Loading...
HomeMy WebLinkAboutO-1990-1730 . . ORDINANCE NO. l730 AN ORDINANCE APPROVING AND AUTHORIZING A CONTRACT BY AND BETWEEN THE CITY OF LA PORTE AND BFI WASTE SYSTEMS, INC., FOR COLLECTION AND DISPOSAL OF COMMERCIAL SOLID WASTE~ MAKING VARIOUS FINDINGS AND PROVISIONS RELATING TO THE SUBJECT; FINDING COMPLIANCE WITH THE OPEN MEETINGS LAW; AND PROVIDING AN EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LA PORTE: Section l. The City Council hereby approves and authorizes the contract, agreement or other undertaking described in the title of this ordinance, in substantially the form as shown in the document which is attached hereto and incorporated herein by this reference. The City Manager is hereby authorized to execute such document and all related documents on behalf of the City of La Porte. The City Secretary is hereby authorized to attest to all such signatures and to affix the seal of the City to all such documents. Section 2. The City Council officially finds, determines, recites and declares that a sufficient written notice of the date, hour, place and subject of this meeting of the City Council was posted at a place convenient to the public at the City Hall of the City for the time required by law preceding this meeting, as required by the Open Meetings Law, Article 6252-l7, Texas Revised Civil Statutes Annotated; and that this meeting has been open to the public as required by law at all times during which this ordinance and the subject matter thereof has been discussed, considered and formally acted upon. The City Council further ratifies, approves and confirms such written notice and the contents and posting thereof. Section 3. This Ordinance shall be effective from and after its passage and approval, and it is so ordered. PASSED AND APPROVED, this 22nd day of October, 1990. B ATTEST: . ~ Ch~Ck City Secretary 7EI:~ ~ Knox W. Askins City Attorney r e Ii e ,r e g o y, , 1 :., '. Supp. No. 11 c. General powers adopted. The enumeration of the particular powers in this Charter shall not be held or deemed to be exclusive but in addition to the powers enumerated herein or implied hereby or appropriate to the exercise, of such powers; the city shall have and may exercise all po:wer of local self-government and all other powers which, under the Constitution' and laws of the State of Texas, it would be competent for this Charter specifically to enumerate. The city shall.have and may exercise all the powers enumerated in ReVised Civil Statutes of Texas, Article .1175. j 5 I I I I I 1 I t 9/. 10 1~ .. ~ ~~ ,- I... 't\J ~ i I i I , I ~ 1 , , , 5. Garbage disposal. City council shall by ordinance adopt and' prescribe rules and regulations for the handling and disposition of all garbage, trash and rubbish within the city and shall fix charges and compensation to be charged by the city' for the removal of garbage, trash and rubbish, providing rules and regulations of the collection thereof. :Nu..isances, '~tc. Th.e ,city ~hall have the power to define 'all nuis~~es and "prohibit the same within the city and outside the city' limits for a distance of five thousand (5,~) feet; have power to police all parks or grounds, speedways, or boUlevards owned by said city and lying outside of. said city, to prohibit the pollution of any 'stream, drain or tributaries thereof, which may constitute the source of water supply of any city and to provide for policing the same as well as to provide for the protection of any watersheds and the policing of same,' to 'inspect dairies, slaughter pens, and slaughterhouses inside and outside the limits of the city, from which .m~at or milk is furnished to the inhabitants' of the city. 4. owner's premises who fails or refuses to make sanitary sewer, connections after due notice and to charge a cost aga~nst said owner and make it a personal liability 11.05 CHARTER 11.06 ;1 ~.. "r: ~~; I;': vP '" }e~ :.~ I~~ f 'j. t 1('. ' ';,.. l ~. , 'l1~ j :; .. . } it , J In ~d !I ~~ ~: ..1'1 ".-u. :.~ , "~ ~. :" '. %" . " ~. '~l ~~\! "~; ,! '~j; t~ ~: i:~ ., , , I' r. , ! I ! " ,t !t, I' 1 t. f . ~: I ',' ~ ~~I ,. U ~,: ~ ~~I t '11 ':, ~ [I , I i ! ~, I f. ~ J r.o, f f I' f; r f ,I \ ~ , r: , ~ "5 .i'.~ I~' n " J , ~ .;' ~ :'j ;1 ,.1 r, ., .1 '. ~ . :.. .f . ~ ~ J: :: ;~ . " J . I: I' \ , .f , I. " ~ . ~ ., . . ; ~ " '1 ~J ., , : ,~, 'j9 " ~ . . !. .'1 I', , " , ,. , .'; "'1 ,~ .' . ~ ~:'~Ei ,,"'1 . 'I . ~ 'I . t' ,~ I ." , ~'~;i " I ; , I I , ,1 I ! \ : ! 4 .. \. I f J. ~ -- . "- NOTICE: THIS CONTRACT IS SUBJECT TO ARBITRATION UNDER THE TEXAS GENERAL ARBITRATION ACT. ARTICLE 224. ET. SEQ.. REVISED CIVIL STATUTES OF TEXAS THE STATE OF TEXAS COUNTY OF HARRIS CONTRACT COLLECTION AND DISPOSAL OF COMMERCIAL SOLID WASTE CITY OF LA PORTE THIS AGREEMENT, made and entered into by and between the City of La Porte, a Municipal Corporation of Harris County, Texas, hereinafter called the "City", and Browning-Ferris, Inc~, a corporation duly organized under the laws of the State of Delaware, hereinafter called the "Contractor". WITNESSETH that for and in consideration of the payments and agreements hereinafter mentioned ~o be made and performed by the City, the Contractor hereby agrees with the City to commence and complete the work described as follows: The Contractor shall furnish all personnel, labor, equipment, and all other necessary items to provide for the collection and disposal of commercial and industrial solid waste within the corporate limits of the City of La Porte, as specified, and to perform all the work called for in accordance with the Contract Documents, including the Request for Proposal, Instructions to Proposers, Proposal, Affidavit, Proposal Bond, Contract, General Specifications including Exhibit A, Band C, Performance Bond, and any changes to the foregoing documents agreed to by the City and the Contractor, all of which are made a part hereof as fully as if set out herein and hereby become a part of these documents. It is agreed and understood between the parties that the Contractor agrees to accept and the Owner agrees to pay for the work at the prices and amounts stipulated in the Rate Schedule, and payments shall be made at the time and in the amounts and in the manner set forth in the Contract Documents. This Contract shall become effective upon Contract, and performance of such contract 1, 1990. the execution of the shall begin November In the event of conflict obligations of any of the Specifications shall apply. with any Contract terms, provisions or Documents, the General PAGE 1 OF 21 .. .. ~~;.. In the event that any portion of the Contract Documents are found invalid or unenforceable, the invalid or unenforceable portion shall not affect the validity or enforceability of any other portion of the Contract Documents. IN WITNESS WHEREOF, the parties to these presents have this contract in multiple counter~s, each of which deemed an original, this the I~~~y of Qc~eher, ~. - ".u,V12"'1~'" (n-r1~ executed shall be THE CITY OF LA PORTE (SEAL) BY:G'~ T. ~ Robert T. Herrera, City Manager ATTEST: ~;f/~ Cherie Black, City Secretary APPROVED AS TO FORM: ~~~ INC. ardue, Vice-President (SEAL) ATTEST:&I?~~ SECRETARY PAGE 2 OF 21 1.00 1.02 1.03 1.04 1.05 1.06 1.07 1.08 . . GENERAL SPECIFICATIONS COLLECTION AND DISPOSAL OF COMMERCIAL SOLID WASTE BINS - Metal receptacles designed to be lifted and emptied mechanically for use at Commercial and Industrial Units. For the purposes of this contract, Bins are containers of 3, 4, 6 and 8 cubic yards designed for collection with a front-loading collection vehicle, and Bins that are 20, 30, and 40 cubic yards, designed for collection with a tilt-loading collection vehicle, also called Roll-off. BULKY WASTE - Appliances, water tanks, furniture and other waste materials, other than Construction Debris, Dead Animals, Hazardous Waste or Stable Matter with weights or volumes greater than those allowed for Bins. CITY - City of La Porte, Texas. COMMERCIAL AND INDUSTRIAL REFUSE - All Bulky Waste, Construction Debris, Garbage, Rubbish and Stable Matter generated by a Producer at a Commercial and Industrial Unit. COMMERCIAL AND INDUSTRIAL UNIT All premises, locations or entities, public or private, requiring refuse collection within the corporate limits of the City, other than a single-family Residential Unit. For the purposes of these specifications, apartments, condominiums and townhomes, and trailer parks are considered Commercial Units. CONSTRUCTION DEBRIS Waste building resulting from construction, remodeling, demolition operations. materials repair or CONTRACT DOCUMENTS The Request for Proposal, Instructions to Proposers, Affidavit, Proposal, Proposal Bond, Contract, General Specifications, including Exhibit A, Band C, Performance Bond and any addenda or changes to the foregoing documents agreed to by the City and the Contractor. CONTRACTOR Browning-Ferris, Inc., or its duly authorized successor, performing Commercial and Industrial Refuse Collection and Disposal with the City under the terms of the Contract Documents. PAGE 3 OF 21 1.09 1.10 1.11 1.12 1.13 1.14 e e ~" DEAD ANIMALS - Animals or portions thereof equal to or greater than 10 lbs. in weight that have expired from any cause, except those slaughtered or killed for human use. DISPOSAL SITE - A Refuse depository, including, but not limited to, sanitary landfills, transfer stations, incinerators and waste processing/separation centers licensed, permitted or approved by all governmental bodies and agencies having jurisdiction and requiring such licenses, permits or approvals to receive, for processing or final disposal of, Garbage, Refuse and Dead Animals. GARBAGE - Any and all dead animals of less than 10 lbs. in weight, except those slaughtered for human consumption; every accumulation of waste (animal, vegetable and/or other matter) that results from the preparation, processing, consumption, dealing in, handling, packing, canning, storage, transportation, decay or decomposition of meats, fish, fowl, birds, fruits, grains or other animal or vegetable matter, (including but not by way of limitation, used tin cans and other food containers; and all putresclble or easily decomposed waste animal or vegetable matter which is likely to attract flies or rodents); except (in all cases) any matter included in the definition of Bulky Waste, Construction Debris, Dead Animals, Hazardous Waste, Rubbish or Stable Matter. HAZARDOUS WASTE Waste, in any amount, which is defined, characterized or designated as hazardous by the United States Environmental Protection Agency or appropriate State agency by or pursuant to Federal or State law, or waste, in any amount, which is regulated under Federal or State law. For the purposes of this Contract, the term Hazardous Waste shall include motor oil, gasoline or other petroleum product, paint and paint containers. PRODUCER - An occupant of a Commercial and Industrial Unit who generates Refuse. REFUSE - This term shall refer to Commercial and Industrial Refuse to be collected and disposed of pursuant to this Contract unless the context requires otherwise. PAGE 4 OF 21 1.15 1.16 2.00 3.00 3.01 3.02 . e, --' RUBBISH All waste wood, wood products, tree trimmings, grass cuttings, dead plants, weeds, leaves, dead trees or branches, chips, shavings, sawdust, printed matter, paper, pasteboard, rags, straw, used and discarded mattresses, used and discarded clothing, used and discarded shoes and boots, combustible waste pulp and other products such as are used for packaging, or wrapping crockery and glass, ashes, cinders, floor sweepings, glass, mineral or metallic substances, and any and all other waste material not included in the definition of Bulky Waste, Construction Debris, Dead Animals, Garbage, Hazardous Waste or Stable Matter. STABLE MATTER - All manure and other waste matter normally accumulated in or about a stable, or any animal, livestock or poultry enclosure, and resulting from the keeping of animals, poultry or livestock. SCOPE OF WORK - The work under this Contract shall consist of the items contained in the Contract Documents, including all the supervision, materials, equipment, labor, services and all other items necessary to complete said work in accordance with the Contract Documents. TYPE OF COLLECTION SERVICE PROVIDED Contractor shall provide Bin collection service for the temporary and permanent collection of Commercial and Industrial Refuse to Commercial and Industrial Units according to individual agreement. The Contractor may, from time to time, provide for special collection of Dead Animals and Hazardous Waste at Commercial and Industrial Units at its sole discretion and upon such terms and conditions as may be mutually agreeable between the Contractor and the Producer. LOCATION OF BINS FOR COLLECTION Contractor shall provide Bins for Commercial and Industrial 4nits whenever customers request their use. Each Bin shall display the Contractor's name and local telephone number in a clear and legible manner. All BIns shall be covered, and maintained in a good and nuisance-free condition. Each Bin shall be placed in an accessible, outside location on a hard surface. Contractor shall make all efforts to place the Bin at the customer's requested location, as long as the location is entirely within the customer's property. In no event will a Bin ever be placed on any City, County or State right-of- way. PAGE 5 OF 21 3.03 3.04 3.05 4.00 4.01 4.02 e e. .--....... CITY FACILITIES - The Contractor agrees to provide Bins, and collect and dispose of Refuse from City- owned facilities identified on Exhibit C of the Contract Documents, at no charge to the City. The City reserves the right to make minor modifications to the number, placement and frequency of collection from time to time, depending on the addition of facilities and seasonal requirements. INITIAL START OF CONTRACT - It shall be the duty and responsibility of the Contractor to contact each and every Commercial and Industrial Unit to determine the collection and disposal needs of each Unit. If commercial service is currently provided, regardless of the provider, or if commercial service is required or desirable, the Contractor shall provide the size Bin and collection frequency necessary. Upon obtaining information regarding size and frequency of collection needs, the Contractor shall provide such information to the City. It is understood that this information will be provided at the beginning of the contract period, with monthly updates provided to coincide with the billing period, as provided in Paragraph 13.09. CUSTOMER BASE - It is understood that the Contractor has the exclusive right, as the City's Independent Contractor, to collect all Refuse from Commercial and Industrial Units within the corporate limits of the City. All existing customers of the City, as well as those Units utilizing other collection services, including the Contractor's, are customers of the City, effective with this Contract, and will be serviced by the Contractor, acting as the City's Independent Contractor under the terms and conditions of this Contract. COLLECTION OPERATION HOURS OF OPERATION Collection of Commercial and Industrial Refuse shall be permitted before 6:00 A.M., provided that collection routes do not disturb single family or multi-family residential units. ROUTES - Commercial and Industrial Unit collection routes shall be established by the Contractor. The Contractor shall have the right to pursue with each Producer a collection frequency and Bin size that maximizes the Contractor's resources, while ensuring sanitary and odorous conditions are not compromised. If agreement cannot be reached, the City shall have the right to determine Bin size and collection frequency. PAGE 6 OF 21 4.03 4.04 4.05 e e "-.. .~ HOLIDAYS shall not holidays: - Commercial and Industrial Unit collection be required on the following recognized New Year's Day Memorial Day Independence Day Labor Day Thanksgiving Day Christmas Day When normal collection falls on Contlactor will provide collection on the day after the holiday, at discretion. a holiday, the the day before or the Contractor's SERVICE REQUESTS AND INQUIRIES - The Contractor will maintain a business office within the city to receive Iequests for service and complaints. It shall be equipped with sufficient telephones and shall have a responsible person in charge from 8:00 A.M. to 5:00 P.M. on weekdays, excluding Holidays. Provisions shall also be made for emergency calls after 5:00 P.M. on weekdays and Saturdays before 3:00 P.M. All requests for extra or special service, and any complaints from Commercial and Industrial Units shall be directed to the Contractor. All such requests and complaints shall be given prompt and courteous attention. All requests for extra service will be accommodated by the Contractor as the Contractor's schedule permits, and the City shall b~ notified of extra service requests with the Contractor's monthly billing. In the case of alleged missed scheduled collections, the Contractor shall investigate and, if determined valid, shall arrange for the collection of the Refuse not collected within 24 hours after the complaint is received. If the matter cannot be resolved, the City has the right to make the final determination. NEW AND DISCONTINUED SERVICES - All request for new and discontinued service shall be directed to the City, between the hours of 8:00 A.M. and 5:00 P.M., Monday through Friday, excluding Holidays, at City Hall, 604 West Fairmont Parkway, La Porte, Texas. The City will promptly notify the Contractor of all such requests, and the Contractor will comply with the request within 48 hours of receipt of the request. In the case of new service requests, from time to time the Contractor may be required to consult with the potential Producer to detelmine Bin size and collection frequency. The City will promptly notify the Contractor of such, and the Producer, upon determination of said size and frequency in consultation with the Contractor, will make proper application with the City, who will then notify the Contractor as outlined above. PAGE 7 OF 21 4.06 4.07 4.08 4.09 4.10 e e INACCESSIBLE BINS - If, during the collection cycle, the Contractor in good faith determines that collection of a particular Commercial and Industrial Unit is not possible due to the inaccessibility of the Bin, through no fault of the Contractor, the Contractor will make a good faith effort to contact the Unit to provide accessibility. The Contractor can, but is not required to, return the same day to provide collection. If the Contractor cannot gain accessibility on the regular scheduled collection day, the Contractor shall provide service on the next scheduled collection day, and the Unit shall be charged an amount as provided by the Contract equal to the amount due by Producer had the collection been made as scheduled. COLLECTION EQUIPMENT - The Contractor shall provide an adequate number of vehicles for regular collection services, including sufficient back-up vehicles. Vehicles shall be covered or totally enclosed, meet all statutory requirements for safety and other regulations, and shall be kept in good repair, appearance, and in a sanitary condition at all times. Each vehicle shall have clearly visible, on each side of the vehicle, the name and telephone number of the Contractor. COLLECTION AND TRANSPORT - All Refuse collected and transported by the . Contractor shall be so contained that no spilling, leaking, blowing or falling occurs. If Refuse is spilled, leaked, blown or falls during collection or transport, Contractor shall clean all such Refuse immediately. DISPOSAL - All Refuse collected for disposal by the Contractor shall be transported to a Disposal Site. The charge for disposal shall be included in the rate set forth in the Contract for each Commercial and Industrial Unit serviced by the Contractor. CONTRACTOR'S EMPLOYEES - The Contractor shall assign a qualified person or persons to direct collection and disposal operations and shall furnish the name or names of such person(s) to the City. Such person(s) shall have full authority to respond immediately to and resolve complaints or problems. Contractor's employees shall be uniformed, with company and name identification provided on said uniforms. All drivers will possess the appropriate license as issued by the Texas Department of Public Safety. PAGE 8 OF 21 5.00 6.00 7.00 e , GOVERNING LAWS - This Contract shall be governed by the laws of the State of Texas and the Ordinances of the City of La Porte. Should any disagreement occur concerning the Contract, the parties agree that the venue for settling such disputes, including claims and suits, shall be Harris County, Texas, provided however, nothing in this paragraph shall prevent the parties from resolution of any dispute under Paragraph 17.00 of the Contract. EFFECTIVE DATE AND TERM - This contract shall become effective, and performance shall begin on November 1, 1990. The Contract shall be for a five (5) year period beginning on November 1, 1990 and remain in full force until October 31, 1995. The initial term of the Contract may be extended for an additional five (5) years, upon the Mutual agreement of the Contractor and the City. Request for extension by the Contractor shall be submitted in writing, on or before June 1" 1995. The request for extension shall contain the proposed pricing, including proposed formula for price increases, and any additional terms or conditions not contained in the original Contract Documents. If the City disapproves the proposed extension on or before August 1, 1995, the Contractor shall be entitled to terminate service effective November 1, 1995, provided written notice is served to the City on or before August 15, 1995. If the City does not act on the proposed extension on or before August 1, 1995, or written notice is not served to the City by August 15, 1995, the Contractor agrees to extend the Contract with the City for one (1) additional year, from November 1, 1995 to August 31, 1996, according to Paragraph 13.02 of the Contract Documents. INDEMNITY - The Contractor will indemnify and save harmless the City, its officers, agents,' servants and" employees from and against any and all suits, actions, legal proceedings, claims, demands, damages, costs, expenses and attorney's fees incident to any work done in the performance of this Contract, including damages, penalties or claims arising from the disposal of any waste by the Contractor or arising out of a willful or negligent act or omission of the Contractor, its officers, agents, servants and employees. However, the Contractor shall not be liable for any suits, actions, legal proceedings, claims, demands, damages, costs, expenses and attorney's fees arising out of a willful or negligent act or omission of the City, its officers, agents, servants and employees. PAGE 9 OF 21 8.00 9.00 10.00 . . ~-" NONDISCRIMINATION - The Contractor in its employment, operations and service shall not discriminate against any person because of race, sex, age, creed, color, religion, national origin, or in any other manner prohibited by law. NOTICE All written notices registered or certified mail to receipt requested, as follows: shall be served by the parties, return CITY City Manager City of La Porte P.O. Box 1115 La Porte TX 77572 CONTRACTOR Vice President - Bay Area District BFI Waste Systems, Inc. P.O. Box 1379 La Porte, TX 77572 INSURANCE - The Contractor shall, at all times during the term of this Contract, maintain in full force and effect Employer's Liability, Worker's Compensation, Public Liability and Property Damage insurance, including Contractual Liability coverage for the provisions of Section 7.00. All insurance shall be by insurers licensed to do business in the State of Texas, and for the policy limits as specified by the City, before the commencement of work. The Contractor agrees to furnish the City certificates of insurance or other evidence satisfactory to the City to the effect that such insurance has been procured and is in force. The certificates shall contain the following express obligations: "This is to ceztify that the policies of insurance described herein have been issued to the insured for whom this certificate is executed and are in full force at this time. In the event of cancellation or material change in a policy affecting the certificate holder, thirty (30) days prior written notice will be given the certificate holder." The Contractor may elect, with the express prior written consent of the City, to insure the required coverages under planes) of self-insurance. The coverages may be provided by the Contractor's parent corporation, subject to all applicable provisions of Texas law and the licensing requirements of the appropriate State of Texas agency. PAGE 10 OF 21 10.01 11.00 11.01 11.02 - e INSURANCE Contract, types of below: POLICY LIMITS- the Contractor insurance in at For the purposes of the shall carry the following least the limits specified COVERAGES LIMITS OF LIABILITY Worker's Compensation Statutory Employer's Liability $500,000 per occurrence Public Liability, Bodily Injury, Including Death, Except Automobile $500,000 each occurrence $1,000,000 aggregate Property Damage Liability Except Automobile $500,000 each occurrence $1,000,000 aggregate Automobile Bodily Injury Liability, (owned and non- owned), Including Death $500,000 each person $1,000,000 ea. occurrence Automobile Property Damage Liability (owned and non-owned) $500,000 each occurrence Excess Umbrella Liability $5,000,000 ea. occurrence PERFORMANCE BOND - Upon award of the Contract, the Contractor shall furnish to the City a corporate surety bond, issued by a corporate surety licensed to do business in the state of Texas, as security for the faithful performance of this Contract. Said surety bond must be in the amount of three hundred and fifty thousand dollars ($350,OOO.OQ), which represents the estimated billing for the first year of the Contract. The bond shall indemnify the City against any loss resulting from any failure of performance by the Contractor up to and including the penal sum of the bond. PREMIUM - shall be the surety full shall The premium for the bond{s) described above paid by the Contractor. A certificate from showing that the bond premiums are paid in accompany the bond. POWER OF ATTORNEY Attorneys in fact who sign performance bonds or contract bonds must file with each bond a certified and effectively dated copy of their power of attorney. PAGE 11 OF 21 12.00 12.01 12.02 12.03 13.00 13.01 e e FAILURE TO PERFORM NOTICE - All terms and conditions of the Contract are considered to be material and a failure to perform or a breach of any condition, term or provision of any part of the Contract shall be considered to be a default constituting grounds for termination or other default relief. Should the Contractor fail to perform any of its contractual obligations, the City shall provide written notice of termination and cancellation of the contract. The notice shall set forth the causes and reasons for the proposed termination and cancellation. The City's failure to give notice shall not be deemed a waiver of subsequent defaults or failure to perform. REMEDY - Should the Contractor fail to correct such breach within ten (10) days of the notice, the City may, at its option, terminate this agreement and negotiate with other contractors for the performance of the service. Such action shall not release the Contractor of liability to the City for such breach of agreement. In the event of termination under this provision, the City may utilize the performance bond(s) to fund cost of service for collection and disposal, and may avail itself of any other remedy allowed by law for damages resulting from Contractor's failure to perform. FORCE MAJEURE - In the event that the Contractor is delayed or prevented from continuing in the performance of this Contract by reason of an Act of God, catastrophe, riot, war, governmental order or regulation, strike or other similar or different contingency beyond the reasonable control of the Contractor, the Contractor shall not be liable for damages arising solely out of such contingency. BASIS AND METHOD OF PAYMENT COLLECTION disposal Contract, outlined charges Contract Paragraph provided in disposal and for purposes the capacity AND DISPOSAL RATES - For collection and services required to be performed by the the charges for said services shall be as under Exhibit A (Rate Schedule), and said shall not exceed the rates as fixed by the Documents, as adjusted in accordance with 13.02. The Refuse collection charges this section shall include all collection, related costs. Bins will be deemed full of determining cubic yards collected, with as determined by the manufacturer. PAGE 12 OF 21 13.02 13.03 13.04 13.05 e , MODIFICATION OF RATES - The Contractor and the City hereby agree that the fees for such refuse collection and disposal service as provided in Exhibit A shall be binding upon both parties for the first two (2) years of the Contract, that is from November I, 1990 through October 31, 1992. In the event that the Contractor determines that an increase in such collection and disposal fees is required due to an increase of specific costs incurred by the Contractor in providing such services, then the Contractor shall submit, in writing, to the City on or before June 1, 1992, and subsequent years, its proposal for increased fees and all supporting data related thereto, and such proposed increases shall be approved in accordance with Paragraph 13.03 and 13.04, with a maximum annual rate increase as defined in Paragraph 13.05. ANNUAL COST OF LIVING ADJUSTMENT - Beginning November 1, 1992, and in subsequent years thereafter, there shall be a cost of living adjustment of the base rates. The annual cost of living adjustment shall be calculated by multiplying the base rate by a fraction, the denominator of which shall be the April 1990 Consumer Price Index for all Urban Consumers (CPI-U), all items, U.S. City Average, and the numerator of which shall be the CPI-U for all items, U.S. City Average for April 1992, and subsequent dates of adjustment. DISPOSAL COSTS - The base rate shall be increased annually to reflect increases in disposal costs, but the maximum annual rate increase for disposal costs shall be $0.25 per billable cubic yard. MAXIMUM ANNUAL RATE INCREASE - Regardless of the actual cost increase incurred by the Contractor in a given period, as defined in 13.03 and 13.04, the City shall never incur an increase greater than four percent (4%) of the prevailing base rate in any Contract year. Provided, however, any disposal fees, in addition to current fees, imposed on all Type I Disposal Sites within a 25 mile radius of the City, by any local, state, federal or other regulatory agencies shall be passed to the City as they become effective. Such rate increase shall be in addition to and separate from any annual rate increase provided for in Paragraphs 13.03, 13.04 and 13.05. PAGE 13 OF 21 13.06 13.07 13.08 13.09 . e ~-' APPROVAL OF RATE INCREASES After receipt of the Contractor's proposal to increase rates as outlined in Paragraph 13.02, the City shall approve or disapprove of the proposed rate increase on or before August 1, 1992, and in subsequent years, provided that the City shall approve any rate increase that has been properly established under Section 13 of the Contract. Should the City fail to approve or disapprove of the proposed rate increase by such date, then the proposed increase shall take effect on November 1 of that Contract year. Should the Contractor and the City fail to agree on the proposed rate increase, resolution shall be subject to Paragraph 17.00. CITY TO ACT AS COLLECTOR The City shall submit statements to and collect from all Commercial and Industrial Units served by the Contractor, including all delinquent accounts. The billing rates shall be determined by City Ordinance, and any difference between the Contractor's rate and the City's rate shall be retained by the City for billing and administration of the Contract. DELINQUENT ACCOUNTS '- The Contractor shall discontinue Refuse collection service to any Commercial and Industrial Unit, delinquent in its payments to the City, upon reasonable prior written notice by the City. Upon further prior written notification by the City that the Unit's account has been made current, the Contractor shall resume Refuse collection on the next regularly sched~led collection day. CONTRACTOR BILLINGS TO THE CITY - The Contractor shall invoice the City, in arrears, for service rendered to Commercial and Industrial Units within ten (10) days following the end of the month, as set forth in the Contract, and the City will pay the Contractor on or before the end of such month. The Contractor shall be entitled to payment for services rendered to Units regardless of the status of the Unit's account with the City, subject to the provisions outlined in Paragraph 13.08. Should the City and the Contractor fail to agree on the invoice amount, then the City shall pay the disputed amount, subject to resolution under Paragraph 17.00. The Contractor's monthly statement to the City shall include an itemized listing of each Commercial and Industrial Units' billing name, service address, City account number, size and frequency of service and any extra service provided during the billing period. PAGE 14 OF 21 14.00 15.00 16.00 17.00 e e ',-. TRANSFERABILITY OF CONTRACT - Other than by operation of law, no assignment of the Contract or any other right accruing under this Contract shall be made, in whole or in part, without the express written consent of the City. The City shall have the right to investigate the proposed assignee, as outlined under the original proposal, and reserves the right to reject any proposed assignee that does not meet the requirements of the original proposal. The City agrees to not unreasonably withhold consent of assignment. In the event of assignment, the assignee agrees to assume all terms and conditions of the Contract Documents. EXCLUSIVE CONTRACT - The Contractor shall have the sole and exclusive franchise, license, privilege and right to provide collection and disposal of Refuse from Commercial and Industrial Units within the corporate limits of the City. The Contractor shall have the right to solicit for collection and disposal of Dead Animals and Hazardous Waste, but such right shall not be exclusive. OWNERSHIP Title to any and all Refuse and Dead Animals shall pass to the Contractor when placed in the Contractor's collection vehicle, removed by the Contractor from a Bin, or ~emoved from the customer's premises, whichever occurs last. ARBITRATION - Should a dispute arise regarding the interpretation of any provision of the Contract, except Paragraph 7.00, or any proposed rate increase under Paragraph 13.06, or monthly invoices under Paragraph 13.09 that cannot be resolved, within a reasonable amount of time, between the City and the Contractor, the parties may request the determination of such dispute by a mutually acceptable arbitrator. Should the parties be unable to agree upon a mutually acceptable arbitrator, each party shall nominate one arbitrator and the arbitrators so nominated by the parties shall select a third arbitrator who will act with them as a three-member arbitration panel to decide the disagreement between the parties by the concurrence of a majority of the panel. Cost for such arbitration shall be borne equally by Contractor and City, provided that each party shall bears its own attorney fees. The decision rendered by the arbitratorCs) will be final, subject only to judicial review as may be available under the Texas General Arbitration Act. Provided, however, that nothing in this paragraph shall prevent the parties from resolving disputes prior to formal arbi trat io.n. PAGE 15 OF 21 18.00 19.00 . e PURCHASE OF CITY EQUIPMENT - The Contractor shall purchase the City's Commercial Solid Waste Equipment for the purchase price set forth in the Contractor's Proposal, and further described in Exhibit B of the Contract Documents. City certifies such equipment shall be in substantially the same condition as on July 16, 1990, except 'for normal wear and tear since that date, and is subject to no liens or encumbrances. Equipment is sold "as is" with existing title , if applicable. The parties agree that payment and transfer of title shall take place during the business day just prior to the beginning date of service as specified in Paragraph 6.00 herein. RELATIONSHIP BETWEEN THE PARTIES The relationship between the parties is that of the City, as Owner, and Browning-Ferris, Inc., as Independent Contractor. PAGE 16 OF 21 . e '--", EXHIBIT A - RATE SCHEDULE SERVICE UNIT COST Commercial Container Service $1.76/cubic yard $1.76/cubic yard Extra Dump Service Roll-off Container Service A. 20 Cubic Yard Open-top B. 30 Cubic Yard Open-top C. 40 Cubic Yard Open-top D. Any Compactor Container $8.25/cubic yard $7.00/cubic yard $6.00/cubic yard $8.25/cubic yard The above Contractor's formula: rate schedule will be monthly billing to the used to City, using calculate the the following Number of cubic yards furnished X applicable unit cost X number of collections per week X 52 weeks 12 months Temporary Roll-off Containers A. One-time set-up B. Minimum two hauls per 30 days $50.00 per container Less than required minimum $75.00 per haul less than the required minimum There shall be no monthly rental charges for any containers under this Contract. PAGE 17 OF 21 . . EXHIBI'r B PURCHASE OF CITY EQUIPMENT EQUIPMENT QUANTITY 1985 Crane Carrier Front Loader 1 1981 Mac Front Loader 1 1981 Container Trailer 1 3 Cubic Yard Container 189 4 Cubic Yard Container 90 6 Cubic Yard Container 89 8 Cubic Yard Container 28 TOTAL PURCHASE PRICE PURCHASE PRICE $25,000.00 5,000.00 1,500.00 16,859.00 9,400.00 11,750.00 4,668.00 $74,177.00 The Contractor shall be responsible for all fees associated with title transfer, taxes and other fees as may be applicable. Title transfer and payment to the 'City shall take place as outlined in Paragraph 18.00. PAGE 18 OF 21 . e. '- EXHIBIT C COLLECTION AND DISPOSAL SERVICE PROVIDED TO CITY AT NO CHARGE LOCATION QUANTITY SIZE FREQUENCY PER WEEK Public Works Service Center 4 Fire Station " 1 1 Fire Station " 2 1 Fire Station " 3 1 Fire Station" 4 1 Animal Shelter 1 Police Station 2 Northside Civic Center 1 Fairmont Civic Center 1 Fireman's Hall 1 Evelyn Kennedy Civic Center 1 Library 1 Lomax Park 1 City Hall 1 Wastewater Treatment Plant 4 E.M.S. Station/Fire Training 1 San Jacinto Pool 1 Little Cedar Bayou Park 1 Northwest Park 1 Bay Forest Golf Course 1 4 4 3 3 3 3 3 4 4 3 4 4 3 4 3 3 3 3 3 6 3 2 1 1 1 3 3 1 3 1 1 1 3 2 2 1 3 3 2 5 SPECIAL EVENTS Sylvan Beach Day Main Street Fair 4 3 3 4 4 6 Collection, disposal and modification of number, placement and frequency of Bin collection shall be governed under Paragraph 3.03 of the Contract. PAGE 19 OF 21 - - - - .- - - - - - - - - - e DISCLOSURE OF GUARANTY FUND NONPARIICIPATION NOTICE In the event the Insurance Company is unable to fulfill its contractual obligation under this policy or contract on application or certificate or evidence of coverage, the policyholder or certificateholder is not protected by an insurance guaranty fund or other solvency protection arrangemen t . . .. - ... ... - .~ .. - - - - .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. .. 'pupoaHues 10YD e BOND #U1859711 STATI 011 T.XAS COUNTY or HARRIS XIIOW ALl, MEN BY THESE PRSSIN'l'S, !bat ~rowni~-Ferris, Inc. . (ber.tna!~e% cal1~d wPrincipalW), as Pxlnclpal, and united Pacific Insurance~, a CQ2:po~atlon o~~anlzed and ex1stin9 und.~ the laws of ~he state of Texas and authoxized to act .. 5U%ety on bonds fox principalS (he~e1n.ftez cal1e~ .surety.), as s~%ety, are held an4 fi~sl~ bOQnd unto tha city of La porte, county of Ha~~1s, State ~! Te~. (here1~aft.~ called the "Ci t'i- ), as Cl ty I in the p~nCll :':~JJ' .)f th;,e hundred ~lfty thousand Dollars ($350,OOO.~) !o~ ~he p~ya(~nt ..,her;c",f:, the sat4 Prlnelp.l and Surety bln4 thc.s~lvo$, .rd their helrs, administrators, executors, successors and ~ss1~ns jointly and aeverally, flxaly by these presents: WHEREAS I the P~1ncipal h3$ enteraa int~ a ~e~t.1n v~ltten cont~act with the City, dated th~ 1st day ~f j[qv6IDer I 1990, fo~ co..ercial and IrAustrial Solie Wa~te collection and Disposal, which Contract is hereby referred to Jnd eade a pa%t thereof as if fullY and tc ~he same ~xtent ~opleJ at 1~n9th hex.1n, consiat1ftg of tho R~Que~t fo~ :~~posa1~ Inst~uction. to P%opose:s, Proposal, A~fida~1t, 'r~~joftl t~~~1 Contract, Genexal Specification. in~1~d!n9 Exhibits A, a .n~ ~, an~ any ehanges to the foregoinq document5 a~%ce~ ~o by the Clty ~~d the Principal. Provided t however J that the term of this bond is from the 1 t d f ~ . 1~90. until the 310+ day Of.~nhf'T 19 and cana~n~v l~ b~iende~ whltn the express written consent of th~ Su~tv and the total la 1 ty 0 t e Surety shall not exceed the penal sum of the bond. HOW ~ZREFORE, T8K CONOZTt~M ~i THtS O!~IG~TIOM IS SUCH, that ~f the said P%inclpal .hall f~lthfu~ly pe~fozm the cond1tlons of the contza~t, f~.. and ~:da~~! all l~~ns ar1s1n9 out of clalas foz labo~1 materIals an~ oth~t ~e:vle~s necessary for ~he performance of the Cont%~ct, a~e indean1fy and save bar.less the City fxoa all l~sses, co~~ ~~ da2age that th6 City. Day suffar by reason of the f.ilu%e of t~e ?rir.aipal'& failure to 40 50, then th1s o~119atlon shal~ ~~ void; othervlse this obligation shall remal~ in full torce and etf~c~. Surety, for value r&~eiv8d fr02 ~h~ grincipal, .tlpulates and agrees that no cha~ge, extensior. oi ccntr4ct t~xm, .It.rat1on oz a441tlon to th~ ter.s_~: the cont:ac~, 0% other vork pert~~.ed thezeunder shall 1n anyv~.. affect ~ts c~.lq"tlon on this bond I and it does hereby walve notlee of any such cha~qe, extension of tara, alteration or .d~ltion tc th. tc:a~ ~f t~e Contraet, or tha wo%k to be p8xfor..4 th.r.un4e~. ,&GJC 20 0., 21 ~.. -;';~..:.." ". : ,i ~~.>t;!!}r~:-. ';; . I . _."' . '. ..... .. . ". '-". . ..- .' ". ..:-.:.... ];.:i-:." ...~. . ,..: _ :." "!!>,. ;.. ..1 . ;:'-~~.....~...; _' ..... i. ... ." ..;.:.... ';'.;>..~'.::' ., .. "," '"r' .' :;. . .:...:_....-i... ";':j." .' f .. " .r ~.' .. .." -. ~.~d;. . .;.~~~~~~~:~~({ . ". . :;::2.:....... . ",;...... OCT 29 ' 90 13: 30 . SF! W< MNGT , P.4 IN WITNESS WHEREOF, the said Princ1pal and Surety have signe4 ana sealed this instrument this ~_dR of .or....l.p'-- ~ 19 go. i srp7- ;l),v@.'.., he.r B:~ Tl tle D 134-('\'* VV1 "-""-(j-er' Address 1700 North E LaPorte, TX 77571 B Gary D. Eklund 't i tle..Attorn~-j n-fi'lct Address 5660. New Northside D.ive Suite 400, A1;.l~. GA 30328 (Seal) (Sei\l) The name and addrass of the Resident oi Surety i3; ~1s. B. R. Goodenough, SedgwicK Janes of Texas', Inc. ~.......~_. . 3811 Turtle Creek Blvd, LBl, Dallas, Texas 75219.-4419 ~-- - Counters.igned by: fj. f, J~J1Wt-- B. R. Goodenoug Texas Resident !\gent PAGE 21 OF 21