recycling program by the County. Items that are not to be included as Recyclable Materials and discovered by the County during the sorting process shall be left in the container. The County reserves the right to add or delete materials to the list of Recyclable Materials that must be collected by the County and to add or delete component groups, so long as 5 the current recycling collection procedure is not materially impacted, as determined by the County. Community Cleanups. The County shall provide up to two community cleanups each calendar year in accordance with the agreement between the hauler and the county. Additional Services to be Provided Collection of Additional Trash and Vegetative Waste. The County shall collect Additional Trash and Vegetative Waste from any Residential Premise within the City requesting such service at the charge per cubic yard specified in the Hauler Agreement as Exhibit "A", as same may be amended from time to time. The volume of waste material for which these additional services are provided shall be agreed to in advance by the County and Customer. This service shall not be exclusive to the County. Customer shall retain the option of engaging another hauler for the collection of Additional Trash and Vegetative Waste. Distribution and Replacement of Recyclable and Garbage Containers Distribution of Recyclable Containers. The County shall ensure adequate distribution of Recyclable Containers as supplied by the County to each Residential Premise in the City. The title to these Recyclable Containers shall be vested with the County. Customers may use their own containers or paper bags as long as they are suitable for the service. Replacement of Containers Damaged by County. The County will replace at its expense any Container or Recycling Container damaged through the fault or negligence of the County or his employees. Replacement Recycling Containers or Containers designated for Recycling for Residential Premises will be provided by the County with the cost for replacement 2 containers deducted from the County's monthly fees. The County shall replace the Recycling Container promptly after request by the Customer or the City. Replacement of Recyclable Containers Lost or Damaged by Customer. The County will provide for distribution to the customer, replacement Recycling Containers or Containers that were originally provided by the County and lost or damaged by the Customer or if the Customer requests additional Recyclable Containers, or for new Customers. The County shall provide the Recycling Container or Containers promptly after request by the Customer or the City Manager or his designee. The County shall promptly deliver replacement Recycling Containers, and shall monthly report all such replacements to the City. The County shall also promptly deliver Recycling Containers or Containers as requested by the City on behalf of the residential customers for the purpose of setting out excess Recyclable Materials or for new residential customers within five (5) business days of the request by the customer or the County. Manner of Collection. The County shall collect Garbage and Trash, Vegetative Waste, Bulk Waste, and Recyclable Materials with as little disturbance as possible and shall leave any receptacle at the same point it was collected. Accessibility. The edge of all Garbage, Trash, Vegetative Waste, Bulk Waste, and Recyclables to be collected must be placed by the Customer within six feet of the curb, paved surface of the public road, closest accessible public right-of-way, or other such location agreed to by the County that will provide a safe and efficient accessibility to the County's collection crew and vehicle. In the event there is insufficient space between the curb and the sidewalk to place Garbage, Trash, Vegetative Waste, or Bulk Waste, the materials shall be placed within two feet of the sidewalk. For purposes of this Agreement, public road or public right-of-way means a 7 road owned and maintained by the County, City, the State, or special district, or a road on private property for which an easement has been granted to the public and such road is constructed and maintained to a standard whereby access is available by the collection vehicle. The County shall provide Rear Door Collection services at no charge to the Customer to Disabled Persons who have applied to the City in accordance with County requirements and have been authorized by the County to receive such service. In the event that an appropriate location for Rear Door Collection cannot be mutually agreed to by the Customer and the County Hauler, the County Solid Waste Division shall designate the location for pickup. Other than when providing Rear Door Collection, Hauler employees collecting Solid Waste and Recyclables will be required to follow the regular walk for pedestrians while on private property. Routes and Schedules. On or before November I of each year, the Hauler shall provide an updated map of each route and the scheduled days for collection of Garbage, Recyclable Materials, Vegetative Waste, and Bulk Waste. The Hauler shall keep route maps, schedules, and Customer counts current at all times and shall abide by the schedules and routes filed with the County Solid Waste Division. A copy of such route maps, schedules and Customer counts shall be provided to City. Changes to Routes and Schedules. The County may change the scheduled days for collection and/or routes after consultation with the City and shall notify the City of such changes. The County Hauler shall, at its expense, notify each affected Customer, by mail or other manner, not less than one week prior to the change. E:3 Street Closures. The County shall not interrupt the regular schedule and quality of Curbside Residential Solid Waste and Recyclable Collection Service because of street closures or other denial of access. Holidays. The following days shall be the County's holidays: Memorial Day, Independence Day, Labor Day, Thanksgiving Day, Christmas Day, and New Year's Day (except that Vegetative Waste and Recyclable Materials shall be collected on New Year's Day if it is a regularly scheduled collection day). Services not provided on the designated holidays shall be provided on the next scheduled collection day for the type of service for Customers not serviced because of the holiday. Customers not receiving Vegetative Waste collection service due to a holiday shall be entitled to Vegetative Waste collection service limited to six cubic yards of yard waste on the next scheduled pickup day for Vegetative Waste. No Bulk Waste collection service shall be provided when a County holiday has occurred during that week. Subscription Rear Door Collection. Upon the request of a Customer, Rear Door Collection services may be provided at a charge not to exceed $8.50 per month per Residential Premise. This amount is separate and apart from the compensation paid to the County for other services provided under this Agreement. Spillage. The County Hauler shall not litter or cause any spillage to occur upon the Residential Premises, roadway, or the right-of-way wherein the collection shall occur. Spillage of hydraulic fluids shall be cleaned in accordance with terms of contract with minimum delays and closures to traffic. No Biohazardous or Hazardous Waste. County shall not collect Biohazardous or Hazardous Waste nor dispose of such waste at any Designated Facility. County shall refuse to W collect Solid Waste from a Customer if the County believes that such Solid Waste contains Biohazardous or Hazardous Waste, and shall promptly notify the City of such occurrence. The County shall have the right to inspect the Solid Waste and Recyclables deposited or collected by Customers at any time to determine whether such Solid Waste or Recyclables contains Biohazardous or Hazardous Waste, and to take any necessary action to insure that Customer ceases placement of such material into the Orange County system. Services During and Following Emergency Conditions Variances from Contracted Services. In the event of any emergency or natural disaster, such as a hurricane, tornado, severe storm, or flood, the County may grant a variance from regular routes and schedules and disposal sites for the time period in which the emergency exists. The County shall make every effort through the local media to inform the public of changes in County services resulting from the event and when regular service and schedules are resumed. As soon as practicable after such natural disaster, the County shall advise the City when it is anticipated that normal routes and schedules will be resumed. Customer Services Complaints. All complaints received by the City shall be forwarded to the County by telephone, facsimile or electronic mail, where the complaint shall be documented and recorded by the County on a form approved by the County. The complaint shall be resolved after it is received by the County. Customers in the City shall receive the same level of service as customers in the County as it relates to resolution of complaints, except that customer complaints may be made directly to the City which will then coordinate with the County regarding the resolution of such complaints. 10 Customer Noncompliance. When Garbage, Trash, Vegetative Waste, Bulk Waste, or Recyclable Materials are not prepared properly for collection, the County shall provide written notification to the Customer of the reason the material in question was not collected and provide the Customer information on how to properly prepare the materials for collection. The initial contact shall be by the County's Franchised Hauler collection crew by leaving a written notice or tag on the container of the material in question. New Customers. City shall notify the County Solid Waste Division when new customers require collection services. The County shall respond to a new Customer entitled to Solid Waste and Recyclable Collection Service and shall furnish to new Customers recycling bins, collection schedules, rates, brochures, and written materials provided by the County. Public Awareness. The County shall periodically deliver to Customers in the City any brochures or other written materials in connection with the County's Public Awareness Program. Additionally it is the County Hauler's responsibility to provide information about those customers who repeatedly do not prepare or set out their Recyclable Material or solid waste as specified within this Contract to the County. County Designates Hauler. The County shall designate the hauler who will provide service within the City of Ocoee. The County may change the designated hauler from time to time. Section S. Costs to the City. A. Monthly Service Charges. Monthly service charges for residential solid waste collection and disposal services will be billed by the County to the City. The costs of residential solid waste collection and disposal will initially include garbage collection twice per 11 week, yard waste once per week and recyclables collection once per week. Monthly service charges will be billed on a monthly basis in advance to the City of Ocoee. For the year 2004, this amount is $146.06. The monthly charge to the City of Ocoee per customer will be $146.06 divided by 12, or $12.17 per customer. This sum will be payable by the last day of the month, in advance, by the City at the following address: Solid Waste Collection c/o Orange County Utilities Customer Service Division 109 East Church Street Orlando, Florida 32801 County shall notify the City of the tentative rate as soon as practical and no later than the last day of July of each year for budgetary purposes. The County shall notify the City of the final rate upon adoption by the Board of County Commissioners. B. Special Assessments. The City and the County agree that the City may, at its option, elect to have customer service charges collectable as described herein. The County currently collects an annual solid waste collection and disposal fee on the tax bill of residential customers in unincorporated Orange County under the County's mandatory solid waste disposal ordinance. The City and the County agree that this mechanism may be utilized to collect the service charges for customers located within the City as soon as practicable after notice of election of this means of collection by the City. The County implements the special assessment pursuant to Section 125.01(1)(r), Florida Statutes. The County annually passes required resolutions to set the amount of the annual special assessment; provide notice to affected property owners; provide notice to the Property Appraiser and Tax Collector concerning the properties covered by the special assessment (the assessment roll); and, otherwise handles administration of the special assessment. Special assessments imposed by counties pursuant to 12 Chapter 125, Florida Statutes, may become applicable within the City if the City concurs by passing an ordinance allowing this special assessment to be effective within the City. To that end and subject to adoption by the City of the requisite ordinance at a future date, it is an option that the charges by the City to the City customers for residential solid waste collection and disposal services will end when the special assessment is valid for customers within the City and when such charges are actually collected through that mechanism. The steps in that process will be to add City customers to the assessment roll, to include City customers in the County's special assessment program for residential solid waste collection and disposal, and, upon City adoption of an ordinance, to authorize special assessment for residential solid waste collection and disposal within the City through the term of this Agreement. Should the special assessment process not be adopted or fully implemented within the City or as to particular customers, the City and the County agree that the County will bill the City on a monthly basis in advance, and the City will in turn bill the affected City customers, on a monthly basis for residential solid waste collection disposal services as outlined in this Agreement, or elect to levy a non -ad valorem assessment on City customers. Any billing done by the City whether on a monthly basis or by adoption of a non -ad valorem assessment may be at such rates and charges as are determined by the City Commission of the City, which rates and charges may be different from those charged to other County customers. The County recognizes that the City will have certain administrative and other charges associated with this Agreement which are in addition to the charges imposed by the County. 13 Section 6. Termination. A. This Agreement may be terminated by the mutual agreement of the City and the County. Such termination shall occur at and coincide with the expiration of the contract between the County and the hauler designated by the County to provide collection services to Ocoee, and shall require eighteen (18) months written notice prior to said expiration date. B. This Agreement may be terminated by the City if the County fails to deliver the solid waste collection services to significant numbers of city residential customers, and if this failure to provide such services is not cured within fifteen (15) days of notice of such failure. "Significant numbers" of city residential customers shall be defined as the same fifty (50) residential customers during a calendar year. C. This Agreement may be terminated by the County should the City fail to pay to the County the monthly service charges described in paragraph 5A when due; provided, that the County shall first give the City written notice of such default. D. Opportunity to cure defaults shall be afforded by each party to the other, as agreed by the parties. During any cure period, the County shall continue to provide residential solid waste collection services and the City will continue to pay all sums then due to the County for services under this Agreement. 14 E. If residential solid waste collection service charges have been made subject to a special assessment, pursuant to Section 5B of this Agreement, then this Agreement may only terminate on December 31 of the assessment year. Section 7. Notices. Any notice required or allowed to be delivered hereunder shall be in writing and be deemed to be delivered when (i) hand delivered to the official hereinafter designated, or (ii) three days after the date on which deposited in the United States mail, postage prepaid, certified mail return receipt requested, and addressed to a party at the address set forth opposite the party's name below, or such other address as the party shall have specified by written notice to the other party delivered in accordance herewith: If to the County: Orange County Utilities Department Suite 400 109 East Church Street Orlando, Florida 32801 Attn: Director With copy to: Orange County Attorney's Office Orange County Administrative Center 201 South Rosalind Avenue Orlando, Florida 32801 If to City: City Manager, City of Ocoee 150 Lakeshore Drive Ocoee, Florida 34761-2258 With copy to: Director of Public Works City of Ocoee 150 Lakeshore Drive Ocoee, Florida 34761-2258 15 Section & Counterparts. This Agreement may be executed in any number of counterparts, each of which when executed and delivered, shall be an original, but all counterparts shall together constitute one and the same instrument. Section 9. Entire Agreement, This Agreement constitutes the entire agreement of the parties with respect to the subject matter hereof, and may not be modified or amended except by a written instrument equal in dignity herewith and executed by the parties to be bound thereby. Section 10. Severability. If any part of this Agreement is found invalid or unenforceable by any court, such invalidity or unenforceability shall not affect the other parts of this Agreement if the rights and obligations of the parties contained therein are not materially prejudiced and if the intentions of the parties can continue to be effectuated. To that end, this Agreement is declared severable. Section 11. Governing Law; Venue This Agreement shall be governed by and construed in accordance with laws of the State of Florida. If any legal proceeding is commenced pursuant to this Agreement, it shall be filed in the State Courts in Orange County, Florida. Section 12. Existing City Agreement, The City has provided the County with a copy of the City of Ocoee Residential Yard and Bulky Waste Collection and Disposal Agreement, dated August 30, 2001 between the City and Superior Waste Services of Florida, Inc. ("Superior") (the "Existing Contract"). Pursuant to the Existing Contract, Superior is obligated to collect all yard waste (regular and bulk) from all single-family residences within the City and to perform other services as described therein (the 16 "Existing Services"). The term of the Existing Contract runs through August 31, 2006. The Existing Services provided by Superior under the Existing Contract overlap with certain services to be provided by the County pursuant to this Agreement. Notwithstanding any provision contained herein to the contrary, for so long as Existing Contract is in effect neither the County nor the private hauler assigned by the County to service the City shall perform the Existing Services which are the responsibility of Superior under the Existing Contract. The City acknowledges that the County will be charging the City the same rate charged to County customers which rate includes services comparable to (but not necessarily identical to) those provided by Superior under the Existing Contract and that the rate charged to the City will not be discounted based on the exclusion of the services covered by the Existing Contract. Commencing September 1, 2006, the County will commence providing all services called for pursuant to this Agreement and the exclusion set forth in this Section shall be applicable. Further, should the City and Superior terminate the Existing Contract, then the County will commence providing all services called for pursuant to this Agreement and the exclusion set forth in this Section shall be applicable; provided, however, that the City shall give the County at least 30 days notice of the termination date of the Existing Contract, and the County shall commence providing the service as soon as possible. Section 13. Effective Date. This Agreement shall become effective upon the date of execution of the last of the parties hereto (the "Effective Date") 17 WITNESS following signatures and seals: ORANGE COUNTY, FLORIDA By: Board of County Commissioners L'In Date: ATTEST: Martha O. Haynie, County Comptroller As Clerk of the Board of County Commissioners Deputy Clerk 18 Richard T. Crotty County Chairman CITY OF OCOEE, FLORIDA ATTEST: Jean Grafton, City Clerk ((SEAL)) FOR USE AND RELIANCE ONLY BY THE CITY OF OCOEE, FLORIDA; APPROVED AS TO FORM AND LEGALITY this day of 2004. FOLEY & LARDNER S. Scott Vandergrift, Mayor Date: APPROVED BY THE OCOEE CITY COMMISSION AT A MEETING HELD ON , 2004, UNDER AGENDA ITEM NO. S:\RGuthrie\AGRCNT\Interlocal with City of Ocoee for Solid Waste 1121 03.rtf 19