2010-27376 ResoRESOLUTION NO. 2010-27376
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, APPROVING
AMENDMENT NO. 1 TO THE SERVICE AGREEMENT BY AND
AMONG THE CITY OF MIAMI BEACH AND WASTE SERVICES
OF FLORIDA, INC,; CHOICE ENVIRONMENTAL SERVICES OF
MIAMI, INC.; WASTE MANAGEMENT OF DADE COUNTY
NORTH; AND GENERAL HAULING SERVICES, INC. FOR
ADDITIONAL SOLID WASTE COLLECTION SERVICES, AND
COLLECTION OF RECYCLING MATERIALS AT CITY OWNED
PROPERTIES, PARKS, RIGHTS OF WAY, AND OTHER PUBLIC
FACILITIES AND PROPERTY(IES).
WHEREAS, Section 90-239 of the Ordinance provides that the City may issue up
to five (5) franchises to waste contractors (for residential and commercial waste
collection and disposal); and
WHEREAS, at its regular meeting on October 7, 2008, the Mayor and City
Commission approved Resolution No. 2008-26923, approving franchise agreements
with 1) Waste Management of Dade County North; 2) Republic Services of Florida; 3)
Waste Services, Inc.; and 4) Davis Sanitation; all for an initial term commencing on
October 1, 2009, and ending on September 30, 2011; and
WHEREAS, on February 25, 2009, the Mayor and City Commission adopted
Resolution No. 2009-27020, approving a franchise agreement with General Hauling
Services, Inc; also with an initial term ending of September 30, 2011; and
WHEREAS, concurrent with the approval of the aforestated franchise
agreements, said franchise waste haulers also entered into and executed a Service
Agreement with the City, which runs concurrent with the initial term of the franchises, for
the provision of additional public waste collection and disposal (and recycling) services
(the Service Agreement); and
WHEREAS, the franchise previously held by Davis Sanitation, Inc., has been
assumed by Choice Environmental Services of Miami, Inc., the assignment was
approved by the Mayor and City Commission on June 5, 2009, pursuant to Resolution
No. 2009-27084; and
WHEREAS, the waste hauling division of Republic Service of Florida (d/b/a All
Service-Miami Dade Division) has been assumed by Waste Services of Florida, Inc.; and
WHEREAS, consequently, there are currently four (4) franchise waste
contractors in the City: 1) Waste Services of Florida, Inc.; 2) Choice Environmental
Services of Miami, Inc.; 3) Waste Management of Dade County North; and 4) General
Hauling Services, Inc. (the Contractors); and
WHEREAS, the City Administration has been in discussion with the Contractors
regarding 1) an amendment to the Ordinance which would extend the initial franchise
term; and 2) an amendment to the Service Agreement which would include the provision
(by Contractors) of more additional public services and benefits to the City; and
WHEREAS, at its regular meeting on March 10, 2010, the Mayor and City
Commission approved, on first reading, an amendment to the Solid Waste Ordinance,
which provided, in part, for an extension of the allowable initial franchise term from three
(3) to five (5) years; and
WHEREAS, the Contractors have also requested, and the City has agreed, that,
as further and additional consideration for Contractor's agreement to amend the Service
Agreement to include more additional public services and benefits, the number of
franchise waste contractors for solid waste collection and disposal shall remain at four
(4) for the remainder of the initial term of the existing franchises; provided, however, that
if the number drops to less than four (4) at any time during the term, then the City
Commission may select a new franchisee (or franchisees) to bring the number back to
four,
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND THE
CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and
City Commission hereby approve and authorize the Mayor and City Clerk to execute the
attached Amendment No 1. to the Service Agreement by and among the City of Miami
Beach and Waste Services of Florida, Inc.; Choice Environmental Services of Miami,
Inc.; Waste Management of Dade County North; and General Hauling Services, Inc. for
additional solid waste collection services, and collection of recycling materials at City
owned properties, parks, rights of way, and other public facilities and property(ies).
PASSED and ADOPTED this ~~~ day of /'/~ , 2010.
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Mayo
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CITY LERK
F:\cmgr\$ALL\BOB\Amendment#1 toServiceAgreementW asteHaulerReso4-14-10.doc
APPROVED AS TO
FORM & LANGUAGE
8 FOi~ EXECUTION
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Condensed Title:
COMMISSION ITEM SUMMARY
A Resolution approving Amendment No. 1 to the Service Agreement by and among the City of Miami
Beach and Waste Services; Choice Environmental Services of Miami; Waste Management and
General Haulin Services, for additional solid waste collection services.
Ke Intended Outcome Supported:
Enhance the environmental sustainability of the community.
Supporting Data (Surveys, Environmental Scan, etc.):
Issue:
Shall the Mayor and City Commission approve the Resolution?
Item
The Administration has been directed to proceed with the implementation of a plan that would provide
that the number of franchise waste haulers would remain at four (4) and the fifth available franchise
would not be awarded for the duration of the term of the agreement between the City and the
franchise waste haulers. The franchisee plan also adds a specific list of public benefits, which the
four franchise waste haulers have agreed to provide to the City of Miami Beach in consideration for
retaining only four franchise waste haulers and also extending the term of the franchise from three to
five years.
In order to implement the franchisee plan, two actions must be approved by the City Commission.
One action is to amend Chapter 90 of the City Code, which has been approved on First Reading, and
is on this April 14, 2010 agenda for final approval. The other required action is to approve an
amendment to the existing Service Agreement between the City and the franchise waste haulers.
The specific services which are incorporated into the Service Agreement include:
1. The provision of two (2) hazardous material pick-up events per year.
2. An annual cash allocation to the City equivalent to the purchase of fifteen (15)
urban style recycling containers.
3. The development of a brochure common to be used by all of the franchise waste haulers for
commercial accounts, which stipulates recycling requirements, and options.
4. The City will be reimbursed for security services provided at each of the "wasteful weekends" sites
held monthly in the community.
5. The City will be provided in the first year of the franchise, a contribution from all of the haulers,
with the exception of General Hauling, equivalent to one half of a percent of gross revenues from
accounts in the City, which shall increase by a half percent in each of the next two (2) years until a
total contribution of one and a half percent of gross revenues is being made to the City. The fund
is to be used at the discretion of the City Commission for "green initiatives". General Hauling is
excluded from this item as they already contribute one and a half percent of gross revenues in the
community as a result of their recent franchise award.
6. A cash contribution in the amount of $75,000 per franchise year will be made to the City for
support of Education in the community, as determined by the City Commision.
In addition to the added community services and benefits, the amendment to the Service Agreement
makes provisions to retain four (4) franchise waste haulers for the duration of the Agreement and also
changes the term of the Agreement from three (3) years to five (5) years. Approval of the Resolution
is recommended.
Board Recommendation:
Financial Information:
Source of
Funds: Amount Account
OBPI Total
Financial Im act Summa
Ci Clerk's Office Le islative Trackin
Robert C. Middaugh, Assistant City Manager
Sign-Offs:
De artment Director Assi t Cit Mana er it ..Manager
RC J
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~~~~ AGENDAITEM ~ /~
DATA ~-~ ~ -~~
m MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
To: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager ~~~
DATE: April 14, 2010
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING AMENDMENT N0.1 TO THE SERVICE
AGREEMENT BY AND AMONG THE CITY OF MIAMI BEACH AND WASTE
SERVICES OF FLORIDA, INC.; CHOICE ENVIRONMENTAL SERVICES OF
MIAMI, INC.; WASTE MANAGEMENT OF DADE COUNTY NORTH; AND
GENERAL HAULING SERVICES, INC. FOR ADDITIONAL SOLID WASTE
COLLECTION SERVICES, AND COLLECTION OF RECYCLING MATERIALS AT
CITY OWNED PROPERTIES, PARKS, RIGHTS OF WAY, AND OTHER PUBLIC
FACILITIES AND PROPERTY(IES).
ADMINISTRATION RECOMMENDATION
Approve the Resolution.
ANALYSIS
As a result of a careful and thorough discussion by the Finance and Citywide Projects
Committee and the City Commission, the Administration has been directed to proceed with
the implementation of a plan that would provide that the number of franchise waste haulers
as it exists currently would remain at four (4) and the fifth available franchise would not be
awarded by the City Commission for the duration of the term of the agreement between the
City and the franchise waste haulers. The franchisee plan also adds a specific list of public
benefits, which the four (4) franchise waste haulers have agreed to provide to the City of
Miami Beach in consideration for retaining only four (4) franchise waste haulers and also
extending the term of the franchise from three (3) to five (5) years.
In order to implement the franchisee plan, two actions must be approved by the City
Commission. One action is to amend the Solid Waste Section of City Code (Chapter 90),
which has been approved by the City Commission on First Reading, and is on this April 14,
2010 agenda for final approval. The other required action is to approve an amendment to
the existing Service Agreement between the City and the franchise waste haulers.
The Service Agreement is the mechanism used by the City to provide for public benefits and
services previously agreed to by the franchise waste haulers. The amendment to the
Service Agreement incorporates the new public benefits.
The specific services which are incorporated into the Service Agreement include:
1. The provision of two (2) hazardous material pick-up events per year.
2. An annual cash allocation to the City equivalent to the purchase of fifteen (15)
urban style recycling containers.
3. The development of a brochure common to be used by all of the franchise waste
haulers, which stipulates recycling requirements, recycling options and the possibility
of solid waste savings. This brochure is to be distributed to all commercial accounts
in the City.
4. The City will be reimbursed for security services provided at each of the "wasteful
weekends" sites held monthly in the community.
5. The City will be provided in the first year of the franchise, a contribution from all of
the haulers, with the exception of General Hauling, equivalent to one half of a
percent of gross revenues from accounts in the City, which shall increase by a half
percent in each of the next two (2) years until a total contribution of one and a half
percent of gross revenues is being made to the City. The fund is to be used at the
discretion of the City Commission for "green initiatives". General Hauling is excluded
from this item as they already contribute one and a half percent of gross revenues in
the community as a result of their recent franchise award.
6. A cash contribution in the amount of $75,000 per franchise year will be made to the
City for support of Education in the community, as determined by the City
Commission.
The five year value of the additional community benefit and services is approximately
$1,618,750. As a result of a recommendation provided by the Sustainabiliry Committee, the
franchise waste haulers have also agreed to remove recyclable materials from community
drop off points in South, Middle and North Beach (total 3) on sites which are developed and
permitted by the City. In addition to the added community services and benefits, the
amendment to the Service Agreement makes provisions to retain four (4) franchise waste
haulers for the duration of the Agreement and also changes the term of the Agreement from
three (3) years to five (5) years.
If the City Commission approves the Ordinance providing amendments to Chapter 90 of the
City Code being considered on Second Reading, and approves the amendments to the
Service Agreement, the necessary actions to complete the four (4) franchise waste haulers
with new public benefits plan will be finished. Approval of the Resolution is recommended.
JM sam
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