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HomeMy WebLinkAbout11 - Newport Coast Residential Refuse CollectionCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 11 September 12, 2006 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: General Services Department Mark Harmon, Director, (949) 644 -3055 mharmonna.city. newoort- beach.ca.us SUBJECT: Amend Contract for Newport Coast Residential Refuse Collection To Provide for a 6 -month Extension And Prepare a Bid for Future Services ISSUE: Should the City amend the term of the contract agreement with Waste Management of Orange County (WMOC) to provide residential refuse collection services in the Newport Coast area and solicit proposals for future collection services? RECOMMENDATION: Authorize a 6 -month extension for refuse collection with WMOC through June 30, 2007 and direct staff to develop specifications and solicit proposals for refuse collection services in the Newport Coast area. DISCUSSION: Background: The City of Newport Beach officially annexed the Newport Coast area on January 1, 2002. At the time of annexation, WMOC provided residential refuse collection services to the area under an exclusive franchise agreement with Orange County. Pursuant to State law (Public Resources Code Section 49520), the City was required to continue service with the exclusive franchisee for a minimum of five years. At its February 12, 2002 meeting, the City Council approved a 5 -year Agreement with WMOC for refuse collection services through January 1, 2007. This agreement Amend Contract for Newport Coast Residential Refuse Collection August 22, 2006 Page 2 established a monthly service collection rate of $13.03 per residence and allowed for an annual CPI adjustment not to exceed 3 %. In addition, approximately 850 new homes have been developed during this time, increasing the number of homes served in the contract. The following table shows the monthly service cost, approximate number of homes, and total contract cost over the past 5 years. "2006 figures are projected year -end totals 'Total Annual Cost includes residential service, HOA service, and costs for additional containers Staff is recommending that the Term of the Agreement be amended to allow WMOC to continue service in the Newport Coast area through June 30, 2007. WMOC currently provides automated refuse and recycling services in the Newport Coast area. The time extension will allow the City to prepare specifications and solicit bids for residential refuse collection in the Newport Coast area. All other terms and conditions of the original Agreement will remain the same. Environmental Review: This project does not require environmental review. Public Notice: This agenda item may be noticed according to the Ralph M. Brown Act (72 hours in advance of the public meeting at which the City Council considers the item). Amend Contract for Newport Coast Residential Refuse Collection August 22, 2006 Page 3 Funding Availability: Funding for this agreement was included in the Fiscal Year 2006 -07 budget. The City currently pays a monthly fee of $14.62 per residence to WMOC for weekly refuse and recycling collection in Newport Coast. WMOC currently serves approximately 3,400 homes. The original agreement includes an annual fee adjustment based on CPI (not to exceed 3 %). Submitted Mark Harmon' ' ' General Services Director Attachments: Prepared by: Chrs Marcarello Administrative Analyst 1. Current Contract with WMOC for refuse collection services in Newport Coast 2. Contract Amendment CONTRACTOR AGREEMENT THIS AGREEMENT, entered into effective the list day of January of 2002, (the "Effective Date ") by and between the City of Newport Beach, a Municipal Corporation and Charter City ( "City"), and USA Waste of California, Inc. dba Waste Management of Orange County., a California Corporation ( "Contractor or Waste Management'), is made with reference to the following Recitals: RECITALS WHEREAS, Waste Management has a current Non - Exclusive Solid Waste Franchise Agreement to provide commercial solid waste handling services in the City. WHEREAS, On January 1., 2002, City annexed the area referred to as Newport Coast. WHEREAS, Prior to annexation, Newport Coast was within the jurisdiction of the unincorporated area of the County of Orange. WHEREAS, On March 2, 1999 the County of Orange entered into an eight year residential refuse collection agreement with Waste Management of Orange County to provide refuse collection in Newport Coast. WHEREAS, Effective January 1, 2002, the City has jurisdiction over refuse collection services in Newport Coast and pursuant to an annexation agreement is obligated to pay for curbside refuse collection at single family residences in Newport Coast; WHEREAS, City has provided a written 5 year notice to Waste Management of Orange County pursuant to Public Resources Code Section 49520. WHEREAS, City desires to enter into an agreement with Waste Management to provide curbside refuse collection services for single - family residential properties in Newport Coast. WHEREAS, Waste Management and City have agreed that effective January. 1, 2002, the existing contract between Waste Management of Orange County and the County of Orange to serve Newport Coast will be superseded by this Agreement with the City of Newport Beach. NOW, THEREFORE, the Parties agree as follows: 1. TERM The Term of this Agreement shall be for a period of five (5) years. The term shall commence as of the Effective Date of this Agreement and expire January 1, 2007. G35 2. CONTRACTOR SERVICES Contractor's rights and duties shall be limited to those set forth in this Agreement. Contractor agrees to perform in strict compliance with the terms and conditions of this Agreement and the contract services provided in Exhibit A, ( "Contract Services "). The Contract Services shall be performed at least as frequently as specified in Exhibit A. All of the Exhibits are considered to be a part of, and are incorporated into, this Agreement. 3. WORKMANSHIP, SUPERVISION AND EQUIPMENT A. The Contractor shall provide a work force sufficient to perform the Contract Services and all members of the work force shall be hired in compliance with State and Federal law. B. All contract services shall be performed by competent and experienced employees. C. The work force shall include a thoroughly skilled, experienced, and competent supervisor who shall be responsible for adherence to the specifications by directly overseeing the contract operations. All supervisory personnel must be able to communicate effectively in English (both orally and in writing). Any order given to supervisory personnel shall be deemed delivered to the Contractor. Contractor shall provide City with the designated supervisor's name and shall notify City of the name of any successors within ten (10) days of any change in supervision. D. All Contractor personnel working at the outlined areas shall be neat in appearance and in uniforms. F. All vehicles and equipment used in conjunction with the work shall be in good working order and have appropriate safety guards. All vehicles shall bear the Identification of the Contractor and clearly post City provided signs that say, "Serving the City of Newport Beach" on each vehicle. 4. COMPENSATION TO CONTRACTOR City shall pay Contractor for Contract Services in accordance with the attached fee schedule (Exhibit B). Contractor shall submit invoices for Contract Services provided to City on a monthly basis. City shall pay invoices within thirty (30) days after receipt by the City. Payment shall be deemed made when deposited in the United States mail, first class postage pre -paid, and addressed to Contractor as specified in Section entitled "Notices". 5. INDEPENDENT CONTRACTOR City has retained Contractor as an independent contractor and neither Contractor nor its employees are to be considered employees of the City. The manner and means of conducting the work are under the control of Contractor, except to the extent they are limited by statute, rule or regulation and the express terms of this Agreement. No civil service status or other right of employment shall accrue to Contractor or its employees. 6. HOLD HARMLESS A. Contractor assumes all risk in any way related to the performance of Contract Services. Contractor agrees to indemnify, defend, save and hold harmless - City, its- elected and appointed - boards and commissions, officers, agents, volunteers, and employees from and agair-ist any loss, damages, liability, claims, costs, expenses or damages, including, but not limited to, bodily injury, death, personal injury, property damages, attorneys fees and court costs arising from, or in any way related to, the performance of Contract Services required by this Agreement, provided, however, Contractor's obligation in this regard shall not apply in the event of the fraud or willful misconduct by City, its officials, agents, volunteers, employees or representatives. B. Contractor shall defend, indemnify and hold harmless City, its City Council, boards and commissions, officers, volunteers and employees from and against any and all loss, damages, liability, claims, costs and expenses whatsoever, including reasonable attorneys' fees, which may accrue to any and all persons, or business entities furnishing or supplying work, services, materials, equipment or supplies to Contractor in the performance of services under this Agreement. C. In the event that Contractor and City are sued by a third party for damages caused or allegedly caused . by negligent or other wrongful _conduct of Contractor, or by a dangerous condition of City's property created by Contractor or existing while the property was under the control of Contractor, Contractor shall not be relieved of its obligation to defend, indemnify, and hold . City and its officers, employees, volunteers and representatives harmless, by any settlement with any such third party unless that settlement includes a full release and dismissal of all claims by the third party against the City. T. INSURANCE A. In addition to Contractor's obligation to defend, indemnify, and hold City harmless, Contractor shall obtain and maintain at its own expense during the term of this Agreement, policy or policies of liability insurance of the type and amounts described below and satisfactory to the City. Certification of all required insurance policies shall be signed by a person authorized by that insurer to bind coverage on its behalf and must be filed with the City prior to performing any Contract Services. Except workers' compensation insurance, all insurance policies shall be endorsed to add City, its elected officials, officers, agents and employees, and volunteers as additional insureds for all liability arising from Contractors services. B. Prior to the commencement of work, Contractor shall provide to City certificates of insurance from an insurance company certified to do business in the State of California, with original endorsements. At the option of City, Contractor shall provide copies of all policies, providing - coverage -as- required by this Agreement.; . .................. .................... .. C. Contractor shall provide the following insurance, with Best's Class A -7 or better carriers: Worker's Compensation and Employers Liability insuring statutory Workers' Compensation limits as required by the Califomia Labor Code and one million dollars.($1,000,000) per accident Employers Liability; 2. Commercial general liability insurance covering third party liability risks, including without limitation, contractual liability, in a minimum amount of one million dollars ($1,000,000) combined single limit per occurrence for bodily injury, personal injury; and property damage. If the policy contains a general. aggregate limit, then the aggregate limit shall not be less than two million dollars ($2,000,000); 3. Commercial auto liability and property insurance covering all owned and rented vehicles of Contractor coverage Code 1 "any auto" with a minimum amount of two million dollars ($2,000,000) combined single limit per accident for bodily injury and property damage, and shall include sudden and accidental coverage. D. Endorsements to the policies providing the above insurance shall be obtained by Contractor, adding the following three provisions: Additional Insured: "The City of Newport Beach and its elected and appointed boards, officers, agents, volunteers and employees, and volunteers as additional insured." 4 2. Notice: "The policy shall not terminate, nor shall it be canceled or the coverage reduced, until thirty (30) days after written notice is given to City." 3. Other Insurance: "Any other insurance maintained by the City of Newport Beach shall be excess and not contributing with the insurance provided by this policy." E. Contractor shall give to City prompt and timely notice of any claim made or suit instituted arising out of Contractor's performance of this Agreement. Contractor shall also procure and maintain; at its own cost and expense, any .additional kinds of insurance, which in its own judgment may be necessary for its proper protection and performance of Contract Services. F. Contractor agrees that in the event of loss due to any of the perils for which it has agreed to provide comprehensive general and automotive liability insurance, that Contractor shall look solely to its insurance for recovery. Contractor hereby grants to City, on behalf of any insurer providing comprehensive general and automotive liability insurance to either Contractor or City with respect to the services of Contractor, a waiver of any right of subrogation that any such insurer of Contractor may acquire against City by virtue of the payment of any loss under insurance. S. PROHIBITION AGAINST TRANSFERS OR ASSIGNMENT A. Contractor may not assign any right or obligation of this Agreement or any interest in this Agreement without the prior written consent of City. Any attempted or purported assignment without consent of City shall be null and void, Contractor acknowledges that these provisions relative to assignments are commercially reasonable and that Contractor does possess special skills, abilities, and personnel uniquely suited to the performance of Contract Services and any assignment of this Agreement to a third party, in whole or in part, could jeopardize the satisfactory performance of Contract Services. Contractor may not employ any subcontractors unless specifically authorized by City. Contractor may assign or transfer this agreement to subsidiaries or affiliates of the company upon notice to the City. B. The sale, assignment, transfer, or other disposition of any of the issued and outstanding capital stock of Contractor, or of any entity of which Contractor is an affiliate or subsidiary, or of the interest in any general 5 partner or joint venture which shall result in changing the control of Contractor, shall be construed as an assignment of this Agreement. C. Contractor shall promptly notify the City of any company name change. 9. RECORDS/REPORTS A. All Contractor's books and other business records, or such part as may be used in the performance of this Agreement, shall be subject to inspection and audit by any authorized City representative during regular business hours. B. No report, information, or other data given to or prepared or assembled by - Contractor. pursuant to this Agreement - ..may ...be . made . available . to any. individual or organization. wi ux# prior approval-by by.Ci t Y... C. Contractor shall, at such time and in such form as City may require, provide reports concerning the status or cost of services required by this Agreement. D. Contractor shall complete a monthly report indicating work performed and submit this completed report to the City Administrator within ten (10) days after the end of each month. A phone log will be submitted monthly of all calls from the City of Newport Beach General Services Department and the City of Newport Beach Police Department to the Contractor, whether or not those calls require a request for service and a description of the action taken from the City call. E. Contractor shall keep records and invoices in connection with its work to be performed under this Agreement. Contractor shall maintain complete and accurate records with respect to the disposal and labor costs incurred under this Agreement. All such records shall be clearly identifiable. Contractor shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records. Contractor shall maintain and allow inspection of all work, data, documents, proceedings, and activities related to this Agreement for a period of three (3) years from the date of final payment under this Agreement. 10. ADMINISTRATION A. This Agreement will be administered by the General Services Department. The General Services Director or his /her designees shall be considered the City's Administrator and shall have the authority to act for the City under this Agreement. The Administrator or his /her authorized 6 representative shall represent the City in all matters pertaining to the services to be rendered pursuant to this Agreement. B. City shall furnish to Contractor maps, ordinances, data, and other existing information as may be requested by Contractor necessary for Contractor to complete the work contemplated by this Agreement. City also agrees to provide all such materials in a timely manner. 11. INCREASE OR DECREASE IN SCOPE OF WORK A. Contractor shall perform refuse collection services as requested by the Administrator and as noted by Exhibit A. The Administrator may give verbal authorization for additional services up to one thousand dollars U. DISPUTES PERTAINING TO PAYMENT FOR WORK Should any dispute arise respecting whether any delay is excusable, or its duration, or the value of the work done, or of any work omitted, or of any extra work which Contractor may be required to do, or respecting any payment to Contractor during the performance of the Agreement, such dispute shall be decided by the Administrator with any appeal to the City Manager. The City Manager's decision shall be final. 13. REIMBURSEMENT FOR EXPENSES Contractor shall not be reimbursed for any disposal fees or other expenses unless authorized in writing by City Administrator. 14. LABOR AND PERFORMANCE BONDS Contractor shall furnish, concurrently with the effective date of this Agreement, a bond or other instrument satisfactory to the Administrator in an amount equal to Thirty .four thousand dollars ($34,000) as security for the Faithful Performance of this Agreement. 15. LABOR A. Contractor shall conform to all. applicable provisions of State and Federal law including, applicable provisions of California Labor Code, and the Federal Fair Labor Standards Act. B. Whenever Contractor has knowledge that any actual or potential labor dispute is delaying or threatens to delay the timely performance of this 7. Agreement, Contractor shall immediately give notice to City, including all relevant information. 16. NONDISCRIMINATION BY CONTRACTOR Contractor represents and agrees that it does not, and will not, discriminate against any subcontractor, consultant, employee or applicant for employment based on race, religion, color, sex, handicap, national origin, or other basis that violates the federal or state constitution or federal or state law. Contractor's obligation not to discriminate shall apply, but not be limited to, the following: employment, upgrading, demotion, transfers, recruitment, recruitment advertising, layoff, termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. _.. 17. - -iG"!- SRI &WT TO EMKOY -OT-H R CQNTRACTORS City reserves the right to employ other contractors in connection with this project should the Contractor fail to perform or default. 18. CONFLICTS OF INTEREST A. The Contractor or its employees may be subject to the provisions of the California Political Reform Act of 1974 (the "Act"), which (1) requires such persons to disclose financial interest that may foreseeable be materially affected by the work performed under this Agreement, and (2) prohibits such persons from making, or participating in making, decisions that will foreseeable financially affect such interest. The Contractor will provide a completed disclosure form noting the above. Contractor will comply with the Act and. relevant City Resolutions. B. If subject to the Act, Contractor shall conform to all requirements of the Act. Failure_to do so constitutes a material breach and is grounds for termination of this Agreement by the City. The Contractor shall indemnify and hold harmless the City for any claims for damages resulting from the Contractor's violation of this Section. 19. NOTICES All notices, demands, requests or approvals to be given under this Agreement must be given in writing and will be deemed served when delivered personally or on the second business day after the deposit thereof in the United States mail, postage prepald, registered or certified, addressed as hereinafter provided. All notices, demands, requests or approvals from Contractor to City shall be addressed to City at: General Services Department City of Newport Beach 3300 Newport Boulevard PO Box 1768 Newport Beach, CA 92658 -8915 All notices, demands, requests or approvals from City to Contractor shall be addressed to Contractor at: District Manager Waste Management of Orange County 1800 South Grand Avenue Santa Ana, CA 92705 .... ... ....... ..._.. _:..... . _.... W. ..- TERt"ATIONMEFAULT A. In the event Contractor fails or refuses* to timely perform any of the provisions of this Agreement in the manner required or if Contractor violates any provisions of this Agreement, Contractor shall be deemed in default. If such default is not cured within a period of two (2) working days, or If more than two (2) working days are reasonably required to cure the default and Contractor fails to give adequate assurance of due performance within two (2) working days after Contractor receives written notice of default from City, City may terminate the Agreement forthwith by giving written notice. City may, in addition to the other remedies provided in this Agreement or authorized by law, terminate this Agreement for cause in the event of any material breach of this Agreement by giving written notice of termination. B. In addition to, or in lieu of, remedies provided in this Agreement or pursuant to law, City shall have the right to withhold all or a portion of Contractor's compensation for Contract Services if, in the judgment of the City Administrator, the Contractor fails to satisfactorily perform Contract Services. 21. COST OF LITIGATION If any legal action is necessary to enforce any provision of this Agreement, or for damages by reason for an alleged breach of any provisions of this Agreement, the parties agree that the court with jurisdiction over the action may determine and fix reasonable attorneys' fees and expenses to be paid to the prevailing party. 9 22. COMPLIANCE Contractor represents that it is familiar, and shall comply, with all state, federal, or local laws, rules, ordinance, statutes or regulations applicable to the performance of Contract Services. Contractor shall fully comply with all provisions of its Non - Exclusive Solid Waste Franchise Agreement with the City and any other permitting or franchise requirements adopted by City. 23. WAIVER A waiver by City of any breach of any term, covenant or condition contained herein shall not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant or condition contained herein whether of the same or a different character.... 24. Contractor agrees that this Agreement shall supersede all previous agreements to provide curbside single-family residential refuse collection services in the Newport Coast area including agreements with the County of Orange. Contractor waives and releases all rights to provide curbside single - family residential services except as provided in this Agreement. Contractor acknowledges receipt of the City five (5) year notice on December 19, 2001 and agrees that upon termination of this Agreement, Contractor will not contest City's right to provide services or contract for services pursuant to a competitive bid process. 25. INTEGRATED CONTRACT This Agreement represents the full and complete understanding of every kind or nature whatsoever between the parties concerning the services to be provided under this Agreement. All preliminary negotiations and agreements of whatsoever kind or nature are merged in this Agreement. _ No verbal agreement or implied covenant shall be held to vary the provisions hereon. Any modification of this Agreement will be effective only by written execution signed by both City and Contractor. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the day and year first written above. ATTEST: By: I1, 0,64 Y, %7,.A" LaVonne Harkless, City Clerk 10 CITY OF NEWPORT BEACH A Municipal Corporation By: Tod Ridge l, Mayor APPROVED AS TO FORM: By: 4v obin L. Clauson, Assistant City Attorney 11 USA Waste of alifomia, Inc., dba Waste MM,t O n oun By: obert J. e, Distri anager LIST OF EXHIBITS Exhibit A Refuse Contract Services Exhibit B Compensation for Services 12 Exhibit A Refuse Contract Services 1) Contractor shall provide weekly residential curbside refuse collection, recycling and disposal services to single - family residences in the Newport Coast Area annexed on January 1, 2002 by the City. 2) The Contractor will handle all resident inquiries or complaints of service in an expeditious manner. 3) Contractor shall provide a bulky item pickup twice per year for each single - family residence with a_limit of 4 -items per request..... ...._. . 4) The weekly basic service will consist of providing two individual automated style containers, one for refuse and one for recyclable materials. The minimum size of the container shall be 35 gallons with larger containers up to 96 gallons available at the discretion of the property owner. 5) Refuse collection day for Newport Coast will be Friday. Collection day shall not be changed without City approval. No change to this schedule will be considered with less than 60 days notice to the City. 6) Additional individual automated -style refuse collection containers will be provided upon request of the resident. The cost for the extra service provided in Exhibit B Will be bome by the City. 7) Contractor shall collect, recycle and dispose of all residential solid waste materials in accordance with the provisions of the Non - exclusive Solid Waste Franchise Agreement and all applicable City ordinances and State mandates. 8) Contractor shall provide curbside collection of Christmas trees on the first two regularly scheduled collection days after Christmas Day. 9) Contractor shall provide on a monthly basis all necessary reporting data requested by the City relating to the City's compliance requirements pertaining to AB 939 as it affects the City's Integrated Solid Waste Management Plan. Such reports shall be provided to the City within 30 days after the end of each calendar quarter. The Contractor shall cooperate with activities requested by the City to measure diversion of solid waste from landfills, including, but not limited to, providing a location for conducting waste sorting and re- routing trucks on a temporary basis to facilitate composition analysis. 13 Exhibit A Refuse Contract Services 10) The Contractor shall keep data on the origin and tonnage of solid waste collected in the Newport Coast area. The Contractor shall provide to the City, on a quarterly basis, the following information in a format supplied by. or approved by the General Services Director: 1. The tonnage of Solid Waste collected by the gross number of tons collected each month. TMe erigir� -and tonnage -ef - solid - waste- twat- 4s- aeuW- delivered- #a..the ._..- - - -..._ designated landfill each quarter. 3. The weight of recyclable materials collected in the Newport Coast area and delivered for recycling. 4. The facility to which each type of.recyclable material or recovered material is delivered by the Contractor. 5. Total weight, by type of material, of glass, aluminum, plastic, paper, cardboard, concrete, dirt, asphalt, green waste, lumber and white goods collected monthly. 6. Any other information reasonably requested by the City to meet State or Federal regulatory reporting requirements of the City's Source Reduction and Recycling Element (SRRE), as it may be amended from time to time. 14 Exhibit B Compensation for Services Compensation for the Contract Services shall be $13.03 per residence. The monthly rate of $13.03 per residence is composed of a base service fee component of $10.72 and a disposal fee component of $2.31. 2. In addition to the monthly rate of $13.03 per residence, City will pay for extra - automated containers for refuse or recycling collection as requested by individual residents in the amount not to exceed $3.42 per resident request. 3. City franchise fees pursuant to NBMC Section 12.63.070 shall be waived, but only for the Contract Services provided in this Agreement. 4. The City will be billed in arrears by the Contractor on a monthly basis. 5. The base service fee of $10.72 shall be increased on January 1, 2003, and every 12 months thereafter to reflect any increase in the Consumer Price Index (CPI — all urban consumers for the Los Angeles — Anaheim — Riverside area) for the 12 months proceeding the prior November index, provided that the CPI increase shag not exceed 3 % per 12 month period. FAUSE WSMEkMft8TMRUMY OZC*unc�i- MMNewproest ConbwLFeb2a-M sonfebl4cimn .doe 15 AMENDMENT NO. 1 TO AGREEMENT WITH USA WASTE OF CALIFORNIA, INC., DBA WASTE MANAGEMENT OF ORANGE COUNTY FOR REFUSE COLLECTION SERVICES THIS AMENDMENT NO. 1 TO CONTRACTOR AGREEMENT, entered into this 12th day of September 2006, by and between the CITY OF NEWPORT BEACH, a municipal corporation (hereinafter referred to as "City "), and USA WASTE OF CALIFORNIA, INC., DBA WASTE MANAGEMENT OF ORANGE COUNTY, a California Corporation, whose office is located at 1800 South Grand Avenue, Santa Ana, California 92705 (hereinafter referred to as "Contractor"), is made with reference to the following: RECITALS A. On June 1, 2002, City and Contractor entered into an Agreement in which Contractor was hired to provide refuse collection services for residential properties in Newport Coast (hereinafter referred to as the "Agreement"). B. The purpose of this amendment is to extend the term of the Agreement six (6) months to allow City staff additional time to develop specifications and solicit proposals for future collection services in Newport Coast. C. To this end, City and Contractor mutually desire to amend the Agreement, as provided in this Amendment No. 1. NOW, THEREFORE, the parties hereto agree as follows: Section 1 of the Agreement shall be amended to read as follows: 'The Term of the Agreement shall commence on January 1, 2002 and shall terminate on June 30, 2007, unless terminated earlier as set forth herein. 2. Section 24 of the Agreement shall be amended to read as follows: "Contractor agrees that the Agreement, as amended by Amendment No. 1, shall supercede all previous agreements to provide residential refuse collection services in the Newport Coast area including agreements with the County of Orange. Contractor waives and releases all rights to provide services except as provided in the Agreement and Amendment No. 1. Contractor also agrees that: (a) on December 19, 2001, the City mailed and Contractor received the notice required by Public Resources Code section 49520; (b) by providing the December 19, 2001 notice, City fully met any and all obligations it has pursuant to Public Resources Code section 49520 including, but not limited to, notice obligations; (c) the Contractor shall have no right to continue service pursuant to Public Resources Code section 49520, or otherwise, beyond the term of this Agreement as amended by Amendment No. 1; and (d) the City shall not be required to provide any additional notice under Public Resources Code section 49520 as a result of the extension of the Term of the Agreement by and through this Amendment No. 1. Contractor expressly waives and releases any rights it may have under Public Resources Code section 49520 to continue to provide services beyond the Term of this Agreement, as amended by Amendment No. 1 and Contractor agrees that upon termination of this Agreement, Contractor will not contest City's right to provide services or contract with any person or entity pursuant to a Request for Proposal Process" 3. Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. [SIGNATURES ON FOLLOWING PAGE] IN WITNESS WHEREOF, the parties hereto have executed this Amendment No. 1 on the date first above written. APPROVED AS TO FORM: Aaron C. Harp, Assistant City Attorney for the City of Newport Beach ATTEST: LaVonne Harkless, City Clerk CITY OF NEWPORT BEACH, A Municipal Corporation By: Don Webb, Mayor for the City of Newport Beach CONTRACTOR: USA WASTE OF CALIFORNIA, INC., DBA WASTE MANAGEMENT OF ORANGE COUNTY By: (Corporate Officer) Print Name: By: (Financial Officer) Title: Print Name: