HomeMy WebLinkAboutMINUTES - 08131996 - D12 D. 12
BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA
Adopted this Order on August 13, 1996 by the following vote:
AYES: Supervisors Rogers, Bishop, DeSaulnier, Torlakson and Smith
NOES: None
ABSENT: None
ABSTAIN: None
SUBJECT: Report from the Community Development Director on the
status of agreements between the Kensington Community
Services District and Bay View Refuse and Recycling,
Inc . , and the County for the provision of solid waste
and recycling services in the Kensington area.
On August 6, 1996, the Board of Supervisors continued to
this date consideration of a report from the Community
Development Director on the status of agreements between the
Kensington Community Services District and Bay View Refuse and
Recycling, Inc . , and the County for the provision of solid waste
and recycling services in the Kensington area.
Mary Fleming, Community Development Department, presented an
oral report on the above matter. Ms . Fleming presented a brief
history of the request in April 1996, from Bay View Refuse and
Recycling Inc . , that the County franchise with them to provide
solid waste service to the Kensington area and she also commented
on the options presented to the Board on June 25, 1996, three
Franchise Agreements and a Memorandum of Understanding. Ms .
Fleming advised that staff has prepared a Franchise Agreement
that is agreeable to Bay View Refuse and Recycling, Inc . , and
that they have requested input from the Kensington Community
Services District on the Memorandum of Understanding. Ms .
Fleming noted that there was a bit more work needed to bring
everyone together and to coordinate the Kensington/Bayview
Franchise Agreement and the Memorandum of Understanding. She
also advised of a letter from Mr. Mark Armstrong, attorney for
Bay View Refuse and Recycling,_ Inc . , requesting that the
Franchise Agreement be entered into between Bay View and the
County. Ms . Fleming presented the staff recommendation that the
Board take testimony from interested parties, and if the Board is
going to approve the Franchise Agreement with Bayview, approve
that subject to approval as to form to become effective September
11, 1996, only if the Kensington Community Services District has
not entered into their Franchise Agreement and there is no
Memorandum of Understanding to be presented to the Board on
September 10,1996 . She advised of the staff recommendation to
continue the hearing to September 10, 1996, and to request that
the Kensington Community Services District complete their
Franchise Agreement and work with the County staff to complete
the Memorandum of Understanding for return to the Board of
Supervisors on September 10, 1996 .
Supervisor Rogers clarified that the staff recommendation
was to continue the process between the Kensington Community
Services District and Bay View Refuse and Recycling, Inc . , and
that the matter would be continued to September 10, 1996 .
Ms . Fleming concurred.
The following persons presented testimony:
Jim Bray, General Manager, Kensington Community Services
District;
Milton B. Ketter, 4 Oak Creek Road, El Sobrante;
Joan Gallegos, 239 Cambridge Avenue, Kensington;
Mark Armstrong, P.O. Box 218, Danville, representing Bay
View Refuse and Recycling, Inc. ;
Kathy Stein, 32 Beverly Road, Kensington.
Following testimony and Board of Supervisors discussion, IT
IS BY THE BOARD ORDERED that consideration of the above matter is
CONTINUED to September 10, 1996; and staff and the parties
involved are REQUESTED to continue the process that has been on-
going relative to a franchise agreement and memorandum of
understanding and return to the Board on September 10, 1996; and
Community Development Department staff is DIRECTED to agendize
appropriate options for Board consideration on September 10 ,
1996 .
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cc : Community Development Director
Kensington Community Services District
Bay View Refuse and Recycling, Inc.
Consider with Item D.12
_ LAW OFFICES OF
GAGEN, MCCOY, MCMAHON & ARMSTI?ONG
WILLIAM E. GAGEN, JR. A PROFESSIONAL CORPORATION DANVILLE OFFICE
GREGORY L. MCCOY
279 FRONT STREET
PATRICK J. MCMAHON P. 0. BOX 218
MARK L. ARMSTRONG DANVILLE, CALIFORNIA 94526-0218
LINN K. COOMBS TELEPHONE: (510) 837-0585
STEPHEN W. THOMAS FAX: (510) 838-5985
CHARLES A. KOSS
MICHAEL J. MARKOWITZ p NAPA OFFICE
8
MICHAEL W. CARTER August , 1996 1001 SECOND STREET, SUITE 315
RICHARD C. RAINES,
VICTOR J. CONTI
NAPA, CALIFORNIA 94559-3017
-
BARBARA DUVAL JEWELL TELEPHONE: (707) 224-8396
ROBERT M. FANUCCI
FAX: (707) 224-5817
ALLAN C. MOORE
PATRIPLEASE REPLY TO:
STEPHEN
E. CURTIN Dmv le
STEPHENN T. BUEHL ��
ALEXANDER L. SCHMID
CHARLES A. KLINGE
DANIEL A. MULLER
Chair Jeff Smith
Contra Costa County Board of Supervisors
651 Pine Street, Room 106
Martinez, CA 94553
Re: Kensington Franchise Agreement With Bay View
Refuse and Recycling Services, Inc.
Dear Chair Smith:
At this point, it does not appear likely that the Board of
Directors of the Kensington Police Protection and Community
Services District will be in a position to approve a Franchise
Agreement with Bay View Refuse and Recycling Services, Inc. and a
Memorandum of Understanding with Contra Costa County prior to the
Board of Supervisors' meeting this coming Tuesday. That is the
last Board of Supervisors' meeting until September 10, 1996. The
County Franchise Agreement is in final form and Lewis Figone is
prepared to sign it on behalf of Bay View.
Given these circumstances, Mr. Figone requests that the Board of
Supervisors on Tuesday approve the County Franchise Agreement in
the form and content recommended by County staff and County
Counsel. The County Franchise Agreement provides for an effective
date of September 11, 1996. That should give District officials,
County staff, County Counsel and Bay View more than enough time
before the effective date of the County Franchise Agreement to
reach agreement on the form and content of the District Franchise
Agreement and the Memorandum of Understanding. Specifically, there
should be enough time to allow the parties to complete negotiations
and allow then for the District Board of Directors to approve both
of those contracts before September 10th and the Board of
Supervisors to approve the Memorandum of Understanding and rescind
the County Franchise Agreement at your meeting on September 10th.
Mr. Figone has been very patient and accommodating over these
several months. It has been a very expensive and time-consuming
process for him. He really wants to conclude this matter one way
or another before he sends out his September bills. He will be
very happy to franchise directly with the District if the County,
Bay View and the District are all in agreement on the form and
Chair Jeff Smith
August 8, 1996
Page 2
content of a Memorandum of Understanding and a District Franchise
Agreement. I think we are close but not there yet. In the
meantime, we would like the Board of Supervisors to approve the
County Franchise Agreement.
If the Board of Supervisors grants our request, Lewis Figone will
then at least have a franchise agreement. Right now all he has is
a very short term transitional permit with the County. Board
approval on Tuesday with an effective date on September 11th should
also encourage the parties to reach a conclusion by September 10th
on a District Franchise Agreement and a Memorandum of
Understanding.
On behalf of Bay View and myself, I would like to express our
appreciation to the Board, County staff and County Counsel for your
assistance and direction. On Tuesday, we will be prepared to
answer any questions from Supervisors and relate to the Board any
new developments. Thank you.
Very t my yours,
Mark Armstrong
MLA:kh
cc: Board of Supervisors
Val Alexeeff
Mary Fleming
Lillian Fujii
Jim Bray
Ray McDevitt
Lewis Figone
FACLNEA\28117\SN=1TR
KENSINGTON POLICE PROTECTION
AND COMMUNITY SERVICES DISTRICT
August 12, 1996 By Facsimile; Original Hand Delivered
RECEIVED
Chair Jeff Smith
Contra Costa County Board of Supervisors AUG 13 1996
651 Pine Street, Room 106
Martinez, CA 94553 CLERK BOARD OF SUPERVISORS
CONTRA COSTA CO.
Subject: Kensington Franchise Agreement
with Bay View Refuse and Recycling Services, Inc.
Dear Chair Smith:
The Kensington Police Protection and Community Services District objects to the request, made
in Mark Armstrong's August 8 letter, that the Board approve a Franchise Agreement with Bay
View Refuse and Recycling Services, Inc., on August 13. The District opposes the request for
three reasons:
1. Approving_a Franchise Agreement with Mr. Figone's new company is unnecessary.
Mr. Armstrong's letter says that, if his request is granted, "Lewis Figone will then at least have
a franchise agreement. Right now all he has is a very short term transitional permit with the
County."
Actually, Mr. Figone has a franchise agreement already -- one with the District which he signed
several years ago and which will not expire until June 30, 2009. The "transitional permit "runs
until September 30, 1996. Insofar as sending out bills in September is concerned, Mr. Figone's
rates will be unchanged if the County does adopt the new franchise agreement, just as they would
be unless the District Board of Directors approves an increase. There is thus no urgency which
requires approving the new 20-year franchise agreement with a new company tomorrow.
2. Approving a new Franchise Agreement with Mr. Figone's new company will not be
helpful.
The District has been working diligently during these past weeks on several fronts:
Rates: As an accommodation to Mr. Figone (whose attorney voiced objections to the District's
initial financial advisor), the District interviewed other accountants and consultants and selected
James Arnstein, who, while with Coopers & Lybrand, assisted in the development of the
Coun 's solid waste rate setting methodology. Mr. Arnstein has reviewed Bay.View records,
217 Arlington Avenue Kensington, California 94707-1401 (510) 526-4141
Chair Jeff Smith
August 12, 1996
Page 2
met with Mr. Figone and Bay View's accountant and just submitted a preliminary report to the
District (in draft form) on Friday.
Franchise Agreement: The District's attorney, Ray McDevitt, wrote to Mark Armstrong on
July 16, inquiring when Mr. Armstrong would furnish an initial draft of the Agreement, as he
had been requested to do the previous week.
The draft arrived on July 19. Mr. McDevitt and I reviewed it immediately and forwarded our
comments to Mr. Armstrong on July 26. A second draft was received on August 2, too late to
be considered by the Board at its August meeting. It is currently under review at staff level.
MOU with County: The District, of course, sent a draft MOU to the County in April 1992 and
never received a response for over four years.
More recently, on July 16, Mary Fleming sent me a draft MOU prepared by County Counsel. I
reviewed it with our legal counsel and forwarded our comments to Ms. Fleming on July 25. On
August 5, I received a second draft which contained many changes from the first draft, but none
made in response to our comments. Mr. Armstrong was also sent a copy of the MOU, and he
also objected to at least two provisions, in a letter to Val Alexeeff sent on August 8.
Mr. McDevitt and I met with County staff and County Counsel (Mr. Figone and his attorney also
attended) to discuss the second draft MOU this morning. We were presented with a third draft,
which again had a number of new provisions. The meeting was constructive and we are
expecting to receive an updated MOU reflecting our discussions by the end of this week.
The parties are either going to come together voluntarily or not at all. If anything, adopting the
Franchise Agreement on Tuesday will have just the opposite effect from that suggested in Mr.
Armstrong's letter -- it will be an impediment to reaching voluntary agreement.
3. Approving a new Franchise Agreement with Mr. Figone's new company would be
ille al.
The June 17 letter from the President of the District's Board of Directors informed you of our
position that the County does not have legal authority to abrogate an existing franchise agreement
entered into by a local government agency authorized by statute to provide solid waste handling
services. Nothing that has come to our attention in the intervening weeks has caused us to
change our position.
Mr. Armstrong closes his letter by expressing appreciation to the Board, County staff and County
Counsel for their assistance and direction. The District respectfully presents a modest request --
please do not extend your assistance to Mr. Figone to the point of approving a 20-year franchise
r'
Chair Jeff Smith
August 12, 1996
Page 3
agreement with his new company in order to pressure the District to accede to his demands for
higher rates and more favorable terms from the District.
Thank you.
i erely,
LJAM M. BRAY
General Manager
cc: Board of Supervisors
Board of Directors, Kensington Police Protection
and Community Services District
Val Alexeeff
Mary Fleming
Lewis Figone
Lillian Fujii
Mark Armstrong
Ray McDevitt