HomeMy WebLinkAbout2018-4 - Declaring Its Intention to Conduct a Public Hearing to Consider Granting Non-Exclusive Solid Waste FranchisesRESOLUTION NO. 2018-4
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
NEWPORT BEACH, CALIFORNIA, DECLARING ITS
INTENTION TO CONDUCT A PUBLIC HEARING TO
CONSIDER GRANTING NON-EXCLUSIVE SOLID WASTE
FRANCHISES
WHEREAS, the City Council of the City of Newport Beach ("City") finds and
determines that the collection of municipal solid waste, recyclable materials, food scraps,
green waste and construction and demolition debris (collectively, "Commercial Solid
Waste") generated within the City is a vital public service;
WHEREAS, the City Council further finds and determines that the collection,
transportation, storage, transfer, processing and disposal of Commercial Solid Waste
("Commercial Solid Waste Handling Services") is a matter of great public concern
because improper control of such matters subjects the City to potential liability, damages
and penalties and may create a public nuisance, air pollution, fire hazard, infestation and
other problems affecting the public health, safety and welfare;
WHEREAS, the non-exclusive franchises for the use of public streets to provide
Commercial Solid Waste Handling Services promotes the public health, safety and
welfare by promoting permanence and stability among those businesses wishing to
provide such service and accountability to the City for compliance with current and future
state mandates;
WHEREAS, pursuant to Article XIII of the City Charter and Public Resources Code
Sections 40059, 49300, and 49500 through 49523, the City is authorized to enter into
non-exclusive franchise agreements for solid waste handling services with private solid
waste haulers;
WHEREAS, pursuant to City Charter Section 1301, the City Council, prior to
granting any franchise, shall pass a resolution declaring its intention to grant same, stating
the name of the proposed grantee(s), the character of the franchise, and the terms and
conditions upon which it is proposed to be granted; and
WHEREAS, such resolution shall fix and set forth the day, hour and place when
and where any persons having any interest therein or any objection to the granting thereof
may appear before the City Council and be heard thereon.
NOW, THEREFORE, be it resolved by the City Council of the City of Newport
Beach that:
Section 1: The City Council hereby declares its intention to grant non-exclusive
franchises, subject to the following general terms and conditions ("Non-exclusive
Franchise"):
a. Effective date. April 13, 2018.
Resolution No. 2018-4
Page 2 of 4
b. Franchise fees. Sixteen percent (16%) of gross monthly receipts. A portion
of the franchise fee, five and half percent (5.5%), shall be earmarked for the purposes of
indemnifying and holding the City harmless from environmental liability associated with
the franchisee's operations in the City. This portion of the franchise fee shall be paid into
the City's Environmental Liability Fund.
C. Term. April 13, 2018 to November 8, 2024.
d. Rates. The City shall not set franchisees' bin rates.
e. Indemnification. Franchisees shall indemnify and hold City harmless from
penalties and damages for failure to meet state recycling requirements with respect to the
portion of the Commercial Solid Waste stream collected by franchisees.
f. Diversion requirements. Franchisees shall divert a minimum of fifty-five
percent (55%) of all municipal solid waste, recyclable materials, food scraps and green
waste collected by franchisee. Franchisees shall divert a minimum of sixty-five percent
(65%) of all construction and demolition debris collected by franchisees.
g. Disposal requirements. Franchisees shall dispose of Commercial Solid
Waste, not otherwise diverted, in Orange County landfills pursuant to the City's waste
disposal agreement with Orange County. City maintains the right to designate disposal
facilities to be used by franchisees.
h. Billing. Franchisees shall be responsible for all billing and collection for its
accounts.
i. Termination. Franchise shall not be revoked unless there is default under
the agreement, ordinance, or applicable law.
j. Application requirements. Prior to obtaining a non-exclusive solid waste
franchise, franchisees shall designate the specific Commercial Solid Waste Handling
Services for which it desires to apply and shall demonstrate competence in and
compliance with the City's insurance, equipment, and diversion requirements with respect
to those Commercial Solid Waste Handling Services.
k. Public education. Franchisees shall meet City's requirements to
implement recycling, diversion and source reduction public education activities.
I. Recycling/diversion programs. Franchisees shall implement and provide
recycling and diversion programs for all customers subject to California State Assembly
Bills 939, 341, and 1826, and the California Green Building Standards Code.
M. Hauler representative. Franchisees shall designate a representative to
assist in implementing State -imposed recycling and diversion programs.
n. Compliance. Franchisees shall comply with all State, Federal laws and
regulations, terms and conditions of the franchise agreement, City Charter and the
Newport Beach Municipal Code.
Resolution No. 2018-4
Page 3 of 4
Section 2: The City proposes to grant the Non-exclusive Franchise to the
following entities (collectively, "Proposed Grantees"), which are presently licensed and
permitted to conduct business in the City:
a. Kevin Ray Demolition Inc.
b. S Jade Corporation
C. Skyline Construction Services, Inc. DBA SCOR Industries
Section 3: The City Council shall conduct a public hearing on February 27, 2018
at 7:00 p.m., or as soon thereafter as is practical, in the City Council Chambers located
at 100 Civic Center Drive, Newport Beach, California, to consider granting the Proposed
Grantees a Non-exclusive Franchise. Persons who have an interest in or objection to the
granting of a Non-exclusive Franchise to the Proposed Grantees may appear before the
City Council and be heard at that date and time.
Section 4: The City Council of the City of Newport Beach finds that this
resolution is categorically exempt from the California Environmental Quality Act ("CEQX)
under California Code of Regulations Section 15301 and 15308, which exempts "existing
operations and facilities" and "actions by regulatory agencies for protection of the
environment." Use of this CEQA exemption is appropriate because the resolution does
not change nor expand existing solid waste operations and facilities within the City. This
resolution is also consistent with the goals of California State Assembly Bills 939, 341,
and 1826, The California Solid Waste Management Act as well as the objectives of the
City's Source Reduction and Recycling Element.
Section 5: The recitals provided above are true and correct and are
incorporated into the substantive portion of this resolution.
Section 6: If any section, subsection, sentence, clause or phrase of this
resolution is, for any reason, held to be invalid or unconstitutional, such decision shall not
affect the validity or constitutionality of the remaining portions of this resolution. The City
Council hereby declares that it would have passed this resolution, and each section,
subsection, sentence, clause or phrase thereof, irrespective of the fact that any one or
more sections, subsections, sentences, clauses, or phrases be declared invalid or
unconstitutional.
Section 7: Pursuant to City Charter Section 1301, this resolution shall be
published in the City's official newspaper within fifteen (15) days of its adoption and at
least ten (10) days prior to February 27, 2018.
ADOPTED this 13th day of February, 2018
/_11i1*15
c c �- VUvYV�
Leilani I. Brown
City Clerk
APPROVED AS TO FORM:
CITY ATTORNEY'S OFFICE
Aaron -C. Hrp
City Attorney
Resolution No. 2018-4
Page 4 of 4
STATE OF CALIFORNIA }
COUNTY OF ORANGE } ss.
CITY OF NEWPORT BEACH }
I, Leilani I. Brown, City Clerk of the City of Newport Beach, California, do hereby certify that the
whole number of members of the City Council is seven; the foregoing resolution, being Resolution
No. 2018-4 was duly introduced before and adopted by the City Council of said City at a regular meeting of
said Council held on the 131h day of February, 2018, and the same was so passed and adopted by the
following vote, to wit:
AYES: Council Member Jeff Herdman, Council Member Kevin Muldoon, Council Member Diane
Dixon, Council Member Scott Peotter, Council Member Brad Avery, Mayor Pro Tem Will
O'Neill, Mayor Duffy Duffield
NAYS: None
IN WITNESS WHEREOF, I have hereunto subscribed my name and affixed the official seal of
said City this 14'" day of February, 2018.
444 0),Am,
Leilani I. Brown
City Clerk
Newport Beach, California