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HomeMy WebLinkAboutResolution - 3925 (3)Resolution No. 3925 Page 1 of 15 STATE OF CALIFORNIA) RESOLUTION NO. 3925 COUNTY OF RIVERSIDE) ss CITY OF SAN JACINTO) FIFTH AMENDMENT TO THE FRANCHISE AGREEMENT BETWEEN THE CITY OF SAN JACINTO AND CR&R INCORPORATED WHEREAS, CITY and CONTRACTOR entered into a certain Agreement for the Collection and Handling of Solid Waste dated March 17, 2005 (the "2005 Franchise Agreement"); and WHEREAS, CITY and CONTRACTOR entered into a certain First Amendment to the Franchise Agreement between the City of San Jacinto and CR&R Incorporated dated April 15, 2010 (the "First Amendment"); and WHEREAS, CITY and CONTRACTOR entered into a certain Second Amendment to the Franchise Agreement between the City of San Jacinto and CR&R Incorporated dated December 17, 2012 (the "Second Amendment"); and WHEREAS, CITY and CONTRACTOR entered into a certain Third Amendment to the Franchise Agreement between the City of San Jacinto and CR&R Incorporated dated January 3, 2017 (the "Third Amendment"); and WHEREAS, CITY and CONTRACTOR entered into a certain Fourth Amendment to the Franchise Agreement between the City of San Jacinto and CR&R Incorporated dated June 16, 2020 (the "Fourth Amendment"); and WHEREAS, SB 1383 (Chapter 395, Statutes of 2016) directed local agencies to divert organic waste from landfills and help reduce food insecurity, and regulations promulgated by the California Department of Resources Recycling and Recovery require the City to provide organic waste collection services and implement said regulations within the City; and WHEREAS, CITY and CONTRACTOR desire to amend their 2005 Franchise Agreement, their 2010 First Amendment, their 2012 Second Amendment, their 2017 Third Amendment, and their 2020 Fourth Amendment (collectively, the “Agreement”) in order to reflect the additional obligations required by the SB 1383 Regulations. DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 2 of 15 NOW, THEREFORE, in consideration of the foregoing, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 1. Section 1 (Definitions) of the Agreement is amended to delete the definitions of “Extremely Hazardous Waste,” “Organic Waste,” “Recyclable Materials,” “Solid Waste,” “Solid Waste Facility,” and “System Facility,” and to add or amend, as applicable, the following definitions: Back-Haul means generating and transporting Organic Waste to a destination owned and operated by the Generator using the Generator’s own employees and equipment, or as otherwise defined in 14 CCR Section 18982(a)(66)(A). Blue Container or Lid has the same meaning as in 14 CCR Section 18982.2(a)(5) and shall be used for the purpose of storage and Collection of SSBCOW. Collection means the act of collecting Solid Waste, Recyclables, or Organic Waste at or near the place of generation or accumulation CCR means the State of California Code of Regulations. CCR references in this Agreement are preceded with a number that refers to the relevant Title of the CCR (e.g., “14 CCR, Division 7, Chapter 12” refers to Title 14, Division 7, Chapter 12 of the California Code of Regulations). CalRecycle means the California Department of Resources Recycling and Recovery, which is the department designated with responsibility for developing, implementing, and enforcing SB 1383 Regulations on local jurisdictions and other regulated entities or its successor. Commercial Edible Food Generators includes Tier One Commercial Edible Food Generators and Tier Two Commercial Edible Food Generators, or as otherwise defined in 14 CCR Section 18982(a)(7). For the purposes of this definition, Food Recovery Organizations and Food Recovery Services are not Commercial Edible Food Generators, or as otherwise specified by 14 CCR Section 18982(a)(7). Compost means the product resulting from the controlled decomposition of Organic wastes, including Green Waste, wood waste and Food Waste which are not Hazardous W astes. Compostable Plastics means plastic materials that meet the ASTM D6400 standard for compostability, or as otherwise described in 14 CCR Section 18984.1(a)(1)(A) or 18984.2(a)(1)(C).Diversion or Divert means activities which reduce or eliminate discarded materials from disposal, including, but not limited to, source reduction, Reuse, salvage, Recycling, and composting. DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 3 of 15 Edible Food means food intended for human consumption. For the purposes of this Agreement, Edible Food is not Solid Waste if it is re covered and not discarded. Nothing in this Agreement requires or authorizes the recovery of Edible Food that does not meet the food safety requirements of the California Retail Food Code. If the definition in 14 CCR Section 18982(a)(18) for Edible Food differs from this definition, the definition in 14 CCR Section 18982(a)(18) shall apply to this Agreement. Excluded Waste means Hazardous Substance, Hazardous Waste, Infectious Waste, Designated Waste, volatile, corrosive, Medical Waste, infectious, regulated radioactive waste, and toxic substances or material that Facility operator(s) reasonably believe(s) would, as a result of or upon acceptance, transfer, Processing, or disposal, be a violation of local, State, or Federal law, regulation, or ordinance, including: land use restrictions or conditions, waste that cannot be disposed of in Class III Landfills or accepted at the Facility by permit conditions, waste that in CONTRACTOR’s reasonable opinion would present a significant risk to human health or the environment, cause a nuisance or otherwise create or expose CONTRACTOR or CITY to potential liability; but not including de minimis volumes or concentrations of waste of a type and amount normally found in Single-Family or Multi-Family Solid Waste after implementation of programs for the safe Collection, Processing, Recycling, treatment, and disposal of batteries and paint in compliance with Sections 41500 and 41802 of the California Public Resources Code. Facility or System Facility or Solid Waste Facility means a Solid Waste Facility, as defined in Public Resources Code section 40194, that for the purposes of this Agreement is designated by the City to be used by the CONTRACTOR for the processing, recovery and/or disposal of Solid Waste, including Recyclable Materials and Organic Waste. Food Distributor means a company that distributes food to entities including, but not limited to, Supermarkets and Grocery Stores, or as otherwise defined in 14 CCR § 18982(a)(22). Food Recovery means actions to collect and distribute food for human consumption which otherwise would be disposed, or as otherwise defined in 14 CCR Section 18982(a)(24). Food Recovery Organization means an entity that primarily engages in the collection or receipt of Edible Food from Commercial Edible Food Generators and distributes that Edible Food to the public for Food Recovery either directly or through other entities, including, but not limited to: A. A food bank as defined in Section 113783 of the Health and Safety Code; B. A nonprofit charitable organization as defined in Section 113841 of the Health and Safety code; and, DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 4 of 15 C. A nonprofit charitable temporary food facility as defined in Section 113842 of the Health and Safety Code. If the definition in 14 CCR Section 18982(a)(25) for Food Recovery Organization differs from this definition, the definition in 14 CCR Section 18982(a)(25) shall apply to this Agreement. Food Recovery Service means a person or entity that collects and transports Edible Food from a Commercial Edible Food Generator to a Food Recovery Organization or other entities for Food Recovery; or as otherwise defined in 14 CCR Section 18982(a)(26). Food Scraps means all food such as, but not limited to, fruits, vegetables, meat, poultry, seafood, shellfish, bones, rice, beans, pasta, bread, cheese, and eggshells. Food Scraps excludes fats, oils, and grease when such materials are Source Separated from other Food Scraps. Food Service Provider means an entity primarily engaged in providing food services to institutional, governmental, commercial, or industrial locations of others based on contractual arrangements with these types of organizations, or as otherwise defined in 14 CCR § 18982(a)(27). Food-Soiled Paper means compostable paper material that has come in contact with food or liquid, such as, but not limited to, compostable paper plates, paper coffee cups, napkins, pizza boxes, and milk cartons. Food Waste means Source Separated Food Scraps, Food-Soiled Paper, and Compostable Plastics. Food Waste is a subset of SSGCOW. Edible Food separated for Food Recovery shall not be considered Food Waste. Generator means the owner or occupant of a premises, including residences or businesses, which initially produces Solid Waste, including Recyclable Materials and Organic Waste. Gray/Black Container or Lid has the same meaning as in 14 CCR Section 18982(a)(28) and shall be used for the purpose of storage and Collection of Gray/Black Container Waste. Gray/Black Container Waste means Solid Waste that is collected in a Gray/Black Container as specified in 14 CCR Sections 18984.1(a) and (b), or as otherwise defined in 14 CCR Section 17402(a)(6.5). [Gray/Black Container Waste may specifically include carpet, and textiles.] Green Container or Lid has the same meaning as in 14 CCR Section 18982.2(a)(29) and shall be used for the purpose of storage and collection of SSGCOW . Grocery Store means a store primarily engaged in the retail sale of canned DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 5 of 15 food; dry goods; fresh fruits and vegetables; fresh meats, fish, and poultry; and any area that is not separately owned within the store where the food is prepared and served, including a bakery, deli, and meat and seafood departments, or as otherwise defined in 14 CCR § 18982(a)(30). Hauler Route(s) means the designated itinerary or sequence of stops for each segment of the CITY’s collection service area, or as otherwise defined in 14 CCR Section 18982(a)(31.5). Large Event means an event, including, but not limited to, a sporting event or a flea market, that charges an admission price, or is operated by a local agency, and serves an average of more than 2,000 individuals per day of operation of the event, at a location that includes, but is not limited to, a public, nonprofit, or privately owned park, parking lot, golf course, street system, or other open space when being used for an event. If the definition in 14 CCR Section 18982(a)(38) differs from this definition, the definition in 14 CCR Section 18982(a)(38) shall apply to this Agreement. Large Venue means a permanent venue facility that annually seats or serves an average of more than 2,000 individuals within the grounds of the facility per day of operation of the venue facility. For purposes of this Agreement, a venue facility includes, but is not limited to, a public, nonprofit, or privately owned or operated stadium, amphitheater, arena, hall, amusement park, conference or civic center, zoo, aquarium, airport, racetrack, horse track, performing arts center, fairground, museum, theater, or oth er public attraction facility. For purposes of this Agreement, a site under common ownership or control that includes more than one Large Venue that is contiguous with other Large Venues in the site, is a single Large Venue. If the definition in 14 CCR Section 18982(a)(39) differs from this definition, the definition in 14 CCR Section 18982(a)(39) shall apply to this Agreement. Non-Compostable Paper includes, but is not limited to, paper that is coated in a plastic material that will not breakdown in the composting process, or as otherwise defined in 14 CCR Section 18982(a)(41). Organic Waste means Solid Wastes containing material originated from living organisms and their metabolic waste products including, but not limited to, food, Yard Trimmings, organic textiles and carpets, lumber, wood, Paper Products, Printing and Writing Paper, manure, biosolids, digestate, and sludges, or as otherwise defined in 14 CCR Section 18982(a)(46). Biosolids and digestate are as defined in 14 CCR Section 18982(a)(4) and 14 CCR Section 18982(a)(16.5), respectively. Paper Products include, but are not limited to, paper janitorial supplies, cartons, wrapping, packaging, file folders, hanging files, corrugated boxes, tissue, and toweling; or as otherwise defined in 14 CCR Section 18982(a)(51). Performance-based Compliance Approach means the method of complying DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 6 of 15 with the SB 1383 Regulations through implementation of a collection system, programs, and policies in accordance with 14 CCR, Division 7, Chapter 12, Article 17, or as otherwise defined by 18982(a)(52.5), and all associated requirements. Printing and Writing Papers include, but are not limited to, copy, xerographic, watermark, cotton fiber, offset, forms, computer printout paper, white wove envelopes, manila envelopes, book paper, note pads, writing tablets, newsprint, and other uncoated writing papers, posters, index cards, calendars, brochures, reports, magazines, and publications; or as otherwise defined in 14 CCR Section 18982(a)(54). Process or Processing means the controlled separation, recovery, volume reduction, conversion, or Recycling of Solid Waste including, but not limited to, organized, manual, automated, or mechanical sorting, the use of vehicles for spreading of waste for the purpose of recovery, and/or includes the use of conveyor belts, sorting lines, or volume reduction equipment, or as otherwise defined in 14 CCR Section 17402(a)(20). Prohibited Container Contaminants means the following: (i) discarded materials placed in the Blue Container that are not identified as acceptable Source Separated Recyclable Materials for the City’s Blue Container; (ii) discarded materials placed in the Green Container that are not identified as acceptable SSGCOW for the CITY’s Green Container; (iii) discarded materials placed in the Gray/Black Container that are acceptable Source Separated Recyclable Materials and/or SSGCOW to be placed in CITY’s Green Container and/or Blue Container; and (iv) Excluded Waste placed in any Container. Recyclable Materials or Non-Organic Recyclables means non-putrescible and non-hazardous recyclable wastes including, but not limited to, bottles, cans, metals, plastics, and glass, or as otherwise defined in 14 CCR Section 18982(a)(43). Non- Organic Recyclables are a subset of Source Separated Recyclable Materials. Recycle or Recycling means the process of Collecting, sorting, cleansing, treating, and reconfiguring materials for the purpose of returning them to the economic mainstream in the form of raw material for new, Reused, or reconstituted products that meet the quality standards necessary to be used in the marketplace. Recycling includes processes deemed to constitute a reduction of Landfill Disposal pursuant to 14 CCR, Division 7, Chapter 12, Article 2. Recycling does not include gasification or transformation as defined in Public Resources Code Section 40201. Reuse or any variation thereof, means the use, in the same, or similar, form as it was produced, of a material which might otherwise be discarded, or as otherwise defined in 14 CCR Section 17402.5(b)(2). SB 1383 means Senate Bill 1383 (Chapter 395, Statutes of 2016), which DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 7 of 15 added Sections 39730.5, 39730.6, 39730.7, and 39730.8 to the Health and Safety Code, and added Chapter 13.1 (commencing with Section 42652) to Part 3 of Division 30 of the Public Resources Code, establishing methane emissions reduction targets in a statewide effort to reduce emissions of short-lived climate pollutants as amended, supplemented, superseded, and replaced from time to time. SB 1383 Regulations refers to the Short-Lived Climate Pollutants (SLCP): Organic Waste Reductions regulations developed by CalRecycle and adopted in 2020 that created Chapter 12 of 14 CCR, Division 7 and amended portions of regulations of 14 CCR and 27 CCR. Service Level refers to the number and size of a Generator’s Container(s) and the frequency of Collection service, as well as ancillary services such as lock/unlock service, Container push/pull service, etc. Solid Waste has the same meaning as defined in Public Resources Code Section 40191, which defines Solid Waste as all putrescible and nonputrescible solid, semisolid, and liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes, industrial wastes, demolition and construction wastes, abandoned vehicles and parts thereof, discarded home and industrial appliances, dewatered, treated, or chemically fixed sewage sludge which is not hazardous waste, manure, vegetable or animal solid and semisolid wastes, and other discarded solid and semisolid wastes, with the exception that Solid Waste does not include any of the following wastes: A. Hazardous waste, as defined in Public Resources Code Section 40141. B. Radioactive waste regulated pursuant to the Radiation Control Law (Chapter 8 (commencing with Section 114960) of Part 9 of Division 104 of the Health and Safety Code). C. Medical waste regulated pursuant to the Medical Waste Management Act (Part 14, commencing with Section 117600, of Division 104 of the Health and Safety Code). Untreated medical waste shall not be disposed of in a Solid Waste Landfill, as defined in Public Resources Code Section 40195.1. Medical waste that has been treated and deemed to be Solid Waste shall be regulated pursuant to Public Resources Code , Division 30. As used in this Agreement, Solid Waste includes Organic Waste and Recyclable Materials, unless the context clearly indicates otherwise. DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 8 of 15 Source Separated means materials, including commingled Recyclable materials, that have been separated or kept separate from other materials within the Solid Waste stream, at the point of generation, for the purpose of additional sorting or Processing those materials for Recycling or Reuse in order to return them to the economic mainstream in the form of raw material for new, reused, or reconstituted products which meet the quality standards necessary to be used in the marketplace, or as otherwise defined in 14 CCR Section 17402.5(b)(4). For the purposes of the Agreement, Source Separated shall include separation of materials by the Generator, property owner, property owner’s employee, property manager, or property manager’s employee into different Containers for the purpose of Collection such that Source Separated materials are separated from Gray/Black Container Waste and other Solid Waste for the purposes of Collection and Processing. Source Separated Blue Container Organic Waste or SSBCOW means Source Separated Organic Wastes that can be placed in a Blue Container that is limited to the collection of those Organic Wastes and Non-Organic Recyclables as defined in 14 CCR Section 18982(a)(43), or as otherwise defined by 14 CCR Section 17402(a)(18.7). Source Separated Green Container Organic Waste or SSGCOW means Source Separated Organic Waste that can be placed in a Green Container that is specifically intended for the separate collection of Organic Waste by the Generator, excluding Source Separated Blue Container Organic Waste, carpets, Non-Compostable Paper, and textiles. Source Separated Recyclable Materials means Source Separated Non- Organic Recyclables and SSBCOW. Standard Compliance Approach means the method for complying with the SB 1383 Regulations through implementation of a collection system pursuant to 14 CCR, Division 7, Chapter 12, Article 3, and all associated program and policy requirements. Supermarket means a full-line, self-service retail store with gross annual sales of two million dollars ($2,000,000), or more, and which sells a line of dry grocery, canned goods, or nonfood items and some perishable items, or as otherwise defined in 14 CCR § 18982(a)(71). Tier One Commercial Edible Food Generator means a Commercial Edible Food Generator that is one of the following, each as defined in 14 CCR Section 18982: A. Supermarket. B. Grocery Store with a total facility size equal to or greater than 10,000 square feet. C. Food Service Provider. DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 9 of 15 D. Food Distributor. E. Wholesale Food Vendor. If the definition in 14 CCR Section 18982(a)(73) of Tier One Commercial Edible Food Generator differs from this definition, the definition in 14 CCR Section 18982(a)(73) shall apply to this Agreement. Tier Two Commercial Edible Food Generator means a Commercial Edible Food Generator that is one of the following, each as defined in 14 CCR Section 18982: A. Restaurant with 250 or more seats, or a total facility size equal to or greater than 5,000 square feet. B. Hotel with an on-site food facility and 200 or more rooms. C. Health facility with an on-site food facility and 100 or more beds. D. Large Venue. E. Large Event. F. A State agency with a cafeteria with 250 or more seats or total cafeteria facility size equal to or greater than 5,000 square feet. G. A local education agency with an on-site food facility. If the definition in 14 CCR Section 18982(a)(74) of Tier Two Commercial Edible Food Generator differs from this definition, the definition in 14 CCR Section 18982(a)(74) shall apply to this Agreement. Wholesale Food Vendor means a business or establishment engaged in the merchant wholesale distribution of food, where food (including fruits and vegetables) is received, shipped, stored, prepared for distribution to a retailer, warehouse, distributor, or other destination, or as otherwise defined in 14 CCR § 189852(a)(76). Yard Trimmings means types of SSGCOW resulting from normal yard and landscaping installation, maintenance, or removal that the Generators Source Separate and set out in Green Containers for Collection for the purpose of Processing by the CONTRACTOR. 2. Section 2 (Grant of Exclusive Contract) of the Agreement is hereby amended in its entirety to read as follows: GRANT OF EXCLUSIVE CONTRACT CITY grants to CONTRACTOR during the term of this Agreement the exclusive right and privilege to collect and transport to a Disposal Facility (or in the case of Recyclable Materials or Organic Waste, to a Processing Facility), Refuse, Recyclable Materials, and Organic Waste, exclusive of Hazardous and Special Waste, produced, generated, kept and/or accumulated within CITY limits as those limits may exist at any time during the term of this Agreement. All Bulk Construction Waste from all sources shall be deemed generated from Commercial Premises and shall be collected by CONTRACTOR DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 10 of 15 through Bin service under this Agreement. This Agreement shall not preclude the following categories of Recyclable Materials, Organic Materials, and Solid Waste listed below from being delivered to and Collected and transported by others, provided that nothing in this Agreement is intended to or shall be construed to excuse any person from obtaining any authorization from the City which is otherwise required by law: A. Recyclable and Organic Materials. Collection and transport of Recyclable Materials and Organic Materials other than Edible Food that have been Source Separated from Solid Waste by the Generator and that: (1) Generator sells or donates to any other person, provided that there is no net payment made by the G enerator to such other person B. Donated or Sold Materials. Recyclable Materials and Organic Waste which are Source Separated at any premises by the Generator and sold or donated to other persons, including youth, civic, or charitable organizations. C. Edible Food. Edible Food which is collected from a Generator by other person(s), such as a person from a Food Recovery Organization or Food Recovery Service, for the purposes of Food Recovery, or which is transported by the Generator to another person(s), such as a person from a Food Recovery Organization, for the purposes of Food Recovery, regardless of whether the Generator donates, sells, or pays a fee to the other person(s) to collect or receive the Edible Food from the Generator. D. Animal Feed Byproducts. The hauling of byproducts from the processing of food or beverages if those byproducts meet all of the requirements of Public Resources Code Section 40059.4(b)(1)-(5). E. Beverage Containers. Containers delivered for Recycling under the California Beverage Container Recycling and Litter Reduction Act, Section 14500, et seq. California Public Resources Code. F. Materials Removed by Customer’s contractor as Incidental Part of Services. Recyclable Materials, Organic Materials, Solid Waste, and Bulky Items removed from a premises by a contractor (e.g., gardener, landscaper, tree- trimming service, construction contractor, Residential clean-out service) as an incidental part of the service being performed, rather than as a separately contracted or subcontracted hauling service; or if such contractor is providing a service which is not included in the scope of this Agreement. G. On-Site Composting or Community Composting. Organic Materials Composted on a Residential Premise or otherwise legally managed DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 11 of 15 at the site where it is generated or at a Community Composting site. CONTRACTOR acknowledges and agrees that the CITY may permit other persons besides the CONTRACTOR to Collect any and all types of materials excluded from the scope of this Franchise, as set forth above, without seeking or obtaining approval of CONTRACTOR.” 3. Section 3.a. (Consideration - Franchise Fee) of the Agreement is hereby amended in its entirety to read as follows: “a. Franchise Fee In consideration of this Agreement and the permit and franchise given CONTRACTOR under this Agreement, CONTRACTOR shall pay to CITY as an administration and franchise fee sixteen percent (16%) of all sums collected by CITY on behalf of CONTRACTOR or Affiliated Companies, and sixteen percent (16%) of CONTRACTOR’s or Affiliated Companies’ gross revenues from all operations in the CITY of CONTRACTOR or Affiliated Companies pursuant to this Agreement for each annual period, exclusive of payments received by CONTRACTOR or Affiliated Companies from the sale of Recyclable Materials, but including any monies received from governmental entities, including CITY (“Franchise Fee”). CITY may adjust the Franchise Fee from time to time, provided that if CITY increases the Franchise Fee, CONTRACTOR may increase its rates by the amount necessary to pass through the increase in the Franchise Fee. CONTRACTOR and CITY agree the Franchise Fee is a negotiated amount that is reasonably related to the value of the rights granted to CONTRACTOR under this Agreement. CITY may use the Franchise Fee for any lawful purpose.” 4. The first sentence of Section 6.a. (Scope of Services – General) of the Agreement is hereby amended to read as follows: “CONTRACTOR shall provide Refuse, Recyclable Materials, and Organic Waste collection, transportation, processing and disposal services within CITY in accordance with Exhibit D and the terms of this Agreement.” 5. The following paragraph is hereby added as the second paragraph of Section 6.e.v. (Scope of Services – Diversion – Indemnification): “CONTRACTOR’s duty to defend and indemnify herein includes payment of all fines and/or penalties imposed by CalRecycle, subject to the restrictions set forth in Public Resources Code Section 40059.1, if the requirements of AB 939, AB 341, AB 1826, and/or SB 1383 and corresponding regulations are not met by the CONTRACTOR with respect to Solid Waste collected under this Agreement, and such failure is: (i) due to the failure of CONTRACTOR to meet its obligations under this Agreement, or, (ii) due to CONTRACTOR delays in providing information that prevents CONTRACTOR or CITY from submitting reports required by AB 939, AB 341, AB 1826, and/or SB 1383 and corresponding regulations in a timely DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 12 of 15 manner. The provisions of this paragraph shall survive the termination or expiration of this Agreement.” 6. Section 6.h. (Scope of Services – Provision and Replacement of Containers and Bins) of the Agreement is hereby amended to read as follows: “CONTRACTOR shall provide Generators with Collection Containers. CONTRACTOR shall promptly provide without cost, to each new Residential Customer using Container service, three (3) Containers, including one (1) for collection and storage of Refuse, one (1) for collection and storage of Recyclable Materials, and one (1) for collection and storage of Organic Waste. Upon request of any Customer for replacement of a stolen, broken or damaged beyond repair Container, CONTRACTOR shall provide such Container without cost to the Customer or to CITY unless it is determined that the damage was caused by the customer’s willful negligence. . CONTRACTOR shall provide Bins to Customers, including, without limitation, CITY, who obtain Bin service. On or before January 1, 2022, CONTRACTOR shall place a label on the body or lid of each new Container that has been p rovided to a Generator that includes language or graphic images, or both, that indicate the primary materials accepted and the primary materials prohibited in that container. Labels shall clearly indicate items that are Prohibited Container Contaminants for each container. Prior to ordering labels for containers, CONTRACTOR shall submit a copy of its proposed label, proposed location(s) for placement of labels on each type of container, and its labeling plan to the CITY for approval. No later than January 1, 2036, CONTRACTOR shall provide all Generators with Collection Containers that comply with the container color requirements specified in this Agreement or as otherwise specified in the SB 1383 Regulations. If an existing Container breaks or is otherwise rendered non- functional on or after January 1, 2022, the CONTRACTOR shall replace the non-functional container with a Container that complies with the color requirements of the SB 1383 Regulations. Notwithstanding this paragraph, the CONTRACTOR is not required to replace functional Containers, including Containers purchased prior to January 1, 2022, that do not comply with the color requirements of this Agreement prior to the end of the useful life of those containers, or prior to January 1, 2036, whichever comes first.” 7. Section 7.w. (Other Services of Contractor - Procurement) is hereby added to the Agreement to read as follows: “w. Procurement 8. CONTRACTOR agrees to coordinate and cooperate with the City to meet its Organic Waste produce procurement target, as required by SB 1383 Regulations. Section 7.x. (Other Services of Contractor – Identification of Facilities) is hereby added to the Agreement to read DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 13 of 15 as follows: “x. Identification of Facilities If the CITY uses the Standard Compliance Approach under the SB 1383 Regulations for the collection of Organic Waste, CONTRACTOR shall identify the Facilities to which CONTRACTOR will transport Organic Waste as required by the SB 1383 Regulations.” Whenever the term “Recyclable Material” appears in Section 11 (Ownership of Solid Waste) the phrase “ and Organic Waste” shall be inserted. Exhibit “C” (CITY Facilities) attached hereto and incorporated herein, is hereby added to this Agreement. Exhibit “D” (Provided Services) attached hereto and incorporated herein, is hereby added to this Agreement. GENERAL PROVISIONS. 12.1 Remainder Unchanged. Except as specifically modified by this Fifth Amendment, the Agreement remains in full force and effect and binding upon the parties. All capitalized terms in this Fifth Amendment shall have the meaning ascribed by them in the Agreement unless otherwise noted in this Fifth Amendment. 12.2 Counterparts. This Fifth Amendment may be executed in one or more counterparts, each of which shall be deemed an original. All counterparts shall be construed together and shall constitute one document. DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 14 of 15 PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council on the 21st day of June, 2022, by the following vote: AYES: Ruiz, Hawkins, Heath, Ledezma NAYS: None ABSENT: Ayala ABSTAIN: None CITY OF SAN J ACINTO: _______________________ Crystal Ruiz, Mayor ATTEST: _____________________ Julia Espinoza, City Clerk APPROVED AS TO FORM: BEST BEST & KRIEGER LLP __________________________ Michael J. Maurer, City Attorney DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95 Resolution No. 3925 Page 15 of 15 CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) SS CITY OF SAN JACINTO ) I, Julia Espinoza, duly appointed City Clerk of the City of San Jacinto, do hereby certify that the foregoing Resolution No. 3925 was introduced at a regular meeting of the City Council of the City of San Jacinto on the 21st day of June, 2022. Resolution No. 3925 was passed, approved, and adopted by the City Council of the City of San Jacinto, California, at a regular meeting of the City Council held on the 21st day of June 2022: AYES: Ruiz, Hawkins, Heath, Ledezma NAYS: None ABSENT: Ayala ABSTAIN: None WITNESS MY HAND AND SEAL the 21st day of June 2022. _____________________________ Julia Espinoza, City Clerk City of San Jacinto DocuSign Envelope ID: C9817E12-BE53-460E-89C4-3839DEA08C95