PREPARED BY: AMANDA BOOTH DATE OF MEETING: 05/20/2024
SUBJECT:
TITLE
CONSIDER ADOPTING RESOLUTION AUTHORIZING THE CITY MANAGER TO COMPLETE A FRANCHISE FEE STUDY AND PROCEED WITH NEGOTIATIONS WITH THE TOP-RANKED PROPOSAL, RICHMOND SANITARY SERVICES INC., A SUBSIDIARY OF REPUBLIC SERVICES, FOR THE CITY’S SOLID WASTE COLLECTION SERVICES AND FRANCHISE AGREEMENT
CEQA: This proposed action is not a project as defined by CEQA.
Label
CITY MANAGER RECOMMENDATION
Recommendation
Adopt Resolution
Body
Compliance statements
Item 202: Develop and Implement Long-Term Environmental Stewardship Goals is an adopted policy item under the FY 2023-25 Council Priority Workplan, effective May 1, 2023.
BACKGROUND
The City of San Pablo has had a Franchise-Collection Agreement with Richmond Sanitary Services, Inc. (RSS), a subsidiary of Republic Services, Inc., since 1986. Several amendments have been made to the agreement over the years - 1994, 1999, 2000, 2002, 2007, 2012, and 2013. The agreement gives Republic Services/RSS the exclusive right to collect all solid waste in the City through June 30, 2025, when the Franchise-Collection Agreement expires.
On May 15, 2023, through Resolution 2023-079 the City Council directed staff to coordinate with other interested West Contra Costa County agencies to develop a joint Request for Proposals (RFP) for Solid Waste Franchise Collection Services and Agreement. City of San Pablo staff coordinated with the City of Richmond and released an RFP on January 5, 2024. The City received one submittal and after the proposal review, interview, and evaluation process, the evaluation committee recommends the City proceed to the next stage and commence agreement negotiations with the top-ranked proposer, Richmond Sanitary Services, Inc. (RSS), a subsidiary of Republic Services, Inc. As part of this process, City staff is also completing a Franchise Fee Study.
Upon Council approval, City Manager or his designee will negotiate the terms of an agreement, including:
• Programs and services;
• Collection rates;
• Franchise fee;
• Reporting requirements;
• Transition Plan;
• Alternative service options; and
• Other terms and conditions as deemed necessary.
Staff recommends that the City Council authorize the City Manager, or his designee, to complete the Franchise Fee Study and negotiate the terms of a Solid Waste Franchise-Collection Agreement with Richmond Sanitary Services (RSS), as listed above. Upon completion, staff will return to the Council with final terms and rates for Council approval.
FISCAL IMPACT
The proposed action will have no additional impact on the FY 2023-24 Adopted City Budget. The costs of the RFP process included assistance from an outside consultant, R3, which was approved by the City Council on September 18, 2023, through Resolution 2023-139 in the amount of $91,512.50. Staff intends to return to Council with the final terms and rates reviewed, with a recommended from Standing Committee, for future City Council approval.
ATTACHMENT
Att A - Resolution