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OR 91-504.1 Waste Management to operate trash collection service ORDINANCE NO. 91504.1 CITY OF COPPELL CONTRACT AMENDMENT WHEREAS; the City of Coppell, Texas and Waste Management, Inc. entered into an Agreement for the collection of garbage and trash within the corporation limits of the City all as set forth in ordinance 207-A passed and approved by the City Council of Coppell on January 7th 1980, as amended, and; WHEREAS; due to the growth and development of the City and the expressed desires of the residents for modifications to the service provided and review of the rates charged, the parties to the Agreement have determined to amend the Agreement and ordinance in the following respects, and; WHEREAS; this ordinance shall serve to reduce to writing such Amendment. NOW THEREFORE; be it ordained by the City Council of the City of Coppell, Texas. 1. That the City of Coppell recognizes and approves assignment of the Contract performance by Waste Management, Inc. to its local operating company, Waste Management of Texas, Inc., doing business as Texas Waste Management provided that Waste Management, Inc. not be relieved of its obligation to the City by reason of such assignment. 2. That the term of the Agreement as modified shall be modified to take effect and continue in full force for a period of seven (7) years commencing, April 1, 1991, (the prior Agreement terms to remain in effect prior to such date). On the day following the expiration of the first year of this restated term, and on the same date on each succeeding contract year, the term of the Agreement shall automatically be extended for an additional one year period so that the remaining balance of the term of the Agreement shall again be (7) seven years. Should either party desire that said automatic extension and renewal provision be terminated such party shall give notice in writing of such termination within 30 days of the last day of any contract year. Such notice shall terminate the automatic renewal provision and the Agreement shall remain in effect for the remainder of the seven (7) year term then outstanding. 3. Commencing with the effective date of this ordinance, the residential rate shall be ($9.00) nine dollars per month per residential unit, subject to CPI and pass through increases as follows: The residential rate set forth above is subject to adjustment annually to reflect changes in the CPI. "CPI" as used herein shall mean the revised Consumer Price Index for All Urban Consumers (CPI-U), all items, published by the United States Department of Labor, Bureau of Labor Statistics 1982-1984 = 100. In the event the U.S. Department of Labor, Bureau of Labor Statistics ceases to publish the CPI, the parties hereto agree to substitute another equally authoritative measure of change in the purchasing power of the U.S. dollar as may be then available so as to carry out the intent of this provision. Except as otherwise provided by this Agreement, this rate shall remain effective for a period of one year from date of the commencement of operations under this Agreement (the Commencement Date). On each anniversary of the Commencement Date, the rate shall be increased by the same percentage as the percentage increase if any, between the CPI as published either for the month preceding the Commencement Date or the most recent such CPI based increase, whichever is later, and that published for the month immediately preceding the current anniversary of the Commencement Date. As soon as practicable after the Operating Date anniversary each year, the Company shall notify the City of any CPI based rate adjustment and upon request provide the supporting data that is the basis for the rate adjustment. On April 1st of each Contract year the percentage change between the CPI as published (for the month most nearly preceding) and the CPI as published for the same month of the preceding year shall be determined. Seventy five percent of that percent CPI change but not more than (5%) five percent shall be multiplied by the then current rate to determine the annual CPI rate modification provided, however, if the percent CPI change for any year has increased by more than 150% of the annual CPI rate increase for the prior year, the referenced 75% and 5% limiting factors shall not be applied and Grantee shall be entitled to 100% of the percent CPI change in determining the annual CPI rate modification. 4. The service level to be provided under this Agreement shall encompass one residential pickup per week for waste materials and one pickup per week for recyclables. During the period between April 1 and October 1 there will be two waste material pickups per week and one recyclable pickup per week. The City, at it's option, may elect to amend the frequency of the residential garbage collection, upon providing contractor with at least ninety (90) days prior written notice, of the City's desire to change the frequency of collection. Under this option, the City could choose to have residential garbage collected one time per week for $8.48 per month per residence, or have residential garbage collected two times per week for $9.50 per month per residence, The above rates would include one time per week residential recycling collection and be subject to all CPI rate adjustments put into effect after April 1, 1991. Grantee and City agree to consult periodically during the term of the Agreement to assure City residents and businesses of a continuing high level satisfaction with City waste removal and modify this Agreement as necessary to achive this goal. 5. To the extent consistent with law, the residential rate for senior citizens (age 65 or older) and handicapped persons residing alone or exclusively with other seniors or handicapped persons shall be reduced by 10%, upon application 2 to the City Manager or his designee and determination by the City Manager or his designee of the appropriateness of the discount in each instance. 6. Proceeds of the Curbside Residential Recycling Project will be distributed equally between City and Grantee, on a monthly basis. Grantee will not be required to pay the City Franchise fee on its portion of such recycling proceeds. In the event participation in the residential curbside recycling program drops below (25%) twenty five percent on average for any six (6) month period after the 36th month during the term of this Agreement, City shall have the Option exercisable upon 60 days written notice given within 60 days of the end of such six (6) month period, to cancel such curbside program, and in such event, residential rate will be reduced by ($1) one dollar per month. 7. Commercial Rate set forth under the Agreement, with the exception of a six (6) yard container serviced one (1) time per week and a six (6) yard container serviced two (2) times per week, shall be frozen at the 12/31/90 rates until 4/1/92 at which time the same CPI formula as applied to the residential rate structure will be applied subject to City Council approval which shall not be unreasonably withheld. Commencing with the effective date, the 12/31/90 rates charged for a six (6) yard container served one (1) time per week and a six (6) yard container serviced two (2) times per week shall be reduced by ten (10) dollars and five (5) dollars per month, respectively. Grantee will advise and assist commercial customers in implementing appropriate recycling options on a case by case basis as desired by such commercial customers. Grantee agrees to contact all commercial customers for waste stream analysis for recycling within 90 days of this amendment or of the commencement of service to new customers. 8. Grantee's DFW Landfill is already equipped with the following improvements not yet required by law but proposed to be required under pending federal regulations: Six (6) groundwater monitoring wells; perimeter leachate collection system; landfill gas collection system, three (3) foot re-compacted clay liners at a permeability less than 10" centimeters per second; three (3) foot constructed landfill cap; and special waste monitoring program. The requirements of the new Federal Regulations will have no effect on the Capital improvements which factor into disposal rates at DFW assuming no requirements beyond those listed above are added. Grantee will have the right to pass through as assessed any costs, fees or surcharges of governmental agencies having jurisdiction on the business of waste collection, hauling and disposal as required and not described above. 9. Grantee will collect unlimited quantities of waste materials, generated in the ordinary course of occupancy of a residential unit, within the City excluding 3 only construction, demolition debris, roofing materials, human or animal matter, stable matter or regulated quantities of hazardous or special waste as defined in the applicable state or federal regulations or the attached Contractor's Definition of Special Waste. Contractor will when required, contact or consult with the generators of such excluded materials for proper disposal as required by law provided that appropriate fees will be assessed for the services needed. 10. Except as specifically modified hereby, the Agreement of January 7, 1980, as amended, is in full force and effect, and the parties are not in default as of the date of this Ordinance. 11. The effective date for the new rates described under this Amendment shall be April 15, 1991. 12. At the request of the City, Grantee will assist the City in setting up a Household Hazardous Waste Collection Day for the benefit of City residents. IN WITNESS WHEREOF; the parties have set their hands and seals this 12th day of April, 1991. CITY OF COPPELL Mark Wolfe Its: Mayor Approved as to form Larry Jackson Its: City Attorney Attest By: Dorothy Timmons Its: Secretary WASTE MANAGEMENT OF TEXAS, INC. By: Charle F. Flood Its: President Attest: By: Stephen D. Bigelow Its: Secretary 4 CONTRACTORS DEFINITION OF SPECIAL WASTE 1. "Special Waste" means Type A Special Waste or Type B Special Waste as defined below. 2. "Type A Special Waste" means any waste from a commercial or industrial activity meeting any of the following descriptions: a. Containerized waste (e.g. a drum, portable tank, lugger box, rolboff box, pail, bulk tanker, etc.) listed in b. - h. below. b. Waste containing free liquids. c. Sludge waste. d. Waste from an industrial process. e. Waste from a pollution control process. f. Residue from spill of a chemical substance or commercial product or a waste listed in a. - e. or g. - h. g. Contaminated residuals from the cleanup of a facility generating, storing, treating, recycling or disposing wastes, chemical substances or commercial products listed in a. - f. or h. h. Any waste which is non-hazardous as a result of treatment pursuant to RCRA Subtitle D. 3. Incidental Amounts of Special Waste The Contractor recognizes that many customers will produce some "Type B Special Waste" as defined below. Incidental quantities of "Type B Special Waste," do not require a Generator's Type B Special Waste Profile Sheet (Form WMNA-0089B) to be signed by the Customer. However, the customer must identify the type and amount of Type B Special Waste which will be provided to the Contract. 4. "Type B Special Waste" means any waste from a commercial or industrial activity meeting the descriptions which follow: a. Friable asbestos waste from building demolition or cleaning: wall board, wall spray coverings, pipe insulation, etc. nonfriable asbestos is a special waste if it has been processed, handled or used in such a way that asbestos fibers may be freely released. Asbestos bearing industrial process waste is a Type A Special Waste. b. Commercial products or chemicals which are off specification, outdated unused or banned. Outdated or off specification, uncontaminated food or beverage products in original consumer containers are not included in lhis category; however, containers which once held commercial products or chemicals are included unless the container is empty. A container is empty when: 5 All wastes have been removed that can be removed using the practices commonly employed to remove materials from the type of container, e.g., pouring, pumping or aspirating, and an end has been removed (for containers in excess of 25 gallons), and no more than 1 inch (2.54 centimeters) or residue remains on the bottom of the container of inner liner, or no more than 3% by weight of the total capacity of the container remains in the container (containers more or less than 110 gallons) or no more than 0.3% by weight of the total capacity of the container remains in the container (containers greater than 110 gallons) Container which once held ACUTELY HAZARDOUS WASTES must be triple rinsed with an appropriate solvent or cleaned by an equivalent method. Containers which once held substances regulated under the Federal Insecticide, Fungicide, and Rodenticide Act must be empty according to label instructions or triple rinsed. c. Untreated hie medical waste - Any waste capable of inducing infection due to contamination with infectious agents from a hie medical source including but not limited to a medical practitioner, hospital, medical clinic, nursing home, university medical laboratory, mortuary ,taxidermist, veterinarian, veterinary hospital, or animal testing laboratory. Sharps from these sources must be rendered harmless or placed in needle puncture proof containers. Residue from incineration of infectious wastes as "Type A Special Waste." d. Treated hie medical wastes any waste from a blo medical source including but not limited to a hospital, medical clinic, nursing home, medical practitioner, mortuary, taxidermist, veterinarian hospital, animal testing laboratory, or university medical laboratory which has been autodaved or otherwise heat treated or sterilized so that it is no longer capable of inducing infection. Any sharps from these sources must be rendered harmless or placed in needle puncture proof containers. e. Liquids and sludges from septic tanks, food service grease traps, or washwater and wastewaters from commercial laundries, laundromats and car washes unless these wastes are managed at commercial or public treatment works. f. Chemicals containing equipment removed from service. Examples: filters, cathode ray tubes, lab equipment, acetylene tanks, fluorescent light tubes, etc. g. Waste produced from the demolition or dismantling of industrial process. Chemicals or wastes removed or drained from such equipment or facility Type A Special Waste. 6