HomeMy WebLinkAboutMINUTES - 05161995 - 2.3 TO: BOARD OF SUPERVISORS
FROM: VAL ALEXEEFF, DIRECTOR
GROWTH MANAGEMENT & ECONOMIC DEVELOPMENT AGENCY
DATE: MAY 16, 1995
SUBJECT: WEST COUNTY SURCHARGE SHIFT
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
RECOMMENDATIONS:
1. DISCONTINUE residential surcharge of$2.02 per can collected from the unincorporated
area of West County served by Richmond Sanitary Service; and
2. ESTABLISH a transitional surcharge of$2.02 per can for the unincorporated portion of West
County.
FISCAL IMPACT:
No impact on County funds.
BACKGROUND/REASONS FOR RECOMMENDATIONS:
Contra Costa County has a contractual relationship with the West Contra Costa Integrated Waste
Management Authority to provide service to the unincorporated area. The County must agree to any
changes in rates or operations. The landfill operation was required to collect $8,204,304 for the
municipal share of landfill closure. Based on this projection, collection will have been achieved at the
end of April. Therefore, the surcharge can be eliminated. (See Attachment A-1)
The transitional surcharge is to cover expenses of the Authority to meet State and local requirements
in the establishment of the transfer station, otherwise, the costs will come from member agency
contributions. (See Attachment B-1)
CONTINUED ON ATTACHMENT: X YES SIGNATURE:
VVV---\
_RECOMMENDATION OF COUNTY ADMINISTRATOR _RECOMMENDATION OF BOARD COMM
_APPROVE _OTHER
SIGNATURE(S):
ACTION OF BOARD ON May 16 , 1995 APPROVED AS RECOMMENDED X OTHER
VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE AND CORRECT
COPY OF AN ACTION TAKEN AND ENTERED ON THE
X UNANIMOUS(ABSENT ) MINUTES OF THE BOARD OF SUPERVISORS ON THE
DATE SHOWN.
AYES: NOES:
ATTESTED- May 16 , 1995
ABSENT: ABSTAIN:
PHIL BATCHELOR,CLERK OF THE BOARD OF
SUPER ORSPt
D COUN DMINISTRATOR
VA:dg BY ,DEPUTY
westcnty.bo
Contact: Val AlexeefF(646-1620)
CC: County Administrator
County Counsel
GMEDA Departments
WCCIWMA(c/o B. Davis)
ATTACHMENT A
t West Contr
Integrated Waste Man
One Alvarado Square GROWTH MANAGEMENT AND
San Pablo, California 94806 ECONOMIC DEVELOPMENTAGENCY
TEL: (510)215-3125 FAX: (510)236-1636
April 20, 1995
Mr. Valentin Alexeeff
Director, GMEDA
Contra Costa County
651 Pine St . , North Wing, 2nd Floor
Martinez, CA 94553-1229
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO
DISCONTINUE RESIDENTIAL SURCHARGE
The Authority Board of Directors recommends that Contra Costa
County Board of Supervisors discontinue the Residential Surcharge
being collected from the unincorporated area of West County
served by Richmond Sanitary Service and requests that Contra
Costa County complete all necessary actions in this regard by
June 1, 1995 .
Please note that the same recommendation and request has been
provided to the West County cities served by Richmond Sanitary
Service.
Authority Recommendation
A copy of Authority Board of Directors Resolution No. 95-6 which
contains the Authority' s recommendations is attached. A suggested
resolution for use by Contra Costa County is provided as Exhibit
A to Resolution No. 95-6 . In summary, the Authority recommends
that each City and Contra Costa County:
1 . Discontinue the Residential Surcharge effective upon RSS
receipt of $8, 204, 364 from all Surcharge collections from
within the Cities of Hercules,
- Pinole, Richmond and San
Pablo and the unincorporated area served by RSS under a
franchise with the County.
Recycled Paper
MR. VALENTIN ALEXEEFF
April 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO DISCONTINUE RESIDENTIAL
SURCHARGE
2 . Direct RSS to collect on behalf of the Authority all amounts
received prior to June 1, 1995 which are in excess of
$8 , 204 , 364 and to convey such amounts to the Authority
beginning on May 1, 1995 and monthly thereafter until all
required amounts have been conveyed.
3 . Direct RSS to notify affected ratepayers of the
discontinuance of the Residential Surcharge in billings to
residential service ratepayers effective July 1, 1995 .
Basis for the Recommendation
• The conditions pursuant to which the Residential Surcharge
was established have been satisfied in that the 2-year
period upon which the current $2 . 02/can/month Residential
Surcharge rate was based has expired and an appropriate
amount has been collected by RSS through the Residential
Surcharge. Based upon the limited documentation that we are
able to obtain from all involved parties, the spirit and
intent of the arrangements for collection of the
$2 . 02/can/month rate have been fulfilled.
• Authority investigation initiated in April 1994 has resulted
in the conclusion that the decision on the part of the
Member Agencies in 1986 to establish a Residential Surcharge
reflected a desire to provide an orderly means for closure
of the Landfill and the belief that Landfill closure would
occur in 1992 . This investigation has not yielded
documentation of any contractual arrangement with RSS or any
affiliate obligating the Authority to recommend a
continuance of the Residential Surcharge.
• Authority General Counsel advises that there is no legal
obligation on the part of the Authority and the Member
Agencies to continue to impose the Residential Surcharge .
2
5 •
MR. VALENTIN ALEXEEFF
April 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO DISCONTINUE RESIDENTIAL
SURCHARGE
• The cumulative Residential share of waste received at the
West Contra Costa Sanitary Landfill since 1985 through 1993
is 250 . The most recent Closure, Post Closure and
Regulatory Costs estimates now on file with the State total
$32, 472, 856 . Twenty-five percent (250) of this total amount
($8, 204, 364) is projected to have been collected by RSS by
April 30 , 1995 .
• The Final Landfill Closure and Post Closure Plans have not
been approved by the State. RSS also advises that it
believes that an additional $3 , 000, 000 in costs will need to
be added. Brown & Caldwell advise that the total of
$32, 472, 856 may be adequate to fund needed work including
the additional $3 , 000, 000 identified by RSS . These matters
as well as matters related to the continued use of the
Landfill for disposal of waste from the Member Agencies
should be the subject of further discussion between the
Authority and RSS staff address remaining issues which may
arise prior to State approval of the Closure and Post
Closure Plans .
Background
The Residential Surcharge is collected at a rate of
$2 . 02/can/month to fund a portion of the Closure, Post Closure
and Regulatory Costs associated with the West Contra Costa
Sanitary Landfill . The Surcharge first became effective on July
1, 1986 at a rate of $0 . 75/can/month and was increased with the
.recommendation of JPA-1, the Authority' s predecessor agency, to
$1 . 07/can/month.
On July 11, 1991, this Authority recommended that the Surcharge
be increased to $2 . 02/can/month based upon (a) review of Closure,
Post Closure and Regulatory Cost estimates filed with the State
of California in February 1991 and (b) an RSS proposal that the
increase in the Surcharge rate be for a 24-month period to
coincide with the estimated closure date for the Landfill .
3
MR. VALENTIN ALEXEEFF
April 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO DISCONTINUE RESIDENTIAL
SURCHARGE
This Authority also on July 11, 1991, adopted a policy that the
Residential Surcharge 'should be discontinued as soon as approved
costs are fully funded independent of remaining Landfill life .
The amount contemplated to be collected through the Residential
Surcharge at the time of establishment (July 1991) of the current
rate of $2 . 02/can/month has been exceeded.
RSS has filed Final Landfill Closure and Post Closure Plans with
the. State . These Plans contain updated estimates of Closure,
Post Closure and Regulatory Costs which total $32 , 472, 856 . Brown
& Caldwell advises that the estimates have been prepared . in
accordance with State regulations which require (a) a "worst
case" cost estimate which is 15% higher that actual estimated
costs in current dollars and (b) a 20o contingency which results
in a cost estimate that is 20o higher than the "worst case" cost
estimate. Brown & Caldwell also advises that certain categories
in the estimates may be in excess of the amount actually required
and certain categories may be low.
RSS has advised that it believes that an additional $3 , 000, 000 in
costs have been identified. Brown & Caldwell advises that the
total estimate of $32 , 472, 856 may be sufficient to fund the work
including the additional costs reported by RSS. A final
conclusion in this regard must await RSS submittal of additional
detailed cost information and Brown & Caldwell review of the
information.
The Landfill has continued to receive solid waste for disposal
after the expiration of the 24-month period used to establish the
current Residential Surcharge rate. The Landfill operator has
advised that landfilling will likely continue until March 1996
and longer if regulatory agencies agree to allow an increase in
Landfill height .
4
MR. VALENTIN ALEXEEFF
April 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO DISCONTINUE RESIDENTIAL
SURCHARGE
RSS reports that Residential Service waste (i .e . waste collected
in rear loading packer trucks) constitutes 250 of the total waste
received at the Landfill since 1985, excluding both "waste which
does not occupy space" in the Landfill and waste which does not
pay a surcharge to fund Closure, Post Closure and Regulatory
Costs, both as identified by the Landfill operator.
Based upon a review of RSS records, it is projected that 251
($8, 204 , 364) of the total Closure, Post Closure and Regulatory
Cost estimate of $32 , 472, 856 will have been collected by RSS by
about April 30, 1995 .
Authority Investigation
The Authority has, beginning in April 1994. with the initiation of
a fact finding effort by the Authority General Counsel, concluded
its initial investigation of matters related to the Closure, Post
Closure and Regulatory Costs associated with the West Contra
Costa Sanitary Landfill . This investigation has included
numerous discussions with RSS personnel .
The first major product of the initial investigation was
submittal of a report by the Authority General Counsel to the
Board on October 27, 1994 and discussion of the report, which
included identification of continuing issues, at the Board of
Directors meeting on December 7, 1994 . A copy of this report has
previously been provided to you.
On February 9, 1995, the Board of Directors of the Authority
considered Authority staff recommendations for Authority policy
and the Staff Report, "Closure, Post Closure and Regulatory Costs
Associated with the West Contra Costa Sanitary Landfill" dated
February 2 , 1995 (Copy Attached) . At the February meeting, the
Authority Board discussed the recommended policy proposals but
took no action to approve any of the proposals and deferred
further consideration of the proposals to the March 9, 1995
meeting of the Board.
5
MR. VALENTIN ALEXEEFF
April 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO DISCONTINUE RESIDENTIAL
SURCHARGE
Since the preparation of the attached Staff report, Hilton,
Farnkopf & Hobson has submitted a report (Copy Attached) which
provides financial and accounting information regarding the
Residential Closure Fund (which receives -the Residential
Surcharge revenues collected from ratepayers) and the AB 2448
Trust Fund which is required by State Regulations . A portion of
the required deposits to the AB 2448 Trust Fund are made with
Residential Surcharge revenues .
At the March 9, 1995 meeting of the Board of Directors, the Board
directed Authority staff to develop and submit recommendations
regarding the discontinuance of the Residential Surcharge for
consideration at the Board' s April 13 , 1995 meeting. The
Authority Board adopted Resolution No. 95-6 at the April 13th
meeting.
The Authority General Counsel has advised the Board that the
investigation by the Authority has not disclosed any documented
contractual arrangements between the Authority and RSS or its
affiliates which obligates the Authority to recommend continuance
of the Residential Surcharge.
The Authority General Counsel also advises that there is no legal
obligation on the part of the Authority or the Member Agencies to
continue to impose the Residential Surcharge .
RSS legal counsel, at the April 13 , 1995 Board of Directors
meeting, expressed the opinion that while RSS believes that such
legal obligations exist, RSS hopes that continued discussion with
the Authority will avoid the need for RSS to pursue its legal
remedies .
6
MR. VALENTIN ALEXEEFF
April 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO DISCONTINUE RESIDENTIAL
SURCHARGE
Please let me know how we may be of further assist you in
responding to the Board of Directors. recommendation.
Sincerely,
Bill Davis
Executive' Director
B:45res956a
Attachments
1 . Authority Board of Directors Resolution No. 95-6
2 . Staff Report, "Closure, Post Closure and Regulatory Costs
Associated with the West Contra Costa Sanitary Landfill" ,
February 2, 1995
3 . "Evaluation of Richmond Sanitary Service, Inc . Reimbursement
Request and Residential Closure Fund" , Hilton, Farnkopf and
Hobson, April 6 , 1995 .
Cc : Authority Board of Directors and Alternates (w/o)
West County City Managers (w/o).
Kent Alm, Authority General Counsel (w/o)
Everett Jenkins, Assistant City Attorney - Richmond (w/o)
Dennis Varni, Richmond Sanitary Service (w/o)
7
T ATTACHMENT A Z
1 RESOLUTION NO. 95-6
2 RESOLUTION OF THE BOARD OF DIRECTORS OF THE
3 WEST CONTRA COSTA INTEGRATED WASTE MANAGEMENT AUTHORITY
4 REGARDING DISCONTINUANCE OF THE RESIDENTIAL SURCHARGE
5
6 WHEREAS, the West Contra Costa Integrated Waste Management
7 Authority (hereinafter "Authority" ) is authorized to evaluate and
8 make recommendations regarding solid waste matters;
9 WHEREAS, the State of California requires the owner of the
10 Class II Unit of the West Contra Costa Sanitary Landfill
11 (hereinafter "Landfill" ) to submit a plan which meets State
12 requirements and describes the activities and associated costs
13 necessary for closure of the Landfill in accordance with State
14 standards (hereinafter "Closure Plan" ) and to submit a plan which
15 describes the activities and associated costs necessary to
16 maintain the closed Landfill in accordance with State standards
17 for a minimum 30-year period (hereinafter "Post Closure Plan" ) .
18 WHEREAS, the State of California requires that costs of
19 closure of the Landfill in accordance with the approved Closure
20 Plan (hereinafter "Closure Costs" ) and the costs of maintenance
21 of the closed Landfill in accordance with the approved Post
22 Closure Plan (hereinafter "Post Closure Costs" ) be identified in
23 the Closure Plan and Post Closure Plan;
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6 1
{
1 WHEREAS, the State of California requires that amounts equal
2 to Closure Costs and Post Closure Costs Jnexpended as of the date
3 that the Landfill ceases to accept solid waste be placed in a
4 trust fund (hereinafter "AB 2448 Trust Fund" ) and such funds may
5 be released from the AB 2448 Trust Fund for reimbursement of
6 Closure and Post Closure Costs only with �th( approval of the
7 State;
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8 WHEREAS, West County Landfill, Inc. j as the Landfill owner,
9 has filed a Final Closure Plan and Final Post: Closure Plan with
10 the State of California and is awaiting approval of said Final
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11 Plans;
12 WHEREAS, the total amount on deposit in the AB 2448 Trust
13 Fund as of December 31, 1994 is TWELVE MILLION TWENTY ONE
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14 THOUSAND FIVE HUNDRED SEVENTEEN DOLLARS ($12, 021, 517)
15 WHEREAS, the Residential Surcharge is a surcharge on rates
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16 levied for collection and disposal of waste placed in cans for
17 collection by Richmond Sanitary Service, IIInc. (hereinafter "RSS" )
18 from within the Cities of Hercules, Pinole, F'ichmond and San
19 Pablo and the unincorporated area of West! Contra Costa County
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20 (hereinafter "Residential Service" ) ; j
2
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6
1 WHEREAS, the amount of the Residential Surcharge is based
2 upon the Landfill Closure Costs and Post Closure Costs and the
3 costs of compliance with new or evolving regulations which govern
4 the disposal of waste at the Landfill prior to termination of
5 landfilling operations and which became effective during and
6 after 1985 (hereinafter "Regulatory Costs" ) ;
7 WHEREAS, the Residential Surcharge first became effective on
8 July 1, 1986 at a rate of $0 . 75 per can per month and was
9 increased with the recommendation of the Authority' s predecessor
10 agency to $1 . 07 per can per month effective January 1, 1988;
11 WHEREAS, on July 11, 1991, the Authority recommended that
12 the Residential Surcharge be increased to the currently effective
13 rate of $2 . 02/can per month based upon a review of updated
14 estimates of Closure, Post Closure and Regulatory Costs filed
15 with the State of California in February 1991 and submitted by
16 RSS under cover dated March 1991, and based upon an RSS proposal
17 that the increase in the Residential Surcharge rate be for a 24-
18 month period to coincide with the estimated closure of the
19 Landfill;
3
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6
1 WHEREAS, on July 11, 1991, the Authority also adopted a
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2 policy that the Residential Surcharge should be discontinued as
3 soon as approved costs are full funded independent of remainin
Y ]. g
4 Landfill life,
5 WHEREAS, the amounts to be funded at the time of
6 establishment of the current Residential Surcharge rate on July
7 11, 1991 have been fully funded;
8 WHEREAS, monies collected by RSS via the Residential
9 Surcharge are placed in the Residential Closure Fund held by West
10 County Landfill, Inc . , the landfill owner;
11 WHEREAS, funds are periodically conveyed from the
12 Residential Closure Fund to the AB 2448 Trust Fund as required by
13 State regulations and as of December 31, 199,1 , a total of TWO
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14 MILLION SIX HUNDRED SIXTY FOUR THOUSAND FIVE HUNDRED ELEVEN
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15 DOLLARS ($2 , 664, 511) has been conveyed from the Residential
16 Closure Fund and deposited in the AB 2448 Trust Fund;
17 WHEREAS, RSS has filed updated cost estimates under cover
18 dated August 1994 which contain the Closure Costs identified in
19 the Final Closure Plan, Post Closure Costs identified in the
20 Final Post Closure Plan and updated Regulatory Costs also listed
4
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6
1 in the final Closure Plan (hereinafter collectively "Updated
2 Costs" ) ;
3 WHEREAS, the Updated Costs exceed the costs used as the
4 basis for the current Residential Surcharge and total THIRTY TWO
5 MILLION EIGHT HUNDRED SEVENTEEN THOUSAND FOUR HUNDRED FIFTY SIX
6 DOLLARS ($32, 817, 456) ;
7 WHEREAS, Brown & Caldwell Consultants indicate that certain
8 of the estimates contained in the Updated Costs may be in excess
9 of the amounts that will be actually required for the work
10 described in the Final Closure Plan and Final Post Closure Plan
11 and for work associated with Regulatory Costs but that certain
12 other estimates in the Updated Costs may be low due to
13 uncertainty regarding future decisions such as the continued
14 ability to discharge leachate to the West County Wastewater
15 District Treatment Plant as well as the amount and manner of
16 leachate treatment;
17 WHEREAS, the State of California has not acted to approve
18 the Final Closure Plan and Final Post Closure Plan for the
19 Landfill;
5
r '
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6
I
1 WHEREAS, the Landfill has continued to accept waste for
2 disposal after the expiration of the 24-month period used to
3 establish the current Residential Surcharge :rate and West Contra
4 Costa Sanitary Landfill, Inc . , the Landfill operator, has advised
5 that landfilling will likely continue until about early March
6 1996 under current conditions; j
7 WHEREAS, the Landfill owner is seeking regulatory approval
8 for a change in maximum height of the Landfill which could allow
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9 continued filling with the current waste stream until October
A
10 1997;
11 WHEREAS, RSS reports that Residential Service waste
12 constitutes twenty five percent (2501) of the total waste received
13 at the Landfill during the period 1985 through 1993 , excluding
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14 waste which does not occupy space in the Landfill;
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15 WHEREAS, twenty five percent of the total Updated Costs is
16 EIGHT MILLION TWO HUNDRED FOUR THOUSAND THREE HUNDRED SIXTY FOUR
17 THOUSAND DOLLARS ($8 , 204, 364) ; and
18 WHEREAS, the total amount of money collected by RSS under
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19 the Residential Surcharge totals EIGHT MILLION EIGHTEEN THOUSAND
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20 ONE HUNDRED SIXTY EIGHT DOLLARS ($8, 018, 168) as of February 28,
6
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6
1 1995, and it is projected that an at least equal to ONE HUNDRED
2 EIGHTY SIX THOUSAND ONE HUNDRED NINETY SIX ($186, 196) will be
3 collected through the Residential Surcharge in March and April
4 1995 ;
5 WHEREAS, the Integrated Resource Recovery Facility
6 (hereinafter ."IRRF" ) is expected to begin commercial operation
7 between October 1, 1995 and December 31, 1995 , and the IRRF
8 Service Agreement and the contract between Contra Costa County
9 and the Authority dated May 25, 1993 (hereinafter "Authority -
10 County Contract" ) provide that the Authority is to select the
11 landfill to receive the waste and processing residues from the
12 IRRF; and the Authority - County Contract specifies certain
13 criteria and procedures under which the Authority landfill
14 selection is to occur; and
15 WHEREAS, the Authority requires additional funding in order
16 to continue its ongoing operations until revenues from the IRRF
17 are received by the Authority and to continue to fund its
18 activities related to West Contra Costa Sanitary Landfill closure
19 and post closure issues;
7
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6
1 NOW, THEREFORE, the Board of Directors of the West Contra
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2 Costa Integrated Waste Management Authority resolve as follows :
3 Section 1 . The premises under which the Residential
4 Surcharge has been established have been Isat` sfied in that the
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5 two year period upon which it was premised has passed and twenty
6 five percent (25%) of Updated Costs will 1have: been collected by
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7 RSS via the Residential Surcharge by Aprijl 30, 1995 .
8 Section 2 . The Authority shall perform an analysis to
9 compare the continued usage of the Landfill with use of another
10landfill to establish the appropriate time for the Authority' s
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11 designation of a new landfill in accordance with the criteria
12 and procedures set forth in the Authority - County Contract
13 (hereinafter "Alternative Landfill Analysis" ) .
14 Section 3 . The Authority recommends that the Cities of
15 Hercules, Pinole, Richmond and San Pablo Viand Contra Costa County: .
16 (a) Discontinue the Residential Surcharge
17 effective upon RSS receipt of a total of EIGHT MILLION TWO
18 HUNDRED FOUR THOUSAND THREE HUNDRED SIXTY FOUR DOLLARS
19 ($8, 204, 364) from all Residential Surcharge collections from
20 within the Cities of Hercules, Pinole, Richmond and San Pablo and
8
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6
1 the unincorporated area of West Contra Costa County served by RSS
2 under a collection franchise agreement with Contra Costa County,
3 (b) Direct RSS to notify affected ratepayers
4 of the discontinuance of the Residential Surcharge in billings to
5 residential service ratepayers effective July 1, 1995 ,
6 (c) Direct RSS to collect on behalf of the
7 Authority all amounts received by RSS as a result of collection
8 of $2 . 02 per can per month prior to June 1, 1995, which are in
9 excess of a total of EIGHT MILLION TWO HUNDRED FOUR THOUSAND
10 THREE HUNDRED SIXTY FOUR DOLLARS ($8, 204, 364) direct RSS to
11 convey all amounts collected on behalf of the Authority to the
12 Authority each month beginning May 1, 1995, and continuing
13 thereafter until all required amounts have been conveyed to the
14 Authority, and
15 (d) Adopt a resolution substantially similar
16 to that attached hereto as Exhibit A to effectuate the foregoing.
17 Section 4 . The Authority shall continue discussions with
18 RSS to attempt to address any remaining issues which arise prior
19 to State approval of the Final Closure Plan and Final Post
9
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
=OARD OF DIRECTORS RESOLUTION NO. 95-6
closure Plan, continued use of the Landfill and processing of
suture RSS reimbursement requests .
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3 Section 5 . The funds collected for. the Authority
4 pursuant to this Resolution shall be used to fund . the costs of
1
5 the Authority' s ongoing solid waste programs and future costs of
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6 Authority activities related to Landfilll closure and post closure
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7 =slues including the Alternative Landfilll Analysis , continued
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8 discussions with RSS, development and implementation of the
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9 Regional Integrated Waste Management Plan and Regional Education
10 and Information Program; and processing 'of RSS reimbursement
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11 requests, all in accordance with annuallope:rating budgets
12 approved by the Authority Board of Direcjtors .
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13 Section 6 . This Resolution shalll be: immediately
14 effective upon adoption by the Board of Directors .
15 Section 7 . The Executive Director shall transmit a
16 certified copy of this Resolution to the City Managers of the
17 Cities of Hercules, Pinole, Richmond and; San Pablo and the Contra
18 Costa County Board of Supervisors and convey the Board of
19 Directors request that this matter be placed before the governing
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1
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-6
1 body of each agency for a decision on a time schedule which will
2 allow for achievement of the dates specified herein.
3 Section 8 . The Secretary shall certify passage of this
4 Resolution by the Board of Directors and cause it to be
5 distributed to all Directors and Alternates, Authority Officers,
6 Richmond Sanitary Service, Inc. , West County Landfill, Inc. , West
7 Contra Costa Sanitary Landfill, Inc. , and West County Resource
8 Recovery, Inc . and other interested parties .
9 ATTEST:
, ," l C R OF THE BOARD
10 i, UUP
11 Rob1n E. Slavik, Secretary Rosemary M. rbin 4/13/95
12
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 of April 13, 1995, by the following vote:
AYES: VOTING DIRECTORS: Bradshaw, Gomes , Tucker , Corbin
NOES: VOTING DIRECTORS: None
ABSENT: VOTING. DIRECTORS Griffin, Washington
Abstain: Voting Directors: Ritz
V
R in E. Slavik, Secretary
B:45resol
11
EXHIBIT -A
TO RESOLUTION NO. 95-6
SUGGESTED RESOLUTION
1 RESOLUTION NO.
2 RESOLUTION OF THE [CITY COUNCIL OF THE CITY OF ]
3 [BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY]
4 REGARDING DISCONTINUANCE OF THE RESIDENTIAL SURCHARGE
5
6 WHEREAS, the Residential Surcharge is a surcharge on rates
7 levied for collection and disposal of waste placed in cans for
8 collection by Richmond Sanitary Service, Inc. (hereinafter "RSS")
9 from within the Cities of Hercules, Pinole, Richmond and San
10 Pablo and the unincorporated area of West Contra Costa County
11 (hereinafter "Residential Service" ) ;
12 WHEREAS, RSS disposes of Residential Service waste at the
13 Class II Unit of the West Contra Costa Sanitary Landfill
14 (hereinafter "Landfill" ) ;
15 WHEREAS, the amount of the Residential Surcharge is based
16 upon the Landfill Closure Costs and Post Closure Costs and the
17 costs of compliance with regulations which govern the disposal of
18 waste at the Landfill and which became effective during and after
19 _1985; (hereinafter "Regulatory Costs") ;
i
EXHIBIT A TO RESOLUTION NO. 95-6
SUGGESTED RESOLUTION
1
1 WHEREAS, the West Contra Costa Integrated Waste Management
2 Authority (hereinafter "Authority" ) is charged with the
3 responsibility for making recommendationsjregarding the
4 Residential Surcharge;
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5 WHEREAS, the Authority has reported that on July 11, 1991,
6 the Authority recommended that the Residential Surcharge be
7 increased to the currently effective rate of $2 . 02/can per month;
8 WHEREAS, the Authority has reported that the amounts to be
9 funded at the time of establishment of the current Residential
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10 Surcharge rate on July 11, 1991 have been collected by RSS via
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11 the Residential Surcharge;
12 WHEREAS, the Authority advises that RSS reports that
13 Residential Service waste constitutes twenty five percent (25%)
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14 of the total waste received at the Landfill curing the period
15 1985 through 1993 , excluding waste which does not occupy space in
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16 the Landfill, received at the Landfill during the period 1985
17 through 1993 ;
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18 WHEREAS, the Authority reports that Twenty five percent of
19 the total Closure, Post Closure and Regulatory Costs identified
20 in the Final Closure and Final Post Closure Plans will have been
A - 2
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EXHIBIT A TO RESOLUTION NO. 95-6
SUGGESTED RESOLUTION
1 collected by RSS in April 1995;
2 WHEREAS, the Integrated Resource Recovery Facility
3 (hereinafter "IRRF" ) is expected to begin commercial operation
4 during the period between October 1, 1995 and December 31, 1995
5 and the IRRF Service Agreement and the contract between Contra
6 Costa County and the Authority dated May 25, 1993 (hereinafter
7 "Authority - County Contract" ) provide that the Authority is to
8 designate the landfill to receive the waste and processing
9 residues from the IRRF and the Authority - County Contract
10 specifies certain criteria and procedures under which the
11 Authority' s designation is to occur;
12 WHEREAS, the Authority has advised that it requires
13 additional funding to continue in operation and perform its
14 duties until revenues from the IRRF are received by the
15 Authority;
16 WHEREAS, the Authority has recommended that [the City of
17 ] [Contra Costa County] discontinue the Residential
18 Surcharge, direct RSS to collect certain amounts on behalf of the
19 Authority, and direct RSS to convey all amounts collected on
20 behalf of the Authority to the Authority on a monthly basis; and
A - 3
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EXHIBIT A TO RESOLUTION NO. 95-6
SUGGESTED RESOLUTION
1 WHEREAS, implementation of the Authority' s recommendation
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2 will be in lieu of Member Agency financiai1 contributions to the
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3 Authority under Section 9 . 1 of the Joint 'Powers Agreement which
4 establishes the Authority.
5 NOW, THEREFORE, the [City Council ofi the: City of ]
6 [Board of Supervisors of Contra Costa County] resolve as follows :
7 Section 1 . The conditions pursuant to which the
8 Residential Surcharge was established have been satisfied in that
9 the two year period upon which the currenit Residential Surcharge
10 rate has expired and an appropriate amount has been collected by
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11 RSS through the Residential Surcharge .
12 Section 2 . The Residential Surcharge: collected by RSS
13 shall be discontinued at such time as EIGHT MILLION TWO HUNDRED
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14 FOUR THOUSAND THREE HUNDRED SIXTY FOUR DOLLARS ($8 , 204 , 364) has
15 been collected from all Residential Surcharge collections from
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16 within the Cities of Hercules, Pinole, Rilchmond and San Pablo and
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17 the unincorporated area of West Contra Coista County served by RSS
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18 under a collection franchise agreement with Contra Costa County.
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EXHIBIT A TO RESOLUTION NO. 95-6
SUGGESTED RESOLUTION
1 Section 3 . RSS is hereby directed to collect on behalf
2 of the Authority all amounts received by RSS as a result of
3 collection of $2 . 02 per can per month prior to June 1, 1995,
4 which are in excess of a total of EIGHT MILLION TWO HUNDRED FOUR
5 THOUSAND THREE HUNDRED SIXTY FOUR DOLLARS ($8, 204 , 364) .
6 Section 4 . RSS is hereby directed to convey all amounts
7 collected on behalf of the Authority pursuant to Section 3 of
8 this Resolution to the Authority each month beginning May 1, 1995
9 and continuing thereafter until all required amounts have been
10 conveyed to the Authority.
11 Section 5 . RSS is hereby directed to notify affected
12 ratepayers of the discontinuance of the Residential Surcharge in
13 billings to residential service ratepayers effective June 1,
14 1995 .
15 Section 6 . Funds received by the Authority as a result
16 of this Resolution shall be used in accordance with operating
17 budgets approved by. the Authority Board of Directors .
18 Section 7 . This Resolution shall be immediately
19 effective upon adoption by the [City Council} [Board of
20 Supervisors] .
A - 5
EXHIBIT A TO RESOLUTION NO. 95-6
SUGGESTED RESOLUTION
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1 Section 8 . A certified copy of this Resolution shall be
2 transmitted to the West Contra Costa Integrated Waste Management
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3 Authority, [the Cities of Hercules, Pinole, F:ichmond and San
4 Pablo and the Contra Costa County Board of Supervisors] and
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5 Richmond Sanitary Service, Inc .
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B : 45resolA
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ATTACHMENT B
West Con,
Integrated Waste Ma
One Alvaraao Jquare GROWTH MANAGEMENT AND
San Pablo, California 94806 ECONOMIC DEVELOPMENT AGENCY
TEL: (510)215-3125 • FAX: (510)236-1636
April 20, 1995
Mr. Valentin Alexeeff
Director, GMEDA
Contra Costa County
651 Pine St, North Wing, 2nd Floor
Martinez, CA 94553-1229
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO
ESTABLISH A TRANSITION SURCHARGE
The Authority Board of Directors request that the Contra Costa
County Board of Supervisors establish a Transition Surcharge for
the unincorporated portion of West County served by Richmond
Sanitary Service, Inc . under a collection franchise agreement
with Contra Costa County and complete all actions necessary to
establishment of the Surcharge effective June 1, 1995 for
collection on behalf of the Authority.
Please note that each of the West County cities served by
Richmond Sanitary Service, Inc . has also been requested to
establish the same Transition Surcharge effective June 1, 1995
for collection on behalf of the Authority.
Authority Recommendation
A copy of Board of Directors Resolution No. 95-7 which contains
the Authority' s recommendations is attached. A suggested
resolution for use by Contra Costa County is provided as Exhibit
A to Resolution No. 95-7 . In summary, the Authority recommends
that each City and Contra Costa County:
1 . Approve the Transition Surcharge as a rate of
$2 . 02/can/month for collection on behalf of the Authority
effective June 1, 1995 and terminating without further
action on the date that IRRF rates approved by the Authority
are included in bills sent to residential ratepayers .
Recycled Paper
MR. VALENTIN ALEXEEFF
APRIL 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO ESTABLISH A TRANSITION
SURCHARGE
2 . Direct RSS to collect the Transition Surcharge on behalf of
the Authority and to convey all amounts collected to the
Authority each month beginning on July 1, 1995, and
continuing thereafter until all required amounts have been
conveyed to the Authority.
3 . All funds received by the Authority will be for (a)
estimated costs of existing Authority programs during the
period July 1, 1995 to January 1, 1996, (b) professional
services needed for review of RSS requests for reimbursement
of Closure, Post Closure and Regulatory expenses from funds
collected through the Residential Surcharge, (c)
professional services needed to support discussions with RSS
related to West Contra Costa Sanitary Landfill, (d)
professional services needed to perform and economic
analysis of continued use of West County Landfill and to
select a new landfill, (e) costs of responding to State
comments on the proposed Regional AB 939 Plan and Education
Program and to continue to demonstrate good faith effort to
implement AB 939 to avoid potential State penalties .
4 . Expenditures of funds received through the Transition
Surcharge shall be in accordance with operating budgets
approved by the Authority Board of Directors . Expenditures
are expected to occur following approval of the Transition
Surcharge and continue into Fiscal Year 1995-96 .
Purpose of Transition Surcharge
The purpose of the Transition Surcharge is to provide rate
stabilization between the date of discontinuance of the
Residential Surcharge and the incorporation of IRRF rates in
bills sent to ratepayers while providing funding for existing
Authority solid waste programs and obligations until IRRF
revenues are received by the Authority and to provide funding of
Authority activities associated with the West County Landfill and
selection of a new landfill for use after the West County
Landfill closes .
2
MR. VALENTIN ALEXEEFF
APRIL 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO ESTABLISH A TRANSITION
SURCHARGE
Basis for the Recommendation
• The IRRF is expected to begin commercial operation during
the period between October 1, 1995 and December 31, 1995 .
Current best estimate of the date of commercial operation of
the IRRF is about mid-November 1995 assuming no further
delays .
• Currently, unincorporated area residential solid waste rates
include $2 . 02/can/month for the Residential Surcharge .
Discontinuance of the Residential Surcharge as recommended
by the Authority in Resolution No. 95-6 would mean that
rates would be reduced beginning June 1, 1995 only to be
increased some 6-7 months later to reflect the start of
commercial operation of the IRRF. Adoption of the Transition
Surcharge would stabilize rates between June 1, 1995 and
start of commercial operation and avoid a short term
disruption in rates .
• The Final Closure and Post Closure Plans for the West Contra
Costa Sanitary Landfill have not been approved by the State .
RSS advises that it believes that an additional $3 , 000, 000
in costs will need to be added.
• Brown & Caldwell advise that the total estimated Closure,
Post Closure and Regulatory Costs ($32 , 472 , 856) identified
in the Final Plans may be adequate to fund needed work
including the additional $3 , 000 , 000 reported by RSS . Brown &
Caldwell also advise that the estimated costs have been
prepared in accordance with State regulations which require
(a) a "worst case" cost estimate which is 15% higher than
actual estimated costs in current dollars and (b) a 200
contingency which results on a cost estimate that is 200
higher than the "worst case" cost estimate . Brown & Caldwell
also advises that certain categories in the estimates may be
in excess of the amount actually required and certain
categories may be low.
3
MR. VALENTIN ALEXEEFF
APRIL 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO ESTABLISH A TRANSITION
SURCHARGE
• The Authority is continuing discussions with RSS to attempt
to address the Closure, Post Closure and Regulatory Cost
estimates and other matters which arise prior to State
approval of the Final Plans, the continued use of the West
Contra Costa Sanitary Landfill for disposal of waste, and
matters related to processing of future RSS requests for
reimbursement of Closure, Post Closure and Regulatory costs .
The issues discussed beginning on page 23 of the attached
Staff Report, "Closure, Post Closure and Regulatory Costs
Associated with the West Contra Costa Sanitary Landfill"
remain to be resolved with RSS. The Authority does not
currently have funding for costs associated with these
discussions .
• RSS requests for reimbursement of costs from funds collected
via the Residential Surcharge require the approval of the
Authority. These reviews consist of an engineering review to
confirm that costs are reasonable, necessary and prudent and
are associated only with the Class II Landfill and otherwise
in accord with Authority policy and ;a financial/accounting
review which consists of sampling of financial records to
confirm that expenditures have actually been incurred, that
tax and interest costs are properly calculated and otherwise
in accord with the financial/accounting aspects of Authority
policy. Funding is needed in order for these activities to
be completed and Authority action on reimbursement requests
to occur.
• The operator of the West Contra Costa Sanitary Landfill has
notified the Authority that the Landfill will, under current
conditions, most likely cease accepting waste for disposal
about March 1996 . The Landfill operator has also advised
that landfilling may continue longer if regulatory agencies
agree to allow an increase in the Landfill height .
• The IRRF Service Agreement and the contract between the
Authority and Contra Costa County provides that the
Authority is to select the Landfill to be used after
4
MR. VALENTIN ALEXEEFF
APRIL 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO ESTABLISH A TRANSITION
SURCHARGE
commercial operation of the IRRF begins . The Authority plans
to undertake an economic analysis of continued use of the
West Contra Costa Sanitary Landfill to determine the
appropriate time for use of a new landfill . The Authority
will also prepare and issue a request for proposals for new
landfill service for use in selection of the new landfill .
Funding is not sufficient for the Authority to complete
these activities .
• The Authority is developing the Regional AB 939 Plan and
Regional Education and Public Information Program for
submittal to the State in August 1995 . Based upon past
experience, it is expected that additional costs will be
incurred to respond to State comments . Funding is needed not
only for this purpose but also to begin implementation of
the Plan and Education program prior to the start of
commercial operation of the IRRF.
• Considering the lag time between the date that bills
containing IRRF rates are mailed and receipt of revenues by
the Authority, revenues from IRRF rates are likely not to be
available to the Authority until about January 1, 1996 .
Consequently, another source funding is needed to continue
the current Authority operations and to fund the above
described activities .
• In the absence of the Transition Surcharge, the only source
of funding available to the Authority would be Member Agency
contributions to a maximum of $64 , 000 per voting Director.
Under this scenario, funding would be sufficient only to
fund the currently existing operations of the Authority and
the costs associated with the preparation of a request for
proposal, evaluation and comparison of proposals, and
completion of contract arrangements for the new landfill .
Approval of the Transition Surcharge will provide funding
for (a) professional services needed for review of RSS
requests for reimbursement of Closure, Post Closure and
Regulatory expenses from funds collected through the
5
MR. VALENTIN ALEXEEFF
APRIL 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO ESTABLISH A TRANSITION
SURCHARGE
Residential Surcharge, and (b) professional services needed
to support discussions with RSS related to West Contra Costa
Sanitary Landfill .
Additional Issues
RSS, at the Authority Board meeting on April 13 , 1995, expressed
concern that the Transition Surcharge may not be deemed a fee .
This concern raised a question at the Board meeting regarding the
collection of the Transition Surcharge only from residential
ratepayers since the services to be provided could be arguably
for both commercial and residential ratepayers .
1 . The Transition Surcharge As A Fee
Exhibit B to attached Board of Directors Resolution No. 95-7
identifies estimated Authority costs to be funded with the
Transition Surcharge . The Authority General Counsel has
expressed the opinion that the proposed Transition Surcharge
would be a lawful imposition of a public agency service
. charge or fee consistent with the California Constitution
Article XIII B limitations, general California public agency
law, and the provisions of AB 939, as amended. He has
further suggested that the Transition Surcharge, as proposed
is intended to generate revenues for payment of the
reasonable costs associated with the ongoing solid waste
activities of the Authority and those additional activities
necessary to protect the legitimate public interest of the
solid waste ratepayers concerning the closure and post
closure issues of the of the West County Landfill . The
amount of revenues to be generated by this short term
interim fee are projected not to exceed the costs of the
services to be rendered as outlined in the budget provided
by Authority staff .
Nevertheless, Authority staff advised the Board at the April
13th meeting that refined estimates of the costs to be
funded by the Transition Surcharge would be developed as
6
MR. VALENTIN ALEXEEFF
APRIL 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO ESTABLISH A TRANSITION
SURCHARGE
necessary to provide a more detailed breakdown to support
the proposed Transition Surcharge . Please let me know if
you desire a more detailed breakdown.
2 . Collection of the Transition Surcharge from Commercial
Ratepayers
The proposed Transition Surcharge has been identified only
with respect to residential service since these rates were
the only rates affected by the Residential Surcharge .
Authority staff advised the Board at the April 13th Board
meeting that is may be necessary to collect the Transition
Surcharge from both residential and commercial ratepayers .
Authority staff also advised that this issue would need to
be considered by the Member Cities and Contra Costa County
since the Authority has not in the past dealt with the
commercial rates .
RSS has advised that a surcharge of $3 . 66 per cubic yard is
included in existing rates for payment of a portion of
Closure, Post Closure and Regulatory Costs . Funds collected
through this surcharge is a part of the "Non-Residential"
share of the Costs . It is projected that the "Non-
Residential" share of the Costs will be fully funded as of
about September 1995 .
West County Landfill is not expected to close until March
1996 under current conditions and later if an extension in
Landfill height is approved by regulatory agencies . It may
be possible to reduce the $3 . 66 per cubic yard surcharge by
an appropriate amount to reflect the commercial share of the
Transition Surcharge and continue the commercial surcharge
beyond September 1995 .
7
MR. VALENTIN ALEXEEFF
APRIL 20, 1995
SUBJECT: RECOMMENDATION FOR BOARD OF SUPERVISORS ACTION TO ESTABLISH A TRANSITION
SURCHARGE
Please let me know how we may further assist you in responding to
the Board of Directors request .
Sincerely,
Bill Davis
Executive Director
B:45res957a
Attachments
1 . Board of Directors Resolution No. 95-7
2 . Authority Staff Report, "Closure, Post Closure and
Regulatory Costs Associated with the West Contra Costa
Sanitary Landfill" , February 2 , 1995 .
CC : Authority Board of Directors and Alternates (w/o)
West County City Managers (w/o)
Kent Alm, Authority General Counsel (w/o)
Everett Jenkins, Asst . City Attorney - Richmond (w/o)
Dennis Varni, Richmond Sanitary Service (w/o)
8
ATTACHMENT B Z-
1 RESOLUTION NO. 95-7
2 RESOLUTION OF THE BOARD OF DIRECTORS OF THE
3 WEST CONTRA COSTA INTEGRATED WASTE MANAGEMENT AUTHORITY
4 RECOMMENDING ESTABLISHMENT OF A TRANSITION SURCHARGE
5 WHEREAS, the Integrated Resource Recovery Facility
6 (hereinafter "IRRF" ) is expected to begin commercial operation
7 during the period between October 1, 1995 and December 31, 1995 ;
8 WHEREAS, the Authority has been notified by West Contra
9 Costa Sanitary Landfill, Inc . that the Class II Unit of the West
10 Contra Costa Sanitary Landfill (hereinafter "Landfill" ) may cease
11 landfilling operations as early as March 1996 or may allow
12 continued filling operations until as late as October 1997;
13 WHEREAS, the IRRF Service Agreement and the contract between
14 Contra Costa County and the Authority dated May 25, 1993
15 (hereinafter "Authority - County Contract" ) provide that the
16 Authority is to designate the landfill to receive the waste and
17 processing residues from the IRRF and the Authority - County
18 Contract contains certain criteria and procedures under which the
19 Authority' s designation is to occur;
20 WHEREAS, the Authority has, by adoption of Resolution No.
21 95-6 recommended that the Cities of Hercules, Pinole, Richmond
22 and San Pablo and Contra Costa County discontinue the Residential
23 Surcharge being collected by Richmond Sanitary Service, Inc.
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-7
1 (hereinafter "RSS" ) and direct RSS to collect: certain, amounts on
2 behalf of the Authority;
3 WHEREAS, the State of California has not. approved the Final
4 Closure Plan and Final Post Closure Plan for the Landfill;
5 WHEREAS, the Authority is continuing' discussions with RSS to
6 attempt to address remaining issues which (a) arise prior to
7 State approval of the Final Closure and Post Closure Plans, (b)
8 concern continued use of the Landfill and! (c) relate to
9 processing of future RSS reimbursement requests (hereinafter
10 "RSS Discussions" ) ;
11 WHEREAS, the Authority is undertaking an. analysis to compare
12 the continued usage of the Landfill with use of another landfill
13 in order for the Authority to designate anew, landfill pursuant
14 to the IRRF Service Agreement and Authority - County Contract in
15 accordance with the criteria and procedures set forth in the
16 Authority - County Contract (hereinafter "Alternative Landfill
17 Analysis" ) ;
18 WHEREAS, the Authority is charged with the responsibility of .
19 preparing and submitting to the State of California a single
20 Regional AB 939 Plan and a single Regional Education and Public
2
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-7
1 Information Program in lieu individual Plans and Programs by the
2 Member Agencies ;
3 WHEREAS, the Authority requires additional funding in order
4 to continue its ongoing operations until revenues from the IRRF
5 are received by the Authority, to carry out activities associated
6 with the Regional AB 939 Plan and Regional Education and Public
7 Information Program and to fund Authority activities related to
8 West Contra Costa Sanitary Landfill closure and post closure
9 issues including the Alternative Landfill Analysis and RSS
10 Discussions;
11 WHEREAS, imposition of the Transition Surcharge is an
12 appropriate and equitable means to provide the Authority with
13 funding until the IRRF revenues are available and said transition
14 surcharge will effectively allocate the cost for Authority
15 services to the ultimate users of these services; and
16 WHEREAS, establishment of the Transition Surcharge will
17 avoid the need for Member Agency contributions pursuant to
18 Section 9 . 1 of the Joint Powers Agreement creating the Authority.
19 NOW, THEREFORE, the Board of Directors of the West Contra
20 Costa Integrated Waste Management Authority resolve as follows:
3
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-7
1 Section' l . The Authority recommends that the Cities of
2 Hercules, Pinole, Richmond and San Pablo and Contra Costa County:
3 (a) Approve the Transition Surcharge at a
4 rate of $2 . 02 per can per month for collection on behalf of the
5 Authority effective June 1, 1995 and terminating without further
6 action of the Cities and Contra Costa County on the date that
7 IRRF Rates approved by the Authority are included in bills sent
8 to residential ratepayers,
9 (b) Direct RSS to collect the Transition
10 Surcharge on behalf of the Authority and' to convey all amounts
11 collected to the Authority each month beginning on July 1, 1995
12 and continuing until all required amounts have been conveyed to
13 the Authority, and
14 (c) Adopt a resolution substantially similar
15 to Exhibit A attached hereto in order to effectuate the
16 foregoing.
17 Section 2 . The Authority shall use the revenues received
18 from the Transition Surcharge to fund the Authority' s ongoing
19 solid waste programs, costs incurred by the Authority associated
20 with the Alternative Landfill Analysis, costs, incurred by the
4
WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-7
1 Authority associated with the RSS Discussions, costs associated
2 with the development and implementation of the Regional
3 Integrated Waste Management Plan and Regional Education and
4 Information Program and costs associated with processing RSS
5 reimbursement requests . The estimated costs to be funded with
6 the Transition Surcharge revenues are set forth in Exhibit B
7 attached hereto.
8 Section 3 . Use of funds received as a result of the
9 Transition Surcharge shall be in accordance with annual operating
10 budgets approved by the Authority Board of Directors .
11 Section 4 . This Resolution shall be immediately
12 effective upon adoption by the Board of Directors.
13 Section 5 . The Executive Director shall transmit a
14 certified copy of this Resolution to the City Managers of the
15 Cities of Hercules, Pinole, Richmond and San Pablo and the Contra
16 Costa County Board of Supervisors and convey the Board of
17 Directors request that this matter be placed before the governing
18 bodies of each agency for a decision on a time schedule which
19 will allow for start of the Transition Surcharge on June 1, 1995 .
5
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WEST CONTRA COSTA
INTEGRATED WASTE MANAGEMENT AUTHORITY
BOARD OF DIRECTORS RESOLUTION NO. 95-7
1 Section 6 . The Secretary shall certify passage of this
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2 Resolution by the Board of Directors and cause it to be
3 distributed to all Directors and Alternates, .Authority Officers,
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4 Richmond Sanitary Service, Inc . , West County Landfill, Inc. , West
5 Contra Costa Sanitary Landfill, Inc. , and West County Resource
6 Recovery, Inc . and other interested parties .
ATTEST: CHAIR OF THE BOARD
Rob4n E. Slavik, Secretary Rosemary M. orbin 4/13/9
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 of
April 13 , 1995 , by the following vote :
AYES : VOTING DIRECTORS : Bradshaw, Gomes , Tucker,
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Corbin
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NOES : VOTING DIRECTORS : None
ABSENT: VOTING DIRECTORS: Griffin, Washington
Abstain: Ritz
Vol Hl-� F.I
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Ro in E. Slavik, Secretary
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EXHIBIT A
TO RESOLUTION NO. 95-7
SUGGESTED RESOLUTION
1 RESOLUTION NO.
2 RESOLUTION OF THE [CITY COUNCIL OF THE CITY OF ]
3 [BOARD OF SUPERVISORS OF CONTRA COSTA COUNTY]
4 REGARDING ESTABLISHMENT OF A TRANSITION SURCHARGE
5
6 WHEREAS, the Integrated Resource Recovery Facility
7 (hereinafter "IRRF" is expected to begin commercial operation
8 during the period between October 1, 1995 and December 31, 1995;
9 WHEREAS, the West Contra Costa Integrated Waste Management
10 Authority (hereinafter "Authority") advises that the Class II
11 Unit of the West Contra Costa Sanitary Landfill (hereinafter
12 "Landfill") may cease landfilling operations as early as March
13 1996 or as late as October 1997;
14 WHEREAS, the IRRF Service Agreement and the contract between
15 Contra Costa County and the Authority dated May 23 , 1995, provide
16 . that the Authority is to designate the landfill to receive waste
17 and processing residues from the IRRF and the contract between
18 the Authority and Contra Costa County specifies certain criteria
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EXHIBIT A TO RESOLUTION NO. 95-7
SUGGESTED RESOLUTION
1 and procedures under which the Authority' ,, designation is to
2 occur;
3 WHEREAS, [the City of ] [Contra Costa County] has
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4 discontinued collection of the Residential' Surcharge by Richmond
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5 Sanitary Service;
6 WHEREAS, the Authority is continuing discussions with RSS to
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7 attempt to address remaining issues whichl (a) arise prior to
8 State approval of the Final Closure and Post: Closure Plans, (b)
9 concern continued use of the Landfill and (c) processing of RSS
-0 reimbursement requests (hereinafter "RSS Dliscussions" ) ;
11 WHEREAS, the Authority is undertaking; an analysis to compare
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12 the continued usage of the Landfill with u1se of another landfill
13 in order for the Authority to designate a new landfill pursuant
14 to the IRRF Service Agreement and the contlract: between the
15 Authority and Contra Costa County in accordance with the
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16 procedures set forth in the contract between the Authority and
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17 Contra Costa County (hereinafter "Alternatlive Landfill
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18 Analysis".) ;
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19 WHEREAS, the Authority is responsible for development and
20 implementation of a Regional AB 939 Plan and Regional Education
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EXHIBIT A TO RESOLUTION NO. 95-7
SUGGESTED RESOLUTION
1 and Information Program to satisfy the requirements of State law
2 in lieu of individual efforts by the Member Agencies of the
3 Authority;
4 WHEREAS, the Authority has reported that it requires
5 additional funding in order to continue its ongoing operations
6 until revenues from the IRRF are received by the Authority, to
7 carry out activities associated with the Regional AB 939 Plan and
8 Regional Education and Public Information Program and to fund
9 Authority activities related to West Contra Costa Sanitary
10 Landfill closure and post closure issues including the
11 Alternative Landfill Analysis and RSS discussions;
12 WHEREAS, the Authority has requested [the City of l
13 [Contra Costa County] to approve a Transition Surcharge to be
14 collected on behalf of the Authority; and
15 WHEREAS, the establishment of the Transition Surcharge will
16 avoid Member Agency contributions under Section 9 . 1 of the Joint
17 Powers Agreement creating the Authority.
18 NOW, THEREFORE, the [City Council of the City of ]
19 [Board of Supervisors of Contra Costa County] resolve as follows :
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EXHIBIT A TO RESOLUTION NO. 95-7
SUGGESTED RESOLUTION
1 Section 1 . [The City of [Contra Costa County]
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2 hereby approves a Transition Surcharge at, a rate of $2 . 02 per can
3 per month for collection on behalf of thelAut:hority effective
4 June 1, 1995, and terminating without further action of [the City
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5 of ] [Contra Costa County] on the date that IRRF Rates
6 approved by the Authority are included in bills sent to
residential ratepayers .
8 Section 2 . Richmond Sanitary Service!, Inc. is hereby
9 directed to collect the Transition Surcharge on behalf of the
10 Authority and to convey all amounts collected to the Authority
11 each month beginning on July 1, 1995, andlcontinuing until all
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12 required amounts have been conveyed to the Authority.
13 Section 3 . The Transition Surcharge is approved with
the understanding that the funds receivedlby the Authority will
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15 be for the purposes described in Exhibit B to Authority Board of
16 Directors Resolution No. 95-7 and with the further understanding
17 that all amounts will be expended in accordance with operating
18 budgets approved by the Board of Directors and the Authority.
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EXHIBIT A TO RESOLUTION NO. 9S-7
SUGGESTED RESOLUTION
1 Section 4 . This Resolution shall be immediately
2 effective upon adoption by the [City Council] [Board of
3 Supervisors] .
4 Section 5 . A certified copy of this Resolution . shall be
5 transmitted to the West Contra Costa Integrated Waste Management
6 Authority, [the Cities of Hercules, Pinole, Richmond and San
7 Pablo and the Contra Costa County Board of Supervisors] and
8 Richmond Sanitary Service, Inc..
B:45reso2A
A 5