Ordinance No. 11,966ORDINANCE NO. 11,966
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS,
AUTHORIZING THE CITY MANAGER TO EXECUTE AND THE CITY CLERK TO
ATTEST TO AN AMENDMENT TO THE CURBSIDE RECYCLING AGREEMENT
AND RESIDENTIAL SOLID WASTE COLLECTION AND DISPOSAL SERVICES
CONTRACT WITH WASTE MANAGEMENT OF TEXAS, INC.; AUTHORIZING
PAYMENT BY THE CITY OF BAYTOWN OF AN AMOUNT NOT TO EXCEED
THREE MILLION ONE HUNDRED TWENTY -EIGHT THOUSAND SIX HUNDRED
FIFTEEN AND 04/100 DOLLARS ($3,128,615.04); MAKING OTHER PROVISIONS
RELATED THERETO; AND PROVIDING FOR THE EFFECTIVE DATE THEREOF.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS:
Section 1: That the City Council of the City of Baytown, Texas, hereby authorizes and
directs the City Manager to execute and the City Clerk to attest to an Amendment to the Curbside
Recycling Agreement and Residential Solid Waste Collection and Disposal Services Contract with Waste
Management of Texas, Inc. A copy of the contract is attached hereto as Exhibit "A" and made a part
hereof for all intents and purposes.
Section 2: That the City Council of the City of Baytown authorizes payment to Waste
Management of Texas, Inc., in an amount not to exceed THREE MILLION ONE HUNDRED TWENTY -
EIGHT THOUSAND SIX HUNDRED FIFTEEN AND 04/100 DOLLARS ($3,128,615.04) in
accordance with the contract authorized in Section 1 hereof.
Section 3: That in addition to the amount specified in Section 2 hereof, the City Manager is
hereby granted general authority to approve a decrease or an increase in costs by FIFTY THOUSAND
AND NO/ 100 DOLLARS ($50,000.00) or less, provided that the amount authorized in Section 2 hereof
may not be increased by more than twenty-five percent (25 %).
Section 4: This ordinance shall take effect immediately
City Council of the City of Baytown.
INTRODUCED, READ and PASSED by the affirmative
Baytown this the 28th day of June, 2012.
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Exhibit "A"
AMENDMENT TO THE CURBSIDE RECYCLING
AGREEMENT AND RESIDENTIAL SOLID WASTE COLLECTION
AND DISPOSAL SERVICES CONTRACT
This Amendment to the Curbside Recycling Agreement and Residential Solid Waste
Collection and Disposal Services Contract is entered into as of the day of ,
2012, by and between the CITY OF BAYTOWN, TEXAS, ( "City ") and WASTE
MANAGEMENT OF TEXAS, INC. ( "Contractor "), a Texas corporation.
WHEREAS, the City and Contractor have heretofore entered into a certain Curbside
Recycling Agreement ( "Recycle Contract "), which took effect on or about June 1, 2008,
whereby Contractor was granted the exclusive right to provide collection, transportation and
delivery of residential recyclable materials within the City to a licensed recycling center, as more
particularly set forth in the Contract; and
WHEREAS, the City and Contractor previously entered into a Residential Solid Waste
Collection and Disposal Services Contract, which took effect or on about August 4, 2005, where
Contractor was granted the exclusive right to provide collection and disposal of the City's
residential solid waste ( "Waste Contract "); and
WHEREAS, the City and Contractor desire to upgrade the recycling collections services
under the Recycle Contract, to extend the term of both the Recycling and Waste Contract, and
make other modifications, as more particularly set forth below.
NOW, THEREFORE, for and in consideration of the sum of Ten Dollars ($10.00) and
other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged and confessed, the parties hereto agree as follows:
A. Modifications Applying to both the Recycle Contract and the Waste Contract:
1. The Term provisions in both Article III of the Recycle Contract and in Sections 11.01 and
11.02 of the Waste Contract are superseded and replaced with the following language:
"The term of the Contract shall be extended to September 30, 2017. The parties shall
have the right to renew the Contract on the same terms and conditions subject to any
allowable CPI and /or fuel adjustments, if any, permitted herein for up to four additional
one -year consecutive terms if mutually agreed to by both parties in writing at least one
hundred eighty (180) days before the expiration of the then current Contract term."
2. The Compensation language contained in Section 4.01 of the Waste Contract and the
Compensation language contained in Section 5.02 and in the first sentence of Section
5.01 of the Recycle Contract is superseded and replaced by the following language:
Base Rates. Contractor will charge a total of $13.84 per month for the waste collection
and recycling services for each Residential Unit beginning on October 1, 2012
( "Commencement Date "), the date that Contractor expects to have delivered Recycling
Carts to all Residential Units. This $13.84 per month Base Rate shall remain in effect
through September 30, 2013. Contractor shall tender an invoice to the City along with a
report evidencing the work which was performed on a monthly basis, which invoice shall
include the last full week of each month. The City shall pay Contractor for the services
performed by check, ACH debit, or wire transfer within thirty days of its receipt of the
invoice or the invoiced services, whichever is later.
CPI Adiustment. Base Rates charged by Contractor for services will be adjusted by
either party upon at least sixty (60) days' advance written notice to the other party for
changes in the CPI (as hereinafter defined) on an annual basis. Beginning on October 1,
2013, and continuing annually on each anniversary date of the Commencement Date of
this Agreement, Base Rates for services shall be adjusted by either party upon sixty (60)
days' advance written notice to the other party by seventy -five percent (75 %) of the
percentage change in the Consumer Price Index, All Urban Consumers for the Houston -
Galveston-Brazoria Area, Base Period 1982 -1984 = 100 (published by the United States
Bureau of Labor Statistics, Consumer Price Index) (the "C.P.I. ") during the twelve (12)
month period that began sixty -four (64) days before the Commencement Date, and in
subsequent years the twelve month period that begins sixty -four (64) days before the
anniversary date. In the event the U.S. Department of Labor, Bureau of Labor Statistics
ceases to publish the C.P.I., 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.
Fuel Adjustment. Every calendar quarter, the base rates shall be subject to a fuel
adjustment if requested by the Contractor as follows: a one percent (1 %) adjustment for
every twenty cent ($0.20) increase /decrease in the price of diesel fuel above/below $3.80
per gallon (with a 1% surcharge beginning at $4.00 per gallon and a 2% surcharge at
$4.20 per gallon, with a 1% decrease beginning at $3.60 per gallon, etc.); provided
however, any increase /decrease shall not exceed five percent (5 %) in any given City
budget year. The diesel fuel price shall be as determined by reference to the Energy
Information Administration of the US Department of Energy ( "EIA/DOE ")'s Weekly
Retail On Highway Diesel Prices for the Gulf Coast. The EIA/DOE currently publishes
these prices on its website at the following location:
http: / /tonto.eia. doe .gov /oog /info /wohdp /diese1.asp. The determination of the average
price of diesel fuel from the aforesaid website shall be made on the first Monday prior to
the end of the quarter (or the first business day thereafter if such Monday is a Federal
Holiday).
B. Modifications Applying to the Recycle Contract Only
1. The following definitions are hereby added to the Recycle Contract:
a. Polycart: A rubber- wheeled receptacle with a maximum capacity of 90 - 96
gallons constructed of plastic, metal and /or fiberglass, designed for automated
or semi - automated solid waste collection or recycling systems, and having a
tight - fitting lid capable of preventing entrance into the container by small
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animals. The weight of a Polycart and its contents shall not exceed 175 lbs.
b. Small Polycart: A rubber- wheeled receptacle with a maximum capacity of
60 -65 gallons constructed of plastic, metal and /or fiberglass, designed for
automated or semi - automated solid waste collection or recycling systems, and
having a tight fitting lid capable of preventing entrance into the container by
small animals. The weight of a Small Polycart and its contents shall not
exceed 110 lbs.
2. The definition of the term "Recycling Container" in the Recycle Contract is hereby
modified as follows: "Recycling Container: A Polycart, a Small Polycart and /or a
plastic receptacle, designed for the purpose of curbside collection of Recyclable
Materials, with a capacity of approximately 18 gallons." Sections 4.7 and 4.8 of the
Recycle Contract are hereby superseded and replaced with the following language:
a. Contractor shall provide once per week collection of Recyclables placed in
each Residential Unit's designated Recycling Container. Contractor shall not
be required to collect Recyclable Materials if the Customer does not segregate
the Recyclable Materials from the remainder of the Residential Waste. Each
Residential Unit customer shall place its Recycling Container for collection in
a location that is readily accessible to Contractor and its collection equipment,
not to exceed three (3) feet from the curb or edge of the travel portion of the
street, road or alley, and not to be located in a manner that will block a
driveway or mailbox or otherwise inhibit proper servicing. The City shall aid
Contractor in resolving problems of its Recycling Container location by the
Customer; however, Contractor remains responsible for the resolution of all
such problems.
b. Contractor shall collect Recyclables on established collection days, as
approved in writing by the City, with the following exceptions: Thanksgiving
Day, Christmas Day, and New Year's Day. Collections not made on those
days shall be deferred until the regular collection day.
c. Contractor will provide each Residential Unit with one Polycart to use for
recyclable materials on or before the Commencement Date, so long as this
Amendment is signed by the City no later than July 15, 2012. Contractor will
offer a Small Polycart to those Residential Unit customers who contact the
City and request a Small Polycart, which request the City must then approve.
The City will then provide Contractor, in writing, the address of the
Residential Unit that is approved to use a Small Polycart, and the Contractor
will deliver the Small Polycart to that Residential Unit. Contractor will
provide the City with one hundred (100) Small Polycarts for use by those
Residential Unit(s) that the City approves for use of a Small Polycart.
d. The Polycarts and Small Polycarts furnished by the Contractor hereunder shall
remain the property of Contractor. The Polycarts and Small Polycarts shall
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remain at the location of the Residential Unit where delivered by Contractor.
The Residential Unit customer shall be responsible for all loss or damage to
the Polycarts and Small Polycarts, except for normal wear and tear or for loss
or damage resulting from Contractor's handling of the Polycarts and Small
Polycarts. Any Polycart or Small Polycart removed from a Residential Unit
shall be deemed lost, and Contractor shall be entitled to compensation by the
City therefor. The customer shall not overload (by weight or volume) a
Recycling Container, the lid of a Polycart or Small Polycart must be able to
close, and shall use the Recycling Container only for its proper and intended
purpose. Additional Recycling Containers are available for residential
customers at an additional charge to be paid by the customer. In the event a
Polycart or Small Polycart should be lost or damaged, Contractor agrees to
replace such lost or damaged Polycart or Small Polycart with a new Polycart
or Small Polycart, at actual cost, which shall not to exceed $60.00 to the City.
C. Modifications Applying to the Waste Contract Only
1. Section 6.01, the Indemnity provision, contained in the Waste Contract is hereby
superseded and replaced by the Indemnity language in Section 6.03 of the Recycle
Contract.
2. The following language is hereby added to the Waste Contract: "The City and
Contractor acknowledge that the City has the right to contract with any entity it
chooses for the collection, handling, and /or disposal of brush, garbage, heavy trash, or
yard waste ( "Disaster Debris ") that is generated as a result of a "Disaster," as defined
in the City's Code of Ordinances, Part II, Chapter 22, Section 22 -121. The parties
acknowledge that the collection of Disaster Debris falls outside the scope of this
Contract, except that Contractor will collect Disaster Debris that a Residential Unit
properly places in approved residential waste containers as defined in Section 86 -1 of
the Code of Ordinances, Baytown, Texas, and sets curbside to the extent that such
Disaster Debris collection does not unreasonably impede, modify, or hinder
Contractor's normal collection route times and staffing. The Termination Without
Cause provision in Section 12.01 of the Waste Contract is hereby deleted in its
entirety to be consistent with the termination language in the Recycle Contract. A
termination of one Contract shall be deemed to be a termination of the other.
D. Unless otherwise defined or specified in this Amendment, terms used in this Amendment
shall have the same meaning as provided in the Contract. The term "Contract" as used herein
shall be deemed to mean "Agreement" as that term is used in the Curbside Recycling Agreement.
The parties agree that the terms of this Amendment are in addition to the terms of the Contract.
Nothing contained in this Amendment shall be deemed to amend or modify the Recycle Contract
or the Waste Contract, except as expressly set forth in this Amendment. In the event of any
conflict between the terms of the Contract and this Amendment, the terms of this Amendment
shall control.
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IN WITNESS WHEREOF, this Amendment has been executed as of the date first set
forth above.
CITY:
CITY OF BAYTOWN
CONTRACTOR:
WASTE MANAGEMENT OF TEXAS, INC.
By: By:
Its: Its:
Wobfs011 1egaiXKaren \Files\Contracts\Waste ManagemenAbaytown amend v3 06 22 12 Final.doc