HomeMy WebLinkAboutRESOLUTIONS - 12161997 - 97-17 I RESOLUTION NO. 97-17
2 RESOLUTION OF THE BOARD OF DIRECTORS OF THE
3 WEST CONTRA COSTA INTEGRATED WASTE MANAGEMENT AUTHORITY
4 APPROVING PRINCIPLES FOR COUNTY VOTING MEMBERSHIP IN THE AUTHORITY
5 AND AUTHORIZING THE COLLECTION OF A COUNTY AREA IRRF SURCHARGE
6 AND SPECIFYING CERTAIN CONDITIONS WITH RESPECT TO SAID SURCHARGE
7 WHEREAS, the Joint Powers Agreement establishing the West Contra Costa Integrated
8 Waste Management Authority ("Authority") in April 1991 provides that the Contra Costa County
9 Board of Supervisors may appoint a member of the Board of Supervisors to be an ex officio non-
10 voting member of the Authority Board of Directors;
11 WHEREAS, at the election of Contra Costa County ("County"), the West Contra Costa
12 Integrated Waste Authority ("Authority") and County have entered into the "Contract Between
13 West Contra Costa Integrated Waste Management Authority and Contra Costa County" dated
14 May 25, 1993 as amended on December 1, 1995 ("Authority- County Contract");
15 WHEREAS, County by letter dated August 27, 1997, ("County Proposal') has requested
16 that the Authority Board of Directors consider the matter of the County becoming a voting
17 member of the Authority Board of Directors;
18 WHEREAS, amendment of the Joint Powers Agreement by the Authority Member
19 Agencies is necessary in order for the County to become a voting member of the Authority Board
20 of Directors;
21 WHEREAS, the Authority Board of Directors has considered the Authority Staff Report,
22 "Full County Membership in the Authority" dated November 3, 1997 and attached hereto as
23 Exhibit C;
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO.97-17
1 WHEREAS, the Authority Board of Directors desires to establish principles under which
2 County would become a voting member of the Authority Board of Directors and to determine the
3 acceptability of said principles to the County prior to submitting the matter to the Authority
4 Member Agencies for approval in concept; and
5 WHEREAS, the next Regular Meeting of the Authority Board of Directors is on February
6 12, 1998, and the Authority Board of Directors desires to provide for timely response to actions
7 by the County Board of Supervisors.
8 NOW, THEREFORE, the Board of Directors of the West Contra Costa Integrated Waste
9 Management Authority resolve as follows:
10 Section 1. The "Principles for Full County Membership in the Authority" set forth in
11 Exhibit A attached hereto are approved.
12 Section 2. The Contra Costa County Board of Supervisors is hereby requested to
13 consider the Principles set forth in Exhibit A attached hereto and to advise the Authority of the
14 acceptability of said Principles as the basis for further consideration of the County Proposal by
15 the Authority and its Member Agencies.
16 Section 3. The Executive Director shall transmit a copy of this Resolution to the
17 Contra Costa County Board of Supervisors and communicate the request of the Authority Board
18 of Directors set forth in Section 2 of this Resolution.
19 Section 4. The IRRF Operator and Richmond Sanitary Service, Inc. are authorized to
20 collect a County Area IRRF Surcharge in the amounts specified in Exhibit B hereto subject to all
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT A[JTHORITY
BOARD OF DIRECTORS RESOLUTION NO.97-17
1 of the following conditions:
,
2 (a) The IRRF Operator shall convey all amounts collected as a result
3 of the County Area IRRF Surcharge to the Authority according to the time schedule for
4 transmittal of other amounts collected in IRRF Rates for conveyance to the Authority.
5 (b) The IRRF Operator and Richmond Sanitary Service, Inc. shall
6 begin collection of the County Area IRRF Surcharge upon receipt of written notification from the
7 Authority and shall terminate collection of said Surcharge only upon receipt of written
8 notification from the Authority.
9 (c) It is the intent of the Authority Board by this Resolution to
10 authorize the Executive Director to provide written notification to the IRRF Operator and
11 Richmond Sanitary Service, Inc. to begin collection of the County Area IRRF Surcharge after the
12 Authority's receipt of(1) notification of the approval of the County Board of Supervisors of said
13 Surcharge and (2) notification of approval in concept by the required number of Member
14 Agencies.necessary to amend the Joint Powers Agreement so that the County can become a
15 voting member of the Authority Board of Directors and that, insofar as possible, the start of
16 collection of the County Area IRRF Surcharge be co-ordinated with the start of other rate
17 adjustments for the County Area, provided that the Authority Board retains the right to start
18 collection of said Surcharge at any time after receipt of the notifications required by this
19 paragraph (c).
20 (d) It is the intent of the Authority Board by this Resolution to
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 97-17
1 authorize the Executive Director to provide written notification to the IRRF Operator and
2 Richmond Sanitary Service, Inc. to cease collection of the County Area IRRF Surcharge either
3 (1) upon the Authority Board's determination that all required approvals of affected documents
4 have been obtained and all costs incurred by the Authority and its Member Agencies, costs
5 associated with securing Union Bank consent, and costs incurred with securing the approval of
6 the California Integrated Waste Management Board have been paid and there are no remaining
7 unpaid costs arising from implementation of the County Area Proposal or(2) upon the Authority
8 Board's determination, made following receipt of written notification from County that it desires
9 to abandon efforts to implement the County Proposal, that all costs incurred by the Authority and
10 its Member Agencies, costs associated with securing Union Bank consent, and costs incurred
11 with securing the approval of the California Integrated Waste Management Board have been paid
12 and there are no remaining unpaid costs arising from implementation of the County Proposal.
13 (e) Any amount collected by the Authority, IRRF Operator or
14 Richmond Sanitary Service, Inc. which is in excess of costs shall be returned to County Area
15 ratepayers by means of a reduction in IRRF Rates and IRRF Related Collection Rates beginning
16 the next January 1st, (i.e. the next ensuing IRRF Rate adjustment)following termination of
17 collection of the County Area ER-RF Surcharge.
18 (f) The Executive Director shall periodically report to the Authority
19 Board the amounts collected via the County Area IRRF Surcharge and costs paid from funds
20 collected via said Surcharge.
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 97-17
1 Section 5. Upon receipt of a response to this Resolution from the County Board of
2 Supervisors, the Executive Director shall arrange for a meeting of the Ad Hoc Committee on
3 County Membership for the purposes of(a) the Committee's review of the response of the
4 County Board of Supervisors, and (b) the Committee's decision to either(1) call a Special
5 Meeting of the Board of Directors to further consider said response, or(2) schedule consideration
6 of the matter at the next Regular Meeting of the Authority Board of Directors, or (3) to determine
7 that said response is satisfactory and the matter is ready for submittal to the Member Agencies
8 for approval in concept.
9 Section 6. This Resolution shall be immediately effective upon adoption by the
10 Board of Directors.
11 Section 7. The Secretary shall certify passage of this Resolution and cause it to be
12 distributed to all Directors and Alternates, Authority Members, Contra Costa County, Authority
13 Officers, West County Resource Recovery, Inc., Richmond Sanitary Service, Inc., El Sobrante
14 Municipal Advisory Council and other interested parties.
15 ATTEST: CHAIR OF THE BOARD
16
Bill Davis, Executive Director Maria AleZIT is Dateld `
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO.97-17
I hereby certify that the foregoing resolution was adopted by the Board of Directors of the West Contra Costa
Integrated Waste Management Authority at its meeting on November 13, 1997,by the following vote:
AYES: Directors: Alegria, Evans, Gomes, Jellison
NOES:
Directors: none
ABSENT: Directors: Corbin, Griffin, Paras
Bill Davis,Executive Director
A:109res9717
Attachments:
1. Exhibit A, Principles for Full County Membership in the Authority
2. Exhibit B, County Area IRRF Surcharge Rates
3. Exhibit C, Authority Staff Report, "Full County Membership in the Authority"
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EXHIBIT A
TO RESOLUTION 97-17
PRINCIPLES FOR FULL COUNTY MEMBERSHIP IN THE AUTHORITY
1. The area represented by the County consists of the area
covered by the exclusive collection franchise agreement
between Contra Costa County and Richmond Sanitary Service,
Inc. dated October 12, 1.993. This is the area covered by the
Authority - County Contract (County Area) and waste from
this area is required to be delivered to the IRRF.
2. The County would occupy one (1) seat as a voting member of
the Authority Board of Directors. This is the County
Proposal.
3. A financial contribution by Contra Costa County in the
amount of $98,220 is needed to ensure equitable sharing of
the costs of the Authority incurred prior to start of IRRF
operation and paid by Member Agency contributions.
Prior to the start of operation of the IRRF on January 1,
1996, revenue to fund the activities of the Authority were
obtained from (a) Member Agency Contributions, (b) a one-
time . contribution by Contra Costa County at the time of
execution of the Authority-County Contract in May 1993 , and
(c) Transition Surcharge Revenues . Table 1 on page 8 of the
Staff Report provided as Exhibit C to Resolution No. 97-17
lists the amounts contributed for each of the three revenue
sources . The information in Table 1 is taken from Authority
financial records provided by the Authority Treasurer.
Section 9 of the Joint Powers Agreement provides that
revenue contributions to the Authority prior to. start of
IRRF operation are to be an equal amount per voting Director
seat to a maximum of $64 , 000 per voting Director seat per
year. Applying this principle to the total revenue
contributions made over the 4-3/4 years since the formation
of the Authority ($1, 625, 549) results in $203 , 194 per voting
Director seat if there are 8 voting Director seats .
Subtraction of the total revenue contribution from the
County Area ($104, 974) from $203 ,194 leaves $98, 220 as the
EXHIBIT A
TO RESOLUTION NO.97-17
PRINCIPLES FOR FULL COUNTY MEMBERSHIP IN THE AUTHORITY
financial contribution that would have been made by the
County had the County been a voting Member of the authority
from the beginning in April 1991 .
The Authority Board of Directors would determine the
appropriate use of the funds received after receipt of funds
from the County.
4. The County should affirmatively express recognition that
IRRF Service Agreement and IRRF Financing are constraints
and may only be changed with the mutual consent of signatory
parties and Union Bank in all cases. If the County believes
that changes are needed, the County should identify such
changes for the Authority prior to submittal of the matter
to the Authority Member Agencies.
While County staff were provided the information as part of
Board of Directors Meeting Agenda packets, completion and
approval of the IRRF Service Agreement and IRRF Financing
occurred without the County representative having an
opportunity, as a voting member of the Authority Board of
Directors, to cast votes on these matters in 1993 and 1994 .
If the County identifies changes, the Authority Board of
Directors will need to determine if the Authority should
pursue said changes through negotiation with .appropriate
parties and Union Bank.
5. The County should affirmatively accept the Regional AB 939
Plan as being satisfactory for the County Area or advise the
Authority of changes which the County believes are needed in
order for the Regional Plan to be satisfactory for the
County Area prior to submittal of the matter to the
Authority Member Agencies.
The Regional Integrated Waste Management Plan and Regional
Education & Public Information Program (Regional Plan) were
approved by the California Integrated Waste Management Board
in December 1995 . The Regional Plan is also incorporated
into the Joint Powers Agreement by reference.
Although County staff had the opportunity to review the
Regional Plan during the preparation and approval process,
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EXHIBIT A
TO RESOLUTION NO.97-17
PRINCIPLES FOR FULL COUNTY MEMBERSHIP IN THE AUTHORITY
the County representative did not have the opportunity, as a
voting member of the Authority Board of Directors„ to cast
votes regarding the approval of the Regional Plan.
Additionally, the Authority has received no communication
from the County as to the acceptability of the Regional Plan
for implementation in the County Area. Since the County
Area ,would become a part of the State-approved Regional AB
939 area, the County should determine and advise the
Authority if the Regional Plan is satisfactory with respect
to the County Area or advise the Authority of changes which
the County believes need to be made in order for the
Regional Plan to be satisfactory.
If the County identifies changes, the Authority Board of
Directors will need to determine if such changes should be
made and how the costs of such changes will be paid. Any
such changes will also need to be prepared and submitted to
the California Integrated Waste Management Board for
approval .
6. Provisions in the Collection Franchise Agreement between
Contra Costa County and RSS need to be made identical with
the collection franchise agreement amendments executed by
the Authority Member Cities in connection with the IRRF
financing in order to eliminate a source of potential future
conflict.
The County and Richmond Sanitary Service, Inc . (RSS)
completed work on a final collection franchise agreement in
October 1993 during the final stages of completion of the
IRRF financing. This franchise agreement was prepared
against the requirements set forth in the May 1993 Authority
- County Agreement. Member City collection franchise
agreements were amended in December 1993 and January 1994 .
As a result, the provisions of the County - RSS collection
franchise agreement and the Member Agency collection
franchise agreements are not identical with respect to the
amendments completed by the Member Agencies in December 1993
and January 1994 .
In order to eliminate a potential source of difference that
could give rise to future conflict, all Member Agency
collection franchise agreements should incorporate the same
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EXHIBIT A
TO RESOLUTION NO. 97-17
PRINCIPLES FOR FULL COUNTY MEMBERSHIP IN THE AUTHORITY
amendment as enacted by the Member Cities in December 1993
and January 1994 in connection with the IRRF financing.
7. The County agrees that the Authority may levy the surcharge
on IRRF Rates for the County Area as specified in Authority
Board of Directors Resolution No. 97-17 to pay the costs
associated with implementation of the County Proposal and
that said Surcharge may begin to be collected upon the
approval of the County and shall be terminated in accordance
with Authority Board of Directors Resolution No. 97-17 .
Because of the number of parties involved (5 cities, Contra
Costa County, Union Bank and California Integrated Waste
Management Board) and the fact that it is not possible to
predict the responses of Union Bank or California Integrated
Waste Management Board, it is not possible to forecast with
accuracy the costs of implementation of the County Proposal .
The County has recognized that it will be expected to pay
all costs associated with implementation of the County
Proposal . Approval of the Surcharge by the County would
avoid further financial demands on the County and result in
costs being paid by the ratepayers directly affected.
The Surcharge Amounts set forth in Exhibit B to Resolution
No. 97-17 are based upon an assumed dollar amount (i .e.
$50, 000) to be collected over a 1-year period as described
in the Staff Report provided as Exhibit C to Resolution No.
97-17 . However, the Surcharge would continue to be collected
until all necessary approvals have been obtained and all
costs paid. The Authority would (1) establish the Surcharge
rate and receive the funds collected via said Surcharge, (2)
pay costs incurred by the Authority and Member Cities, costs
associated with securing Union Bank consent, and costs
associated with obtaining CIWMB approval, and (3 ) provide a
full accounting of the amounts received and the amounts
paid. Any excess amounts would be rebated to County Area
ratepayers through a reduction in IRRF Rates .
The County would be afforded the opportunity to abandon the
implementation effort in which case all work would be halted
and the surcharge terminated after all costs have been paid
and no unpaid costs remain. .
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EXHIBIT A
TO RESOLUTION NO.97-17
PRINCIPLES FOR FULL COUNTY MEMBERSHIP IN THE AUTHORITY
8. Member Agencies of the Authority would be afforded a maximum
of 1-year after the Authority Board refers the matter to the
Member Agencies to complete action with respect the
arrangements under which the County would become a full
Member of the Authority. During this 1-year period,
Authority Member Agencies would need to consider
(a)conceptual approval of the arrangements prior to
preparation of necessary document(s) and (b) approval of and
authorization to execute document(s) necessary to
implementation of arrangements. At the conclusion of the 1-
year period, all document(s) would be fully executed by all
Member Agencies and the County.
This principle provides certainty with respect to the time
frame for action and is intended to avoid protracted delay
. in resolving the matter. However, if sufficient conceptual
approvals are obtained, but delays arise during document
preparation due to actions by Union Bank or the California
Integrated Waste Management Board or other matters beyond
the control of the Member Agencies, such delays should not
preclude continued favorable implementation action by all
parties .
A:110res9717
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