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Home My WebLink About10 - Terminating a Non-Exclusive Franchise Agreement for Commercial Solid Waste - CorrespondenceiE®'im sm DISPOSAL A RECYCLING LLC May 13, 2024 Mayor Will O'Neill City of Newport Beach 100 Civic Center Drive Newport Beach, CA 92660 Dear Mayor O'Neill: Received After Agenda Printed May 14, 2024 Agenda Item No. 10 I am writing this letter to offer an update on those matters the Council wanted corrected in regards to Key's Disposal & Recycling service of the Rolloff container at Bloomindales Department Store, and in response to the memo sent to Key on April 29, 2024 from Charles .Springer. It is our understanding that this matter will return to Council on May 14 for further consideration. Given the May 14 Council date, it seems Mr. Springer's memo of April 29 in which he states he wishes to pursue termination of Key Disposal & Recycling, based on his evaluation of two items that are in the completion stage, is premature at best, and I believe misinformed. I have listed below further progress to bring these items, listed as Task 3 and 4, into City compliance and have added recommendations for a program that will assist Bloomindales and Key better coordinate a program that starts inside the store and ends with Key's collection/recycling material destinations. 5202 Industry Ave 9 Pica Rivera, CA 90660 • Tel. (323) 721-5441 9 info@keydisposalrecycling.com .NW -- DISPOSAL A RECYCLING LLC TASK 3---Generator Outreach. With regard to the agreement from the Store and the 2023 tonnage amounts, this has been previously submitted. Also, previously submitted was a notice of Key and Store personnel as it pertains to providing outreach and educational materials to the Store. We have had no information from the Store over the past period of time that changes in Store personnel may have resulted in Key materials not being sent to the appropriate person. Nor have we been informed by the Store what their internal procedures are/were, how they distributed our materials and if additional specific education materials would be needed. While Key did not record specific dates and delivery times and Store reception/personnel, in hindsight we probably should have. This is why we are recommending specific meeting times with relevant Store personnel to review the outreach/education material at the Store location on a regular schedule. NOTES: A walk-through meeting at the Store to review these matters is set for May 9. Attachment A. While not all of the Key educational/outreach materials have been saved, specific notes and materials have been communicate(A to the Store. See ATTACHED Materials. Usually Key outreach/educational materials follow specific themes: Outlining regulatory and State mandates that change or add' to -waste sorting, contamination, and the use of newly designed containers to V ` % address meeting our recycling objectives Other education materials are reviewed with customers to address speciffc customer problems, such as contamination, material sorting, use oftecycling containers, etc. A continuing problem is ,just to persuade customers to recycle. w 5202 Industry Ave * Pica Rivera. CA 90660 • Tel. 1323) 721-5 1 * inbftOydlsposalrecycling.cw _r KEY 01511105M 6 RECYCLING LLE Task 4 — Diversion Plan. Waste assessment for instore containers has been difficult to obtain for several reasons: -A reliable instore information source. This included the information needed to design and execute an interior source separation program, which is beyond our scope of work for this account. -As noted a meeting is set for Store representatives and Key personnel for May 9 at the Store to obtain specific information the City deems necessary for our reports and — to establish a line of direct communication that will include store contacts, distribution of Key materials, and regular instore meetings. -It is recommended that the City needs to decide for various reporting responsibilities between Key and Waste Management. Waste Management is the collector/recycler oil record for the Store Recycling Materials and Organics. (Some of which we find in our compactor.) Key has made significant progress on the issues identified as requiring additional work. We anticipate by the May 14 Council meeting+date -we will have effectively resolved the outlined issues. " 5202 Industry Ave • Pica Rivera, CA 90660 • Tel, (323) 721-W1 ■ inf2g"d ■N= DISPOSALS RECYCLING LLC Key Disposal & Recycling thanks the Mayor and City Council for the opportunity to meet all City and State recycling/waste requirements. We hope to have the opportunity to continue serving commercial customers in Newport Beach for another 30 years. Since ohn Katangian, President Key Disposal & Recycling cc. Newport Beach City Council. Mr. Charles Springer, Public Works Department (1\0e 52021ndustry Ave * Pica Rivera, CA 90660 • Tel_ (323) 721-5 1.+ From: Monica Ng Sent: Monday, May 6, 2024 1:26 PM To: Shelly keydisposalinc; Elizabeth Raney; Info keydisposalinc; Liz keydisposalinc; Eliza keydisposalinc Cc: Shea Ledbetter Subject: RE: Key Disposal and Bloomingdales (BLM720030) Hi Shelly, We backhaul the material on our return trailers to our Distribution Center in City of Industry. From City of Industry, we have an agreement with International Paper for our OCC (Cardboard). Hope this information helps. Thank you, Monica Macy's, Inc. Mobile: 732-439 7300 MISSION CreaiinU a EVERY brighter future -, wish baki reprownlaiian. From: Shelly keydisposalinc<shellykeydisposalrecycling_com> Sent: Monday, May 6, 2024 4:14 PM To: Elizabeth Raney fo. - <Elizabeth: Raneybloomingdales:com>; Info keydisposalinc <info�Monica Ng keydisposalrecycling com>; Liz keydisposalinc <liz.keydisposalrecycling,com>; ----- <monica:y_nmacys:com>; Eliza keydisposalinc<eliza�?keydisposalrecycling_com> Cc: Shea Ledbetter <Shea,Ledbetter bloomingdales.com> Subject: Re: Key Disposal and Bloomingdales (BLM720030) 0 FXT MSG: Good afternoon Elizabeth, I am attaching flyers for SB 1383 Outreach to let you know what you can put in your recycling container as well as your organics bin. I will go over as well on our walk thru. This is confirmation that on May 9th at 3pm. We will be doing a waste analysis walk. The city is requesting the backhaul agreement with the store, can you please forward the same copy if you provided to the city.? Let me know if you have any questions. Thank you, Shelline Katangian Key Disposal and Recycling, Inc. 323-721-5441 Office ----------------------- 323-430-0096 Direct ----------------------- From: Shelly keydisposalinc Sent: Monday, May 6, 2024 1:14 PM To: Elizabeth Raney; Info keydisposalinc; Liz keydisposalinc; Monica Ng; Eliza keydisposalinc Cc: Shea Ledbetter Subject: Re: Key Disposal and Bloorningdales (BLM720030) Good afternoon Elizabeth, I am attaching flyers for SB 1383 Outreach to let you know what you can put in your recycling container as well as your organics bin. I will go over as well on our walk thru. This is confirmation that on May 9th at 3pm. We will be doing a waste analysis walk. The city is requesting the backhaul agreement with the store, can you please forward the same copy if you provided to the city.? Let me know if you have any questions. Thank you, Shelline Katangian Key Disposal and Recycling, Inc. 323-721-5441 Office ----------------------- 323-430-0096 Direct 714-887-7924 Cell ----------------------- 323-246-0254 Fax K C TF 1i15PpC& RECYC!!NG 323'721.5441 Thank you, Shelline Katangian Key Disposal and Recycling Inc. 323-721-5441 Office ------------- Get Outlook for iOS From: Shelly keydisposalinc<shelly�keydisposalrecycling_com> Sent: Monday, April 29, 2024 1:57 PM To: Elizabeth Raney <Elizabeth_Raney(@ bloominRdales.com>; Info keydisposalinc - <infokeydisposalrecycling:com>; Liz keydisposalinc <lizIceydisposalrecycling_com>; Monica Ng <monica:y.ngta?macys:com>; Eliza keydisposalinc<eliza(a?keydisposalrecycling_com> Cc: Shea Ledbetter <Shea.Ledbetter@ bloominRdales.com> -------------------------- - Subject: Re: Key Disposal and Bloomingdales (BLM720030) See you then! Thank you, Shelline Get Outlook for iOS ry: Recycling successes fc Recycling s, reusable m saves our lfi wDespite th Irecyclables, and industry recycling con to Industries list. We fonti cardboard, v Following ou your waste opportuniti, recycled. Exc articles, etc rpanded to d of course With these m, to be a rnajc container is Nhile ir.ttivii provided for hen rG'cyAak ;ocliity (IV RF) he Kali: Vdill WHY , I � Y SHOULD BUSINESS'S USE 14EY DISPDSa & RECYCLING? : The Key reason to use Key Recyclingg� ((KDR) is to have guanteed best Service and the flexi61ity to meet your changraing waste requirements. KDR is a third -generation family owned waste and recyding company specializing in commercial waste and Mcling commercial waste streams throughout Southern fornia. Problems with your waste collection service? Need to make a collection change? Wondering why your rates are increasing all the time? No need to go through a long corporate list of em loyees located in who -knows -where to find help. With KIR your waste needs are met, one cell call to President John Katangian and it's done. KDR efficiency begins with a customer waste analysis which "right sizes exact customer equipment allotment and service levels to ensure the lowest rates. SUPERIOR SERVICE: KDR establishes service programs and schedules for customers based on curreal needs, conducts waste audits to determine what materials can be recycled, provides a variety of containers for waste/recyclable separation, size containers to fit customers geographic needs and disposal amounts, Pets collection times to meet company schedules, etc. With KDR company management just a phone call away, customer desired changes con be made immediately. This includes equipment changes such as extra needed bins etc KDR's immediate response to customer ::, , S endsa netted in some cases huge saving for customp de t ght collection equipment s every 7 al : occouttt to insure the highest hcieiicX:t least disruption, the highest rate; F the best eaiiatl collection program. is iiadudes: ' ortriing a "right size" customer waste idy to in cusMrttsr waste is collected in the most Icieilt mr c Insr Tot t,.insure-tight sized bins are I a COMPACTOR Today? Invitation To Save You Money. Customer satisfaction is #1 priority. Do you know if your current waste/recycler ler is giving you the best service at the lowest ipetitive cost? Call KDR for no -obligation free service cost estimate. Customer satisfaction starts with Omer communication. Have a problem, need added ice, or less service, want to change your collection dule? A quick call to one of KDR's owners, John or , and that's all it takes. No corporate maze or i Your RECYCLING Specialists KEY DISPOSAL &RECYCLING rym waste murerrur mur are oemy it where your material is going. n some cases where "mixed" req ;ombined and/or contamination is F naterial will be seat to a Materh ;adlity (MRF) where it is sorted, Nhere appropriate KDR also sa heir facility to insure andfltled. - ;. h v ictdt nzation Stud} Analyze Collected Waste. Waste Categorized Into Three Types: Waste Disposal Recyclable Material' Potential Recyclable Material. Material Separation Where Applical a At Key Facility 4r MRF. Waste Material To Transfer landfill, o MIZE Recyclable Material To itecycle Cerrt or MRF For Specific Types of Material. s Potential Recyclable Material-An+ed For Specific Types of Recycling Reuse. Contamination is often a factor preventing ,recycling. Key designs customer collection programs and equipment to eliminate contamination at the collection site, and will Iperform additional sorting at facility if required. construction & Demolition "LOW BOYS" Ready to Roll! Overview of 5B 1383: 0 SB 1383 establishes aggressive organic waste reduction targets. SB 1383 also builds upon the Mandatory Commercial Organics Recycling law (AB 1826). � Our jurisdiction has been Implementing this law since 2076. SB 1383 requires Californians to reduce organic waste disposal by 50% by 2020 and 75% by 2025. These targets use CalRecycle's 2014 Waste Characterization Study measurement's when 23 million tons of organic waste were disposed. These disposal reductions will reduce at least 4 million metric tons of emissions annually by2030. E. Additionally, as a part of the disposal reduction targets the Legislature directed CalRecycle to increase edible food recovery by 20 percent by 2025. N'Mndaiory Commerciai Recycling Low AB 341 requires commercial and public entities that generate 4 cubic yards or more of solid waste per week - and multi -family apartments with 5 or more units to subscribe to recycling services by July 1, 2012. 11:.1,1 0we Mandatory Commercial Organic Recycling Law California low AB 1826 went into effect in 2016. AB 1826 requires businesses and schools that generate 4 or more cubic yards of solid waste to implement a recycling system - with full implementation realized in 201 Q. Let KEYDISPOSAL Be Your Recycling Partner PLASTICS Soda & Water Bottles, Milk Jugs, Salad Dressing Bottles jp4KEE.YV "\323 z.1'saai rib -Y 015P05AL&RECYCLING INC .� 323 - 721- 5441 ;i PAPER �. Office Paper, Flattened Cardboard, Newspapers, Catalogs, Magazines, Phone Books, Paper Bags Do not recycle the following items listed below. Key Disposal & Recycling Inc. 1 5202 Industry Avenue I Pico Rivera, CA 90660 Soda Bottles Water Bottles Milk lugs Salad Dressing Bottle Glass Bottles & Jars Steel Cans Aluminum Cans White Paper Computer Paper Letter Head IT Recycle: Carbon Paper Cellphone Tape Pens & Pencil Photographs Rubber Bands Styrofoam Packaging Stir Sticks Tea Bags Plants 1. Making Recycling Easy Folders "Junk" Bail Colored Paper Magazines Fax Paper Envelopes �"'' Phone Books �- = Gift Boxes Newspaper :�.. Flattened Cardboard _ Sticky Notes ` `,� "'■ It Non Kinsei Soiled Tissues Ceramics Coffee Grounds Creamer Packets EY • ,1 %PCA-LF4U-W'L DIE 323721-5441 5202 Industry Ave. Pico Rivera, CA 90660 Info keydisposalinc From: Info keydisposalinc Sent: Monday, May 13, 2024 11:13 AM To: rsal212@aol.com' Cc: Eliza keydisposalinc Subject: FW: Task 3 and Task 4 Attachments: Task 3- Backhual Description from Bloomingdales by Email.pdf; Task 3- Outreach Material sent Via Email.pdf; Task 3- Outreach Educartional Material.pdf; Task4-WasteAnalysisPictures.pdf; Backup for recycling bin quote.pdf See below email sent to Charles and should I include. From: Shelly keydisposalinc <shelly@keydisposalrecycling.com> Sent: Friday, May 10, 2024 2:33 PM To: Springer, Charles <CSpringer@newport beach ca.gov> Cc: WasteReporting<wastereporting@newportbeachca.gov>; Eliza keydisposalinc<eliza@keydisposalrecycling.com>; Info keydisposalinc <info@keydisposalrecycling.com>; Salazar, John <JSalazar@newportbeachca.gov> Subject: Task 3 and Task 4 Good afternoon Charl eTask 3 — Generator Outreach: Recycling flyers were emailed to customer representative on May 6th. Outreach materials were also delivered to customer in person during May 9th waste analysis at customer location. During waste analysis walk thru explanation of mandatory recycling was discussed and customer responded that they have segregated recycling receptacle for wood, plastic, paper, and organics provided by Waste Management. Backhaul agreement was not provided, however, they did explain in an email attached that their trailers carrying recyclables are backhauled to a facility in City of Industry. In addition, they have an agreement with International Paper for OCC (Cardboard). Task 4 — Diversion P On May 9th we completed a waste analysis during our walk thru of customer facility both interior and exterior. Interior containers were located in lunch room, restroom, and by floor register. Only plastic trash containers were visible. We found opportunities for recycling of plastic bottles, biodegradable straws, and paper. Customer notified us that they rejected our proposal for paper recycling because they already have that in place through International Paper. We further gave our recommendation to insert a separate receptacle next to the existing trash containers for mixed recycling and referred to the outreach materials we provided them. Upon analysis of exterior portion of customer site we found organic container present, wood hanger bins in the warehouse basement, our trash compactor, and cardboard container and baler. We recommend that they should also have a mixed recycling bin. We quoted (1) 3 yard bin, serviced (1) pick up per week for $180.95 per month. Since they already have a recycling program through Macy's and Waste Management for paper/cardboard, organics, and wood hangers we did not provide pricing for these services already in place. From: Springer, Charles <CSpringer@newportbeachca.gov> Sent: Monday, April 29, 2024 4:06 PM To: Shelly keydisposalinc<slielly@I<eydisposalrecycling.com> Cc: WasteReporting<wastereporting@newportbeachca.gov>; Eliza keydisposalinc<eliza@keydisposalrecycling.com>; Info keydisposalinc <info@keydisposalrecycling.com>; Salazar, John <JSalazar@newportbeachca.gov> Subject: RE: Key Disposal & Recycling: Newport Beach (part 1 of 5) Shelline, Please see below. Task 1: Selection of Mixed Waste Material Recovery Facility. Determination: Complete as of April 3, 2024. Task 2 — Waste Characterization Audit: - The City asked for the following: - Date and time of collection - Location and name of inspection facility - Images from the waste inspection that includes any contamination identified as well as the transported container. - Waste characterization report - Weight tickets for divertible debris that includes facility name(s) and location(s). o The CR&R MRF weight ticket was omitted from this submission, but we have a copy from the original that we consider as submitted (attached). Determination: Complete as of April 26, 2024. Task 3 — Generator Outreach: - The City asked for the following: o Written documentation of contacts with appropriate store personnel pertaining to providing outreach and educational material to store personnel o The written agreement/ arrangement from the store and the tonnage from 2023. Determination: Incomplete. Written response below did not demonstrate Key Disposal provided outreach material to store personnel. It indicated educational outreach material is obtained by Bloomingdale's staff, but no dots were connected that Key Disposal furnished educational outreach material to the company and explained the expectations. - The backhaul arrangement — per an email supplied, the store.,acknowledged they backhaul, but details were not supplied in your response by either store personnel or Key Disposal & Recycling delineating the arrangement. Task 4 — Diversion Plan: - The City asked for the following: - Results of the waste assessment of interior containers - Written documentation of attempts to implement a source separation program for interior containers. - Written documentation of attempts to implement a recycling program that includes an external container. Determination: Incomplete. - Results of the waste assessment of interior containers — incomplete - Written documentation of attempts to implement a source separation program for interior containers. — incomplete o Response provided uses future tense and not past tense, indicating attempts to implement have not been conducted. - Written documentation of attempts to implement a recycling program that includes an external container. — incomplete o Response provided uses future tense and not past tense, indicating attempts to implement have not been conducted. Task 5 - Supply a completed Exhibit E report: - The City asked for the following: - A completed version of the Exhibit E Reporting Protocol must be supplied to the City. Determination: Complete. I called appropriate personnel at Bloomingdale's today, April 29, 2024, to confirm information supplied in your response. They confirmed that a teams call transpired on April 22 and lasted approximately 5 minutes. The call consisted of an image of compactor contents, but educational materials were not provided and implementation recommendations were not made. I also asked if store personnel had been provided educational materials by Key Disposal, if a walkthrough with store personnel transpired, and if store personnel had any information regarding their backhaul. The store confirmed that they had not been provided any educational materials by Key Disposal, a scheduled walkthrough with Bloomingdale's staff did not transpire but Key Disposal came unescorted late at night one night, and store personnel provided me with an in depth review of their backhaul process. Store staff was very confused as to what Key Disposal was attempting. Taking the two incomplete items into account, in addition to communication with appropriate store personnel today, we will be pursuing termination. Thank you, EEO Charles Springer r� �T Refuse Manager Public Works Department r > Office: 949-718-3466 U' 592 Superior Ave Newport Beach, CA 92663 �trr0 0 From: Shelly keydisposalinc <shells@I<eydisposalrecycling.com> Sent: April 26, 2024 1:54 PM To: Springer, Charles <CSpringer@newportbeachca.gov> Cc: WasteReporting<wastereporting@newportbeachca.gov>; Eliza keydisposalinc<eliza@I<eydisposalrecycling.com>; Info keydisposalinc <;��,,�,.� ;_'�•��s� Irecvc ine.com> e Subject: Key Disposal & Recycling: Newport Beach (part 1 of 5) [EXTERNAL EMAIL] DO NOT CLICK links or attachments unless you recognize the sender and know the content is safe. Task 2 We conducted an audit of the waste container, 40 yard compactor, collected from Bloomingdales in Newport Beach. The audit was conducted at our facility at 5202 Industry Avenue in Pico Rivera, California on April 11th 2024 at 10:OOAM. Key Disposal & Recycling manager's present were John Katangian, Dan Katangian, Shelline Katangian, Juan Vallejo, and Isaac Martinez. Please see attached pictures of trash (MSW) from the compactor. Also, attached are pictures of the container and of identified contaminated soiled cardboard. We report that there were 75% of recyclable material, 5% of organic material, contaminated waste 15%, and construction (C%D) 5% present in the overall waste stream. Recyclables were in the form of plastic bubble wrap, plastic bottle, plastic hangers, clear plastic bags, cardboard boxes, shoe boxes, brown paper bags, and paper packaging. Organic material were in the form of food waste wrappers, cups, plates, and soiled napkins. Construction material found were ceiling tiles/drywall. Contaminated waste found were of soiled cardboard not eligible for recycling. *Waste audit pictures will be sentseparately due to size of files. Please find attached weight ticket from CR&R Transfer Station at 11232 Knott Avenue in Stanton, California on April 121h 2024 at 8:14AM. Tonnage was 2.78 tons. Task 3 On Monday, April 22"d we had a Teams meeting with Monica Ng, authorized customer representative from their environmental and facilities department. We discussed recyclable materials that can be diverted such as plastic hangers, cardboard boxes, and plastic bubble wrap. I discovered that outreach and educational material for their in house diversion program are obtained by their environmental and facility coordinators. Their personnel also conduct employee training. The annual tonnage for 2023 was 10.69 tons and is backhauled and recycled with International Paper. We have requested a copy of their backhaul agreement and will provide upon receipt. Task 4 Based on our assessment of the interior containers they generate thin plastic trash liners with divertible materials. Some examples are paper, plastic wrappers from packages, and empty plastic water bottles. We are going to recommend that they find a sad space to place around their existing trash cans a separate reeceptacle for plastic and cardboard/paper, and food waste/scarps. We have followed up with Monica Ng regarding her availability for a meeting at their store location at their earliest convenience and to include Elizabeth Raney, supervisor of fulfilment. In addition, we will recommend placing a 3 yard bin for emptying our the interior receptacles with the plastic and cardboard/paper. For the food waste/scraps they will continue to use Waste Management organic bin. Task 5 Please see attached Exhibit E. �T. 4% -- -- -_y - -- lI fj E4 / ff r !jr Al I al b �g' + 1st 4 , i s �o x .r � :� 3 k 9 i' i f •y. � jf 9 Y. i i A �.1 r� hil u • tr? S rtow _ q M1 ri �,'e5'v�fi3'SaLlV1�R+a•Y r __ at.-- - FOOD V hSTE ��,.�.4ti t. \ �. •riaa ; „� -:f ik,"..;t ty . - TN - t't'9 e-a.. k" At t-v ,..a e.., i 4. �':*...L�F.I�'Se..� .i?.i�'`7zi,'F+GK ...s,.,.•,..�. t. - i.". 11 0 I ti Ns p W 'V jo V"o lip, b ��n , d.. -PQ L- VC;TRONICS SOLIDS bap Vzod ftL4d PtXW &n Ulu TRASH. '14 ca"* "'0 ROC Mader ne sjjjf V4 At lb ........ ------ ir ru IWI Mm asip :^A TRASH ONLY A6. . . . . . . . . . . iv