HomeMy WebLinkAboutC-1644 - Newspaper salvageCITY OF NEWPORT BEACH
P.O. BOX 1768, NEWPORT BEACH, CA 92659 -1768
December 26, 1990
Mr. Mike Macardian, President
Recycling Resources
1406 West Second Street
Pomona, CA 91766
Dear Mr. Macardian:
On November 17, 1988, an Agreement was renewed between Recycling
Resources and the City of Newport Beach wherein Recycling Resources
would continue to purchase used newspapers collected by the City. The
Agreement was amended on May 22, 1990 to provide either Recycling
Resources or the City to terminate the Agreement by giving 30 days
notice to the other party.
This letter is to confirm our verbal conversation in which it was
agreed that it was mutually beneficial to Recycling Resources and the
City, that the purchase by you of our used newspapers be discontinued,
and that in accordance with the amendment to the Agreement that it be
terminated as of December 28, 1990.
The City appreciates the excellent long term business relationship
with your firm which began in 1974. If you have any questions please
call at (714) 644 -3055.
1
DAVID E. NIEDERHAUS, DIRECTOR
GENERAL SERVICES DEPARTMENT
DEN /an
cc: City Manager
City Attorney
City Clerk, �--
3300 Newport Boulevard, Newport Beach
CITY OF NEWPORT BEACH
OFFICE OF THE CITY CLERK
P.O. BOX 1768, NEWPORT BEACH, CA 92658 -8915
(714) 644 -3005
r'
TO: FINANCE DIRECTOR
FROM: CITY CLERK
DATE: May 24, 1990
SUBJECT: Contract No. C -1644
Description of Contract Second Amendment to Agreement
(Modification to Recycled Paper Contract)
Effective date of Contract May 22, 1990
Authorized by Minute Action, approved on May 14, 1990
Contract with Mike Macardican Fnterpricac, Tnr
Address doing business as Recycling Resources
1406 W. 2nd
Pomona, CA 91766
Amount of Contract (See Agree
Z� " 4f v V
Wanda E. Raggio
City Clerk
WER:pm
Attachment
3300 Newport Boulevard, Newport Beach
f
TO: MAYOR AND CITY COUNCIL
FROM: General Services Director
SUBJECT: MODIFICATION TO RECYCLED PAPER CONTRACT
c - Mz/�z
Discussion:
May 14, 1990
City Council Agenda
Item No. E- 3 CC,)
Since 1974 the City has operated the first municipal recycling program
in the County, collecting over 19,200 tons of newspaper. During this
time, a contract with Golden State Paper Company (owner of the only
paper deinking plant in Southern California) and various haulers has
been renewed on a 3 year basis. On November 17, 1988, Recycling
Resources, the current hauler of the newspaper agreed to assume all
responsibilities for the contract and pay $30 per ton of newspaper
collected and delivered to City Yard by City forces. This occurred at
a time when the used newsprint market was stable. By January 1989,
the market price of newspaper had deteriorated to the lowest level
($10 per ton) since World War II.
The future need for a separate collection of used newspaper was
eliminated when it became clear that the Multiple Recovery Facility
(MRF) of CRT, Inc. would recover all newspaper from City refuse once
It became operational.
The President of Recycling Resources, Mr. Mike Macardican, has honored
the existing City recycled newspaper contract without complaint nor
diminished service even though levels of collected newsprint had
doubled by January 1990, hoping as he states in the attached letter to
eventually recover his losses (over $40,000 in the past 14 months) if
the used newsprint market recovers. When approached by City officials
on the possibility of cancelling the contract later this year as the
MRF commenced operations, he proposed a hauling fee of $150.00 per
load retroactive to March 1, 1990, as a solution to agreeing to an
earlier cancellation. This proposal is, contained in the attached
letter.
As an example, the March 1990 statistics are provided:
227.57 tons collected x $30 per ton - $6,827.10
Less (23 loads at $150.00 per load) = 3,450.00
Total received by City $3,377.10*
*Equates to $14.84 per ton of used newsprint which compares favorably
with the average current market rate of $10.00 per ton when delivered
to the Pomona plant.
(P) .
Z
•
In return for an amendment for implementation of a hauling fee, Mr.
Macardican, will agree to a second amendment, a 30 day notice of
cancellation by either party which is beneficial to the City for use
when the MRF becomes operational.
The two proposed amendments, which have. been reviewed by the City
Attorney and included in the proposed amended renewal agreement, are
as follows:
Termination:
Each Party shall have the option, at its sole' discretion and
without cause, of terminating this Agreement by giving thirty (30)
days' prior written notice to the other Party as provided herein.
Upon termination of this Agreement, each Party shall pay to the other
Party that portion of compensation specified in this Agreement that is
earned and unpaid prior to the effective date of termination.
Hauling Fee
The City agrees to a $150 per load hauling fee. for each rolloff
container load of used newsprint that Recycling Resources transports
from City Yard to Pomona, California.,i
In summary, Mr. Macardican has proposal 'fair and equitable conditions
in amending the contract.. He is to be. commended for his committment
to the City contract that resulted in.the diversion of 19,200 tons of
used newsprint which equates to 326,900 trees saved.
Recommendation:
Approve the amended renewal agreement.
Very respectfully,
Akc
David E. Niederhaus
DEN /es
Attachment: Recycling Resources ltr of April 10, 1990
Amended renewal agreement
' I i � •
RECYCLING RESOURCES
1406 West Second Street
Pomona, CA 91766
(714) 622 -1287
April 10, 1990
Mr. Dave Niederhaus
General Services Department
City of Newport Beach
3300 Newport Blvd.
P.O. Sox 1768
Newport Beach, CA 92659 -1768
Re: Agreement to Purchase Old Newspaper
Duration August 26, 1975 - August 14, 1991
Dear Dave,
We understand that it is the City's desire to terminate early
our Agreement to Purchase Old Newspaper sometime in August
of 1990.
Recycling Resources appreciates the relationship that has
allowed us to purchase approximately 18,500 tons of old news-
" papers at a value of over -$580.000.00 from the- City of Newport
Beach.
As you are aware market conditions for old newspaper, because
of an over supply, have deteriorated badly since the beginning
of 1989. During the past 14 months we have subsidized the City,
in the amount of over $40,000.00, by paying over the market
price. Normally this would not concern us greatly, after almost
15 years of- service to.the City, we:could average.this out in
future years. Because that option is no longer available, we
have to institute a hauling fee of $150.00 per load which began
in March, to stem our .losses.
If you have any questions, please do not hesitate to call.
Sincerely,
Mike Macardican
President
IMPROVING OUR ENVIRONMENT THRU RECYCLING
3 �x
NOTE TO FILE: (5/3/90)
After talking to Dave N_41derhaus, General
Services Director, the reference to "Garden
State" should be "Golden State." Mr.
Neiderhaus said this change of name took
place on 9/88, but the Clerk's office has
nothing in writing in the file to substantiate
this.
Irene
SECOND AMENDMENT TO AGREEMENT C /� �1(z
THIS AGREEMENT, made and entered into this
day of , 1990, by and between the City of
Newport Beach, a Chartered Municipal Corporation, hereinafter
referred to as "City" and Mike Macardican Enterprises, Inc., doing
business as Recycling Resources, a California Corporation,
hereinafter referred to as "Recycling ".
WHEREAS, on August 14, 1974, City, Garden State Paper Company,
Inc., hereinafter referred to as "Garden State ", and Viejo Paper
Fibers, Inc., hereinafter referred to as "Viejo ", entered into an
Agreement to provide for Viejo's purchase of used newspapers
collected by City and transporting the newspapers to Garden State's
plant for recycling; and
WHEREAS, the term of the August 14, 1974 Agreement was for a
period of five (5) years with the option to renew for additional
three (3) year periods by agreement of all parties; and
WHEREAS, on August 26, 1974, Viejo assigned its rights, duties
and obligations under the August 14, 1974 Agreement to Recycling,
who agreed to accept and be bound under the terms of the Agreement;
and
WHEREAS, Recycling and City have exercised the option to renew
the term of the Agreement four (4) times. The fourth renewal of
the Agreement was entered into on November 17, 1988, and will
terminate on August 14, 1991, (hereinafter the August 14, 1974
1
Agreement, amendment to the Agreement, and the fourth Renewal
Agreement shall be referred to collectively as the "Agreement "; and
WHEREAS, under the terms of the Agreement, Recycling is
required to pay to the City eighty -five percent (85 %) of the
"current market price" of recycled newspaper or a minimum price of
thirty dollars ($30.00) per ton; and
WHEREAS, in recent years, the market price of newspapers has
fallen to ten dollars ($10.00) per ton; and
WHEREAS, the separate collection of used newspaper will no
longer be necessary when a new system of trash collection under the
Multiple Recovery Facility System of CRT, Inc. becomes operational;
and
WHEREAS, the parties recognize that certain terms of the
current Agreement are no longer practicable for either Recycling or
City and both parties wish to amend the Agreement.
NOW, THEREFORE, in consideration of the foregoing, the parties
agree as follows:
1. The following terms and conditions are added to read as
follows:
A. Each party shall have the option, at its sole
discretion and without cause of terminating this Agreement by
giving thirty (30) days' prior written notice to the other party.
Upon termination of this Agreement, each party shall pay to the
other party that portion of compensation specified in this
Agreement that is earned and unpaid prior to the effective date of
termination.
E
B. City shall pay to Recycling one hundred and fifty
dollars ($150.00) per load hauling fee for each roll -off container
load of used newsprint that Recycling transports from the City Yard
to Pomona, California.
2. All of the remaining terms and conditions of the
Agreement remain in full force and effect and are fully binding on
the parties; provided further that Recycling continues to assume
all duties, obligations and guarantees previously undertaken by
Garden State.
APPROVED AS TO ORM:
CITY ATTORNEY
ATTEST
CITY CLERK
CITY OF NEWPORT BEACH,
A Char ered Municig l Corporation
BY:
L
MAYOR
MIKE MACARDICAN ENTERPRISES, INC.
doing business as RECYCLING RESOURCES,
a California Corporation
BY:
Mike Macardican
3
k,
6 40
CITY OF NEWPORT BEACH
OFFICE OF THE CITY CLERK
P.O. BOX 1768, NEWPORT BEACH, CA 92658 -8915
(714) 6443005
Cti /i { ;?� �'�tlz �c c_-e_
TO: FINANCE DIRECTOR
FROM: CITY CLERK
DATE: November 21, 1988
SUBJECT: Contract No. C -1644
Description of Contract Newspaper Recycling
Effective date of Contract November 17, 1988
Authorized by Minute Action, approved on November 14, 1988
Contract with Mike Macardican Enterprises, Inc.
Address Doing business as Recycling Resources
W. 2nd
Pomona, CA
Amount of Contract (See Agreement)
" 4�e' ,
Wanda E. Raggio
City Clerk
WER:pm
Attachment
3300 Newport Boulevard, Newport Beach
010
BY TK �,'ITY COUNCIL
CITY OF NEWPORT BEACH
November 14, 1988
NOV 14 1988 City Council Agenda
(iPpP�yRpO(�V�jj�j� Item No, F -3(h)
— ACLiI \� 7 L�/ —..
TO: MAYOR AND CITY COUNCIL
FROM: General Services Department /
SUBJECT: EXTENSION OF AGREEMENT FOR THE SALE OF USED NEWSPAPERS f
DISCUSSION:
The City of Newport Beach has, since 1974, been collecting used newspapers from
the residential areas of the City for sale to Recycling Resources who in turn
transports the newspapers to the Garden State Paper Company for recycling into
newsprint. This arrangement was established by Contract No. 1644 and authorized
by Resolution No. 8311, dated July 8, 1974 and as amended by Resolution No. 8592
dated September 8, 1975. The contract has been extended, by Council approval,
on three different occasions; the last time being August 14, 1985, for a period
of three years.
Under the terms of the last extension, the City received 82% of the current
market price per ton or a minimum of $25 per ton for the sale of newspapers.
The attached proposed renewal of agreement, which is for three years, provides
for the City to receive 85% of the market price per ton or a minimum of $30 per
ton.
It should be noted that the proposed renewal of agreement states that the Garden
State Paper Company no longer wishes to remain a party to the agreement and that
Recycling Resources desires to assume all obligations previously undertaken by
Garden State. The elimination of Garden State from the City's newspaper
recycling program should pose no problem to the City. Over the years, Recycling
Resources has proven to be a reputable and reliable company who has always been
prompt in paying for the newspapers.
Since the start of the City's newspaper recycling program in September 1974, the
City has collected 16,846 tons of newspapers and has received $526,540 in
revenue from their sale. I feel that the program is worthwhile and therefore
recommend approval of the extension.
1. Approve a three year extension of the agreement for the sale of used
newspapers to Recycling Resources.
2. Authorize the Mayor and the City Clerk to execute the agreement.
David E. Niederhaus
DEN /es
Attachment
RENEWAL OF AGREEMENT C - / 1� a4l
This Agreement, made and entered into this Z��day
of , 1988 by and between the CITY OF NEWPORT
BEACH, a chartered municipal corporation, hereinafter referred
to as "City," and MIKE MACARDICAN ENTERPRISES, INC., doing
business as RECYCLING RESOURCES, a California corporation,
hereinafter referred to as "Recycling."
W I T N E S S E T H•
WHEREAS, on August 14, 1974, City, Garden State Paper
Company, Inc., hereinafter referred to as "Garden State," and
Viejo Paper Fibers, Inc., hereinafter referred to as "Viejo,"
entered into an agreement to provide fo° the purchase by Viejo
of the used newspapers collected by City and transporting of
said newspapers to Garden State's plant for recycling; and
WHEREAS, the term of said Agreement as provided for
in paragraph 4 was for a period of five (5) years commencing
on August 14, 1974 and ending on August 14, 1979, with the
option to renew for an additional three -year period by
agreement of all parties having been exercised and ending
August 14, 1988; and
-1-
WHEREAS, on August 26, 1974, Viejo assigned its
rights, duties and obligations under said Agreement to
Recycling, who agreed to accept and be bound under the terms
of said Agreement; and
WHEREAS, Recycling and City wish to again exercise
the option to renew the term of said Agreement as provided
hereinabove; and
the option to renew
Agreement as provided
WHEREAS, since Garden State no longer wishes to
remain a party to said Agreement, Recycling desires to assume
all obligations previously undertaken by Garden State; and
WHEREAS, Recycling hereby agrees to pay to the City
eighty -five percent (85 %) of the "Current Market Price" paid
to it by Garden State, for each ton of used newspapers
delivered to Garden State's plant; and
WHEREAS, it is mutually beneficial to the parties
hereto to change the minimum price of $::5.00 per ton to $30.00
per ton,
NOW, THEREFORE, in consideration of the foregoing,
the parties hereto agree as follows:
1. The term of the Agreement dated August 14, 1974,
by and between City, Recycling, successor -in- interest to
Viejo, and Garden State is hereby extenCed for the fourth
time, for three years commencing on August 14, 1988, and
MOM
ending on August 14, 1991, unless sooner terminated as
provided in said Agreement; subject, however, to Garden State
no longer remaining a party.
2. The percent of the "Current Market Price" per
ton to be paid to City is eighty -five percent (85 %).
3. The minimum price as set forth in said Agreement
to be paid to City is $30.00 per ton.
4. All of the remaining term: and conditions of
said Agreement dated August 14, 19'74, ramain in full force and
effect and are fully binding on the parties hereto; provided
further that Recycling assumes all duties, obligations, and
guarantees previously undertaken by Garden State.
ATT ST:
i
City Clerk
MIKE MACARDICAN ENTERPRISES, INC.
Doing business as
RECYCLING RESOURCES,
A California Corporation
Nike 11 d'
By L..
AP OWED AS TO FORM:
i y Attorney
-3-
t
6 0
CITY OF NEWPORT BEACH
OFFICE OF THE CITY CLERK
)714) 640 -2251
TO: FINANCE DIRECTOR It
General Services Director
FROM: CITY CLERK
DATE: October 9, 1985
SUBJECT: Contract No. C -1644
Description of Contract Newspaper Recycling
Effective date of Contract September 26, 1985
Authorized by Minute Action, approved on September 23, 1985
Contract with Mike Macardican Enterprises, Inc.
Address doing business as Recycling Resources
1460 W. 2nd
Pomona, CA
Amount of Contract City to be paid $25.00 per ton
Wanda E. Andersen
City Clerk
WEA:lr
attach.
City Hall 3300 Newport Boulevard, Newport Beach, California 92663 l
-
TO:
FROM:
SUBJECT
0
BY THE CITY COUNCIL
CITY OF NEWPORT BEACH
SEP 23 1935
APPROVED
CITY COUNCIL
General Services Director
0
September 23, 1985
CITY COUNCIL AGENDA
ITEM NO. .
EXTENSION OF AGREEMENT FOR THE SALE OF USED NEWSPAPERS TO
GARDEN STATE PAPER - COMPANY C' _ / 4/, 0��4
RECOMMENDATIONS:
1. Approve a three year extension of the agreement for the sale of
used newspapers to Garden State Paper Company and Recycling Re-
sources.
2. Authorize the Mayor and City Clerk to execute the agreement.
DISCUSSION:
The City of Newport Beach is presently collecting used newspapers in
the residential areas of the City for sale to Recycling Resources, Inc.,
and the Garden State Paper Company. Recycling Resources is the trans-
porter of the used newspapers, and they turn them over to Garden State
at their mill in Pomona. This arrangement was authorized under Contract
No. 1644 between the City, Mike Macardican Enterprises, Inc. (d /b /a Re-
cycling Resources) and the Garden State Paper Company, Inc. This con-
tract was authorized by Resolution No. 8311, dated July 8, 1974, and
amended by Resolution No. 8592, dated September 8, 1975. The contract
was further extended on August 14, 1979 for a period of three years, ex-
piring on August 14, 1982. This extension was approved by the City
Council on October 1, 1979. The contract was extended still further on
July 26, 1982 for another three years and expired on August 14, 1985.
In the original agreement the City was to receive a minimum of $25 /ton
for every ton picked up by Recycling Resources. Under the 1979 ex-
tension, this base price was increased to $28 /ton. The City is still
receiving a base of $28 /ton even though in today's market the price of
used newspapers is varying from a low of $20 /ton to a high of $25 /ton.
— Garden State Paper Company has seen fit to offer another three year ex-
tension to their used newspaper contract. The base price offered would
now be $25 /ton, which still seems very favorable when compared to do-
day's prices on the open market. The decreased price offered is de-
fended by the currently depressed paper market.
I
page 2
The working agreement with Recycling Resources and the Garden State
Paper Company has proven to be very effective in the past, and pay-
ment has always been very prompt. The new extension would become
effective on August 14, 1985 and end on August 14, 1988, unless term-
inated sooner.
I would not hesitate to recommend approval of the extension.
Wade S. Beyeler
WSB /ib
attach: 2
2
0
RENEWAL OF AGREEMENT
This Agreement, made and entered into this Agiday of / ,
1985, by and between the CITY OF NEWPORT BEACH, a chartered municipal
corporation, hereinafter referred to as "City," MIRE MACARDICAN ENTERPRISES,
INC., doing business as RECYCLING RESOURCES, a California corporation, here-
inafter "Recycling," and GARDEN STATE PAPER COMPANY, INC., a New Jersey
corporation, hereinafter referred to as "Garden State ";
W I T N E S S E T H:
WHEREAS, on August 14, 1974, City, Garden State and Viejo Paper Fibers,
Inc., entered into an agreement to provide for the purchase by Viejo of
the used newspapers collected by City and transporting of said newspapers
to Garden State's plant for recycling; and
WHEREAS, the term of said Agreement as provided for in paragraph 4
was for a period of five (5) years commencing on August 14, 1974 and
ending on August 14, 1979, with the option to renew for an additional three -
year period by agreement of all parties having been exercised and ending
August 14, 1982; and
WHEREAS, on August 26, 1975, Viejo Paper Fibers, Inc., assigned its
rights, duties and obligations under said Agreement to Recycling, who
agreed to accept and be bound under the terms of said Agreement; and
WHEREAS, the parties hereto wish to again exercise the option to
renew the term of said Agreement as provided hereinabove; and
WHEREAS, it is mutually beneficial to the parties hereto to change
the minimum price of $28.00 per ton to $25.00 per ton,
NOW, THEREFORE, in consideration of the foregoing, the parties hereto
agree as follows:
'3
1. The term of the Agreement dated August 14, 1974, by and between
City, Recycling, successor in interest to Viejo Paper Fibers, Inc., and
Garden State is hereby extended for the third time, for three (3) years
commencing on August 14, 1985, and ending on August 14, 1988, unless
sooner terminated as provided in said Agreement.
2. The minimum price as set forth in said Agreement to be paid
to City is $25.00 per ton.
3. All of the remaining terms and conditions of said Agreement
dated August 14, 1974, remain in full force and effect and are fully
binding on the parties hereto.
ATTEST-
i '
City Clerk
FORM: APPROVED AS TO
MIRE MACARDICAN ENTERPRISES, INC.
Doing business as RECYCLING RESOURCES,
A California Corp 'on
B
GARDEN STATE PAPER COMPANY, INC.,
A New Jersey� Coorrp�or /ation�D /
Bye' i� y • i! /�'GI/L+�
�d�WPORi.
CITY OF NEWPORT BEACH
V ?
e. OFFICE OF THE CITY CLERK
C14 Fcc) % (714) 640 -2251
DATE: August 2, 1982
Sf�(82-
TO: FINANCE DIRECTOR
PUBLIC WORKS DIRECTOR
FROM: City Clerk
SUBJECT: Contract No. C -1644
i
Description of Contract Newspaper Recycling
Effective date of Contract July 7, 1982
Authorized by Resolution No. Min.Act., adopted on July, 26, 1982
Contract with Garden State Paper Company, Inc.
Address P.O. Box 2364
Pomona, CA 91769 -2364
Amount of Contract City to be paid $28.00 per ton
Wanda E. Andersen
City Clerk
WEA:lr
City Hall • 3300 Newport Boulevard, Newport Beach, Cahfomia 92663
An Affiliate of Media C#al Post Office Box 2364
G P
GARDEN STATE PAPER COMPANY, INC.
World's largest recycler of used newspapers into quality newsprint.
Mr. Wade S. Beyeler
City of Newport Beach
City Hall
3300 Newport Blvd.
Newport Beach, California 92663
Dear Mr. Beyeler:
Pomona, Calif* 91769-2364
July 7, 1982
C - Up iq4
(714' 6236601
Garden State Paper Company is pleased to submit the attached three
year renewal agreement to the City of Newport Beach for signature.
Please find enclosed the original which has already been signed by '
authorized representatives of Garden State Paper and Recycling Resources.
Please have the agreement signed by an authorized representative of
the City of Newport Beach and return the original to my attention.
A copy is also included for your records.
Garden State appreciates and values the City of Newport Beach as a
reliable source of old newspapers. We look forward to continuing our
relationship during the next three years.
Very truly yours,
RWG:Id
Enclosure
1, -'"
Ronald W. Glass
Western Region
Procurement Manager
RENEWAL OF AGREEMENT
0
This Agreement made and entered into this 7d day of
1982, by and between the CITY OF NEWPORT BEACH, a chartered municipal
corporation, hereinafter referred to as "City," MIKE MACARDICAN ENTERPRISES,
INC., doing business as RECYCLING RESOURCES, a California corporation, here-
inafter "Recycling," and GARDEN STATE PAPER COMPANY, INC., a New Jersey
corporation, hereinafter referred to as "Garden State ";
WITNESSETH:
WHEREAS, on August 14, 1974, City, Garden State and Viejo Paper Fibers,
Inc., entered into an agreement to provide for the purchase by Viejo of
the used newspapers collected by City and transporting of said newspapers
to Garden State's plant for recycling; and
WHEREAS, the term of said Agreement as provided for in paragraph 4
was for a period of five (5) years commencing on August 14, 1974, and
ending on August 14, 1979, with the option to renew for an additional three -
year period by agreement of all parties having been exercised and ending
August 14, 1982; and
WHEREAS, on August 26, 1975, Viejo Paper Fibers, Inc., assigned its
rights, duties and obligations under said Agreement to Recycling, who
agreed to accept and be bound under the terms of said Agreement; and
WHEREAS, it is mutually beneficial to the parties hereto to retain
the minimum price of $28.00 per ton,
NOW, THEREFORE, in consideration of the foregoing, the parties hereto
agree as follows:
1. The term of the Agreement dated August 14, 1974, by and between
City, Recycling, successor in interest to Viejo Paper Fibers, Inc., and
Garden State is hereby extended for the secon time, for three (3) years
commencing on August 14, 1982, and ending on August 14, 1985, unless
sooner terminated as provided in said Agreement.
1 ♦ I •
2. The minimum price as set forth in said Agreement to be paid
to City is $28.00 per ton.
3. All of the remaining terms and conditions of said Agreement
dated August 14, 1974, remain in full force and effect and are fully
binding on the parties hereto.
CITY OF NEWPORT BEACH
A Municipal Corporation
ATTEST:
y`
City Clerk
MIKE MACARDICAN ENTERPRISES, INC.,
doing business as RECYCLING RESOURCES,
A California Corporation
Bye C�� I� -
X
GARDEN STATE PAPER COMPANY, INC.,
A New Jersey Corporation
m
APPROVED AS TO FORM:
X4� 4 PA
City Attorney
0 0
July 26, 1982
cu CITY COUNCII AGE A
JUL 4 u 1982 ITEM N0. — 3�,�()
By tha CITY COUNCIL
TO: CITY COUNCIL CITY OF N%V0Q%T 46ACH
FROM: General Services Director
SUBJECT: EXTENSION OF AGREEMENT FOPj,,THE SALE OF USED NEWSPAPERS TOE
GARDEN STATE PAPER COMPANr
RECOMMENDATIONS:
Approve a three year extension of the agreement for the
sale of used newspapers to Garden State Paper Company, and
Recycling Resources.
Authorize the Mayor and the City Clerk to execute the
agreement.
DISCUSSION:
The City of Newport Beach is presently collecting used newspapers
in the residential areas of the City for sale to Recycling Resources, Inc., and
the Garden State Paper Company. Recycling Resources is the transporter of the
used newspapers, and they turn them over to Garden State at their mill in Pomona.
This arrangement was authorized under Contract No. 1644, between the City, Mike
Macardican Enterprises, Inc. (d /b /a Recycling Resources,) and the Garden State
Paper Company, Inc. This contract was authorized by Resolution No. 8311, dated
July 8, 1974, and amended by Resolution No. 8592, dated September 8, 1975. The
contract was further extended on August 14, 1979, for a period of three years,
expiring on August 14, 1982. This extension was approved by the City Council on
October 1, 1979. In the original agreement, the City was to receive a minimum
of $25.00 per ton for every ton picked up by Recycling. Under the extension,
this base price was increased to $28.00 per ton. The City is still receiving
$28.00 per ton, even though in today's market, the price of used newspapers is
varying from a low of $10.00 per ton to a high of $18.00 per ton.
Garden State Paper Company has seen fit to offer another three year
extension to their used newspaper contract. The base price offered would still
be $28.00 per ton, which seems very favorable when compared to today's prices on
the open market.
The working agreement with Recycling and Garden State Paper Company
has prove to be very effective in the past, and payment has always been very
prompt. The new extension would become effective on August 14, 1982, and would
end on August 14, 1985, unless sooner terminated.
I would not hesitate to recommend approval of the extension.
401zo 0/0,
X4 V—X-�
Wade S. Beyeler,
General Services Director
Att: Agreement Renewal
CITY OF NEWPORT BEACH
CALIFORNIA
City Hall
3300 W. Newport Blvd.
Area Code 714
DATE Octobsr 4, 1979
TO: FINANCE DIREC1nR
FROM: City Cleric
SUBJECT:. Contract No. 1644 Renewal
Description of Contract PSGyQUAS
Authorized by Resolution No. 9622 , adopted on 8 -13 -79
Effective date of Contract
Contract with Recycling Resources
Address 1460 W. 2nd
PmmQna, CA
Amount of Contract $28.00 per ton minimum price
City Clerk
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October 4, 1979
General Services Director
Newspaper Recycling Contract No. 1644
Attached are two copies of the executed Renewal of
Agreement between the City and the salvage people,
Recycling Resources. Please send them a copy and keep
one copy for your records.
Deputy City Clerk
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RENEWAL OF AGREEMENT
This Agreement made and entered into this Jje day of
(0 eyt, , 1979, by and between the CITY OF
NEWPORT BEACH, a chartered municipal corporation, hereinafter
referred to as "City," MIRE MACARDICAN ELT "ERPRISES, INC., doing
business as RECYCLING RESOURCES, a California corporation, here-
inafter "Recycling," and GARDEN STATE PAPER COMPANY, INC., a
New Jersey corporation, hereinafter referred to as "Garden State ";
W I T N E S S E T H:
WHEREAS, on August 14, 1974, City, Garden State and Viejo
Paper Fibers, Inc., entered into an agreement to provide for the
purchase by Viejo of the used newspapers collected by City and
transporting of said newspapers to Garden State's plant for
recyling; and
WHEREAS, the term of said Agreement as provided for in
paragraph 4 was for a period of five (5) years commencing on
August 14, 1974, and ending on August 14, 1979, with the option
to renew the term for an additional three -year period by agree-
ment of all parties; and
WHEREAS, on August 26, 1975, Viejo Paper Fibers, Inc.,
assigned its rights, duties and obligations under said Agreement
to Recyling, who agreed to accept and be bound under the terms
of said Agreement; and
WHEREAS, the parties hereto wish to exercise the option
to renew the term of said Agreement as provided hereinabove; and
WHEREAS, it is mutually beneficial to the parties hereto
to increase the minimum price of $25.00 per ton to $28.00 per ton,
NOW, THEREFORE, in consideration of the foregoing, the
parties hereto agree as follows:
1. The term of the Agreement dated August 14, 1974, by
and between City, Recyling, successor in interest to Viejo Paper
Fibers, Inc., and Garden State is hereby extended for three (3)
years commencing on August 14, 1979, and ending on August 14;
1982, unless sooner terminated as provided in said Agreement.
2. The minimum price as set forth in said Agreement to
be paid to City is increased from $25.00 per ton to $28.00 per
ton.
3. All of the remaining terms and conditions of said
Agreement dated August 14, 1974, remain in full force and effect
and are fully binding on the parties hereto.
ATTEST:
1
City Clerk
APPROVED AS TO FORM:
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r
City A to ney,;
CITY OF NEWPORT BEACH
A Municipal Corporation
By
Mayo
MIKE MACARDICAN ENTERPRISES, INC.,
doing business as RECYCLING RESOURCES,
A California Corporation
By
Lo
GARDEN STATE PAPER COMPANY, INC.,
A New Jersey Corporation
BY iJC "-L"
Lo
HRC /kb
-2-
RESOLUTION NO. 9622
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH AUTHORIZING THE MAYOR AND
CITY CLERK TO EXECUTE A CONTRACT BETWEEN THE
CITY OF NEWPORT BEACH AND GARDEN STATE PAPER
AND RECYCLING RESOURCES WHICH EXTENDS THE
PRESENT CONTRACT ALLOWING FOR THE PURCHASE
OF USED NEWSPAPERS COLLECTED BY THE CITY_
WHEREAS, there has been presented to the City Council
of the City of Newport Beach a certain contract between the
City of Newport Beach and Garden State Paper and Recycling
Resources which extends the present contract allowing for the
purchase of used newspapers collected by the City; and
WHEREAS, the City Council has reviewed the terms and
conditions of said contract and finds them to be satisfactory
and that it would be in the best interest of the City to
execute said contract,
NOW, THEREFORE, BE IT RESOLVED by the City Council of
the City of Newport Beach that the contract above described is
approved, and the Mayor and City Clerk are hereby authorized and
directed to execute the same on behalf of the City of Newport
Beach.
ADOPTED THIS 13th day of August , 1979.
Mayor
ATTEST:
City Clerk
kb
8/6/79
CITY OF NEWPORT BEACH
CALIFORNIA
City Hall
3300 W. Newport Blvd.
Area Grade 714
673 -2110
DATE September 10, 1975
TO: FINANCE DIRECTOR
FROM: City Clerk
SUBJECT: Contract No. 1AA4
Description of Contract Amandseat to aaresant for purcbase of
waste newspaper within the City.
Authorized by Resolution No. 8 92- , adopted on 9 -6-75
Effective date of Contract &,, It Anaust 26, 1975 1 i
Contract with Mike Macardican Enterprises, Incorporated, d /b /a
RM=T1ns Resources 6neta.A of Vi.in Panar Mars. Inc. )
Address 1460 W. 2nd
Pomona, CA
Amount of Contract aee agreement
v
0
September 9, 1975
City Attorney
Amendment to the agreement for the purchase of
waste newspapers within the City.
C -1644
Enclosed are two fully executed copies of subject
agreement for transmittal to Mike McCardican
Enterprises and to Garden State Paper Company.
The City Council authorized said amendment on
September 8 by the adoption of Resolution No. 8592.
Laura Lagios
City Clerk
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AMENDMENT TO AGREEMENT
THIS AMENDMENT TO AGREEMENT made and entered into this
_- day of Ct4 , 1975, by and between the CITY
OF NEWPORT BEACH, a municipal corporation, hereinafter referred
to as "CITY," and MIKE MACARDICAN ENTERPRISES, INCORPORATED, d /b /a
RECYCLING RESOURCES, a California corporation, hereinafter referred
to as "RECYCLING," and GARDEN STATE PAPER COMPANY, INC., a New
Jersey corporation, hereinafter referred to as "GARDEN STATE ".
W I T N E S S E T H:
WHEREAS, on August 14, 1974, CITY, GARDEN STATE and
VIEJO PAPER FIBERS, INCORPORATED entered into an agreement to
provide for regular collection of used newspapers in the City of
Newport Beach; and
WHEREAS, it has been found and determined that Viejo
Paper Fibers, Incorporated can no longer or is unable to perform
its obligations under said agreement; and
WHEREAS, Viejo Paper Fibers, Incorporated has assigned
its rights, duties and obligations under said agreement to
RECYCLING, who has agreed to accept and be bound under the terms
and conditions of said agreement. The Assignment and Acceptance
is attached hereto, marked Exhibit "A" and made a part herein by
this reference; and
WHEREAS, CITY wishes to amend said agreement to substitute
RECYCLING for VIEJO PAPER FIBERS, INCORPORATED as the party
responsible to purchase the used newspapers collected by CITY and
to transport them to GARDEN STATE.
NOW, THEREFORE, in consideration of the foregoing, the
parties hereto agree as follows:
1. That certain agreement dated August 14, 1974, by
and between the CITY OF NEWPORT BEACH, VIEJO PAPER FIBERS, INCORPO-
-1-
• s
RATED and GARDEN STATE PAPER COMPANY, INC. is hereby amended
to substitute RECYCLING for VIEJO PAPER FIBERS, INCORPORATED
as the party responsible to purchase the used newspapers collected
by CITY and transport them to GARDEN STATE.
2. RECYCLING agrees to be bound by all the terms,
conditions and covenants of said agreement to the same degree and
in the same manner as VIEJO.
3. VIEJO PAPER is released from any obligations under
said agreement.
4. All of the remaining terms and conditions of said
agreement remain in full force and are unaffected by this Amendment.
IN WITNESS WHEREOF, the parties hereto have executed
this agreement as of the date first above written.
APPROVED AS TO FORM:
I
D
City Attorney
CITY OF NEWPORT BEACH
CITY
MIKE MACARDICAN ENTERPRISES,
INCORPORATED, d /b /a RECYCLING RESOURCES
RECYCLING
GARDEN STATE PAPER COM NY, INC.
By:
.�
GARDEN STATE
•
ASSIGNMENT
•
The undersigned, VIEJO PAPER FIBERS, INCORPORATED
hereby consents to and assigns all of its rights, duties and
obligations under that certain agreement dated August 14, 1974,
by and between the City of Newport Beach, Viejo Paper Fibers,
Incorporated, and Garden State Paper Company, Inc., to MIKE
MACARDICAN ENTERPRISES, INCORPORATED, d /b /a RECYCLING RESOURCES.
VIEJO PAPER FIBERS,
DATED : . % �, q 7 By
ACCEPTANCE OF ASSIGNMENT
The undersigned, MIKE MACARDICAN ENTERPRISES, INCORPO-
RATED, d /b /a RECYCLING RESOURCES, a California corporation, hereby
consents to and accepts, approves and agrees to be bound by each
and every term, condition and covenant contained in that certain
agreement dated August 14, 1974, by and between the City of Newport
Beach, Viejo Paper Fibers, Inc. and the Garden State Paper Company,
Inc.
MIKE MACARDICAN ENTERPRISES,
INCORPORATED, d /b /a RECYCLING RESOURCES
DATED: 1 By�
EXHIBIT "A"
0 0
RESOLUTION NO. R ,g
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH AUTHORIZING THE MAYOR AND
CITY CLERK TO EXECUTE AN AMENDMENT TO AN AGREE-
MENT BETWEEN THE CITY OF NEWPORT BEACH, MIKE
MACARDICAN ENTERPRISES, INC., D /B /A RECYCLING
RESOURCES, AND GARDEN STATE PAPER COMPANY, INC.
WHEREAS, there has been presented to the City Council
of the City of Newport Beach a certain amendment to an agreement
between the City of Newport Beach, Mike Macardican Enterprises,
Inc., d /b /a Recycling Resources and Garden State Paper Company,
Inc.; and
WHEREAS, the City Council has considered the terms
and conditions of said amendment to the agreement and found them
to be fair and equitable, and in the best interests of the
City;
NOW, THEREFORE, BE IT RESOLVED by the City Council
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of the City of Newport Beach that said amendment to the agreement
above described is approved, and the Mayor and City Clerk are
hereby authorized and directed to execute the same on behalf of
the City of Newport Beach.
ADOPTED this 8th
ATTEST:
City Clerk
day of September , 1975.
Mayor
DDO /bc
9/4/75
i
CITY OF NEWPORT BEACH
CALIFORNIA
City Hall
3300 W. Newport Blvd.
Area Code 714
673 -2110
DATE A imm is Lon
TO: FINANCE DIRECTOR
FROM: City Clerk
SUBJECT: Contract No. 1644
Description of Contract Collection of Waste Newspaper in Nw+port Beach
Authorized by Resolution No. 8311 , adopted on July 8, 1974
Effective date of Contract August 14, 1974
Contract with Viejo P Fibm. Inc.
ziui b. . . Box 453-1
Address 6anta Ana CA 92702
an
Gazdan State Paper Oompany, Inc.
2205 West Mt. Vernon Avenue, P. 0. Brno 2364
Amount of Contract Pomona, CA 91766
See oontract roar parioe
ity e Ok
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August 16, 1974
Viejo Paper Ffln s, Tnc.
2101 V. FbUrth Street
P. 0. 'ox 463.1
Santa Ana, ^A 92702
Garden State Paper Oompany, Inc.
2206 West "t. Verym Avenue
P. r,. '.'ox 2984
Awns, CA 91766
Subject: Agreement for the Collection of Waste Newspaper
In the City of Newport Beach
0-1844
Enclosed is a fully executed copy of subject aunt far
yea' raaorda.
':iris is a five -•,roar agreement with tervAriatim date beiN
August 16, 1979. At that time the agr"Meat My be
rena+ed for an additional throe years.
Iaura Laglos, Q4C
City Clerk
LL:ao9c
am.
AGREEMENT
THIS AGREEMENT made and entered into this lie-a
day of AvG v 5;-7 1974, by and between the CITY OF NEWPORT
BEACH, a municipal corporation, hereinafter referred.to as "CITY ",
VIEJO PAPER FIBERS INCORPORATED, a California corporation, herein-
after referred to as " VIEJO" and GARDEN STATE PAPER COMPANY, INC.,
a New Jersey corporation, hereinafter referred to as "GARDEN
STATE ".
W I T N E S S E T H:
WHEREAS, CITY has determined that it is in the public
interest to provide for regular collection of used newspapers in
the City of Newport Beach; and
WHEREAS, VIEJO has submitted a proposal to purchase the
used newspapers collected by CITY and to transport them to GARDEN
STATE's plant; and
WHEREAS, GARDEN STATE has proposed to assume the obliga-
tions of VIEJO should it become unable to fulfill those obligations;
and
WHEREAS, CITY desires to accept the proposals presented
by VIEJO and GARDEN STATE.
NOW, THEREFORE, in consideration of the foregoing, the
parties hereto agree as follows:
1. CITY hereby agrees to permit VIEJO to collect from
it all waste newspapers which it collects.
2. VIEJO hereby agrees as follows:
A. To pay to CITY eighty -two percent (82 %) of
the "Current Market Price" paid to it by GARDEN STATE for each ton
of used newspapers delivered to GARDEN STATE's plant.
-1-
0
B. To guarantee a "ground floor price" to the
CITY of Twenty -five Dollars ($25.00) per ton. In the event the
CITY's percentage of the "current market price" falls below the
guaranteed floor price, the CITY shall receive Twenty -five Dollars
($25.00) for each ton of used newspapers collected by VIEJO.
C. To guarantee that all newspapers purchased from
CITY will be sold to GARDEN STATE.
D. To provide at least two roll -off type containers
with an approximate capacity of forty (40) cubic yards each with
overall dimensions which can be accommodated at the City Yard's
dump dock.
E. To remove full bins and provide for empty bins
on a schedule which will insure available bin space for all
newspapers during the scheduled collection days.
F. To submit to the CITY within fifteen (15) days
following the end of each month a monthly report stating tons of
used newspaper collected, together with the weight certificates
from a certified public scale in addition to any other information
necessary for analysis and evaluation program as determined by
CITY.
G. To remit payment to CITY on the fifteenth (15th)
of each month for the newspapers collected the previous month in
accordance with the agreed price per ton.
H. To obtain and maintain in effect Workmen's
Compensation insurance coverage, public liability insurance coverage
in the following minimum amount $500,000.00, and property damage
insurance coverage in the following minimum amount $100,000.00.
I. To hold the CITY, its agents and employees
harmless from any and all liability incurred for injuries resulting
from the activities of VIEJO, its agents or employees in the
performance of this agreement.
3. GARDEN STATE agrees that should VIEJO for any reason
be unable to fulfill the obligations set forth in this Agreement,
-2-
0
it shall assume those obligations for the term of the Agreement.
CITY shall have the authority to determine if VIEJO is unable to
perform its obligations under this Agreement.
4. It is mutually agreed by the parties hereto that
this contract shall be in effect for five (5) years from the date
of its execution. It is further agreed that this contract may be
renewed for an additional three (3) year - period by agreement of all
parties hereto.
IN WITNESS WHEREOF., the parties hereto have executed
this agreement as of the date first above written.
ATTEST:
APPROVED AS TO FORM:
Assistant City Attorney
CITY OF NEWPORT BEACH,
a municipal corporation
VIEJO PAPER FIBERS INCORPORATED
By :_
By:
GARDEN STATE PAPER COMPANY, INC.
By:�.
Jowa h1• �?1ci
By:
-3-
JUL j
By +he CITY COUNCIL
CITY @* ww~ USACN RESOLUTION NO. 831 1
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH AUTHORIZING THE EXECUTION OF
AN AGREEMENT BETWEEN THE CITY OF NEWPORT BEACH,
VIEJO PAPER FIBERS, AND GARDEN STATE PAPER
COMPANY FOR THE PURCHASE OF WASTE NEWSPAPER
WITHIN THE CITY
WHEREAS, there has been presented to the City Council
of the City of Newport Beach a certain agreement between the
City of Newport Beach, Viejo Paper Fibers, and Garden State
Paper Company for the purchase of waste newspaper within the
City; and
WHEREAS, the City Council has considered the terms
and conditions of said agreement and found them to be fair and
equitable, and in the best interests of the City;.
NOW, THEREFORE, BE IT RESOLVED by the City Council
of the City of Newport Beach that said agreement for the
services above described is approved, and the Mayor and City
Clerk are hereby authorized and directed to execute the same
on behalf of the City of Newport Beach.
ADOPTED this 8th day of July, 1974.
Mayor
ATTEST:
City Clerk
mh
7/5/74