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Home My WebLink AboutMINUTES - 09011998 - D1 TO: BOARD OF SUPERVISORS - Contra Costa FROM: DENNIS M. BARRY, AICP County COMMUNITY DEVELOPMENT DIRECTOR DATE: September 1, 1998 SUBJECT: ACCEPT REPORT REGARDING BROWNING-FERRIS INDUSTRIES COMPLIANCE WITH SOLID WASTE FRANCHISE AGREEMENT SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATIONS ACCEPT report from the Community Development Director regarding BFI's compliance with Solid Waste Franchise Agreement. BACKGROUND At their meeting on August 11, 1998, the Board of Supervisors directed the Community Development Director to examine BFI's compliance with specific provisions of the Solid Waste Collection Franchise Agreement with the County. The Board directed the Community Development Director to send a letter to BFI to obtain data and review compliance with collection schedules and notification to the County of changes in schedules. Additionally the Board directed the Community Development Director to review BFI's records pertaining to complaints/customer satisfaction relative to Section 12 of the Franchise Agreement. CONTINUED ON ATTACHMENT: Y_YES SIGNATURE RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COM'MI T APPROVE OTHER SIGNATURE(S): ACTION OF BOARD ON September 1,1998 APPROVED AS RECOMMENDED X OTHER VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE UNANIMOUS (ABSENT - - -) AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES: AND ENTERED ON THE MINUTES OF THE ABSENT: ABSTAIN: BOARD OF SUPERVISORS ON THE DATE SHOWN. Contact: Deidra Dingman (925) 335-1224 ATTESTED September 1, 1998 cc: Community Development Department (CDD) PHIL BATCHELOR, CLERK OF THE BOARD OF SUPERVISORS AND OUNTYADMINISTRATOR DD/:ad BY , DEPUTY j:ddingl9-1-98.bo ......... ......... ......... ......... ......... ......... ......... ......_._. ... __ ....... ........ ........ ................................ ................_...... ._....... ......_.. ...._.... ACCEPT REPORT REGARDING BFI SOLID WASTE FRANCHISE September 1, 1998 Page 2 Staff sent a letter to BFI/Pleasant Hill Bayshore Disposal Inc. on August 12, 1998 which requested the complaint information as allowed under Section 7 and 12 of the Franchise Agreement (see Exhibit A). Staff met with BFI/Pleasant Hill Bayshore Disposal representatives at their office on August 19, 1998 to discuss complaint records and procedures used to handle customer complaints. BFIrepresentatives explained their process for receiving, tracking and closing the residential and commercial service complaints. BFI representatives also explained that they were working on assuring that all complaint information was entered into their computer system so that they could provide complete and accurate information regarding service complaints received from unincorporated areas. BFI submitted a response letter(see Exhibit C) and complaint reports on August 24, 1998. The complaint reports include a total of 229 service complaints received from unincorporated areas franchised by the County during the period of July 30, 1998 to August 19, 1998. The following table summarizes the service complaint information that was provided by BFI . f Bay Point 16 Clayton 12 Concord 3 Martinez 42 Pacheco 4 Rodeo 46 TOTAL RESIDENTIAL SERVICE COMPLAINTS 123 s--am Bay Point 17 Clayton 1 Concord 13 Martinez 28 Pacheco 16 Pittsburg 4 Rodeo 27 TOTAL COMMERCIAL. SERVICE COMPLAINTS 106 Staff sent a letter to BFI/Pleasant Hill Bayshore Disposal Inc. on August 17, 1998 which requested collection schedule information as allowed under Section 7, 11 and 12 of the Franchise Agreement (see Exhibit B). BFI submitted a response letter (see Exhibit D) on August 25, 1998. In summary, their letter indicates that there was little to no service on the first day of the strike, July 30, 1998. Between August 1 and August 9, 1998 BFI performed service to customers' predominately on days other ACCEPT REPORT REGARDING BFI SOLID WASTE FRANCHISE September 1, 1998 Page 3 than regular scheduled service days. As of August 10, 1998, BFI resumed service to full regularly scheduled service. However, BFI also indicated that there were missed pickups during the entire strike which were served the following day or days from the time BFI was made aware of the missed pickup. BFI missed pick-ups for various reasons however the most common cause was likely the collection vehicle drivers were not familiar with the details of the routes. Missed pick-ups were handled as customer complaints and are reflected in the complaint information discussed above. Additionally the County Health Services Department/Environmental Health Division continued to investigate the complaints received by their office. The Environmental Health Division prepared a memorandum dated August 18, 1998 to Board Members which shows the 172 complaints their office has received since July 30, 1998 (see Exhibit E). The memorandmum states that BFI's waste collection service had returned to fairly normal scheduled pick-up and that the "return to normalcy has resulted in a reduction of complaints" received by their office. Of the 172 total complaints received by their office, 134 were received between August 4 - 7, 1998 and the remaining 38 complaints were received between August 10 - 18, 1998. On Thursday, August 20, 1998 after a vote of union members, Teamsters Local 315 agreed to the terms of a new contract with BFI which ended the labor strike. Striking laborers returned to work on Monday, August 24, 1998. Based on the information we have received, the Community Development Department has determined that the contractor had not provided service to all customers on the day they were scheduled. The labor strike',did interrupt the collection of solid waste on July 30, 1998 (no or little service) however BFI did thereafter furnish labor to collect solid waste, as required under Section 10 of the Franchise Agreement. Additionally the information shows that the lapse in collection on regularly scheduled days was predominately resolved within approximately 10 days of the strike. By the time our department received the information for review to determine compliance with the provisions of the Franchise Agreement the labor strike was settled and the breach had been cured. On August 27, 1998 the Community Development Department notified BFI that a breach had occurred by the lapse in service (see Exhibit G) however also specified that the breach has since been cured. The purpose of the breach notification is to clearly specify that the service was not continually provided as required under the Franchise Agreement and that future lapses in service will not be sanctioned. LIST OF XHIBITS Exhibit A Letter from County DDD to BFI-August 12, 1998 Exhibit B Letter from County CDD to BFI-August 17, 1998 Exhibit C Letter from BFI to County CDD-August 24, 1998 Exhibit D Letter from BFI to County CDD-August 25, 1998 Exhibit E Memorandum from County Environmental Health -August 18,',1998 Exhibit F Excerpts from the Franchise Agreement between the County and BFI/PHBD Exhibit G Letter from County CDD to BFI -August 27, 1998 /^� }rr� Dennis M.Barry,AiCP Community Contra C.�i. Community Development Director Development Costa Department County EXHIBIT A County Administration Building 651 Fine Street ' 4th Floor,North Wing Martinez,Calitomia 94553-0095 - :4 Phone: (925) 335-1238 Ms. Lynne Ashcraft, District Vice President Browning-Ferris Industries 441 N. Buchanan Circle Pacheco, CA 94553 Dear Ms. Ashcraft: At their meeting on August 11, 1998, the Contra Costa County Board of Supervisors directed the Community Development Department staff to report back to the Board concerning relevant documents which the County has the authority to,request under Sections 7, 11 and 12 of the Franchise Agreement with Pleasant Hill Bayshore Disposal/BFI. One of the items which we are requesting is a record of complaints from residents living in the unincorporated County areas served under the Franchise Agreement. Section 7 of the Franchise Agreement states that the contractor shall maintain and make available to the County, upon request, records such as route maps, service records and ether materials. Section 12 allows the County to examine the contractor's operation in order to evaluate whether the contractor is operating at a satisfactory level of efficiency and customer satisfaction. We are requesting a record of the complaints as a means of assessing customer satisfaction. Please provide the Community Development Department with records of complaints from July 30, 1998 to the present and then on a weekly basis for the duration of the strike by Teamsters Local 315. Please include complaints from the following unincorporated areas served under the Franchise Agreement with the County. Alhambra Valley Bay Point Canyon/Tassajara Central Sanitary/Clyde Concord Unincorporated Morgan Territory Mountain View Pacheco Rodeo Office Hours Monday-Friday:8:010 a.m.-5:00 p.m. Office is closed the 1 st,3rd&5th Fridays of each month ....... ......... ......... ......... ......... ......... ......... ... ._.... _ _... ......... ......... ....__.. . -2- Also please include the following information for each complaint: date complaint received; date complaint rectified; name of community; address; and route number. Under Section 7 of the Franchise Agreement, BFI agreed to make available service records and operating statistics in such manner and with such detail as the County may require. We request that BFI certify that the data being given to the County is complete. Please make the information available to the County by August 17, 1998. The Board of Supervisors has requested ether information concerning BFI's operations. Those requests will follow in a separate letter. in an effort to give BFI time to prepare the information concerning complaints, this letter addresses only that particular request. If you have any questions, please call me at (925) 335-1238. Sincerely, C Y Linda Moulton Solid Waste Planner LM:ad cc: Supervisor Rogers Supervisor Gerber Supervisor Uilkema Supervisor DeSaulnier Supervisor Canciamilla Phil Batchelor, CAO Vic Westman, County Counsel Clerk of the Board Dennis M.Barry,AiCP Community Contra am ity te r#ling Development Costa Department noun� EXHIBIT�TTT County Administration Building 651 Pine Street 4th Floor,North Wing Martinez,California 94553-0095 Phone: (925) 335-1238 August 17, 1998 Ms. Lynne Ashcraft, District Vice President Browning-Farris Industries 441 N. Buchanan Circle Pacheco, CA 94553 Dear Ms. Ashcraft: In my letter regarding the Board of Supervisors' request for data detailing the number of complaints from BFI customers served under the contract with BFI and the County, i indicated,than the Supervisors had expressed additional concerns about BFI's service. Under Section 1'I of the Franchise Agreement the frequency, place of pickup or any other manner of collection shall be subject to the review and approval of the Director of the Community Development Department. In addition, upon commencement of service and upon changes in collection day schedules, the contractor shall provide each customer with notice of the scheduled collection day. The Board was concerned that the Community Development Director was not notified of changes in service. Please forward a listing of scheduled service days for the unincorporated areas served under the Franchise Agreement and the dates of actual service since July 30 1998 so that:we can determine if BFI is in compliance with collection schedules. Section 7 of the Franchise Agreement allows the County to request such service records. We have the records of the number of customers and type of service for all of the unincorporated areas. However, we do not have route maps for each area. We request that you supply us with route maps for all the areas served under the Franchise Agreement. We are keeping snaps of our service areas on County base maps and wish to incorporate BFI's maps and routes onto these maps. The Board directed the Community Development Department to provide this information to thein at their next meeting on September 1, 1998. In order to insure inclusion into packets for the Board's meeting, we need the information no dater than August 25, 1998. Any information sent after August 18, 1998 should be sent to the attention of Deidra Dingman. Office Hours Monday-Friday:8:00 a.m.-5:0o p.m. Office is closed the 1 st,3rd&5th Fridays of each month EXHIBIT C 1:M U'Ur 2 4 Phi 4: 28 August 24, 1398 Deidra Dingman, Senior Planner Community Development Department 541 Pine Street, 4'h Floor, North Wing Martinez, CA 94553-0495 Dear Deidra: As requested in Linda Moulton's letter of August 12, 1998, attached please find all service complaints for service areas included under the Franchise Agreement with Contra Costa County received by BFI for the period July 34, 1998 to August 19, 1998. Please note that the complaints for commercial customers are listedon a separate report than residential customers. Route maps will be forwarded to you tomorrow. Very truly yours, Paul Nelson Municipal Business Manager PN/lav Contra Costa County•441 N. Buchanan Circle•Pacheco,California 94553 Phone 925-685-4716•Fax 925-685-4735 www.bl'i.coni 30%PxrsfConsumer/J+ EXHIBIT a 5 AUG 26 Al%1 3: 21 August 25, 1998 Deidra Dingman,Senior Planner Community Development Department 641 Pine Street,4th Floor,North Wing Martinez,CA 94553-0095 Bear Deidra. Today you and I discussed the subject of route days for commercial and residential service within service areas included under BFI's Franchise Agreement with Contra Costa County. As we discussed, commercial customers' route day service results from the specific needs of customers. A commercial customer may receive service one to five days per week and this service frequency may change subject to the customers'request. Alternatively, residential customers receive service on one specific day during a given week based upon the routing that BFI determines. To respond to your request for route day service, I have attached schedules that reflect an alpha listing of residential streets serviced within the various service areas of the franchise agreement. On these schedules you will note that route days are reflected for all specific residential customers by street name. This is the information that you and I agreed would be provided to you today. You agreed to work with BFI into;the future in developing the maps desired by the County. 2egarding the subject of service performance during the period of the strike the following service took place. Little if any customers received service on the first day l of the strike, July 30, 1998. Beginning August Ist through August 91h, BFI performed service to customers' predominately on days other than regular scheduled service days. As you know,documented unlawful violence against BFI replacement workers and vehicles, conducted by members of Teamsters Local 315 created and exacerbated collection delays. Beginning August 10"'and into the future BFI resumed service to full regularly scheduled service. During the entire strike, BFI did experience missed pickups, and, upon notice, performed service on the day and following days upon receipt of the missed pickup notice. Yesterday I forwarded to you all service complaints received for service areas under the franchise agreement. Contra Costa County-441 N.Buchanan Circle-Pacheco,California 94553 Phone 925-685-4716.Fax 925-685-4735 www.bfi.com 30%Posl-Ca Ss �+ ........................... ........... ..................... ti To conclude, BFI assures you that the full service is resumed to regularly scheduled days that we have long established as set forth in the attached service day data. If you have any questions please call me. Very truly yours, Paul Nelson Municipal Business Manager PN/lav ............. EXHIBIT E C r tr . ,r - •. ; : Health Services Department + -' 'f ENVIRONMENTAL HEALTH DIVISION Cosa �, � , 2120 Diamond Blvd. Suite 200 9 SA Ur. 2 9 P 8 li: 2 3 concord,California 94520 County � {510}646-5225 MEMORANDUM RE'CED'ED Date: August 18, 1998 AUG 2 U 1996 To: The Board of Supervisors,Contra Costa County BOARD OF SUPERvtS0,9S OSTA Q From: Kenneth C. Stuart,Director Environmental Health by: Rebecca Ng,Senior Environmental Health S list Subject: Solid Waste Local Enforcement Agency Survey BFI's waste collection service seems to have returned to fairly normal scheduled pick-up for residential and commercial establishments. The return to normalcy has resulted in a reduction of complaints to the Local Enforcement Agency a EA). The LEA has continued to conduct surveys and inspections in response to complaints received regarding waste collection. The Local 315 strike began on July 30, 1998. Since that date, the following number of complaints were received and responded to by the LEA. Date Number of Complaints "Tuesday, August 4, 1998 18 Wednesday, August 5, 1998 49* Thursday, August b, 1998 16 Friday, August 7, 1998 49 Saturday, August 8, 1998 2 .Monday, August 10. 1998 16* Tuesday,August 11, 1198 7 Wednesday,August 12, 1998 8 Thursday, August 13, 1998 2 Friday,August 14, 1998 1 .Monday,August 17, 1998 3 Tuesday,August 18,1998 1 Total 17.2 *includes Central Centra Costa Solid Waste Authority referrals ............................ _ _.................... ........... ......._ .................................. Assessment The number of complaints has reduced significantly. The recent complaints have mainly been commercial establishments who have multiple pick-up days and are not yet back to the normal schedules.':Those complaints have usually been abated prior to any LEA intervention. The LEA surveys have confirmed that almost all areas have been serviced by BFI. A pocket of homes in the rural unincorporated area was missed since it was hard to find. This problem was resolved-within a day of notification to BFI. Enclosures The August 13, 14, 17,and 18, 1998 BFI route reports are enclosed for your information. cc: Jeanne Maglio,Clerk of the Board of Supervisors Phil Batchelor,County Administrator Dr. William Walker,Director Health Services EXHIBIT F FRANCHISE AGREEMENT WITH PLEASANT HIL BAYS'HORE-DISPOSAL, INC. CONTRA COSTA COUNTY and duty to collect and remove for disposal and recycling, all residential and commercial Solid Waste, including recyclable materials, within the Franchise Area and to charge and receive charges therefor, pursuant to and subject to the terms of this Agreement. Contractor promises and agrees to perform the responsibilities and duties set forth herein. The Franchise Area may be expanded or reduced in size by mutual agreement of the parties, or as provided in Section 33 (Annexation and Change of Franchise Area Boundaries) of this Agreement. 6. EXCEPTIONS TO EXCLUSIVE PRIVILEGE. The exclusive privilege granted by this Agreement shall not apply if: (a) A person or entity generates Solid Waste, including recyclable materials, and personally collects, removes and disposes or recycles such in a clean and sanitary manner in conformance with all applicable laws and regulations, including mandatory subscription ordinances. This exception shall not apply to a person who incurs a net cost of collection to a third person in the above described activities; or (b) A person or entity contracts with a third person for the removal and disposal or recycling of inorganic refuse or garden waste (a "Non-Franchised Contractor") and such removal and disposal or recycling is solely incidental to work such as remodeling or gardening occasionally performed by or for the customer. This exception shall not apply if the Non-Franchised Contractor incurs a net cost of collection to any third person in connection with its collection and/or disposal of said Solid Waste. 7. CONTRACTOR'S DUTY TO MAINTAIN RECORDS; COUNTY'S RIGHT TO EXAMINE RECORDS. Contractor shall maintain a proper set of books and records in accordance with generally accepted accounting principles, accurately reflecting the business done by it under this Agreement. Contractor shall further maintain and make available to County, upon its request, records as to number of Customers, total and by type, route maps, service records and other materials and operating statistics in such manner and with such detail as County may require. County shall treat the information required by this paragraph that affects the competitive position of the company as confidential information to the extent permitted by law. County may at any time during the term of this Agreement, have the books and records of the Contractor examined by a County. Agent or Agents appointed for that purpose by the County. County shall give thirty (30) days ' written notice to the Contractor of May 3, 1995 4 such examination date. County expenses incurred under this section shall be paid by; Contractor subject to their recovery through the rates allowed by the County hereunder. The information required by this section shall pertain to Contractor's operations covered and regulated by this ;Agreement, and nothing contained herein shall require the Contractor to provide the County with information pertaining to the Contractor's operations which are not regulated by the County, except in conformance with this section. County's Agents may examine Contractor's books, records and financial, statements pertaining to operations not regulated by the County as may be reasonably required for the sole purpose of gathering information necessary to allow the Agents to ascertain whether income, expenses, assets and liabilities are reasonably and consistently allocated among operations regulated by County and those not regulated by the County. Contractor shall obtain County's written approval of its method of segregating its financial records between County-regulated and non-County regulated operations. County shall not unreasonably withhold such approval. To the extent allowed by law, information gained 'from examination of records pertaining to operations not regulated by the County shall be treated by County and its agents As confidential information. For the review of books and other financial records necessary to verify the Contractor's income, expenses, assets and liabilities, "County Agent" shall mean County employees .or an independent Certified Public Accountant or public accountancy firm. For all other information or records, including the results of financial verification, "County Agent" shall mean any consultant designated by the County or County employees. Nothing in this section will prevent County from allowing public access to County records as provided for under the California Government Code, and in the event any dispute arises as to the public access to information provided by Contractor under the terms of this Agreement, the County shall in its discretion provide public access to said information according to law or tender the defense of any claims made against the County concerning said information to Contractor. Prior to releasing any information pursuant to this paragraph, County shall make a good faith effort to notify Contractor of the intended release. a. RATES. Rates shall be fixed by the County from time to time. In determining the rates, the County shall consider fairness to both Contractor and the Customers. Reasonable costs incurred by Contractor pursuant to this Agreement shall be designated as "pass-through" or "subject to reasonable profit" as May 3, 1995 5 .............. _... ................................. __... ...................................... ........................................ If the rate change is initiated by County, the Contractor shall submit its rate application to County within 60 days of County's notice to Contractor. If the rate change is initiated by Contractor, it shall be submitted no more than once a year under normal operating conditions. The date of Contractor initiated applications shall be standard, year by year; such date to be determined upon mutual agreement of the parties and .reasonabiy related to the fiscal year of Contractor. In the event that the rate change that would be requested by Contractor is no more than the change in the Consumer Price Index for All Urban Consumers for the San Francisco Bay Area for that fiscal year of Contractor, Contractor may increase its rate up to such amount and not request a rate change from the County. Contractor may defer a rate application pursuant to this paragraph for a maximum of two consecutive years. In the event that Contractor must make significant changes in its operations or experiences significant changes in costs of revenue not under its control, Contractor may submit a rate application. Contractor shall provide documentation for the need for such rate application relative to those changes. The application will thereafter be considered by the Board. 10. OPERATION BY CONTRACTOR. Contractor shall furnish all necessary equipment (excluding containers for single-family residentialwastes) for services provided pursuant to this Agreement in the 'Franchise Area and shall maintain such equipment in a sanitary condition at all times. Contractor shall furnish all necessary labor in connection with the operation of a Solid Waste collection system in the Franchise Area. The Contractor, in performance hereof, shall use trucks with covered, water-tight truck bodies constructed of sufficient strength to withstand a fire within, without endangering adjacent property. Trucks, drop boxes, bins, or similar types of equipment shall be kept clean and in good repair. Contractor shall have its name and telephone number on the side of each truck and on each drop box, bin or similar type equipment provided by Contractor. 11. LIMITATION ON TIME AND MANNER OF COLLECTION. Contractor shall systematically collect Solid Waste, and to the extent permitted by this Agreement, materials for recycling frog► its Customers. Frequency, place of pickup (e.g. , curbside, Contractor etc. ) or any other manner of collection shall be subject to the review and approval of the Director of Community Development. Upon commencement of service and upon changes in collection day schedules, Contractor shall provide each customer with notice of the scheduled collection day. Contractor shall May 3, 1995 7 not collect Solid Waste from an inhabited dwelling or dwelling unit between the hours of 7:00 p.m. and 4 :00 a.m. , except that if a dwelling unit is part of a collection route that predominately serves commercial accounts, collection may begin as early as 3:00 a.m. 12. CUSTOMER SATISFACTION, AB 939 AND EFFICIENCIES IN OPERATION. (a) From time to time, at its discretion,' County may examine Contractor's operation in order to evaluate whether the Contractor is operating at a satisfactory level of efficiency and customer satisfaction. Contractor agrees to cooperate in any such examination and shall permit County representatives to inspect, at Contractor's principal place of business, Auch information pertaining to Contractor's obligations hereunder as County may require, including, but not limited to, such things as customer inquiry records, collection routes and equipment records. Access to Contractor's records shall be subject to Paragraph 8 (Contractor's Duty to Maintain Records, County's Right to Examine Records) . (b) Notwithstanding any contrary provision in this Agreement, the County shall have the right to direct Contractor to compile information, develop plans for and/or conduct programs on alternative methods of Solid Waste and recyclable material collection and management, or to take any other action requested by the County for the purpose of meeting the source reduction, recycling and composting requirements of the Act, and any other applicable federal, state or local lags regarding Solid Waste collection, recycling and disposal, including, without limitation, the County's Materials Diversion Ordinance. Contractor agrees to indemnify and hold the County harmless from and against any and all liability to the State of California for the County's noncompliance with the requirements of the California Integrated Waste Management Act due in whole or material part to the material failure of Contractor to properly carry out the reasonable directives of the County to Contractor regarding collection and disposition of Solid Waste and recyclable material, provided, however, that Contractor shall not be obligated to carry out any such directive (and shall not indemnify nor hold the County harmless from any resulting liability) if the County fails to agree to allow Contractor its reasonable costs (including a reasonable profit) associated with carrying out such directives. (c) County may require Contractor to develop plans for and conduct programs on alternative methods of Solid Waste collection, including pilot programs of limited scope, or may require additional programs, for the purpose of improving service, increasing customer satisfaction, and meeting diversion requirements . County may also require Contractor to implement efficiencies in its operation upon written notice from County. May 3, 1995 8 The notice shall allow Contractor a reasonable period of time to implement the specified service (efficiency) . Should County require commencement of such a program as outlined in this paragraph, Contractor agrees not only to do those things specified herein, but also to act at the direction of the County on other matters that may be necessary for the success and efficiency of the project, such as public information and. notification. In the event that County elects to direct Contractor to discontinue any service theretofore performed by Contractor at the direction of County hereunder, County shall allow Contractor to recover its reasonable capital equipment costs and other reasonable costs arising upon termination of the service. Rate adjustments applicable solely to programs instituted pursuant to this subsection (c) initially shall be established at the time the County authorizes implementation of the program or efficiency. 13. CUSTOMER SERVICE STANDARDS. Contractor shall provide prompt, efficient, continuous and professional service to its Customers. Contractor shall have a phone system with sufficient capacity to promptly respond to telephone calls for at least 8 hours a day during weekdays, excluding those holidays observed by Contractor. Telephone numbers for customer service shall be located in the local telephone directory. All telephone lines for customer service shall be toll free to Customers. Not less than once every three years and not less than six months prior to an application for contract renewal, assignment or extension of term, Contractor shall conduct a representative survey or surveys of Customers within the Franchise Area to determine satisfaction with service, including, without . . limitation, response to customer complaints. The survey methodology, format and content shall be subject to the prior review and approval of the Director of Community Development. A copy of the survey results shall be sent to the County within sixty (60) days of completion of the survey. Nothing in this paragraph shall limit the right of the County to conduct additional surveys. The Contractor shall cooperate with the County in such cases. Upon initiation of service, and at least once a yearn Contractor shall send or deliver to Customers information concerning the conditions of service, including, but not limited to, rates, fees, charges, service options, payment options, discounts (if any) , days of collections, the amount and manner of refuse to be collected, service level and inquiry/complaint procedures, including the name, address and local telephone number of Contractor and the name, address and telephone number of the County Community Development Department. The form and content shall be subject to the review and approval of the Director of Community Development. May 3, 1995 9 "Affiliated Entity" shall be defined, for purposes of this section, as any entity which provides products or services to Contractor and in which either Contractor or the affiliated entity owns a ten percent (10%) or greater interest in the other, or where one person or entity owns ten percent (10%) or greater interest in both. For purposes of this section, the term "Contractor" shall include Contractor, and if Contractor is an individual or a group of individuals (partnership) t all immediate family members, or if a corporation, major shareholders, and if any major shareholder is an individual, said individuals' immediate family members. For the purpose of this paragraph, "immediate family" includes spouses and relatives of the first degree of sanguinity, and their ,spouses. 35. BREACH AND TERMINATION. The Director of Community Development shall have authority, subject to review by the Board of Supervisors upon appeal, to- determine whether a breach of any provision of this Agreement by Contractor has occurred. Any waiver of a breach shall not be deemed to be a waiver of any subsequent breach or to be construed as approval of a course of conduct. In the event that the Director determines that a breach has occurred, County shall give Contractor written notice of the breach setting forth the breach or default. Contractor shall have a reasonable period to cure the noticed breach, said breach not to exceed 60 days. In the event the breach or default is cured to the satisfaction of the Director of Community Development within the period of time allotted, the breach shall not be deemed a material breach. In the event that the Director of Community Development determines that Contractor has failed to satisfactorily cure the breach or default within the period of time allotted, the Director of Community Development may determine such breach or default to be material. Multiple or repeated breaches, or a pattern of breaches and subsequent attempts to cure said breaches by Contractor shall provide an adequate basis for the Director of Community Development, in his discretion, to declare any subsequent breach to be material, notwithstanding whether that breach is ultimately cured by Contractor. If such a determination of material breach is made, the Director of Community Development's determination shall be automatically appealed to the Board of Supervisors for final action. A material breach shall be cause for termination of this Agreement by the Board of Supervisors . In the event of a termination pursuant to this section, County shall have the right to temporarily assume the obligations of Contractor and shall have the right to forthwith take May 3, 1995 1g ... ......... _ ........ ......................... ........ .............._ _........................... _. ._... .................. possession of all trucks and other equipment of Contractor and exercise Contractor's right to enter and use any disposal facilities for the purpose of performing the services agreed to be performed by Contractor herein until such time as County can make other arrangements for the performance of said services. However, such temporary assumption of Contractor's obligations under the Agreement shall not be continued by County for a period exceeding twelve (12) months from the date such operations are undertaken by County. During any period in which County has temporarily assumed the obligations of Contractor under this Agreement, County shall be entitled to the gross revenue attributable to operations during such period and shall pay therefrom only those costs and expenses applicable or allocable to said period, including the reasonable rental value of the trucks and equipment to be paid to Contractor. County shall be entitled to the excess, if any, of revenue over applicable or allocable costs and expenses during such ,period. The loss, if any, during such period shall be a charge against Contractor, and shall be paid to County by Contractor on demand. Final adjustment and allocation of gross revenue, costs, and expenses to the period during which County temporarily assured the obligations of Contractor shall be determined by an audit by a Certified Public Accountant and prepared in report form with his unqualified opinion annexed thereto. Nothing in this Agreement shall prevent County during any period in which County temporarily assumes the obligations of Contractor under this Agreement, from employing persons who were employed by the Contractor for the collection of Solid Waste under this Agreement. Upon the occurrence of a material breach and the declaration of such and termination of this Agreement by the Board of Supervisors, this Agreement and the franchise granted thereunder shall be of no further force and effect, expecting these provisions concerning County's right to temporarily assume Contractor's obligations and to use Contractor's facilities, and Section 28 (Indemnification) . County then shall be free to enter into whatever other arrangements are deemed justified and necessary for the collection, removal and disposal of Solid Waste within the Franchise Area. 35. EMERGENCY. Notwithstanding Contractor's exclusive franchise rights set forth in Paragraph 5 (Exclusive Privilege and Duty) , in the event of an emergency due to natural disaster or labor strike which interrupts the collection of Solid Waste by Contractor, the Board of Supervisors shall have the right to declare a temporary suspension of this Agreement for the reasonable duration of the emergency and until such time as County determines that Contractor is able to reassume all May 3, 1995 19 Contra Corms it Dene pme CommunityCommunity beuelapment Director Development Costa Department County County Administration Building EXHIBIT G 651 Pine Street 4th Floor, North Wing Martinez, California 94553-0095 ;* Phone: (510 335-1290 August 27, 1998 VIA FAX &CERTIFIED MAIL-RETURN RECEIPT REQUESTED Lynne Ashcraft, District Vice President BFI/Pleasant Hill Bayshore Disposal Inc. 441 N. Buchanan Circle Pacheco, CA 94553 SU83ECT: NOTICE OF BREACH - FRANCHISE AGREEMENT BETWEEN CONTRA COSTA COUNTY AND PLEASANT HILL BAYSHORE DISPOSAL INC. Dear Ms. Ashcraft: The purpose of this letter is to notify you that I have determined that a breach of the Franchise Agreement between Contra Costa County and Pleasant Hill Bayshore Disposal Inc. has occurred. As required under Section 35 of the Agreement, the County is providing written notice of the breach. Based on the information we have received, I have determined that the contractor had not provided service to all customers on the day they were scheduled. The labor strike interrupted the collection of isolid waste on July 30, 1998 (no or little service). The information also shows that the lapse in collection on regularly scheduled days existed from July 30, 1998 through August 9, 1998. Additionally there were up to 229 missed pickups in the unincorporated areas served under this Agreement during the entire strike, as shown in the customer complaint records. Missed pickups were served the following day or days from the time BFI was made aware of the missed pickup. The Franchise Agreement requires that the contractor provide prompt, efficient and continuous service to its customers (Section 13). The Agreement also requires that the contractor systematically collect solid waste and that the contractor notify each customer of any changes to Office Hours Monday- Friday:8:00 a.m. -5:00 p.m. Office is closed the 1 st, 3rd&5th Fridays of each month e. 4 Lynne Ashcraft August 27, 1998 Page 2 their collection day schedules (Section 11). Frequency or any other manner of collection is subject to the review and approval of the Director of Community Development (Section 11). By the time our Department received the complete information for review to determine compliance with the provisions of the Franchise Agreement, the breach had been cured. Although the breach has been cured, the purpose of this notification is to clearly specify that the service was not continually provided as required under the Franchise Agreement and that future Lapses could constitute multiple or repeated breaches, which may be determined a material breach of the Franchise Agreement. Sincerely, kn=sM. Barry, D Community Development rentor oME3\00:gms 01)14:BREACH.LTR