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Ordinance No. 16,361 (Item 2.a.)ORDINANCE NO. 16,361 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, AMENDING CHAPTER 86 "SOLID WASTE," ARTICLE III "COMMERCIAL SOLID WASTE," DIVISION I "GENERALLY" OF THE CODE OF ORDINANCES OF THE CITY OF BAYTOWN, TEXAS TO, FOR CONSISTENCY, SUBSTITUTE THE PHRASE "COMMERCIAL SOLID WASTE" FOR "COMMERCIAL WASTE;" AMENDING CHAPTER 86 "SOLID WASTE," ARTICLE IV "PRIVATE COLLECTION VEHICLES," DIVISION I "GENERALLY" OF THE CODE OF ORDINANCES OF THE CITY OF BAYTOWN, TEXAS TO, FOR CONSISTENCY, SUBSTITUTE THE PHRASE "COMMERCIAL SOLID WASTE" FOR "COMMERCIAL WASTE," ADD A DEFINITION OF ROLL -OFF CONTAINER, SUBSTITUTE THE PHRASE "GROSS RECEIPTS FRANCHISE FEE" FOR "GROSS RECEIPTS TAX" AND PROVIDE NEW PAYMENT, REPORTING, AND AUDITING REQUIREMENTS; AMENDING CHAPTER 86 "SOLID WASTE," ARTICLE IV "PRIVATE COLLECTION VEHICLES," DIVISION 2 "PERMIT," OF THE CODE OF ORDINANCES OF THE CITY OF BAYTOWN, TEXAS TO MAKE UNLAWFUL THE HIRING OF A PERSON WHO DOES NOT HAVE A VALID WASTE -COLLECTION PERMIT, RENUMBER PARAGRAPHS, AND MAKE UNLAWFUL THE FAILURE TO DISPLAY A CITY -ISSUED PERMIT DECAL; CONTAINING A SAVINGS CLAUSE; AND PROVIDING FOR THE PUBLICATION AND EFFECTIVE DATE THEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS: Section 1: That Chapter 86 "Solid Waste," Article III "Commercial Solid Waste," Division 1 "Generally" of the Code of Ordinances of the City of Baytown, Texas, is hereby amended to read as follows: CHAPTER 86. SOLID WASTE ARTICLE 111. COMMERCIAL SOLID WASTE DIVISION 1. — GENERALLY See. 86-131. — Definitions. The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: Approved commercial solid waste container means a building, vehicle or container used to store or transport commercial waste, except brush, which is totally enclosed; which is of adequate strength and design to prevent leakage of leachates and spillage of other waste during storage, transport and emptying or loading; and which is regularly replaced or cleaned to prevent offensive odor and harborage, feeding and propagation of vectors. Commercial Solid Waste means any putrescible or nonputrescible, combustible or noncombustible discarded or used materials, including solid, liquid, semisolid or contained gaseous material such as garbage, trash, brush, leachate, building waste and junk, generated by industrial or manufacturing processes; food preparation or service; agricultural operations; oil and gas recovery; institutional, governmental or religious activities; retail or wholesale stores or shops; apartment complexes, condominium projects or manufactured home or recreational vehicle parks exceeding eight units; tree or lawn services; fishing operations; and other commercial activities. Disposal means the discharge, deposit, injection, dumping, spilling, leaking or placing of any commercial solid waste into or on any land, water or container. Leachate means liquid that has passed through or emerged from putrescible waste or that contains soluble, suspended or miscible materials from other commercial solid waste. Sec. 86-133. - Collection of waste generally. The city shall not collect commercial solid waste other than from certain small businesses that contract with the city for collection pursuant to division 2 of this article. The collection and disposal of commercial solid waste shall be carried out in a safe, sanitary and timely manner. Nothing in this division shall apply to any state -approved sanitary landfill or other waste disposal regulated by other law. Sec. 86-134. - Unlawful maintenance of waste. (a) A person commits an offense if he intentionally or knowingly transports or maintains commercial solid waste, except within an approved commercial solid waste container. (b) For purposes of this division, intent and knowledge are presumed if notice is given in accordance with this division. (c) An offense under this section is punishable by a fine as provided in section l -14. Sec. 86-135. - Unlawful disposal of waste. (a) A person commits an offense if he intentionally or knowingly disposes of commercial solid waste into any public system. (b) It is a defense to prosecution if garbage is disposed of into a sanitary sewer system and it has been shredded in a garbage disposal or grinder to less than one-fourth inch and all particles carried freely under the flow conditions prevailing in such sanitary sewer system. (c) An offense under this section is punishable by a fine as provided in section 1-14. Sec. 86-136. - Unlawful placement of containers. (a) A person commits an offense if he intentionally or knowingly places a commercial solid waste container upon a public right-of-way or maintains such container upon a public right-of-way after notice. (b) An offense under this section is punishable by a fine as provided in section 1-14. Sec. 86-137. - Failure to care for container. (a) The owner of a commercial solid waste container commits an offense if he intentionally or knowingly fails or refuses to empty, clean or disinfect a commercial waste container after notice. (b) An offense under this section is punishable by a fine as provided in section 1-14. Section 2: That Chapter 86 "Solid Waste," Article IV "Private Collection Vehicles," Division 1 "Generally" of the Code of Ordinances of the City of Baytown, Texas, is hereby amended to read as follows: CHAPTER 86. SOLID WASTE ARTICLE III. COMMERCIAL SOLID WASTE DIVISION 1. — GENERALLY Sec. 86-195. Definitions. The following words, terms, and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning. Gross receipts means any revenue directly or indirectly received or generated from or in connection with any commercial solid waste collection service provided within the city, excluding the following amounts: (a) Sales and use tax received by the permit holder; (b) Disposal fees paid to the city by a permit holder; (c) Annual bad -debt write-off amounts on uncollectible accounts for solid waste collection service, provided that the write-off allowed is verified by adequate supporting documentation and does not reduce the annual gross receipts by more than three percent; (d) Revenues received or generated for any solid waste collection service provided on behalf of the city by the permit holder pursuant to a written contract with the city; and (e) Revenues directly received or generated from the processing of recyclable materials. 3 Commercial solid waste collection service means the business of removing, hauling, or transporting wet or dry solid waste, recyclables, or construction and demolition debris from commercial, industrial, or multi -family premises within the city. Roll -off container means a detachable, wheeled, or stationary container designed to be mechanically loaded onto a collection vehicle for transportation to a disposal or processing facility. Sec. 86-196. Gross receipts franchise fee; reports; audits. (a) Tax levied. There is levied a quarterly tax equal to ten percent (10%) of the total gross receipts of all persons operating a solid waste collection service within the city limits. (b) Interest on late payments. If any franchise fee is not remitted by the due date specified above, interest shall be charged daily from such date at the annual rate of twelve percent (12 %) or the maximum rate allowed by law, whichever is less. (c) Quarterly reports; payment due dates. Each person operating a solid waste collection service within the city limits and using the city streets shall file a quarterly report with the city finance director on a form provided by the director showing the total amount of gross receipts collected from customers for such services during each quarter and containing a statement by the permit holder that the information provided is true and correct. Reports and payments are due January 13, April 13, July 13, and October 13 of each year. (d) Inspection and audit of books. Upon reasonable notice, each permit holder shall make its books and records available to the finance director to enable verification of reported gross receipts. In the event the director determines that the permit holder has not complied with any term or condition of this franchise, the director may use those records in any manner necessary to resolve non-compliance. (e) Recordkeeping requirements. Each permit holder shall maintain records of its solid -waste -collection business, including a complete listing of all accounts within the city limits, identified by customer name, service address, telephone number, time periods served, rates charged, and account number. Such records must be retained for at least five (5) years and be made available to the director upon ten (10) business days' written notice. (f) Permit holder's records. The director shall have the right to inspect the permit holder's records, accounts, and financial and operating information, including but not limited to customer lists and contracts, to determine compliance with this article. Except as required for auditing purposes, or in accordance with the Texas Public Information Act or other law, the city will not disclose the permit holder's records, accounts, and financial and operating information. Upon a request under the Texas Public Information Act, the city shall notify the permit holder as required by law. (g) Sales -tax compliance. Permit holders providing taxable waste -removal services must hold a current Texas Sales and Use Tax Permit and collect and remit applicable state and local sales taxes for services performed within the city. Section 3: That Chapter 86 "Solid Waste," Article IV "Private Collection Vehicles," Division 2 "Permit," of the Code of Ordinances of the City of Baytown, Texas, is hereby amended to read as follows: 4 CHAPTER 86. SOLID WASTE ARTICLE IV. PRIVATE COLLECTION VEHICLES DIVISION 2. — PERMIT Sec. 86-226. Required. (a) Unless a valid waste -collection permit has been issued by the city, it shall be unlawful for any person to collect or transport garbage, trash, rubbish, or commercial solid waste within the city. (b) It shall be unlawful for any person to hire, retain, let, use, contract with, engage, or otherwise appoint, any person who does not have a valid waste - collection permit issued by the city, to collect or transport garbage, trash, rubbish, or commercial solid waste within the city. Sec. 86-227. Application; fees. Each person applying for a waste -collection permit must submit the following information on the application provided by the city: (a) Name, mailing address, physical address (if different), phone number, and email address of the owner and company. (b) Name, address, phone number, and email of the company contact person. (c) Make, model, year, and type of each vehicle to be operated. (d) Whether the vehicle shall be operated by the owner or an employee. (e) Permit fee of seventy-five dollars ($75.00) per vehicle and fifty dollars ($50.00) per roll -off container, or such other amount as the city council may by resolution establish. (f) Proof of insurance: (1) Automobile liability — $1,000,000 combined single limit; (2) Commercial general liability — $1,000,000 per occurrence and $2,000,000 aggregate; (3) Workers' compensation with statutory limits and waiver of subrogation in favor of the city. Policies must name the city as an additional insured and provide thirty (30) days' written -notice -of -cancellation. (g) A sworn statement or affirmation that all information provided is true and 5 correct. Sec. 86-228. Permit issuance; term; revocation; appeal. (a) Issuance. Upon receipt of a completed application and required documentation, the city clerk shall issue a permit unless grounds for denial exist under subsection (d). (b) Term. Each permit shall be valid from January 1 through December 31. Renewal applications must be submitted at least ten (10) days prior to expiration. (c) Transferability. Permits are non -transferable except upon written approval by the city. (c) Grounds for revocation or non -renewal. The city clerk may deny, revoke, or decline to renew a permit if: 1. A false material statement appears in the application; 2. The permit holder fails to file required quarterly reports or pay the franchise fee; The permit holder violates any provision of this article; 4. The permit holder provides consistently poor service endangering public health or maintains unsightly or unsanitary containers after written notice from the city. (e) Notice of denial or revocation. Written notice stating the reasons shall be sent by certified mail, return -receipt requested. (f) Appeal. The appeal shall be heard by the city manager, who shall consider evidence offered by any interested person. The formal rules of evidence shall not apply at such hearing. The city manager shall make a decision on the basis of a fair preponderance of the evidence presented and matters officially noticed at the hearing. The city manager shall render a decision within 30 days after the appeal hearing. Such decision shall affirm, reverse, or modify the determination of the city clerk and the city manager's decision is final. Sec. 86-229. Display of permit. Each permitted vehicle and each permitted roll -off container shall display the city -issued permit decal or identification in a conspicuous location visible from the public right-of-way. Failure to display a current decal constitutes a violation of this article. Section 4: All ordinances or parts of ordinances inconsistent with the terms of this ordinance are hereby repealed; provided, however, that such repeal shall be only to the extent of such inconsistency; and in all other respects, this ordinance shall be cumulative of other ordinances regulating and governing the subject matter covered by this ordinance. G7 Section 5: If any provision, section, exception, subsection, paragraph, sentence, clause or phrase of this ordinance or the application of same to any person or set of circumstances, shall for any reason be unconstitutional, void or invalid, such invalidity shall not affect the validity of the remaining provisions of this ordinance or their application to other persons or set of circumstances; and to this end, all provisions of this ordinance are declared to be severable. Section 6: This ordinance shall take effect from and after ten (10) days from its passage by the City Council. The City Clerk is hereby directed to give notice hereof by causing the caption of this ordinance to be published in the official newspaper of the City of Baytown at least twice within ten (10) days after passage of this ordinance. INTRODUCED, READ and PASSED by the affirmative o� City�Council o/the City of Baytown this the 81h day of January, 2026. �/� �/ CHARLES JOV, Mayor ATTEST: -\ n ANGEL'1 1 KSON, City Clerk APPROVED AS O FORM SCOTT Ll✓MTTN3; -City Attorney RAOrdinances and Resolutions\Ordinance Drafts\2026-1-8\Ord-am Ch 86-SL.docx