COUNCIL COMMUNICATION
TO: Honorable Mayor and Council
FROM: Kelly Garry, City Attorney
SUBJECT:Title
Approve Addendum No. 2 to the License Agreement with Allied Waste Transportation, Inc., for the Collection, Transportation, and Disposal of Solid Waste
Body
FUNDING SOURCE:
N/A
PURPOSE:
Approve Addendum No. 2 to the License Agreement with Allied Waste Transportation, Inc., for the collection, transportation, and disposal of solid waste to extend the term to December 31, 2017.
BACKGROUND:
Lake Havasu City and Allied Waste Transportation, Inc., (“Allied”) entered into a License Agreement for the Collection, Transportation, and Disposal of Solid Waste within Lake Havasu City in July of 2007 (“License”), which expires June 30, 2017. Addendum No. 1 to the License was approved in 2009 (Addendum No. 1), which established a commercial recycling program.
Staff is in the process of soliciting proposals for solid and bulk waste collection and disposal services, including recycling and green waste services. In order to provide sufficient time to complete this process, City staff recommends the License be extended until December 31, 2017.
It is important to note that the extension will not include commercial, industrial, and multi-family services as defined by Arizona Revised Statutes Section 49-764. This statute prohibits restraining private enterprise from delivering these services. In 2010, this statute was amended to apply to all municipalities and not just those with populations in excess of 60,000. The License was considered grandfathered, but now that it is set to expire, the license restraints can no longer apply to these services, which will be open market as of July 1, 2017.
COMMUNITY IMPACT:
It is in the community’s best interest to maintain current service levels while completing the request for proposals process.
FISCAL IMPACT:
NA
ATTACHMENTS:
Addendum No. 2 to the License Agreement
SUGGESTED MOTION:Recommended Action
I move to approve Addendum No. 2 to the License Agreement for the Collection, Transportation, and Disposal of Solid Waste with Allied Waste Transportation, Inc.