HomeMy WebLinkAboutCC AG PKT 2004-05-24 #R •
AGENDA REPORT
DATE: May 24, 2004
TO: Honorable Mayor and City Council
THRU: John B. Bahorski, City Manager
FROM: June Yotsuya, Assistant City Manager
SUBJECT: APPROVAL OF COUNTY OF ORANGE WASTE
DISPOSAL AGREEMENT AMENDMENT
SUMMARY OF REQUEST:
City Council to approve an amendment to the Waste Disposal Agreement that the City has
with the County of Orange that will extend the initial term of the agreement by three years
ending on June 30, 2010. -
DISCUSSION:
The County of Orange currently has Waste Disposal Agreements (WDA's) with Orange
County cities, sanitary districts, a joint powers authority and commercial solid waste
haulers. Under these agreements, the contracted entities, including the City of Seal Beach,
agree to guarantee that all solid waste generated in their jurisdictions will be delivered to
the County's landfill system.
These agreements were spearheaded by the Orange County cities and entered into with the
County of Orange ten years ago at the time the County was facing bankruptcy as a result of
severe investment losses. As one way to alleviate its financial burdens, the County
considered selling its landfill to private groups. The cities protested this potential action,
citing the need to keep the landfill public and the fear of loss of control over costs. The
cities agreed to enter into ten -year agreements with the County, providing the County an
ability to project long -term revenue for the landfill and assist in seeking financing. In turn,
the WDA's stabilized tipping fees at the landfill.
The County of Orange Integrated Waste Management Department (IWMD) is in the
process of considering extending the lifespan of the County's two landfills. The evaluation
process will require substantial effort that must be completed before IWMD can begin
negotiations with the contracted entities regarding a new contract rate and a long -term
commitment extension for the agreements. The proposed amendment will extend the
Agenda Item /k
' r
May 24, 2004
City Council Agenda Report- County of Orange Waste Disposal Agreement Amendment
Page 2
agreement by three years and maintain the current tipping rate through 2010. In the
amending "Option to Renew ", the cities and Country will have until June 30, 2008 to agree
to renew WDA's or the agreements will expire in 2010.
The proposed amendment to the Waste Disposal Agreement has been reviewed and
approved by the Orange County City Manager's Solid Waste Working Group. They
believe that the amendment provides the contracted entities with the best possible strategy
aimed at addressing the solid waste needs of Orange County yet, still continue to maintain
one of the lowest tipping fees in Southern California through at least 2010.
FINANCIAL IMPACT:
The amending language does not provide any additional fiscal impact to the current
contract.
RECOMMENDATION:
It is recommended that the City Council approve Amendment 1 to the Waste Disposal
Agreement between the City of Seal Beach and the County of Orange.
Submitted by:
,i / // w ,
J ,%� Yots .'�a, Assistant City Manager
NOT ,. % ' 1) APPROVE'
o
LA i
John B. ah'∎ rs ,`Cit anager
Attac ent
1