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Home My WebLink About13 - Granting Non-Exclusive Commercial Solid Waste Franchise Agreements - Public HearingPUBLIC HEARING NOTICE RESOLUTION NO. 2025-6 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH, CALIFORNIA, DECLARING ITS INTENTION TO CONDUCT A PUBLIC HEARING TO CONSIDER GRANTING NON-EXCLUSIVE COMMERCIAL SOLID WASTE AND DIVERTIBLE MATERIALS HANDLING FRANCHISES WHEREAS, the City Council of the City of Newport Beach ("City") finds and determines that the collection of municipal solid waste and divertible materials, including recyclable materials, food scraps, green waste, wood waste, construction and demolition debris, and all other materials that can be diverted from landfill disposal (collectively "Commercial Solid Waste") generated within the City is a vital public service; WHEREAS, the City Council further finds and determines that the collection, transportation, storage, and disposal of municipal solid waste and the collection, transportation, processing, and diversion of processable municipal solid waste and divertible materials ("Commercial Franchise Services") is a matter of great public concern because improper control of such matters subjects the City to potential liability, damages and penalties, and may create a public nuisance, air pollution, fire hazard, infestation and other problems affecting the public health, safety and welfare; WHEREAS, the non-exclusive franchises for the use of public streets to provide Commercial Franchise Services promotes the public health, safety and welfare by providing permanence and stability among those businesses wishing to provide such service and accountability to the City for compliance with current and future state mandates; WHEREAS, on October 22, 2019, the City Council approved a new model franchise agreement in compliance with state law ("2020 Franchise"), which expires in the year 2027; WHEREAS, the City has received applications from: (1) BC Hauling & Demolition, Inc.; (2) California Waste Services LLC, and (3) Greenleaf Engineering (collectively, "Proposed Grantees"), who wish to perform work under the 2020 Franchise; WHEREAS, pursuant to Article XIII (Franchises) of the City Charter, Chapter 12.63 (Solid Waste Management) of the Newport Beach Municipal Code ("NBMC"), and California Public Resources Code Sections 40059, 49300, and 49500 through 49523, or any successor statutes, the City is authorized to enter into non-exclusive franchise agreements for Commercial Franchise Services with private solid waste haulers; WHEREAS, pursuant to City Charter Section 1301 (Resolution of Intention. Notice and Public Hearing), the City Council, prior to granting any franchise, shall pass a resolution declaring its intention to grant a franchise, stating the name of the proposed grantee(s), the character of the franchise, and the terms and conditions upon which it is proposed to be granted; and Resolution No. 2025-6 Page 2 of 5 WHEREAS, such resolution shall fix and set forth the day, hour and place when and where any persons having any interest therein or any objection to the granting thereof may appear before the City Council and be heard thereon. NOW, THEREFORE, the City Council of the City of Newport Beach resolves as follows: Section 1: The City Council does hereby declare its intention to grant non- exclusive franchises, subject to the following general terms and conditions ("Non - Exclusive Franchise"): a. Effective date. March 27, 2025; b. Franchise fees. Sixteen percent (16%) of gross monthly receipts. Five and one-half percent (5.5%), shall be earmarked for the purposes of indemnifying and holding the City harmless from environmental liability associated with the franchisee's operations in the City. This portion of the franchise fee shall be paid into the City's Environmental Liability Fund. One-half percent (0.5%) shall be attributable to the maintenance and implementation of the City's Source Reduction and Recycling Element; C. Term. March 27, 2025, to October 7, 2027; d. Rates. The City shall not set franchisee's bin rates; e. Indemnification. Franchisee shall indemnify and hold City harmless from penalties and damages for failure to meet state recycling requirements with respect to the portion of the Commercial Solid Waste stream collected by franchisee; f. Diversion requirements. Franchisee shall divert the minimum amounts required by state law, of all processable municipal solid waste, recyclable materials, food scraps, green waste, and construction and demolition debris collected by commercial franchisee; g. Disposal requirements. Franchisee shall dispose of Commercial Solid Waste, not otherwise diverted, in Orange County landfills pursuant to the City's waste disposal agreement with the County of Orange. City maintains the right to designate disposal facilities to be used by franchisee; h. Billing. Franchisee shall be responsible for all billing and collection for its accounts; i. Termination. A Franchise may be terminated pursuant to Section 12.63.140 (Solid Waste Management - Termination) of the NBMC if the Council finds that franchisee has failed to comply with, or to do anything required of the franchisee by Chapter 12.63 (Solid Waste Management) of the NBMC; has violated any provision of the ordinance granting the franchise; has violated any provision of the 2020 Franchise or any federal, state or local law or regulation applicable to franchisee's operations under the franchise; or if any provision of Chapter 12.63 (Solid Waste Management) of the NBMC or the 2020 Franchise is repealed or becomes or is declared to be invalid, and the City Council expressly finds that such provision constitutes a material consideration to the granting or continuation of such Non -Exclusive Franchise; Resolution No. 2025-6 Page 3 of 5 j. Application requirements. Prior to obtaining the 2020 Franchise, franchisee shall designate the specific Commercial Franchise Services for which it desires to apply and shall demonstrate competence in and compliance with the City's insurance, equipment, and diversion requirements with respect to those Commercial Franchise Services; k. Public education. Franchisee shall meet City's requirements to implement recycling, diversion, and source reduction public education activities; I. Recycling/diversion programs. Franchisee shall implement and provide recycling and diversion programs for all customers subject to California State Assembly Bills 939, 341, and 1826, Senate Bill 1383, and the California Green Building Standards Code, codified in the California Code of Regulations Title 24, Part 11 ("CALGreen"); M. Hauler representative. Franchisee shall designate a representative to assist in implementing State -imposed recycling and diversion programs; and n. Compliance. Franchisee shall comply with all state, federal laws and regulations, terms and conditions of the 2020 Franchise, the City Charter and the NBMC. Section 2: The City intends to grant the 2020 Franchise to the following entities: a. BC Hauling & Demolition, Inc. b. California Waste Services LLC C. Greenleaf Engineering Section 3: The City Council shall conduct a public hearing on February 11, 2025, at 4:00 p.m., or as soon thereafter as the matter may be heard, in the City Council Chambers located at 100 Civic Center Drive, Newport Beach, California, to consider granting the Proposed Grantees the 2020 Franchise. Persons who have an interest in or objection to the granting of the 2020 Franchise to the Proposed Grantees may appear before the City Council and be heard at that date and time. Section 4: The City Council finds the adoption of this resolution is not subject to the California Environmental Quality Act ("CEQA") pursuant to Sections 15301 and 15308 of the CEQA Guidelines, California Code of Regulations, Title 14, Division 6, Chapter 3, because the resolution does not change nor expand existing solid waste operations and facilities within the City. This resolution is also consistent with the goals of California State Assembly Bills 939, 341, and 1826, Senate Bill 1383 and The California Solid Waste Management Act, CALGreen, as well as the objectives of the City's Source Reduction and Recycling Element. Section 5: The recitals provided in this resolution are true and correct and are incorporated into the operative part of this resolution. Section 6: If any section, subsection, sentence, clause or phrase of this resolution is, for any reason, held to be invalid or unconstitutional, such decision shall not affect the validity or constitutionality of the remaining portions of this resolution. The City Council hereby declares that it would have passed this resolution, and each section, subsection, sentence, clause or phrase hereof, irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared invalid or unconstitutional. Resolution No. 2025-6 Page 4 of 5 Section 7: This resolution shall take effect immediately upon its adoption by the City Council, and the City Clerk shall certify the vote adopting the resolution. Section 8: Pursuant to City Charter Section 1301, this resolution shall be published in the City's official newspaper within fifteen (15) days of its adoption and at least ten (10) days prior to February 11, 2025. ADOPTED this 28th day of January, 2025. /s/ Joe Stapleton, Mayor ATTEST: /s/ Leilani I. Brown, City Clerk APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE /s/ Aaron C. Harp, City Attorney Attachment: 2020 Non -Exclusive Commercial Franchise Agreement Sample [viewable at: https://ecros.newportbeachca.gov/WEB/DocView.aspx?id=3096808&dbid=0&repo=CNB dos Angeles isimes ME D L A G R O UP PROOF OF PUBLICATION (2015.5 C.C.P.) STATE OF CALIFORNIA County of Orange I am a citizen of the United States and a resident of the County aforesaid; I am over the age of eighteen years, and not a party to or interested in the action for which the attached notice was published. I am a principal clerk of the Newport Harbor News Press Combined with Daily Pilot, which was adjudged a newspaper of general circulation on June 19, 1952, Cases A24831 for the City of Newport Beach, County of Orange, and State of California. Attached to this Affidavit is a true and complete copy as was printed and published on the following date(s): Feb 01, 2025 I certify (or declare) under penalty of perjury that the foregoing is true and correct. Dated at Fountain Valley, California on this 6th day of February, 2025. [signature] 10540 Talbert Avenue Fountain Valley, CA 92708 7994698 Newport Harbor News Press Combined With Daily Pilot Page 1 of 2 LEGAL NOTICE dos Angeles isimes l E D I A Sold To- G R O U P City of Newport Beach - CA11072031 100 Civic Center Dr Newport Beach,CA 92660-3267 Bill To: City of Newport Beach - CA11072031 100 Civic Center Dr Newport Beach,CA 92660-3267 7994698- Newport Harbor News Press Combined With Daily Pilot Page 2 of 2 RESOLUTION NO. 2025-6 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF N-WPoRT BEACH, CAUFORNIA, DECIARING ITS INTENTION TO CONDUCT A PUBUC HEARING TO CONSIDER GRANTING NON-EXCLUSIVE COMMERCIAL SOLID WASTE AND INVERTIBLE MATERIALS HANDLING FRANCHISES WHEREAS, the City Council of the City d Newport Beech ("Oty") finds and determines that The collection of municipal solid waste and dirwrtide including recyclam ble aterials, food sera,,, green waste, woad wamaterials,ste, construction and demolition debris, and all other materiels that can be diverted ham landfill disposal (collectively "Commercial Solid Waste") gener- atetl within the 01y is a vital public servita; WHEREAS,the OtyCouncil further finds end deermines that the cello,- lion, transportation, storage, and disposal of municipal solid waste and the collection, transporldon, processing, and diversion of pocessable munici- pal solid waste and diver6ble materials ("Commercial Franchise Services") matter of great pubic concern because improper control of such matters subjeclem. Chyle pofodier liability, damages and penal0es, and may create a public nuisance, air pollution, fire haaard, infestation and other produr, affading to public health, safety end waltare; WHEREAS, the non-exclusive hancnlses tar the use d public streets to Commemial Franchise Services promotes the public hearth, safety and welfare by providing permanence and stability among those businesses wishing to provide such service and accountability to the City for compliance Will current and future ands, mandate,; WHEREAS, on Odobar 22, 2019, the City Council approved a new model benchise agreement in compliance with shfo law ("2020 Franchise'), which expires in the year 2027; WHEREAS, the O y has received applications from: (1) BC Hauling & Demdition, Inc.; (2) California Waste Santos LLC, end (3) Greenleaf Engisearing (wllsai "", "Proposed Grantees'), who wish to perform work under the.20 Franchise; WHEREAS, pursuant m Art(Franchises) ide All of the City Charter, Ch sper 1 2.63 (Scuid Waste Management) of The Newport Beach Municipal Code ("NBMC'), end California Pudic Resources Cotle Sectiona40059, 49300, and 49500 through 49523, or any successor staNfo,, the City is dd ieetl Is enter into non<xlusive franchise agreements for Commercial Franchise Services with private solid waste haulers; WHEREAS, pursuant m City Charter Section 1301 (Besolu0on of bterfam. Notim and Pudic Hearing), the Cry Council, prior to granting any franchise, shall F®se a resolution Modeling its intention m gam a franchise, dating the name d the proposed gadse(s), the harader IT the franchise, and The terms end tMullions upon which it is proposed to he grunted; end WHEREAS, such resolution shall IN and ast forth the day, hour and place when and where any person, having any interest Therein or any objec- tion to the granting thereof may appear before the City Council and be heard thereon. NOW, THEREFORE, the City Could afthe City of Newport Beach inxlves as follows: Section 1: The City Counal does hereby declare its idendon to grant mar—l' french,,, subject to The following g,norel term, and condi- tions ("Nan -Exclusive Franchise'): a. Effective date. March 27,2026; L Franchise fees. Sixmen peroed (16%) of go, monthly receipm. Five and one-half percent (5.5%l, shall W earmarked for the purposes of indemnifying end holding the City han lex from environmental liabil- ity associated with the french isee§ operations in the City. This pattern of if. hanchise fee shall be paid into the City's Environmental Liability Fund. One -hall percent (05%) shill be attributable to the maintenance and imple- mentation of the City's Source Reduction and Recycling Element; c. Tram. March 27, 2025, m October 7, 2027; tl. Rates. The City hall net at franchisee's bin rates; e. Indemnification. Franchisee shall indemnify and hold City harmless Am penalties and damages for failure to meet areal recycling requirements Will respect to the potion of the Commercial Said Waste streem..Hea d byf anchisse; f. Diversion requirements. Franchisee shall divert the minimum Dints required M stale taw, of all proceeseble municipal solid ware, I! material,, food scrape, green waste, end construction and damdkion debris odiamed by commercial franchisee; g. Disposal requirements. Franchisee shall dispose of Commercial Solid Wads, nut otherwise diverted, in orange County landfills pursuant to The City's waste disposal agreement with the County of Orange. City man - .no the right m designate disposal facilities to be used by franchisee; h, tilling. Franchisee shall be responsible for all billing and collection for its axounh; I. Termination. A Franchise may be terminated pursuant to Section 12.63.140 (Solid Waste Management - Termination) of the NBMC if the Council finds that franchisee has failed To comply with, or to do anything required dthefronchisee by Chapter 12.63 (Solid Wade Marmgemod) of the HONG; Ii—ibehd any provision ofth, ordinance grentingthe franchise; has violated any provision tithe 2120 Franchise or any foderal, state or local law r regulation applicable m franchisee's operations under the franchise; or it ally provision of Chapter 12.63 (Solid Wade Management) of the NBMC or the 2020 Franchise is repealed or becomes or is declared to be invalid, and the City Councilexpresdyfindellm such provision mostraes a material consid- eration to the grading or comm lonlon of won Non -Exclusive Franchise; j. Application requirements. Prior to obtaining the 2020 Franchise, bem bit— shell designed, the small, Commercial Franchise Services for which it desires m apply and shall demonstrate competence in and compli- respee with the City's insurance, equipment, and diversion requirements with ct To those Commercial Franchise Services; k. Public education. Franchises shall mast City's requirements m Implement recycling, diversion, and source induction public education activities; I. Peciingldiversion programs. Franchisee shall implement and provide recycling and diversion pminsms for all customers subject to California Stale Assembly Bills 939, 341, end 1U26, Sends Bill 1383, and the California Green Building Shntlards Cotle, cadifietl in the Controls Code of Ileg ld—ide 24, Part 11 ("CA -Gran"); m. Nailer ratiocinative. Franchisee shall designate a representative W seas[ in implementing Stiteimpoeed recycling and diversion programs; and I. Compliance. Franchisse shall comply with all shut, federal laws and regulations, terms and condifions of the 202D Franchise, the City Charter and the NBMC. Section 2The City intends to grant the M20 Franchise m the following edifies: a. BC Hauling & Demolition, Inc 0. California Waste Services LLC c. Greenleaf Engineering Section3: The CiN CoundI scat cordu,la odd c hearing an Fat m m, 11 2@5 at 4,00 o m an 1hm.d er as the F. may be head BurchCalifs mie. to co -side, arantina the Pmooxtl Gantess the MO Franchise. Persons who have an interestin or objection to the granting otae 2020 Franchise to the Proposed Grantees may appear before the City Council and W heard at that it.. end time. Section 4: The City Council finds the adoption of This resolution is not subject to the California Environmental Quality Act ("CEOA") par - at Sections 15301 and 153C6 of the COCA Guidelines, California Code ofReg iations, Tile 14, Division 6, Chapter 3, because the resolution does not change nor expand dean solid waste operations and tacili0es within Me City. This re,oluda Is also c,,agent with the gods of California State Aasemdy Bills 939, 341, and 1US, Senate Bill 1383 and The California Solid wade Management Oct, CALGrsen, as well as The object,,, of the City', Source Reduction end Ilawding Bement. Section 5: The resit ile provided in this resolution are true end correct and are incarpordad into the operative part of this r,,I,b,n. Section 6: It any section, callmdon, sentsnse, clause or phrase of this resolution is, for my reason, held To W im'and or unconstgutional, such deci- ofn shell not affect the validity or cmatimtimelity tithe remaining potions this resolution. The City Council hereby dedarse that it would have passed this resdueon, end each secdon, sutaection, cadence, clause or phrase reason, iramedive of the tact that any one or more amitim, xbsections, sentence, daises or phra se ch declared invalid or an" notational. Section 7: This resolution shall take effectimmediately upon its adop- don by the City Camcil, and the City Clerk shall sertity the vote adopting the resolution. Section 8: PurseentTo City Charter Section 1301, this resolution shell b Published in the Oty§official newspaper within ti oon(15)daysofifsadop- tien end at least an (10) days prior to February 11, 2025. ADOPTED this 281h day of January, 2025. h/Joe Sh"Iden, Mayor ATTEST Is' Letter I. Brown, City Clerk APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE /s/Aaron C. Help, City Attorney Affmmcmt: 2120 Non -Exclusive CommeciaI Rsnchise Agumni-Sample