HomeMy WebLinkAboutR&R Corp Sys - dba Capital Sanitation 1998'~+
FRANCHISE AGREEMENT
RESIDENTIAL SOLID WASTE COLLECTION SERVICES
This agreement, made this 11th day of June, 1998, by and
between R & R Corporate Systems, Inc.,/d/b/a Capital Sanitation,
(hereinafter referred to as the "Contractor")and the City of
Sebastian, Indian River County, Florida, (hereinafter referred to
as the "City") ;
WHEREAS, the City Council of the City of Sebastian, Florida,
has determined that it is in the best interest of the City to grant
a solid waste collection franchise to an independent solid waste
collection service; and
WHEREAS, the City has, through acceptance of public request
for proposal determined that R & R Corporate Systems, Inc., d/b/a
Capital Sanitation will provide the required service in the City of
Sebastian for a variety of factors, including costs; and
WHEREAS, the City Council has determined that the best
interest of the citizens of the City of Sebastian will be served by
granting an exclusive franchise to R & R Corporate Systems, Inc.,
d/b/a Capital Sanitation or the purpose of residential solid waste
collection services.
NOW THEREFORE, IT IS AGREED BY THE CONTRACTOR AND THE CITY A5
FOLLOWS:
Section 1. GRANTIP:G OF FRANCHISE.
R& R Corporate Systems,Inc.,d/b/a Capital Sanitation ("Contractor")
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is granted the exclusive right, privilege, and/or franchise to
operate upon, over and across the streets, alleys, bridges, and
other public thoroughfares of the City of Sebastian (the "City")
for the purpose of collecting, removing and disposing of solid
waste material from residential customers in the City of Sebastian
subject to the terms, conditions and exceptions herein.
Section 2. DEFINITIONS.
A. Biohazardous, Biomedical, and Infectious Waste: means
those wastes which may cause disease or reasonably be suspected of
harboring pathogenic organisms; included, but not limited to, waste
from the operation of medical clinics, hospitals, and other
facilities producing waste which may consist of, but are not
limited to, diseased human and animal parts, contaminated bandages,
pathological specimens, hypodermic needles, contaminated clothing
and surgical gloves.
B. City: means the City of Sebastian, Florida.
C. City Manager: means the City Manager of the City of
Sebastian, Florida or his designee.
D. Contractor: the word "contractor" refers to R&R Corporate
Systems, Inc., d/b/a Capital Sanitation.
E. Cover: means any device, equipment, tarpaulin, chain,
rope, wire or line used on vehicles to prevent the contents, or any
par of such vehicles' load, from sifting, blowing. leaking, falling
or otherwise being discharged, disbursed or escaping from such
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vehicles.
F. Curbside: the word "curbside" is defined as that portion
of the street right-of-way paralleling any public thoroughfare
between the curb line and abutting property line. If a ditch
bisects the property and thoroughfare, the curbside then becomes
the roadside of the ditch.
G. Disposal: means the discharge, deposit, injection,
dumping, burying, spilling, scattering, leaking, storing or placing
of any solid waste into or upon any land or water so that such
solid waste or any constituent thereof may enter other lands or be
emitted into the air, discharged into any waters, including
groundwaters, or otherwise enter the environment, except as
specifically authorized by the City.
H. Dump: means to throw, discard, place, deposit, dispose
or bury any solid waste into or upon any land or water, except as
specifically authorized by the City.
I. Garbage: the word "garbage" shall mean every refuse
accumulation of animal, fruit or vegetable matter that attends the
preparation, use, cooking and dealing in or storage of edibles,
which is subject to decay, putrefaction and the generation of
noxious or offensive gases or odors, or which, during or after
decay, may serve as breeding or feeding material for flies or other
germ-carrying insects.
J. Garbage Can or Receptacle: the words "garbage can" or
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"receptacle" shall mean a container of not greater than thirty-
five (35) gallon capacity which shall be free of jagged or sharp
edges and shall be watertight and of impervious material, provided
with tight-fitting cover suitable to protect the contents from
flies, insects, rats and other animals, fitted with two handles by
which it may be lifted, and which shall not have any inside
structure, such as inside bands or reinforcing angles, or anything
within that would prevent the free discharge of the contents. Such
"receptacle" may also be a waterproof bag liner, which can be
safely and securely closed, and which is a type approved by the
collector and the city.
K. Hazardous Waste: the words "hazardous waste" shall
be defined as hazardous under the Resource Conservation and
Recovery Act, 42 U.S.C. X1002, as amended, or regulated as toxic
under the Toxic Substances Control Act, 15 U.S.C. X2601, as
amended, or under regulations promulgated thereunder or defined as
hazardous under the Florida Administrative Code Chapter 17-730 or
any other applicable state or local law or regulation.
L. Litter: means any solid waste identified as garbage,
can, bottle, box, container, paper, tobacco product, tire,
appliance; mechanical equipment or part, construction or demolition
material, tool, machinery, wood, motor vehicle or motor vehicle
part, vessel, aircraft, farm machinery or equipment, sludge from a
waste treatment facility, water supply treatment plant, or air
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pollution control facility, or substance in any form resulting from
domestic, industrial, commercial, mining agricultural or
governmental operations.
M. Residential: the word "residential" shall mean and
include all "residential customers," consisting of single family
homes, multi-family units, individual mobile homes and other living
units. Multi-family units and mobile home parks with centralized
collection facilities, i.e., dumpsters, etc., and collection
containers in excess of three (3) cubic yards are considered
commercial service and not covered under this Agreement.
N. Residential Improved Real Property: means all improved
real property used for either a multifamily residence, or a single
family residence, including mobile home parks.
O. Single-Family Residence: means any building or structure
designed or constructed for and capable of use as a residence for
one family regardless of the type of structure. Such term includes
a mobile home or trailer erected on a parcel of property owned and
offered for sale under the condominium concept of ownership or on
a separate parcel of property not included within the definition of
mobile home park.
P. Sludge: means a solid or semi-solid, or liquid generated
from any waste water treatment plan, water supply treatment plant,
air pollution control facility, septic tank, grease trap, portable
toilets and related operations, or any other such waste having
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similar characteristics or effects.
Q. Solid waste: the words "solid waste" shall be a general
term which includes the specific terms garbage, trash, and
household junk, but which does not include hazardous waste,
industrial or special waste.
R. Special waste: shall include automobiles, boats, internal
combustion engines, non-automobile tires, Sludge, dead animals,
septic tank waste, Biohazardous or Biomedical Waste, liquid waste,
and Hazardous Waste. Special Waste may also include items
determined by the City Manager to be reasonably unmanageable.
S. Trash: accumulation of lawn, grass, or shrubbery
cuttings, or clippings and dry leaf rakings, palm fronds, small
tree branches, (shall not exceed four (4) feet in length and four
(4) inches diameter), bushes, or shrubs, green leaf cuttings,
coconuts, fruits, or other matter usually created as refuse in the
care of lawns and yards.
T. White Goods: means any inoperative and discarded
refrigerators, ranges, washers, water heaters, and other similar
domestic and commercial appliances.
~ect~on 3. TERM.
The term of this franchise shall be for a period of five (5)
years from the effective date.
Section 4. NON - MANDATORY SERVICE.
Each residential customer within the City shall be
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provided with solid waste pick-up and removal services, if they so
desire said services. The residential customer may decline the
offer of solid waste pick-up and removal services; and they shall
not be charged for same. Industrial waste and special waste
accounts shall be serviced only upon the execution of individual
agreements between collector and the customer. The collector shall
be deemed to have obtain title to conforming solid waste at the
time it is collected.
Section 5. DESCRIPTION OF SERVICES.
5.1 Contractor shall provide exclusive residential solid
waste collection services within the City limits of the City of
Sebastian. The contract must include all specified services; no
partial or split service will be permitted. The contractor will be
responsible for both the billing and collection of solid waste fees
and has the right to discontinue services to customers for
non-payment.
5.2 It is the responsibility of the contractor to become
familiar with and to determine the nature and conditions affecting
the collection and disposal of residential solid waste in the City
of Sebastian. The contractor is responsible for determining the
impact and complying with the Florida Solid Waste Management Act.
5.3 The contractor shall provide at his/her own expense, all
labor, insurance, supervision, machinery and equipment, plant
building, trucks and any other tools, equipment, accessories and
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things necessary to maintain the standard of collections and
disposal set forth herein.
5.4 The contractor shall conduct his/her work in such a
manner as to avoid damage to adjacent private or public property
and shall operate with due care in the vicinity of such utilities,
and shall immediately repair or have repaired, at no additional
cost to the owner, any breakage or damage caused by its operation.
The contractor shall immediately notify the Public Works Director
of such damage and shall advise of corrective action taken or to be
taken.
5.5 The contractor shall not litter or cause any spillage to
occur upon the premises or the rights-of-way wherein the collection
shall occur. The contractor may refuse to collect any solid waste
that has not been placed in a garbage can or receptacle as provided
herein, and shall provide the proper notification to the property
owner specifying corrective action. During hauling, all solid
waste shall be contained, tied, or enclosed so that leaking,
spilling, and blowing is prevented. In the event of any spillage
caused by the contractor, the contractor shall promptly clean up
all spillage.
5.6 All solid waste shall be hauled to those sites or
facilities maintained by the county, or other approved facilities
within Indian River County.
5.7 The additional quantity of refuse generated by the
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influx of seasonal visitors and residents will not be a
justification for the contractor to fail to maintain the required
collection schedules, routes and levels of services.
5.8 This Franchise Agreement does not create a mandatory
trash collection service for all City residents.
Section 6. RESIDENTIAL COLLECTION SERVICE.
6.1 The contractor shall have the exclusive right to collect
and .dispose of all solid waste, except infectious waste, hazardous
waste, biohazardous waste, biological waste special waste and
sludge, from all Residential Customers. Residential Customers
consist of single family homes, multi-family units, individual
mobile homes and other living units. Multi-family units and Mobile
Home Parks with centralized collection facilities, i.e., dumpsters,
etc., and collection containers in excess of three (3) cubic yards
are considered commercial service and not covered under this
Agreement.
6.2 The contractor shall collect solid waste from places of
residence within the contract collection area at least two (2)
times per week, with collections at least three (3) days apart. In
addition to the solid waste collection, yard trash pickups will be
made on one specified and published day per week. All yard trash
must be bundled or in reusable containers, not to exceed 50 pounds
each. Grass clippings and small branches, etc., must be in
biodegradable paper bags or other reusable containers. Yard trash
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contained in plastic bags will not be picked up. Yard trash must
be separated from all other refuse. Household furniture need not be
containerized and will be picked up with regular trash collection
service. White Goods (as defined in Section 2.T. herein on page
6,)will be picked up by a carrier chosen by Indian River County, at
no additional charge, completely separate and apart from this
Franchise Agreement. White Goods will be picked up on a one (1)week
on call basis, as per Indian River County Agreement, with its
contractor, or as hereafter may be amended, and must be recycled at
the appropriate locations. The contractor shall assist its
customer(s) in securing such services if requested, however, is not
responsible for the accomplishment of said services, and is held
harmless for the same.
6.3 Collection shall begin no earlier than 7:00 a.m., and
shall cease no later than 6:00 p.m., Monday through Friday. In the
case of an emergency, collection may be permitted at times not
allowed by this paragraph, provided the contractor has received
prior approval from the City Manager or his/her designee, to be
later evidenced by a written memorandum confirming the approval.
No collection shall occur on Sundays or holidays except in a time
of emergency. Special pickups may be requested by customers at
additional cost which shall be billed by the contractor.
6.4 Collections of residential waste shall be at curbside or
right-of-way. In the event an appropriate location cannot be
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agreed upon, the City Manager shall designate the location. Any
costs associated with identification of contractor's customers is
to be borne solely by the contractor. Such identification may be
in a form of stickers or other medium affixed to the trash
receptacles, etc., or other form of identification but not to
exceed 5" X 7" in size.
6.5 The contractor shall be required to pick up all
residential refuse which has been properly prepared and stored for
collection. All garbage, ashes, and rubbish shall be placed in a
garbage can not larger than 35 gallons, or in such other approved
receptacle and shall be placed at curbside or at such other single
collection points as may be agreed upon by the contractor and the
customer. In view of the fact that certain residents are elderly
and/or disabled persons, special pickup service for garbage only,
at the back door, for such residents, shall be provided. There is
no minimum or maximum distance from the curb to the back door for
this service. A place will be provided on the bid form to permit
the contractor to list his price for this special service. The
requirements for such service will be determined by the City
Manager, and such service will commence upon receipt by the
contractor of notification by the City Manager.
6.6 The contractor shall make collections with a minimum of
noise and disturbance to the householder. Any garbage or trash
spilled by the contractor shall be picked up immediately. Garbage
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cans or receptacles shall be handled carefully by the contractor,
shall not be bent or otherwise abused, and shall be thoroughly
emptied and then left at the proper point of collection.
6.7 The contractor shall collect trash from normal
maintenance of vacant lots which are tied to the principal
residence by means of unity of title in the same manner as the
collection from residences on single lots. It will not be the
responsibility of the Contractor to remove trash resulting from
clearing property for building purposes. If it is the practice of
the area residents to place their yard trash or solid waste
curbside on the vacant lot, that waste shall also be collected in
the same manner as the collection from the residence.
Section 7. SCHEDULES, ROUTES, STORMS AND HOLIDAYS.
7.1 The contractor shall provide the City with schedules for
all collection routes and keep such information current at all
times. The City Manager shall approve all collection routes. If
any change in the collection routes occurs, then the City shall be
immediately notified in writing. The City Manager shall approve
all permanent changes in routes or schedules. Upon approval of the
routes by the City Manager, the contractor shall publish in a
newspaper of general circulation in Indian River County at least
seven (7) days prior to the effective date of such route or
schedule changes. The cost of publication shall be borne solely by
the contractor. In addition the contractor shall be responsible
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for advertising all route and collection information in a newspaper
of general circulation in Indian River County at least twice per
year, on or about the 1st of April and the 1st of October of
each year, the cost of which is to be borne solely by the
contractor.
7.2 In case of a storm or hurricane, the City Manager or
his/her designee may grant the contractor reasonable variance from
regular schedules and routes. As soon as practicable after such
storm, the contractor shall advise the City Manager and the
customer of the estimated time required before regular schedules
and routes can be resumed. In the case of a storm where it is
necessary for the contractor and the City to acquire additional
equipment and to hire extra crews to clean the City of debris and
refuse resulting from the storm, the contractor shall be required
to work with the City in all possible ways for the efficient and
rapid cleanup of the City. The contractor shall receive extra
compensation above the Contract Agreement for additional labor,
overtime, and cost of rental equipment, provided he has first
secured prior written authorization from the City Manager or
his/her designee. The total cost for such service shall be based
on rates jointly agreed to in advance by the City Manager or
his/her designee and the contractor. In the event of such storm or
hurricane emergency, the City reserves the right to assign route or
pick-up priorities as deemed necessary by the City Manager.
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7.3 The City agrees to exempt residential collection from
the normal collection schedule on the following holidays: New
Year's Day, Independence Day, Labor Day, Thanksgiving Day and
Christmas Day. These holidays will be indicated in the initial
public notice to customers in a local newspaper of general
circulation. The contractor will be excused from trash pickup
these days and will not be required to make up the lost pickup day.
The Contractor will reduce the customer's monthly bill for any
lost pick up days which a customer may suffer.
7.4 The contractor shall have on hand at all times and in
good working order such equipment as shall permit the contractor to
adequately and efficiently perform its contractual duties. The
equipment shall be of the enclosed loader packer type and all
equipment shall be kept in good repair, appearance, and in a
sanitary and clean condition at all times.
sP~tion 8. OTHER PROVISIONS.
8.1 The contractor shall comply with all applicable City,
State and Federal laws as to wages, hours, and all other applicable
laws relating to the employment or protection of employees, now and
hereafter in effect.
8.2 The contractor is required and hereby agrees by execution
of this Franchise Agreement to pay all employees not less than the
federal minimum wage and to abide by other requirements as
established by the Congress of the United States in the Fair Labor
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Standard Act as amended and changed from time to time.
8.3 No person shall be denied employment by the contractor
for reasons of race, sex, national origin, creed, age, or
religion.
8.4 Contract unit price will remain firm for the first
twenty-four (24) months of the Contract Term. The unit price for
ensuing Contract years, upon a formal request filed by the
Contractor shall be negotiated by the City Manager. Any increase
in prices for ensuing years shall not exceed the percentage of
movement of the United States Department of Labor, Consumer Price
Index most recent printing at the beginning of each contract year.
All rate adjustments shall be subject to the approval of the City
Council by resolution.
8.5 The contractor shall pay the City of Sebastian a gross
receipts franchise fee, according to the schedule set forth in
Section 9 of this Ordinance, and agrees all contractor's records
will be available for inspection with reasonable notice and during
regular business hours, to support the franchise fee. This
franchise fee will be six percent (6~) of the contractor's gross
receipts. The approved rate as set forth in Section 10 of the
Ordinance shall reflect the total rate to the customer without
adjustment for the franchise fee.
8.6 The contractor shall perform a service of high quality
and keep the number of legitimate complaints to a minimum. In
order that the City may be informed of the quality of service, the
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contractor agrees to maintain a record. of all complaints for
inspection by the City. The contractor agrees to furnish a monthly
report listing the name and address of each person complaining, the
nature of the complaint, and the disposition of each complaint. All
complaints whether received in person, by mail or telephone, shall
be recorded in triplicate, one (1) copy to go to the City and two
(2) copies to be retained by the contractor. Complaints received
before 12:00 noon each day shall be serviced by 6:00 P.M. that day.
Complaints received after 12:00 noon shall be serviced before 12:00
noon the following calendar day. For each month in which the number
of legitimate complaints reaches ten (10) or more for any cause the
City shall be entitled to claim liquidated damages of Ten Dollars
($10.00) per complaint. Each complaint shall be considered
legitimate unless satisfactory disposition of the complaint is
furnished. The decision of the City Manager as to the legitimacy
of any complaint shall be considered final. The failure of the
contractor to resolve customer complaints without valid cause is
considered a material breach of this Franchise Agreement and may
subject the contractor to the cancellation of the Agreement.
8.7 Prior to the effective date of this agreement, the
contractor shall obtain, at his/her own expense, all permits and
licenses required by law or Ordinance and maintain the same in full
force and effect.
8.8 Upon the City's acceptance of this Franchise Agreement,
the contractor shall notify the general public and all residential
service customers that the contractor will be providing exclusive
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trash pickup services within the City of Sebastian. Contractor
shall supply necessary information to begin service to prospective
customers, and shall publish the days of pickup, holidays when no
service will be provided, general rate structure, and general
information to provide a smooth transition from the current service
to the new exclusive service. Such notice shall: be in a local
newspaper of general circulation in Indian River County,. twice
prior to beginning services, and once in each of two consecutive
months after service begins.
8.9
A. The contractor shall furnish to the City evidence of
insurance coverage for all insurance required under the provisions
of this section of this Agreement immediately upon the execution of
this Agreement by the parties. Failure of the contractor to
maintain said insurance at any time during the term of this
Agreement by the contractor, shall be construed to be a material
breach of the Agreement by the contractor.
B. The contractor shall provide and maintain during the term
of this Agreement such worker's compensation insurance as required
by law for all of its employees employed in connection with the
performance of the work provided for under this Agreement.
C. The contractor agrees to indemnify and save harmless the
City from any and all liability, claims, damages, losses, expenses,
proceedings and causes of action of every kind and nature arising
out of or connected with the performance of his duties provided for
under this Agreement. The contractor further agrees to, at its own
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expense, defend any and all actions, suits or proceedings which may
be brought against the City in connection with the performance of
its duties under this Agreement and to satisfy, pay and discharge
any and all judgments that may be entered against the City in any
such action or proceedings.
The contractor agrees to provide and maintain at all times
during the terra of this Agreement, without cost or expense to the
City, policies of insurance generally known as "public liability
policies," insuring the contractor against any and all claims,
demands or causes of action whatsoever for injuries received or
damage to property relating to the performance of the duties of the
contractor under the terms and provisions of this Agreement. Such
policies of insurance shall insure the contractor in an amount not
less than One Million Dollars ($1,000,000.00) to cover any and all
claims connected with any accident or occurrence that may arise or
be claimed to have arisen against the contractor. The contractor
shall also obtain property damage insurance insuring the contractor
in an amount not less than Three Hundred Thousand Dollars
($300,000.00) to cover the claims of any person or persons from a
single or specific act that results in alleged damage to property.
The contractor agrees to provide and maintain at all times under
this Agreement motor vehicle public liability insurance in an
amount of not less than One Million Dollars ($1,000,000.00) to
cover the claims of one person, and One Million ($1,000,000.00) per
incident.
Said insurance policies shall provide that the City shall be
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entitled to thirty (30) days written notice of any changes or
cancellations in said policies. A certificate of insurance
indicating that the contractor has coverage in accordance with the
requirements of this Agreement shall be furnished by the contractor
to the City Manager within ten (10) days from the date of execution
of this Agreement.
8.10 The company will maintain and operate its residential
trash collection service in accordance with the laws of the State
of Florida, Federal laws, including OSHA Federal Regulations, and
the rules, regulations, and Franchise Ordinances as are or may be
set forth by the Council from time to time. Failure of the
contractor to promptly and faithfully keep, perform, and abide by
each and all of the terms and conditions of the franchise and rules
and regulations as set forth by Council shall constitute a
violation of the Franchise Agreement and may be terminated by the
City as specified in the Franchise Agreement.
8.11 Access to Company Records. The City shall have access
at all reasonable hours to all of the Company's contracts,
accounting, financial, statistical, consumer, and service records
relating to the operation of the Company and to all other records
required to be kept by the Company, and the Company shall file such
accounting reports and data with the City when required.
8.12 The contractor may be held in default of the Agreement
in the event the contractor:
(1) Fails to perform the collections required by this
Agreement and appears, to the City Manager, to have
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abandoned the work, or to be unable to resume performance
within forty-eight (48) hours; or
(2) Has failed on three (3) or more occasions of three (3)
working days duration in any year, to perform the
collections required by the Agreement; or
(3) Repeatedly neglects, fails, or refuses to comply with any
of the material terms of the Agreement, after having
received notice of its obligation to so comply.
Proceedings under this section are in addition to the remedies
described in Section 8.4 for the breach of their respective
requirements.
To initiate proceedings under this section, the City Manager
shall first request the City Council to declare the contractor in
default.
Within three (3) working days after its receipt of such a
request, the City shall give notice to the contractor, its surety,
and the City Manager of the location, time, and date within the
following seven calendar days of a public hearing at which the
contractor may show cause why it should not be declared in default.
In the event the contractor fails to show, to the satisfaction of
the City, cause why the contractor should not be declared to be in
default, the City Council shall make such declaration.
In declaring the contractor to have defaulted on the
Agreement, the City may also order the contractor to discontinue
further performance of work under the contract and transfer the
obligation to perform such work from the contractor to the Surety
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on the contractor's performance bond and take any other action it
deems advisable.
8.13 SECURITY FUND (fund)
The contractor shall establish a permanent security fund with
the City by depositing the amount of two thousand five hundred
dollars ($2,500.00), with the City in cash, an unconditional letter
of credit, or other instrument acceptable to the City, which fund
shall be maintained at the sole expense of the contractor. The
balance in the fund shall be released back to the contractor upon
termination of the Franchise Agreement..
(a) The fund shall serve as security for the full and
complete performance of the Franchise Agreement,
including any cost, expenses, damages or loss the City
pays or incurs because of any failure attributable to the
contractor to comply with the codes, rules, regulations
of the City.
(b) Before any sums are withdrawn from the fund, the
City. shall give written notice to the contractor:
(1) describing the act, default or failure to be
remedied, or the damages, cost or expenses which
the City has incurred by reason of grantee's act or
default;
(2) providing reasonable opportunity for
contractor to first remedy the existing or ongoing
default or failure, if applicable;
(3) providing a reasonable opportunity for the
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contractor to pay any monies due the City before
the City withdraws the amount thereof from the
fund, if applicable;
(4) that the contractor will be given an
opportunity to review the act, default or failure
described in the notice with the City Manager.
( c) Contractor shall replenish the security fund within
fourteen (14) days after written notice from the City
that there is a deficiency in the amount of the fund.
8.14 PERFORMANCE BOND
The contractor shall provide a contractor's performance
and payment bond in the amount of Seventy Thousand Dollars
($70,000.00) with a surety company acceptable to the City as
surety, which bond shall be conditioned that such contractor shall
faithfully perform all of the provisions of this Agreement and pay
all laborers, mechanics, subcontractors, materialmen, and all
persons who shall supply such contractor or subcontractors with
provisions and supplies for the performance of this Agreement; and
shall perform work or services, or furnish material to any
subcontractor, shall have the same right under the provisions of
such bond as if such works, services or material was furnished to
the original contractor, and shall contain appropriate recitations;
(1) that is issued pursuant to this section of this Agreement; and
(2) that any condition or limitation in such bond which is in
conflict with the conditions and requirements of this section is
void.
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In lieu of the Performance Bond required herein the contractor
may enter into an Agreement with the City, drafted to the
satisfaction and approval of the City Attorney and the City
Manager, that the contractor shall make a deposit to an escrow
account in a bank approved by the City, in cash or in negotiable
government securities equal at all times in market value to the
face amount of the bonds. Such Agreement shall provide that the
cash or negotiable securities may be claimed by the City Manager,
under the same circumstances as provided for use of the Performance
Bond. The bond or the cash or security deposit shall remain in
effect for the initial term of the Agreement, and for the renewal
period.
8.15 Upon receipt of a notice that the work has been
transferred to the surety with termination of the Agreement, the
surety shall take possession of all materials and equipment
described in the most recent inventory submitted to the City
Manager pursuant to Section 8.17 of the Agreement, for the purpose
of completing the work under the Agreement; employ, by contract or
otherwise, any person and all persons needed to perform the work;
and provide materials and equipment required therefore. Such
employment shall not relieve the surety of its obligations under
the Agreement and the bond. If there is a transfer to the surety,
payments shall be made to the surety or its agent for all work
performed under the Agreement subsequent to such transfer, in
amounts equal to those that would have been made to the contractor
had it performed in the manner and to the extent of the surety's
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performance and the contractor shall have no claim upon the same.
In the event the surety on the contractor's performance bond
fails to assume or continue performances within forty-eight (48)
hours after its receipt of notice that the work has been
transferred to such surety, the contractor shall lease, sublease or
otherwise license the City to use all, or whatever portion is
desired by the City, of the materials and equipment described on
the most recent inventory submitted to the City Manager pursuant to
Section 8.17 of the Agreement, for collection purposes for a period
of up to six (6) months following the date of the declaration of
default by the City Council without requiring the City to execute
any other document whatsoever to accomplish such lease, sublease or
license and without requiring the City to post any bond, pledge,
deposit or other security for such equipment and materials, but
upon the condition that the City pay for the equipment and
materials actually used for such collection a market rental that is
not greater than the monthly lease, in the event such property is
leased by the contractor; the periodic installment in the event
such property is being acquired under a purchase contract; or the
periodic interest and principal, in the event such property is
being acquired under a financing arrangement; provided that under
no circumstances shall the City be liable during its use of such
property for any arrearages, balloon payment, accrued interest,
accelerated charges in the event of a default or other
extraordinary payment; nor shall the satisfaction thereof be a
condition of the City's interim use of such property; provided
24
further that such lease, sublease or license shall be suspended on
the date the ;surety on the contractor's bond or its agent accepts
the transfer of work under the Agreement.
In the event the City secures the performance of work under
the Agreement at a lesser cost than would have been payable to the
contractor had the contractor performed the same, the City shall
retain such difference; but in the event such cost to the City is
greater, the contractor and its surety shall be liable for and pay
the amount of such excess to the City.
All payments due the contractor at the time of default, less
amounts due the City from the contractor; shall be applied by the
City against damages suffered and expense incurred by the City by
reason of such default; any excess shall be paid to the contractor
except as provided in the Agreement.
Notwithstanding the provisions of this section, a delay or
interruption in the performance of all or any part of the Agreement
resulting from changes ordered in the work, from labor disputes, or
from other causes beyond the contractor's control, shall not ~e
deemed to be a default and the rights and remedies of the City
provided for herein shall not be applicable.
8.16 If the contractor fails to be at work at the time
specified, persistently disregards laws, ordinances or instructions
of the City Manager, or repeatedly fails to provide sufficient
reserve workmen and equipment to insure the proper completion of
the residential work by 6:00 P.M. each day, or performs the work
unsatisfactorily or fails to collect refuse on a regular schedule,
25
or discontinues the prosecution of the work without authorization
by the City, or becomes insolvent or declares bankruptcy or commits
any act of bankruptcy or insolvency, or allows final judgment
rising out of performance of the Agreement to stand against it
unsatisfied for a period of ten (10) days, the City will consider
such action a breach of Agreement and give notice, in writing by
registered mail, to the contractor and its surety. of such breach.
If the contractor or its surety, within ten (10) days after
such notices, does not proceed to take over and complete the work
under the orders of the City Manager, then the City Manager,
because of the breach of Agreement, shall have full power and
authority, without violating the Agreement or bond to take over the
completion of said Agreement according to the terms and provisions
thereof, or to use such other methods as in his opinion may be
required for the completion of said Agreement in an acceptable
manner. Furthermore, after the issuance by the City of its notice
of intention to terminate the Agreement, the contractor shall not
remove from its normal, daily workplace any of the equipment listed
on the inventory approved by the City Manager in accordance with
Section 8.17 of this Agreement until arrangements to continue the
work, by Agreement, by surety, or otherwise, have been completed by
the City.
For all costs, charges and damages incurred by the City,
together with the costs of completing the work, the contractor and
its surety shall be liable, and such costs may be deducted from any
monies due or which may become due the contractor. Should the City
26
incur any attorney's fees to seek enforcement of any of the
provisions in this Agreement and prevails, the contractor and its
surety shall be liable for those fees, and such expense may be
deducted from any monies due or which may become due to the
contractor. In case the expense incurred by the City is less than
the sum which would have been payable under the Agreement if it had
been completed by the contractor, then the contractor and its
surety shall be liable and shall pay the City the amount of said
excess.
8.17
A. The contractor shall provide sufficient equipment to
maintain regular schedules of collection and to promptly and
efficiently perform its duties under this Agreement. The contractor
shall provide to the City Manager, prior to the start of work under
this Agreement, an inventory showing each type of vehicle (type,
capacity, approximate age) used for performing work under this
Agreement. The City Manager shall have the authority to inspect
the vehicles on such inventory list and reject an unsuitable
replacement. The contractor shall attach to such inventory a copy
of each contract, lease, or other document that encumbers or limits
the contractor's interests in such property. The contractor may
change equipment from time to time and shall revise the inventory
and the attachments thereto, accordingly; however, in no event
shall the number of vehicles be less than the number of vehicles
shown on the inventory provided prior to start of work under this
Agreement. The contractor shall maintain a vehicular fleet during
27
the performance of work under this Agreement at least equal to that
described in the inventory.
The contractor shall describe on an attachment to the required
inventory the service yards or contracts to be used in maintaining
vehicles and equipment. The contractor shall give notice to the
City Manager as to any material changes that might affect the
performance of work under this Agreement immediately after becoming
aware of the same and shall make suitable remedial arrangements
when needed.
B. Equipment is to be maintained in a reasonably clean and
safe working condition and be painted uniformly according to
standards maintained from time to time by the City Manager.
Equipment shall contain the name of the contractor and the truck
number or code established by the City Manager printed in letters
not less than three (3) inches high on each side of the vehicles.
A record shall be kept of the vehicle to which each number is
assigned. No advertising shall be permitted on the vehicles.
Each vehicle used for the collection of solid waste shall not
exceed ten (10) years in age at any point and time during the
Agreement term, unless satisfactory proof is submitted showing
substantial refurbishment of said vehicle(s) which would
effectively bring the vehicle(s) to within ten (10) years old or
less standards, as determined by the City Manager, shall have a
fully enclosed, metal top and shall be watertight to a depth of not
less than (12) inches and shall contain metal sides, and use
pneumatic tires. However, the City Manager shall have the authority
28
to waive the requirement of a fully enclosed, metal top in the
event of an emergency. As an alternative .to a fully enclosed metal
top for use in garden trash collection, said vehicle may be
equipped with a cover which may be a net with mesh not greater than
one and one-half (~. ~) inches, or tarpaulin, and such cover shall
be kept. in good mechanical order and used to cover the load in
traveling to, from and during the loading operation or when parked
if the contents are likely to be scattered if not covered.
Vehicles shall not be overloaded so as to scatter solid waste,
but when solid waste is scattered from a contractor's' vehicle for
any reason, it shall be the responsibility of the contractor to
immediately pick up such scattered solid waste. Each truck shall
be equipped at all times with a shovel and a broom for the
collection of spilled refuse.
Vehicles are to be washed thoroughly on the inside and
sanitized with a suitable disinfectant and deodorant, once weekly,
~ at such times as established by the City Manager from time to
time in order to be maintained in a clean and sanitary condition
and all vehicles are to be washed on the outside at least weekly.
The contractor's vehicles are not to interfere unduly with
vehicular or pedestrian traffic and vehicles are not to be left
standing on streets and alleys unattended.
8.18 The following acts or omissions shall be considered a
breach of the Agreement and for the purpose of computing damages
under the provisions of this Section, it is agreed that the City
Manager may obtain from the contractor, the following amounts as
29
liquidated damages, and or obtain from the security fund as
stipulated in Section 8.13 herein:
1. Collection of residential solid waste prior to 7:00 A.M.
or after 6:00 P.M., unless specifically exempted by the
City Manager.
$5.00 each case.
2. Legitimate Complaints - Section 8.6 (Over ten (10) per
month).
$10.00 each additional legitimate complaint.
[,See Section 8.6 ]
3. Failure to clean vehicles and maintain in good working
condition.
$24.00 each vehicle [See Section 8.17 ]
4. Failure to keep vehicles closed or covered to prevent
scattering of solid waste from the vehicle, unless
specifically exempted by the City Manager.
$25.00 each vehicle [See Section 8.17 ]
5. Loaded vehicles left standing on the street
unnecessarily.
$25.00 each vehicle. [See Section 8.17]
6. Failure to maintain
requirement of this
and the City.
$25.00 per violatio
7. Failure to respond
schedule established and given as a
Agree~ent, in writing to the public
n of route schedule .
[See Section 7.1]
to complaints as required by this
30
agreement.
[See Section 8.6]
8.19 No assignment or subletting of all or any portion of the
work under this Agreement shall be permitted except with the
written approval of the City. The contractor alone, subject to the
provisions of its performance bond, shall be held responsible for
the full and faithful performance of this Agreement.
8.20 The contractor shall be listed in the BellSouth
telephone book which is distributed in the City of Sebastian. Said
listing shall provide a toll free number where its customer's may
call emergency and complaint calls during the entire week. The
contractor shall display this number in a prominent place on all
invoices or billing to its customer. In addition, the contractor
shall designate a representative for emergency and complaint calls
twenty-four (24) hours per day during the entire week. The
contractor shall provide, at its own expense, a suitable office
located within the City of Sebastian.
Section 9. PAYMENTS TO CITY.
Beginning with the effective date of this Agreement,
pursuant to Section 8.5 of this Ordinance, the contractor shall pay
to the City, within thirty (30) days of each preceding billing
period, an amount equal to six percent (6$) of the contractor's
gross receipts for the preceding billing period. Failure to remit
the required payment to the City shall be cause for termination of
this franchise.
Section 10. RATE.
31
The rates charged by the contractor for the services
hereunder shall be fair and reasonable and designed to meet all
necessary costs of the service, including a fair, greater return on
the net valuation of its properties devoted under efficient and
economical management. The company agrees that it shall be subject
to all authority now or hereafter possessed by the City or any
other regulatory body having competent jurisdiction to affix,
adjust, reasonable and compensatory rates. When this franchise
takes effect, the company shall have authority to charge and
collect, not to exceed the following schedule of rates which shall
remain effective until changed or modified as herein provided, to
wit:
Monthly Garbage Rates: Monthly garbage rates shall be $8.10
per month, per residential customer, and $8.10 for special pick-up
for disabled residents, per month, per residence, as specified
herein. The rate specified above is the rate charged to the
customer(s), and does not include adjustment for the six (6)
percent franchise fee.
Section 11. FORFEITORE.
The failure on the part of the contractor to comply in
any substantial respect with any of the provisions of this
Ordinance, shall be grounds for forfeiture of this Grant.
Section 12. ATTORNEY FEES.
Should it become necessary for the City to initiate legal
or other proceedings to enforce the terms of this Agreement, the
prevailing party shall be entitled to recovery of reasonable costs
32
• • Y
and attorney's fees.
Section 13. EFFECTIVE DATE.
This Agreement shall beocme effective on Jul 1, 1998.
The contractor, by and through its authorized agent,
hereby acknowledges that it has read all terms, provisions, and
conditions as set forth herein. The undersigned further
acknowledges that it is sophisticated in the matters set forth in
this contract and has had full opportunity to review, and seek
independent legal advice with regard to all matters set forth
herein. Accordingly, the contractor hereby accepts and agrees to
all terms set forth in this Agreement.
IN WITNESS WHEREOF, the parties hereto have caused these
presents to be executed, the day and year first above written.
---------------------------- CITY ------------------------------
ATT
~_~~
Sally t? . aia
CMC ~~puty Ci}y Clerk
THE CITY OF SEBASTIAN
By:
Name: Thomas W. Frame
Title: City Manager
(SEAL)
Approved to form and content:
~.
Valerie F. Settles, City Attorney
---------------------------- CONTRACTOR -------------------------
Signed, sealed and delivered
33
..
;- ~.
in the presence of:
1
NAME : ~~ ~~ ~~ t ~
„SILLSt a 1.• Sm~'m
NAME:
~osG C.. ~.~GBy
tSEAL)
Ronald Rigby,
R&R Corporate
d/b/a Capital
By:
Name
Vice President
Systems, Inc.,
Sanitation
Title: ~c~~~~ l~v, P(~s~c~.a~
34