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HomeMy WebLinkAboutMINUTES - 11011994 - H.2 A, H. 2 & H. 3 THE BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY, CALIFORNIA Adopted this Order on November 1, 1994 by the following vote: AYES: See below for motions and votes (Supervisors Present: Smith, Bishop, DeSaulnier, Torlakson and Powers NOES: ABSENT: ABSTAIN: i SUBJECT: Franchise Agreements and Other Landfill Related Actions Including the County' s Relationship with the Central County Joint Powers Authority; Report from the Director of Community Development on Options for Waste Collection Franchise Policies; and Continued Hearing on Amendment 1 for the Keller Canyon Landfill . On October 31, 1994, the Board of Supervisors determined appropriate language for amendment of the Acme Permanent Transfer Station Franchise Agreement and requested County Counsel to place this language in writing for Board consideration. Tom Bruen, Bruen and Gordon, representing Browning Ferris Industries, expressed agreement with the form of the amendment to the permanent transfer station franchise agreement as prepared by County Counsel . Victor Westman, County Counsel, suggested that the Board indicate that the changes are consistent with the Board' s desires and that the franchise is approved and the Chairperson is authorized to sign it . Supervisor Smith so moved. The vote on the motion was unanimous . The Board discussed the Keller Canyon, Landfill Franchise Agreement . Supervisor Smith moved that consistent with the transfer station agreement on page 21 the Board should change the term during which theme Board will not change the surcharge to eighteen months and change at the bottom of the page funding of programs from the surcharge again insert the word current before county programs except for LEA and 939 programs so that it is clear those will come out of the surcharge and Mr. Westman' s language in his memo on page 2, Section 2 which is the same as the language that was in the transfer station agreement, and then in Section 6 . 5 insert the word percentage after the word surcharge . Supervisor Powers seconded the motion. The Board discussed the motion. The vote on the motion was as follows : AYES : Supervisors Smith, DeSaulnier, Torlakson and Powers NOES : Supervisor Bishop ABSENT: None ABSTAIN: None The Board discussed the issue of other waste and the Chart of Possible Surcharge Structures Related to Disposal In Keller Canyon Landfill date October 31, 1994 . Supervisor Smith moved that Section 6 .4a would state the surcharge on solid waste received at the landfill via a transfer station shall be set forth in Section 6 .4 initial surcharge of the franchise agreement between the County and the operators as follows and then the rest would be as the Board said and back at the bottom, b, where it says other waste, it should be the way it currently is the special waste which is the surcharge but the Board should clarify other waste shall be defined as special waste and the surcharge received will be 10 percent plus County mandated fees . Lillian Fujii, Deputy County Counsel, requested clarification on the waste going through another transfer station besides Acme is 25 percent of the Keller. Supervisor Smith concurred with that change. The Board discussed the motion. The vote on the motion was unanimous . Mr. Westman suggested that staff. would place the changes in the mode of amendments to the franchise, reduce them to writing and bring them back for Board ratification on November 8 , 1994 . The Board then considered the report from Val Alexeeff, Director, Growth Management and Economic Development Agency, to consider options for waste collection franchise policies . Louise Aiello, Community .Development Department, presented the staff report . The Board then determined to address the issues one at a time beginning with the Length of Term for Franchise Agreements . The Board discussed the issue . Supervisor Torlakson moved approval of Option 2 . The vote on the motion was unanimous . The Board discussed Methods for Direction of Wastestream, including recyclables and compost . Supervisor Torlakson moved approval of Option 2 . Supervisor Bishop seconded the motion. Supervisor Powers suggested modifying the language to add the words in County between the word for and proposal in the third line of Option 2 . Supervisor Torlakson concurred. The vote on the motion was unanimous . The Board discussed the Methods for Administering Mandatory Subscription. Supervisor Torlakson moved approval of Option 2 . The vote on the motion was unanimous . The Board considered making any further changes to the Keller Canyon Landfill Land Use Permit Amendment 1 . Supervisor DeSaulnier moved including those items that the Board had previously indicated our desire to change as in the October 17, 1994 memo from County counsel, adopting 2 as indicated on page two, 35 . 8 and adding to it the material on page 3 except for the phrase at the end except that the Board at its sold discretion which would be deleted. Supervisor Torlakson seconded the motion. The vote on the motion was as follows : AYES : Supervisors Smith, DeSaulnier, Torlakson and Powers NOES : Supervisor Bishop ABSENT: None ABSTAIN: None IT IS BY THE BOARD ORDERED that the amended language for the Acme transfer Station Franchise Agreement amendment is DETERMINED consistent with the Board of Supervisors' intent and APPROVED; and the Chair of the Board is AUTHORIZED to sign the agreement; the First Amended Keller Canyon Landfill Franchise agreement with amended language is APPROVED, and County Counsel is requested to return with the written form on November 8, 1994 for ratification by the Board of Supervisors; Various options for waste collection franchise policies are APPROVED; and Amendment 1 to the Land Use Permit for the Keller Canyon Landfill as amended is APPROVED. 1 hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supe sora on t date shown. ATTESTED: 1 PHIL BA HELOR,Clerk of the Board of upervis and Cou �dminlstrator cc : GMEDA Community Development By JA Deouhr County Counsel Browning Ferris Industries ` t TO: BOARD OF SUPERVISORS :• � Contra FROM: VAL ALEXEEFF, GMEDA DIRECTOR Costa County DATE: NOVEMBER 1, 1994 SUBJECT: CONSIDER OPTIONS FOR WASTE COLLECTION FRANCHISE POLICIES SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION RECOMMENDATIONS Consider policy options, as outlined below, regarding (1) length of term for waste collection franchises, methods for directing the wastestream under County collection franchises, and methods for administering mandatory waste collection subscription: Length of Term for Franchise Agreements Option 1--Continue term of franchise agreements for 10 years with 5 year options for extension for Bay Point and Discovery Bay with any new areas included under the existing franchises. Use 10 years, with a 5 year option to extend, for any new franchises. Option 2--Establish-a longer term of 20 years or more for any new franchises or any franchises which expand areas covered by the franchise. Option 3--Seek to reduce term of existing franchises to 7 years or less and set terms .of 7 years or less for any new franchises. Methods for Direction of Wastestream, Including Recyclables and Compost Option 1--Utilize wastestream direction and control language in existing franchise agreements for Bay Point and Discovery Bay. Option 2--Modify wastestream direction and control language from franchise for unincorporated areas so that the County retains direction and control of the wastestream but allows for proposals for consideration by the Board of Supervisors for alternative transfer and disposal which provide the lowest cost considering all relevant factors such as transportation, closure and post closure requirements, liabilities, fees, and control of future costs. Option 3 --Utilize other options for wastestream direction and control. CONTINUED ON ATTACHMENT: xx YES SIGNATURE d� ACTION OF BOARD ON APPROVED ASR OTHER VOTE OF SUPERVISORS 1 HEREBY CERTIFY THAT THIS IS A _ UNANIMOUS (ABSENT TRUE AND CORRECT COPY OF AN AYES: NOES: ACTION TAKEN AND ENTERED ON THE ABSENT: ABSTAIN: MINUTES OF THE BOARD OF SUPERVISORS ON THE DATE SHOWN. Contact: Val Alexeeff (510/646-1620) ATTESTED cc: Community Development Department (CDD) PHIL BATCHELOR, CLERK OF Dan Guerra, HSD-Environmental Health THE BOARD OF SUPERVISORS Browning-Ferris Industries (via CDD) AND COUNTY ADMINISTRATOR Garaventa Enterprises (via CDD) Waste Management, Inc. (via CDD) BY , DEPUTY 939t\bo\Franchis.po1 Consider Options for Waste Collection Franchise Policies Continued - Page Two , Meth ds for Administering Mandatory Subscription Option 1--Continue existing Mandatory Subscription Ordinance under administration of County Health Department. Option 2--Modify existing Mandatory Subscription Ordinance to reflect procedures used under waste collection franchise with Richmond Sanitary Services and transfer administration to the Community Development Department. Option 3--Eliminate Mandatory Subscription. Option 4--Modify existing Mandatory Subscription Ordinance to allow no exemptions. FISCAL IMPACT No impact on County General Fund. BACKGROUND/REASONS FOR RECOMMENDATIONS Presently, the County has four (4) waste collection franchises. One franchise is with BFI/Pleasant Hill Bayshore Disposal for portions of Bay Point. Two franchises are with Garaventa Enterprises for Discovery Bay and for portions of Bay Point. These franchises were established with 10 year terms, with an option to extend for 5 additional years. All of these franchises provide that the County maintains direction and control of the wastestream. None of these franchises address the issue of mandatory subscription to waste collection service. The fourth waste collection franchise was entered into by the County with Richmond Sanitary Services (RSS) in October, 1993. The term of the franchise with RSS is for 25 years with a five year extension option; this longer term resulted from the length of the original franchise between RSS and the West Contra Costa Sanitary District and was aimed at consistency with the financing for the West County Integrated Resource Recovery Facility and the agreement between the County and the West Contra Costa Integrated Waste Management Authority(WCCIWMA). Underthe franchise with RSS, the County maintains direction and control of the wastestream except as modified by the contract between the County and the WCCIWMA; the contract between the County and the WCCIWMA provides that the Authority shall direct the wastestream for all member agencies as well as for the County. In negotiations with haulers regarding waste collection franchising for unincorporated areas of Central and East County, some haulers have requested language be included in the franchises which allows the haulers to make alternative proposals to the County for transfer and disposal. Attachment #1 is the language presented to haulers by County staff in response to their request to present alternative transfer and disposal options. In particular, Section 22, Paragraph 2 of the attached responds to the haulers proposals on this matter. As a part of the original franchise between RSS and the West County Sanitary District, a mandatory waste collection subscription ordinance similar to the County's Mandatory Subscription Ordinance existed. However, the procedures used by RSS and the Sanitary District provide that RSS performs all noticing to customers and County staff involvement for only issuing an exemption, conducting very brief appeal hearings on a quarterly basis, and processing property liens to cover the costs of collection service. To maintain the existing procedures, under the franchise with RSS, the Community Development Department serves as the administrator for mandatory subscription proceedings. If the Community Development Department were to be designated to handle this function for all waste collection franchises, all haulers would have to be responsible for noticing and for implementing the same procedures used by RSS. Attachment A 22 . DISPOSAL AND WASTE STREAM CONTROL. Contractor shall be solely responsible for the disposal of the Solid Waste collected pursuant to this Agreement. County has complete authority and control over the Franchise Area waste stream. . County may, at its . sole discretion upon providing 60 days' notice to contractor, direct the Solid Waste collected under this Agreement to be delivered to any site or facility of its choosing. This shall include the right of the County to direct the Solid Waste to be delivered to any County designated transfer station, disposal site, transformation facility and/or resource recovery facility. It is understood that County may contract with any party, public or private, to commit the waste stream from the Franchise area, and that Contractor's contracts entered after the effective date of this Agreement may not d County, nor need County consider such other contracts for any purpose. However, as of the date of this Agreement, Contractor declares that it has previously entered the following contracts, copies of which have been provided to County, which County acknowledges t agrees that Contractor is required to honor. :.;:.;:.;:.;:.;:.;:.;::::.;::::::.;:;::::::<:::<::::::::::::::::::::::.:::::::::::::::::::.:::::::::.:::::::.::::.......:.. tts andxnr , h abnve� + ontraetar may propse and . 0ae......... .:: a::.: n :..:. htt ::: n :: m ::: � :::::::::: I>t:: :rr ,:::::::::::::.:.::.: s .cst: Qn::>::a: ::<ernat: res::::» rh: ch::::>:arm::::>: rrst�<:::>:ef>fe:ct ve>t::>:::<: d :: .:::::::::::::::.......... :::.:::::::::::: :::::.::::::::.:::::.::::::::::::::::::::::::::::::.:::::::::::::::::.:::::::::::. ..........er:�n. .;>;: �zsts::< >: cun: ..::.::.;shal: <»:con a .:.:: . . .....................:.......:::.::. xrn ::::::.::€:::::::a evantin : �mteans ott :». ::t: t :: ..... . .......: ::::::. ::: ..... :: bmbt au ............. ::::::::.R:..:::::::::::::::::..:..:.::::::::::x .::::::: .:.:::::t:::: .:::::::::::::: ;:.;:.r' .: .:::1 ' m8n :sr s l:i;ilnd ::.:... :. .. :: :.: .. .: : .:::::: : : .:.:. . .:...:.:....:: :ab.:.1:> t s<;;><::d> e:>osa:3;>;:. e:es<::<:::>f es<:::>lev ed:<:b:..>::: overnJuenta ... :.::. :;::::i::::....:...:...:.:::i::i::..;:..:...... �;:..:....:...;:..: ..:...:::. sstsrE » cats i anwCh:;<: rd nanees. : n :;other lccal...r cements :::::.::::.:.... :.:...........:.::.:::::::::::.::::::::::::::::::::::::..:::::::::::::::::::::::::::::::::::: r0me ............. . aria: 3ori '- er '< o s` rl � '<'<<a >'.> ':, >,><>: <;°.:<::;:;:,.;_;:<:;,.:: „>:;.>:'': »>> :>;< »:;:. >" e.:::out .r... ......::.:::::::::::::::::::. .::::::::::. ............:::::.:::::::::::::::::::::::::.:::::::::::::::::::::::.::::::::::::.:::::::.:: ....................... posts:: ...................... r Attachment A 22. DISPOSAL AND WASTE STREAM CONTROL. Contractor shall be solely responsible for the disposal of the Solid Waste collected pursuant to this Agreement. County has complete authority and control over the Franchise Area waste stream. County may, at its sole discretion upon providing 60 days' notice to contractor, direct the Solid Waste collected under this Agreement to be delivered to any site or facility of its choosing. This shall include the right of the County to direct the Solid Waste to be delivered to any County designated transfer station, disposal site, transformation facility and/or resource recovery facility. It is understood that County may contract with any party, public or private, to commit the waste stream from the Franchise area, and that Contractor's contracts entered after the effective date of this Agreement may not 3a;ird County, nor need County consider such other contracts for any purpose. However, as of the date of this Agreement, Contractor declares that it has previously entered the following contracts, copies of which have been provided to County, which County acknowledges agrees that Contractor is required to honor. tw hst e':: above :» o . o:....... ' :... .....an ' . ;;;;;:. ..;,:. r� ract .... Y...;Pro s :f ri t::: :;:..: .. su�n'k datau .: r :.> ot oonside ;tse: ia ement axdf'o ` t m A ><cpm a i n nb : .o. :::<:> mtec :<::: Q::.<:::< as rtatr s :s > rsur ::':> d etc Dearsemens >< osts aid 'i3srvs�rnaer�t: :al<< t�tis ...:::::::..:.::::::.:..::.:::..:::... .:...: ,:::.. ....... ::...:... .,:<::.. ... ..:..:.. :.; ... :.....,. ., ssf oopiacerth crd3aes and other nts, d longterm posts, xtclsq degreeontoscer future ....................... t COUNTY OF CONTRA COSTA, STATE OF CALIFORNIA AMENDMENT NO. 1 TO FIRST AMENDED FRANCHISE AGREEMENT FOR THE KELLER CANYON LANDFILL THIS AMENDMENT NO. 1 to the FIRST AMENDED FRANCHISE AGREEMENT FOR THE KELLER CANYON LANDFILL is made and entered into this November 1, 1994, by and between the COUNTY OF CONTRA COSTA (hereinafter "County" ) and KELLER CANYON LANDFILL COMPANY, a California Corporation, (hereinafter referred to as "Operator" ) . RECITALS WHEREAS, on September 13, 1994, the Board of Supervisors of. County took action concerning a first amended franchise agreement with Operator, and WHEREAS, the parties have reached agreement on substantive issues concerning the September 13, 1994 action and are prepared to compromise their differences by agreeing that, without either parties waiving any rights. as to said September 13, 1994 first amended franchise agreement, that said First Amended Franchise Agreement may be amended as set forth herein, NOW THEREFORE, the County and Operator, for and in consideration of the covenants and agreements as hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, do mutually agree as follows: SECTION I. AMENDMENTS. The following sections of Amend. No. 1 to First Amended Landfill Franchise, Nov. 1, 1994 1 the First Amended Franchise Agreement are hereby amended as shown in this section (by adding Si.had i.j. lanquage and deleting the Wien- language) : Amendment to section 6 .2, Surcharge: "Section 6 . 2 SURCHARGE. The County may determine and establish at least once every two years, effective on the date determined by the Board of Supervisors (but initially no sooner ........................................................ than Y1 from the effective date of this Agreement except for the purpose of decreasing the Surcharge in accordance with Section 6 . 4 .d ) , the Surcharge, which ........................... .......................... .......................... shall be added to the then applicable Base Rate, and collected as part of the Gate Rate. Operator., will be provided at least ninety (90 ) days ' written notice of any newly established Surcharge. In the absence of the County establishing a .particular. Surcharge amount, the Surcharge to be collected by the Operator_ for the County shall be thirty percent ( 30% ) of the then applicable Base Rate. " Amendment to section 6 .4, Initial Surcharge: "Section 6 . 4 INITIAL SURCHARGE. Effective on the effective date of this Agreement, the iGI Surcharge shall be as set .......................... forth in this section. Amend. No. 1 to First Amended Landfill Franchise, Nov. 1; 1994 2 a df11.....:::::::::::E ... ::::a. :::.::.< c cc .;:.;: :<.;; a € f .;;; ::�.;:.;; .;:.;:.;:: .:::. cher' Surcharge on Solid Waste received at the Landfill vie the Aeme Fi11-.:erste Waste and- E-Pran-sfer- Statlen (emmenly referred teas—th "A­--Pe —Rent—T-r-ansf eE Statlen, " and her-ei a€ter ref erred as the Trio€er Statlen" shall be as set forth in l ; 's er > Sc ie 6 . 4 , I^; t; a, of ---the Franchise Agreement between the County and the operators of .............................. the '�reesfer Statim Z r` < as follows : Amount. Twenty-five percent of the ermined Transfer- ... rete€er x ... ....x::.::.: Statlen Preprletar-y Rate��t-he Landfill Base Rate �t��C' ` : ........ » ` > itnt .............:......:.::::::: 1e $ rz ::::.. ..................:.....::.:....:..:::::::::::::::. Funding of Programs from Surcharge. During the period covered by the above initial Surcharge, costs ofA. >' ............ E`County programs : . ired or(re ...:.. authorized by the Use Permit or this Agreement) shall be funded from said eembined 25% Transfer Station and Landfill SurchargeO., In addition, any household hazardous waste fee imposed by the Board pursuant to Public Resources Code . section 43213 shall be collected (deducted) from said e9 tea 25% Surcharge amount#:. . ':`' > ::::;.:: :::»:a: >:C:h..:....... :u :::. M :::: .:::.X:7t .::..:::::::::::::::::: .:::::: .::::::::::.:::::::::::::::::::::. .................: :.:::::::::::::.::::.::::.L..::::::.. {»»r.;::.>;:.: ;:.;::. ;:;;:;. . :.: :ted>< 1 : ::..... .: . :: <> :: :r:;.:: :::.c� :....:. « ..::: .�:. . ; c. <:.:::.:. ere ::.. n .rt .............:. . ........ l:: ..r.:.::: .::::..:::: 3:::c' ::::::: .....*�....... ......................:....................:::::.:::::::::::::::::::::::::::::::::::.::::::.:::::::::::::::::::::.:::.. ::::::::.:::::.::::::.::.::.:.::.:::: :::::::::.:::::::::::::. ........:.::::::::::::::: .....:::::.::::::::::.::::::::.::::::...........................................:..::::::::::::::::::::::::::: :: Amend. No. 1 to First Amended Landfill Franchise, Nov. 1, 1994 3 ::::>:::::r :�..I�.....�.........�,..........�'�I..::Tf....:::`lei ;» :: ':'::;�:;::;n:;�: :.:::;::;::;:.:::%:::'<::>i::s':<:;>:;;:�:y;:�:;:::.::.:•:i::i:;:y:;ir::::�2::::2:':.:i::�::ii:;:i'':':+:;i;:;;i..;;::;:�;y«:;;:.:,�>::::r>:::;:;;:;:.;:�?;�::.;.:::::i:%::`:::.:.:."'::i::i:i...:;;;;.,;:;::::i::i:: " : ::+:i::: >: : v:.i:•i:Lti:M.J`i::":::i.?:.}::.i??i".i'iiii?i:.iii:i.i::�i:.:':.:i�iiiiiii;;':::::iiti^i:Ji:�::::!:'•::"!.J:<.::.::.i'.`:.ii:!.i:'::.ii:.:'::.iiiiii:::.:::^::'.iiiiiiiiii'::.iiiiii:�:.iii'.iiiiiii:3i:'i::^:�:!n:!::;:`::i"ice^i'.i:y:;i:is i:iiiii:":ii'::::i:::ii:::i :i : ..: :J!!:::..yy'11:��[.'Y{:: :: ':::::.j}{::�::::.' .:.::�:.Yx:�i'.':":::i::i,((' ?::i('.�.�'/.'�'.:::i:%::: .:'�{'.::i:<::7j!': :::y.�::::i:.:: ''.y'f�'':i::i.♦/,•i�:,y'.l:y":':y'.� '::ii::.}j(::.'},��:::i:: }':/��y'�"r..y�:.' fy.,:.)::/✓.}.j�:iii: :'j!.:ii? :.{. Y::Si:�i::::.�!1��:���:�41h��:v::!!w:M!�::i::ivy✓:�:�����.Y�:::i:::T.ti:�:f�+::::i��G:i:i::#!.til��j:��i.i::i:::it4:4:4:::��!'�:�Y:ful�:;lii?R:�`f!!44::i::: :^!!.::i�:T:�:�ryTi .:^;�Y:i�:<:ji:•:�i:::�::':'ii::::��:�:�_:�::i:i::::?.�:'�:i:.i':i:::.�::i'::::�:ii:::::i:i?;:�:� 4' Closure, Litigation. Operator agrees and acknowledges that an appropriate amount (five percent) of the Surcharge as determined by the County' s Board of Supervisors may and shall be utilized pursuant to Board Order(s ) and a trust account arrangement for any landfill closure or post-closure or related litigation expenses . Any amount not so expended may be otherwise utilized for other Surcharge purposes . JJR Reconsideration. Within or approximately six months from the date of this Agreement, the County's Board of Supervisors intends to reconsider and re-evaluate the household waste � :;:;; :.;' :::::< :>><;':''` '` ;`: '_; :>: ::.:: ::;:,> :;.i> '� � '"<r� . a hazardous �c� ��� � ��� ��.� p,��....::::z� �:: programs, their levels off fundings, whether one or more programs should be modified, reduced, or eliminated, and a Surcharge adjustment. Collection. For Solid Waste received at the Landfill via the ` ` ti ; P r t c Transfer Station the eembN Surcharge' and any other Keller Mandated Fees may be collected at the Transfer Station. Amend. No. 1 to First Amended Landfill Franchise, Nov, 1, 1994 4 ............................................................................... b. a: > ::d1'> ' Wastes . The Surcharge on .,, :><: t .::::>: d: t3 ;::d; ::> waste received at the ......................................:......................................................................... Landfill other than viaransferstation shall be ten Base Rate <:: .::;:.::, s ...... ........> "' d percent of the a ; : :<.;> ;;:.: i..;> .::: n :.;: ;;::::::.>;:;:;;: ....................... ...................... ....................... ...................... ....................... Amendment to Section 6 .5, Contracts: "Section 6 . 5 CONTRACTS . For all contracts entered for the disposal of Solid Waste at the Transfer Station, the Surcharge ...................................... Vie .9P applicable at the time of the disposal contract shall apply for the term of said contract. The parties agree that any later established surcharge amounts shall not apply to waste received pursuant to such Solid Waste contract for the term of said contract. Operator shall advise County of any disposal contract subject to the privileges of this section immediately upon execution. Operator shall provide County with any and all information requested by County concerning any such Contract, including providing County with copies of such contracts upon request. " SECTION II. EFFECT. Neither party, by- its agreement and execution of this Amendment No. 1 to the First Amended Franchise Agreement, waives any of its rights existing prior to the Amend. No. 1 to First Amended Landfill Franchise, Nov. 1, 1994 5 execution hereof, and nothing herein shall be construed as a waiver by either party of its rights or assertions, including, but not limited to, those set forth in the above recitals . Should any subsequent dispute arise between the County and the Operator concerning the action of September 13, 1994 on the franchise agreement, both parties agree that this Amendment, any ................ action taken by the Board of Supervisors on November 1 ;8, 1994 , and any related action by Operator shall not be admissible in any administrative, equitable or legal proceeding to determine intent or effect of the action of September 13, 1994 . IN WITNESS WHEREOF, this Agreement is effective on the date first provided on page one hereof . OPERATOR KELLER CANYON LANDFILL COMPANY, a California corporation By: Pres dent By: ice-President COUNT OF RA COST By: Chair, Board of Supervisors Amend. No. 1 to First Amended Landfill Franchise, Nov. 1, 1994 6 ATTESn By: Clerk of the Board APPROVED AS TO FORM: By: 4j&Y co NT Y COU EL CONTRA COSTA COMITY, CALIF. County Counsel vjw-mem-1: kelcan.aml Amend. No. 1 to First Amended Landfill Franchise, Nov. 1, 1994 7 t ' t COUNTY COUNSEL'S OFFICE CONTRA COSTA COUNTY MARTINEZ, CALIFORNIA MEMORANDUM Date: November 1, 1994 To: Board of Supervisors rxoe: Victor J. Westman, County Counsel Re: First Amended Keller Canyon Landfill Franchise The Board of Supervisors on October 25, 1994 designated an ad hoc committee (Supervisors Bishop and Smith) to meet at 2 :30 p.m. on October 27, 1994 to consider the first amended franchise agreement for the above-noted matter and the revisions made to the earlier September 13 1994 considered draft agreement as reflected in the version of that agreement presented to the Board of Supervisors on October 10, 1994 . In attendance at this public meeting (in addition to the two Supervisors) were two represent- atives from the Community Development Department (Louise -Aiello and Charles Zahn) , the County Counsel, two representatives of BFI (Tom Bruen and Dennis Fenton) , an interested private attorney (Rick Norris) and a Contra Costa Times reporter (Ariel Arbruster) . On October 27, the September 13, 1994 first amended franchise agreement for the Keller Landfill site and the revisions to it (as presented to the Board of Supervisors on October 10, 1994) were reviewed by utilizing a September 20, 1994 draft showing strikeout and overlay for insertions which draft this office provided to facilitate that consideration. All references hereinafter made are to the pages of that September 20, 1994 draft of the subject franchise agreement. In the course of the review of the franchise document, the following revisions to the September 13, 1994 draft were focused upon for further particular consideration: 1 . Peres 20 and 21, S 6 .2 "Surcharge" . As similarly discussed yesterday for the Acme Transfer Station franchise indicated on ,page 21 of the accompanying Keller Canyon Landfill site September 20, 1994 draft, the overlayed language contained in the parenthesis (top of page 21) was added to this section and would establish an initial one-time - period in which the County could not increase the 25 percent surcharge, but retained discretion to reduce it during that period. Without this initial Board of Supervisors -2- November 1, 1994 two-year provision, the County under the September 13 draft, could (after providing 90 days advanced written notice) every two years increase the surcharge percentage. During the course of the Board's September 13, 1994 meeting, no specific period was discussed but staff assumed that since under the first sentence of the September 13 draft (pages 20 and 21 of the September 20 draft) of S 6 .2, the surcharge percentage could only be changed once every two years that the Board did not intend to change it within the first two years of first establishing it. For that reason, the provision within the parenthesis was inserted. Assuming the staff incorrectly interpreted the Board's intent on this point, the language within the parenthesis can be directed to be deleted or modified. BFI-Acme's representatives on October 27 indicated that they object to a deletion of a two-year language contained within the parenthesis. At your October 31th meeting concerning the similar provision in the Acme Fill permanent Transfer Station franchise, it was determined to change two years to eighteen months. You should consider whether a similar eighteen month revision will be made for the Keller Canyon Landfill site franchise. 2 . Pages 21 and 22, S 6.4 "Initial Surcharge" . In our memorandum before you on Monday, October 31, 1994 concerning the Acme transfer station franchise, we commented on S 6 .4b. of that agreement. That similar revised provision is, for the most part, set forth in S 6 .4a of the September 20, 1994 Keller Landfill site document before you. S 6 .4a. "Funding of Programs from Surcharge" has been interpreted by staff and by BFI-Acme's legal representative that any agreement defined mandated program fees could be established and levied at the Board's direction in excess of the 25% surcharge. In the Acme Transfer Station franchise agreement since the term "mandated fees" does not expressly appear within subsection b of section 6 .4, it was proposed and ordered by the Board that in the Acme Transfer Station franchise the following addition (and several other word insertions) be made: "Notwithstanding any other provision of this subsection or agreement, any board of supervisors ' directed mandated fees (including among others, any state fixed and required fee, local enforcement agency establishment fee and AB 939 fee) may at the Board's direction, be collected for the County in addition to any established surcharge percentage" . The Board should consider whether it wishes S 6 .4a of the Keller Landfill Site franchise agreement amended in the same manner as the amendment of S 6 .4b. of the Acme Transfer Station franchise agreement. it Y Board of Supervisors -3- November 1, 1994 3. Page 22, 5 6 .4b. "Other Wastes" . The 10 percent of the base rate provision contained here on page 22 (the September 20, 1994 overlayed draft) was not contained in the September 13, 1994 draft before the Board. The inserted language would impose a 10 percent surcharge on the base (proprietary) rate for waste being deposited at the Keller Landfill site but not coming through the Acme Transfer Station. In addition to the 10 % surcharge, such waste would be subject to paying all resource recovery, local enforcement agency, mitigation, Easton AB 939 and household hazardous waste fees otherwise applicable to the site. It was noted at the October 27 meeting that assuming .other waste received at Keller from the Acme Transfer Station was paying a 25 percent of proprietary rate (but significantly reduced other fees) that the non-transfer station waste could, in some instances, be subject to a total payment per ton to the County in excess of the waste subject to the 25 percent fee. BFI-Acme representatives at the October 27 meeting appeared to indicate that they would have no problem making all waste received at the site subject to the 25 percent surcharge provision. The Community Development Department staff has prepared a chart to explain these fee differences for your consideration. Concerning § 6 .4b. , a proposal was presented at the October 27 meeting to reduce .its scope so that it would only be applicable as' to "special handling waste" (see § 2 .23 on pages 10 and 11 of the 9-20-94 draft for that definition) . While proposed, this point was not considered or discussed at the October 27 "ad hoc" committee meeting. 4 . Other revisions . It appeared to staff on Thursday that as to the other revisions made to the September 13 Keller Canyon Landfill draft and before the Board on October 10, they reflected the Board's September 13 directions. Accompanying this memorandum are copies of the September 20 overlay and strikeout ' draft and of the earlier September 13 draft concerning .the Keller Landfill's site franchise agreement. VJW/jh J-100:a:\ke11er.vjw TABLE OF CONTENTS _ FIRST AMENDED LANDFILL FRANCHISE AGREEMENT RECITALS 1 ARTICLE 1. INTRODUCTORY PROVISIONS 3 Section 1. 1 RECITALS INCORPORATION. . . . . . . . . . 3 Section 1.2 EFFECTIVE DATE, EFFECT. . . . . . . . 3 Section 1.3 CONDITIONS OF APPROVAL. . . . . . . . . . 3 Section 1.4 OPERATOR ACKNOWLEDGMENT. . . . . . . . . . 4 Section 1.5 COUNTY DISCRETION AND INTEREST. . . . . . 4 Section 1.6 USE PERMIT OPERATIVE. . . . . . . . . . . . 5 Section 1.7 NO PREFERENTIAL TREATMENT. . . . . . . . . 5 ARTICLE . 2. DEFINITIONS 5 Section 2. 1 AGREEMENT. . . . . . . . . . . . . . . . 5 Section 2.2 ACTIVITIES REPORT. . . . . . . . . . . . . 5 Section 2. 3 ANALYSIS PERIOD. . . . . . . . . . . . . . 6 Section 2 .4 BASE RATE. . . . . . . . . . . . . . . 6 Section 2.5 COMMENCEMENT DATE. . . . . 6 Section 2 . 6 COUNTY. . . . . . . . . . . . . . 6 Section 2.7 DIRECTOR. . . . . . . . . . . . . . . . 6 Section 2 .8 EMERGENCY. . . . . . . . 6 Section 2.9 GATE FEE COLLECTION SYSTEM. 7 Section 2. 10 GATE RATE. . . . . . . . . . . . 7 Section 2. 11 HOURS OF OPERATION. . . . . . . . . . . . 7 Section 2. 12 HOURS OF ACCESS. . . . . . . 7 Section 2. 13 LANDFILL. . . . . . . . 7 Section 2. 14 MANDATED FEES. . . . . . . . . . . . . . . 8 Section 2 . 15 OPERATOR. . . . . . . . . . . . . . . . . 8 Section 2 . 16 PERMITS. . . . . . . . . . . . . . 8 Section 2 . 17 POST-CLOSURE MAINTENANCE. . . . . . . . . 8 Section 2 . 18 REGULATORY AGENCIES. . . . . . . . . . . . 8 Section 2 . 19 SCHEDULE OF DISPOSAL CHARGES. . . . . . . 9 Section 2 .20 SITE CLOSURE. . . . . . . . . . . . . . . 9 Section 2 .21 SOLID WASTE. . . . . . . . . . . . . . . . 9• Section 2 .22 SOLID WASTE PROGRAMS. . . . . . . . . . . 10 Section 2.23 SPECIAL HANDLING WASTE'. . . . . . 10 Section 2.24 SURCHARGE. . . . . . . . . . . . . . . . . 11 Section 2.25 SURCHARGE PAYMENTS. . . . . . . . . . . . . 11 Section 2.26 USE PERMIT. . . . . . . . . . . . . . . . 11 ARTICLE 3. TERM OF AGREEMENT 11 ARTICLE 4 . PERFORMANCE OF OPERATOR 12 Section 4 . 1. OPERATION OF LANDFILL. . . . . . . . . . . 12 Section 4 .2 WASTE STREAM. . . . . . . . . . . . . . . . 12 Section 4 . 3 WASTE TYPES. . . . . . . . . . . . . . 12 Section 4 .4 UNACCEPTABLE WASTE. . . . . . . . . . . . 12 Section 4 .5 INSPECTION, INVESTIGATION, AND EVALUATION OF SITE. . . . . . . . . . . . . . . . . . . . . . 13 September 20, 1994 -i- DRAFT Section 4 .6 PERMITS. . . . . . . . . . . . . . 14 Section 4 .7 STATUS OF TITLE. . . . . . . 14 Section 4.8 GATE FACILITIES. . . . . . . . . . . . . . 14 Section 4.9 OPERATION OF GATE FEE COLLECTION SYSTEM. 15 Section 4. 10 FEE COLLECTION. 15 Section 4. 11 PAYMENT TO COUNTY. . . . . . . . 16 Section 4. 12 . HOURS OF ACCESS. . . . . . . . . . . . . . 16 . Section 4. 13 NONDISCRIMINATORY SERVICE. . . . . . 17 Section 4 . 14 ACCESS ROADS, HAUL ROADS AND SERVICE ROADS. . . . . Section 4. 15 LITTER MANAGEMENT. . . . . . . . . . . . . 17 Section 4. 16 ENVIRONMENTAL MITIGATION. . . . . . . . . 17 Section 4. 17 RECYCLING/RESOURCE RECOVERY PROGRAMS. 18 Section 4 . 18 ACTIVITIES REPORT. . . . . . . . . . . . . 18 Section 4. 19 PENALTY SCHEDULE FOR NONCOMPLIANCE. . . . 18 Section 4 .20 RECORDS. . . . . . . . . . . . . . 19 .:.::.::.:::.:::.::.:: :: : :.....:..:.......::::......:.............. ....:. St o > 3T1 '44; 19 ARTICLE 5. PERFORMANCE OF COUNTY 20 Section 5. 1 GATE FEE COLLECTION SYSTEM. . . . . . . . . 20 Section 5.2 INSPECTION OF SCALES. . . . . . . . . 20 ARTICLE 6 . RATES 20 Section 6 . 1 BASE RATE. . . . . . . . 20 Section 6 .2 SURCHARGE. . . . . . 20 Section 6 .3 GATE RATE. . . . . . . . . . . . . . . . . 21 Section 6.4 INITIAL SURCHARGE. . . . . . . . . . . . . 21 Section 6 .5 DISPOSAL CONTRACTS. . . . . . . . . . . . 22 Section 6 .6 SCHEDULE OF RATES. . . . . . . . . . . . . 23 ARTICLE 7 . PERSONNEL 24 ARTICLE 8. LANDFILL GAS 25 ARTICLE 9. CLOSURE AND POST CLOSURE 25 Section 9 . 1 CLOSURE RESPONSIBILITIES. . . . . . . . . . 25 Section 9 .2 FINANCIAL ASSURANCES. . . . . . . . . . 26 Section 9 .3 PERFORMANCE. . . . . . . . . . . . . . . . 26 Section 9 .4 SIGNING OF INSTRUMENTS AND DOCUMENTS. . . . 27 Section 9 .5 FAILURE TO MEET CLOSURE AND POST-CLOSURE OBL I GAT I ONS. . . . . . . . . . . . . . . . . . 27 ARTICLE 10. UNINTERRUPTED OPERATION 27 Section 10. 1 ASSURANCE OF UNINTERRUPTED OPERATION. 27 Section 10.2 LABOR DISPUTES. . . . . . . . . . . . . . 28 ARTICLE 11. DEFAULT, REMEDIES 28 Section 11. 1 FAILURE TO PROSECUTE WORK. . . . . . . . 28 Section 11.2 CONVICTION OF CERTAIN CRIMES. . . . . . . 30 Section 11.3 CONDEMNATION. . . . . . . . . . . . . . . 30 Section 11.4 RIGHT TO TAKE/RIGHT TO POSSESSION. . . 30 Section 11.5 FORCE MAJEURE. . . . . . . . . . . . . . 31 September 20, 1994 -ii- DRAFT 'c t Section 11.6 SPECIFIC PERFORMANCE. . . . . . . . . - 31 Section 11. 7 NONEXCLUSIVE REMEDIES. . . . . . . . . . . 31 ARTICLE 12 . INSURANCE AND BONDS 32 Section 12. 1 WORKERS' COMPENSATION. . . . . . . . . . . 32 Section 12.2 PUBLIC LIABILITY. . . . . . . . . . . . . 32 Section 12.3 . OTHER INSURANCE PROVISIONS. . . . . . . . 33 Section 12 .4 FAITHFUL PERFORMANCE SURETY. . . . . . 33 ARTICLE 13. GENERAL PROVISIONS 34 Section 13. 1 GUARANTY BY PARENT OR AFFILIATE. . 34 Section 13.2 ATTORNEY'S FEES. . . . . . . . . . . 34 Section 13.3 INDEMNITY AND HOLD HARMLESS AGREEMENT. . . 35 Section 13.4 ASSIGNMENT. . . . . . . . . . . . . . . 36 Section 13.5 COMPLETE AGREEMENT. . . . . . . . . . . . 37 Section 13.6 NO THIRD PARTY BENEFICIARY ENFORCEMENT. 38 Section 13.7 SURVIVAL OF OBLIGATIONS. . . . . . . . . . 38 Section 13.8 ARBITRATION. . . . . 38 Section 13.9 CONFLICT. 39 Section 13. 10 CAPTIONS. o 39 Section 13. 11 DELEGATION BY BOARD. . . . . . 40 Section 13. 12 SEVERABILITY. . . . . . . . . . . . . . . 40 Section 13. 13 MASCULINE GENDER USED. . . . . . . . . 40 Section 13. 14 GOVERNING LAW. . . . . . . 40 Section 13. 15 NOTICES. . . . . . . . . . . . . 41 September 20, 1994 -iii- DRAFT ,y z COUNTY OF CONTRA COSTA STATE OF CALIFORNIA FIRST AMENDED LANDFILL FRANCHISE AGREEMENT THIS FIRST AMENDED LANDFILL FRANCHISE AGREEMENT (the "Agreement" ) is made and entered into this , by and between the COUNTY OF CONTRA COSTA (hereinafter "County" ) and KELLER CANYON LANDFILL COMPANY (hereinafter "Operator" ) . RECITALS WHEREAS, the legislature of the State of California has adopted the Nejedly-Z 'berg-Dills Solid Waste Management and Resource Recovery Act of 1972 and now has adopted the California Integrated Waste Management Act of 1989, both of which assign certain responsibilities for the County's solid waste planning, management, implementation, and regulation to the Contra Costa County Board of Supervisors; and WHEREAS, on July 24, 1990, the Board of Supervisors of Contra Costa County approved the Keller Canyon Sanitary Landfill . Use Permit No. 2020-89 subject to the Conditions of Approval, the Special Land Use Conditions of Approval and the Findings Relative to the Landfill Site Land Use Permit pursuant to the California Environmental Quality Act ( "CEQA" ) and 'Adoption of a Mitigation Monitoring Program, each of the same date; and WHEREAS, the County adopted Ordinance No. 88-81, which provides that a solid waste disposal facility may be operated within the County only upon the approval of a franchise agreement September 20, 1994 -1- DRAFT by the County or upon the operator of a landfill entering into a contract with the Contra Costa County Board of Supervisors to prepare the site and operate such facility; and WHEREAS, on 4 December 1990 County and Operator entered a LANDFILL FRANCHISE AGREEMENT ("Landfill Franchise Agreement") in accordance with the requirements of County Ordinance No. 88-81, and to implement the requirements of Land Use Permit No. 2020-89, which Landfill Franchise Agreement has been amended by Amendments Nos. 1 through 10, inclusive, thereto; and WHEREAS, recent United States Supreme Court cases decided under the Commerce Clause of the United States 'Constitution generally prohibiting states and their political subdivisions from erecting barriers to the free flow of solid waste (and thereby discriminating against interstate commerce) significantly affects the solid waste industry, and affects the parties hereto in that some of the provisions of the Landfill Franchisee Agreement, particularly the provisions regarding the County's regulation of rates, may no longer be appropriate or necessary given the current competitive nature of the solid waste industry • as a result of said recent Supreme Court decisions; and WHEREAS, the parties now desire to amend certain provisions of the Landfill Franchise Agreement; NOW, THEREFORE, the County and Operator, for and in consideration of the covenants and agreements as hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, do mutually September 20, 1994 -2- D F2AFT . . f agree as follows: ARTICLE 1. INTRODUCTORY PROVISIONS Section 1. 1 RECITALS INCORPORATION. The Recitals set forth above, and all defined terms set forth in such Recitals and in the introductory paragraph preceding the Recitals, are hereby incorporated into this Agreement as if set forth herein in full. Section 1.2 EFFECTIVE DATE, EFFECT. This Agreement is effective on the date mentioned in the first paragraph of page one hereof, and as of the effective date, t3 M.4- <:>€:> ox :€<: ><: <:: 1 .:::::_? +d ''::::xe laces and _..............:.._............... ..__................................................_....:....................._......... supersedes the Landfill Franchise Agreement. -X. y ......................................................... riidoes not nullify the Landfill Franchise Agreement for the period preceding the effective date of this Agreement. Section 1.3 CONDITIONS OF APPROVAL. Operator acknowledges and agrees that all of the terms and conditions of the Use Permit's Conditions of Approval and any amendments thereto, are reasonable, legal and valid and that Operator is barred from any action or proceeding or any defense of invalidity or unreasonableness of said Conditions of Approval and any amendments thereto, and related County decisions. Further, Opera and agrees that the Use PeEmit (and its y. Genditlens—ef AppEeTal ad a amendments theEe.CB 9E this perator will not attack or otherwise assail the reasonableness, legality or validity of any terms and ................... conditions of h - sal d9euments, or of any provisions required to be included in this Agreement by the said Conditions September 20, 1994 -3- DRAFT of Approval and any amendments thereto. The parties acknowledge that the agreement by Operator in this section is a material consideration for County's approval of this Agreement. Section 1.4 OPERATOR ACKNOWLEDGMENT. Operator acknowledges and agrees that this Agreement and the Use Permit (by the incorporation herein of the Use Permit) provide for and allow (among other things) funding for mitigation, provision of closure and post-closure costs, payment to County of annual franchise revenue fees, and otherwise payment to County and reimbursement of County costs for its governmental administration of the project entitlements. It is understood that, among other things, this Agreement provides for Operator's establishment of its proprietary rates to enable Operator to compete in a solid waste disposal market that has become highly competitive as a result of recent United States Supreme Court decisions. This Agreement also acknowledges that sub-county service areas have not been established. Section 1.5 COUNTY DISCRETION AND INTEREST. Notwithstanding any other provision of this Agreement, Operator acknowledges that County's discretion to grant, approve or deny one or more nonexclusive or other franchises or similar agreements for others is not limited or abridged in any manner by this Agreement; and that this Agreement does not require the approval of any such other franchises or agreements by Operator. County reserves the rights as part of the negotiation and entry of any such other franchise or agreement to enter a public- September 20, 1994 -4- DRAFT private or public-public partnership with other landfill owners and/or to pursue any rights of the County to require ownership of those landfills or this Landfill. Section 1.6 USE PERMIT OPERATIVE. Upon the effective Date of the Landfill Franchise Agreement, the Use Permit became operative pursuant to the conditions of the Use Permit, entitling Operator to all rights and privilege thereunder. Section 1.7 NO PREFERENTIAL TREATMENT. With respect to material terms of the relationship between the County and Operator, the County shall offer to Operator terms at least as favorable as those agreed upon by the County with the operator of any other landfill within the County with whom the County is currently negotiating or may negotiate within the Term of this Agreement. ff any such material terms are determined for such other operator subsequent to their determination with respect to Operator, the County shall offer to amend such terms with respect to operator. ARTICLE 2. DEFINITIONS Section 2. 1 AGREEMENT. "Agreement" shall refer to this Agreement and is synonymous for purposes of this Agreement with the word "Contract" . Section 2.2 ACTIVITIES REPORT.. The "Activities Report" is a summary document reporting Operator's activities and overall performance during the preceding Analysis Period or over such period of time as set by the County. The Activities Report shall summarize landfill related activities, including, but not limited. September 20, 1994 -5- DRAFT to: compliance with the provisions of this * f•�'^� and all applicable Permits and Regulatory Agency Requirements, complaints and corrective actions taken, litter management, landfill gas project update, wastestream volumes and analysis, operations and safety training, recycling/resource recovery efforts, Closure Trust Fund status and balance. Section 2.3 ANALYSIS PERIOD. "Analysis Period" refers to the twelve ( 12) consecutive calendar months beginning the first day of January of each year throughout the term of this Agreement. The first Analysis Period, for the purposes of this Agreement shall begin on January 1, 1994. Section 2 .4 BASE RATE. "Base Rate" shall mean the proprietary fees charged by Operator to dispose of Solid Waste or any other waste at the Landfill. Section 2.5 COMMENCEMENT DATE. "Commencement Date" shall mean the date upon which the Landfill first accepted Solid Waste for disposal under the terms of the Landfill Franchise Agreement and the Use Permit. Section 2.6 COUNTY. "County" shall mean the County of Contra Costa, a political subdivision of the State Of California. Section 2 .7 DIRECTOR. "Director" shall mean the County Administrator or his designated deputy, other County officer or employee. Section 2 .8 EMERGENCY. "Emergency" shall mean a sudden, unexpected occurrence involving a clear and imminent danger, demanding immediate action to prevent or mitigate loss of, or September 20, 1994 -6- DRAFT damage to, life, health, property, or essential public services. Emergency includes such occurrences as fire, flood, earthquake, or other soil or geologic movements, as well as such occurrences as riots, accident and sabotage. Section 2.9 GATE FEE COLLECTION SYSTEM. "The Gate Fee Collection System" shall consist of all equipment, hardware, and software utilized for purposes of assessing, collecting, and accounting for Tipping Fees for the disposal of Solid Waste at the Landfill. Section 2. 10 GATE RATE. "Gate Rate" shall mean the fee charged per ton to dispose of Solid. Waste, or other waste at the Landfill. The Gate Rate shall be the Base Rate plus Surcharge and Mandated Fees, if any. "Gate Rate" shall be synonymous with "Landfill Tipping Fee" and "Tipping Fee. " Section 2. 11 HOURS OF OPERATION. "Hours of Operation" shall be those times during which the use of heavy equipment and other machinery necessary for operation of the Site in compliance with the Use Permit, the Solid Waste Facilities Permit and this Agreement will be allowed. Section 2. 12 HOURS OF ACCESS. "Hours of Access" shall be those times during which Solid Waste may be delivered to the Landfill for disposal. Section 2 . 13 LANDFILL. "Landfill" shall mean the Landfill described in Exhibit A where the disposal of Solid Waste will occur. For purposes of this Agreement, "Landfill" shall be synonymous with "Site. " September 20, 1994 -7- DRAFT Section 2. 14 MANDATED FEES. "Mandated Fees" shall be those monies required from Operator from time to time by any Regulatory Agency for the purpose of funding (a) Federal, State or regional programs, (b) programs required by the Land Use Permit, or (c) other County established fees. Section 2. 15 OPERATOR. "Operator" shall mean the holder of the Use Permit or its assignee. Section 2. 16 PERMITS. "Permits" shall mean any and all governmental approvals, entitlements, clearances or a io cl ssificat ns including but not limited to, the Use Permit, general plan amendments, environmental impact reports, zoning approvals, conditional use permits, waste discharge permits and requirements; facilities permits, permits to operate, permits to construct, closure plans, building permits, encroachment permits, grading permits, tree removal permits, tract/parcel maps and all other governmental permits, consents or approvals as may be necessary to allow Operator to construct and operate the Landfill. Section 2. 17 POST-CLOSURE MAINTENANCE. "Post-Closure Maintenance" shall mean those activities as required by law to be undertaken at the Landfill, following Site Closure to maintain the integrity of containment features and/or to monitor compliance with applicable performance standards as specified by law. Section 2 . 18 REGULATORY AGENCIES. "Regulatory Agencies" September 20, 1994 -8- DRAFT shall mean Federal, State and local agencies responsible for - --- -- regulating the operation and maintenance of sanitary landfills, . such as, but not limited to, California Integrated Waste Management Board, California Regional Water Quality Control Board, California Department of Health Services, the Contra Costa County Department of Health Services as Local Enforcement Agency for handling and disposal of Solid Waste, the Bay Area Air Quality Management District and the County. Section 2 . 19 SCHEDULE OF DISPOSAL CHARGES. The "Schedule of Disposal Charges" shall mean a list of waste types and corresponding fee amounts to be charged at the Landfill for disposal of waste types. Section 2 .20 SITE CLOSURE. "Site Closure" shall be the cessation of 'Solid Waste disposal at all or portions of the Landfill and subsequent operations necessary to prepare the Site for Post-Closure Maintenance in accordance with law, Regulatory Agency requirements and Permits. Section 2.21 SOLID WASTE. "Solid Waste" shall have the meaning set forth in Section 40191 of the California Public Resources Code as it may be amended from time to time, as follows: "40191(a) Except as provided in subdivision (b) , ' 'solid waste' means all putrescible and nonputrescible solid, semisolid, and liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes, industrial wastes, demolition and construction wastes, abandoned September 20, 1994 -9- DRAFT 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. "(b) 'Solid wastes" does not include hazardous waste or low-level radioactive waste regulated under Chapter 7.6 (commencing with Section 25800) of Division 20 of the Health and Safety Code. "(c) 'Solid Waste' does not include medical waste which is regulated pursuant to the Medical Waste . Management Act (Chapter) 6 . 1 (commencing with Section 25015) df Division 20 of the Health and Safety Code) . Untreated medical waste shall. not be disposed of in a solid waste landfill, as defined in Section 46027 . . - Medical waste which has been treated and which is deemed to be solid waste shall be regulated pursuant to this division. " Section 2.22 SOLID WASTE PROGRAMS. "Solid Waste Programs" shall mean those programs directly related to solid waste .which may include: transfer stations, household hazardous waste programs, recycling and resource recovery programs, Agreement and . - Use Permit administration costs (including legal, engineering, and accounting and other costs of the County) . Section 2 .23 SPECIAL HANDLING WASTE. "Special Handling September 20, 1994 -10- DRAFT Waste" shall mean certain Solid Waste materials permitted for disposal at the Landfill which, because of their volume or type, will require special handling by Operator such as, by example only, sewage sludge, tires, fencing, large appliances, . large dead animals, concrete and asphalt. All Special Handling Wastes accepted at the Landfill shall be specifically identified in the Schedule of Disposal Charges. Section 2.24 SURCHARGE. "Surcharge" shall mean a special charge as required by the County and this Agreement, for funding of Solid Waste Programs, closure of landfills in operation prior to 1990 and for franchise fees and other costs as deemed appropriate by the County. Section 2.25 SURCHARGE PAYMENTS. "Surcharge Payments" shall mean those monies received by Operator as a Surcharge and remitted to the County in accordance with the terms of this Agreement and of the Permits. Section 2.26 USE PERMIT. "Use Permit" shall mean Contra Costa County Land Use Permit No. 2020-89, together with all Conditions of Approval applicable thereto, including any amendments thereof. ARTICLE 3. TERM OF AGREEMENT This Agreement shall remain in effect until 38.4 millions tons of waste have been disposed of in the Landfill, or such lesser time as may be prescribed by law: It is the parties intent that the term of this Agreement shall be the estimated life of the landfill expressed in terms of capacity as of this September 20, 1994 -11- DRAFT date: 38.4 million tons less the tonnage of waste disposed of prior to the effective date of this Agreement. ARTICLE 4. PERFORMANCE OF OPERATOR Section 4. 1 OPERATION OF LANDFILL. Operator shall operate . the Landfill, in strict compliance with, and subject to, the terms and conditions of this Agreement, the Permits and other applicable requirements of Regulatory Agencies. Section 4.2 WASTE STREAM. Nothing in the terms and provisions of this Agreement shall be construed to grant rights of exclusivity with respect to Solid Waste generated in any geographical portion of the County; nor shall this Agreement preclude or in any way restrict the County from entering into substantially similar agreements with other parties for Solid Waste disposal operations at other locations; provided that the terms and conditions of such other agreements shall not be substantially more favorable to the other operators than the provisions of this Agreement. Section 4.3 WASTE TYPES. Operator shall operate the Site . in strict compliance with the Permits and laws; provided, however, Operator may refuse to allow the disposal of certain categories of Solid Waste after obtaining approval by the County, which approval shall not be unreasonably withheld. Operator shall provide sixty (60) days ' notice to all affected parties prior. to proposing County approval of Operator's tentative decision to disallow disposal of the affected Solid Waste. Section 4 .4 UNACCEPTABLE WASTE. Operator shall not allow September 20, 1994 -12- DRAFT disposal at the Site of material other than waste allowed by and subject to the terms of all Permits and laws. It is recognized that some non-approved materials, including certain hazardous wastes, may occasionally be unloaded at the Site by users thereof. Operator shall train its on-site employees to recognize such unacceptable wastes and materials. In the event that unacceptable waste is deposited at the Site, it shall be handled and removed by Operator in accordance with procedures which shall be developed by Operator and submitted to the County for approval prior to the Commencement Date. Nothing herein is intended to relieve the person or persons depositing or causing to be deposited such unacceptable waste from any liability. Operator retains the right to use all legal means to recover costs of removal and alternate disposal or treatment from such. person or persons. Section 4.5 INSPECTION, INVESTIGATION, AND EVALUATION OF SITE. Operator acknowledges that it has and shall continue to inspect, investigate, and evaluate the Site regarding its suitability as a Solid Waste disposal site. The Site shall be immediately accessible at all reasonable times to Regulatory Agency officials for any reasonable, lawful and proper purpose. County officials shall usually give reasonable notice to Operator of their intention to visit the Site -or if .such notice is not given, shall notify Operator's on- site personnel of their presence on the Site. County shall not incur liability arising from the discharge September 20, 1994 -13- DRAFT of its inspection responsibilities, either by commission or by omission, except for its tortious conduct or breach of duty resulting in death, injury or property damage while engaged in its inspection responsibilities. The inspection of the work shall not relieve Operator of any obligation to perform under this Agreement. Operator shall remove and replace or repair any work not in compliance with those Permits, laws, ordinances or regulations applicable to the Site. Section 4.6 PERMITS. Operator shall obtain and maintain in force all necessary Permits and/or other approvals from the Regulatory Agencies for the Landfill. Upon receipt of each such Permit or approval, a copy thereof, together with all conditions or requirements attached thereto, shall be delivered by Operator to the Director. Section 4 .7 STATUS OF TITLE. Prior to the Commencement Date, Operator shall provide to the County reasonable evidence sufficient to establish that Operator is in possession of and/or has the right to use the Site for the purpose contemplated. Section 4.8 GATE FACILITIES. Operator shall supply, construct and thereafter maintain gate fee collection facilities. The facilities shall be designed and located as necessary so as to expedite the fee transactions and shall be attractively finished and landscaped. The facilities. shall be consistent with the Use Permit for the Site. Operator shall supply, construct, and maintain truck scales as necessary to expedite the fee transactions, prevent traffic September 20, 1994 -14- DRAFT back-up, and allow for occasional maintenance and repair. The scales shall be compatible with the Gate Fee Collection System approved by the County, in accordance with Section 5. 1 of this Agreement. The scales shall be open and in working order during all Hours of Access at the Landfill. The sole access to the Site for vehicles carrying solid waste shall be the Landfill entrance, and all waste disposal vehicles shall be recorded by the Gate Fee Collection System. Operator shall make provisions for quick repairs of the scales by competent technicians to minimize downtime. The scales shall meet all State requirements for design approval and accuracy for State certified scales. Only those scales functioning in accordance with all applicable regulations shall be used. Operator shall obtain the State of California certification for scale accuracy. Operator shall supply, deliver and maintain utilities to the Site and shall be responsible for all on-site and off-site costs and service charges in connection therewith. Section 4.9 OPERATION OF GATE FEE COLLECTION SYSTEM. Operator shall operate the Gate Fee Collection System, including the providing of all labor and materials necessary with respect thereto. Such operation shall be for all Hours of Access. Section 4. 10 FEE. COLLECTION. Operator shall collect, count and account for all Landfill Tipping Fees and waste quantities from each user at the Site. Said fees shall be collected in September 20, 1994 -15- DRAFT accordance with the rates applicable pursuant to Article 6 of this Agreement. In the event that no scale is operable at any given time, vehicles will be charged based upon the weight certified by the originating transfer station or based upon a flat fee or volume fee schedule established by the parties in advance. Operator shall furnish the County with monthly reports on the number and, types' of vehicles and waste tonnages and/or volumes, as appropriate, of the various types and Gate revenue. Section 4. 11 PAYMENT TO COUNTY. Operator shall pay the Surcharge Payments required by Article 6 to the County monthly in arrears. Operator shall pay the Surcharge Payments to County within thirty (30) calendar days after the close of the prior month in which they are collected. . Section 4.12 HOURS OF ACCESS. For purposes of this Agreement, unless otherwise required by the terms of the. Permits, Hours of Access shall be those specified in the Solid Waste Facilities Permit. Should the Director declare that an emergency exists, Operator shall keep the Landfill open as instructed to allow for the orderly disposal of Solid Waste generated or created by such emergency conditions at no additional charge or increase in the .Gate Rate. The scheduled Hours of Access may be changed in a manner consistent with permit requirements. Operator may, in its sole discretion, observe the following holidays and close the Landfill: New Year' s Day, Easter Sunday, Memorial Day, Independence Day, Labor Day, Thanksgiving Day .and September 20,1994 -16- DRAFT Christmas Day, or other major holiday as approved by the Director. Section 4. 13 NONDISCRIMINATORY SERVICE. Operator shall provide nondiscriminatory service for Solid Waste disposal 'to all users, and shall abide by all Federal, State and local laws and the Land Use Permit. Section 4. 14 ACCESS ROADS, HAUL ROADS AND SERVICE ROADS. It shall be Operator's responsibility to provide and maintain all roads required on the property for purposes of transporting refuse to the actual point of disposal, or transporting earth materials for fill within the Site, and such other roads as may be constructed for its convenience. Haul roads shall be well maintained. The surface shall be reasonably free from potholes and depressions. A safe, all weather access to a disposal area shall be provided at all times. Section 4. 15 LITTER MANAGEMENT. Operator shall maintain and keep the Site and its access road reasonably free of litter and other refuse. Operator shall be solely responsible for maintaining the Site in a clean and sanitary condition, and shall be responsible for any public nuisance created as a result of its operations. Operator shall control on-site and off-site litter or debris in accordance with the Use Permit and the Solid Waste Facilities Permit. Section 4 . 16 ENVIRONMENTAL MITIGATION. Operator shall comply with all environmental mitigation measures reasonably and September 20, 1994 -17- DRAFT lawfully imposed by Regulatory Agencies including those imposed . by the Use Permit. Section 4. 17 RECYCLING/RESOURCE RECOVERY PROGRAMS. Operator shall cooperate with- the County and reasonably participate in satisfying the ancillary waste needs of the County, including participation in a County sponsored recycling/resource recovery plan and litter program, and/or any other activity which the County deems is appropriate for inclusion in the County Solid Waste Programs. Section 4. 18 ACTIVITIES REPORT. Operator shall, by the first day of January of each year, assemble and provide to the County the Activities Report for the most recent Analysis Period. The Board may direct, upon ninety (90) days written notice to Operator, that the report provided in the Activities Report be made semi-annually. Section 4 . 19 PENALTY SCHEDULE FOR NONCOMPLIANCE. In the event that noncompliance by Operator with any condition or provision of this Agreement, or any applicable Permits or Regulatory Agency requirements is determined by the County, County shall notify Operator of the identified noncompliance. Following notification of noncompliance, the Director may impose penalties per noncompliance upon three (3) days notice to Operator in accordance with the following penalty schedule until such time as compliance is achieved: $ 500.00 per day during the first week of noncompliance September 20, 1994 -18- DRAFT $ 750.00 per day during the second week of noncompliance $1,000.00 per day during the third week of noncompliance $1,250.00 per day for each day thereafter. At the time the Director imposes any penalties, the amounts due for each day of noncompliance shall be the above amounts subject to annual CPI adjustments, the applicable index to be reasonably selected by the Director. Notwithstanding the above three paragraphs, no monetary penalties will beimposed by the County in the event that Operator and/or said Regulatory Agency are diligently pursuing the process of correction or mitigation of the event(s) causing noncompliance. Operator shall have the right to arbitrate any action taken by the County under this provision in accordance with Section 13.7 of this Agreement. Section 4.20 RECORDS. Operator shall keep separate and accurate records for the Landfill as provided in the Use Permit. The County may, at its own expense (which may be recovered as a Solid Waste program cost) , at any time during the term of this Agreement, have the books and records .of the Operator examined for the sole purpose of verifying Operator's compliance with the requirements of this Agreement. County shall give thirty (30) days written notice to the Operator in advance of such examination date. :.:.. S ?ct. iri1 HCS CONIi�ItTNI ' . C� # 3 ::: ge that tri September 20, 1994 -19- DRAFT ARTICLE 5. PERFORMANCE OF COUNTY Section 5. 1 GATE FEE COLLECTION SYSTEM. .The computerized Gate Fee Collection System, which shall be provided by Operator in accordance with Section 4.9 of this Agreement, shall be approved by the County, which approval shall not be unreasonably withheld. Section 5.2 INSPECTION OF SCALES. The County may, from time to time during regular business hours, inspect the scales and test the accuracy of same. ARTICLE 6. RATES Section '6. 1 BASE RATE. The Base Rate shall be determined and established by Operator at its sole discretion. Notwithstanding section 4. 13, it is understood that the Operator need not charge a uniform Base Rate to all customers, but may vary the Base Rate as between different customers based on various factors determined by .Operator, including, but not limited to, the quantity and type of waste delivered by each customer to the facility and whether each customer has entered into a disposal agreement with the .Operator in which the customer agrees to dispose of some or all of the customer's future waste stream at the Landfill. Section 6.2 SURCHARGE. The County may determine and establish at least once every two years, effective on the date September 20, 1994 -20- DRAFT determined by the Board of Supervisors .:....................................... .... ...:::................ ::::.::::... :::: :::::.: : ::::::::.::.::.::::.:::::::::::.::..::::...:: :.:::::...::::::::.:..:...:::....:.:::.:.:::..........:.....:::::::::::::::::::::::::.::::::::::::.::::::::...:.:::::::::::::::.:::.::.:::::::::..:::::.::: ..................................................................... the Surcharge, which shall be added to the then applicable Base Rate, and collected as part of the Gate Rate. Operator will be provided at least ninety (90) days ' written notice of any newly established Surcharge. In the absence of the County establishing a particular Surcharge amount, .the Surcharge to be collected by the Operator for the County shall be thirty percent (30%) of the then applicable Base Rate. Section 6.3 GATE RATE. The Gate Rate shall consist of the Base Rate, Mandated Fees, and Surcharge. Section 6 .4 INITIAL SURCHARGE. Effective on the effective date of this Agreement, the Surcharge shall be g . 9 ............ ................................................. 0. ................................................. ................................................. ................................................. ................................................. + �eztu �?r.�x�s.�e ;, .................................................................:...........................................................:................................................................. e: .. >E'� ?::>:5: t #::::::>;.:: q#gl lQ ;:;;;>: ' t..:...t 5::>:<;. # ':>:>:;::i� 1%1+'::>:< i t lt' 1 .....:`:;:.::::;.::'<:.c; i::ii'.t,:::;:;:,;.;y::;y;;y;�;�;r.::;♦::;+;�;w:: to y�: ♦ y:..::� t1 < ::,. E Fl ?: Sr'ii?E:i4FA Orr► EY�M :.:.; ..#•. �L .... .I::.:::::!.,'�.,: .::: .r�'...'«.....��..Jif :!4,r,,. ..+" .:.::::::......;::::::::::::::::::::::...:.:::.::..::..::::::.;:.:.: ::t y .....:::::t'7: Ei:•''` :y,�' '<: :y.:: y: :..S.::�i` ;>;::i'x:.' '�y....::EEi'y'�. }•.. i::? ::i.`ir'..� ! ?•�':':' 4 i:f. : ...... ...:.r.�i.. :i.i..,.. .h?.i.`.;•:.ak7�: ;.r:..r..:.....k�,l�.,i.,r..,<..::::{1+.�..:.ii.�: '.G`,.f.. :::.::: ..:::.....:................ .... .:�::::::: .:: .�r.:4P�.i::::a,7;V:S'4i :i.:'i r'�i:+':i:' ? :17.'::::::::: ...:.... '%•'�i�'.,�,tt. '•..... ,. /�y :. �i :iyy'...� �"��ii,,:�:j{��♦♦,:♦♦::;:::is iiEi'>::..c;�.>y::y;:>v:�.>y:^r;::;y>�._.:.::ili i,:;ry:;"';:i;"aZy`,:�tr'>:,:::�.;yrs.;: ....:...:.:,;:..:...,,....r,.:•:..i r;.::,or.:,.; Q. • .: �i. ';V' ;%''.:`:;iki:ili.Y;�:::. !it:t.�. W...... :..:.::.:::: .�M.'.ik. % :::: X.� :::....i+M4�Fr ..: ...'4i+#! .::5:'< hF' .14: :::1�7�f �i ..... ........ ....... :.".:... ....................... ......................::.......... .................. ......... .... 'undin ofz > uai »:::: < q:. pa,c�d ... .. .. .... ....... .::. .. ..... .. . ed by the �tbcrn :>:S.uk�a . ;;> s r� Cant :pga ........:::.. ..:.:: . .. ...... .............. ....... .. September 20, 1994 -21- DRAFT : fid:::>:: :<:>: :>::>< .:: ::: :.::::::::.....,::::.....:::::::::::::::::::::::::::.:::::::..:::::::: ::.:.::::::::.::::::::::::::::::::::.::::::::::::::::.:::::::::::::::::::.:::::::. .::::.::::::::::::::::..:.3.: ::. ..........h ..:: .:.«.:::::::: ....::.: d �c �:.::< ..:: c[ i1...... ..............................::::::................ 4-10 >< r A. sa ac.... . ::>:: ::::::..:. ::::.:...:.:::::::....:..::::.::::..:.....:::..:.......::.::::::.........<...::: ........................................... .....:. :::.:::: :: .... :.;.::.::.:....:. .:. : . :.::::.: ! 1 .:::................................... .:......:.:::::.:........ :. Y.::: :. Z. OW t . ...__... t.... 3S.rii 3G:.;: , 4.#1#00. ;: �'t 5;:.-.%—"i,;:.: �'r: d# ..p: ''.'::i•..: . : :::' `. ...:•., `fE: rr:3\iiJ:i: i art. r �,.►�7i` : ai[af�:�Tar'i .... f� 4i: Y ... .:u....t.7..: p .,.,•.4��yF «.. P. ...... .....�:. . ......`.�: .;..... y::::::: : ::;. .. :..::::::..: . . ...............�s .0 ...........:...' i• ::•:::::::::::::::::::::.::.:::.::.q::::::::..:::: y.:�:.;:.;:..........:..... : .::.:;.;:.;:.::;.;:.::.;;:.:;.::;.;- .,,�,,�q:;.:;.:;.;;.y.>:>:;•;:.;:.;:.r::.:..;.:;.;:: ;;;.;:.;:.;:::;;;.fit:::::::. .............. ...................................._.._......._......... d Ulu ............................................................................... ............................................................................... .04 .............. AA VI 4 ...:...:...�'��.:.:....... ..:...:.......:...:..................:::.:::::.:::::::::::::::::::::::::::::::::::::.::.::.:::::::::.::.::.::::.::::.:::.::::::..�.:::::::::::::::::::::: .................b Section 6 .5 DISPOSAL CONTRACTS. For all contracts for the September 20, 1994 -22- DRAFT disposal of Solid Waste entered by Operator, the Surcharge applicable at the time of the disposal contract shall apply for the life of said disposal contract. The parties agree that any later established surcharge amounts shall not apply to waste received pursuant to such Solid Waste disposal contract for the life of said disposal contract. Operator shall advise County of any disposal contract subject to the privileges of this section immediately upon execution. Operator shall provide County with any and all information requested by County concerning any such Contract, including providing County with copies of such contracts upon request. Section 6.6 SCHEDULE OF RATES. Operator shall at all times maintain on file with the County, a schedule of Base Rates and .......................................... Gate Rates charged to each customer, includingCI +1 u. »ar: : ::G:::. :>>:< : >. ;`» .t ' chedule shall specify y�t > whether each customer delivers waste directly to the Landfill or whether it is delivered by Y wa of the..".*..--"..*.---,---.-.............*..'. + e ....................... FaGilit T or other transfer or processing facility. schedule . shall identify the components of the rates charged at the Facility, . The schedule may include a standard Base and Gate Rate which Operator charges unless a disposal agreement is entered, or other . arrangements made. Said schedule of Base and Gate Rates shall be updated within ten days of material modification thereof. Material modifications include, but are not limited to, changes September 20, 1994 -23- DRAFT to any customer's Base and Gate Rate, and entering of a disposal agreement or other agreement with new customer. The purpose of this section is to ensure that the rates charged by Operator as well as fees .and surcharges imposed by County as well as other governmental agencies .are a matter of Public Record, so as to promote cooperation and trust between the Operator, the County, and the public. Towards this end, County may request, and Operator shall provide to County, all information reasonably necessary to effectuate the purpose of this section. ARTICLE 7. PERSONNEL Operator shall assign qualified personnel to operate the site as may be required to assure a smooth and efficient operation in with all applicable Permits. The County has the right to request, in writing, administrative action, including the removal of any employee of Operator who violates any provision of this Agreement, or who in the opinion of such requesting party is unsafe, negligent, or discourteous to the public or others in the performance of his/her duties. .Upon receipt of such a request, Operator shall immediately take whatever administrative action, which, in its judgment, is necessary to resolve the situation. Such action may include removal of that employee from the Site. A Site Supervisor employed by Operator shall be present at the Site at all times that any operations are being conducted thereon. September 20, 1994 -24- DRAFT Operator shall file with the Director the names, addresses, and telephone numbers of the Operator representatives who can be contacted at any time in case of emergency. These representatives shall be fully authorized to respond so as to resolve the emergency. ARTICLE 8. LANDFILL GAS If at any time Operator voluntarily pursues the sale of gas produced from the Landfill or the sale of electricity produced by burning said gas, County may require the payment of a Surcharge thereon. ARTICLE 9. CLOSURE AND POST CLOSURE Section 9. 1 CLOSURE RESPONSIBILITIES. Operator shall be responsible for Site Closure and Post Closure Maintenance of the Landfill according to all Permits and requirements of the Regulatory Agencies. Operator will hold the County harmless for the performance of its duties under this Article. The County and Operator recognize the inevitability of Site Closure. Both parties also recognize the existing uncertainties yet to be resolved which may impact the date and total cost of Site Closure and the need to commence closure activities promptly upon cessation of disposal activities in a discrete portion or phase of the Landfill. The parties intend to provide for the public interest by assuring that the appropriate financial mechanisms are put in place by Operator to provide funds to pay the costs incurred for Site Closure and Post-Closure maintenance as required by law. September 20, -1994 -25- DRAFT Section 9.2 FINANCIAL ASSURANCES. Operator shall provide all financial assurances necessary to satisfy the provisions of Public Resources Code Section (formerly Section 66796.22 of the California Government Code) , -Title 14, California Code of Regulations, Division 7, Chapter 5, Article 3.5 and all other applicable provisions of California and Federal law. The financial assurances shall include the establishment of a trust fund or equivalent financial arrangement as evidence of financial ability to provide for the cost of closure and post-closure maintenance as required by law. Operator shall consult with the County with respect to proposals to be made to the State regarding .the financial assurance to be provided. Operator shall provide the County with adequate notice of any filings with the State or hearings with respect to such proposals sufficient to allow the County to participate in and provide input to the State on the State's determinations on closure and post closure requirements, including financial assurances to be imposed on the Site. Section 9.3 PERFORMANCE. Operator acknowledges that under • State and Federal law, Operator shall have the responsibility to perform both closure and post closure activities in a timely, cost-effective manner. Performance by Operator shall be determined in accordance with State and Federal statutes. The County and Operator agree that, to the extent site closure and postclosure activities are funded from the Landfill rates, it is in the local public interest to assure timely, cost- September 20,1994 -26- DRAFT effective closure and postclosure �activities The County shall have the right to conduct such technical and financial review as it deems necessary to protect the local public interest. Section 9.4 SIGNING OF .INSTRUMENTS AND DOCUMENTS. From time to time, either party shall at the request of the other party and without further consideration, execute and deliver such instruments and documents as may be reasonably necessary in order to effectuate the purposes of this Article 9. Section 9.5 FAILURE TO MEET CLOSURE AND POST-CLOSURE OBLIGATIONS. In the event that Operator fails to perform its obligations as set forth in this Article 9, or to enter upon performance of same with due diligence after the determination of an event of default in a manner described below in Article 11, the County may enter the Landfill and perform the Site Closure and Post-Closure activities required to remedy the default and expend Site Closure funds for the costs involved. ARTICLE 10. UNINTERRUPTED OPERATION Section 10. 1 ASSURANCE OF UNINTERRUPTED OPERATION. Operator, in entering into this Agreement, assures that it will provide from the Commencement Date for the operation of a Solid Waste disposal facility at the Landfill in an uninterrupted manner for as long as the Site is useful and usable, except as provided in Section 11.4 below. Operator acknowledges the hardship that would occur if the Landfill is not operated properly or is prematurely closed. The County and Operator recognize that in the ordinary course of events, certain September 20, 1994 -27- DRAFT unexpected events may result that may place` a burden on the requirement of uninterrupted operation. However, it is the purpose of this Article 10 to establish that it is Operator's obligation to avoid any interruption .of operations except for those that are outside of Operator's control, as provided by Section 11.5 of this Agreement. Section 10.2 LABOR DISPUTES. In the event of a labor dispute, Operator shall use its best efforts to keep the Landfill open and to operate it in accordance with this Agreement unless a mutually acceptable disposal ,alternative is agreed upon by Operator and the County. ARTICLE 11. DEFAULT, REMEDIES Because of the complex nature of this Agreement and the work to be performed hereunder, together with the need for close cooperation and coordination between the parties, it is not anticipated that either party will declare the other in default under the terms and conditions of this Agreement except as a last resort. However, in the event of any such necessity, the following provisions are made a part hereof. Section 11. 1 . FAILURE TO PROSECUTE WORK. Should Operator fail to prosecute the work or any severable part thereof in conformity with the requirements of this Agreement, the Director shall provide written notice to Operator specifying in detail the defect or default in performance (the -"First Notice") and Operator shall have the right to cure same within a reasonable period of time. September 20, 1994 -28- DRAFT If after the First Notice is provided to Operator, the work is not performed in accordance with the Director's specified time frame and a reasonable time to cure so as to ensure its completion in accordance with this Agreement, the Director shall serve further notice (the "Second Notice") upon Operator of the County's intention to take further action as provided by law. The Director shall make appropriate and detailed written findings of fact which specify the event of default. No earlier than thirty (30) days after the Second Notice, County shall have the power and ability, if Operator is still in default, to take such actions as provided in law for remedying the same, including the termination of this Agreement. Should the County fail to perform any of its obligations under this Agreement, Operator may declare the County in default after following the same two notice and findings provisions required of the County above. Thereafter, Operator shall have the power and ability, if the County is still in default, to take such actions as provided in law for remedying the same, including bringing suit in a court of appropriate jurisdiction for equitable or legal relief or both. The foregoing notwithstanding, neither party may bring an action seeking money damages unless it has first provided the other party with 30 days notice of its intention to do so together with written notification of the specific actions which the other party may take to remedy the default which will form the basis for the claim for monetary damages. If the other party September 20, 1994 -29- DRAFT in good faith commences the actions specified within the thirty (30) day period, the first party shall not bring the action for damages. Section 11.2 CONVICTION OF CERTAIN CRIMES. Operator agrees that a single conviction of Operator, its parent, subsidiaries or operators, or their officers or employees at the level of Site operations manager or above, acting within the scope of their employment, of bribery, antitrust, corruption or theft relating to or involving directly the Landfill Site shall constitute an event of a breach of this Agreement subject thereupon to the provisions of this Article. unless Operator, promptly initiates and follows through with appropriate disciplinary procedures and action considering the nature of the offense and resolution by the courts. Section 11.3 CONDEMNATION. In addition to any other remedy available to the County, it has the right and authority under law to condemn the Site. Section 11.4 RIGHT TO TAKE/RIGHT TO POSSESSION. In the event that Operator chooses to no longer operate the Site, Operator agrees that it will give County notice of its intention to cease operation ninety (90) days prior to the cessation. If, after receiving such notice, County initiates eminent domain proceedings to acquire the Site, Operator agrees that it will not object to or contest County's right to take, or right of possession of, the Site. Nothing contained herein shall constitute a waiver of the right to contest valuation at any September 20, 1994 -30- DIZZAFT stage of the proceedings. County and Operator agree that the-.: = provisions of this paragraph may be enforced by means of the remedy of specific performance. Section 11.5 FORCE MAJEURE. Operator shall not be liable for a default if the failure to perform under the terms and conditions of the Agreement arise out of causes beyond the control or without the fault or negligence of Operator. Such causes may include, but are not limited to, acts of God, or the public enemy, acts of the County in either its sovereign or contractual capacity, fires, floods, earthquakes, epidemics, quarantine restrictions, suppliers ' and vendors' strikes and all other labor disputes, freight embargoes, and unusually severe weather; but in every case the failure to perform must be beyond the control and without substantial default or negligence of Operator. Operator shall make every reasonable effort to mitigate the effects of said causes. Section 11.6. SPECIFIC PERFORMANCE. Notwithstanding any other available remedies, the obligations duties and rights of each party under. this Agreement shall be specifically enforceable by the other party. Section 11.7 NONEXCLUSIVE REMEDIES. The rights and remedies of either party to this Agreement as provided for in this Article 11 shall not be exclusive, and are in addition to any other rights and remedies provided by law or under this Agreement; except that the right of either party to seek monetary damages is limited as provided in Section 11 . 1 above. September 20, 1994 -31- DRAFT ARTICLE 12. INSURANCE AND BONDS Section 12. 1 WORKERS' COMPENSATION. Operator hereby acknowledges that it is aware of the provisions regarding Workers' Compensation, Section 3700 of the Labor Code. Operator shall comply with the provisions. of such Section as amended from time to time with regard to its employees and shall supply to the County forthwith upon execution of this Agreement, and annually thereafter, evidence of such compliance. Section 12.2 PUBLIC LIABILITY. leeated by either party heFet-e and the premium ter the pelf a -- pelleles Eequlred- hereuadeE Is reasonable In Gounty, Operator shall obtain from a good and responsible company or companies doing insurance business in the State of California, and pay for, maintain in full force and effect for the duration of this Agreement and any extension, a policy or replacement policy of comprehensive liability insurance for the Landfill, in which the County is named as an additional insured with Operator. Operator shall furnish a Certificate of Liability Insurance to the Director before execution of this Agreement by the County. Notwithstanding any inconsistent statement in the policy described by the Certificate of Liability Insurance or any subsequent endorsement attached thereto, the protection offered by the policy shall: (a) Include the County, its officers, employees and agents while acting within the scope of their duties under this Agreement, the Use Permit, or any other County ordinance, September 20, 1994 -32- DRAFT resolution or other rule relating to the operation, maintenance or closure of the Landfill, as an additional insured covering said duties against all third party claims for negligence; and for indemnification of the County as provided by this Agreement. (b) Provide for a combined single limit policy not less than $10,000,000 per occurrence, combined bodily injury and property damag At every fifth year of this Agreement, this $10,000,000 minimum limit shall be increased as directed by the County but not more than 30% for each such five year period. Section 12.3 OTHER INSURANCE PROVISIONS. All insurance policies required by this Agreement shall bear an endorsement, whereby it is provided that, in the event of expiration, or proposed cancellation of such policy for any reason whatsoever, the Director shall be notified in writing not less than thirty (30) days before expiration or cancellation is effective. Expiration, reduction or cancellation of any insurance policy required by this Agreement without obtaining a replacement policy pursuant to Section 12.2 to meet the requirements herein shall be considered a breach of this Agreement by Operator. Operator shall also carry such other insurance as may be required by law. Operator shall be solely liable for any .claims or liabilities caused by its failure to maintain insurance required by law. Section 12 . 4 FAITHFUL PERFORMANCE SURETY. Operator shall, September 20, 1994 -33- D RAFT prior to acceptance of waste at the Site under this Agreement, provide to the County an irrevocable Performance Surety Letter of Credit in the form set forth in Exhibit B hereto guaranteeing Operator's performance of all_ provisions of this Agreement (except Article 9, relating to Site Closure, for which separate financial assurances are required by applicable law) in an amount of not less than $1,000,000.00. This Letter of Credit may also be utilized to meet the security and performance requirement of the Use Permit, except as to the closure requirements which will be separately secured. If Operator or an affiliate acceptable to the Director operates a transfer or processing station in the County, from which transfer or processing station solid waste is delivered to the Landfill, the Director. may allow the Performance Surety Letter of Credit required by this section to additionally guarantee Operator's performance of all provisions of said transfer station agreement or franchise. ARTICLE 13. GENERAL PROVISIONS Section 13. 1 GUARANTY BY PARENT OR AFFILIATE. Prior to the Commencement Date, and for all conditions and obligations of this. Agreement, Operator shall provide to the Director, proof of guaranty by the parent or an affiliate of Operator acceptable to the County, of the performance by Operator of each provision of this Agreement to be performed by Operator. Proof of guaranty shall be in the form set forth in Exhibit C. Section 13 .2 ATTORNEY'S FEES. In the event of litigation between the parties arising hereunder, each party shall pay and September 20, 1994 -34- DRAFT bear its own litigation expenses, including attorney's fees. Section 13.3 INDEMNITY AND HOLD HARMLESS AGREEMENT. (a) All work and performances by Operator covered by this Agreement shall be at the risk of Operator (b) With respect to third-party claims, Operator agrees to save, indemnify and keep harmless the County, its officers, employees, agents and assign against any and all liability, claims, judgments, or demands, including demands arising from injuries or deaths of persons and damage to property, arising directly or indirectly out of the obligations herein undertaken by Operator, save and except claims or litigation arising through the sole negligence or willful misconduct of the County, and will make good to and reimburse the County for any expenditures, including reasonable attorney's fees, that the County may make by reason of such matters and, if requested by the County, shall defend any such suit at the sole cost and expense of Operator. (c) With respect to third-party claims, the County agrees to save, indemnify and keep harmless Operator, its officers, employees, agents and assigns against any and all liability, claims, judgments, or demands, including demands arising from injuries or deaths of persons and damage to property, arising directly or indirectly out of the sole negligence or willful misconduct of the County, and will make good to and reimburse Operator for any expenditures, including reasonable attorney's fees, that Operator may make by reason of September 20, 1994 -35- DRAFT } such matters and, if requested by Operator, shall defend any such suit at the sole cost and expense of the County. (d) Should any party successfully challenge the validity of this Agreement or the procedure by which this Agreement was entered into or the validity of any County action which authorizes the County to enter into this Agreement, then in such case the Operator shall have no cause of action for damages or any other relief against County as a result of such successful challenge. In the event of any such legal challenge, Operator shall defend such action or proceeding at its sole expense and Operator shall save and hold County harmless from any claims or awards for third party attorneys ' fees and costs. Section 13.4 ASSIGNMENT. (a) voluntary. Operator shall not sell, assign, subcontract or transfer this Agreement or any part hereof, or any obligation hereunder, without the written consent of County; provided, however, that Operator may assign this Agreement without the County's consent to any company which it controls, is controlled by, or which is under common control with Operator. As used in this Section, the term "control" with respect to a company, means the beneficial ownership of more than 50% of the voting stock of the company. The term assignment shall include any dissolution, merger, consolidation -or other reorganization of Operator, which results in change of control of Operator, or any sale or other transfer of a controlling percentage of Operator's capital stock. Any September 20,1994 -36- DRAFT attempted assignment not provided for above without such consent shall be void ab initio. (b) Involuntary. Except as may be permitted by paragraph (a) above, no interest of Operator in this Agreement shall be assignable by operation of law. Any such nonpermitted assignment and any of the following acts, each of which are deemed an involuntary assignment, shall provide County with the right to elect to terminate the Agreement forthwith, without suit or other proceeding: ( 1) If Operator becomes insolvent, or makes an assignment for the benefit of creditors; (2) If Writ of Attachment or Execution is levied on this Agreement or other property of Operator such that would have a materially adverse effect on Operator's ability to perform its duties and obligations under this Agreement; 0 (3) If in any proceeding to which Operator is a party, a Receiver is appointed with authority to take possession of Operator's property such that would have a materially adverse effect on Operator's ability to perform its duties and obligations under this Agreement. Section 13.5 COMPLETE AGREEMENT. No verbal agreement with any officer, agency, or employee of the County or of Operator nor any contract either before, during, or after the execution of this agreement shall affect or modify any of the terms or obligations herein contained unless a written agreement, signed by both parties, specifically provides that same is an amendment September 20, 1994 -37- DRAFT to this Agreement. Section 13.6 NO THIRD PARTY BENEFICIARY ENFORCEMENT. While this contract benefits the public interest throughout Contra Costa County, it is an Agreement between only Operator and the County and, accordingly, only Operator and the County may enforce same. No claims, demands, or causes of action by any entity, party, or person claiming to be a third party beneficiary hereunder shall be enforceable. :::.:'. :::. .�::;:::;;;:�:::;":::; ::;>i;::::. ::::4::gi . :::::::::::::.>�:::::_:.:::::;�:�:::..::> <:, ;"`;`:: : ,1: .............i i2i iEi:_:::n:.`: ::i:V:'.<::. :;:::::;;;j.1.!�l�.�/..,�•�:,�a .i:E;FI::::iJii i .''. ... M�.,�i...!A ah,�14......!.�.....�........� 1.;��... i:::;::::;?lw:::4iel .,::;<:o->:.:::;>:;;>;:. »:.::.>:;o- >;::;.>o-:; fAAfF �il !':::::::'aii: +{i�v..KiF+7:'<''' t:::� iF.`#MF:Ir.:.fe4 �'!:"i..:<:r::tiltif:::X::.•ri..�i: .ry'�.�i...:`•:i:: :7i ?i4Ri..: X....::............::::1.::.::::::.:::.:. :: ::::::::r::.:.::::::::.::::::::.:::::::::.:::.:::.::::::::::::::::::.. .:::::;:;:.:.::.::.::::::::::.:.;::.:.::::.::::::::::::::.: .: . : .:�:.:y;>�►:::>q';;':�;y::�.:;;';:>: ?:;:;i;i^:: .;z::<.;.:x:`:.... o:;'o:::>:::i':::i'::::::::;:x;;:i;;>::;;:;;':>:..;<;a?;:::'>+<<::: 2:;G;;^:i;:r;::::.;;;. •yy ::4k.S—i1i:[c:2: .:.a::i�}`#;5. i'' y:-�y :3:i 'y�:.'.:q::: i2iS ''::.:: .�i..?iE 'li•�r.Eir' .r..In!:4F..�,..' ....4�: .....i. ....... t l@ ......... Section 13.8 ARBITRATION. Any controversy or claim submitted to arbitration pursuant to the express provisions of this Agreement, or by mutual subsequent agreement, and arising out of or relating to this Agreement, or the breach thereof, shall be governed by the provisions of Part III . , Title 9 of the Code of Civil Procedure, sections 1280 et seq. as amended from time to time. The arbitration shall be de novo and subject to a • de novo appeal or challenge brought in the Contra Costa County Superior Court as to any alleged error of law or as to the admissibility of evidence. California judicial rules of evidence shall apply to the arbitration proceedings. The arbitration decision shall be decided under and in accordance with California law, supported by a preponderance of evidence and in writing in the form of a Statement of Decision pursuant to Code of Civil September 20, 1994 -38- DRAFT Procedure Section 632. Section 13.9 CONFLICT. (a) This Agreement is intended to implement prior Landfill approvals, including the Use Permit (and Ordinance No. 88-81 if applicable to the Landfill) . In the case of any apparent or potential conflict between the provisions of this Agreement and the provisions of the Use Permit or any involved development agreement, the provisions of this Agreement, the Use Permit and/or development agreement shall be read together and harmonized to the maximum extent possible to effectuate the intentions of the parties. In the case of any unresolved conflict between the provisions of this Agreement and the provisions of the Use Permit or any involved development agreement, the provisions of the Use Permit and/or development agreement shall control. Notwithstanding any other provision in this Agreement or in the Use Permit, importation of waste not originating in Contra Costa County shall be allowed as required by recent U.S. Supreme Court cases. (b) Operator has entered into an agreement with Contra Costa Water District ( "CCWD" ) the relevant portions of which are attached hereto as Exhibit D, which Exhibit is incorporated herein by this reference. If there is any conflict between this Agreement and Exhibit D, this Agreement shall prevail with respect to the relationship between Operator and the County. Section 13 . 10 CAPTIONS. The captions and headings used in this Agreement are for convenience and reference only and are not September 20, 1994 -39- DRAFT to be construed as controlling over the text of this Agreement. Section 13. 11 DELEGATION BY BOARD. The Board may, in its discretion, delegate to a County employee or hearing officer any of its functions expressly or impliedly arising from this Agreement provided that in such case any decision made by such Board, County employee or officer may be appealed de novo to the Board. Section 13. 12 SEVERABILITY. If any term, provision, covenant or condition ( "provision") of the Agreement or the application of any provision of this Agreement to a particular situation is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement, or the application of this Agreement to other situations, shall continue in full force and effect. . Notwithstanding any other provision of this Agreement, if any provision of this Agreement in itself or as applied in any particular situation is held to be invalid, void or unenforceable, it is the intention of the parties that the remaining portions of this Agreement shall be continued in full force and effect and that the invalid, void or unenforceable provision be severed therefrom. Section 13. 13 MASCULINE GENDER USED. The masculine gender is sometimes used in this Agreement and is so used for convenience only and is not otherwise intended. Section 13 . 14 GOVERNING LAW. This Agreement shall be governed by and construed in accordance with the laws of the September 20, 1994 -40- DRAFT e State of California. Section 13. 15 NOTICES. All notices or other communications ("Notice") to be given pursuant to this Agreement, including the notices required in Articles 6 and 10 hereof, shall be in writing and shall be deemed given when mailed by registered or certified United States mail, addressed to the parties as follows: To County: County of Contra Costa Attn: County Administrator To Operator: Keller Canyon Landfill Company Attn: Boyd M. Olney, Jr. 441 North Buchanan Circle Pacheco, California 94553 With Courtesy as designated by Browning-Ferris Industries of California. A change in address or a change in the person or title to which Notice is to be given shall be effectuated by Notice to the other party. IN WITNESS WHEREOF, this Agreement is effective on the date first provided on page one hereof. OPERATOR Keller Canyon Landfill Company a California corporation By: Boyd M. Olney, Jr. President By: Vice-President COUNTY OF CONTRA COSTA By: Chair, Board of Supervisors ATTEST: By: September 20, 1994 -41- DRAFT Clerk of the Board APPROVED AS TO FORM: By: 1tr: 12.kcrd920.94 County Counsel September 20, 1994 -42- DRAFT FIRST AMENDED LANDFILL FRANCHISE AGREEMENT BETWEEN THE COUNTY OF CONTRA COSTA AND KELLER CANYON LANDFILL CORPORATION FOR THE KELLER CANYON SANITARY LANDFILL Dated: September f3, 1994 TABLE OF CONTENTS - FIRST AMENDED LANDFILL FRANCHISE AGREEMENT RECITALS 1 ARTICLE 1. INTRODUCTORY PROVISIONS 3 Section 1.1 RECITALS INCORPORATION. . . . . . . . . . . . . . . . . . . . . . . 3 Section 1.2 EFFECTIVE DATE. EFFECT. . . . . . . . . . . . . . . . . . . . . . . . 3 Section 1.3 CONDITIONS OF APPROVAL. . . . . . . . . . . . . . . . . . . . . . . 3 Section 1.4 OPERATOR ACKNOWLEDGMENT. . . . . . . . . . . . . . . . . . . . 4 Section 1.5 COUNTY DISCRETION AND INTEREST. . . . . . . . . . . . . . . 4 Section 1.6 USE PERMIT OPERATIVE. . . . . . . . . . . . . . . . . . . . . . . . . 5 Section 1.7 NO PREFERENTIAL TREATMENT. . . . . . . . . . . . . . . . . . . . 5 ARTICLE 2. DEFINITIONS 5 Section 2.1 AGREEMENT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Section 2.2 ACTIVITIES REPORT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 Section 2.3 ANALYSIS PERIOD. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Section 2.4 BASE RATE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Section 2.5 COMMENCEMENT DATE. . . . . . . . . . . . . . . . . . . . . . . . . 6 Section 2.6 COUNTY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Section 2.7 DIRECTOR. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Section 2.8 EMERGENCY. .'. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Section 2.9 GATE FEE COLLECTION SYSTEM. . . . . . . . . . . . . . . . . . . 7 Section 2.10 GATE RATE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Section 2.11 HOURS OF OPERATION. . . . . . . . . . . . . . . . . . . . . . . . . . 7 Section 2.12 HOURS OF ACCESS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Section 2.13 LANDFILL. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Section 2.14 MANDATED FEES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 Section 2.15 OPERATOR. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Section 2.16 PERMITS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Section 2.17 POST-CLOSURE MAINTENANCE. . . . . . . . . . . . . . Section 2.18 REGULATORY AGENCIES. . . . . . . . . . . . . . . . . . . . . . . . 8 Section 2.19 SCHEDULE OF DISPOSAL CHARGES. . . . . . . . . . . . . . . . . 9 Section 2.20 SITE CLOSURE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Section 2.21 SOLID WASTE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 Section 2.22 SOLID WASTE PROGRAMS. . . . . . . . . . . . . . . . . . . . . . . . 10 Section 2.23 SPECIAL HANDLING WASTE. . . . . . . . . . . . . . . . . . . . . . 10 Section 2.24 SURCHARGE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 Section 2.25 SURCHARGE PAYMENTS. . . . . . . . . . . . . . . . . . . . . . . . . 11 Section 2.26 USE PERMIT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 ARTICLE 3. TERM OF AGREEMENT 11 August 30, 1994 -i- DRAFT c f ARTICLE 4. PERFORMANCE OF OPERATOR 12 Section 4.1 OPERATION OF LANDFILL. . . . . . . . . . . . . . . . . . . . . . . . 12 Section 4.2 WASTE STREAM. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Section 4.3 WASTE TYPES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Section 4.4 UNACCEPTABLE WASTE. . . . . . . . . . . . . . . . . . . . . . . . . . 12 Section 4.5 INSPECTION, INVESTIGATION, AND EVALUATION OF SITE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 Section 4.6 PERMITS. . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Section 4.7 STATUS OF TITLE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Section 4.8 GATE FACILITIES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14 Section 4.9 OPERATION OF GATE FEE COLLECTION SYSTEM. . . . . . . . 15 Section 4.10 FEE COLLECTION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Section 4.11 PAYMENT TO COUNTY. . . . . . . . . . . . . . . . . . . . . . . . . . 16 Section 4.12 HOURS OF ACCESS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16 Section 4.13 NONDISCRIMINATORY SERVICE. . . . . . . . . . . . . . . . . . . 17 Section 4.14 ACCESS ROADS, HAUL ROADS AND SERVICE ROADS. . . . 17 Section 4.15 LITTER MANAGEMENT. . . . . . . . . . . . . . . . . . . . . . . . . . 17 Section 4.16 ENVIRONMENTAL MITIGATION. . . . . . . . .. . . . . . . . . . . . 17 Section 4.17 RECYCLING/RESOURCE RECOVERY PROGRAMS. . . . . . . . 18 Section 4.18 ACTIVITIES REPORT. . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 Section 4.19 PENALTY SCHEDULE FOR NONCOMPLIANCE. . . . . . . . . . 18 Section 4.20 RECORDS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 ARTICLE 5. PERFORMANCE OF COUNTY 19 Section 5.1 GATE FEE COLLECTION SYSTEM. . . . . . . . . . . . . . . . . . . 19 Section 5.2 INSPECTION OF SCALES. . . . . . . . . . . . . . . . . . . . . . . . . . 20 ARTICLE 6. RATES 20 Section 6.1 BASE RATE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20 Section 6.2 SURCHARGE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21 Section 6.3 GATE RATE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Section 6.4 INITIAL SURCHARGE. . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Section 6.5 DISPOSAL CONTRACTS. . . . . . . . . . . . . . . . . . . . . . . . . 23 . . . . . . . . . . . . . . . . . . . . . . . . . . . 24 ARTICLE 7. PERSONNEL 25 ARTICLE 8. LANDFILL GAS 26 ARTICLE 9. CLOSURE AND POST CLOSURE 26 Section 9.1 CLOSURE RESPONSIBILITIES. . . . . . . . . . . . . . . . . . . . . . . 26 Section 9.2 FINANCIAL ASSURANCES. . . . . . . . . . . .. . . . . . . . . . . . . . 26 Section 9.3 PERFORMANCE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27 Section 9.4 SIGNING OF INSTRUMENTS AND DOCUMENTS. . . . . . . . . . 27 August 30, 1994 -ii- DRAFT i y 1 Section 9.5, FAILURE TO MEET CLOSURE AND POST-CLOSURE OBLIGATIONS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28 ARTICLE 10. UNINTERRUPTED OPERATION 28 Section 10.1 ASSURANCE OF UNINTERRUPTED OPERATION. . . . . . . . . 28 Section 10.2 LABOR DISPUTES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29 ARTICLE 11. DEFAULT, REMEDIES 29 Section 11.1 FAILURE TO PROSECUTE WORK. . . . . . . . . . . . . . . . . . . 29 Section 11.2 CONVICTION OF CERTAIN CRIMES. . . . . . . . . . . . . . . . . 30 Section 11.3 CONDEMNATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 Section 11.4 RIGHT TO TAKE/RIGHT TO POSSESSION. . . . . . . . . . . . . . 31 Section 11.5 FORCE MAJEURE. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 Section 11.6 SPECIFIC PERFORMANCE. . . . . . . . . . . . . . . . . . . . . . . . 32 Section 11.7 NONEXCLUSIVE REMEDIES. . . . . . . . . . . . . . . . . . . . . . . 32 ARTICLE 12. INSURANCE AND BONDS 32 Section 12.1 WORKERS' COMPENSATION. . . . . . . . . . . . . . . . . . . . . . 32 Section 12.2 PUBLIC LIABILITY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 Section 12.3 OTHER INSURANCE PROVISIONS. . . . . . . . . . . . . . . . . . . 34 Section 12.4 FAITHFUL PERFORMANCE SURETY. . . . . . . . . . . . . . . . . 34 ARTICLE 13. GENERAL PROVISIONS 35 Section 13.1 GUARANTY BY PARENT OR AFFILIATE. . . . . . . . . . . . . . 35 Section 13.2 ATTORNEY'S FEES. . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 Section 13.3 INDEMNITY AND HOLD HARMLESS AGREEMENT. . . . . . . 35 Section 13.4 ASSIGNMENT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37 Section 13.5 COMPLETE AGREEMENT. . . . . . . . . . . . . . . . . . . . . . . . . 38 Section 13.6 NO THIRD PARTY BENEFICIARY ENFORCEMENT. . . . . . . 38 Section 13.7 ARBITRATION. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 Section 13.8 CONFLICT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 Section 13.9 CAPTIONS. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 Section 13.10 DELEGATION BY BOARD. . . . . . . . . . . . . . . . . . . . . . . . 40 Section 13.11 SEVERABILITY. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40 Section 13.12 MASCULINE GENDER USED. . . . . . . . . . . . . . . . . . . . .. . 41 Section 13.13 GOVERNING LAW. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41 Section 13.14 NOTICES. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41 August 30, 1994 -iii- DRAFT ti t• , COUNTY OF CONTRA COSTA STATE OF CALIFORNIA FIRST AMENDED LANDFILL FRANCHISE AGREEMENT THIS FIRST AMENDED LANDFILL FRANCHISE AGREEMENT (the "Agreement") is made and entered into this , by and between the COUNTY OF CONTRA COSTA (hereinafter "County") and KELLER CANYON LANDFILL COMPANY (hereinafter "Operator"). RECITALS WHEREAS, the legislature of the State of California has adopted the Nejedly-Z'berg- Dills Solid Waste Management and Recovery Act of 1972 and now has adopted the California Integrated Waste Management Act of 1989, both of which assign certain responsibilities for the County's solid waste planning, management, implementation, and regulation to the Contra Costa County Board of Supervisors; and WHEREAS, on July 24, 1990, the Board of Supervisors of Contra Costa County approved the Keller Canyon Sanitary Landfill Use Permit No. 2020-89 subject to the Conditions of Approval, the Special Land Use Conditions of Approval and the Findings Relative to the Landfill Site Land Use Permit pursuant to the California Environmental Quality Act ("CEQA") and Adoption of a Mitigation Monitoring Program, each of the same date; and - WHEREAS, the County adopted Ordinance No. 88-81, which provides that a solid waste disposal facility may be operated within the County only upon the approval of a August 30, 1994 -1- DRAFT franchise agreement by the County or upon the operator of a landfill entering into a contract with the Contra Costa County Board of Supervisors to prepare the site and operate such facility; and WHEREAS, on 4 December 1990 County and Operator entered a LANDFELL FRANCHISE AGREEMENT ("Landfill Franchise Agreement") in accordance with the requirements of County Ordinance No. 88-81, and to implement the requirements of Land Use Permit No. 2020-89, which Landfill Franchise Agreement has been amended by Amendments Nos. 1 through 10, inclusive, thereto; and WHEREAS, recent United States Supreme Court cases decided under the Commerce Clause of the United States Constitution generally prohibiting states and their political subdivisions from erecting barriers to the free flow of solid waste (and thereby discriminating against interstate commerce) significantly affects the solid waste industry, and affects the parties hereto in that some of the provisions of the Landfill Franchise Agreement, particularly the provisions regarding the County's regulation of rates, may no longer be appropriate or necessary given the current competitive nature of the solid waste industry as a result of said recent Supreme Court decisions; and WHEREAS, the parties now desire to amend certain provisions of the Landfill Franchise Agreement; NOW, THEREFORE, the County and Operator, for and in consideration of the covenants and agreements as hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, do mutually agree as follows: August 30, 1994 -2- DRAFT ARTICLE 1. INTRODUCTORY PROVISIONS Section 1.1 RECITALS INCORPORATION. The Recitals set forth above, and all defined terms set forth in such Recitals and in the introductory paragraph preceding the Recitals, are hereby incorporated into this Agreement as if set forth herein in full. Section 1.2 EFFECTIVE DATE. EFFECT. This Agreement is effective on.the date mentioned in the first paragraph of page one hereof, and as of the effective date, replaces and supersedes the Landfill Franchise Agreement, but does not nullify the Landfill Franchise Agreement for the period preceding the effective date of this Agreement. Section 1.3 CONDITIONS OF APPROVAL. Operator acknowledges and agrees that all of the terms and conditions of the Use.Permit's Conditions of Approval and any amendments thereto, are reasonable, legal and valid and that Operator is barred from any action or proceeding or any defense of invalidity or unreasonableness of said Conditions of Approval and any amendments thereto, and related County decisions. Further, Operator agrees during the period(s) that the Use Permit (and its Conditions of Approval and any amendments thereto) or this Agreement are in effect, Operator will not attack or otherwise assail the reasonableness, legality or validity of any terms and conditions of said documents, or of any provisions required to be included in this Agreement by the said Conditions of Approval and any amendments thereto. The parties acknowledge that the agreement by Operator in this section is a material consideration for County's approval of this Agreement. Section 1.4 OPERATOR ACKNOWLEDGMENT. Operator acknowledges and agrees that this Agreement and the Use Permit (by the incorporation herein of the Use Permit) provide for and allow (among other things) funding for mitigation, provision of August 30, 1994 -3- DRAFT closure and post-closure costs, payment to County of annual franchise revenue fees, and otherwise payment to County and reimbursement of County costs for its governmental administration of the project entitlements. It is understood that, among other things, this Agreement provides for Operator's establishment of its proprietary rates to enable Operator to compete in a solid waste disposal market that has become highly competitive as a result of recent United States Supreme Court decisions. This Agreement also acknowledges that sub-county service areas have not been established. Section 1.5 COUNTY DISCRETION AND INTEREST. Notwithstanding any other provision of this Agreement, Operator acknowledges that County's discretion to grant, approve or deny one or more nonexclusive or other franchises or similar agreements for others is not limited or abridged in any manner by this Agreement; and that this Agreement does not require the approval of any such other franchises or agreements by Operator. County reserves the rights as part of the negotiation and.entry of any such other franchise or agreement to enter a public-private or public-public partnership with other landfill owners and/or to pursue any rights of the County to require ownership of those landfills or this Landfill. _ Section 1.6 USE PERMIT OPERATIVE. Upon the effective Date of the Landfill Franchise Agreement, the Use Permit became operative pursuant to the conditions of the Use Permit, entitling Operator to all rights and privilege thereunder. Section 1.7 NO PREFERENTIAL TREATMENT. With respect to material terms of the relationship between the County and Operator, the County shall offer to Operator terms August 30, 1994 -4- DRAFT at least as favorable as those agreed upon by the County with the operator of any other landfill within the County with whom the County is currently negotiating or may negotiate within the Term of this Agreement. If any such material terms are determined for such other operator subsequent to their determination with respect to Operator, the County shall offer to amend such terms with respect to operator. ARTICLE 2. DEFINITIONS Section 2.1 AGREEMENT. "Agreement" shall refer to this Agreement and is synonymous for purposes of this Agreement with the word "Contract". Section 2.2 ACTIVITIES REPORT. The "Activities Report" is a summary document reporting Operator's activities and overall performance during the preceding Analysis Period or over such period of time as set by the County. The Activities Report shall summarize landfill related activities, including, but not limited to: compliance with the provisions of this Contract and all applicable Permits and Regulatory Agency Requirements, complaints and corrective actions taken, litter management, landfill gas project update, wastestream volumes and analysis, operations and safety training, recycling/resource recovery efforts, Closure Trust Fund status and balance. Section 2.3 ANALYSIS PERIOD. "Analysis Period" refers to the twelve (12) consecutive calendar months beginning the first day of January of each year throughout the term of this Agreement. The first Analysis Period, for the purposes of this Agreement shall begin on January 1, 1994. Section 2.4 BASE RATE. "Base Rate" shall mean the proprietary fees charged by Operator to dispose of Solid Waste or any other waste at the Landfill. August 30, 1994 -5- DRAFT Section 2.5 COMMENCEMENT DATE. "Commencement Date" shall mean the date upon which the Landfill first accepted Solid Waste for disposal under the terms of the Landfill Franchise Agreement and the Use Permit. Section 2.6 COUNTY. "County" shall mean the County of Contra Costa, a political subdivision of the State of California. Section 2.7 DIRECTOR. "Director" shall mean the County Administrator or his designated deputy, other County officer or employee. Section 2.8 EMERGENCY. "Emergency" shall mean a sudden, unexpected occurrence involving a clear and imminent danger, demanding immediate action to prevent or mitigate loss of, or damage to, life, health, property, or essential public services. Emergency includes such occurrences as fire, flood, earthquake, or other soil or geologic movements, as well as such occurrences as riots, accident and sabotage. Section 2.9 GATE FEE COLLECTION SYSTEM. "The Gate Fee Collection System" shall consist of all equipment, hardware, and software utilized for purposes of assessing, collecting, and accounting for Tipping Fees for the disposal of Solid Waste at the Landfill. Section 2.10 GATE RATE. "Gate Rate" shall mean the fee charged per ton to dispose of Solid Waste, or other waste at the Landfill. The Gate Rate shall be the Base Rate plus Surcharge and Mandated Fees, if any. "Gate Rate" shall be synonymous with "Landfill Tipping Fee" and "Tipping Fee." Section 2.11 HOURS OF OPERATION. "Hours of Operation" shall be those times during which the use of heavy equipment and other machinery necessary for operation of the August 30, 1994 -6- DRAFT Site in compliance with the Use Permit, the Solid Waste Facilities Permit and this Agreement will be allowed. Section 2.12 HOURS OF ACCESS. "Hours of Access" shall be those times during which Solid Waste may be delivered to the Landfill for disposal. Section 2.13 LANDFILL. "Landfill" shall mean the Landfill described in Exhibit A where the disposal of Solid Waste will occur. For purposes of this Agreement, "Landfill" shall be synonymous with "Site." Section 2.14 MANDATED FEES. "Mandated Fees" shall be those monies required from Operator from time to time by any Regulatory Agency for the purpose of funding (a) Federal, State or regional programs, (b) programs required by the Land Use Permit, or (c) other County established fees. Section 2.15 OPERATOR. "Operator" shall mean the holder of the Use Permit or its assignee. Section 2.16 PERMITS. "Permits" shall mean any and all governmental approvals, entitlements, clearances or classifications, including but not limited to, the Use Permit, general plan amendments, environmental impact reports, zoning approvals, conditional use permits, waste discharge permits and requirements, facilities permits, permits to operate, permits to construct, closure plans, building permits, encroachment permits, grading permits, tree removal permits, tract/parcel maps and all other governmental permits, consents or approvals as may be necessary to allow Operator to construct and operate the Landfill. Section 2.17 POST-CLOSURE MAINTENANCE. "Post-Closure Maintenance" shall mean those activities as required by law to be undertaken at the Landfill, following Site August 30, 1994 -7- DRAFT Closure to maintain the integrity of containment features and/or to monitor compliance with applicable performance standards as specified by law. Section 2.18 REGULATORY AGENCIES. "Regulatory Agencies" shall mean Federal, State and local agencies responsible for regulating the operation and maintenance of sanitary landfills, such as, but not limited to, California Integrated Waste Management Board, California Regional Water Quality Control Board, California Department of Health Services, the Contra Costa County Department of Health Services as Local Enforcement Agency for handling and disposal of Solid Waste, the Bay Area Air Quality Management District and the County. Section 2.19 SCHEDULE OF DISPOSAL CHARGES. The "Schedule of Disposal Charges" shall mean a list of waste types and corresponding fee amounts to be charged at the Landfill for disposal of waste types. Section 2.20 SITE CLOSURE. "Site Closure" shall be the cessation of Solid Waste disposal at all or portions of the Landfill and subsequent operations necessary to prepare the Site for Post-Closure Maintenance in accordance with law, Regulatory Agency requirements and Permits. Section 2.21 SOLID WASTE. "Solid Waste" shall have the meaning set forth in Section 40191 of the California Public Resources Code as it may be amended from time to time, as follows: "40191(a) Except as provided in subdivision (b), 'solid waste' means all putrescible and nonputrescible solid, semisolid, and liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes, industrial wastes, demolition and August 30, 1994 -8- DRAFT 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. "(b) 'Solid wastes" does not include hazardous waste or low-level radioactive waste regulated under Chapter 7.6 (commencing with Section 25800) of Division 20 of the Health and Safety Code. "(c) 'Solid Waste' does not include medical waste which is regulated pursuant to the Medical Waste Management Act (Chapter) 6.1 (commencing with Section 25015) of Division 20 of the Health and Safety Code). Untreated medical waste shall not be disposed of in a solid waste landfill, as defined in Section 46027. Medical waste which has been treated and which is deemed to be solid waste shall be regulated pursuant to this division." Section 2.22 SOLID WASTE PROGRAMS. "Solid Waste Programs" shall mean those programs directly related to solid waste which may include: transfer stations, household hazardous waste programs, recycling and resource recovery programs, Agreement and Use Permit administration costs (including legal, engineering, and accounting and other costs of the County). Section 2.23 SPECIAL HANDLING WASTE. "Special Handling Waste" shall mean certain Solid Waste materials permitted for disposal at the Landfill which, because of their volume or type, will require special handling by Operator such as, by example only, sewage sludge, tires, fencing, large appliances, large dead animals, concrete and asphalt. All Special August 30, 1994 -9- DRAFT Handling Wastes accepted at the Landfill shall be specifically identified in the Schedule of Disposal Charges. Section 2.24 SURCHARGE. "Surcharge" shall mean a special charge as required by the County and this Agreement, for funding of Solid Waste Programs, closure of.landfills in operation prior to 1990 and for franchise fees and other costs as deemed appropriate by the County. Section 2.25 SURCHARGE PAYMENTS. "Surcharge Payments" shall mean those monies received by Operator as a Surcharge and remitted to the County in accordance with the terms of this Agreement and of the Permits. Section 2.26 USE PERMIT. "Use Permit" shall mean Contra Costa County Land Use Permit No. 2020-89, together with all Conditions of Approval applicable thereto, including any amendments thereof. ARTICLE 3. TERM OF AGREEMENT This Agreement shall remain in effect until 38.4 millions tons of waste have been disposed of in the Landfill, or such lesser time as may be prescribed by law. It is the parties intent that the term of this Agreement shall be the estimated life of the landfill expressed in terms of capacity as of this date: 38.4 million tons less the tonnage of waste disposed of prior to the effective date of this Agreement. ARTICLE 4. PERFORMANCE OF OPERATOR Section 4.1 OPERATION OF LANDFILL. Operator shall operate the Landfill, in strict compliance with, and subject to, the terms and conditions of this Agreement, the Permits and other applicable requirements of Regulatory Agencies. August 30, 1994 -10- DRAFT Section 4.2 WASTE STREAM. Nothing iri the terms and provisions of this Agreement shall be construed to grant rights of exclusivity with respect to Solid Waste generated in any geographical portion of the County; nor shall this Agreement preclude or in any way restrict the County from entering into substantially similar agreements with other parties for Solid Waste disposal operations at other locations; provided that the terms and conditions of such other agreements shall not be substantially more favorable to the other operators than the provisions of this Agreement. Section 4.3 WASTE TYPES. Operator shall operate the Site in strict compliance with the Permits and laws; provided, however, Operator may refuse to allow the disposal of certain categories of Solid Waste after obtaining approval by the County, which approval shall not be unreasonably withheld. Operator shall provide sixty (60) days' notice to all affected parties prior to proposing County approval of Operator's tentative decision to disallow disposal of the affected Solid Waste. Section 4.4 UNACCEPTABLE WASTE. Operator shall not allow disposal at the Site of material other than waste allowed by and subject to the terms of all Permits and laws. It is recognized that some non-approved materials, including certain hazardous wastes, may. occasionally be unloaded at the Site by users thereof. Operator shall train its on-site employees to recognize such unacceptable wastes and materials. In the event that unacceptable waste is deposited at the Site, it shall be handled and removed by Operator in accordance with procedures which shall be developed by Operator and submitted to the County for approval prior to the Commencement Date. Nothing herein is intended to relieve the person or persons depositing or causing to be deposited such unacceptable waste from August 30, 1994 -11- DRAFT any liability. Operator retains the right to use all legal means to recover costs of removal and alternate disposal or treatment from such person or persons. Section 4.5 INSPECTION, INVESTIGATION. AND EVALUATION OF SITE. Operator acknowledges that it has and shall continue to inspect, investigate, and evaluate the Site regarding its suitability as a Solid Waste disposal site. The Site shall be immediately accessible at all reasonable times to Regulatory Agency officials for any reasonable, lawful and proper purpose. County officials shall usually give reasonable notice to Operator of their intention to visit the Site or if such notice is not given, shall notify Operator's on-site personnel of their presence on the Site. County shall not incur liability arising from the discharge of its inspection responsibilities, either by commission or by omission, except for its tortious conduct or breach of duty resulting in death, injury or property damage while engaged in its inspection responsibilities. The inspection of the work shall not relieve Operator of any obligation to perform under this Agreement. Operator shall remove and replace or repair any work not in compliance with those Permits, laws, ordinances or regulations applicable to the Site. Section 4.6 PERMITS. Operator shall obtain and maintain in force all necessary Permits and/or other approvals from the Regulatory Agencies for the Landfill. Upon receipt of each such Permit or approval, a copy thereof, together with all conditions or requirements attached thereto, shall be delivered by Operator to the Director. Section 4.7 STATUS OF TITLE. Prior to the Commencement Date, Operator shall provide to the County reasonable evidence sufficient to establish that Operator is in possession of and/or has the right to use the Site for the purpose contemplated. August 30, 1994 -12- DRAFT Section 4.8 GATE FACILITIES. Operator shall supply, construct and thereafter maintain gate fee collection facilities. The facilities shall be designed and located as necessary so as to expedite the fee transactions and shall be attractively finished and landscaped. The facilities shall be consistent with the Use Permit for the Site. Operator shall supply, construct, and maintain truck scales as necessary to expedite the fee transactions, prevent traffic back-up, and allow for occasional maintenance and repair. The scales shall be compatible with the Gate Fee Collection System approved by the County, in accordance with Section 5.1 of this Agreement. The scales shall be open and in working order during all Hours of Access at the Landfill. The sole access to the Site for vehicles carrying solid waste shall be the Landfill entrance, and all waste disposal vehicles shall be recorded by the Gate Fee Collection System. Operator shall make provisions for quick repairs of the scales by competent technicians to minimize downtime. The scales shall meet all State requirements for design approval and accuracy for State certified scales. Only those scales functioning in accordance with all applicable regulations shall be used. Operator shall obtain the State of California certification for scale accuracy. Operator shall supply, deliver and maintain utilities to the Site and shall be responsible for all on-site and off-site costs and service charges in connection therewith. Section 4.9 OPERATION OF GATE FEE COLLECTION SYSTEM. Operator shall operate the Gate Fee Collection System, including the providing of all labor and materials necessary with respect thereto. Such operation shall be for all Hours of Access. August 30, 1994 -13- DRAFT Section 4.10 FEE COLLECTION. Operator shall collect, count and account for all Landfill Tipping Fees and waste quantities from each user at the Site. Said fees shall be collected in accordance with the rates applicable pursuant to Article 6 of this Agreement. In the event that no scale is operable at any given time, vehicles will be charged based upon the weight certified by the originating transfer station or based upon a flat fee or volume fee schedule established by the parties in advance. Operator shall furnish the County with monthly reports on the number and types of vehicles and waste tonnages and/or volumes, as appropriate, of the various types and Gate revenue. Section 4.11 PAYMENT TO COUNTY. Operator shall pay the Surcharge Payments required by Article 6 to the County monthly in arrears. Operator shall pay the Surcharge Payments to County within thirty (30) calendar days after the close of the prior month in which they are collected. Section 4.12 HOURS OF ACCESS. For purposes of this Agreement, unless otherwise required by the terms of the Permits, Hours of Access shall be those specified in the Solid Waste Facilities Permit. Should the Director declare that an emergency exists, Operator shall keep the Landfill open as instructed to allow for the orderly disposal of Solid Waste generated or created by such emergency conditions at no additional charge or increase in the Gate Rate. The scheduled Hours of Access may be changed in a manner consistent with permit requirements. Operator may, in its sole discretion, observe the following holidays and close the Landfill: New Year's Day, Easter Sunday, Memorial Day, Independence Day, Labor Day, August 30, 1994 -14- DRAFT Thanksgiving Day and Christmas Day, or other major holiday as approved by the Director. Section 4.13 NONDISCRIMINATORY SERVICE. Operator shall provide nondiscriminatory service for Solid Waste disposal to all users, and shall abide by all Federal, State and local laws and the Land Use Permit. Section 4.14 ACCESS ROADS. HAUL ROADS AND SERVICE ROADS. It shall be Operator's responsibility to provide and maintain all roads required on the property for purposes of transporting refuse to the actual point of disposal, or transporting earth materials for fill within the Site, and such other roads as may be constructed for its convenience. Haul roads shall be well maintained. The surface shall be reasonably free from potholes and depressions. A safe, all weather access to a disposal area shall be provided at.all times. Section 4.15 LITTER MANAGEMENT. Operator shall maintain and keep the Site and its access road reasonably free of litter and other refuse. Operator shall be solely responsible for maintaining the Site in a clean and sanitary condition, and shall be responsible for any public nuisance created as a result of its operations. Operator shall control on-site and off-site litter or debris in accordance with the Use Permit and the Solid Waste Facilities Permit. Section 4.16 ENVIRONMENTAL MITIGATION. Operator shall comply with all environmental mitigation measures reasonably and lawfully imposed by Regulatory Agencies including those imposed by the Use Permit. Section 4.17 RECYCLING/RESOURCE RECOVERY PROGRAMS. Operator shall cooperate with the County and reasonably participate in satisfying the ancillary waste needs of the County, including participation in a County sponsored recycling/resource recovery August 30, 1994 -15- DRAFT plan and litter program, and/or any other activity which the County deems is appropriate for inclusion in the County Solid Waste Programs. Section 4.18 ACIEDi FS REPORT. Operator shall, by the first day of January of each year, assemble and provide to the County the Activities Report for the most recent Analysis Period. The Board may direct,_upon ninety (90) days written notice to Operator, that the report provided in the Activities Report be made semi-annually. Section 4.19 PENALTY SCHEDULE FOR NONCOMPLIANCE. In the event that noncompliance by Operator with any condition or provision of this Agreement, or any applicable Permits or Regulatory Agency requirements is determined by the County, County shall notify Operator of the identified noncompliance. Following notification of noncompliance, the Director may impose penalties per noncompliance upon three (3) days notice to Operator in accordance with the following penalty schedule until such time as compliance is achieved: $ 500.00 per day during the first week of noncompliance $ 750.00 per day during the second week of noncompliance $1,000.00 per day during the third week of noncompliance $1,250.00 per day for each day thereafter. At the time the Director imposes any penalties, the amounts due for each day of noncompliance shall be the above amounts subject to annual CPI adjustments, the applicable index to be reasonably selected by the Director. August 30, 1994 -16- DRAFT Notwithstanding the above three paragraphs, no monetary penalties will be imposed by the County in the event that Operator and/or said Regulatory Agency are diligently pursuing the process of correction or mitigation of the event(s) causing noncompliance. Operator shall have the right to arbitrate any action taken by the County under this provision in accordance with Section 13.7 of this Agreement. Section 4.20 RECORDS. Operator shall keep separate and accurate records for the Landfill as provided in the Use Permit. The County may, at its own expense (which may be recovered as a Solid Waste program cost), at any time during the term of this Agreement, have the books and records of the Operator examined for the sole purpose of verifying Operator's compliance with the requirements of this Agreement. County shall give thirty (30) days written notice to the Operator in advance of such examination date. ARTICLE 5. PERFORMANCE OF COUNTY Section 5.1 GATE FEE COLLECTION SYSTEM. The computerized Gate Fee Collection System, which shall be provided by Operator in accordance with Section 4.9 of this Agreement, shall be approved by the County, which approval shall not be unreasonably . withheld. Section 5.2 INSPECTION OF SCALES. The County may, from time to time during regular business hours, inspect the scales and test the accuracy of same. ARTICLE 6. RATES Section 6.1 BASE RATE. The Base Rate shall be determined and established by Operator at its sole discretion. Notwithstanding section 4.13, it is understood that the August 30, 1994 -17- DRAFT Operator need not charge a uniform Base Rate to all customers, but may vary the Base Rate as between different customers based on various factors determined by Operator, including, but not limited to, the quantity and type of waste delivered by each customer to the facility and whether each customer has entered into a disposal agreement with the Operator.in which the customer agrees to dispose of some or all of the customer's future waste stream at the Landfill. Gpemter sheR at all times maintain on fHe %4th the Gounty, et sehedule of Base Rates Swfien MAeme M pfeprietuy er Base Rate. The sehedule may iftelude a stawlard Base and Gate Raw wh whedule ef Base and Gate Reft shall be updated widtift ten days ef material me&fieatien Base-md-Gate Rate, and entering ef a dispeseA agr-eement er- ethef- agreement with new eustetHer. > the Gounty, August 30, 1994 -18- DRAFT and the and Gpemter- shaR provide • Tewffds this end, Gounty may Fequest, . Section 6.2 SURCHARGE. The County may determine and establish at least once every two years, effective on the date determined by the Board of Supervisors, the Surcharge, which shall be added to the then applicable Base Rate, and collected as part of the Gate Rate. Operator will be provided at least ninety (90) days' written notice of any newly established Surcharge. In the absence of the County establishing a particular Surcharge amount, the Surcharge to be collected by the Operator for the County shall be thirty percent (30%) of the then applicable Base Rate. Section 6.3 GATE RATE. The Gate Rate shall consist of the Base Rate, Mandated Fees, and Surcharge. Section 6.4 INITIAL SURCHARGE. Effective on the effective date of this Agreement, the Surcharge shall be: a. a% of the Base Rate less the amount of all Mandated Fees imposed and received for use by the County with the exception of Mandated Fees imposed for 1) any household hazardous waste program, 2) any fee imposed pursuant to Public Resources Code section 41901, as said section is amended from time to time, for preparing, adopting and implementing a countywide integrated waste management plan ("AB 939 Fee"), or any future similar waste management fee, and 3) fees imposed pursuant to sections 35.1 and 35.2 of the Use Permit. (It is the parties' intent that the fees described in the preceding sentence shall August 30, 1994 -19- DRAFT not be a "credit" towards the % surcharge.) The parties understand that any fee which may be required in accordance with Section 35.3 of the Land Use Permit (Property Value Compensation Program) are Mandated Fees. . r • � ,+mss}.}:,:::;:::�:r{.:: :....,...;.. {s:.: -.«x.:::::::>:<. "�...'' }::::};?:?.,...,,.....•r.,.,v,.,,r:,-v::.......:..:.........::......................:..h..-r...::..-,....-,:..::..•'•.,.:..,:.:},,,,•.'i..:',�.r.r�.t:.t•�:�•.•••,�~:.:.?}�r•;£`::s;::N.;a,,:.:.w.,,:....rw:,..v:.}w}}:::::c:?.w'!4.-A," +„w:}ahh�r,�.r.3•��k27�2•;:: ;.rf. .;4:QC .ytt ,.sy.:. �. ..r:i- :-•r•;{.:.k?::::..r4:i: 4w >:..:....:. .t_ ........ r • %i��rr77��E��4 �'�`�If�C:��rv��..`} INN' "t�'lA:'� �` .���.:.4it�lid. .,:�:'�. ... ,�3:r:::' '.'w•, :k..'•£C`~{'4;c4kkrz?.ffi££+'::k?rti. •..k x.:•>.:s'a:':TA:t.+:k?�o-'.a:2{wt?:£c.:c :•��d�`,��c#§LkS�2Jctxcl':ak"E. �Q.'f v - :+{-::}i['{ .ti�'J.S:t}••:• {r.}:v.x.}.ut.{.ti:?:p:{4whtr.;Yi... .::Z::`-,`{.:-Y.yv:;::�•';:4:•'fFi:•:{:}:•}.....:.�;.. ,.v..}ii?%+'IV::�:4a.ti4... ":{=.',�,r:�k`idx.�{e3*7.4oJNi�,..`:::::...,.......,...::niti::h:,:vv.:,..�'4:rrwct,.fi{•xt4xh�.a.tart},c�:a:\,ra�eraesa3e"\^-i;�r- '\W'Zw,w.,•:...'t{aEcVaa..rh��c Debrha����� .,ek3o�0d .. •„:.t:,ter: ,v-.,•,••. - ......�. •, .: ....,.??:;??;??{:4:4:?•i:?4???:???S•:•.:•.,,,?vv:���:•:•.v.:�•.•.•....:............,�:i•'....\\.+.. .. \. ,..... .4�-.:vt?..:i:iv:...::...........r....,........,..v...x?:.M::.Jv"}.{:vi. ,,,,., •:4\ti{iAv:+r.4i'•kisk�:+::vv?:;vvj}i?ii?:i<.i?}::...v:.vv::.v:.;?;4}??i:. ,?£.rti r\}:{•}?i:,v., ....: ..4.n:t:•:r:{:.w,.•:•r•}•:.}::rr�:rr}-t-Y:•.r• :::.•:::.y::::.:r...::.?}:•::;:?...........:.,�:•r:r:t•}'4???.,.?:....::::::..::::.::::r:r:--:.:;;:r:�.}:.:;-?::;.::...:.:;:;:..;..:r:-r,. f{{N'•+:ut7••.. .r.::t :.:•::t�:R f:..:..r...:..:. ;:r;r,.,:z't'.:::•} :�..:..;,�. •:.f•::::..r.... ......... : � :.>:{ w .}...w.,.::?:.�.:..,..�::r..h?:\.�e}�{a.4,c4wx{4.,•..srf,4:.{ta:cceca .r w..S.,..,nrr,�,o}}:3}..uu..c;r�:aae-r,vfi,oco-ww SoaaaLxv;.vah..c.,.ZcwSwx,{{cooww����wwbo b fF. � •.:•.z�yy. r::r:.•. ,,, ... n.,�....:% ,y a� w:::�v:{:. n:r...: ..:r....ti}.,,:., '.:':;.y: ..:..........,.........v..h.-,wa •}w.v}k3'x.Vn.:...............r}y::. r.:..v vr.. ..v•r:.,..v.:rw:.v:r.:;:nvnv:hw.}':i'-}:t;•}in\: ':h:.}:4...v-..�.:-v:-....;:-:.:. .:}i...,....}?:<:i<i4}.v:}:C<;::::::': ..:. '. � �...:..�:� .-�'.l-•'.•::� :: .e:.:;�p � � .,�. •�da€t:•� r<�3c��' , k.�#I <� .t `� ��: `"tom . b. For Solid Waste received at the Landfill via the Acme Facility, the Keller Surcharge and any other Keller Mandated Fees shall be collected at the Acme Facility together with the Acme Surcharge and any other Acme Mandated Fees. August 30, 1994 -20- DRAFT Section 6.5 DISPOSAL CONTRACTS. For all contracts for the disposal of Solid Waste entered by Operator, the Surcharge applicable at the time of the disposal contract shall apply for the life of said disposal contract. The parties agree that any later established surcharge amounts shall not apply to waste received pursuant to such Solid Waste disposal contract for the life of said disposal contract. Operator shall advise County of any disposal contract subject to the privileges of this section immediately upon execution. 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Y •.:•rraY.ecr�::tom}:!;�;a•,- ...»>:^y,:.+Y::;:.:. .. ..!yY.:y7kow:: -::;;m,y�:5::::::ii..v:p:4:�.G•:,i•:.4:,•::•::•:•:!�yi.}{•-:,:/}:�4::•: Sii;:::.:-:n..�:•N•• <, J.„r;. �Y'.St�v,: Sry _ ::1.,:p••r¢.. .. i'Y'.� •}:•Y•F.%.:...�:is4nY}:• .vLv..-%...xwrC:.y:::v,:w;:::w•y}}}i-•:::-.i--ry}}n;:;4.\,;.:i;.y w::b}:at•44r•.}:xx%h'•}%+:":!:':,S:r.. n}%w.xv%.}?w:-.}Y.-KV?SVyn;•%.w:••.}:'+i%rJ :}::1.{yY..}...+f.}};::�'fi'r{!^r ' �fj�,�:j:.f:.�:.,�%�••Y`•�.::oyt�a.+%a}.•}}�x;•�.}Y::is,Krtc;.%. ;i�.`.[.y:�,•{::�,..xm:•••}#w:�%::+%.::.,»rry+w;.}: •^;w• }%:}}�,�+j%y%��%�4y. r .::fco::":%........;-:x%.:,x..:.,..,.:•.:...::�.,.',.�.iy�r.}.,>�},::�-.}...!.y>r{.:�r,�:-:�::`} r�,:{,.�y.,K 2i3C'%��1.�Nr�+�?��:Q1.�:iF1t ?:iA�lLft -?iV}�ti:��....'fi'�:,'��:i�:.{'�L+ik7��.....��>.:: .�: d:v:�:�R'L�:::;7:#R�l�a�•r:•.�~.' '\�i2S�G �v August 30, 1994 -21- DRAFT ; • , - v:::•::::::::::.-v:.:::::•:x:v::};'::::::::::i^}S:L>}:::?i}}i:-'i'is"4:-}Ti}Y..::.:::.:.:........::::::.....::.....:::::::::..:.. v!\'h7id;::`ial%T�I:.C113 � 'V.7::i .'.)CA:t3�i#:�-i':�:V'.-I:CRs.�: :: �':YY:�/AS:i-1R13��i:C. .-'1\M-'117:��3.Vksi- :..�lRi.\fAi✓i7'::R'k•711:::K::' Lli.K.AR: v:.,v:vv....:•v._n-:::.:�.w::n_:..gin n..v..: .... v:::: K::v::-v::::::v \ 1.........,Y.:...h.....,..:...�' .�.n;n... .�:..:s.a..w>.J.yw.:oY.::iwk.::.:...:..,.':::;a•:.:i:.i%;::•.=i.3:wY::i. � .-::;:i>:Gi '�tc�;i.i:`»�i'a.dN>..;s'•S#.Giw:,�„i3t3:..>.ia':;:' vS+::wi;:;;:::,..>.•:3:<::,•::;`:.':•.v., avia.'ah'K:"'-:::Sia;;St` ka'•ca:w-:aiaSuo-i+o�.i.axaxaoo:ai;a.6cSi^S• lt`.SF.S�::; ,SAG�Sa^fdGt{Gt' '>:�::�.•>�'..`i :.•::--::::.:::.-::::.,,-::.....my ��::::,:::::.::::...,-::::::.-::::::::::.:::::::::..-::::-::::..... - }>��`. �vvartls:�th��: dig:<•.��•�duA�'..�: ::>� -�� �� ui �� � . .�i �=:::tib......, .. ...�...........�... ..�.......}.,�,Y.� u ' ori ...� :: xu.:;.`�s:;-::f..';;:s:;;•:;-:;-:;;;;:;.'._•:::::::..::s::;a;;s:;;::::::::.,:....3 ..;-xss»:::�!:-::<rf••r::=i::: ;y�Y�,::isi�f��''-•. "`�xk;.::'ar�..'R..`tro-Y�.:ati:;;�w:.•u:::>:.�:.ay .;.Sii:'t•'t.:.'a:::swx`,;;;: • '. ..:,�c3(r .�.�f���li�.�'.'.•awu,!?.`..�'..�..�'...••. �'?1+y�.�..> ... ..:��yJ??.i!.14�;:: �•Y �•���45.'.�..�..':-%: .........:.�:::..: : +:.:ius:;sx�::•rwa::Ec2fi�..'x�io-r.:,:•'.:5.`•>.f}.'.. :.;;.>:->.,.t:•.'•:i:;�;o-;,.-:.:.:::,�.,.•:.::.:::rte.»»:-:;•:»>.-.o>..r:-::•:,.a.::.,:>>r-an:.:s.: :sr:� .... .. w: ARTICLE 7. PERSONNEL Operator shall assign qualified personnel to operate the site as may be required to assure a smooth and efficient operation in compliance with all applicable Permits. The County has the right to request, in writing, administrative action, including the removal of any employee of Operator who violates any provision of this Agreement, or who in the opinion of such requesting party is unsafe, negligent, or discourteous to the public or others in the performance of his/her duties. Upon receipt of such a request, Operator shall immediately take whatever administrative action, which, in its judgment, is necessary to resolve the situation. Such action may include removal of that employee from the Site. A Site Supervisor employed by Operator shall be present at the Site at all times that any operations are being conducted thereon. Operator shall file with the Director the names, addresses, and telephone numbers of the Operator representatives who can be contacted at any time in case of emergency. These representatives shall be fully authorized to respond so as to resolve the emergency. ARTICLE 8. LANDFILL GAS If at any time Operator voluntarily pursues the sale of gas produced from the Landfill or the sale of electricity produced by burning said gas, County may require the payment of a August 30, 1994 -22- DRAFT Surcharge thereon. ARTICLE 9. CLOSURE AND POST CLOSURE Section 9.1 CLOSURE RFSPONSIBILMES. Operator shall be responsible for Site Closure and Post Closure Maintenance of the Landfill according to all Permits and requirements of the Regulatory Agencies. Operator will hold the County harmless for the performance of its duties under this Article. The County and Operator recognize the inevitability of Site Closure. Both parties also recognize the existing uncertainties yet to be resolved which may impact the date and total cost of Site Closure and the need to commence closure activities promptly upon cessation of disposal activities in a discrete portion or phase of the Landfill. The parties intend to provide for the public interest by assuring that the appropriate financial mechanisms are put in place by Operator to provide funds to pay the costs incurred for Site Closure and Post-Closure maintenance as required by law. Section 9.2 FINANCIAL ASSURANCES. Operator shall provide all financial assurances necessary to satisfy the provisions of Public Resources Code Section (formerly Section 66796.22 of the California Government Code), Title 14, California Code of Regulations, Division 7, Chapter 5, Article 3.5 and all other applicable provisions of California and Federal law. The financial assurances shall include the establishment of a trust fund or equivalent financial arrangement as evidence of financial ability to provide for the cost of closure and post-closure maintenance as required by law. Operator shall consult with the County with respect to proposals to be made to the State regarding the financial assurance to be provided. Operator shall,provide the County with adequate notice of any August 30, 1994 -23- DRAFT J filings with the State or hearings with respect to such proposals sufficient to allow the County to participate in and provide input to the State on the State's determinations on closure and post closure requirements, including financial assurances to be imposed on the Site. Section 9.3 PERFORMANCE. Operator acknowledges that under State and Federal law, Operator shall have the responsibility to perform both closure and post closure activities in a timely, cost-effective manner. Performance by Operator shall be determined in accordance with State and Federal statutes. The County and Operator agree that, to the extent site closure and postclosure activities are funded from the Landfill rates, it is in the local public interest to assure timely, cost-effective closure and postclosure activities. The County shall have the right to conduct such technical and financial review as it deems necessary to protect the local public interest. Section 9.4 SIGNING OF INSTRUMENTS AND DOCUMENTS. From time to time, either party shall at the request of the other party and without further consideration, execute and deliver such instruments and documents as may be reasonably necessary in order to effectuate the purposes of this Article 9. Section 9.5 FAILURE TO MEET CLOSURE AND POST-CLOSURE OBLIGATIONS. In the event that Operator fails to perform its obligations as set forth in this Article 9, or to enter upon performance of same with due diligence after the determination of an event of default in a manner described below in Article 11, the County may enter the Landfill and perform the Site Closure and Post-Closure activities required to remedy the default and expend Site Closure funds for the costs involved. August 30, 1994 -24- DRAFT ARTICLE 10. UNINTERRUPTED OPERATION Section 10.1 ASSURANCE OF UNINTERRUPTED OPERATION. Operator, in entering into this Agreement, assures that it will provide from the Commencement Date for the operation of a Solid Waste disposal facility at the Landfill in an uninterrupted manner for as long as the Site is useful and usable, except as provided in Section 11.4 below. Operator acknowledges the hardship that would occur if the Landfill is not operated properly or is prematurely closed. The County and Operator.recognize that in the ordinary course of events, certain unexpected events may result that may place a burden on the requirement of uninterrupted operation. However, it is the purpose of this Article 10 to establish that it is Operator's obligation to avoid any interruption of operations except for those that are outside of Operator's control, as provided by Section 11.5 of this Agreement. Section 10.2 LABOR DISPUTES. In the event of a labor dispute, Operator shall use its best efforts to keep the Landfill open and to operate it in accordance with this Agreement unless a mutually acceptable disposal alternative is agreed upon by Operator and the County. ARTICLE 11. DEFAULT. REMEDIES Because of the complex nature of this Agreement and the work to be performed hereunder, together with the need for close cooperation and coordination between the parties, it is not anticipated that either party will declare the other in default under the terms and conditions of this Agreement except as a last resort. However, in the event of any such necessity, the following provisions are made a part hereof. Section 11.1 FAILURE TO PROSECUTE WORK. Should Operator fail to prosecute the work or any severable part thereof in conformity with the requirements of this August 30, 1994 -25- DRAFT Agreement, the Director shall provide written notice to Operator specifying in detail the defect or default in performance (the "First Notice") and Operator shall have the right to cure same within a reasonable period of time. If after the First Notice is provided to Operator, the work is not performed in accordance with the Director's specified time frame and a reasonable time to cure so as to ensure its completion in accordance with this Agreement, the Director shall serve further notice (the "Second Notice") upon Operator of the County's intention to take further action as provided by law. The Director shall make appropriate and detailed written findings of fact which specify the event of default. No earlier than thirty (30) days after the Second Notice, County shall have the power and ability, if Operator is still in default, to take such actions as provided in law for remedying the same, including the termination of this Agreement. Should the County fail to perform any of its obligations under this Agreement, Operator may declare the County in default after following the same two notice and findings provisions required of the County above. Thereafter, Operator shall have the power and ability, if the County is still in default, to take such actions as provided in law for remedying the same, including bringing suit in a court of appropriate jurisdiction for equitable or legal relief or both. The foregoing notwithstanding, neither party may bring an action seeking money damages unless it has first provided the other party with 30 days notice of its intention to do so together with written notification of the specific actions which the other party may take to remedy the default which will form the basis for the claim for monetary damages. If the August 30, 1994 -26- DRAFT other party in good faith commences the actions specified within the thirty (30) day period, the first party shall not bring the action for damages. Section 11.2 CONVICTION OF CERTAIN CRIMES. Operator agrees that a single conviction of Operator, its parent, subsidiaries or operators, or their officers or employees at the level of Site operations manager or above, acting within the scope of their employment, of bribery, antitrust, corruption or theft relating to or involving directly the Landfill Site shall constitute an event of a breach of this Agreement subject thereupon to the provisions of this Article unless Operator, promptly initiates and follows through with appropriate disciplinary procedures and action considering the nature of the offense and resolution by the courts. Section 11.3 CONDEMNATION. In addition to any other remedy available to the County, it has the right and authority under law to condemn the Site. Section 11.4 RIGHT TO TAKE/RIGHT TO POSSESSION. In the event that Operator chooses to no longer operate the Site, Operator agrees that it will give County notice of its intention to cease operation ninety (90) days prior to the cessation. If, after receiving such notice, County initiates eminent domain proceedings to acquire the Site, Operator agrees that it will not object to or contest County's right to take, or right of possession of, the Site. Nothing contained herein shall constitute a waiver of the right to contest valuation at any stage of the proceedings. County and Operator agree that the provisions of this paragraph may be enforced by means of the remedy of specific performance. Section 11.5 FORCE MAJEURE. Operator shall not be liable for a default if the August 30, 1994 -27- DRAFT failure to perform under the terms and conditions of the Agreement arise out of causes beyond the control or without the fault or negligence of Operator. Such causes may include, but are not limited to, acts of God, or the public enemy, acts of the County in either its sovereign or contractual capacity, fires, floods, earthquakes, epidemics, quarantine . restrictions, suppliers' and vendors' strikes and all other labor disputes, freight embargoes, and unusually severe weather; but in every case the failure to perform must be beyond the control and without substantial default or negligence of Operator. Operator shall make every reasonable effort to mitigate the effects of said causes. Section 11.6 SPECIFIC PERFORMANCE. Notwithstanding any other available remedies, the obligations duties and rights of each party under this Agreement shall be specifically enforceable by the other party. Section 11.7 NONEXCLUSIVE REMEDIES. The rights and remedies of either party to this Agreement as provided for in this Article 11 shall not be exclusive, and are in addition to any other rights and remedies provided by law or under this Agreement; except that the right of either party to seek monetary damages is limited as provided in Section 11.1 above. ARTICLE 12. INSURANCE AND BONDS Section 12.1 WORKERS' COMPENSATION. Operator hereby acknowledges that it is aware of the provisions regarding Workers' Compensation, Section 3700 of the Labor Code. Operator shall comply with the provisions of such Section as amended from time to time with regard to its employees and shall supply to the County forthwith upon execution of this Agreement, and annually thereafter, evidence of such compliance. August 30, 1994 -28- DRAFT Section 12.2 PUBLIC LIABILITY. If a willing company can be located by either party hereto, and the premium for the policy or policies required hereunder is reasonable in the opinion of County, Operator shall obtain from a good and responsible company or companies doing insurance business in the State of California, and pay for, maintain in full force and effect for the duration of this Agreement and any extension, a policy or replacement policy of comprehensive liability insurance for the Landfill, in which the County is named as an additional insured with Operator. Operator shall furnish a Certificate of Liability Insurance to the Director before execution of this Agreement by the County. Notwithstanding any inconsistent statement in the policy described by the Certificate of Liability Insurance or any subsequent endorsement attached thereto, the protection offered by the policy shall: (a) Include the County, its officers, employees and agents while acting within the scope of their duties under this Agreement, the Use Permit, or any other County ordinance, resolution or other rule relating to the operation, maintenance or closure of the Landfill, as an additional insured covering said duties against all third party claims for negligence; and for indemnification of the County as provided by this Agreement. (b) Provide for a combined single limit policy not less than $10,000,000 per occurrence, combined bodily injury and property damage; such policy may exclude liability for bodily injury and property damage caused by toxic wastes. At every fifth year of this Agreement, this $10,000,000 minimum limit shall be increased as directed by the County but not more than 30% for each such five year period. Section 12.3 OTHER INSURANCE PROVISIONS. All insurance policies required August 30, 1994 -29- DRAFT by this Agreement shall bear an endorsement, whereby it is provided that, in the event of expiration, or proposed cancellation of such policy for any reason whatsoever, the Director shall be notified in writing not less than thirty (30) days before expiration or cancellation is effective. Expiration, reduction or cancellation of any insurance policy required by this Agreement without obtaining a replacement policy pursuant to Section 12.2 to meet the requirements herein shall be considered a breach of.this Agreement by Operator. Operator shall also carry such other insurance as may be required by law. Operator shall be solely liable for any claims or liabilities caused by its failure to maintain insurance required by law. Section 12.4 FAITHFUL PERFORMANCE SURETY. Operator shall, prior to acceptance of waste at the Site under this Agreement, provide to the County an irrevocable Performance Surety Letter of Credit in the form set forth in Exhibit B hereto guaranteeing Operator's performance of all provisions of this Agreement (except Article 9, relating to Site Closure, for which separate financial assurances are required by applicable law) in an amount of not less than $1,000,000.00. This Letter of Credit may also be utilized to meet the security and performance requirement of the Use Permit, except as to the closure requirements which will be separately secured. If Operator or an affiliate acceptable to the Director operates a transfer or processing station in the County, from which transfer or processing station solid waste is delivered to the Landfill, the Director may allow the Performance Surety Letter of Credit required by this section to additionally guarantee Operator's performance of all provisions of said transfer station agreement or franchise. August 30, 1994 -30- DRAFT ARTICLE 13, GENERAL PROVISIONS Section 13.1 GUARANTY BY PARENT OR AFFILIATE. Prior to the Commencement Date, and for all conditions and obligations of this Agreement, Operator shall provide to the Director, proof of guaranty by the parent or an affiliate of Operator acceptable to the County, of the performance by Operator of each provision of this Agreement to be performed by Operator. Proof of guaranty shall be in the form set forth in Exhibit C. Section 13.2 ATTORNEY'S FEES. In the event of litigation between the parties arising hereunder, each party shall pay and bear its own litigation expenses, including attorney's fees. Section 13.3 INDEMNITY AND HOLD HARMLESS AGREEMENT. (a) All work and performances by Operator covered by this Agreement shall be at the risk of Operator (b) With respect to third-party claims, Operator agrees to save, indemnify and keep harmless the County, its officers, employees, agents and assign against any and all liability, claims, judgments, or demands, including demands arising from injuries or deaths of persons and damage to property, arising directly or indirectly out of the obligations herein undertaken by Operator, save and except claims or litigation arising through the sole negligence or willful misconduct of the.County, and will make good to and reimburse the County for any expenditures, including reasonable attorney's fees, that the County may make by reason of such matters and, if requested by the County, shall defend any such suit at the sole cost and expense of Operator. August 30, 1994 -31- DRAFT c (c) With respect to third-party claims, the County agrees to save, indemnify and keep harmless Operator, its officers, employees, agents and assigns against any and all liability, claims, judgments, or demands, including demands arising from injuries or deaths of persons and damage to property, arising directly or indirectly out of the sole negligence or willful misconduct of the County, and will make good to and reimburse Operator for any expenditures, including reasonable attorney's fees, that Operator may make by reason of such matters and, if requested by Operator, shall defend any such suit at the sole cost and expense of the County. (d) Should any party successfully challenge the validity of this Agreement or the procedure by which this Agreement was entered into or the validity of any County action which authorizes the County to enter into this Agreement, then in such case the Operator shall have no cause of action for damages or any other relief against County as a result of such successful challenge. In the event of any such legal challenge, Operator shall defend such action or proceeding at its sole expense and Operator shall save and hold County harmless from any.claims or awards for third party attorneys' fees and costs. Section 13.4 ASSIGNMENT. (a) VolunjaU. Operator shall not sell, assign, subcontract or transfer this Agreement or any part hereof, or any obligation hereunder, without the written consent of County; provided, however, that Operator may assign this Agreement without the County's consent to any company which it controls, is controlled by, or which is under common control with Operator. As used in this Section, the term "control" with respect to a company, means the beneficial ownership of more than 50% of the voting stock of the company. August 30, 1994 -32- DRAFT ; The term assignment shall include any dissolution, merger, consolidation or other reorganization of Operator, which results in change of control of Operator, or any sale or other transfer of a controlling percentage of Operator's capital stock. Any attempted assignment not provided for above without such consent shall be void ab initio. (b) Involuntary. Except as may.be permitted by paragraph (a) above, no interest of Operator in this Agreement shall be assignable by operation of law. Any such nonpermitted assignment and any of the following acts, each of which are deemed an involuntary assignment, shall provide County with the right to elect to terminate the Agreement forthwith, without suit or other proceeding: (1) If Operator becomes insolvent, or makes an assignment for the benefit of creditors; (2) If Writ of Attachment or Execution is levied on this Agreement or other property of Operator such that would have a materially adverse effect on Operator's ability to perform its duties and obligations under this Agreement; (3) If in any proceeding to which Operator is a party, a Receiver is appointed with authority to take possession of Operator's property such that would have a materially adverse effect on Operator's ability to perform its duties and obligations under this Agreement. Section 13.5 COMPLETE AGREEMENT. No verbal agreement with any officer, agency, or employee of the County or,of Operator nor any contract either before, during, or after the execution of this agreement shall affect or modify any of the terms or obligations herein contained unless a written agreement, signed by both parties, specifically provides that August 30, 1994 -33- DRAFT same is an amendment to this Agreement. Section 13.6 NO THIRD PARTY BENEFICIARY ENFORCEMENT. While this contract benefits the public interest throughout Contra Costa County, it is an Agreement between only Operator and the County and, accordingly, only Operator and the County may enforce same. No claims, demands, or causes of action by any entity, party, or person claiming to be a third party beneficiary hereunder shall be enforceable.. Section 13.7 ARBITRATION. Any controversy or claim submitted to arbitration pursuant to the express provisions of this Agreement, or by mutual subsequent agreement, and arising out of or relating to this Agreement, or the breach thereof, shall be governed by the provisions of Part III., Title 9 of the Code of Civil Procedure, sections 1280 et seq. as amended from time to time. The arbitration shall be de novo and subject to a de novo appeal or challenge brought in the Contra Costa County Superior Court as to any alleged error of law or as to the admissibility of evidence. California judicial rules of evidence shall apply to the arbitration proceedings. The arbitration decision shall be decided under and in accordance with California law, supported by a preponderance of evidence and in writing in the form of a Statement of Decision pursuant to Code of Civil Procedure Section 632. Section 13.8 CONFLICT. (a) This Agreement is intended to implement prior Landfill approvals, including the Use Permit (and Ordinance No. 88-81 if applicable to the Landfill). In the case of any apparent or potential conflict between the provisions of this Agreement and the provisions of the Use Permit or any involved development agreement, the provisions of this Agreement, the Use Permit and/or development agreement shall be read together and August 30, 1994 -34- DRAFT c . harmonized to the maximum extent possible to effectuate the intentions of the parties. In the case of any unresolved conflict between the provisions of this Agreement and the provisions of the Use Permit or any involved development agreement, the provisions of the Use Permit and/or development agreement shall control. Notwithstanding any other provision in this Agreement or in the Use Permit, importation of waste not originating in Contra Costa County shall be allowed as required by recent U.S. Supreme Court cases. (b) Operator has entered into an agreement with Contra Costa Water District ("CCWD") the relevant portions of which are attached hereto as Exhibit D, which Exhibit is incorporated herein by this reference. If there is any conflict between this Agreement and Exhibit D, this Agreement shall prevail with respect to the relationship between Operator and the County. Section 13.9 CAPTIONS. The captions and headings used in this Agreement are for convenience and reference only and are not to be construed as controlling over the text of this Agreement. Section 13.10 DELEGATION BY BOARD. The Board may, in its discretion, delegate to a County employee or hearing officer any of its functions expressly or impliedly. arising from this Agreement provided that in such case any decision made by such Board, County employee or officer may be appealed de novo to the Board. Section 13.11 SEVERABILITY. If any term, provision, covenant or condition ("provision") of the Agreement or the application of any provision of this Agreement to a particular situation is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement, or the application of this August 30, 1994 -35- DRAFT Agreement to other situations, shall continue in full force and effect. Notwithstanding any other provision of this Agreement, if any provision of this Agreement in itself or as applied in any particular situation is held to be invalid, void or unenforceable, it is the intention of the parties that the remaining portions of this Agreement shall be continued in full force and effect and that the invalid, void or unenforceable provision be severed therefrom. Section 13.12 MASCULINE GENDER USED. The masculine gender is sometimes used in this Agreement and is so used for convenience only and is not otherwise intended. Section 13.13 GOVERNING LAW. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Section 13.14 NOTICES. All notices or other communications ("Notice") to be given pursuant to this Agreement, including the notices required in Articles 6 and 10 hereof, shall be in writing and shall be deemed given when mailed by registered or certified United States mail, addressed to the parties as follows: To County: County of Contra Costa Attn: County Administrator To Operator: Keller Canyon Landfill Company Attn: Boyd M. Olney, Jr. 441 North Buchanan Circle Pacheco, California 94553 With Courtesy as designated by Browning-Ferns Industries of California. A change in address or a change in the person or title to which Notice is to be given shall be effectuated by Notice to the other party. IN WITNESS WHEREOF, this Agreement is effective on the date first provided on page one hereof. August 30, 1994 -36- DRAFT .c OPERATOR Keller Canyon Landfill Company a California corporation By: Boyd M. Olney, Jr. President By: Vice-President COUNTY OF CONTRA COSTA By: Chair, Board of Supervisors ATTEST: By: Clerk of the Board APPROVED AS TO FORM: By: I:12J= aso.94 County Counsel August 30, 1994 -37- DRAFT W t COUNTY OF CONTRA COSTA STATE OF CALIFORNIA FIRST AMENDED LANDFILL FRANCHISE AGREEMENT KELLER CANYON LANDFILL { RECEIVE® OCT 1 0 1994 CLERK BOARD OF SUPERVISORS CONTRA COSTA CO. a September, 1994 S t � TABLE OF CONTENTS - FIRST AMENDED LANDFILL FRANCHISE AGREEMENT RECITALS 1 ARTICLE 1 . INTRODUCTORY PROVISIONS 3 Section 1. 1 RECITALS INCORPORATION. . . . . . . . . . . 3 Section 1 .2 EFFECTIVE DATE, EFFECT. . . . . . . . . . . 3 Section 1 . 3 CONDITIONS OF APPROVAL. . . . . . . . . . 3 Section 1 .4 OPERATOR ACKNOWLEDGMENT. . . . . . . . . . 4 Section 1 .5 COUNTY DISCRETION AND INTEREST. . . . . . 4 Section 1 .6 USE PERMIT OPERATIVE. . . . . . . . . . . . 5 Section 1 .7 NO PREFERENTIAL TREATMENT. . . . . . . . . 5 ARTICLE 2 . DEFINITIONS 5 Section 2 . 1 AGREEMENT. . . . . . . . . . . . . . . . . 5 Section 2 .2 ACTIVITIES REPORT. . . . . . . . . . . . . 5 Section 2 . 3 ANALYSIS PERIOD. . . . . . . . . . . . . 6 Section 2 .4 BASE RATE. . . . . . . . . . . . . . . 6 Section 2 .5 COMMENCEMENT DATE. . . . . . . . . . . . . 6 Section 2 . 6 COUNTY. . . . . . . . . . . . . . . . . . . 6 Section 2 . 7 DIRECTOR. . . . . . . . . . . . . . . . . . 6 Section 2 . 8 EMERGENCY. . . . . . . . . . . . . . . . . 6 Section 2 . 9 GATE FEE COLLECTION SYSTEM. . . . . . . . . 7 Section 2 . 10 GATE RATE. . . . . . . . . . . . . . . . 7 Section 2 . 11 HOURS OF OPERATION. . . . . . . . . . . . 7 Section 2 . 12 HOURS OF ACCESS. . . . . . . . . . . . . . 7 Section 2 . 13 LANDFILL. . . . . . . . . . . . . . . . . 7 Section 2 . 14 MANDATED FEES. . . . . . . . . . . . . . . 7 Section 2 . 15 OPERATOR. . . . . . . . . . . . . . . . . 8 Section 2 . 16 PERMITS. . . . . . . . . . . . . . . . . . 8 Section 2 . 17 POST-CLOSURE MAINTENANCE. . . . . . . . . 8 Section 2 . 18 REGULATORY AGENCIES. . . . . . . . . . . . 8 Section 2 . 19 SCHEDULE OF DISPOSAL CHARGES. . . . . . . 9 Section 2 . 20 SITE CLOSURE. . . . . . . . . . . . . 9 Section 2 . 21 SOLID WASTE. . . . . . . . . . . . . . . . 9 Section 2 .22 SOLID WASTE PROGRAMS. . . . . . . . . . . 10 Section 2 .23 SPECIAL HANDLING WASTE. . . . . . . . . . 10 Section 2 .24 SURCHARGE. . . . . . . . . . . . . . . . . 11 Section 2 .25 SURCHARGE PAYMENTS. . . . . . . . . . . . 11 Section 2 .26 USE PERMIT. . . . . . . . . . . . . 11 ARTICLE 3. TERM OF AGREEMENT 11 ARTICLE 4 . PERFORMANCE OF OPERATOR 12 Section 4 . 1 OPERATION OF LANDFILL. . . . . . . . . 12 Section 4 .2 WASTE STREAM. . . . . . . . . . . . . . . . 12 Section 4 . 3 WASTE TYPES. . . . . . . . . . . . . . . . 12 Section 4 .4 UNACCEPTABLE WASTE. . . . . . . . . . . . . 12 Section 4 .5 INSPECTION, INVESTIGATION, AND EVALUATION OF SITE. . . . . . . . . . . . . . . . . . . . . . 13 Amended Landfill Franchise i September, 1994 s Section 4 . 6 PERMITS. . . . . . . . . . . . . . . . . . 14 Section 4 . 7 STATUS OF TITLE. . . . . . . . . . . . . . 14 Section 4 . 8 GATE FACILITIES. . . . . . . . . . . . . . 14 Section 4 .9 OPERATION OF GATE FEE COLLECTION SYSTEM. 15 Section 4 . 10 FEE COLLECTION. . . . . . . . . . . . . . 15 Section 4 . 11 PAYMENT TO COUNTY. . . . . . . . . . . . . 16 Section 4 . 12 HOURS OF ACCESS. . . . . . . . . . . . . . 16 Section 4 . 13 NONDISCRIMINATORY SERVICE. . . . . . . . . 17 Section 4 . 14 ACCESS ROADS, HAUL ROADS AND SERVICE ROADS. . . . . . . . . . . . . . . . . . . . . . . 17 i Section 4 . 15 LITTER MANAGEMENT. . . . . . . . . . . . . 17 Section 4 . 16 ENVIRONMENTAL MITIGATION. . . . . . . . . 17 Section 4 . 17 RECYCLING/RESOURCE RECOVERY PROGRAMS. 18 Section 4 . 18 ACTIVITIES REPORT. . . . . . . . . . 18 Section 4 . 19 PENALTY SCHEDULE FOR NONCOMPLIANCE. 18 Section 4 .20 RECORDS. . . . . . . . . . . . . . . . . . 19 Section 4 .21 HOST COMMUNITY. . . . . . . . . . . . . . 19 ARTICLE 5. PERFORMANCE OF COUNTY 20 Section 5 . 1 GATE FEE COLLECTION SYSTEM. . . . . . . . . 20 Section 5 .2 INSPECTION OF SCALES. . . . . . . . . . . . 20 ARTICLE 6 . RATES 20 Section 6 . 1 BASE RATE. . . . . . . . . . . . . . . . . 20 Section 6 .2 SURCHARGE. . . . . . . . . . . . . . . . . 20 Section 6 . 3 GATE RATE. . . . . . . . . . . . . . . . . 21 Section 6 .4 INITIAL SURCHARGE. . . . . . . . . . . . . 21 Section 6 .5 DISPOSAL CONTRACTS. . . . . . . . . . . . . 22 Section 6 . 6 SCHEDULE OF RATES. . . . . . . . . . . . . 23 ARTICLE 7 . PERSONNEL 24 ARTICLE 8 . LANDFILL GAS 25 ARTICLE 9 . CLOSURE AND POST CLOSURE 25 Section 9 . 1 CLOSURE RESPONSIBILITIES. . . . . . . . . . 25 Section 9 .2 FINANCIAL ASSURANCES. . . . . . . . . . . . 25 Section 9 . 3 PERFORMANCE. . . . . . . . . . . . . . . . 26 Section 9 .4 SIGNING OF INSTRUMENTS AND DOCUMENTS. . . . 27 Section 9 .5 FAILURE TO MEET CLOSURE AND POST-CLOSURE OBLIGATIONS. . . . . . . . . . . . . . . . . . . . 27 ARTICLE 10 . UNINTERRUPTED OPERATION 27 Section 10 . 1 ASSURANCE OF UNINTERRUPTED OPERATION. 27 Section 10 .2 LABOR DISPUTES. . . . . . . . . . . . . . 28 ARTICLE 11 . DEFAULT, REMEDIES 28 Section 11 . 1 FAILURE TO PROSECUTE WORK. . . . . . . . 28 Section 11 .2 CONVICTION OF CERTAIN CRIMES. . . . . 30 Section 11 . 3 CONDEMNATION. . . . . . . . . . . . . . . 30 Section 11 .4 RIGHT TO TAKE/RIGHT TO POSSESSION. . . . . 30 Amended Landfill Franchise ii September, 1994 Section 11 .5 FORCE MAJEURE. . . . . . . . . . . . . . . 31 Section 11 . 6 SPECIFIC PERFORMANCE. . . . . . . . . . . 31 Section 11 .7 NONEXCLUSIVE REMEDIES. . . . . . . . . . . 31 ARTICLE 12 . INSURANCE AND BONDS 31 Section 12 . 1 WORKERS' COMPENSATION. . . . . . . . . . . 31 Section 12 .2 PUBLIC LIABILITY. . . . . . . . . . . . . 32 Section 12 . 3 OTHER INSURANCE PROVISIONS. . . . 33 Section 12 .4 FAITHFUL PERFORMANCE SURETY. . . . . . 33 ARTICLE 13 . GENERAL PROVISIONS 34 Section 13. 1 GUARANTY BY PARENT OR AFFILIATE. . . . . . 34 Section 13.2 ATTORNEY'S FEES. . . . . . . . . . . . . 34 Section 13. 3 INDEMNITY AND HOLD HARMLESS AGREEMENT. . . 34 Section 13 .4 ASSIGNMENT. . . . . . . . . . . . . . . . 36 Section 13 .5 COMPLETE AGREEMENT. . . . . . . . . . . . 37 Section 13 .6 NO THIRD PARTY BENEFICIARY ENFORCEMENT. 37 Section 13 . 7 SURVIVAL OF OBLIGATIONS. . . . . . . . . . 38 Section 13 . 8 ARBITRATION. . . . . . . . . . . . . . . . 38 Section 13 . 9 CONFLICT. . . . . . . . . . . . . . . . . 38 Section 13 . 10 CAPTIONS. . . . . . . . . . . . . . . . . 39 Section 13 . 11 DELEGATION BY BOARD. . . . . . . . . . . 39 Section 13. 12 SEVERABILITY. . . . . . . . . . . . . . . 40 Section 13 . 13 MASCULINE GENDER USED. . . . . . . . . . 40 Section 13 . 14 GOVERNING LAW. . . . . . . . . . . . 40 Section 13. 15 NOTICES. . . . . . . . . . . . . . . . . 40 Amended Landfill Franchise iii September, 1994 COUNTY OF CONTRA COSTA STATE OF CALIFORNIA FIRST AMENDED LANDFILL FRANCHISE AGREEMENT THIS FIRST AMENDED LANDFILL FRANCHISE AGREEMENT (the "Agreement" ) is made and entered into this , by and between the COUNTY OF CONTRA COSTA (hereinafter "County" ) and KELLER CANYON LANDFILL COMPANY (hereinafter "Operator" ) . RECITALS WHEREAS, the legislature of the State of California has adopted the Nejedly-Z 'berg-Dills Solid Waste Management and Resource Recovery Act of 1972 and now has adopted the California Integrated Waste Management Act of 1989, both of which assign certain responsibilities for the County's solid waste planning, management, implementation, and regulation to the Contra Costa County Board of Supervisors; and WHEREAS, on July 24 , 1990, the Board of Supervisors of Contra Costa County approved the Keller Canyon Sanitary Landfill Use Permit No. 2020-89 subject to the Conditions of Approval, the Special Land Use Conditions of Approval and the Findings Relative to the Landfill Site Land Use Permit pursuant to the California Environmental Quality Act ( "CEQA" ) and Adoption of a Mitigation Monitoring Program, each of the same date; and WHEREAS, the County adopted Ordinance No. 88-81, which provides that a solid waste disposal facility may be operated within the County only upon the approval of a franchise agreement Amended Landfill Franchise 1 September, 1994 by the County or upon the operator of a landfill entering into a contract with the Contra Costa County Board of Supervisors to prepare the site and operate such facility; and WHEREAS, on 4 December 1990 County and Operator entered a LANDFILL FRANCHISE AGREEMENT ( "Landfill Franchise Agreement") in accordance with the requirements of County Ordinance No. 88-81, and to implement the requirements of Land Use Permit No. 2020-89, which Landfill Franchise Agreement has been amended by Amendments Nos. 1 through 10, inclusive, thereto; and WHEREAS, recent United States Supreme Court cases decided under the Commerce Clause of the United States Constitution generally prohibiting states and their political subdivisions from erecting barriers to the free flow of solid waste (and thereby discriminating against interstate commerce) significantly affects the solid waste industry, and affects the parties hereto in that some of the provisions of the Landfill Franchise Agreement, particularly the provisions regarding the County's regulation of rates, may no longer be appropriate or necessary given the current competitive nature of the solid waste industry . as a result of said recent Supreme Court decisions; and WHEREAS, the parties now desire to amend certain provisions of the Landfill Franchise Agreement; NOW, THEREFORE, the County and Operator, for and in consideration of the covenants and agreements as hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, do mutually Amended Landfill Franchise 2 September, 1994 . 1 G agree as follows: ARTICLE 1 . INTRODUCTORY PROVISIONS Section 1 . 1 RECITALS INCORPORATION. The Recitals set forth above, and all defined terms set forth in such Recitals and in the introductory paragraph preceding the Recitals, are hereby incorporated into this Agreement as if set forth herein in full. Section 1 .2 EFFECTIVE DATE, EFFECT. This Agreement is effective on the date mentioned in the first paragraph of page one hereof, and as of the effective date, unless otherwise prohibited by court or other binding order, replaces and supersedes the Landfill Franchise Agreement. In any case, this Agreement does not nullify the Landfill Franchise Agreement for the period preceding the effective date of this Agreement. Section 1.3 CONDITIONS OF APPROVAL. Operator acknowledges and agrees that all of the terms and conditions of the Use Permit's Conditions of Approval and any amendments thereto, are reasonable, legal and valid and that Operator is barred from any action or proceeding or any defense of invalidity or unreasonableness of said Conditions of Approval and any amendments thereto, and related County decisions. Further, Operator agrees that Operator will not attack or otherwise assail the reasonableness, legality or validity of any terms and conditions of the Use Permit, or of any provisions required to be included in this Agreement by the said Conditions of Approval and any amendments thereto. The parties acknowledge that the agreement by Operator in this section is a material consideration Amended Landfill Franchise 3 September, 1994 r Y y for County' s approval of this Agreement. Section 1 .4 OPERATOR ACKNOWLEDGMENT. Operator. acknowledges and agrees that this Agreement and the Use Permit (by the incorporation herein of the Use Permit) provide for and allow (among other things) funding for mitigation, provision of closure and post-closure costs, payment to County of annual franchise revenue fees, and otherwise payment to County and reimbursement of County costs for its governmental administration of the project entitlements. It is understood that, among other things, this Agreement provides for Operator's establishment of its proprietary rates to enable Operator to compete in a solid waste disposal market that has become highly competitive as a result of recent United States Supreme Court decisions . This Agreement also acknowledges that sub-county service areas have not been established. Section 1 .5 COUNTY DISCRETION AND INTEREST. Notwithstanding any other provision of this Agreement, Operator acknowledges that County's discretion to grant, approve or deny one or more nonexclusive or other franchises or similar agreements for others is not limited or abridged in any manner by this Agreement; and that this Agreement does not require the approval of any such other franchises or agreements by Operator. County reserves the rights as part of the negotiation and entry of any such other franchise or agreement to enter a public- private or public-public partnership with other landfill owners and/or to pursue any rights of the County to require ownership of Amended Landfill Franchise 4 September, 1994 those landfills or this Landfill. Section 1.6 USE PERMIT OPERATIVE. Upon the effective Date of the Landfill Franchise Agreement, the Use Permit became operative pursuant to the conditions of the Use Permit, entitling Operator to all rights and privilege thereunder. Section 1.7 NO PREFERENTIAL TREATMENT. With respect to material terms of the relationship between the County and Operator, the County shall offer to Operator terms at least as favorable as those agreed upon by the County with the operator of any other landfill within the County with whom the County is currently negotiating or may negotiate within the Term of this Agreement. If any such material terms are determined for such other operator subsequent to their determination with respect to Operator, the County shall offer to amend such terms with respect to operator. ARTICLE 2 . DEFINITIONS Section 2 . 1 AGREEMENT. "Agreement" shall refer to this Agreement and is synonymous for purposes of this Agreement with the word "Contract" . Section 2 .2 ACTIVITIES REPORT. The "Activities Report" is a summary document reporting Operator' s activities and overall performance during the preceding Analysis Period or over such period of time as set by the County. The Activities Report shall summarize landfill related activities, including, but not limited to: compliance with the .provisions of this Agreement and all applicable Permits and Regulatory Agency Requirements, complaints Amended Landfill Franchise 5 September, 1994 Y and corrective actions taken, litter management, landfill gas project update, wastestream volumes and analysis, operations and safety training, recycling/resource recovery efforts, Closure Trust Fund status and balance. Section 2 .3 ANALYSIS PERIOD. "Analysis Period" refers to the twelve ( 12) consecutive calendar months beginning the first day of January of each year throughout the term of this Agreement. The first Analysis Period, for the purposes of this Agreement shall begin on January 1, 1994. Section 2 .4 BASE RATE. "Base Rate" shall mean the proprietary fees charged by Operator to dispose of Solid Waste or any other waste at the Landfill. Section 2 .5 COMMENCEMENT DATE. "Commencement Date" shall mean the date upon which the Landfill first accepted Solid Waste for disposal under the terms of the Landfill Franchise Agreement and the Use Permit. Section 2 . 6 COUNTY. "County" shall mean the County of Contra Costa, a political subdivision of the State of California. Section 2 . 7 DIRECTOR. "Director" shall mean the County Administrator or his designated deputy, other County officer or employee. Section 2 . 8 EMERGENCY. "Emergency" shall mean a sudden, unexpected occurrence involving a clear and imminent danger, demanding immediate action to prevent or mitigate loss of, or damage to, life, health, property, or essential public services. Emergency includes such occurrences as fire, flood, earthquake, Amended Landfill Franchise 6 September, 1994 R or other soil or geologic movements, as well as such occurrences as riots, accident and sabotage. Section 2 .9 GATE FEE COLLECTION SYSTEM. "The Gate Fee Collection System" shall consist of all equipment, hardware, and software utilized for purposes of assessing, collecting, and accounting for Tipping Fees for the disposal of Solid Waste at the Landfill. Section 2 . 10 GATE RATE. "Gate Rate" shall mean the fee charged per ton to dispose of Solid Waste, or other waste at the Landfill. The Gate Rate shall be the Base Rate plus Surcharge and Mandated Fees, if any. "Gate Rate" shall be synonymous with "Landfill Tipping Fee" and "Tipping Fee. " Section 2 . 11 HOURS OF OPERATION. "Hours of Operation" shall be those times during which the use of heavy equipment and other machinery necessary for operation of the Site in compliance with the Use Permit, the Solid Waste Facilities Permit and this Agreement will be allowed. Section 2 . 12 HOURS OF ACCESS. "Hours of Access" shall be those times during which Solid Waste may be delivered to the Landfill for disposal. Section 2 . 13 LANDFILL. "Landfill" shall mean the Landfill described in Exhibit A where the disposal of Solid Waste will occur. For purposes of this Agreement, "Landfill" shall be synonymous with "Site. " Section 2 . 14 MANDATED FEES. "Mandated Fees" shall be those monies required from Operator from time to time by any Regulatory Amended Landfill Franchise 7 September, 1994 Agency for the purpose of funding (a.) Federal, State or regional programs, (b) programs required by the Land Use Permit, or (c) other County established fees. Section 2 . 15 OPERATOR. "Operator" shall mean the holder of the Use Permit or its assignee. Section 2 . 16 PERMITS. "Permits" shall mean any and all governmental approvals, entitlements, clearances or classifications, as they may be amended from time to time, including but not limited to, the Use Permit, general plan amendments, environmental impact reports, zoning approvals, conditional use permits, waste discharge permits and requirements, facilities permits, permits to operate, permits to construct, closure plans, building permits, encroachment permits, grading permits, tree removal permits, tract/parcel maps and all other governmental permits, consents or approvals as may be necessary to allow Operator to construct and operate the Landfill. Section 2 . 17 POST-CLOSURE MAINTENANCE. "Post-Closure Maintenance" shall mean those activities as required by law to be undertaken at the Landfill, following Site Closure to maintain the integrity of containment features and/or to monitor compliance with applicable performance standards as specified by law. Section 2 . 18 REGULATORY AGENCIES. "Regulatory Agencies" shall mean Federal, State and local agencies responsible for regulating the operation and maintenance of sanitary landfills, Amended Landfill Franchise 8 September, 1994 r •F t such as, but not limited to, California Integrated Waste Management Board, California Regional Water Quality Control Board, California Department of Health Services, the Contra Costa County Department of Health Services as Local Enforcement Agency for handling and disposal of Solid Waste, the Bay Area Air Quality Management District and the County. Section 2 . 19 SCHEDULE OF DISPOSAL CHARGES. The "Schedule of Disposal Charges" shall mean a list of waste types and corresponding fee amounts to be charged at the Landfill for disposal of waste types . Section 2 .20 SITE CLOSURE. "Site Closure" shall be the cessation of Solid Waste disposal at all or portions of the Landfill and subsequent operations necessary to prepare the Site for Post--Closure Maintenance in accordance with law, Regulatory Agency requirements and Permits. Section 2 .21 SOLID WASTE. "Solid Waste" shall have the meaning set forth in Section 40191 of the California Public Resources Code as it may be amended from time to time, as follows: "40191(a) Except as provided in subdivision (b) , 'solid waste' means 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 Amended Landfill Franchise 9 September, 1994 chemically fixed sewage sludge which is not hazardous waste, manure, vegetable or animal solid and semisolid wastes, and other discarded solid and semisolid wastes. " (b) 'Solid wastes" does not include hazardous waste or low-level radioactive waste regulated under Chapter 7 .6 (commencing with Section 25800) of Division 20 of the Health and Safety Code. " (c) ' Solid Waste' does not include medical waste which is regulated pursuant to the Medical Waste Management Act (Chapter) 6 . 1 (commencing with Section 25015) of Division 20 of the Health and Safety Code) . Untreated medical waste shall not be disposed of in a solid waste landfill, as defined in Section 46027 . Medical waste which has been treated and which is deemed to be solid waste shall be regulated pursuant to this division. " Section 2 .22 SOLID WASTE PROGRAMS. "Solid Waste Programs" shall mean those programs directly related to solid waste which may include: transfer stations, household hazardous waste programs, recycling and resource recovery programs, Agreement and Use Permit administration costs (including legal, engineering, and accounting and other costs of the County) . Section 2 .23 SPECIAL HANDLING WASTE. "Special Handling Waste" shall mean certain Solid Waste materials permitted for disposal at the Landfill which, because of their volume or type, Amended Landfill Franchise 10 September, 1994 ♦ r will require special handling by Operator such as, by example only, sewage sludge, tires, fencing, large appliances, large dead animals, concrete and asphalt. All Special Handling Wastes accepted at the Landfill shall be specifically identified in the Schedule of Disposal Charges. Section 2 .24 SURCHARGE. "Surcharge" shall mean a special charge as required by the County and this Agreement, for funding of Solid Waste Programs, closure of landfills in operation prior to 1990 and for franchise fees and other costs as deemed appropriate by the County. Section 2 .25 SURCHARGE PAYMENTS. "Surcharge Payments" shall mean those monies received by Operator as a Surcharge and remitted to the County in accordance with the terms of this Agreement and of the Permits. Section 2 .26 USE PERMIT. "Use Permit" shall mean Contra Costa County Land Use Permit No. 2020-89, together with all Conditions of Approval applicable thereto, including any amendments thereof. ARTICLE 3. TERM OF AGREEMENT This Agreement shall remain in effect until 38.4 millions tons of waste have been disposed of in the Landfill, or such lesser time as may be prescribed by law. It is the parties intent that the term of this Agreement shall be the estimated life of the landfill expressed in terms of capacity as of this date: 38 .4 million tons less the tonnage of waste disposed of prior to the effective date of this Agreement. Amended Landfill Franchise 11 September, 1994 ARTICLE 4 . PERFORMANCE OF OPERATOR Section 4 . 1 OPERATION OF LANDFILL. Operator shall operate the Landfill, in strict compliance with, and subject to, the terms and conditions of this Agreement, the Permits and other applicable requirements of Regulatory Agencies. Section 4 .2 WASTE STREAM. Nothing in the terms and provisions of this Agreement shall be construed to grant rights of exclusivity with respect to Solid Waste generated in any geographical portion of the County; nor shall this Agreement preclude or in any way restrict the County from entering into substantially similar agreements with other parties for Solid Waste disposal operations at other locations; provided that the terms and conditions of such other agreements shall not be substantially more favorable to the other operators than the provisions of this Agreement. Section 4 . 3 WASTE TYPES. Operator shall operate the Site in strict compliance with the Permits and laws; provided, however, Operator may refuse to allow the disposal of certain categories of Solid Waste after obtaining approval by the County, which approval shall not be unreasonably withheld. Operator shall provide sixty (60) days ' notice to all affected parties prior to proposing County approval of Operator's tentative decision to disallow disposal of the affected Solid Waste. Section 4 .4 UNACCEPTABLE WASTE. Operator shall not allow disposal at the Site of material other than waste allowed by and subject to the terms of all Permits and laws. It is recognized Amended Landfill Franchise 12 September, 1994 ' r r that some non-approved materials, including certain hazardous wastes, may occasionally be unloaded at the Site by users thereof. Operator shall train its on-site employees to recognize such unacceptable wastes and materials. In the event that unacceptable waste is deposited at the Site, it shall be handled and removed by Operator in accordance with procedures which shall be developed by Operator and submitted to the County for approval prior to the Commencement Date. Nothing herein is intended to relieve the person or persons depositing or causing to be deposited such unacceptable waste from any liability. Operator retains the right to use all legal means to recover costs of removal and alternate disposal or treatment from such person or persons . Section 4 .5 INSPECTION, INVESTIGATION, AND EVALUATION OF SITE. Operator acknowledges that it has and shall continue to inspect, investigate, and evaluate the Site regarding its suitability as a Solid Waste disposal site. The Site shall be immediately accessible at all reasonable times to Regulatory Agency officials for any reasonable, lawful and proper purpose. County officials shall usually give reasonable notice to Operator of their intention to visit the Site or if such notice is not given, shall notify Operator' s on- site personnel of their presence on the Site. County shall not incur liability arising from the discharge of its inspection responsibilities, either by commission or by omission, except for its tortious conduct or breach of duty Amended Landfill Franchise 13 September, 1994 resulting in death, injury or property damage while engaged in its inspection responsibilities. The inspection of the work shall not relieve Operator of any obligation to perform under this Agreement. Operator shall remove and replace or repair any work not in compliance with those Permits, laws, ordinances or regulations applicable to the Site. Section 4 .6 PERMITS. Operator shall obtain and maintain in force all necessary Permits and/or other approvals from the Regulatory Agencies for the Landfill. Upon receipt of each such Permit or approval, a copy thereof, together with all conditions or requirements attached thereto, shall be delivered by Operator to the Director. Section 4 .7 STATUS OF TITLE. Prior to the Commencement Date, Operator shall provide to the County reasonable evidence sufficient to establish that Operator is in possession of and/or has the right to use the Site for the purpose contemplated. Section 4 .8 GATE FACILITIES. Operator shall supply, construct and thereafter maintain gate fee collection facilities . The facilities shall be designed- and located as necessary so as to expedite the fee transactions and shall be attractively finished and landscaped. The facilities shall be consistent with the Use Permit for the Site. Operator shall supply, construct, and maintain truck scales as necessary to expedite the fee transactions, prevent traffic back-up, and allow for occasional maintenance and repair. The scales shall be compatible with the Gate Fee Collection System Amended Landfill Franchise 14 September, 1994 approved by the County, in accordance with Section 5. 1 of this Agreement. The scales shall be open and in working order during all Hours of Access at the Landfill. The sole access to the Site for vehicles carrying solid waste. shall be the Landfill entrance, and all waste disposal vehicles shall be recorded by the Gate Fee Collection System. Operator shall make provisions for quick repairs of the scales by competent technicians to minimize downtime. The scales shall meet all State requirements for design approval and accuracy for State certified scales. Only those scales functioning in accordance with all applicable regulations shall be used. Operator shall obtain the State of California certification for scale accuracy. Operator shall supply, deliver and maintain utilities to the Site and shall be responsible for all on-site and off-site costs and service charges in connection therewith. Section 4 . 9 OPERATION OF GATE FEE COLLECTION SYSTEM. Operator shall operate the Gate Fee Collection System, including the providing of all labor and materials necessary with respect thereto. Such operation shall be for all Hours of Access. Section 4 . 10 FEE COLLECTION. Operator shall collect, count and account for all Landfill Tipping Fees and waste quantities from each user at the Site. Said fees shall be collected in accordance with the rates applicable pursuant to Article 6 of this Agreement. In the event that no scale is operable at any Amended Landfill Franchise 15 September, 1994 given time, vehicles will be charged based upon the weight certified by the originating transfer station or based upon a flat fee or volume fee schedule established by the parties in advance. Operator shall furnish the County with monthly reports on the number and types of vehicles and waste tonnages and/or volumes, as appropriate, of the various types and Gate revenue. Section 4 . 11 PAYMENT TO COUNTY. Operator shall pay the Surcharge Payments required by Article 6 to the County monthly in arrears . Operator shall pay the Surcharge Payments to County within thirty (30) calendar days after the close of the prior month in which they are collected. Section 4 . 12 HOURS OF ACCESS. For purposes of this Agreement, unless otherwise required by the terms of the Permits, Hours of Access shall be those specified in the Solid Waste Facilities Permit. Should the Director declare that an emergency exists, Operator shall keep the Landfill open as instructed to allow for the orderly disposal of Solid Waste generated or created by such emergency conditions at no additional charge or increase in the Gate Rate. The scheduled Hours of Access may be changed in a manner consistent with permit requirements. Operator may, in its sole discretion, observe the following holidays and close the Landfill : New Year's Day, Easter Sunday, Memorial Day, Independence Day, Labor Day, Thanksgiving Day and Christmas Day, or other major holiday as approved by the Director. Amended Landfill Franchise 16 September, 1994 , Section 4 . 13 NONDISCRIMINATORY SERVICE. Operator shall provide nondiscriminatory service for Solid Waste disposal to all users, and shall abide by all Federal, State and local laws and the Land Use Permit. Section 4 . 14 ACCESS ROADS, HAUL ROADS AND SERVICE ROADS. It shall be Operator's responsibility to provide and maintain all roads required on the property for purposes of transporting refuse to the actual point of disposal, or transporting earth materials for fill within the Site, and such other roads as may be constructed for its convenience. Haul roads shall be well maintained. The surface shall be reasonably free from potholes and depressions. A safe, all weather access to a disposal area shall be provided at all times. Section 4 . 15 LITTER MANAGEMENT. Operator shall maintain and keep the Site and its access road reasonably free of litter and other refuse. Operator shall be solely responsible for maintaining the Site in a clean and sanitary condition, and shall be responsible for any public nuisance created as a result of its operations . Operator shall control on-site and off-site litter or debris in accordance with the Use Permit and the Solid Waste Facilities Permit. Section 4 . 16 ENVIRONMENTAL MITIGATION. Operator shall comply with all environmental mitigation measures reasonably and lawfully imposed by Regulatory Agencies including those imposed by the Use Permit. Amended Landfill Franchise 17 September, 1994 Section 4 . 17 RECYCLING/RESOURCE RECOVERY PROGRAMS. Operator shall cooperate with the County and reasonably participate in satisfying the ancillary waste needs of the County, including participation in a County sponsored recycling/resource recovery plan and litter program, and/or any other activity which the County deems is appropriate for inclusion in the County Solid Waste Programs. Section 4 . 18 ACTIVITIES REPORT. Operator shall, by the first day of January of each year, assemble and provide to the County the Activities Report for the most recent Analysis Period. The Board may direct, upon ninety (90) days written notice to Operator, that the report provided in the Activities Report be made semi-annually. Section 4 . 19 PENALTY SCHEDULE FOR NONCOMPLIANCE. In the event that noncompliance by Operator with any condition or provision of this Agreement, or any applicable Permits or Regulatory Agency requirements is determined by the County, County shall notify Operator of the identified noncompliance. Following notification of noncompliance, the Director may impose penalties per noncompliance upon three (3) days notice to Operator in accordance with the following penalty schedule until such time as compliance is achieved: $ 500. 00 per day during the first week of. noncompliance $ 750. 00 per day during the second week of noncompliance $1,000 .00 per day during the third week of noncompliance Amended Landfill Franchise 18 September, 1994 $1,250.00 per day for each day thereafter. At the time the Director imposes any penalties, the amounts due for each day of noncompliance shall be the above amounts subject to annual CPI adjustments, the applicable index to be reasonably selected by the Director. Notwithstanding the above three paragraphs, no monetary penalties will be imposed by the County in the event that Operator and/or said Regulatory Agency are diligently pursuing the process of correction or mitigation of the event(s) causing noncompliance. Operator shall have the right to arbitrate any action taken by the County under this provision in accordance with Section 13.8 of this Agreement. Section 4 .20 RECORDS. Operator shall keep separate and accurate records for the Landfill as provided in the Use Permit. The County may, at its own expense (which may be recovered as a Solid Waste program cost) , at any time during the term of this Agreement, have the books and records of the Operator examined for the sole purpose of verifying Operator's compliance with the requirements of this Agreement. County shall give thirty (30) days written notice to the Operator in advance of such examination date. Section 4 .21 HOST COMMUNITY. Operator agrees that an appropriate amount of the Surcharge as determined by the County' s Board of Supervisors may and shall be utilized pursuant to Board Amended Landfill Franchise 19 September, 1994 Orders) for host community mitigation. ARTICLE 5. PERFORMANCE OF COUNTY Section 5. 1 GATE FEE COLLECTION SYSTEM. The computerized Gate Fee Collection System, which shall be provided by Operator in accordance with Section 4 .9 of this Agreement, shall be approved by the County, which approval shall not be unreasonably withheld. Section 5 .2 INSPECTION OF SCALES. The County may, from time to time during regular business hours, inspect the scales and test the accuracy of same. ARTICLE 6 . RATES Section 6 . 1 BASE RATE. The Base Rate shall be determined and established by Operator at its sole discretion. Notwithstanding section 4 . 13, it is understood that the Operator need not charge a uniform Base Rate to all customers, but may vary the Base Rate as between different customers based on various factors determined by Operator, including, but not limited to, the quantity and type of waste delivered by each customer to the facility and whether each customer has entered into a disposal agreement with the Operator in which the customer agrees to dispose of some or all of the customer' s future waste stream at the Landfill. Section 6 .2 SURCHARGE. The County may determine and establish at least once every two years, effective on the date determined by the Board of Supervisors (but initially no sooner than two years from the effective date of this Agreement except Amended Landfill Franchise 20 September, 1994 for the purpose of decreasing the Surcharge in accordance with Section 6 .4 .d) , the Surcharge, which shall be added to the then applicable Base Rate, and collected as part of the Gate Rate. Operator will be provided at least ninety (90) days ' written notice of any newly established Surcharge. In the absence of the County establishing a particular Surcharge amount, the Surcharge to be collected by the Operator for the County shall be thirty percent (30%) of the then applicable Base Rate. Section 6 .3 GATE RATE. The Gate Rate shall consist of the Base Rate, Mandated Fees, and Surcharge. Section 6 .4 INITIAL SURCHARGE. Effective on the effective date of this Agreement, the Surcharge shall be as set forth in this section. a. Permanent Transfer Station. The Surcharge on Solid Waste received at the Landfill via the Acme Fill Waste Recovery and Transfer Station (commonly referred to as the "Acme Permanent Transfer Station, " and hereinafter referred to as the "Transfer Station" ) shall be as set forth in Section 6 .4 ( Initial Surcharge) of the Franchise Agreement between the County and the operators of the Transfer Station, as follows: Amount. Twenty-five percent of the combined Transfer Station Proprietary Rate and the Landfill Base Rate. Funding of Programs from Surcharge. During the period covered by the above initial Surcharge, costs of County programs (required or authorized by the Use Permit or this Agreement) shall be funded from said combined 25% Transfer Station and Amended Landfill Franchise 21 September, 1994 Landfill Surcharge. In addition, any household hazardous waste fee imposed by the Board pursuant to Public Resources Code section 43213 shall be collected (deducted) from said combined Surcharge amount. Closure, Litigation. Operator agrees and acknowledges that an appropriate amount (five percent) of the Surcharge as determined by the County's Board of Supervisors may and shall be utilized pursuant to Board Order(s) and a trust account arrangement for any landfill closure or post-closure or related litigation expenses. Any amount not so expended may be otherwise utilized for other Surcharge purposes. Reconsideration. Within or approximately six months from the date of this Agreement, the County's Board of Supervisors intends to reconsider and re-evaluate the household hazardous waste programs, their levels of funding, whether one or more programs should be modified, reduced, or eliminated, and a Surcharge adjustment. Collection. For Solid Waste received at the Landfill via the Transfer Station, the combined Surcharge and any other Keller Mandated Fees may be collected at the Transfer Station. b. Other Wastes . The Surcharge on waste received at the Landfill other than via the Transfer Station shall be ten percent of the Base Rate. Section 6 .5 DISPOSAL CONTRACTS. For all contracts for the disposal of Solid Waste entered by Operator, the Surcharge applicable at the time of the disposal contract shall apply for Amended Landfill Franchise 22 September, 1994 the life of said disposal contract. The parties agree that any later established surcharge amounts shall not apply to waste received pursuant to such Solid Waste disposal contract for the life of said disposal contract. Operator shall advise County of any disposal contract subject to the privileges of this section immediately upon execution. Operator shall provide County with any and all information requested by County concerning any such Contract, including providing County with copies of such contracts upon request. . Section 6 . 6 SCHEDULE OF RATES. Operator shall at all times maintain on file with the County, a schedule of Base Rates and Gate Rates charged to each customer, including Solid Waste received via the Transfer Station. The schedule shall specify whether each customer delivers waste directly to the Landfill or whether it is delivered by way of the Transfer Station or other transfer or processing facility. The Schedule shall identify the components of the rates charged at the Facility. The schedule may include a standard Base and Gate Rate which Operator charges unless a disposal agreement is entered, or other arrangements made. Said schedule of Base and Gate Rates shall be updated within ten days of material modification thereof. Material modifications include, but are not limited to, changes to any customer's Base and Gate Rate, and entering of a disposal agreement or other agreement with new customer. The purpose of this section is to ensure that the rates Amended Landfill Franchise 23 September, 1994 charged by Operator as well as fees and surcharges imposed by County as well as other governmental agencies are a matter of Public Record, so as to promote cooperation and trust between the Operator, the County, and the public. Towards this end, County may request, and Operator shall provide to County, all information reasonably necessary to effectuate the purpose of this section. ARTICLE 7 . PERSONNEL Operator shall assign qualified personnel to operate the site as may be required to assure a smooth and efficient operation in compliance with all applicable Permits. The County has the right to request, in writing, administrative action, including the removal of any employee of Operator who violates any provision of this Agreement, or who in the opinion of such requesting party is unsafe, negligent, or discourteous to the public or others in the performance of his/her duties . Upon receipt of such a request, Operator shall immediately take whatever administrative action, which, in its judgment, is necessary to resolve the situation. Such action may include removal of that employee from the Site. A Site Supervisor employed by Operator shall be present at the Site at all times that any operations are being conducted thereon. Operator shall file with the Director the names, addresses, and telephone numbers of the Operator representatives who can be contacted at any time in case of emergency. These Amended Landfill Franchise 24 September, 1994 representatives shall be fully authorized to respond so as to resolve the emergency. ARTICLE 8. LANDFILL GAS If at any time Operator voluntarily pursues the sale of gas produced from the Landfill or the sale of electricity produced by burning said gas, County may require the payment of a Surcharge thereon. ARTICLE 9 . CLOSURE AND POST CLOSURE Section 9 . 1 CLOSURE RESPONSIBILITIES. Operator shall be responsible for Site Closure and Post Closure Maintenance of the Landfill according to all Permits and requirements of the Regulatory Agencies. Operator will hold the County harmless for the performance of its duties under this Article. The County and Operator recognize the inevitability of Site Closure. Both parties also recognize the existing uncertainties yet to be resolved which may impact the date and total cost of Site Closure and the need to commence closure activities promptly upon cessation of disposal activities in a discrete portion or phase of the Landfill . The parties intend to provide for the public interest by assuring that the appropriate financial mechanisms are put in place by Operator to provide funds to pay the costs incurred for Site Closure and Post-Closure maintenance as required by law. Section 9 .2 FINANCIAL ASSURANCES. Operator shall provide all financial assurances necessary to satisfy the provisions of Public Resources Code Section (formerly Section 66796 .22 of the Amended Landfill Franchise 25 September, 1994 California Government Code) , Title 14, California Code of Regulations, Division 7, Chapter 5, Article 3.5 and all other applicable provisions of California and Federal law. The financial assurances shall include the establishment of a trust fund or equivalent financial arrangement as evidence of financial ability to provide for the cost of closure and post-closure maintenance as required by law. Operator shall consult with the County with respect to proposals to be made to the State regarding the financial assurance to be provided. Operator shall provide the County with adequate notice of any filings with the State or hearings with respect to such proposals sufficient to allow the County to participate in and provide input to the State on the State's determinations on closure and post closure requirements, including financial assurances to be imposed on the Site. Section 9 . 3 PERFORMANCE. Operator acknowledges that under State and Federal law, Operator shall have the responsibility to perform both closure and post closure activities in a timely, cost-effective manner. Performance by Operator shall be determined in accordance with State and Federal statutes . The County and Operator agree that, to the extent site closure and postclosure activities are funded from the Landfill rates, it is in the local public interest to assure timely, cost- effective closure and postclosure activities . The County shall have the right to conduct such technical and financial review as it deems necessary to protect the local public interest. Amended Landfill Franchise 26 September, 1994 Section 9 .4 SIGNING OF INSTRUMENTS AND DOCUMENTS. From time to time, either party shall at the request of the other party and without further consideration, execute and deliver such instruments and documents as may be reasonably necessary in order to effectuate the purposes of this Article 9 . Section 9 .5 FAILURE TO MEET CLOSURE AND POST-CLOSURE OBLIGATIONS. In the event that Operator fails to perform its obligations as set forth in this Article 9, or to enter upon performance of same with due diligence after the determination of an event of default in a manner described below in Article 11, the County may enter the Landfill and perform the Site Closure and Post-Closure activities required to remedy the default and expend Site Closure funds for the costs involved. ARTICLE 10. UNINTERRUPTED OPERATION Section 10 . 1 ASSURANCE OF UNINTERRUPTED OPERATION. Operator, in entering into this Agreement, assures that it will provide from the Commencement Date for the operation of a Solid Waste disposal facility at the Landfill in an uninterrupted manner for as long as the Site is useful and usable, except as provided in Section 11 .4 below. Operator acknowledges the hardship that would occur if the Landfill is not operated properly or is prematurely closed. The County and Operator recognize that in the ordinary course of events, certain unexpected events may result that may place a burden on the requirement of uninterrupted operation. However, it is the purpose of this Article 10 to establish that it is Operator's Amended Landfill Franchise 27 September, 1994 obligation to avoid any interruption of operations except for those that are outside of Operator's control, as provided by Section 11.5 of this Agreement. Section 10.2 LABOR DISPUTES. In the event of a labor dispute, Operator shall use its best efforts to keep the Landfill open and to operate it in accordance with this Agreement unless a mutually acceptable disposal alternative is agreed upon by Operator and the County. ARTICLE 11. DEFAULT, REMEDIES Because of the complex nature of this Agreement and the work to be performed hereunder, together with the need for close cooperation and coordination between the parties, it is not anticipated that either party will declare the other in default under the terms and conditions of this Agreement except as a last resort. However, in the event of any such necessity, the following provisions are made a part hereof. Section 11 . 1 FAILURE TO PROSECUTE WORK. Should Operator fail to prosecute the work or any severable part thereof in conformity with the requirements of this Agreement, the Director shall provide written notice to Operator specifying in detail the defect or default in performance (the "First Notice" ) and Operator shall have the right to cure same within a reasonable period of time. If after the First Notice is provided to Operator, the work is not performed in accordance with the Director's specified time frame and a reasonable time to cure so as to ensure its Amended Landfill Franchise 28 September, 1994 completion in accordance with this Agreement, the Director shall serve further notice (the "Second Notice") upon Operator of the County's intention to take further action as provided by law. The Director shall make appropriate and detailed written findings of fact which specify the event of default. No earlier than thirty (30) days after the Second Notice, County shall have the power and ability, if Operator is still in default, to take such actions as provided in law for remedying the same, including the termination of this Agreement. Should the County fail to perform any of its obligations under this Agreement, Operator may declare the County in default after following the same two notice and findings provisions required of the County above. Thereafter,. Operator shall have the power and ability, if the County is still in default, to take such actions as provided in law for remedying the same, including bringing suit in a court of appropriate jurisdiction for equitable or legal relief or both. The foregoing notwithstanding, neither party may bring an action seeking money damages unless it has first provided the other party with 30 days notice of its intention to do so together with written notification of the specific actions which the other party may take to remedy the default which will form the basis for the claim for monetary damages . If the other party in good faith commences the actions specified within the thirty (30) day period, the first party shall not bring the action for damages . Amended Landfill Franchise 29 September, 1994 Section 11.2 CONVICTION OF CERTAIN CRIMES. Operator agrees that a single conviction of Operator, its parent, subsidiaries or operators, or their officers or employees at the level of Site operations manager or above, acting within the scope of their employment, of bribery, antitrust, corruption or theft relating to or involving directly the Landfill Site shall constitute an event of a breach of this Agreement subject thereupon to the provisions of this Article unless Operator, promptly initiates and follows through with appropriate disciplinary procedures and action considering the nature of the offense and resolution by the courts . Section 11 .3 CONDEMNATION. In addition to any other remedy available to the County, it has the right and authority under law to condemn the Site. Section 11 .4 RIGHT TO TAKE/RIGHT TO POSSESSION. In the event that Operator chooses to no longer operate the Site, Operator agrees that it will give County notice of its intention to cease operation ninety (90) days prior to the cessation. If, after receiving such notice, County initiates eminent domain proceedings to acquire the Site, Operator agrees that it will not object to or contest County' s right to take, or right of possession of, the Site. Nothing contained herein shall constitute a waiver of the right to contest valuation at any stage of the proceedings. County and Operator agree that the provisions of this paragraph may be enforced by means of the remedy of specific performance. Amended Landfill Franchise 30 September, 1994 Section 11 .5 FORCE MAJEURE. Operator shall not be liable for a default if the failure to perform under the terms and conditions of the Agreement arise out of causes beyond the control or without the fault or negligence of Operator. Such causes may include, but are not limited to, acts of God, or the public enemy, acts of the County in either its sovereign or contractual capacity, fires, floods, earthquakes, epidemics, quarantine restrictions, suppliers ' and vendors ' strikes and all other labor disputes, freight embargoes, and unusually severe weather; but in every case the failure to perform must be beyond the control and without .substantial default or negligence of Operator. Operator shall make every reasonable effort to mitigate the effects of said causes . Section 11 . 6 SPECIFIC PERFORMANCE. Notwithstanding any other available remedies, the obligations duties and rights of each party under this Agreement shall be specifically enforceable by the other party. Section 11 .7 NONEXCLUSIVE REMEDIES. The rights and remedies of either party to this Agreement as provided for in this Article 11 shall not be exclusive, and are in addition to any other rights and remedies provided by law or under this Agreement; except that the right of either party to seek monetary damages is limited as provided in Section 11 . 1 above. ARTICLE 12 . INSURANCE AND BONDS Section 12 . 1 WORKERS' COMPENSATION. Operator hereby acknowledges that it is aware of the provisions regarding Amended Landfill Franchise 31 September, 1994 Workers ' Compensation, Section 3700 of the Labor Code. Operator shall comply with the provisions of such Section as amended from time to time with regard to its employees and shall supply to the County forthwith upon execution of this Agreement, and annually thereafter, evidence of such compliance. Section 12 .2 PUBLIC LIABILITY. Operator shall obtain from a good and responsible company or companies doing insurance business in the State of California, and pay for, maintain in full force and effect for the duration of this Agreement and any extension, a policy or replacement policy of comprehensive liability insurance for the Landfill, in which the County is named as an additional insured with Operator. Operator shall furnish a Certificate of Liability Insurance to the Director before execution of this Agreement by the County. Notwithstanding any inconsistent statement in the policy described by the Certificate of Liability Insurance or any subsequent endorsement attached thereto, the protection offered by the policy shall: (a) Include the County, its officers, employees and agents while acting within the scope of their duties under this Agreement, the Use Permit, or any other County ordinance, resolution or other rule relating to the operation, maintenance or closure of the Landfill, as an additional insured covering said duties against all third party claims for negligence; and for indemnification of the County as provided by this Agreement. (b) Provide for a combined single limit policy not Amended Landfill Franchise 32 September, 1994 r less than $10,000,000 per occurrence, combined bodily injury and property damage. At every fifth year of this Agreement, this $10,000,000 minimum limit shall be increased as directed by the County but not more than 30% for each such five year period. Section 12 . 3 OTHER INSURANCE PROVISIONS. All insurance policies required by this Agreement shall bear an endorsement, whereby it is provided that, in the event of expiration, or proposed cancellation of such policy for any reason whatsoever, the Director shall be notified in writing not less than thirty (30) days before expiration or cancellation is effective. Expiration, reduction or cancellation of any insurance policy required by this Agreement without obtaining a replacement policy pursuant to Section 12 .2 to meet the requirements herein shall be considered a breach of this Agreement by Operator. Operator shall also carry such other insurance as may be required by law. Operator shall be solely liable for any claims or liabilities caused by its failure to maintain insurance required by law. Section 12 .4 FAITHFUL PERFORMANCE SURETY. Operator shall, prior to acceptance of waste at the Site under this Agreement, provide to the County an irrevocable Performance Surety Letter of Credit in the form set forth in Exhibit B hereto guaranteeing Operator's performance of all provisions of this Agreement (except Article 9, relating to Site Closure, for which separate financial assurances are required by applicable law) in an amount of not less than $1,000,000 .00. This Letter of Credit may also Amended Landfill Franchise 33 September, 1994 be utilized to meet the security and performance requirement of the Use Permit, except as to the closure requirements which will be separately secured. If Operator or an affiliate acceptable to the Director operates a transfer or processing station in the County, from which transfer or processing station solid waste is delivered to the Landfill, the Director may allow the Performance Surety Letter of Credit required by this section to additionally guarantee Operator's performance of all provisions of said transfer station agreement or franchise. ARTICLE 13. GENERAL PROVISIONS Section 13 . 1 GUARANTY BY PARENT OR AFFILIATE. Prior to the Commencement Date, and for all conditions and obligations of this Agreement, Operator shall provide to the Director, proof of guaranty by the parent or an affiliate of Operator acceptable to the County, of the performance by Operator of each provision of this Agreement to be performed by Operator. Proof of guaranty shall be in the form set forth in Exhibit C. Section 13 .2 ATTORNEY'S FEES. In the event of litigation between the parties arising hereunder, each party shall pay and bear its own litigation expenses, including attorney's fees. Section 13.3 INDEMNITY AND HOLD HARMLESS AGREEMENT. (a) All work and performances by Operator covered by this Agreement shall be at the risk of Operator (b) With respect to third-party claims, Operator agrees to save, indemnify and keep harmless the County, its officers, employees, agents and assign against any and all Amended Landfill Franchise 34 September, 1994 liability, claims, judgments, or demands, including demands arising from injuries or deaths of persons and damage to property, arising directly or indirectly out of the obligations herein undertaken by Operator, save and except claims or litigation arising through the sole negligence or willful misconduct of the County, and will make good to and reimburse the County for any expenditures, including reasonable attorney's fees, that the County may make by reason of such matters and, if requested by the County, shall defend any such suit at the sole cost and expense of Operator. (c) With respect to third-party claims, the County agrees to save, indemnify and keep harmless Operator, its officers, employees, agents and assigns against any and all liability, claims, judgments, or demands, including demands arising from injuries or deaths of persons and damage to property, arising directly or indirectly out of the sole negligence or willful misconduct of the County, and will make good to and reimburse Operator for any expenditures, including reasonable attorney's fees, that Operator may make by reason of such matters and, if requested by Operator, shall defend any such suit at the sole cost and expense of the County. (d) Should any party successfully challenge the validity of this Agreement or the procedure by which this Agreement was entered into or the validity of any County action which authorizes the County to enter into this Agreement, then in such case the Operator shall have no cause of action for damages Amended Landfill Franchise 35 September, 1994 or any other relief against County as a result of such successful challenge. In the event of any such legal challenge, Operator shall defend such action or proceeding at its sole expense and Operator shall save and hold County harmless from any claims or awards for third party attorneys ' fees and costs. Section 13 .4 ASSIGNMENT. (a) Voluntary. Operator shall not sell, assign, subcontract or transfer this Agreement or any part hereof, or any obligation hereunder, without the written consent of County; provided, however, that Operator may assign this Agreement without the County's consent to any company which it controls, is controlled by, or which is under common control with Operator. As used in this Section, the term "control" with respect to a company, means the beneficial ownership of more than 50% of the voting stock of the company. The term assignment shall include any dissolution, merger, consolidation or other reorganization of Operator, which results in change of control of Operator, or any sale or other transfer of a controlling percentage of Operator' s capital stock. Any attempted assignment not provided for above without such consent shall be void ab initio. (b) Involuntary. Except as may be permitted by paragraph (a) above, no interest of Operator in this Agreement shall be assignable by operation of law. Any such nonpermitted assignment and any of the following acts, each of which are deemed an involuntary assignment, shall provide County with the right to Amended Landfill Franchise 36 September, 1994 elect to terminate the Agreement forthwith, without suit or other proceeding: ( 1) If Operator becomes insolvent, or makes an assignment for the benefit .of creditors; (2 ) If Writ of Attachment or Execution is levied on this Agreement or other property of Operator such that would have a materially adverse effect on Operator's ability to perform its duties and obligations under this Agreement; (3) If in any proceeding to which Operator is a party, a Receiver is appointed with authority to take possession of Operator's property such that would have a materially adverse effect on Operator's ability to perform its duties and obligations under this Agreement. Section 13.5 COMPLETE AGREEMENT. No verbal agreement with any officer, agency, or employee of the County or of Operator nor any contract either before, during, or after the execution of this agreement shall affect or modify any of the terms or obligations herein contained unless a written agreement, signed by both parties, specifically provides that same is an amendment to this Agreement. Section 13 .6 NO THIRD PARTY BENEFICIARY ENFORCEMENT. While this contract benefits the public interest throughout Contra Costa County, it is an Agreement between only Operator and the County and, accordingly, only Operator and the County may enforce same. No claims, demands, or causes of action by any entity, party, or person claiming to be a third party beneficiary Amended Landfill Franchise 37 September, 1994 hereunder shall be enforceable. Section 13.7 SURVIVAL OF OBLIGATIONS. County' s rights to any damages, remedies, insurance coverage and indemnification under this Agreement shall survive the termination of this Agreement. Section 13.8 ARBITRATION. Any controversy or claim submitted to arbitration pursuant to the express provisions of this Agreement, or by mutual subsequent agreement, and arising out of or relating to this Agreement, or the breach thereof, shall be governed by the provisions of Part III. , Title 9 of the Code of Civil Procedure, sections 1280 et seq. as amended from time to time. The arbitration shall be de novo and subject to a de novo appeal or challenge brought in the Contra Costa County Superior Court as to any alleged error of law or as to the admissibility of evidence. California judicial rules of evidence shall apply to the arbitration proceedings . The arbitration decision shall be decided under and in accordance with California law, supported by a preponderance of evidence and in writing in the form of a Statement of Decision pursuant to Code of Civil Procedure Section 632 . Section 13 .9 CONFLICT. (a) This Agreement is intended to implement prior Landfill approvals, including the Use Permit (and Ordinance No. 88-81 if applicable to the Landfill) . In the case of any apparent or potential conflict between the provisions of this Agreement and the provisions of the Use Permit or any involved Amended Landfill Franchise 38 September, 1994 development agreement, the provisions of this Agreement, the Use Permit and/or development agreement shall be read together and harmonized to the maximum extent possible to effectuate the intentions of the parties. In the case of any unresolved conflict between the provisions of this Agreement and the provisions of the Use Permit or any involved development .agreement, the provisions of the Use Permit and/or development agreement shall control. Notwithstanding any other provision in this Agreement or in the Use Permit, importation of waste not originating in Contra Costa County shall be allowed as required by recent U.S. Supreme Court cases. (b) Operator has entered into an agreement with Contra Costa Water District ( "CCWD" ) the relevant portions of which are attached hereto as Exhibit D, which Exhibit is incorporated herein by this reference. If there is any conflict between this Agreement and Exhibit D, this Agreement shall prevail with respect to the relationship between Operator and the County. Section 13. 10 CAPTIONS. The captions and headings used in this Agreement are for convenience and reference only and are not to be construed as controlling over the text of this Agreement. Section 13 . 11 DELEGATION BY BOARD. The Board may, in its discretion, delegate to a County employee or hearing officer any of its functions expressly or impliedly arising from this Agreement provided that in such case any decision made by such Board, County employee or officer may be appealed de novo to the Board. Amended Landfill Franchise 39 September, 1994 Y ' Y Section 13. 12 SEVERABILITY. If any term, provision, covenant or condition ( "provision" ) of the Agreement or the application of any provision of this Agreement to a particular situation is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement, or the application of this Agreement to other situations, shall continue in full force and effect. Notwithstanding any other provision of this Agreement, if any provision of this Agreement in itself or as applied in any particular situation is held to be invalid, void or unenforceable, it is the intention of the parties that the remaining portions of this Agreement shall be continued in full force and effect and that the invalid, void or unenforceable provision be severed therefrom. Section 13 . 13 MASCULINE GENDER USED. The masculine gender is sometimes used in this Agreement and is so used for convenience only and is not otherwise intended. Section 13. 14 GOVERNING LAW. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Section 13. 15 NOTICES. All notices or other communications ( "Notice") to be given pursuant to this Agreement, including the notices required in Articles 6 and 10 hereof, shall be in writing and shall be deemed given when mailed by registered or certified United States mail, addressed to the parties as follows: To County: County of Contra Costa Attn: County Administrator Amended Landfill Franchise 40 September, 1994 To Operator: Keller Canyon Landfill Company , C/O: Browning Ferris Industries of California Attn: Ron Pfeifer, Regional Vice President 9188 Glen Oaks Blvd. , 3rd Floor Sun Valley, CA 91352 With Courtesy as designated by Browning-Ferris Industries of California. A change in address or a change in the person or title to which Notice is to be given shall be effectuated by Notice to the other party. IN WITNESS WHEREOF, this Agreement is effective on the date first provided on page one hereof. OPERATOR Keller Canyon Landfill Company a California corporation By:� Pres ent By: ice-Pre dent CO NTY OF A By: Cha r Board of Supervisors ATTEST: By: OPJ All 0�.0 C rk o the Soard, Deputy APPROVED AS TO FORM: By: ltf: 12.kc994 County Counsel DEP CONTRA CUSiA COU141Y. CALIF. Amended Landfill Franchise 41 September, 1994 , s 1 EXHIBIT A SITE MAP FIGURE 2.1 PROJECT SOLANO i 1 i11. i Tit ~��lo wAir 1 / LOCATION I1 1t ;j, ,., 5 Jyr MARIN �. f r f� (i .i .f ,r ,� • /'' � ,_• r- t!!• t I ��: �' ' } �• CONTRA EST':ILELANO A0, r I ,'"' t COSTA Oakland go—, `:` ` f .r \P'�,,f;::, ..'' ~, 1`• ; )ft San Francltco ALAMEO . •�.;� , o wtrrarr,tas,r�,ra rar ra � ..j 4J _..•. .. ,� r r' t< , ;f REGI ,��%•� : LOCATION `' �f' t..,:tom ,�:`... ; •..��sdr:' : . .. �' .�r � .� ;�•`' ,, fat.:::;�;:;�.�•; 't •,:� �' ?:;f:t�is} ..$•L•:,y:.'•, '\.a:.^'r... .t.. , �:i•ti:•: 4-:'i;{:;:S•y1•:v: 'I ��'r� :•, v::�A{•:•4'%:-Y:::1°'':•::•:V'•}'•:•:r .. • .`�' il,f ��' •2.•• 'r f}1• S::� •1 t t/ •!'t:r::.:.{,.:r.}:ti�S{f:•5:.;..•{:}:;.;.* :;..-'-`4V � »..,. •:. say.,., a''�;; :•�< ... .:ta;s:.�,i�<-;�':t•;. � •r � }. ;;:y;.�'if;:;;' •;:;.::.�:>��:�'�=St�c:,y, ::: t vF `{:h•. �• LEGEN ► , ' .•• 't's'`f`ii'^';>;,;: MAJOR SITE .ComPONENTS: .r. +.: Prlrilnr Project Areal• } ,f c' ,..+ ,. \ lY ::•>::::,< �a,; '•:rwIIIIIwIIII Extent 5) Olattorbandl ;' "'_ kxlent I Wa+itb Placem8n( OVerllll �'ioject Boundary.' ♦ r t :. 4ii:t `"dbnerit Plan .. f ' l Special Buffer-:Area ft �. ��, .iK�t rs=sty j t /. .r'•.;:•%r•:::::•::•: +. .9f<,::..'•:.f;... •. . ^�� �+' •.+,�r� ,�•.r, /T !, '(• .�' " ( ,..w trr rr fi`'+i<�+i Ii++� :,vf i:: ��?::;f ;'�r,: filli (- �; _ F :';'.#•...:.jYir `':1 .: -^�. ,'•}„ -• ,..::/'� ,rrf' ';, � �; i�> : iia•`•:?:::�:'v�•�:•:i:`�:''•.. .. MMS�M��� t•. �,r0�. Uwt•.�P,+ '.4,. • ,\ '.y::y,v.w•.:. .��• � tUALAIL NO� P1#QJE7 (LO 1 ,TIOt J l 1 3 1000 ( 2Vd0.. ef .... Z;• ; �. ..I'r I�tit. t-.,J -� , &CALE'IN EEt. C , }l EXHIBIT C GUARANTY This Guaranty is made and entered into this _ } day of Okl e r 1994 , by and between the County of Contra Costa (hereinafter "County") and A_� a De.I o wa re-- corporation ("Guarantor") . RECITALS WHEREAS, Keller Canyon Landfill Company ("Operator"), an [indirect wholly owned subsidiary] of Guarantor desires to enter into a certain First Ameded Landfill Franchise Agreement with the County (the "Agreement") for the Keller Canyon Landfill; WHEREAS, pursuant to Section 13.1 of the Agreement, the County has demanded that Operator obtain certain assurances from Guarantor, as to all conditions and obligations of the Agreement to be fulfilled by Operator; and WHEREAS, in order to induce the County to enter into the Agreement with Operator, Guarantor desires to provide the County with said assurances as to all conditions and obligations of the Agreement to be fulfilled by Operator, NOW, THEREFORE, the County and Guarantor hereby agree as follows: 1. Guarantor hereby guarantees to the County the full performance by Operator of all conditions and obligations in the Agreement which are to be fulfilled by Operator, provided that the County has fulfilled all of its obligations under the Agreement, and in particular, without limiting the foregoing, that the County has provided Operator with the requisite notice(s), opportunities to cure and any option to arbitrate notice(s), opportunities to cure and any option to arbitrate as provided for in the Agreement. ' cr EXHIBIT D [Relevant portions of Agreement between Operator and Contra Costa Water District] AGREEMENT THIS AGREEMENT ("Agreement") In entered into on June 20, 1990 by and between the Contra Costa Water District, a district organized under Division 12 of the Water Code ("District") , Browning-Ferris Industries, Inc. , a Delaware corporation ("BFI") , and Keller Canyon Landfill company, Inc. ("KCLC") , a California corporation and a wholly owned subsidiary of BFI. RECITALS This Agreement is entered into with reference to and reliance upon the following factual context: (d) The District provides the drinking water for nearly 400,000 people residing in the District and is the water supplier ' r the major utility and industrial plants along the northern Contra Costa County shoreline, various municipal and industrial uses, landscape irrigation and irrigated agriculture. The District's present source of supply is through the Contra Costa Canal ("Canal") , which presently carries water diverted from the Sacramento-San Joaquin Delta at two locations, Rock Slough near Knightsen, and Mallard Slough near Pittsburg, to the terminus of the Canal at the Martinez Reservoir and points in between. The Canal was completed in the 1940's and has been operated by the District since 1972. (e) On March 1, 1989, KCLC submitted to the County of Contra Costa ("the County") a Comprehensive Project Description of the proposed Keller Canyon Sanitary Landfill ("Keller Canyon Landfill") tv initiate the process of obtaining from the County the necessary land use permit and amendments required for the development and NOW, THEREFORE, the parties hereto agree as follows: 1. Amendment to Conditions of AonrovAli KCLC shall use its best efforts to implement the Conditions of Approval of the Keller Canyon Landfill is * manner which incorporates the following contractual provisions hereby agreed upon by KCLC, BFI, and the District. KCLC shall also use its best efforts to incorporate the following contractual provisions into the Conditions of Approval of the Keller Canyon Landfill or a binding implementation program for the Conditions of Approval. BFI shall use its best efforts to implement the Conditions of Approval of the Vasco Road Landfill to incorporate the following intractual provisions hereby agreed upon by KCLC, BFI, and the District. BFI shall also use its best efforts to incorporate the following contractual provisions into the Conditions of Approval of the Vasco Road Landfill or a binding implementation program for the Conditions of Approval. The parties desire to seek to incorporate in the manner set forth in this paragraph the following obligations go these contractual obligations can be enforced by the respective Counties using all available remedies, in addition to the District's ability to enforce these provisions pursuant to this Agreement. • '3 Keller Canyon Landfill (a) Water Quality. KCLC shall, upon issuance of all requisite regulatory approvals and permits, promptly pay to District the amount of $400,000 to be used as District may decide in its sole discretion to address water quality issues associated with the Canal or for potential Canal protection measures. At any time after the Keller Canyon Landfill commences operation, in the unlikely event that it is demonstrated that intrusion of water containing leachate-contaminated surface water or groundwater discharged from the landfill into the Canal is eminent, then, KCLC at its cost shall immediately take all steps reasonably necessary to provide protection against such intrusion, including without limitation the repair, maintenance, replacement or reconstruction of Canal facilities (e.g. , replacement by enclosed pipeline, etc. ) in accordance with the Districts specifications and with District's technical concurrence. (b) Groundwater Monitoring. KCLC shall install at least three (3) monitoring stations to ensure detection of movement of groundwater contaminants from the Keller Canyon Landfill site toward the Delta, the number, specifications, and locations of, and the frequency of data collection from, which shall be agreed upon by the respective staff and consultants of KCLC and District, or In the alternative, KCLC shall agree to install at least three (3) monitoring stations to ensure detection of movement of groundwater from the Keller Canyon Landfill site toward the Delta, the precise number, specifications, and locations of, and the frequency of data collection from, which shall be determined by the Regional Water Quality Control Board, San Francisco Bay Region ("Regional Board") . (c) Data from Groundwater Monitoring Stations. KCLC shall provide to the District simultaneously with the submission to the Regional Board all data collected from the groundwater monitoring stations described above and shall provide to District staff and its consultants the right to inspect each groundwater monitoring station at reasonable times to enable the District to verify the data collected. / (d) Regional Board Submittals. KCLC shall forthwith provide the District with all information and documentation submitted to date to the Regional Board in connection with its application for a waste Discharge Permit for the Keller Canyon Landfill. KCLC shall immediately notify the Regional Board of the -existence of this agreement and transmit a copy of this agreement to the Regional Board. With respect to information and documentation to be submitted in the future to the Regional Board, KCLC shall use its beat efforts to provide the District with all such information and documentation to the District at least one (1) week prior to submittal to the Regional Board, and shall in any event provide the District with all such information and documentation no later than simultaneously with its submission to the Regional Board. The District may generate comments pertaining to any topics discussed herein or in any modification hereof and KCLC shall forward such comments to the Regional Board promptly upon KCLC's receipt of the comments. (e) iL tter. If District notifies KCLC that litter generated by the Keller Canyon Landfill is adversely affecting the Canal or the Canal right-of-way, then KCLC shall immediately ndertake such action as is reasonably necessary to remedy the situation, including without limitation litter pickup in the affected areas, or installation of additional litter control measures at the landfill. If KCLC fails to take such action Immediately after receiving notice from the District, and if the problem arises as the result of the operation or development of the Keller Canyon Landfill, then (1) the District may provide for litter pickup or other such measures at the canal or the Canal right-of-way as the District determines are reasonably necessary to alleviate the identified problem; and (ii) KCLC shall reimburse the District for the reasonable cost of such litter pickup or other such measures. (f) Mitigation of Bird Problems. If birds cause a potential water quality problem at the Reservoir in the judgment of the District or any regulatory body concerned with water quality, District and BFI shall jointly request the County Health Services Department to immediately investigate the matter and determine what measures, including without limitation a contingency bird control program, are reasonably necessary in order to mitigate the adverse impacts of birds related to the Vasco Road Landfill. These mitigation measures shall be carried out at the sole expense of BFI to the extent that the problem is attributed by the County Health Services Department to the Vasco Road Landfill. 2. Relation to Regulatory Approvals. (a) This Agreement is not an approval 'of the Keller Canyon Landfill or the Vasco Road Landfill or any aspect of the development, operation, or expansion of either landfill. The District does not have any authority to approve or disapprove either landfill except with regard to the provision of water service to, and the annexation into the District and Improvement District No. 1 of either landfill site. Nothing in this Agreement shall be construed to in any way affect the District's discretionary determinations with respect to these matters or to require the District to petition the respective Local Agency Formation Commissions for the counties of Alameda or Contra Costa for such annexation. (b) The obligations set forth herein are in addition to, and independent of, KCLC's and BFI 's obligations pursuant to the Conditions of Approval of the Keller Canyon Landfill and the Vasco Road Landfill, respectively. Whether or not either County agrees to amend the respective Conditions of Approval to add the conditions set forth in paragraph 1, subparagraphs (a) through (e) for Keller Canyon Landfill and (a) through (f) for Vasco Road Landfill, or agrees to implement the conditions of Approval in a manner which would incorporate the provisions of those subparagraphs, all obligations of KCLC and BFI set forth in those subparagraphs shall be enforceable obligations of KCLC and BFI by virtue of this Agreement. The obligations of KCLC under this Agreement shall be performed before the Keller Canyon Landfill receives any waste. (c) Nothing in this Agreement shall be construed to in L..Ay way limit any remedies which the District may have with regard to the matters discussed herein or to provide to the District any enforcement powers which the District does not otherwise possess with respect to the Conditions of Approval. The parties agree that the primary authority with responsibility for enforcing the conditions of Approval is the county within whose jurisdiction the particular landfill lies. (d) In their oral and written submittals for other county approvals and approvals from certain agencies required for the operation, development or future expansion of the Vasco Road Landfill, BFI shall at all times refer to the Los Vaqueros Project as an existing project. Likewise, in its oral and written 'imittals for approvals required for the development and operation of the Reservoir, the District shall at all times refer to the Vasco Road Landfill as an existing project. r n • (e) KCLC staff and District staff have conferred regarding drinking water and groundwater protection issues and available remedies. Based on all information presently available and the additional protection not forth in this agreement, District staff have determined that sufficient measures will be undertaken before the Keller Canyon Landfill accepts any waste to protect against contamination of the waters in the Canal. (f) Nevertheless, to provide further protection against possible groundwater problems, KCLC and the District agree that, if the Keller Canyon Landfill would render it impossible or impractical for the District to obtain or maintain all regulatory approvals necessary to continue to operate the Canal to provide drinking water in compliance with all applicable water quality standards, then the District shall be entitled to pursue any administrative or judicial remedies that it may have, including without limitation those set Forth below in this subparagraph. Similarly, BFI and the District agree that, if the operation or further development of the Vasco Road Sanitary Landfill, either independently or cumulatively in conjunction with the operation or further development of the Altamont Sanitary Landfill and the Marsh Canyon Landfill, would render 'it impossible or impractical for the District to obtain all regulatory approvals necessary to construct and operate the Reservoir to provide high quality drinking water in compliance with all applicable water quality standards or to so )perate the Reservoir, then the District shall be entitled to pursue any administrative or judicial remedies that it may have, including without limitation those set forth below in this subparagraph. n Specifically, the District shall be entitled to seek any compliance, cease-and-desist, or other orders which may be imposed by any agency or court, including without limitation the Regional Board. Without limiting the foregoing, the District may seek any available orders from the Regional Board, including without limitation orders requiring additional detection monitoring, verification monitoring, corrective action, or closure of the landfill pursuant to 23 California Code of Regulations sections 2550-2559 and 2593 and other similar and successor regulations. The District, KCLC, and BFI acknowledge that these regulations apply to all existing and proposed landfills. The determination the appropriate order or remedy shall be made by the Regional Board, as provided by applicable state law and regulations. KcLC and BFI shall consult promptly with the District regarding any such proceeding sought by the District, and shall provide the District with copies of all additional notices and documentation submitted to or received from the Regional Board in connection with any such proceeding. Finally the parties shall be entitled to seek any available judicial remedies at any time. This agreement does not constitute a waiver of any contentions, defenses, or objections that any party hereto may have regarding any regulatory or judicial proceeding commenced by any other party. 3. Emergency Contact: For purposes of facilitating communication by the District to KCLC or BFI, KCLC and BFI shall each designate an emergency contact person for the District, and each shall provide the name and telephone number of such person. (a) The District shall be entitled to contact tits emergency contact person designated by KCLC directly if problems arise at or near the Canal or Mallard Slough relating to groundwater, litter control, or other matters and such problems are or may be caused by development or operation of the Keller Canyon Landfill. Until another emergency contact person may be designated, the emergency contact person for KCLC shall be Boyd H. Olney, whose telephone number is, (415) 685-4716. (b) The District shall be entitled to contact the emergency contact person designated by BFI directly if problems arise at or near the Reservoir relating to groundwater, bird control, litter )ntrol, or other matters and such problems are or may be caused by development or operation of the Vasco Road Landfill. Until another emergency contact person may be designated, the emergency contact person for BFI shall be Tim Cox, whose telephone number is (415) 447-0491. Notices and demands made orally shall subsequently be conf armed in writing in the manner set forth in paragraph 5 herein. 4 . Water Treatment Byproducts. Neither KCLC nor BFI shall unreasonably refuse to accept for disposal the District's water treatment byproducts generated by the Bollman Treatment Plant or any water treatment plant that may commence operation in the future, assuming the byproducts comply with applicable regulatory requirements. 5. General Provisions. (a) poor Agreements. This agreement contains tits sole and only agreement of the parties hereto relating to the Canal, M f`f successors, assigns, and subsidiaries. (1) governing Law. This Agreement shall be governed by and construed according to the laws of the State of California. (j) Interpretatign. This Agreement has been negotiated, reviewed, and revised by legal counsel for each of the parties hereto. This agreement shall not be subject to any rule of construction or inference that an agreement or any ambiguities in an agreement shall be construed against the drafting party. (k) Warranty of Authority. Each party hereto warrants that the person executing this Agreement on its behalf is in fact duly authorized to do so. IN WITNESS HEREOF, the parties hereto have executed this '-greement on the date first above written. CONTRA COSTA WATER DISTRICT KELLER CANYON LANDFILL COMPANY, INC. By- By: Be to Boatmun, Presdent Boyd H. Olney, Pr sident Board of Directors KELLER CANYON LANDFILL COMPANY, INC. Attes • BROWNING-FERRIS INDUSTRIES, INC. S cretary By: 'Rell D. Wise, ce'-Pres dent APPROVED AS TO FORM: BROWNING-FERRIS INDUSTRIES, INC. APPROV D AS TO FORM: By: r L AND POLISNER By• To ruen For TITCHELL, MALTZMAN, MARK, BASS, OHLEYER & MISHEL 1A 5 COUNTY OF CONTRA COSTA STATE OF CALIFORNIA PERMANENT TRANSFER STATION FRANCHISE AGREEMENT RECVED OCT 1 01994 FJF CLIEFIK BOARD OF SUPE CONTRA COSTA CO i$ORS September, 1994 } T TABLE OF CONTENTS - ACME WASTE RECOVERY AND TRANSFER STATION RECITALS 1 ARTICLE 1. INTRODUCTORY PROVISIONS 2 Section 1. 1 RECITALS INCORPORATION. . . . . . . . . 2 Section 1.2 EFFECTIVE DATE, EFFECT. . . . . . . . . . . 2 Section 1.3 CONDITIONS OF APPROVAL. 2 Section 1.4 OPERATOR ACKNOWLEDGMENT. 3 Section 1.5 COUNTY DISCRETION AND INTEREST. . . . . . 3 ARTICLE 2 . DEFINITIONS 4 Section 2 . 1 AGREEMENT. . . . . . . . . . . . . . . . 4 Section 2 .2 ACTIVITIES REPORT. . . . . . . . . . . . . 4 Section 2 .3 ANALYSIS PERIOD. . . . . . . . . . . . . . 5 Section 2 .4 COUNTY. . . . . . . . . . . . . . . . . . . 5 Section 2 .5 DIRECTOR. . . . . . . . . . . . . . . . . . 5 Section 2 . 6 EMERGENCY. . . . . . . . . . . . . . 5_ Section 2 . 7 GATE FEE COLLECTION SYSTEM. . . . . . . . . 5 Section 2 .8 GATE RATE. . . . . . . . . . . . . . . . . 5 Section 2 .9 HOURS OF OPERATION. . . . . . . . . . . . . 6 Section 2 . 10 HOURS OF ACCESS. . . . . . . . . . . . . . 6 Section 2 . 11 KELLER LANDFILL. . . . . . . . . . . . . . 6 Section 2 . 12 MANDATED FEES. . . . . . . . . . . . . . . . 6 Section 2 . 13 OPERATOR. . . . . . . . . . . . . . . . . 6 Section 2 . 14 PERMITS. . . . . . . . . . . . . . . . . . 7 Section 2 . 15 REGULATORY AGENCIES. . . . . . . . . . . . 7 Section 2 . 16 SCHEDULE OF CHARGES. . . . . . . . . . . . 7 Section 2 . 17 SOLID WASTE. . . . . . . . . . . . . . . . 7 Section 2 . 18 SOLID WASTE PROGRAMS. . . . . . . . . . . 9 Section 2 . 19 SURCHARGE. . . . . . . . . . . . . . . . . 9 Section 2 .20 SURCHARGE PAYMENTS. . . . . . . . . . . . 9 Section 2 .21 TRANSFER STATION. . . . . . . . . . . . . 9 Section 2 .22 TRANSFER STATION PROPRIETARY RATE. . . . . 9 Section 2 .23 USE PERMIT. . . . . . . . . . . . . . . . 10 ARTICLE 3 . TERM OF AGREEMENT 10 ARTICLE 4 . PERFORMANCE OF OPERATOR 10 Section 4 . 1 OPERATION OF TRANSFER STATION. . . . . . . 10 Section 4 .2 UNACCEPTABLE WASTE. . . . . . . . . . . . . 10 Section 4 . 3 INSPECTION, INVESTIGATION, AND EVALUATION OF SITE. . . . . . . . . . . . . . . . . . . . . . 11 Section 4 .4 PERMITS. . . . . . . . . . . . . . . . . . 11 Section 4 .5 STATUS OF TITLE. . . . . . . . . . . . . . 12 Section 4 . 6 GATE FACILITIES. . . . . . . . . . . . . . 12 Section 4 . 7 OPERATION OF GATE FEE COLLECTION SYSTEM. 13 Section 4 . 8 FEE COLLECTION. . . . . . . . . . . . . . . 13 Section 4 .9 . PAYMENT TO COUNTY. . . . . . . . . . . . . 13 Section 4 . 10 HOURS OF ACCESS. . . . . . . . . . . . . . 13 Transfer Station Franchise i September, 1994 t r v Section 4 . 11 NONDISCRIMINATORY SERVICE. . . 14 Section 4 . 12 ACCESS ROADS, HAUL ROADS AND SERVICE ROADS. . . . . . . . . . . . . . . . . . . . . . . 14 Section 4 . 13 LITTER MANAGEMENT. . . . . . . . . . . . . 14 Section 4 . 14 ENVIRONMENTAL MITIGATION. . . . . . . . . 15 Section 4 . 15 RECYCLING/RESOURCE RECOVERY PROGRAMS. . . 15 Section 4. 16 ACTIVITIES REPORT. . . . . . . . . . . . . 15 Section 4 . 17 PENALTY SCHEDULE FOR NONCOMPLIANCE. . . . 15 Section 4 . 18 RECORDS. . . . . . . . . . . . . . . . 16 Section 4. 19 HOST COMMUNITY. . . . . . . . . . . . . 17 ARTICLE 5. PERFORMANCE OF COUNTY 17 Section 5 . 1 GATE FEE COLLECTION SYSTEM. . . . . . . . . 17 Section 5.2 INSPECTION OF SCALES. . . . . . . . . . . . 17 ARTICLE 6 . RATES 18 Section 6 . 1 PROPRIETARY RATE. . . . 18 Section 6 .2 SURCHARGE. . . . . . . 18 Section 6 .3 GATE RATE. . . . . . . . . . . . . . . 19 Section 6.4 INITIAL SURCHARGE. . . . . . . . . . . . . 19 Section 6 .5 CONTRACTS. . . . . . . . . . . . . . . . . 20 Section 6 . 6 SCHEDULE OF RATES. . . . . . . . . . . . . 20 Section 6 .7 SELF-HAUL RATES. . . . . . . . . . . . . . 21 ARTICLE 7 . PERSONNEL 21 ARTICLE 8. UNINTERRUPTED OPERATION 22 Section 8 . 1 ASSURANCE OF UNINTERRUPTED OPERATION. . . . 22 Section 8.2 LABOR DISPUTES. . . . . . . . . . . . . . . 23 ARTICLE 9 . DEFAULT, REMEDIES 23 Section 9 . 1 FAILURE TO PROSECUTE WORK. . . . . . . . . 23 Section 9 .2 CONVICTION OF CERTAIN CRIMES. . . . . . . . 25 Section 9 .3 CONDEMNATION. . . . . . . . . . . . . . . . 25 Section 9 .4 RIGHT TO TAKE/RIGHT TO POSSESSION. . . . . 25 Section 9 .5 FORCE MAJEURE. . . . . . . . . . . . . . . 26 Section 9 .6 SPECIFIC PERFORMANCE. . . . . . . . . . . 26 Section 9 .7 NONEXCLUSIVE REMEDIES. . . . . . . . . . . 26 ARTICLE 10. INSURANCE AND BONDS 27 Section 10. 1 WORKERS ' COMPENSATION. . . . . . . . . . . 27 Section 10.2 PUBLIC LIABILITY. . . . . . . . . . . . . 27 Section 10 . 3 OTHER INSURANCE PROVISIONS. . . . . . . . 28 Section 10 .4 FAITHFUL PERFORMANCE SURETY. . . . . . . . 28 ARTICLE 11. GENERAL PROVISIONS 29 Section 11 . 1 GUARANTY BY PARENT OR AFFILIATE. . . . . . 29 Section 11 .2 ATTORNEY' S FEES. . . . . . . . . . . . . 29 Section 11 . 3 INDEMNITY AND HOLD HARMLESS AGREEMENT. . . 29 Section 11.4 ASSIGNMENT. . . . . . . . . . . . . . . . 31 Section 11 .5 COMPLETE AGREEMENT. . . . . . . . . . . . 32 Section 11 . 6 NO THIRD PARTY BENEFICIARY ENFORCEMENT. 32 Transfer Station Franchise ii September, 1994 c i t- Section 11.7 SURVIVAL OF OBLIGATIONS. . . . . . . . . . 33 Section 11.8 ARBITRATION. . . . . . . . . . . . . . . . 33 Section 11.9 CONFLICT. . . . . . . . . . . . . . . . . 33 Section 11. 10 CAPTIONS. . . . . . . . . . . . . . . . . 34 Section 11. 11 DELEGATION BY BOARD. . . . . . . . . . . 34 Section 11 . 12 SEVERABILITY. . . . . . . . . . . . . . . 34 Section 11. 13 MASCULINE GENDER USED. . . . . . . . . . 35 Section 11. 14 GOVERNING LAW. . . . . . . . . . . . . . 35 Section 11. 15 NOTICES. . . . . . . . . . . . . . . . . 35 Section 11. 16 JOINT AND SEVERAL RESPONSIBILITY. . . 36 Transfer Station Franchise iii September, 1994 i 1 COUNTY OF CONTRA COSTA STATE OF CALIFORNIA FRANCHISE AGREEMENT FOR THE ACME FILL WASTE RECOVERY AND TRANSFER STATION THIS FRANCHISE AGREEMENT FOR THE ACME WASTE RECOVERY AND TRANSFER STATION (the . "Agreement" ) is made and entered into this by and between the COUNTY OF CONTRA COSTA (hereinafter "County" ) and BFIC, Inc. , a California Corporation, and ACME Fill CORPORATION, a California Corporation (hereinafter jointly referred to as "Operator") . - RECITALS WHEREAS, the legislature of the State of California has adopted the California Integrated Waste Management Act of 1989, which assigns certain responsibilities for the County' s solid waste planning, management, program implementation, and regulation to the Contra Costa County Board of Supervisors; and WHEREAS, on 15 December 1987, the Board of Supervisors of Contra Costa County approved Land Use Permit No. 2122-86 for the Acme Fill Waste Recovery and Transfer Station ( "Transfer Station" ) subject to the applicable conditions of approval, subject to subsequent amendments thereto by the Board of Supervisors; and WHEREAS, the County adopted Ordinance No. 88-81, which provides that a solid waste facility may be operated within the County only upon the approval of a franchise agreement by the County or upon the operator of a solid waste facility entering Transfer Station Franchise 1 September, 1994 into a contract with the Contra Costa County Board of Supervisors to operate such facility; and WHEREAS, Operator has requested that the County enter a franchise Agreement with Operator pursuant to Ordinance No. 88- 81; and WHEREAS, recent United States Supreme Court cases decided under the Commerce Clause of the United States Constitution generally prohibiting states and their political subdivisions from erecting barriers to the free flow of solid waste (and thereby discriminating against interstate commerce) significantly affects the solid waste industry, and affects the parties hereto; NOW, THEREFORE, the County and Operator, for and in consideration of the covenants and agreements as hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, do mutually agree as follows: ARTICLE 1. INTRODUCTORY PROVISIONS Section 1. 1 RECITALS INCORPORATION. The Recitals set forth above, and all defined terms set forth in such Recitals and in the introductory paragraph preceding the Recitals, are hereby incorporated into this Agreement as if set forth herein in full. Section 1 .2 EFFECTIVE DATE, EFFECT. This Agreement is effective on the date mentioned in the first paragraph of page one hereof. Section 1.3 CONDITIONS OF APPROVAL. Operator acknowledges and agrees that all of the terms and conditions of the Use Transfer Station Franchise 2 September, 1994 Z Permit's Conditions of Approval and any amendments thereto, are reasonable, legal and valid and that Operator is barred from any action or proceeding -or any defense of invalidity or unreasonableness of said Conditions of Approval and any amendments thereto, and related County decisions. Further, Operator agrees that Operator will not attack or otherwise assail the reasonableness, legality or validity of any terms and conditions of the Use Permit, or of any provisions included in this Agreement. The parties acknowledge that the agreement by Operator in this section is a material consideration for County's approval of this Agreement. Section 1 .4 OPERATOR ACKNOWLEDGMENT. Operator acknowledges and agrees that this Agreement and the Use Permit (by the incorporation herein of the Use Permit) provide for and allow, among other things, funding for mitigation, provision of closure and post-closure costs, payment to County of annual franchise revenue fees, and otherwise payment to County and reimbursement of County costs for its governmental administration of the project entitlements . It is understood that, among other things, this Agreement provides for Operator' s establishment of its proprietary rates to enable Operator to compete in a solid waste disposal market that has become highly competitive as a result of recent United States Supreme Court decisions. Section 1.5 COUNTY DISCRETION AND INTEREST. Notwithstanding any other provision of this Agreement, Operator Transfer Station Franchise 3 September, 1994 acknowledges that County's discretion to grant, approve or deny one or more nonexclusive or other franchises or similar agreements for others is not limited or abridged in any manner by this Agreement; and that this Agreement does not require the approval of any such other franchises or agreements by Operator. County reserves the rights as part of the negotiation and entry of any such other franchise or agreement to enter a public- private or public-public partnership with other owners and/or to pursue any rights of the County to seek ownership of solid waste facilities . ARTICLE 2 . DEFINITIONS Section 2 . 1 AGREEMENT. "Agreement" shall refer to this Agreement and is synonymous for purposes of this Agreement with the word "Contract" . Section 2 .2 ACTIVITIES REPORT. The "Activities Report" is a summary document reporting Operator's activities and overall performance during the preceding Analysis Period or over such period of time as set by the County. The Activities Report shall summarize transfer station related activities as directed by County and may include, but shall not be limited to: compliance with the provisions of this Agreement and all applicable Permits and Regulatory Agency Requirements, complaints and corrective actions taken,and any other matter the Board may reasonably require for the proper administration of this Agreement, including, but not limited to, reports relating to resource recovery goals and requirements in connection with the Integrated Transfer Station Franchise 4 September, 1994 c t Waste Management Act of 1989 or any other law, regulation, plan or program. Section 2 .3 ANALYSIS PERIOD. "Analysis Period" refers to the twelve ( 12) consecutive calendar months beginning the first day of January of each year throughout the term of this Agreement. The first Analysis Period, for the purposes of this Agreement shall begin on the effective date of this Agreement and shall continue to December 31, 1995. Section 2 .4 COUNTY. "County" shall mean the County of Contra Costa, a political subdivision of the State of California. Section 2 .5 DIRECTOR. "Director" shall mean the County Administrator or his designated deputy, other County officer or employee. Section 2 .6 EMERGENCY. "Emergency" shall mean a sudden, unexpected occurrence involving a clear and imminent danger, demanding immediate action to prevent or mitigate loss of, or damage to, life, health, property, or essential public services. Emergency includes such occurrences as fire, flood, earthquake, or other soil or geologic movements, as well as such occurrences as riots, accident and sabotage. Section 2 .7 GATE FEE COLLECTION SYSTEM. The "Gate Fee Collection System" shall consist of all equipment, hardware, and software utilized for purposes of assessing, collecting, and accounting for Tipping Fees for the receipt of Solid Waste at the Transfer Station. Section 2 . 8 GATE RATE. "Gate Rate" shall mean the per ton Transfer Station Franchise 5 September, 1994 fee charged by Operator for Operator's receipt of Solid Waste at the Transfer Station. The Gate Rate shall be the Transfer Station Proprietary Rate plus Surcharge and Mandated Fees, if any, and disposal costs. "Gate Rate" shall be synonymous with "Tipping Fee. " Section 2 .9 HOURS OF OPERATION. "Hours of Operation" shall be those times during which the use of heavy equipment and other machinery necessary for operation of the Site in compliance with the Use Permit, the Solid Waste Facilities Permit and this Agreement will be allowed. Section 2 . 10 HOURS OF ACCESS. "Hours of Access" shall be those times during which Solid Waste may be delivered to and received at the Transfer Station. Section 2. 11 KELLER LANDFILL. "Keller Landfill" or "Landfill" shall mean the Keller Canyon Landfill, approved and operating pursuant to County Land Use Permit No. 2020-89, Solid Waste Facilities Permit No. 07-AA-0032 and other County and other governmental approvals as of the effective date of this Agreement. Section 2 . 12 MANDATED FEES. "Mandated Fees" shall be those monies required from Operator from time to time by any Regulatory Agency for the purpose of funding (a) Federal, State or regional programs, (b) programs required by the Land Use Permit, or (c) other County established fees . Section 2 . 13 OPERATOR. "Operator" shall mean the holder of the Use Permit or its assignee. Transfer Station Franchise 6 September, 1994 t i Section 2. 14 PERMITS. "Permits" shall mean any and all governmental approvals, entitlements, clearances or classifications, as they may be amended from time to time, including but not limited to, the Use Permit, general plan amendments, environmental impact reports, zoning approvals, conditional use permits, waste discharge permits and requirements, facilities permits, permits to operate, permits to construct, closure plans, building permits, encroachment permits, grading permits, tree removal permits, tract/parcel maps and all other governmental permits, consents or approvals as may be necessary to allow Operator to construct and operate the Transfer Station. Section 2 . 15 REGULATORY AGENCIES. "Regulatory Agencies" shall mean Federal, State and local agencies responsible for regulating the operation and maintenance of transfer stations or sanitary landfills, such as, but not limited to, California Integrated Waste Management Board, California Regional Water Quality Control Board, California Department of Health Services, the Contra Costa County Department of Health Services as Local Enforcement Agency for handling and disposal of Solid Waste, the Bay Area Air Quality Management District and the County. Section 2 . 16 SCHEDULE OF CHARGES. The "Schedule of Charges" shall mean a comprehensive list of Tipping Fees charged at the Transfer Station. Section 2 . 17 SOLID WASTE. "Solid Waste, " "solid waste" or "waste" shall have the meaning set forth in Section 40191 of the Transfer Station Franchise 7 September, 1994 California Public Resources .Code as it may be amended from time to time, as follows: "40191(a) Except as provided in subdivision (b) , 'solid waste' means all putrescible and nonputrsecible 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 . " (b) 'Solid wastes ' does not include hazardous waste or low-level radioactive waste regulated under Chapter 7 . 6 (commencing with Section 25800) of Division 20 of the Health and Safety Code. " (c) 'Solid Waste' does not include medical waste which is regulated pursuant to the Medical Waste Management Act (Chapter) 6 . 1 (commencing with Section 25015) of Division 20 of the Health and Safety Code) . Untreated medical waste shall not be disposed of in a solid waste landfill, as defined in Section 46027 . Medical waste which has been treated and which is deemed to be solid waste shall be regulated pursuant to this division. " Transfer Station Franchise 8 September, 1994 ♦5 { Section 2 . 18 SOLID WASTE PROGRAMS. "Solid Waste Programs" shall mean those programs directly related to solid waste which may include: transfer stations, household hazardous waste programs, recycling and resource recovery programs, Agreement and Use Permit administration costs (including legal, engineering, and accounting and other costs of the County) . Section 2 . 19 SURCHARGE. "Surcharge" shall mean a special charge as required by the County and this Agreement, for .funding of Solid Waste Programs, closure of landfills in operation prior to 1990 and for franchise fees and other costs as deemed appropriate by the County. Section 2 .20 SURCHARGE PAYMENTS. "Surcharge Payments" shall mean those monies received by Operator as a Surcharge and remitted to the County in accordance with the terms of this Agreement and of the Permits. Section 2 .21 TRANSFER STATION. "Transfer Station" or "Site" shall mean the Acme Fill Waste Recovery and Transfer Station, commonly referred to as the "Acme Permanent Transfer Station, " the operation of which is approved and authorized by, and subject to, County Land Use Permit No. 2122-86, as amended, this Agreement, Solid Waste Facilities Permit No. 07-AA-0027, and other County and other regulatory agency requirements as of the effective date of this Agreement. Section 2 .22 TRANSFER STATION PROPRIETARY RATE. "Transfer Station Proprietary Rate" shall mean the proprietary fees charged by Operator for the receipt and acceptance of Solid Waste at the Transfer Station Franchise 9 September, 1994 J Transfer Station. Section 2 .23 USE PERMIT. "Use Permit" shall mean Contra Costa County Land Use Permit No. 2122-86, together with all Conditions of Approval applicable thereto, including any amendments thereof. ARTICLE 3. TERM OF AGREEMENT This Agreement shall be coterminous with the Use Permit, or any such lesser period as may be prescribed by law. ARTICLE 4 . PERFORMANCE OF OPERATOR Section 4 . 1 OPERATION OF TRANSFER STATION. Operator shall operate the Transfer Station for the receipt, processing and transfer of Solid Waste in strict compliance with, and subject to, the terms and conditions of this Agreement, the Permits and other applicable requirements of Regulatory Agencies. Section 4 .2 UNACCEPTABLE WASTE. Operator shall not allow the receipt of material other than Solid Waste at the Transfer Station unless specially approved in writing by the Director and otherwise allowed by law. It is recognized that some non- approved materials, including hazardous wastes, may occasionally be unloaded at the Transfer Station by users thereof. Operator shall train its on-site employees to recognize such unacceptable wastes and materials . In the event that unacceptable waste is deposited at the Transfer Station, it shall be handled and removed by Operator in accordance with procedures which shall be developed by Operator and submitted to the County for approval prior to any receipt of Solid Waste at the Transfer Station. Transfer Station Franchise 10 September, 1994 Nothing herein is intended to relieve the person or persons depositing or causing to be deposited such unacceptable waste from any liability. Operator retains the right to use all legal means to recover costs of removal and alternate disposal or treatment from such person or persons. Section 4 .3 INSPECTION, INVESTIGATION, AND EVALUATION OF SITE. The Site shall be immediately accessible at all reasonable times to Regulatory Agency officials for any reasonable, lawful and proper purpose. County officials shall usually give reasonable notice to Operator of their intention to visit the Site or if such notice is not given, shall notify Operator's on- site personnel of their presence on the Site. County shall not incur liability arising from the discharge of its inspection responsibilities, either by commission or by omission, except for its tortious conduct or breach of duty resulting in death, injury or property damage while engaged in its inspection responsibilities. The inspection of the work shall not relieve Operator of any obligation to perform under this Agreement. Operator shall remove and replace or repair any work not in compliance with those Permits, laws, ordinances or regulations applicable to the Site. Section. 4 .4 PERMITS. Operator shall obtain and maintain in force all necessary Permits and/or other approvals from the Regulatory Agencies for the Transfer Station. Upon receipt of each such Permit or approval, a copy thereof, together with all conditions or requirements attached Transfer Station Franchise 11 September, 1994 thereto, shall be delivered by Operator to the Director. Section 4 .5 STATUS OF TITLE. Operator shall provide to the County reasonable evidence sufficient to establish that Operator is in possession of and/or has the right to Operate the Transfer Station. Section 4 . 6 GATE FACILITIES. Operator shall supply, construct and thereafter maintain gate fee collection facilities. The facilities shall be designed and located as necessary so as to expedite the fee transactions and shall be attractively finished. The facilities shall be consistent with the Use Permit for the Site. Operator shall supply, construct, and maintain truck scales as necessary to expedite the fee transactions, prevent traffic back-up, and allow for occasional maintenance and repair. The scales shall be compatible with the Gate Fee Collection System approved by the County, in accordance with Section 5. 1 of this Agreement. The scales shall be open and in working order during all Hours of Access . All waste disposal vehicles shall be recorded by the Gate Fee Collection System. Operator shall make provisions for quick repairs of the scales by competent technicians to minimize downtime. The scales j shall meet all State requirements for design approval and accuracy for State certified scales . Only those scales functioning in accordance with all applicable regulations shall be used. Operator shall obtain the State of California Transfer Station Franchise 12 September, 1994 certification for scale accuracy. Operator shall supply, deliver and maintain utilities to the Transfer Station and shall be responsible for all on-site and off-site costs and service charges in connection therewith. Section 4 .7 OPERATION OF GATE FEE COLLECTION SYSTEM. Operator shall provide and operate the Gate Fee Collection System, including the providing of all labor and materials necessary with respect thereto. Such operation shall be for all Hours of Access. Section 4 . 8 FEE COLLECTION. Operator shall collect, count and account for all Tipping Fees and waste quantities from each customer or user of the Transfer Station. Said fees shall be collected in accordance with all applicable requirements, including Article 6 . In the event that no scale is operable at any given time, vehicles will be charged based upon a flat fee or volume fee schedule established by the parties or by Operator in advance. Operator shall furnish the County with monthly reports on the number and types of vehicles and waste tonnages and/or volumes, as appropriate, of the various types and Gate revenue. Section 4 .9 . PAYMENT TO COUNTY. Operator shall pay the Surcharge Payments required and received in accordance with Article 6 to the County monthly in arrears. Operator shall pay the Surcharge Payments to County within thirty (30) calendar days after the close of the prior month in which they are collected. Section 4 . 10 HOURS OF ACCESS. Unless otherwise required by Transfer Station Franchise 13 September, 1994 the terms of other Permits, Hours of Access shall be those specified in the Solid Waste Facilities Permit. Should the Director declare that an Emergency exists, Operator shall keep the Transfer Station open as instructed to allow for the orderly receipt, processing and transfer of Solid Waste generated or created by such emergency conditions at no additional charge or increase in the Gate Rate. The scheduled Hours of Access may be changed in a manner consistent with permit requirements. Operator may, in its sole discretion, observe the following holidays and close the Transfer Station: New Year' s Day, Easter Sunday, Memorial Day, Independence Day, Labor Day, Thanksgiving Day and Christmas Day, or other major holiday as approved by the Director. Section 4 . 11 NONDISCRIMINATORY SERVICE. Operator shall provide nondiscriminatory service for Solid Waste receipt, processing and transfer to all users, and shall abide by all Federal, State and local laws and the Land Use Permit. Section 4 . 12 ACCESS ROADS, HAUL ROADS AND SERVICE ROADS. It shall be Operator's responsibility to provide and maintain all roads required in connection with the operation of the Transfer Station. Haul roads shall be well maintained. The surface shall be reasonably free from potholes and depressions. Section 4 . 13 LITTER MANAGEMENT. Operator shall maintain and keep the Transfer Station and its access road reasonably free of litter and other refuse. Operator shall be solely responsible for maintaining the Site in a clean and sanitary condition, and Transfer Station Franchise 14 September, 1994 shall be responsible for any public nuisance created as a result of its operations. Operator shall control on-site and off-site litter or debris in accordance with the Use Permit and the Solid Waste Facilities Permit. Section 4 . 14 ENVIRONMENTAL MITIGATION. Operator shall comply with all environmental mitigation measures reasonably and lawfully imposed by Regulatory Agencies including those imposed by the Use Permit. Section 4 . 15 RECYCLING/RESOURCE RECOVERY PROGRAMS. Operator shall cooperate with the County and reasonably participate in waste reduction programs of the County, including participation in a County sponsored recycling/resource recovery plan and litter program, implementation of programs in conformance with any County recycling or resource recovery program, plan or element, and/or any other activity which the County deems is appropriate for inclusion in the County Solid Waste Programs. Section 4 . 16 ACTIVITIES REPORT. Operator shall, by the first day of January of each year, assemble and provide to the County the Activities Report for the most recent Analysis Period. The Board may direct, upon ninety (90) days ' written notice to Operator, that the report provided in the Activities Report be made semi-annually. Section 4 . 17 PENALTY SCHEDULE FOR NONCOMPLIANCE. In the event that noncompliance by Operator with any condition or Transfer Station Franchise 15 September,. 1994 provision of this Agreement, or any applicable Permits or Regulatory Agency requirements is determined by the County, County shall notify Operator of the identified noncompliance. Following notification of noncompliance, the Director may impose penalties per noncompliance upon three (3) days notice to Operator in accordance with the following penalty schedule until such time as compliance is achieved: $ 500 . 00 per day during the first week of noncompliance $ 750.00 per day during the second week of noncompliance $1,000 .00 per day during the third week of noncompliance $1,250.00 per day for each day thereafter. At the time the Director imposes any penalties, the amounts due for each day of noncompliance shall be the above amounts subject to annual CPI adjustments, the applicable index to be reasonably selected by the Director. Notwithstanding the above three paragraphs, no monetary penalties will be imposed by the County in the event that Operator and/or said Regulatory Agency are diligently pursuing the process of correction or mitigation of the event(s) causing noncompliance. Operator shall have the right to arbitrate any action taken by the County under this provision in accordance with Section 11 .8 of this Agreement. Section 4 . 18 RECORDS. Operator shall keep separate and Transfer Station Franchise 16 September, 1994 accurate records for the Transfer Station as reasonably directed by County for purposes of administering this Agreement. The County may, at its own expense (which may be recovered as a Solid Waste program cost) , at any time during the term of this Agreement, have the books and records, of the Operator examined for the sole purpose of verifying Operator' s compliance with the requirements of this Agreement. County shall give thirty (30) days ' written notice to the Operator in advance of such examination date. Section 4 . 19 HOST COMMUNITY. Operator agrees that an appropriate amount of the Surcharge as determined by the County' s Board of Supervisors may and shall be utilized pursuant to Board Order(s) for host community mitigation commensurate with any other similar provisions . Section 4 .20 COMMITMENT OF TRANSFER STATION WASTE. To the extent allowed by law, and so long as the Keller Landfill is receiving Solid Wastes, Operator agrees to deliver all Solid Waste received at the Transfer Station to the Keller Landfill for disposal . ARTICLE 5. PERFORMANCE OF COUNTY Section 5. 1 GATE FEE COLLECTION SYSTEM. The computerized Gate Fee Collection System, which shall be provided by Operator in accordance with Section 4 .6 of this Agreement, shall be approved by the County, which approval shall not be unreasonably withheld. Section 5 .2 INSPECTION OF SCALES. The County may, from Transfer Station Franchise 17 September, 1994 time to time during regular business hours; inspect the scales and test the accuracy of same. ARTICLE 6 . RATES Section 6 . 1 PROPRIETARY RATE•. Except as provided in Section 6.7, the Transfer Station Proprietary Rate shall be determined and established by Operator at its sole discretion. Notwithstanding section 4. 11, it is understood that the Operator need not charge a uniform Transfer Station Proprietary Rate to all customers, but may vary the Transfer Station Proprietary Rate as between different customers based on various factors determined by Operator, including, but not limited to, the quantity and type of waste delivered by each customer to the facility and whether each customer has entered into an agreement with the Operator in which the customer agrees to deliver some or all of the customer' s future waste stream to the Transfer Station. Section 6 . 2 SURCHARGE. The County may determine and establish at least once every two years, effective on the date determined by the Board of Supervisors, (but initially no sooner than two years from the effective date of this Agreement except for the purpose of decreasing the Surcharge in accordance with Section 6 .4 .d) , the Surcharge, which shall be added to the then applicable Transfer Station Proprietary Rate, and collected as part of the Gate Rate. Operator will be provided at least ninety (90) days written notice of any newly established Surcharge. In the absence of the County establishing a particular Surcharge Transfer Station Franchise 18 September, 1994 amount, the Surcharge to be collected by the Operator for the County shall be thirty percent (30%) of the then applicable Transfer Station Proprietary Rate. Section 6 . 3 GATE RATE. The Gate Rate shall consist of the Transfer Station Proprietary Rate, Mandated Fees, Surcharge and disposal costs . Section 6 .4 INITIAL SURCHARGE. a. Amount. Effective on the effective date of this Agreement, the Surcharge shall be twenty-five percent (25%) of the combined Transfer Station Proprietary Rate and the Keller Landfill Base Rate. b. Funding of Programs from Surcharge. During the period covered by the above initial Surcharge, costs of all County programs (required or authorized by the Use Permit or this Agreement) shall be funded from said combined 25% Transfer Station and Keller Landfill Surcharge. In addition, any household hazardous waste fee imposed by the Board pursuant to Public Resources Code section 43213 shall be collected (deducted) from said combined Surcharge amount. c. Closure, Litigation. Operator agrees and acknowledges that an appropriate amount (five percent) of the Surcharge as determined by the County's Board of Supervisors may and shall be utilized pursuant to Board Order(s) and a trust account arrangement for any landfill closure or post-closure or related litigation expenses . Any amount not so expended may be otherwise utilized for other Surcharge purposes . Transfer Station Franchise 19 September, 1994 d. Reconsideration. Within or approximately six months from the date of this Agreement, the County's Board of Supervisors intends to reconsider and re-evaluate the household hazardous waste and the landfill closure and/or litigation expense programs, their levels of funding, whether one or more programs should be modified, reduced, or eliminated, and a surcharge adjustment. Section 6 .5 CONTRACTS. For all contracts entered for the delivery to and receipt of Solid Waste at the Transfer Station, the Surcharge applicable at the time of the contract shall apply for the term of said contract. The parties agree that any later established surcharge amounts shall not apply to waste received pursuant to such Solid Waste contract for the term of said contract. Operator shall advise County of any contract subject to the privileges of this section immediately upon execution. Operator shall provide County with any and all information requested by County concerning any such Contract, including providing County with copies of such contracts upon request. Operator shall also provide to County upon request, copies of all contracts for the transportation (hauling) and/or disposal of Solid Waste transferred at or processed through the Transfer Station. Section 6 .6 SCHEDULE OF RATES. Operator shall at all times maintain on file with the County, a schedule of Transfer Station Proprietary Rates and Gate Rates, including disposal rates, Transfer Station Franchise 20 September, 1994 charged to each customer. The schedule may include a standard Transfer Station Proprietary Rate and Gate Rate which Operator charges unless an agreement is entered, or other arrangements made. Said schedule of Base and Gate Rates shall be updated within ten days of material modification thereof. Material modifications include, but are not limited to, changes to any customer's Transfer Station Proprietary Rate and Gate Rate, and entering of an agreement with a new customer. The schedule shall specify and distinguish between the Transfer Station Proprietary Rate and the Gate Rate, and shall include all elements of the Gate Rate, including disposal costs. The purpose of this section is to ensure that the rates charged by Operator as well as fees and surcharges imposed by County as well as other governmental agencies are a matter of Public Record, so as to promote cooperation and trust between the Operator, the County, and the public. Towards this end, County may request, and Operator shall provide to County, all information reasonably necessary to effectuate the purpose of this section. Section 6 .7 SELF-HAUL RATES. Notwithstanding Section 6 . 1, the Gate Rate charged to customers delivering less than one ton of solid waste per day shall not exceed the average of the charges of all other transfer stations and landfills in Contra Costa County. ARTICLE 7 . PERSONNEL Operator shall assign qualified personnel to operate the Transfer Station Franchise 21 September, 1994 site as may be required to assure a smooth and efficient operation in compliance with all applicable Permits. The County has the right to request, in writing, administrative action, including the removal of any employee of Operator who violates any provision of this Agreement, or who in the opinion of such requesting party is unsafe, negligent, or discourteous to the public or others in the performance of his/her duties. Upon receipt of such a request, Operator shall immediately take whatever administrative action, which, in its judgment, is necessary to resolve the situation. Such action may include removal of that employee from the Site. A Site Supervisor employed by Operator shall be present at the Site at all times that any operations are being conducted thereon. Operator shall file with the Director the names, addresses, and telephone numbers of the Operator representatives who can be contacted at any time in case of emergency. These representatives shall be fully authorized to respond so as to resolve the emergency. ARTICLE 8 . UNINTERRUPTED OPERATION Section 8 . 1 ASSURANCE OF UNINTERRUPTED OPERATION. Operator, in entering into this Agreement, assures that it will provide for the operation of the Transfer Station in an uninterrupted manner for as long as the is useful and usable, except as provided in Section 9 .4 below. Operator acknowledges the hardship that would occur if the Transfer Station is not Transfer Station Franchise 22 September, 1994 operated properly or is prematurely closed. The County and Operator recognize that in the ordinary course of events, certain unexpected events may result that may place a burden on the requirement of uninterrupted operation. However, it is the purpose of this Article 8 to establish that it is Operator' s obligation to avoid any interruption of operations except for those that are outside of Operator' s control, as provided by Section 9 .5 of this Agreement. Section 8.2 LABOR DISPUTES. In the event of a labor dispute, Operator shall use its best efforts to keep the Transfer Station open and to operate it in accordance with this Agreement unless a mutually acceptable alternative is agreed upon by Operator and the County. ARTICLE 9 . DEFAULT, REMEDIES Because of the complex nature of this Agreement and the work to be performed hereunder, together with the need for close cooperation and coordination between the parties, it is not anticipated that either party will declare the other in default under the terms and conditions of this Agreement except as a last resort. However, in the event of any such necessity, the following provisions are made a part hereof. Section 9 . 1 FAILURE TO PROSECUTE WORK. Should Operator fail to prosecute the work or any severable part thereof in conformity with the requirements of this Agreement, the Director shall provide written notice to Operator specifying in detail the defect or default in performance (the "First Notice" ) and Transfer Station Franchise 23 September, 1994 Operator shall have the right to cure same within a reasonable period of time. If after the First Notice is provided to Operator, the work is not performed in accordance with the Director's specified time frame and a reasonable time to cure so as to ensure its completion in accordance with this Agreement, the Director shall serve further notice (the "Second Notice") upon Operator of the County's intention to take further action as provided by law. The Director shall make appropriate and detailed written findings of fact which specify the event of default. No earlier than thirty (30) days after the Second Notice, County shall have the power and ability, if Operator is still in default, to take such actions as provided in law for- remedying the same, including the termination of this Agreement. Should the County fail to perform any of its obligations under this Agreement, Operator may declare the County in default after following the same two notice and findings provisions required of the County above. Thereafter, Operator shall have the power and ability, if the County is still in default, to take such actions as provided in law for remedying the same, including bringing suit in a court of appropriate jurisdiction for equitable or legal relief or both. The foregoing notwithstanding, neither party may bring an action seeking money damages unless it has first provided the other party with 30 days notice of its intention to do so together with written notification of the specific actions which Transfer Station Franchise 24 September, 1994 the other party may take to remedy the default which will form the basis for the claim for monetary damages. If the other party in good faith commences the actions specified within the thirty (30) day period, the first party shall not bring the action for damages . Section 9 .2 CONVICTION OF CERTAIN CRIMES. Operator agrees that a single conviction of Operator, its parent, subsidiaries or operators, or their officers or employees at the level of Site operations manager or above, acting within the scope of their employment, of bribery, antitrust, corruption or theft relating to or involving directly the Transfer Station shall constitute an event of a breach of this Agreement subject thereupon to the provisions ,of this Article unless Operator, promptly initiates and follows through with appropriate disciplinary procedures and action considering the nature of the offense and resolution by the courts . Section 9 .3 CONDEMNATION. In addition to any other remedy available to the County, it has the right and authority under law to condemn the Site. Section 9 .4 RIGHT TO TAKE/RIGHT TO POSSESSION. In the event that Operator chooses to no longer operate the Site, Operator agrees that it will give County notice of its intention to cease operation ninety (90) days prior to the cessation. If, after receiving such notice, County initiates eminent domain proceedings to acquire the Site, Operator agrees that it will not object to or contest County' s right to take, or right of Transfer Station Franchise 25 September, 1994 - o possession of, the Site. Nothing contained herein shall constitute a waiver of the right to contest valuation at any stage of the proceedings. County and Operator agree that the provisions of this paragraph may be enforced by means of the remedy of specific performance. Section 9 .5 FORCE MAJEURE. Operator shall not be liable for a default if the failure to perform under the terms and conditions of the Agreement arise out of causes beyond the control or without the fault or negligence of Operator. Such causes may include, but are not limited to, acts of God, or the public enemy, acts of the County in either its sovereign or contractual capacity, fires, floods, earthquakes, epidemics, , quarantine restrictions, suppliers ' and vendors ' strikes and all other labor disputes, freight embargoes, and unusually severe weather; but in every case the failure to perform must be beyond the control and without substantial default or negligence of Operator. Operator shall make every reasonable effort to mitigate the effects of said causes. Section 9 .6 SPECIFIC PERFORMANCE. Notwithstanding any other available remedies, the obligations duties and rights of each party under this Agreement shall be specifically enforceable by the other party. Section 9 .7 NONEXCLUSIVE REMEDIES. The rights and remedies of either party to this Agreement as provided for in this Article 9 shall not be exclusive, and are in addition to any other rights and remedies provided by law or under this Agreement; except that Transfer Station Franchise 26 September, 1994 the right of either party to seek monetary damages is limited as provided in Section 11. 1 above. ARTICLE 10 . INSURANCE AND BONDS Section 10. 1 WORKERS' COMPENSATION. Operator hereby acknowledges that it is aware of the provisions regarding Workers ' Compensation, Section 3700 of the Labor Code. Operator shall comply with the provisions of such Section as amended from time to time with regard to its employees and shall supply to the County forthwith upon execution of this Agreement, and annually thereafter, evidence of such compliance. Section 10.2 PUBLIC LIABILITY. Operator shall obtain from a good and responsible company or companies doing insurance business in the State of California, and pay for, maintain in full force and effect for the duration of this Agreement and any extension, a policy or replacement policy of comprehensive liability insurance for the Transfer Station, in which the County is named as an additional insured with Operator. Operator shall furnish a Certificate of Liability Insurance to the Director before execution of this Agreement by the County. Notwithstanding any inconsistent statement in the policy described by the Certificate of Liability Insurance or any subsequent endorsement attached thereto, the protection offered by the policy shall: (a) Include the County, its officers, employees and agents while acting within the scope of their duties under this Agreement, the Use Permit, or any other County ordinance, Transfer Station Franchise 27 September, 1994 resolution or other rule relating to the operation of the Transfer Station, as an additional insured covering said duties against all third party claims for negligence; and for indemnification of the County as provided by this Agreement. (b) Provide for a combined single limit policy not less than $10,000,000 per occurrence, combined bodily injury and property damage. At every fifth year of this Agreement, this $10,000,000 minimum limit shall be increased as directed by the County but not more than 30% for each such five year period. Section 10.3 OTHER INSURANCE PROVISIONS. All insurance policies required by this Agreement shall bear an endorsement, whereby it is provided that, in the event of expiration, or proposed cancellation of such policy for any reason whatsoever, the Director shall be notified in writing not less than thirty (30) days before expiration or cancellation is effective. Expiration, reduction or cancellation of any insurance policy required by this Agreement without obtaining a replacement policy pursuant to Section 12 .2 to meet the requirements herein shall be considered a breach of this Agreement by Operator. Operator shall also carry such other insurance as may be required by law. Operator shall be solely liable for any claims or liabilities caused by its failure to maintain insurance required by law. Section 10.4 FAITHFUL PERFORMANCE SURETY. Operator shall, prior to acceptance of waste at the Site under this Agreement, provide to the County an irrevocable Performance Surety Letter of Transfer Station Franchise 28 September, 1994 Credit in the form set forth in Exhibit B hereto guaranteeing Operator's performance of all provisions of this Agreement in an amount of not less than $1,000,000.00. This Letter of Credit may also be utilized to meet the security and performance requirement of the Use Permit. The Director may allow the Performance Guarantee Letter of Credit required pursuant to a franchise between the County and Operator for the operation of the Keller Landfill to additionally guarantee Operator' s performance of all provisions of this Agreement. ARTICLE 11 . GENERAL PROVISIONS Section 11. 1 GUARANTY BY PARENT OR AFFILIATE. Prior to the Commencement Date, and for all conditions and obligations of this Agreement, Operator shall provide to the Director, proof of guaranty by the parent or an affiliate of Operator acceptable to the County, of the performance by Operator of each provision of this Agreement to be performed by Operator. Proof of guaranty shall be in the form set forth in Exhibit C. Section 11 .2 ATTORNEY'S FEES. In the event of litigation between the parties arising hereunder, each party shall pay and bear its own litigation expenses, including attorney' s fees . Section 11 . 3 INDEMNITY AND HOLD HARMLESS AGREEMENT. (a) All work and performances by Operator covered by this Agreement shall be at the risk of Operator (b) With respect to third-party claims, Operator agrees to save, indemnify and keep harmless the County, its Transfer Station Franchise 29 September, 1994 officers, employees, agents and assign against any and all liability, claims, judgments, or demands, including demands arising from injuries or deaths of persons and damage to property, arising directly or indirectly out of the obligations herein undertaken by Operator, save and except claims or litigation arising through the sole negligence or willful misconduct of the County, and will make good to and reimburse the County for any expenditures, including reasonable attorney's fees, that the County may make by reason of such matters and, if requested by the County, shall defend any such suit at the sole cost and expense of Operator. (c) With respect to third-party claims, the County agrees to save, indemnify and keep harmless Operator, its officers, employees, agents and assigns against any and all liability, claims, judgments, or demands, including demands arising from injuries or deaths of persons and damage to property, arising directly or indirectly out of the sole negligence or willful misconduct of the County, and will make good to and reimburse Operator for any expenditures, including reasonable attorney' s fees, that Operator may make by reason of such matters and, if requested by Operator, shall defend any such suit at the sole cost and expense of the County. (d) Should any party successfully challenge the validity of this Agreement or the procedure by which this Agreement was entered into or the validity of any County action which authorizes the County to enter into this Agreement, then in Transfer Station Franchise 30 September, 1994 such case the Operator shall have no cause of action for damages or any other relief against County as a result of such successful challenge. In the event of any such legal challenge, Operator shall defend such action or proceeding at its sole expense and Operator shall save and hold County harmless from any claims or awards for third party attorneys ' fees and costs . Section 11 .4 ASSIGNMENT. (a) Voluntary. Operator shall not sell, assign, subcontract or transfer this Agreement or any part hereof, or any obligation hereunder, without the written consent of County; provided, however, that Operator may assign this Agreement without the County' s consent to any company which it controls, is controlled by, or which is under common control with Operator. As used in this Section, the term "control" with respect to a company, means the beneficial ownership of more than 50% of the voting stock of the company. The term assignment shall include any dissolution, merger, consolidation or other reorganization of Operator, which results in change of control of Operator, or any sale or other transfer of a controlling percentage of Operator's capital stock. Any attempted assignment not provided for above without such consent shall be void ab initio. (b) Involuntary. Except as may be permitted by paragraph (a) above, no interest of Operator in this Agreement shall be assignable by operation of law. Any such nonpermitted assignment and any .of the following acts, each of which are deemed an Transfer Station Franchise 31 September, 1994 4 - I. .. r involuntary assignment, shall provide County with the right to elect to terminate the Agreement forthwith, without suit or other proceeding: ( 1) If Operator becomes insolvent, or makes an assignment for the benefit of creditors; (2) If Writ of Attachment or Execution is levied on this Agreement or other property of Operator such that would have a materially adverse effect on Operator's ability to perform its duties and obligations under this Agreement; ( 3) If in any proceeding to which Operator is a party, a Receiver is appointed with authority to take possession of Operator's property such that would have a materially adverse effect on Operator' s ability to perform its duties and obligations under this Agreement. Section 11.5 COMPLETE AGREEMENT. No verbal agreement with any officer, agency, or employee of the County or of Operator nor any contract either before, during, or after the execution of this agreement shall affect or modify any of the terms or obligations herein contained unless a written agreement, signed by both parties, specifically provides that same is an amendment to this Agreement. Section 11.6 NO THIRD PARTY BENEFICIARY ENFORCEMENT. While this contract benefits the public interest throughout Contra Costa County, it is an Agreement between only Operator and the County and, accordingly, only Operator and the County may enforce same. No claims, demands, or causes of action by any entity, Transfer Station Franchise 32 September, 1994 i party, or person claiming to be a third party beneficiary hereunder shall be enforceable. Section 11 .7 SURVIVAL OF OBLIGATIONS. County's rights to any damages, remedies, insurance coverage and indemnification under this Agreement shall survive the termination of this Agreement. Section 11.8 ARBITRATION. Any controversy or claim submitted to arbitration pursuant to the express provisions of this Agreement, or by mutual subsequent agreement, and arising out of or relating to this Agreement, or the breach thereof, shall be governed by the provisions of Part III . , Title 9 of the Code of Civil Procedure, sections 1280 et seq. as amended from time to time. The arbitration shall be de novo and subject to a de novo appeal or challenge brought in the Contra Costa County Superior Court as to any alleged error of law or as to the admissibility of evidence. California judicial rules of evidence shall apply to the arbitration proceedings . The arbitration decision shall be decided under and in accordance with California law, supported by a preponderance of evidence and in writing in the form of a Statement of Decision pursuant to Code of Civil Procedure Section 632 . Section 11.9 CONFLICT. This Agreement is intended to comply with Ordinance No. 88-81 . In the case of any apparent or potential .conflict between the provisions of this Agreement and the provisions of the Use Permit or any involved development agreement, the provisions of this Agreement and the Use Permit Transfer Station Franchise 33 September, 1994 ,, .t ✓ t shall be read together and harmonized to the maximum extent possible to effectuate the intentions of the parties. In the case of any unresolved conflict between the provisions of this Agreement and the provisions of the Use Permit, the provisions of the Use Permit shall control. Notwithstanding any other provision in this Agreement or in the Use Permit, importation of waste not originating in Contra Costa County shall be allowed as required by recent U.S. Supreme Court cases. Section 11. 10 CAPTIONS. The captions and headings used in this Agreement are for convenience and reference only and are not to be construed as controlling over the text of this Agreement. Section 11. 11 DELEGATION BY BOARD. The Board may, in its discretion, delegate to a County employee or hearing officer any of its functions expressly or impliedly arising from this Agreement provided that in such case any decision made by such Board, County employee or officer may be appealed de novo to the Board. Section 11. 12 SEVERABILITY. If any term, provision, covenant or condition ( "provision" ) of the Agreement or the application of any provision of this Agreement to a particular situation is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this Agreement, or the application of this Agreement to other situations, shall continue in full force and effect. Notwithstanding any other provision of this Agreement, if any provision ' of this Agreement in itself or as applied in any Transfer Station Franchise 34 September, 1994 y particular situation is held to be invalid, void or unenforceable, it is the intention of the parties that the remaining portions of this Agreement shall be continued in full force and effect and that the invalid, void or unenforceable provision be severed therefrom. Section 11. 13 MASCULINE GENDER USED. The masculine gender is sometimes used in this Agreement and is so used for convenience only and is not otherwise intended. Section 11 . 14 GOVERNING LAW. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Section 11 . 15 NOTICES. All notices or other communications ( "Notice") to be given pursuant to this Agreement shall be in writing and shall be deemed given when mailed by registered or certified United States mail, addressed to the parties as follows: To County: County of Contra Costa Attn: County Administrator To Operator: BFIC, Inc. C/O: Browning Ferris Industries of California Attn: Ron Pfeifer, Regional Vice President 9188 Glen Oaks Blvd. , 3rd Floor Sun Valley, CA 91352 With Courtesy as designated by Browning-Ferris Industries of California. A change in address or a change in the person or title to which Notice is to be given shall be effectuated by Notice to the other party. Transfer Station Franchise 35 September, 1994 • r Section 11. 16 JOINT AND SEVERAL RESPONSIBILITY. The obligations of Operator herein are joint and several. Both BFIC, Inc. and Acme Fill Corporation are jointly and individually responsible for fulfilling each and every Operator responsibility, duty and obligation set forth in this Agreement. Further, all insurance policies and surety and guaranty instruments required herein shall cover, secure and guarantee the performance and obligations of both BFIC, Inc. and Acme Fill Corporation. IN WITNESS WHEREOF, this Agreement is effective on the date first provided on page one hereof. OPERATOR BFIC, Inc. , a California corporation /r--n 1 By: resident By: ice-President OPERATOR ACME FILL CORPORATION, a California Corporation By: Presi nt By: _jL�� _f/�7 ���_ Vice-Pr sident Transfer Station Franchise 36 September, 1994 N.. j • COUTY OF ONTRA A By: r air, Board of Supervisors ATTEST: By: CL 01AA,, 0L Cle of the Board , Deputy APPROVED AS TO FORM: , By: County Counsel DEPUTY COUNTY COUNSEL. ltf: 12.pto994 CONTRA COSTA COUNTY, CALIF. Transfer Station Franchise 37 September, 1994 EXHIBIT C GUARANTY This Guaranty is made and entered into this 10 day of aj-abe-F 1994, by and between the County of Contra Costa (hereinafter "County") and a corporation ("Guarantor"). RECITALS WHEREAS, BFIC, Inc. , a California Corporation , ("Operator"), an [indirect wholly owned subsidiary] of Guarantor desires to enter into a certain Franchise Agreement with the County (the "Agreement") for the Acme Waste Recovery and Transfer Station; WHEREAS, pursuant to Section 11.1 of the Agreement, the County has demanded that Operator obtain certain assurances from Guarantor, as to all conditions and obligations of the Agreement to be fulfilled by Operator; and WHEREAS, in order to induce the County to enter into the Agreement with Operator, Guarantor desires to provide the County with said assurances as to all conditions and obligations of the Agreement to be fulfilled by Operator, NOW, THEREFORE, the County and Guarantor hereby agree as follows: 1. Guarantor hereby guarantees to the County the full performance by Operator of all conditions and obligations in the Agreement which are to be fulfilled by Operator, provided that the County has fulfilled all of its obligations under the Agreement, and in particular, without limiting the foregoing, that the County has provided Operator with the requisite notice(s), opportunities to cure and any option to arbitrate notice(s), opportunities to cure and any option to arbitrate as provided for in the Agreement. 2. The County agrees to give Guarantor notice by certified mail, return receipt requested, at .�Cl L`'` / Pi d ' y7 (Attention: General Counsel) each time that the County becomes aware of any fact or circumstance which may give rise to an obligation of Guarantor to perform pursuant to this Guaranty. 3. The County shall not sell, assign or otherwise transfer this Guaranty, or its rights or obligations thereunder, without the written consent of Guarantor, which consent shall not be unreasonably withheld if the assignment is to a municipal corporation. IN WITNESS WHEREOF, this Guaranty has been executed on the date first above written. OUNT F CO TR STA By: GUARANTOR By: , \j -4 Its: �� y• , By: G.J Its: SQL V T `f Cil df(a):1tM.guaranty.ts I\ i 2t P�� COUNTY COUNSEL'S OFFICE CONTRA COSTA COUNTY MARTINEZ,CALIFORNIA Date: November 1, 1994 To: Board of Supervisors From: Victor J. Westman, County Counsel By: Lillian T. Fujii, Deputy County Counsel Re: "Amendment" No. 1 to Permanent Transfer Station Franchise Following the October 31, 1994 Board hearing on the Acme Permanent Transfer Station Franchise, this office prepared the attached "Amendment" No. 1 to the Transfer Station Franchise. The attached has been presented to Thomas M. Bruen, attorney for BFI, who indicated that although he has not completed discussing the agreement with all of his principals at BFI, the attached will probably be acceptable. The changes made to the Transfer Station Franchise dated September, 1994 are shown on "Amendment" utilizing ' language for additions and strikeouts for deletions. Summarizing the changes: 1. Section 4.20 is amended to provide that the Operator agrees not to deliver solid waste to the Acme Landfill (instead of requiring delivery to the Keller Landfill). 2. Section 6.20 is amended to provide that the Board's may next reconsider the surcharge in eighteen months (instead of two years). 3. Subsection b of section 6.4 has been amended to clarify that the LEA and AB 939 fees are not to be paid out of the combined 25% surcharge, and to state that any Board mandated fee may be collected in addition to the surcharge percentage. 4. Section 6.5 has been amended to clarify that the surcharge percentage applicable at the time of the entry of a long term contract shall apply for the life of the contract. . The attached is presented to the Board for review for conformance with the Board of Supervisors' intent as expressed on October 31, 1994. LTF.9a:\pts111.94 t COUNTY OF CONTRA COSTA, STATE OF CALIFORNIA AMENDMENT NO. 1 TO FRANCHISE AGREEMENT FOR THE ACME FILL WASTE RECOVERY AND TRANSFER STATION THIS AMENDMENT NO. 1 TO .FRANCHISE AGREEMENT FOR THE ACME WASTE RECOVERY AND TRANSFER STATION (the "Agreement") is made and entered into this November 1, 1994, by and between the COUNTY OF CONTRA COSTA (hereinafter "County" ) and BFIC, Inc. , a California Corporation, a California Corporation (hereinafter referred to as "Operator") . RECITALS WHEREAS, on September 13, 1994, the Board of Supervisors of County took action concerning a franchise agreement with Operator, and WHEREAS, the parties have reached agreement- on substantive issues concerning the September 13, 1994 action and are prepared to compromise their differences by agreeing that, without either parties waiving any rights as to said September 13, 1994 Franchise Agreement, that said Franchise Agreement may be amended as set forth herein, - NOW THEREFORE, the County and Operator, for and in consideration of the covenants and agreements as hereinafter set forth and for other good and valuable consideration, the receipt - and .sufficiency of which is hereby acknowledged, do mutually agree as follows: SECTION I . AMENDMENTS. The following sections of the Franchise Agreement are hereby amended as shown in this section ........ ......... (by adding the s`­h*a*j,: d: iG language and deleting the strkea ...N.d,* . language) : Amendment to section 4 .20, Commitment of transfer station waste: "Section 4 .20 COMMITMENT OF TRANSFER STATION WASTE. To the extent allowed by law, and 6e long as the KelleF Landfill is reGelvin(i Selld Wastes, QpeEateF agrees to dellveE all Se Waste EeGelved at the TransfeE Statlen te the KelleE Landfill fe-r .... ............ disposal- 9"r to -W . ....... ........................ . ........ ....W... r d ..................... r-Ah . . ....... . .................. ... ........ Amendment to section 6 .2, Surcharge: "Section 6 .2 SURCHARGE. The County may determine and establish at least once every two years, effective on the date determined by the Board of Supervisors, (but initially no sooner ...... ...........I......... ......... effective date of this .......................... ...ox...X, than twe years- ti.......from the ... ........ ............................................................ .................... Agreement except for the purpose of decreasing the Surcharge in accordance with Section 6 .4 .d) , the Surcharge, which shall be added to the then applicable Transfer Station Proprietary Rate, and .collected as part of the Gate Rate. operator will be provided at least ninety (90) days written notice of any newly established Surcharge. In the absence of the County establishing a Amendment No. 1 - Transfer Station Franchise, October 31, 1994 Page 2 particular Surcharge amount, the Surcharge to be collected by the Operator for the County shall be thirty percent (30%) of the then applicable Transfer Station Proprietary Rate. " Amendment to subsection b of section 6 .4, Initial Surcharge: "b. Funding of Programs from Surcharge. During the period covered by the above initial Surcharge, costs of all i County programs ec ......::< ::: #::<� ;::9 ;;:.; .;:.: .::::::.:( 4 uire d or authorized by the Use Permit or this Agreement) shall be funded from said combined 25% Transfer Station and Keller Landfill Surcharge. In addition, any household hazardous waste fee imposed by the Board pursuant to Public Resources Code section 43213 shall be collected (deducted) from said combined Surcharge ~`:. amount.. ;:t ; `»: Jt *. 5 + t:;:::t: .>:: �t:a,: >: tb ::: a.t m N.v...t :1h-tai ::.>:. t ' :: :::::::::.:::::::::::::.:::::::::::::.:.::::.:.:::::::::::::::::::.::::::::.::.:::::::::::::::. ,:. ..:d + : at arx:. 4the S:.: �1. <': : 3'.:>; : 1 8n 1: .. u: 3 + K +� : ;:;:::: .c �a;..; :nd..: n. .... ............ ......:. :::: :.:.:::.::::.:.: :::::::::::::::::::...::.:.:::..:::.:::::::::::::....................: . ::.::::.:::::::.:::::::.:::...::::::..::::........:. ea .rcGez <:> :.. :..:................ :....:... :::: .. :: . ............... : c ; : ;:::: ce :: .; .......... ...t .... ���4d...Su�G�c��t� Amendment to Section 6 .5, Contracts : "Section 6 .5 CONTRACTS. For all contracts entered for the delivery to and receipt of Solid Waste at the Transfer Station, the Surcharge percentage `applicable at the time of the contract Amendment No. 1 - Transfer Station Franchise, October 31, 1994 Page 3 shall apply for the term of said contract. The parties agree that any later established surcharge amounts shall not apply to waste received pursuant to such Solid Waste contract for the term of said contract. Operator shall advise County of any contract subject to the privileges of this section immediately upon execution. Operator shall provide County with any and all information requested by County concerning any such Contract, including providing County with copies of such contracts upon request. Operator shall also provide to County upon request, copies of all contracts for the transportation (hauling) and/or disposal of Solid Waste transferred at or processed through the Transfer Station. " SECTION II. EFFECT. Neither party, by its -agreement and execution of this Amendment No. 1 to the Franchise Agreement, waives any of its rights existing prior to the execution hereof, and nothing herein shall be construed as a waiver by either party of its rights or assertions, including, but not limited to, those set forth in the above recitals. Should any subsequent dispute arise between the County and the Operator concerning the action of September 13, 1994 on the franchise agreement, both parties agree that this Amendment, any action taken by the Board of Supervisors on October 31, 1994 and/or November 1, 1994, and any related action by Operator shall not be admissible in any administrative, equitable or legal proceeding to determine intent Amendment No. 1 - Transfer Station Franchise, October 31, 1994 Page 4 or effect of the action of September 13, 1994 . IN WITNESS WHEREOF, this Agreement is effective on the date first provided on page one hereof. OPERATOR BFIC, Inc. , a California corporation By: President By: Vice-President COUNTY OF CONTRA COSTA By: Chair, Board of Supervisors ATTEST: By: Clerk of the Board APPROVED AS TO FORM: By: County Counsel 12a:\ptsamd.1 Amendment No. 1 - Transfer Station Franchise, October 31, 1994 Page 5 1 Date: REQUEST TO SPEAK FOKM Two [21 Minute Limit Complete this form and place it in the box near the speakers' rostrum before addressing the Board. Name: FRaL (" euup Phone: `709` Address: I- 3Y —WEI C/ ST, City: 'Pl, w(� I am speaking for: ❑ Myself OR [2( Organization: GTI (AffW NAME OF ORGANIZATION CHECK ONE: El I wish to speak on Agenda Item # �. '� ��.3 My comments will be: 0 General ❑ For ❑ Against ❑ I wish to speak on the subject of: ❑ I do not wish to speak but leave these comments for.the Board to consider: COUNTY OF CONTRA COSTA, STATE OF CALIFORNIA . AMENDMENT NO. 1 TO FRANCHISE AGREEMENT FOR THE ACME FILL WASTE RECOVERY AND TRANSFER STATION THIS AMENDMENT NO. 1 TO FRANCHISE AGREEMENT FOR THE ACME WASTE RECOVERY AND TRANSFER STATION (the "Agreement" ) is made and entered into this November 1, 1994, by and between the COUNTY OF CONTRA COSTA (hereinafter "County" ) and BFIC, Inc. , a California Corporation, a California Corporation (hereinafter referred to as "Operator" ) . RECITALS WHEREAS, on September 13, 1994, the Board of Supervisors of County took action concerning a franchise agreement with Operator, and WHEREAS, the parties have .reached agreement on substantive issues concerning the September 13, 1994 action and are prepared to compromise their differences by agreeing that, without either parties waiving any rights as to said September 13, 1994 Franchise Agreement, that said Franchise Agreement may be amended f as set forth herein, NOW THEREFORE, the County and Operator, for and in consideration of the covenants and agreements as hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, do mutually agree as follows : SECTION I . AMENDMENTS. The following sections of the Franchise Agreement are hereby amended as shown in this section } (by adding the shaded language and deleting theme language) : Amendment to section 4 .20, Commitment of transfer station waste: "Section 4 .20 COMMITMENT OF TRANSFER STATION WASTE. To the extent allowed by law, and se long as the Keller Landfill is EeGeivlag Solid Wastes, Operator agrees to deliver all Selid dispersal . bperato;r agrees that Solid Wasters received at< and processed through theTrArsfer Stathall: nct be delivered tQ the Acme; : andff 11 fort disposes] .; Amendment to section 6.2, Surcharge: "Section 6 .2 SURCHARGE. The County may determine and establish at least once every two years, effective on the date determined by the Board of Supervisors, (but initially no sooner than eighteen months ' from the effective date of this Agreement except for the purpose of decreasing the Surcharge in accordance with Section 6 .4 .d) , the Surcharge, which shall be added to the then applicable Transfer Station Proprietary Rate, and collected as part of the Gate Rate. Operator will be provided at least ninety (90) days written notice of any newly established Surcharge. In the absence of the County establishing a Amendment No. 1 - Transfer Station Franchise, October 31, 1994 Page 2 particular Surcharge amount, the Surcharge to be collected by the Operator for the County shall be thirty percent ( 30%) of the then applicable Transfer Station Proprietary Rate. " Amendment to subsection b of section 6 .4, Initial Surcharge: "b. Funding of Programs from Surcharge. During the period ........................... covered by the above initial Surcharge, costs of all current County programs except for LLA and; X18 ;939 fees 1(required or authorized by the Use Permit or this Agreement) shall be funded from said combined 25% Transfer Station and Keller Landfill Surcharge. In addition, any household hazardous waste fee imposed by the Board pursuant to Public Resources Code section 43213 shall be collected (deducted) from said combined Surcharge amount. Notw. thstand ng any other' prouisxon of thi< subsection or agreement,; any; Board Q;f Supervi';s. ors!" directed mandated fees; (including among others any state !Fixed and required fee, 16ca]! :nf6rce6ent agency established fee' and: AS933 fee) Imay at thXXXe Board's direction be Cd11,ect. for the County n ac ditit�n to any establishedsurcharge: pereentag� .. Amendment to Section 6 .5, Contracts : "Section 6 .5 CONTRACTS. For all contracts entered for the delivery to and receipt of Solid Waste at the Transfer Station, .... .... ...... .............. ....... . the Surcharge perrent:age ;applicable at the time of the contract Amendment No. 1 - Transfer Station Franchise, October 31, 1994 Page 3 shall apply for the term of said contract. The parties agree that any later established surcharge amounts shall not apply to waste received pursuant to such Solid Waste contract for the term of said contract. Operator shall advise County of any contract subject to the privileges of this section immediately upon execution. Operator shall provide County with any and all information requested by County concerning any such Contract, including providing County with copies of such contracts upon request. Operator shall also provide to County upon request, copies of all contracts for the transportation (hauling) and/or disposal of Solid Waste transferred at or processed through the Transfer Station. " SECTION II . EFFECT. Neither party, by its agreement and execution of this Amendment No. 1 to the Franchise Agreement, waives any of its rights existing prior to the execution hereof, and nothing herein shall be construed as a waiver by either party of its rights or assertions, including, but not limited to, those set forth in the above recitals. Should any subsequent dispute arise between the County and the Operator concerning the action of September 13, 1994 on the franchise agreement, both parties agree that this Amendment, any action taken by the Board of Supervisors on October 31, 1994 and/or November 1, 1994 , and any related action by Operator shall not be admissible in any administrative, equitable or legal proceeding to determine intent Amendment No. 1 - Transfer Station Franchise, October 31, 1994 Page 4 or effect of the action of September 13, 1994 . IN WITNESS WHEREOF, this Agreement is effective on the date first provided on page one hereof. OPERATOR BFIC, Inc. , a California corporation By �-Pr sident By• ice-President COU TY OF RA COST By: C ir, Board oT Supervisors ATTEST: By: (I'VVI, P 0.4'tug' , Clerk' o the Board APPROVED AS TO FORM: By:. County Counsel DE Of C:; vv CONTRA COST COUNTY, CALIF. 12a:\ptsamd.1 Amendment No. 1 - Transfer Station Franchise, October 31, 1994 Page 5 CONTRA COSTA COUNTY GROWTH MANAGEMENT & ECONOMIC DEVELOPMENT AGENCY DATE: October 31, 1994 TO: Members,Board of Supervisors FROM: Val Alexeeff, GMEDA Director By: Louise Aiello SUBJECT: Chart of Possible Surcharge Structures Related to Disposal in Keller Canyon Landfill Options for Surcharge Rate Structure Charts assume that the $39.00 Proprietary Rate proposed by BFI is split as $25.00 Proprietary Rate for Keller Canyon Landfill and $14.00 Proprietary Rate for the Permanent Transfer Station. The options outlined below reflect discussion of the KCL Franchise Agreement, Section 6.4 (b) Other Wastes. Option 1 KCL Acme Transfer Stn. Total Proprietary Rate $25.00 $14.00 $39.00 @25% Surcharge 6.25 3.50 9.75 Mandated Fees: LEA 1.00 Eastin 1.34 939 .15 I Totals .t4 .5 i Resulting funding Option 1 Projection.of Special Waste Tonnage 32,931 x $8.54 (Surcharge + Mandated Fees) _ $281,230.74 Possible East County TSF Station Tonnage 141,487 (Concord/Ironhouse) x $8.54 = $1,208,298.90 N Following discussion, BFI representatives stated that if the County intended 25% of Prop. rate only at KCL for other wastes not received via the Acme Transfer Station, BFI would accept this language change. It was requested that staff provide a chart illustrating this matter for full Board consideration; Supervisor Smith also requested that tonnage estimates on other wastes (Special Wastes and Wastes processed through another transfer station in County) be used to provide the full Board with the financial implications. nwi:.ah*c-m.cM - Page 3 -