COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Department of Public Works

 

DATE:

November 24, 2010

BOARD MEETING DATE:

December 14, 2010

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

FROM:

James C. Porter, Director of Public Works

SUBJECT:

Amendment to the Agreement with South Bay Recycling, LLC for Operation of the Shoreway Recycling and Disposal Center in San Carlos

 

RECOMMENDATION:

Adopt a Resolution approving amendment to the Operations Agreement with South Bay Recycling, LLC for operation of the Shoreway Recycling and Disposal Center in San Carlos.

 

BACKGROUND:

On July 23, 2009, the South Bayside Waste Management Authority (SBWMA) Board approved the Operations Agreement (Agreement) with South Bay Recycling, LLC (SBR) to operate the Shoreway Recycling and Disposal Center (Shoreway Center). The Shoreway Center consists of a transfer station for garbage and a materials recovery facility for recyclables.

 

On October 20, 2009, your Board adopted Resolution No. 070422, which approved the Agreement between the SBWMA and SBR. In accordance with Section 7.1.1 of the SBWMA First Amended and Restated Joint Exercise of Powers Agreement, the Agreement became effective after eight of the twelve member agencies approved it. SBR is to commence operation of the Shoreway Center on January 1, 2011.

 

DISCUSSION:

The Agreement and the needs of the new garbage and recyclables collection service necessitated substantial renovations to the existing transfer station and construction of a materials recovery facility at the Shoreway Center. These construction and renovation projects are to be completed by April 2011, which will impact the operation of the Shoreway Center by SBR. Due to the revised construction timeline and discussions between SBWMA and SBR regarding details of the Agreement, modifications to the Agreement are warranted and recommended.

 

The SBWMA Board approved the amendment at their meeting on October 28, 2010. The amendment to the Agreement does not become effective unless at least eight of the twelve Member Agencies approve the amendment.

 

The following summarizes the proposed amendment to the Agreement:

 

Section 5.03 - Shoreway Center Facility Operations – General

Clarifies that SBWMA’s approval to accept materials at the Shoreway Center from outside the County must include a written agreement with pricing terms and specific conditions for accepted materials, at a minimum.

 

Section 6.06 - Alternative Fuels Plan

The modifications stipulate that SBR must use B-20 biodiesel only if available on site at the Shoreway Center. The biodiesel fueling station at the Shoreway Center will not be ready for use when the Agreement commences.

 

Section 8.05 – Revenue from Sale of Recyclable Materials

This Section has been revised to specify that targeted recyclable materials that do not require sorting at the Shoreway Center will not be included as materials subject to the revenue guarantee.

 

Section 8.07 – Monthly Contractor’s Statement

Revisions to this Section will require reporting by the fifth business day of each month for materials delivered to the Shoreway Center by the garbage and recyclables collection service provider for the SMWMA service area to allow for SBWMA’s timely monthly billing of the collection service provider.

 

Section 8.08 – Annual Calculation and Reconciliations

Revisions were necessary to clarify specific details of the annual revenue reconciliation.

 

Attachment 3 Section 7 (C) – Public Recycling Center Operations (Buyback/Drop-off Center)

Revisions specify that the hours of the Public Recycling Center can be modified upon mutual agreement by SBWMA and SBR.

 

Approval of the amendment to the Agreement will contribute to the Shared Vision 2025 of an Environmentally Conscious Community by encouraging source reduction, recycling, or reuse of solid waste generated in the unincorporated areas of the County.

 

County Counsel has reviewed and approved the Resolution and amendment to the Agreement as to form.

 

FISCAL IMPACT:

There is no fiscal impact associated with approval of the proposed amendment to the Agreement. The cost to provide the services covered in the Agreement are included in the garbage and recyclables collection rates for the County areas that will be served through the Franchise Agreement between Recology San Mateo County and the County.

 

There is no impact to the General Fund.