CC Resolution No. 17-121 Authorizing a Second Amendment to the Franchise Agreement with Recology Cupertino for the Collection and Processing of Recyclable and Compostable Materials, and the Collection and Disposal ofRESOLUTION NO. 17-121
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CUPERTINO
AUTHORIZING A SECOND AMENDMENT TO THE FRANCHISE AGREEMENT
WITH RECOLOGY CUPERTINO FOR THE COLLECTION AND PROCESSING OF
RECYCLABLE AND COMPOST ABLE MATERIALS, AND THE COLLECTION
AND DISPOSAL OF GARBAGE
WHEREAS, the City of Cupertino, with the approval of the City Council, entered
into a franchise agreement with Recology for the collection and processing of recyclable
and compostable materials, and the collection and disposal of garbage, for a term of 5
years from November 1, 2010 through October 31, 2015; and
WHEREAS, the City Council authorized the first amendment to the Recology
Franchise Agreement on September 2, 2014 which extended its term to January 31, 2019;
and
WHEREAS, the City Council desires to amend the Recology Agreement a second
time to modify its terms, extend the contract term for two years through January 31, 2021,
and authorize a payment of $5,365 to Recology Cupertino from the Resource Recovery
fund 520-81-801 to cover additional costs to process commercial organic materials
collected in calendar year 2016, in accordance with staff's recommendations and the
findings included in the Council report for this item;
NOW, THEREFORE, BE IT RESOLVED, that the City Council hereby approves the
amendment to the Recology Franchise Agreement in accordance with the terms of this
Resolution and staff's recommendations included in the Council report;
BE IT FURTHER RESOLVED, that the City Manager or his designee is authorized
to execute the amendment to the Recology Franchise Agreement, and to take all steps
necessary to complete negotiations and execute the contract documents.
Resolution No. 17-121
Page2
PASS ED AND ADOPTED at a regular meeting of the City Council of the City of
Cupertino, State of California, this 19th day of December 2017, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Members of the City Council
Paul, Sinks, Chang, Scharf
None
Vaidhyanathan
None
APPROVED:
Grace Schmidt, City Clerk C::ul~~
City of Cupertino
SECOND AMENDMENT TO FRANCHISE AGREEMENT BETWEEN THE CITY OF
CUPERTINO AND RECOLOGY CUPERTINO FOR COLLECTION AND PROCESSING OF
RECYCLABLE AND COMPOST ABLE MATERIALS, AND THE COLLECTION AND
DISPOSAL OF GARBAGE
This Second Amendment to the Franchise Agreement between the City of Cupertino and
Recology Cupertino for Collection and Processing of Recyclable and Compostable Materials, and
the Collection of Disposal of Garbage ("First Amendment"), for reference dated December 19,
2017, is by and between the CITY OF CUPERTINO, a municipal corporation ("CITY") and
Recology Cupertino, a California corporation, ("Franchisee"), and is made with reference to the
following :
RECITALS:
A. The effective and orderly handling of solid waste is an essential component of
public safety and health. Balanced regional waste management and planning
must be maintained and developed so as to safeguard public health, optimize the
use of limited natural resources and insure the efficient and orderly collection and
processing of Recyclable and Compostable Materials and proper collection and
disposal of Garbage.
B. It is desirable that the public recognize its ultimate responsibility to reduce, recycle
and dispose of all wastes in an environmentally sound manner and that collection
and disposal rates must be established at levels which are commensurate with the
cost of carrying out that responsibility.
C. On May 18, 2010, a Franchise Agreement for Collection and Processing of
Recyclable and Compostable Materials, and the Collection and Disposal of
Garbage was entered into by and between CITY OF CUPERTINO and
RECOLOGY CUPERTINO ("Franchisee") ("Agreement") for a term of five years ,
from 12:00 A.M . on November 1, 2010 to 11 :59 P.M. on October 31, 2015.
D. On September 2, 2014 a First Amendment was entered into by and between CITY
and Franchisee ("First Amendment") extending the term to eight years and 3
months from 12:00 A.M. on November I, 2010 to 11 :59 P.M. on January 31, 2019 .
E. The City and Franchisee desire to amend the Agreement a second time extending
the First Amendment term an additional two years to 11:59 P.M. on January 31,
2021, commencing 12:00 A.M. on December 20, 2017.
F . The City and Franchisee have agreed to a goal of 75% diversion for calendar year
2018 to be calculated by the CalRecycle formula for Diversion Rate Equivalent, by
population (residential) and by employment ( commercial).
G. Pursuant to powers expressly granted to cities and counties in Article XI , Section
7 of the California Constitution, and also set forth in California Public Resource
Code Sections 40059 and 49300, City has the authority within its jurisdiction to
regulate the handling ~£ Garbage. City accordingly entered into this Agreement
pursuant to the above authority and pursuant to City Municipal Code, Title 6,
Chapter 6.24, section 6.24.010.
H . CITY and Franchisee desire to modify the Agreement as set forth in detail below.
NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows:
1. Article 1 -Definitions, Sections 1.7, 1.29, 1.31, 1.32 and 1.33 are modified and 1 .42
and 1.43 are added to read as follows:
1.7. Compostable Materials -"Compostable Materials" means organic
materials generated from tree trimming, shrubbery pruning, vegetative garden
wastes, dead plants, weeds, leaves, grass clippings, food and non-food vegetative
matter, soiled paper, and cardboard and waxed cardboard that decompose
biologically, which are separated by the Service Recipient from other materials
with less than an estimated ten percent (10 %) by weight of materials other than
those listed as "Compostable Materials" in EXHIBIT A.
1.29 Non-Residential Garbage Containers -"Non-Residential Garbage
Containers" means 32-gallon, 64-gallon, or 96-gallon carts, and metal or plastic
bins from 1 to 8 cubic yard capacity, provided by Franchisee for use by Non-
Residential Service Recipients for Garbage collection services under this
Agreement.
1.31 Recyclable Materials -"Recyclable Materials" means those materials that
can be reh1rned to economic use as raw material for new, reused, or reconstituted
products, which are separated by the Service Recipient from other materials with
less than an estimated ten percent (10 %) contamination, for the purpose of
returning them to economic use and includes without limitation those materials
listed as "Recyclable Materials" in EXHIBIT A.
1.32. Recyclable Materials Containers -"Recyclable Materials Containers"
means the wheeled carts provided to Service Recipients by the Franchisee or City
for the collection o f Recyclable Materials. Residential Recyclable Materials
overages may be placed in any additional durable container which is provided by
a Service Recipient for collection of Recyclable Materials; and any wheeled cart,
metal or plastic bin of from 1 to 8 cubic yard capacity, provided by Franchisee for
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use by Non-Residential Service Recipients for collection services under this
Agreement which is clearly labeled as a recycling container.
1.33. Residential Service Recipient -"Residential Service Recipient" means all
residences within the Franchise Area (including all multifamily dwellings. "Multi-
family" is defined as any premises, excluding a hotel, motel, or lodging house , used for
residential purposes containing five (5) dwelling units or more, irrespective of whether the
residency is transient, temporary or permanent), and all businesses within the
Franchise Area which generate a combined total of less than 96-gallons of Garbage
and Compostable Materials per week and which subscribe for service as
Residential Service Recipients.
1.42 Decal -"Decal" means a permanently affixed weather-resistant label
identifying with words and colored pictures, the type of material to be placed
within a wheeled cart container.
1.43 Wheeled Cart Containers -"Wheeled Cart Containers" means 32, 64, 96
gallon or other similarly sized push carts used for residential, multi-family, and
commercial waste services.
2. Article 2 -Term of Agreement, Sections 2.1, 2.2, 2.2.1, 2.2.2, 2.2.3, 2.2.4 are
modified to read as follows:
2.1 Term -The term of this Agreement, which commenced 12:00 AM. on
November 1, 2010 and continued to 11:59 P.M. on October 31, 2015 and was
extended on September 2, 2014 to 11:59 on January 31, 2019, is hereby extended for
a second time from 12:00 AM. on December 20, 2017 to 11:59 P.M. on January 31,
2021, inclusive, subject to Article 16 of this Agreement.
2.2 Option to Negotiate New Agreement --City shall have the option to
negotiate a new ten year agreement that may begin at 12:00 AM. on January 31, ,, '
2021 and end at 11 :59 P.M. on January 31, 2031 if Franchisee has:
2.2.1 Diversion -To the maximum extent possible!, achieved fifty 50 %)
commercial and multi-family diversion rate by January 1, 2020 (as calculated in
Exhibit H); and achieved a minimum seventy-five percent (75%) diversion rate
under the terms of this Agreement for calendar year 2018 based on CalRecycle' s
diversion rate equivalent (DRE) for both residential (per capita by population) and
commercial (per capita by employment) sectors (as calculated in Exhibit H). This
calculation will not include disposal volumes attributed to the City of Cupertino
1 The C ity 's 75% diversion goal , set in 20 I 0, is subject to available markets for recyclable materials (e.g. mixed paper, old newspaper, plast ics ,
etc.). Of particular concern in Fall 2017 is that China notified the World Trade Organization in Jul y 2017 that by end of2017 it would ban
imports of24 kinds of solid waste , including un sorted waste paper, waste plastics, mo st scrap pl ast ic s including PET, PVC polyeth ylene ,
polystyrene, mixed paper, slag from steelmaking, and waste textile s.
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that are reported to CalRecycle on the Disposal Reporting System (DRS) and which
are not in any way handled by or associated with Recology Cupertino collection
programs. CalRecycle's calculation of the City's DRE for 2018 should be available
by November 30, 2019, after submittal of the City's annual report data in August
2019, and;
2.2.2 Program Development -Cooperatively and proactively worked with City
to develop programs to increase diversion, reduce contamination and provide all
food service establishments (grocers, restaurants, hotels, high tech companies with
large cafeterias etc.) and multi-family establishments that appear based on
subscribed volume to be generating four (4) cubic yards or more of total waste per
week with bins, signage, educational outreach and materials, and collection
service for organics composting by July 1, 2018 and;
2.2.3 Limited Cost Adjustments -Cooperatively and proactively worked with
City in connection with limited cost adjustment requests for residential and non-
residential services so that the cost of organics processing to the City incorporates
efficiencies identified in any City directed and paid audits and;
2.2.4 Intent to Exercise Option to Renegotiate Agreement -Notified City of its
intent to exercise this option to renegotiate the Agreement in writing, on or before
January 31, 2020. If muh1ally agreeable to the City and the Franchisee and if
CalRecycle has not provided sufficient data to verify the City's accurate 2018
diversion rate equivalent by January 5, 2020, this Agreement may be extended for
eleven (11) months to January 1, 2022.
3. Article 4 -Collection Services, Sections 4.1.1., 4.1.2., 4.1.5., 4.1.7., 4.3.2., 4.3 .3 ., 4 .3.4.,
4.4, 4.4.1., 4.4.2., 4.4.3., 4.4.4., 4.8.1., 4.8.3., 4 .9, 4.9.1., 4.9.3. and 4.10, are modified
and 4.1.7 added to read as follows:
4.1.1. Beginning November 1, 2010 and continuing through the term of this
Agreement, Franchisee shall perform collection services as provided in this Article
4. All such services shall be performed in a thorough and professional manner
regardless of weather conditions and difficulty of collection. Commercial
collection services shall occur only between the hours of 6:00 AM and 5:00 PM,
unless specifically approved in advance in writing by City Representative.
Residential collection services shall comply with the City's noise ordinance and
occur only between the hours of 7:00 AM and 5:00 PM, unless specifically
approved in advance in writing by the City Representative. In all areas where
residential properties are adjacent to commercial properties or close enough that
the collection vehicle noise disrupts sleeping residents, collection shall not start
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before 8:00 AM on Monday through Friday, and not before 9:00 AM on Saturday,
Sunday, and Holidays.
4.1.2. All Residential Recyclable Materials, and Compostable Materials and
Garbage collected pursuant to this Agreement shall be and become the property
of the Franchisee at the time these materials are placed in the City or Franchisee
supplied collection containers. All Non-Residential Recyclable Materials and
Compostable Materials and Garbage collected pursuant to this Agreement shall
be and become the property of the Franchisee at the time these materials are placed
in the collection containers. The City reserves the right to approve or disapprove
the destination facility and the method of processing for all solid waste and other
materials collected for disposal by the Franchisee from within the City's
jurisdictional boundaries, provided, however, that if City revokes approval of any
such facility, Franchisee shall be entitled to an adjustment in compensation in an
amount sufficient to cover Franchisee's increased costs of using an alternative
facility, and shall not be required to use an alternative facility until such
adjustment has been implemented. The facilities to which Franchisee delivers
material as of November 1, 2017 shall be deemed approved by City and for cost
purposes shall represent the baseline cost. Franchisee shall notify the City at least
four weeks in advance of any planned changes to the collection and processing of
materials collected in City, including residential day of service collection, and
processing facilities to which recyclables or organics will be delivered. City will
not authorize any change to collection and/or processing, or any additional
requests in compensation, that reduces the ability of the Franchisee to achieve the
75% diversion goal.
Franchisee shall, to the maximum extent practicable, ensure that collected
loads of Recyclable Materials and Compostable Materials are not redirected to the
landfill by the driver due to contamination. Franchisee shall, to the extent
practicable, remove or have the Service Recipient remove, contaminants that are
not listed as acceptable recyclable materials in Exhibit A. Franchisee may leave a
Non-Collection Notice (NCN) and not service Recyclable Materials Containers or
Compostable Materials Containers that contain an estimated> 10% non-recyclable
or non-compostable materials as defined in Exhibit A, thereby making the
commercial customer responsible for rem9ving contaminants prior to collection.
Franchisee may charge the commercial customer aJ eturn fee as listed in Exhibit B.
Franchisee shall conduct collection in a manner which will ensure that Recyclable
and Compostable Materials listed in Exhibit A will not be landfilled, and that City
will receive the maximum credit to':Vard the State diversion mandates.
4.1.5 All collection vehicles and equipment shall be constructed and maintained
to prevent leakage or spillage. Except when material is being loaded or unloaded,
or when the vehicle is in the process of collection, Franchisee shall at all times keep
Recyclable Materials, Compostable Materials, and Garbage loads completely
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covered so as to prevent litter, leakage or spillage from the collection vehicle.
Franchisee shall immediately clean up any litter, leakage or spillage (in the manner
described in the last sentence of Section 15.4, if applicable) which occurs during
collection and transport.
In addition to the liquidated damages specified in Section 12.5 of this
Agreement, Franchisee shall reimburse City for all reasonable costs incurred by
City in the cleanup of all litter created by Franchisee in the performance of this
Agreement and not cleaned up by Franchisee within eight (8) business hours after
notice by City, and liquid spillage created by Franchisee in the performance of this
Agreement and not cleaned up by Franchisee within two (2) business hours after
notice by City.
Prior to the purchase of new Collection Vehicles during the term of this
Agreement, Franchisee shall certify to the City that the selected vehicles include
hopper shielding to minimize litter while the contents of individual carts or bins
are being unloaded and while the vehicle is traveling along City streets. If
Franchisee continues to use existing equipment for more than one year from the
date of the Second Amendment to this Agreement, Franchisee shall retrofit all
Collection Vehicles with hopper shielding to prevent the scattering of litter during
collection and transport of Recyclable Materials, Compostable Materials, or
Garbage. Retrofits shall be completed before November 1, 2018.
4.1.7 All carts emptied on public streets shall be placed with the wheels against
the curb in a location that does not block access to driveways.
4.3.2. Provision of Recyclable Materials Containers -Franchisee shall provide
new or refurbished Recyclable Materials Containers, as described below, at no
additional charge to each Residential Service Recipient that does not already have
one. These Recyclable Materials Containers shall be delivered by Franchisee
within five (5) Working Days of Request for initial service or replacement by the
Residential Service Recipient. Recyclable Materials Containers removed by the
Franchisee shall also be replaced by Franchisee within five (5) Working Days of
their removal.
Recyclable Materials Containers provided by Franchisee shall be labeled
with description of contents, such as "Recycling" or "Yard Waste/Organics" and
"Property of the City of Cupertino" and shall not be marked with the Franchisee's
name or logo. To ensure consistency in container markings and colors, new and
replacement containers shall be labeled and marked to the satisfaction of the City,
the color of container for Recyclable Materials Containers shall be approved by the
City before new or replacement Recyclable Materials Containers are purchased for
customers. Decals specifying acceptable and unacceptable material for each
container shall be applied as specified by City before containers are delivered to
start new service and to new containers when damaged or mismarked containers
are replaced. Replacement of decals as needed is the responsibility of the
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Franchisee. All Recyclable Materials Containers provided by Franchisee to
Residential Service Recipients pursuant to this Agreement shall become the
property of the City at the termination of this Agreement. Franchisee is required
to keep accurate count/inventory of containers used, date of purchase, and date of
replacement.
4 .3.3 Recyclable Materials Overages (Residential) -Franchisee shall collect all
Recyclable Materials properly prepared and set out for collection by the Service
Recipient each week. Service Recipient may set flattened and bundled cardboard
boxes, which are too large to fit in the Recyclable Materials Container, next to the
container, provided they do not exceed 3 feet by 3 feet and are securely tied
together.
Franchisee shall collect such cardboard boxes on the day Franchisee
collects Recyclable Materials from the Service Recipient. Franchisee shall have no
obligation to collect Recyclable Materials Overages where Recyclable Materials are
not set out in Recyclable Materials Containers, except that Franchisee must notify
the City Representative within two (2) Working Days of the uncontained materials
and provide the address and contact for any Service Recipient that has been
responsible for overflowing or uncontained Recyclable Materials more than once
in a year. Franchisee shall have no obligation to collect cardboard boxes if they are
not set out as provided above or where the combined weight of the Recyclable
Materials and cardboard exceeds sixty (60) pounds.
At no additional charge and pursuant to Section 4 .3.2, Franchisee shall
provide a sufficient number of additional Recyclable Materials Containers to
Service Recipients to accommodate all recyclables regularly generated. If Service
Recipients regularly generate more Recyclable Materials than will fit in their
Recyclable Materials Containers, Franchisee will contact Service Recipient within
two (2) Working Days of the determination to notify Service Recipient that an
a~ditional cart will be delivered. Franchisee will notify the City Representative by
email of the address and contact information for the account that generated the
overage and received an additional recycling cart within two (2) Working Days of
the additional cart delivery. Franchisee shall notify the City Representative and
deliver to Service Recipient all requested additional Recyclable Materials
Containers within five (5) Working Days of the request.
4.3.4 Non-Collection -Franchisee shall not be required to collect any Recyclable
Materials that are not set out on a public street or other accessible location
subscribed for; that are not set out ip accordance with the Municipal Code, and
that are not set out in conformance :vyith S,~S90f1 .4.3.3 of this Agreement. If the
Recyclable Materials are too contalrlinated to process (i.e . if the container appears
to contain more than ten perc~nt (10 %) non-Recyclable Materials), Franchisee shall
leave a Non-Collection Notice (NCN) and contact the account holder by phone to
inform the Service Recipient that the cart was not serviced due to contamination.
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Franchisee will by email provide the City with the account name and address
associated with the contaminated Recyclable Materials within two (2) Working
Days of the incident. Drivers shall not make the determination that material
collected as Recyclable Materials shall be landfilled without notifying the City
within one (1) Working Day. Only residue from the processing facility and loads
rejected by the processor for contamination may be landfilled.
4.4 Residential Compostable Materials Collection -Franchisee shall, by no
later than of June 30, 2018, provide one-half to one gallon capacity pitcher-style or
pail containers for in-home storage of Compostable Materials to each unit whose
complex is required by City ordinance to subscribe to Compostable Materials
Collection service. Franchisee shall provide these pitchers or pails for each single-
family household that sets up new service, and for existing Residential Service
Recipients that have not received one, upon request by the Service Recipient or the
City. The one-half to one gallon capacity pitchers or pails for in-home storage of
Compostable Materials shall be of a type approved by City Representative and
shall meet the requirements for such pitchers or pails specified in EXHIBIT H.
Upon request, pitchers or pails shall be delivered within five (5) Working Days.
City may keep a supply of in-home Compostable Materials storage pitchers or
pails, purchased by Franchisee, to assist in delivery to Service Recipients.
Franchisee shall collect all Compostable Materials listed in EXHIBIT A.
Franchisee shall process all collected Compostable Materials at their affiliate
facility, South Valley Organics, located near Gilroy, or Blossom Valley Organics
North (BYON), unless an alternate site is approved by City Representative in
writing, which may be communicated by email.
4.4.1. Frequency of Collection -Franchisee shall provide regular, scheduled
collection of Compostable Materials from each Residential Service Recipient every
week for single family homes. Compostable Materials Containers at multi-family
establishments shall be serviced at a minimum weekly or more frequently if
necessary to prevent offensive odors and pest infestations. Compostable Materials
shall be collected from Compostable Materials Containers adjacent to the
Recyclables or Garbage Containers.
4.4.2. Compostable Materials Containers (Residential) -Franchisee shall
provide, upon request by the City Representative, a new or refurbished 24-gallon
or 32-gallon Compostable Materials Container at no additional charge to each
"Yard Waste Exempt" Residential Service Recipient that does not already have
one. These Compostable Materials Containers shall be delivered by Franchisee
within five (5) Working Days of Request.
Compostable Materials Containers removed by the Franchisee by mistake,
for repair and replacement, or cleaning shall be replaced by Franchisee within five
(5) Working Days of their removal.
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Compostable Materials Containers provided by Franchisee shall be labeled
for "Compost" or "Yard Waste/Organics", and "Property of the City of Cupertino"
and shall not be marked with the Franchisee's name or logo. To ensure consistency
in container markings and colors, new and replacement containers shall be labeled
and marked to the satisfaction of the City, the color of container for Compostable
Materials Containers shall be approved by the City before new or replacement
Compostable Materials Containers are purchased for customers. Decals specifying
acceptable and unacceptable material for each container shall be applied as
specified by City before containers are delivered to start new service and to new
containers when damaged or mismarked containers are replaced. Replacement of
decals as needed is the responsibility of the Franchisee. All Compostable Materials
Containers provided by Franchisee to Residential Service Recipients pursuant to
this Agreement shall become the property of the City at the termination of this
Agreement.
Compostable Materials shall be collected from Franchisee-supplied
Compostable Materials Containers. The combined weight of the container and the
Compostable Materials shall not exceed one hundred fifty (150) pounds.
Compostable Materials Containers must be placed at the curb or another accessible
designated collection area selected by Service Recipient and approved by City, or
by Walk-Up as subscribed for by the Service Recipient.
To promote maximum diversion at single-family residences, Franchisee
shall deliver additional Compostable Materials Containers within five (5) Working
Days from the date of the single-family Residential Service Recipient's or the City's
request. At no additional charge and pursuant to this Section, 4.4.2, Franchisee
shall provide a sufficient number of additional Compostable Materials Containers
to accommodate all Compostable Materials regularly generated at single-family
residences
To promote maximum diversion at multi-family residences, by March 1,
2018, Franchisee shall notify property managers of all multi-family residences of
the City's ordinance requiring the collection of Compostable Materials. Franchisee
shall work with the City Representative to provide educational materials and one-
half to one gallon capacity containers for in-home storage of Compostable
Materials to the establishment, and deliver appropriately sized and located
Compostable Materials Containers on or before May 31, 2018.
4.4.3. Non-Collection -Franchisee shall not be required to collect any
Compostable Materials that are not set out on a public street or other accessible
location, in accordance with the Municipal Code, or in conformance with Section
4.4.2 of this Agreement. If the Compostable Materials are too contaminated to
process (i.e. if the container appears to contain more than ten percent (10 %) non-
Compostable Materials), Franchise~ sh9ll l~ayr a Non-Collection Notice (NCN)
and contact the account holder by ,pho:ne .,to ,infqrrn them that the cart was not
serviced due to contamination. Franchisee will email the City with the account
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name and address associated with the contamination within two (2) Working
Days. Loads collected as Compostable Materials shall not be landfilled or rejected
at the processing facility. Only residue from processing Compostable Materials
may be landfille~. ·'' ·, ·
4.4.4 Compostable Materials Overages (Residential) -At no additional charge
and pursuant to Section 4.4.2, Franchisee shall provide a sufficient number of
additional Compostable Materials Containers to Residential Service Recipients to
accommodate all Compostable Materials regularly generated. If Residential
Service Recipients regularly overflow their Compostable Materials Containers,
Franchisee will contact Residential Service Recipient within two (2) Working Days
of the observation to encourage Residential Service Recipients to request
additional containers. Franchisee will contact City within two (2) Working Days
to notify City Representative of such customer and will provide the City account
contact information. Franchisee shall deliver Residential Service Recipient
additional Compostable Materials Containers within five (5) Working Days of the
request.
4.8.1 Frequency of Collection (Non-Residential Recyclable) -Franchisee shall
provide Recyclable Materials collection services at no additional cost to all Service
Recipients that subscribe for Non-Residential Garbage service. Franchisee shall
collect all Recyclable Materials listed in EXHIBIT A from' each Non-Residential
Service Recipient as often as necessary to prevent overages. To encourage
diversion, Franchisee shall provide a volume of Recyclable Materials collection
services equal to or in excess of the amount of Garbage collection service
subscribed for by each Non-Residential Service Recipient, except where there are
space or access constraints, or where the characteristics of the waste stream do not
justify an additional container.
Service Recipients may not decline Recyclable Materials Collection service
that is required by State law (AB 341 ), and Cupertino Municipal Code Chapter 6.24
unless they can demonstrate to the City that they do not generate any Recyclable
Materials, or can document to the satisfaction of City that they have made other
arrangements for handling their Recyclable Materials. If Service Recipients decline
Recyclable Materials Collection service, Franchisee will notify City by email within
two (2) Working Days.
Franchisee shall add collection routes and days, including weekends, if
necessary to adequately provide collection service to all Service Recipients in
accordance with this Agreement.
4.8.3 Non-Collection -Franchisee shall not be required to collect any Recyclable
Materials that are not placed in Recyclable Materials Containers by Non-
Residential Service Recipients. In the event of a non-collection, Franchisee shall
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leave a Non-Collection Notice (NCN). Franchisee shall notify the City by email
within two (2) Working Days of the driver observing an estimated 10% or more
contamination of materials generated by a Non-Residential Service Recipient and
where the Non-Residential Service Recipient has been responsible for
contamination more than once in a calendar year. The City will contact and work
with the Service Recipient to prevent further contamination by providing
education and assistance. Significantly contaminated loads may be processed as
Garbage only as directed by the processor after the materials have been evaluated
and rejected by the processor at the processing facility. The Franchisee's monthly
report shall contain information on all loads that are rejected at the processing
facility as specified in Exhibit G.
4.9 Non-Residential Compostable Materials Collection -Franchisee shall not
impede the City's implementation or expansion of edible food placement
networks in the City of Cupertino (e.g. the City's participation in the Food Rescue
Initiative for Santa Clara County). When edible food that would otherwise have
been landfilled, is diverted to feed people, a commensurate diversion credit will
be applied to the City's and Recology' s diversion progress.
Consistent with Cupertino Municipal Code Section 6.24.37 and AB 1826,
Franchisee shall provide all applicable non-residential customers with bins and
collection service for organics composting along with appropriate outreach and
education about use of said service by the following dates, as specified in the
municipal code:
• July 1, 2018: Per Cupertino Municipal Code, businesses or business structures
generating 4 cubic yards or more of solid waste per week
• By Jan 1, 2019: Per State law, businesses or business structures generating 4 cubic
yards or more of solid waste, per week.
Franchisee shall produce and maintain a list of all businesses and business
structures (enrolled and non-enrolled) that are required by the municipal code and
by AB 1826 to subscribe to organics collection service. The list shall be updated
monthly and changes to the list shall be included in the monthly report to the City
per Exhibit G.
As required by municipal code, Franchisee shall ensure that commercial
properties that are affected by the following earlier implementation dates continue
to receive organics service:
• September l, 2016 : business or business structure generating 8 cubic yards or
more of organic waste per week
• January 20, 2016: business or business structure generating 3 cubic yards or more
of organic waste per week or generating a solid waste stream that is
comprised of 25% or more organic food waste material
11
I,
For purposes of determining whether a customer generates a specified
volume and/or type of material or is required under the Cupertino Municipal
Code or AB 1826 to subscribe for organics collection service, Franchisee shall be
entitled to rely on the customer's subscribed-for container volume.
4.9.1 Frequency of Collection (Non-Residential Compostable Materials) -
Franchisee shall provide Compostable Materials Collection services to all Non-
Residential Service Recipients that are required by Municipal Code to subscribe to
this service. Franchisee will notify City within two (2) Working Days if a Non-
Residential Service Recipient declines Compostable Materials service . Franchisee
shall be entitled to charge Non-Residential Service Recipients that subscribe for
Compostable Materials Collection services not more than the unit price rate
charged for an equivalent level of Garbage service, as set forth in EXHIBIT B, and
not more than the Service Recipient was paying for Garbage service before the
Compostable Materials Collection program was implemented, so long as the
Service Recipient does not increase the total amount of materials discarded.
Franchisee shall contact Non-Residential Service Recipients (including, but
not limited to, restaurants, corporate employee cafeterias, markets, grocery stores,
delis, sandwich shops, and florists) that subscribe for at least 4 cubic yards of
Garbage service and no Compostable Materials service, and enroll them in the
Compostable Materials Collection program. Franchisee shall offer to provide them
an appropriate City-approved Compostable Materials Collection container and
whenever possible reduce their Garbage service level. Franchisee shall notify the
City within five (5) Working Days if said offer is rejected by the Service Recipient.
Franchisee shall ensure that the total cost to such Service Recipients of Garbage
service and Compostable Materials service combined will not increase due to the
substitution of Compostable Materials capacity for Garbage capacity, so long as
the Service Recipient does not expand the business or increase the total amount of
materials discarded.
Franchisee will assist the Service Recipient in subscribing for appropriate
container volumes and frequency of collection so that the Service Recipient is
adequately served given the space available. Franchisee shall add collection routes
and days, including Saturday Garbage, Recyclables, and Compostable Materials
service to adequately provide collection service to all Service Recipients impacted
by lack of space for additional containers. If Sunday collection service is needed to
accommodate Service Recipient needs, Franchisee shall propose a Sunday service
rate schedule to the City for consideration per Section 12.3 Special Maximum Rate
Adjustments .
Franchisee shall provide Compostable Materials Containers to each Non-
Residential Service Recipient in accordance with the service level subscribed for
by the Non-Residential Service Recipient. Franchisee shall collect Compostable
Materials from each Non-Residential Compostable Materials Container as often as
subscribed for by the Non-Residential Service Recipient.
12
4.9.3 Non-Collection -Franchisee shall not be required to collect any
Compostable Materials that are not placed in Compostable Materials Containers.
In the event of a non-collection, Franchisee shall leave a Non-Collection Notice
(NCN). Franchisee shall notify the City, by email within two (2) Working Days of
the driver observing an estimated 10% or more contamination of Compostable
Materials generated by a Non-Residential Service Recipient and where the Non-
Residential Service Recipient has been responsible for contamination more than
once in a calendar year. The City will contact and work with the Service Recipient
to prevent further contamination by providing education and assistance to the
Service Recipient. Residual from Compostable Materials, but not a full load, may
be landfilled as Garbage only after the load has been screened (sorted) at the
processing facility. The Franchisee's monthly report shall contain information on
all NCNs and contaminated loads as specified in Exhibit G.
4.10 Debris Box£ Compactor and Bin-by-the-Day Services -In addition to the
Extra Services provided for in Sections 4.5.4 and 4.7.2 of this Agreement,
Franchisee shall collect Recyclable Materials or Compostable Materials and
Garbage in Debris Boxes, Compactors and Bin-by-the-Day Services on the
schedule subscribed for by the Service Recipient. Debris Boxes shall be available
in at least five (5) approximately evenly spaced sizes; 8 cubic yards, 16 cubic yards,
20 cubic yards, and larger. Debris Boxes must, at a minimum, have the capacity
of the size listed on EXHIBIT B, or must be charged for at the next, lower maximum
service rate.
Franchisee shall provide Compactor Services to Service Recipients who
wish to use them. Franchisee shall assist Service Recipients with selection of
compactors that are compatible with Franchisee's equipment. Bin-by-
the-Day Services and Debris Box Services may be used by Residential and Non-
Residential Service Recipients to dispose of Bulky Goods and oversized
Compostable Materials which would not fit into a normal Garbage Container, or
for volumes of Garbage that exceed the normal service provided. In the event of a
compactor failure, Franchisee shall provide immediately and within one (1)
business day, a sufficient number of containers to satisfactorily accommodate the
solid waste generated.
For billing and compensation purposes, all Debris Box and Compactor
Services and Bin-by-the-Day Services are classified as Extra Services under this
Agreement. Maximum charges to the Service Recipients for these services shall be
the rates listed in EXHIBIT B.
4. Article 9-Additional Services, Sections 9.1.2, 9.1.3, 9.1.4, and 9.3 are modified and
9 .1.5, 9.1.6, 9.3.1, 9.2.l, 9.2.2, and 9.2.3 are added to read as follows:
13
I'
9 .1.2 Phone and Email Service -A Customer Service Representative shall be
available at all times at the Franchisee's principal office, and shall be accessible by
a local toll-free telephone number to City and Service Recipients at least during
the hours of 7:30 AM to 4:30 PM, Monday through Friday, except for Holidays.
The Franchisee shall maintain an email address for customers to use. All customer
service representatives shall be knowledgeable about all services offered under
this Agreement, including the availability to multi-family Residential Service
Recipients of On-Call Collection Services as detailed in Exhibit E, and able to assist
on any matters which relate to the Franchisee's performance of services. The
Franchisee shall respond to all calls, emails, and walk-in requests regarding
missed service, damaged or leaking bins, leaking collection vehicles or collection
bins that have been placed by Franchisee in driveways or in the middle of the
street, within one (1) Working Day of Service Recipient's request for assistance. A
telephone answering machine shall be available for customers to leave a message
at all times. The telephone numbers shall be listed on the Franchisee~s website for
Cupertino Service Recipients. Franchisee shall maintain an emergency telephone
number for use when the listed telephone number is not attended. The emergency
telephone number shall be available only to City Representative and designees .
9.1.3 Website -A webpage shall be maintained by the Franchisee which will
represent all of the Franchisee's unique services available in the City of Cupertino
and will provide easy access to information, as well as instruction on how to
maximize and correctly utilize services, especially to help prevent contamination
of Recyclable and Compostable Materials that are intended for processing or
further use . The website should include a detailed breakdown of debris box and
compactor rates. Franchisee shall provide a dedicated email address for customer
service and list it on the website . Changes to Recology's website shall be pre-
approved by the City.
9.1.4 Service Recipient Inquiries and Complaints -All incoming calls shall be
answered within a maximum of four (4) rings. No call shall be "on-hold" in excess
of one (1) minute . If City receives more than two (2) complaints a month regarding
the amount of time Franchisee placed a caller on hold or if Franchisee did not
respond to a caller within four (4) rings, liquidated damages covered under
Section 12.5 may be applied .
Franchisee shall make return calls to customers from messages received.
Franchisee shall make three (3) attempts to return the call within one (1) Working
Day of the receipt of the call. If Franchisee is unable to reach the caller in three
attempts, Franchisee shall send a postcard to the caller on the second Working Day
after the call was received, indicating that the Franchisee has attempted to return
the call. All attempts to contact the caller shall be recorded on the log kept b y
Franchisee.
14
Franchisee shall record all complaints in a log which includes the date,
time, nature of the complaint, complainant's name and address (if the complainant
is willing to give this information), and nature and date and manner of resolution
of complaint. This log shall be in a format approved by City, and shall be available
for inspection by City during Franchisee's office hours upon City's request.
Franchisee shall maintain a .computer link that allows the City to access
and view the customer service and complaint database at any time from a
computer located at the Cupertino City Hall, but the City shall not have the ability
to make any changes to the database.
9.1.5 Building Plan Review: Franchisee shall provide assistance to City by
reviewing and providing comments on applications for City permits to construct
new buildings or to remodel existing buildings. Franchisee shall review building
plans for adequate space to accommodate the number and size of containers
specified by the applicant for Garbage, Recyclable Materials, and Compostable
Materials for adequate collection vehicle access and turnaround. Franchisee shall
provide City, within ten (10) business days of receiving the plans, its comments on
the plans including any recommendations regarding such matters.
Notwithstanding any other provision of this Agreement, Franchisee shall have no
liability to City or others with respect to such comments. City understands and
agrees that such comments will not represent the opinion of a design, engineering
or construction professional.
9.1.6 Waste Characterization (Generation) Studies -To collect greenhouse gas
reduction (GHG) data and landfill reduction data required by the City's Climate
Action Plan (CAP) to be included in annual updates to City Council, Franchisee
shall assist a City-hired consultant to conduct a waste characterization study at all
locations where Cupertino materials are comingled or processed with other
agencies' materials. The main purpose of the studies is to determine a reasonably
methodology which is reasonably accurate for determining the City's percentage
of residual that is landfilled as a result of Compostable Materials processing. A
secondary purpose of the studies is to gather information regarding the City's
Recyclable, Compostable organic, and landfill materials being delivered to
processing facilities or landfills from multiple routes and/ or vehicles for the
commercial, single-family residenhal, multi-family, and municipal sectors. City
shall pay the consultant directly an9 rranchiser sl1all work with the consultant to
provide a waste characterization plan for City, approval which details methods,
proposes material types to study, dates and times of studies, and number of sites
to study in each sector. City staff shall be allowed to observe all studies.
9.2 Public Education & Outreach -Franchisee shall participate in all of the
activities designated in the Public Education and Outreach Plan attached to this
Agreement as EXHIBIT C. The Franchisee shall implement all of the elements of
15
the Franchisee's On-Going Public Education & Outreach Plan described in
EXHIBIT C. Any changes to the Plan by Franchisee must be approved in advance
by the City.
9.2.1 Outreach Materials -All printed and digital outreach materials (other than
bills) produced by Franchisee relating to services provided under this Agreement,
and sent to Service Recipients or distributed publicly as part of Franchisee's public
education and outreach activities, shall be approved by City prior to being printed
for distribution (such approval not to be unreasonably withheld, conditioned or
delayed by City). A draft of all text and illustrations shall be provided to the City
at least two weeks in advance of production of the final document. All reasonable
comments provided by the City Representative shall be incorporated, and the final
version of the text and illustrations shall be acceptable to both City and Franchisee.
9.2.2 Pilot Programs -Franchisee shall support City-paid pilot programs that
may be developed by City staff to expand use of available services and pursue
highest and best use of materials.
(a) Split cart collection of garbage and food scraps and/or split cart
recyclables
(b) Multi-family valet service -transport waste materials from residents'
doors to trash enclosures,
(b) Waste leader program -train and engage a network of community
recycling and composting waste leaders, and
(c) Early collection -additional routes to enhance bicycle safety similar to
previous pilots conducted in the tri-school area .
9.2.3 Support of City, County, State, and Federal Policy-Franchisee will support
the City's Extended Producer Responsibility Policy and will write letters in
support of Legislation promoting extended producer responsibility objectives,
philosophies and programs . Franchisee will develop and adopt an extended
producer responsibility policy to cover its operations in Cupertino .
9 .3 Change in Recyclable or Compostable Materials Collected
9.3.1 Change in Recyclable Materials Collected
A. Subject to changing markets for recyclable materials, Franchisee shall timely
recommend to City update of Exhibit A to prevent contamination that could cause
the Recyclable or Compostable Materials to be rejected at a recycling or
composting facility. In the event City or Franchisee, during the term of this
Agreement, proposes to add or remove materials to the list of Recyclable Materials
to be collected, processed, and marketed by Franchisee, such materials shall be
added to or omitted from the list in EXHIBIT A of this Agreement, if mutually
agreed to in writing by City and Franchisee.
16
B. If Franchisee proposes the addition or omission of a material, the proposal shall
be in writing, and include the extent to which the addition or omission of the
proposed material will assist or hinder achieving a 75% diversion rate and would
require a modification of the current Recyclable Materials collection vehicles, the
use of an additional Recyclable Materials Container, and the use of additional
collection vehicles, and shall notify City of the estimated costs of adding the
proposed material.
C. If City proposes such addition or omission in writing, Franchisee shall submit
a written proposal detailing how the materials would be handled and the cost of
adding or omitting the materials within thirty (30) calendar days of City's request.
City shall respond in writing to Franchisee's description of changes and costs of
implementation within thirty (30) calendar days of Franchisee's notification to
City.
D. Both parties shall negotiate in good faith for the purpose of reaching an
Agreement for the addition or omission of the proposed material and a schedule
for the implementation of the revised collection of such material. The City
Representative is authorized to negotiate on behalf of City and to approve the
additional material and implementation schedule, but any agreement which
would result in additional compensation to Franchisee, shall not become effective
unless approved by the City Council.
E. Franchisee shall notify all Service Recipients, and include notification on the
Franchisee's Cupertino Services webpage, of the changes in materials being
recovered before any changes in the program are implemented.
F. During the course of this Agreement, City may approve a ban on landfilling
selected material types. This ban will likely take the form of a requirement that the
Franchisee not collect Garbage Containers that contain visible quantities of the
banned materials. Franchisee agrees that if City does enact such a ban, Franchisee
will support this ban by complying with City's request to not collect contaminated
loads. In the event of non -collection, Franchisee shall leave a Non -Collection
Notice (NCN).
5. Article 11 -Payments to City, Section 11.6 is modified to read as follows:
11.6 Payments to City -Franchisee shall remit to City, within forty (40) days of
the end of each month, a Franchise Fee in the amount of twelve percent (12.0%) of
all Revenues from all sources relating to this Agreement collected in the prior
month, except for the revenues from the sale of recyclable materials and from the
Household Hazardous Waste Fee (as defined below).
17
Franchisee shall also remit to City, together with the Franchise Fee, a Solid
Waste Fund Operations Fee in the amount of seventeen percent (17.0%) of all
Eligible Revenues.
Payment of the Franchise Fee and Solid Waste Fund Operations Fee to City
shall be accompanied by sufficient documentation to identify the source of all
revenues. This documentation shall include, at a minimum, specifics for each
account, the amount billed, the amount collected, a listing of accounts which
received Excess Services and the amount of Extra Services provided, and a listing
of accounts which are delinquent.
All fees from the Newby Island landfill for disposal of debris box and
compactor loads generated under this Agreement shall be invoiced by Republic
Services (Newby Island landfill) to Franchisee, and paid directly to Republic
Services by Franchisee, except that fees for disposal of debris box and compactor
loads collected by Franchisee from City facilities shall be reimbursed by City to
Franchisee as a credit toward the Franchisee's monthly remittance to the City for
Solid Waste Fund Operations Fees. Franchisee's payments to Republic Services
and requests to the City for reimbursement of City debris box and compactor
disposal fees shall be sufficiently itemized and documented in the Franchisee's
monthly remittance report to the City. Such reports shall track the debris box and
compactor tonnage collected by Franchisee from within the jurisdictional
boundaries of the City, the types of materials disposed or recycled, and all disposal
fees paid to Republic Services for debris box and compactor loads disposed or
processed at the Newby Island landfill.
Franchise Fees are due on all revenues and Solid Waste Fund Operations
Fees are due on all Eligible Revenues collected from the performance of this
Agreement following the termination of this Agreement.
6. Article 12 -Franchisee's Compensation, Section 12.4 is modified to read as follows:
12.4 Cost Adjustment Request for Compostable Materials Processing -
Franchisee may propose a cost adjustment for Non-Residential Service if necessary
to cover the additional cost of processing collected commercial Compostable
Materials above the agreed 2015 baseline amounts 2• However, the City retains the
right to approve, disapprove or modify any such request for additional
compensation. Franchisee's request shall include a report of revenue collected as
a result of this exclusive Franchise Agreement and all costs associated with the
processing of additional Compostable Materials at a City approved facility.
Increases in revenues to Franchisee from sale of Recyclable Materials
(above the revenues from the first year of this Agreement) and from sale of
products produced from Compostable Materials Processing shall be used to
partially offset the increases in Compostable Materials Processing costs identified
2 The 2015 baseline amounts are 5,879 tons organic materials processed at a co st of$64.29/ton and hauling/loading cost of
$16.31 /ton which amounts were included in the 5.28% commercial & multi-family rate increase effective July 1, 2016.
18
in subsequent years.
To evaluate any such changes in cost, the City may direct and pay for an
audit to establish Franchisee's cost and revenue. The audit may include, but will
not necessarily be limited to, quantifying increased cost of processing commercial
organics, if any; quantifying revenue collected as a result of this exclusive
Franchise Agreement; and itemizing costs associated with processing of
Compostable Materials at a City approved facility .
Franchisee will provide the_ City with annual reports (by March 2 each year,
for the period of January 1 through December 31 of previous year) using the same
metrics as used in the City's 2016 audit, and showing Franchisee's actual costs to
process Compostable Materials . Franchisee will assist and accommodate any City
directed and paid audits as necessary to determine any cost adjustments that may
be necessary to fund the Compostable Materials Processing services.
If Franchisee does not request a cost adjustment within ninety (90) calendar
days of the of the calendar year, in any given year of this Agreement, the cost
adjustment claim for that year shall be deemed waived for all purposes, and
Franchisee will not be entitled to additional compensation. For cost adjustment
proposals timely received by City, City retains the right to approve, disapprove or
modify them . As used herein, "cost adjustment" means an increase in maximum
rates and/or a payment by City to Franchisee, if necessary to cover the additional
cost of processing Non-Residential Compostable Materials collected above the
agreed 2015 baseline amounts3 • I . , (."'.l
._~ J )(') t ,.,~ ,J-t
7. Article 17 -General Provisions, Section 17.22 is modified to read as:fo>H ow ~
17.22 Entirety: Agreement and Exhibits -The Agreement dated Ma 1-, (:)10 hnd
the First Amendment dated September 2, 2014 and this Second Amendment dated
December 19, 2017 represent the entire Agreement of City and Franchisee with
respect to the services to be provided under the Agreement and supersedes and
merges all prior written and oral statements, proposals, representations and
agreements between the parties. The May 18, 2010 Exhibits D and E and amended
December 19, 2017 Exhibits A, B, C, F, G, and H are hereby incorporated into this
Agreement and made a part of this Agreement as though fully set forth herein.
8. Exhibits -Exhibits A, B, C, F, G, and H, amended dated December 19, 2017
(attached) hereby replace Exhibits A, B, C, F, G, and H to the Agreement. Any
reference to the following Exhibits in the Agreement or Amendment refers to the
Exhibit amended dated December 19, 2017:
Exhibit A -Recyclable and Compostable Materials
Exhibit B-Schedule of Approved Maximum Rates
3 The 20 I 5 base line amounts are (5 ,879 tons organi c materials process ed at a co st of $64.29 /ton and ha uling/lo ading co st of
$ I 6.3 I /ton whi ch amounts were included in th e 5.28% commercial & multi-fam ily rate in crease e ffec t ive Jul y I, 2016.
19
Exhibit C -Public Education and Outreach Plan
Exhibit F -City Facilities Services
Exhibit G -Access to Records and Reporting Requirements
Exhibit H -Diversion Goals
9. Except as expressly modified herein, all other terms and covenants set forth in the
Agreement shall remain the same and shall be in full force and effect
IN WITNESS WHEREOF, the parties hereto have caused this amendment of Agreement
to be executed.
Recology Cupertino
Date \ / 1 kl\ 55
ftecology ..
Reviewed by:
~
J. Sangiacomo
A ~~
By (~
City Clerk, Grace Schmidt 2 --:f' -( {"
20
EXHIBIT A: RECYCLABLE AND COMPOST ABLE MATERIALS
(Amended December 19, 2017)
"Recyclable Materials" include:
• Aluminum cans
• Aseptic containers (like those used for milk and juice)
• Glass bottles and jars of all colors
• Paper including newspaper and advertising inserts, magazines, catalogs, envelopes, junk
mail and post-it notes, paperboard , flattened cereal and cracker boxes, shoe boxes , gift
boxes, paper egg cartons, construction paper, white and colored paper, telephone books,
paperback books, hardback books, wrapping paper, flattened corrugated cardboard boxes
[boxes need not to be bundled], and brown paper grocery bags; and other similar
materials)
• Plastic bags (like those used for dry cleaning, newspapers, groceries or shopping)
• Plastic bottles,jars, tubs and containers (#1-#7)
• Rigid Plastic household items and toys
• Scrap and cast aluminum foil and pans (not exceeding forty (40) pounds in weight nor
two (2) feet in any dimension for any single item)
• Scrap metal (including car parts that are drained of all fluids) pieces not exceeding fo1ty
( 40) pounds in weight nor two (2) feet in any dimension for any single item
• Small kitchen appliances (such as toasters, blenders , hand mixers, handheld or other
small electric fans)
• Steel cans including "tin " cans, empty aerosol cans , and bimetal containers;
• Used motor oil (in plastic containers with a screw on lid only)
• Used motor oil filters (in sealed plastic bags only)
• Used cooking oil (in plastic containers with a screw on lid only)
• Small dry-cell batteries (in sealed plastic bags only)
• Compact fluorescent bulbs ( one or more contained in a sealed plastic bag)
• Any other materials mutually agreed to by City and Franchisee, which are separated by
the generator from other discards for the purpose of returning them to economic use.
For the purposes of calculating tonnages and diversion, "Recyclable Materials" does not include residue.
"Residue " is the material that cannot be recycled or composted or otherwise diverted from landfill that is
separated out from Recyclable Materials or Compostable Materials and sent to a landfill. "Contamination"
refers to materials that do not belong in one waste stream appearing in that waste stream in excess of 10 %
by visual inspection. A "contaminated load" is a load of collected material that has extraneous material in
a volume deemed to be greater than 10% by visual inspection.
Franchisee will run its "Coats and Blankets for Kids" program in the fall or winter of every year and expand
the program to include blankets . Franchisee will promote this program through its residential newsletter,
website, quarterly utility bill inserts, newspaper ads , and the City's website and access channel. Franchisee
will launder the coats and blankets and donate them to local non-profit organizations to keep children and
adults in need warm through the winter months.
"Compostable Materials" includ e :
• organic materials generated from tree trimming, shrubbery pruning, vegetative garden wastes, dead
plants, weeds, leaves, grass clippings, and non-food vegetative matter
21
• all food soiled paper, such as napkins , towels, plates, tissue , cups , and take-out containers, and
including pizza boxes and waxed cardboard boxes
• All food products and bones, such as chicken, turkey , fish, beef, and pork
• Coffee grounds, tea bags and filters
• Dairy products
• Pasta, bread and dough products
• All fruit and vegetables
• Paperboard milk cartons
All Compostable Materials must fit entirely within the Compostable Materials Container(s) provided.
For the purposes of calculating tonnages and diversion , "Compostable Materials" does not include residue.
"Residue" is the material that cannot be recycled or composted or otherwise diverted from landfill that is
separated out from Recyclable Materials or CompostableMaterials and sent to a landfill. "Contamination"
refers to materials that do not belong in one waste stream appearing in that waste stream in excess of an
estimated 10% by visual inspection. A "contaminated load " is a load of collected material that has
extraneous material in a volume deemed to be greater than l 0% by visual inspection.
Collection of E-Waste and U-Waste
Franchisee will collect used motor oil , filters , compact fluorescent lamps (CFLs) and dry cell batteries-from
single-family (not commercial or multi-family) Service Recipients on regular collection days. Motor oil
will be placed in the original retail container or other sealed , clear, plastic, or one-gallon containers
approved by Franchisee, oil filters in clear zip lock bags , batteries in separate clear zip lock bags , and CFLs
in separate clear zip lock bags . These materials will be placed on the ground at the curb, next to the Garbage
or Recyclable Materials Containers by the Service Recipient.
All Electronicwaste and Universalwaste will be collected through the on-call collection services program ,
as set forth in Section 4.12 and EXHIBIT E. All collected E-Waste and U-Waste material will be brought
back to the Recology y ard , located at 650 Martin A venue , and segregated into separate containers.
All collected batteries, CFLs, £-Waste and U-Waste will be recycled through AERC, Franchisee 's
permitted processor . All collected used oil and filters will be recycled through Evergreen Environmental ,
Franchisee's permitted processor. Franchisee will not separately charge the City for disposal of any E-
Waste or U-Waste collected from residents.
22
EXHIBIT B: Amended December 19, 2017
SCHEDULE OF APPROVED MAXIMUM RA TES
Recology Maximum Rates for the City of Cupertino
Effective Novem her 1. 2017
Service
Description
B.1. RESIDENTIAL SERVICE
SINGLE FAMILY (Monthly Rate):
Curbside
Curbside
Curbside
Curbside
Walk-up
Walk-up
Walk-up
Walk-up
HILLSIDE (Monthly Rate):
Roadside
Roadside
Roadside
Roadside
1 32-gallon cart
1 64-gallon cart
1 96-gallon cart
Each Additional Cart
1 32-gallon cart
1 64-gallon cart
1 96-gallon cart
Each Additional Cart
Additional Organics/YW Ca1t
1 32-gallon cart
1 64-gallon cart
1 96-gallon cart
Each Additional Cart
DUPLEX/MULTIPLE UNITS & Y ARDW ASTE EXEMPT
(Monthly Rate)
Front l 32-gallon cart
Front 1 64-gallon cart
Front 1 96-gallon cart
Front Each Additional Cart
Back l 32-gallon cart
Back l 64-gallon cart
Back l 96-gallon cart
SENIOR LOW-INCOME (Monthly Rate):
Frontyard/Backyard l 32-gallon cart
Exempt (No Yardwaste) I 32-gallon cart
Hillside l 32-gallon cart
ADDITIONAL CHARGES:
Extra Bag Tag
10 Bag Tags
Extra Can (I-Time)
23
Maximum
Rate
$ 25.49
$ 50.99
$ 76.49
$ 25.49
$ 39.18
$ 78.37
$ 117 .55
$ 39 .18
No Charge
$ 42.18
$ 84.34
$ 126 .53
$ 42.18
$ 21.57
$ 43 .13
$ 64.70
$ 21.57
$ 33.35
$ 66 .70
$ l 00.05
$ 12.10
$ 10.24
$ 20 .01
$
$
$
7.43
70.54
12.77
Service
Description
B.1, RESIDENTIAL SERVICE
24HR CONTAINER SERVICE:
Bin By The Day
Bin By The Day
Bin By The Day
4 Yard
6 Yard ·
7 Yard
HOUSEHOLD HAZARDOUS WASTE FEE (Monthly Rate):
Maximum
Rate
$ 164.88
$ 201.95
$ 220.47
Single-Family Residence (including units in Multi-Family $0.54
Residences that subscribe for individual MSW cai1 service)
Multi-Family Residence (Per unit, for units that do not subscribe for $0.41
individual MSW cart service)
LATE CHARGE FEE: 1.2% Per Month Delinquent (Not Compounded)
24
B.2 . NON RESIDENTIAL AND MULTI -FAMILY GARBAGE SERVICE AND
NON RESIDENTIAL AND MULTI-FAMILY COMPOSTABLE MATERIALS
SERVICE*
* Non-Residential & Multi-Family Garbage se,yice and Non-Residential & Multi-Family
Compostable Materials service shall never cost more than the rates for Commercial Garbage
service for the same quantity ofmaterial
Service Freq uency Maximum
Descript ion Rate
FRONT LOADER CONTAINERS (Monthly Rate):
I .5 CY Container IX Week Service $ I 56 .56
1.5 CY Container 2X Week Service $ 313 .16
1.5 CY Container 3X Week Service $ 469.72
I .5 CY Container 4X Week Service $ 626.30
1.5 CY Container 5X Week Service $ 782 .88
1.5 CY Container 6X Week Service $ 939.42
1.5 CY Container Extra Pick-up $ 48.56
2 CY Container IX Week Service $ 187 .92
2 CY Container 2X Week Service $ 375.75
2 CY Container 3X Week Service $ 563.69
. 2 CY Container 4X Week Service $ 751.52
2 CY Container 5X Week Service $ 939.42
2 CY Container 6X Week Service $ 1,127.30
2 CY Container Extra Pick-up $ 60.68
3 CY Container IX Week Service $ 250.51
3 CY Container 2X Week Service $ 501.03
3 CY Container 3X Week Service $ 751.52
3 CY Container 4X Week Service $ 1,002 .08
3 CY Container 5X Week Service $ 1,252.58
3 CY Container 6X Week Service $ 1,503 .09
3 CY Container Extra Pick-up $ 66.36
4 CY Container IX Week Service $ 313.16
4 CY Container 2X Week Service $ 626.30
4 CY Container 3X Week Service $ 939.42
4 CY Container 4X Week Service $ 1,252 .58
4 CY Container 5X Week Service $ 1,565 .75
4 CY Container 6X Week Service $ 1,878 .86
4 CY Container Extra Pick-up $ 82.74
6 CY Container IX Week Service $ 438.40
6 CY Container 2X Week Service $ 876.81
6 CY Container 3X Week Service $ 1,315 .2 0
6 CY Container 4X Week Service $ 1,753.60
6 CY Container 5X Week Service $ 2,192.02
6 CY Container 6:X Week ~~rvice $ 2,630.43
25
B.2. NON RESIDENTIAL AND MULTI-FAMILY GARBAGE SERVICE AND
NON RESIDENTIAL AND MULTI-FAMILY COMPOSTABLE MATERIALS
SERVICE*
* Non-Residential & Multi-Family Garbage service and Non-Residential & Multi-Familv
Compostable Materials service shall never cost more than the rates for Commercial Garbage
service for the same quantity ofmaterial
Service Frequency Maximum
Description Rate
6 CY Container Extra Pick-up $ 115.15
8 CY Container IX Week Service $ 563.69
8 CY Container 2X Week Service $ 1,127.30
8 CY Container 3X Week Service $ 1,691.00
8 CY Container 4X Week Service $ 2,254.63
8 CY Container 5X Week Service $ 2,818.29
8 CY Container 6X Week Service $ 3,381.96
8 CY Container Extra Pick-up $ 148.93
*Pushout Container IX Week Service $ 55.12
Pushout Container 2X Week Service $ 110 .55
Pushout Container 3X Week Service $ 165.52
Pushout Container 4X Week Service $ 220.80
Pushout Container 5X Week Service $ 276.06
Pushout Container 6X Week Service $ 331.43
* Container Pushout charges shall only apply to containers moved more than
25-feet to get them to the truck .
Key Service (service includes unlocking and locking
receptacle)
COMMERClAL CART RATE:
Per Cart Pickup
SPECIAL SERVICES:
Steam cleaning and re-delivery of bin
[ shall be provided once each year without charge],
Furnishing Chains (One Time Only)
Commercial
Multi-Family
LA TE CHARGE FEE: 1.2% Per Month Delinquent (Not Compounded)
26
$ 61.39
$ 25.49
$ 96.29
$ 105.65
B.3. COMPACTOR SERVICE
Service
Description
GARBAGE COMPACTOR RATE (Per Cubic Yard) (Monthly
Rate):
COMPACTOR RA TE-MIXED RECYCLABLE:
Hauling Only
Per Ton
GARBAGE, ORGANICS, AND RECYCLING COMPACTOR RA TES
Description
Garbage Compactor Rates Per Yard Per Pull
Mixed Recycling Compactor Rates Per Pull
Mixed Recycling Compactor Rates Per Ton
27
Amount Processor
$ 41.46 Newby
$ 405.97 BFI
$ 62.85 BFI
Maximum
Rate
$ 44.22
$ 405.97
$ 62.85
Dirty
NIA
$ 509.99
$ 89.78
R.4. DEBRIS-ROX SERVTCE
DEBRIS-BOX (UNCOMPACTED) SERVICE (Monthly Rate):
8 Yard Rock Box 6 Tons
8 Yard Rock Box Each Additional Ton
16 Yard Debris Box 3 Tons
16 Yard Debris Box Each Additional Ton
20 Yard Debris Box 4 Tons
20 Yard Debris Box Each Additional Ton
26 Yard Debris Box 4 Tons
26 Yard Debris Box Each Additional Ton
30 Yard Debris Box 5 Tons
30 Yard Debris Box Each Additional Ton
40 Yard Debris Box 6 Tons
40 Yard Debris Box Each Additional Ton
WEEKLY RENTAL FEE (Beyond Normal 7 Days):
LA TE CHARGE FEE: 1.2% Per Month Delinquent (Not Compounded)
SOURCE SEPARATED RECYCLING*:
$ 448 .28
$ 43.43
$ 500.37
$ 93.06
$ 558.64
$ 93.06
$ 765.68
$ 93 .06
$ 905.35
$ 93.06
$ 965.79
$ 93.06
$ 151.22
08DOR 08DOR 16-40DOR 16-40DOR
Haul Rate
Recycling Rate per
ton
Clean
Dirt
$ 448.28
$ 43.43
Clean
Concrete
Asphalt
$ 448.28
$ 43.43
OTHER MI SCELLANEOUS RA TES
Description
Daily Rental Rate For Boxes Beyond 7 Days
Weekly Rental Rate For Boxes Beyond 7 Days
Clean Wood
$ 448.28
$ 43.43
Sheet Rock
$ 448.28
$ 43.43
Trip Charge For Empty Debris Box/Compactor (No Dump)
Dry Run , Scheduled Service Bin Empty
Code
RENT
RENT
TRIP
TRIP
RELOC
CANCL
TRIP
Amount
$ 23.80
$ 151.22
$ 89.66
$ 179.31
$ 89 .66
$ 59 .77
$ 179 .31
Relocate Container After Initial Delivery
Same Day Cancelation (No Dump)
Steam Clean after exchange bring back to yard
EXHIBIT B SHALL BE REVISED TO REFLECT ANNUAL RA TE ADJUSTMENTS PER THE
CPI FORMULA SPECIFIED IN TIDS AGREEMENT
<Decem6er 201 7 28 Cupertino-Co(Cection .JLgreement
EXHIBIT C: PUBLIC EDUCATION AND OUTREACH PLAN
(Amended December 19, 2017)
Franchisee's outreach and education goal will be to supplement the City's efforts to create
visibility, awareness and support for both new and ongoing diversion programs ..
The City may develop pilot programs in pursuit of diversion goals. Franchisee will support pilot
programs per Section 9.3.2 through accommodations such as, but not limited to, temporary
adjustments to collection routes, changes in type or size of collection carts and bins, and changes
in signage or labels.
Franchisee's focus will be:
Proactive Communications: Franchisee will complement the City's communications efforts.
Franchisee will:
• Comply with all City communications requirements.
• Create a clear and compelling direct mail piece that articulates changes, enhancements,
schedules, and simple instructions to make participating in the recycling programs easy.
• Maintain a website for customer use, with links to additional resources.
• Place program advertisements in local newspaper.
• Produce and distribute service brochures for single-family and commercial service units.
Poster will be provided to commercial service customers also.
• Support and participate in the City's events.
Being Visible and Accessible during ongoing public education: There will be many
opportunities to be visible and accessible as the City continues to roll out its expanded
program. Franchisee will:
• Support, participate and 10m all City-sponsored events, and festivals as well as
community and neighborhood meetings, organized for the purpose of promoting and
educating residents relative to the City's program.
• Support, participate and join all City-sponsored media initiatives (including the
preparation of press kits).
• Hold informational meetings at City hall to answer questions and pass out informational
brochures.
(J)ecem6er 2017 29 Cupertino-Co[fection }1.greement
•
Franchisee Facilities as a Resource: Franchisee will make their facilities, including the
processing facilities to be utilized during the term of the contract, available for the public
education process:
• With the City's approval and in tandem with its efforts, Franchisee will work to generate
and grow media interest by offering facility tours and encouraging them to promote the
City's program using these facilities as a focal point.
Youth Engagement:
• Franchisee will increase efforts to promote recycling in the community and particularly
in local schools, recognizing that waste generated by schools in Cupertino affects the
City's diversion.
Being a Good Neighbor: Franchisee will focus on building a partnership and enrolling the
rich expertise that resides within the community to ensure the recycling program is
successful. Franchisee will:
• Look for and enroll community partners to help conduct public education and community
outreach services with particular emphasis on communication with its many
constituencies.
• Enlist the creativity, support and partnership of community organizations to help
promote the City's program. (They will have great ideas!)
Proactive Communications: To complement the City's on-going communications efforts,
Franchisee will:
• Comply with all City communications requirements.
• Notify City a month in advance about noticeable operational changes (route audits,
website changes).
• Attend meetings with the City, monthly for the first year of the amended contract, then
quarterly or as needed. Franchisee's management shall convene an internal meeting with
drivers and other staff at least once a year to review requirements and provide training.
• Produce an annual Public Education & Outreach Plan each year and submit it to the City no
later than September 1st each year for the term of the contract
• Create annually at least one clear and compelling direct mail piece (multi-lingual) for all
residents . This piece will be professionally created and will articulate changes,
enhancements, schedules, and simple instructions to make participating in the residential
<Decem6er 2017 30 Cupertino-Co[fection Jlgreement
collection easy for the City's residents. The piece will be made available in Mandarin on
Franchisee's website.
• Create at least four distinct City-approved public education outreach campaigns per year
focusing on increasing diversion. These campaigns will correspond to the seasons of the
calendar year and/or program elements that prove to be challenging for residents to
understand (because the hauler sees problems in the field that can be corrected through
public education). Campaigns could include distribution of tools to aid program
implementation, door to door outreach, neighborhood workshops, school assemblies,
creek cleanups & associated education, website, and social media. The themes of these
campaigns may be as follows:
o FALL -Reinforce procedures for participating in the program correctly. Special
attention will be paid to educating residents to reduce the most common problems
seen during the year. Franchisee will conduct a coat and blanket drive in the fall or
winter .
o WINTER -Holiday tree recycling -critical information people need to know in order
to participate in the program correctly.
o SPRING -Review of the basics and remind people what's okay and what's not:
• Timeframe in which to set out carts for service: Avoid placing carts out too early
(more than 24hrs in advance or more than 12 hours in advance in a bike lane).
• Incorporate bike friendly messaging that aligns with the City of Cupertino 2016
Bicycle Transportation Plan. Franchisee shall curb carts to help keep the bike lane
clear.
• Correct placement of carts for service.
• Avoiding contamination: What's acceptable and what's not in Compostable ahd
Recyclable Materials Containers.
o SUMMER -Reinforce messages emphasized in the spring campaign, and focus on
areas where non-compliance has become a problem that public education can correct.
Franchisee will:
• Develop supplementary simple informational pieces to support the above periodically
conducted campaigns.
• Maintain an active website for customer use with links to the City's website.
' , I,,,
• Create a YOUTH campaign to engage and educate children about this program.
• Place promotional ads on all residential collection trucks to promote collecting food scraps
in Compostable Containers or proper disposal of household hazardous waste provided
<Dece m6er 201 7 31 Cupertino-Co{fe ct ion Jl greemen t
the City pays Franchisee for the cost of ad signs and brackets. Recology would invoice the
City for truck ads.
• Attend meetings with the City to ensure consistency and coordination in all public
education and outreach messages and campaigns.
Franchisee Facilities as a Community Resource: Franchisee's facilities, including processing
facilities, will be made available for City staff and public education purposes.
Youth Engagement: Children will be an integral part of our on-going public education
efforts. Franchisee will:
• Comply with all City requirements relative to engaging youth. In particular, Franchisee
will create and implement on an annual basis, a customized Youth Community Outreach
Campaign.
• Continually promote recycling in the community and particularly in local schools.
• Make contact with school leaders to determine the best ways to involve teachers, students
and schools as a whole, to engage this special constituency in ways that work for them.
• Ensure all Franchisee displays are geared to and easily understood by kids.
Promote Community Health and Safety: Franchisee will strive to do this every day in every
neighborhood they serve with the goal of expanding the good neighbor efforts that have been
successful up to this point. Franchisee will:
• Expand the use of community partnerships to gain help in conducting on-going public
education and community outreach services.
• Enlist the creativity, support and partnership of community organizations to help
promote the City's on-going program.
• Continue and expand efforts to support worthy community organizations through an on-
going charitable cash and in-kind contributions program.
• Continue and expand efforts to support community safety and crime prevention
programs. This is natural since the trucks are ever-present in the neighborhoods and
communities.
(J)ecem6er 2017 32 Cupertino-Co[fection )Igreement
EXHIBIT F: CITY FACILITIES SERVICES
(Amended December 19, 2017)
Franchisee shall provide collection and processing of Recyclable and Compostable Materials
and collection and disposal of Garbage, at no charge, to the following City facilities:
City Hall & community center
Library
Quinlan Community Center
Senior Center
Sports Center
All City Parks (to be determined)
Public Works Service Center
Traffic Operations Center (Franco Ct.)
McClellan Ranch Preserve
Manta Vista Recreation Center
Compost Site
Special event service at creek cleanups, Fall Festival, Diwali, Lunar New Year, Independence
Day, Earth Day, and other events, all as mutually agreed.
(j)ecem6er 2017 33 Cupertino-Co[fection }lgreement
EXHIBIT G: ACCESS TO RECORDS AND REPORTING REQUIREMENTS
(Amended December 19, 2017)
City, its employees and agents shall have access to records and files which are generated or
created in connection with Franchisee's performance of this contract and the delivery of services.
Franchisee shall be required and hereby agrees to provide access to these documents/files to City,
its employees and agents during regular business hours and after receiving reasonable notice
from City .
The information required for the monthly and annual reports in sections 1 through 3 of this
Exhibit G, shall meet the reporting requirements of the California Integrated Waste Management
Act, as such Act may from time to time be amended . In addition, each Monthly Report shall
include the information described in Sections 1 through 3 of this EXHIBIT G. Franchisee shall
provide these reports electronically only, in an editable format approved by City, such as Excel
or Word.
Franchisee shall produce and maintain a list of businesses and business structures that are
required by the municipal code and by AB 1826 to subscribe to organics collection service as
referenced in Article 4.9. Franchisee shall provide this list to the City at least 6 months prior to
the implementation dates specified in Article 4.9. On request, the complete list of businesses and
business structures that are required by the municipal code and by AB 1826 to subscribe to
organics collection service shall be made available to City within 10 Working Days (up to five
times during the Agreement).
1. Monthly Reports.
Franchisee shall provide sufficient staff to meet reporting requirements and shall
submit, within forty (40) calendar days following the end of each month, a Monthly
Report on the amount of Recyclable Materials collected, Compostable Materials collected,
Garbage collected and disposed, and materials collected at City-wide recycling events. In
such Monthly Reports, Franchisee shall: (i) Report total number of businesses without
recycling service and without organics service that reasonably appear, based on
subscribed level of service (and, for MFDs, number of units), to be required to recycle or
compost per the municipal code, AB 341, or AB 1826; and (ii) List commercial and multi-
family accounts that do not subscribe to Recyclable Materials collection service or
Compostable Materials Collection service due to a backhaul program utilized by the
Service Recipient where Franchisee is aware of such backhauling.
To support the City's participation in the U.S. EPA Food Recovery Challenge, the
data on Compostable Materials diverted from landfill shall include a breakdown between
food waste and yard waste in tonnage rounded to two decimal points ..
1.1 Monthly Summary.
The Monthly Report shall contain a summary of the information reported
<Decem6er 2017 34 Cupertino -Co[fection .lLgreement
pursuant to Section 1 of this EXHIBIT G. Reports shall also contain a description
of milestones achieved; changes in staffing levels; a listing of special occurrences
such as any drop in tons diverted from the previous month due to contamination;
and any other relevant information, including details of any City-wide Re cycling
Days which occurred during that month.
1.2 Monthly Report on Debris Box and Compactor Revenue and Disposal Cost.
The Monthly Report shall detail separately the monthly tonnage and
revenue collected from both debris boxes and compactors (this revenue is
excluded from Eligible Revenue). In addition the Monthly Report shall set forth
separately for debris boxes and compactors, the landfill disposal costs for all loads
excluded from the Eligible Revenue and for which Franchisee pays Newby Island
Landfill (Republic Services) directly.
1.3 Sales of Recyclable Materials and Compostable Materials.
The Monthly Report shall contain a Monthly Recyclable Materials and
Compostable Materials sales statement showing: type of material, the name of
each buyer, date of sale, terms of sale, quantity sold (in tons or cubic yards), and
net sales (net sales means gross sales minus both sales returns and sales
allowances). Tonnages sold at different prices during the month must be reported
separately. Adjustments to previous months' sales (such as for contaminants)
shall be reported on the current statement a s a reduction in sales and referenced
to the statement for the prior month in which the original sale was actually
reported.
Franchisee shall provide City, in each Monthly Report, a list of addresses
for all households that have received a backyard Compost Bin during the month
covered by such Monthly Report.
1.4 Contaminants.
The Monthly Report shall include a statement of the weight (in tons) of
contaminants in the Recyclable Materials and Compostable Materials collected
during the month, the weight of the contaminants expressed as a percentage of the
Recyclable Materials and Compostable Materials collected, and a description of
the disposal methods for the contaminants.
On a quarterly basis, Franchisee's monthly report shall include the
tonnage4 attributed to Cupertino which was taken to landfills other than Newby
Island as residual from organics screening or processing at any Recology facility.
The monthly report shall include the Franchisee's methodology for estimating
what percentage of jurisdictionally commingled non-compostable tonnage that
was landfilled is attributable to Cupertino and reported to CalRecycle through the
Disposal Reporting System (DRS).
'Tonn age ro unde d to two d ecimal p oints
(J)ece m6er 201 7 35 Cupertino -Co[fect ion Jf.g re ement
1} ·1 I
The Franchisee's monthly report shall contain information on all loads of
Recyclable Materials and Compostable Materials that are rejected at the Recyclable
Materials processing facility or Compostable Materials processing facility
respectively, including the date and time the load was rejected at the processing
facility, the Franchisee truck number, and the materials in the load that required
the load to be landfilled.
Franchisee shall provide, in each Monthly Report, a list of the Service
Recipients' with more than an estimated 10% observed contamination of
Recyclable Materials or Compostable Materials that were reported to City under
Sections 4.8.3 and 4.9.3. The list of Service Recipients' accounts shall include the
business name, account holder's name and contact information, address, the date
and time the contaminated load was observed by the driver, the Franchisee truck
route, truck number, and the contaminants observed in the load that required non
collection, or the load to be landfilled.
1.5 Problems Encountered.
The Monthly Report shall include an account of problems encountered
during the reporting period in connection with Recyclable Materials and
Compostable Materials Collection (including scavenging), processing and/or
marketing, a list of Non-Residential Service Recipients that declined to accept
Compostable Materials or Recyclable Materials collection, the date the service was
declined, the date the City was notified, reasons Non-Residential Service
Recipients gave when asked why they declined to accept Compostable Materials
or Recyclable Materials service, and the actions taken by Franchisee in response .
The report shall include a description of problems relating to non-collection
because of contamination in the Recyclable Materials Containers and Compostable
Materials Containers or because of blocked access. The report shall also include a
description of Recyclable Materials and Compostable Materials rejected at the
processing facility (by type of material and tonnages), reason(s) for rejection, and
Franchisee's disposal method and final destination for the rejected load.
1.6 Public Education Activities.
The Monthly Report shall include a description of the public education and
community relations activities performed by Franchisee during the month and
Franchisee's evaluation of the success of such activities in promoting the Programs
or in addressing problems encountered by Franchisee.
1.7 Service Log.
<Decem6er 2017
The Monthly Report shall contain a copy of Franchisee's telephone, e-mail,
and voice message complaint log, and include the name and address of each caller,
the reason for the call, details on each complaint and a description of how each
complaint was resolved.
The Monthly Report shall contain a list of all known occurrences of service
36 Cupertino -Co[[ection Jlgreement
deficiencies listed in section 12.5 Liquidated Damages including but not limited to
all pickups missed, too-early collections, and vehicle fluid leaks that occurred
during the reporting period, with the date, the truck route, the truck number, the
driver's initials or employee identification number, and a description of the
response to each call.
1.8 New Service Recipients.
The Monthly Report shall contain a listing of all new Service Recipients,
including their name, address and level of service .
1.9 Non-Residential Compostable Materials Service Recipients.
The Monthly Report shall include a list of all changes to Non-Residential
Service Recipient accounts (e.g. new accounts, changed accounts) that subscribe to
Compostable Materials Collection service. This list of changes shall inform the City
of the level of service provided (frequency and container size), collection days, the
address of the collection location, the address of the account holder if it is different,
and if a Non-Collection Notice (NCN) has been left by the Franchisee for such
Service Recipient.
1.10 Loads Rejected by the Processor
The Monthly Report shall include a list of any Non-Residential loads of
(Compostable Materials, Recyclable Materials or Garbage) that are rejected by the
processor, the date that the load was rejected, the Service Recipient's name and
address, the type of material collected and the reason that the material was
rejected.
1.11 Tonnage for Re-TRAC to support City's participation in U.S. EPA's Food
Recovery Challenge.
Franchisee will enter in the Re-TRAC database, Franchisee's good faith
estimates of annual tonnage for Residential and Non-Residential food waste
composted (excluding residual).
2. Compost Quality Reports.
On April 1 and October 1 of each year of this Agreement, Franchisee shall provide
City with copies of Laboratory reports on the quality of the Compost Materials produced
from the Compostable Materials collected in City sometime in the prior three months, and
on the compost materials provided to City as required in Section 8.1 of this Agreement.
3. Annual Reports.
3.1 Annual Report Submitted By Franchisee.
<Decem6er 2017
To be consistent with CalRecyle' s Annual Report periods, Franchisee shall
provide its annual report to the City for the calendar year. Within 60 days
37 Cupertino-Co[{ection )1.greement
4.
following the end of each calendar year, Franchisee shall provide City with an
Annual Report containing: a summary report of the Monthly Reports for the year,
including information on the total annual quantities of Garbage collected and
disposed, Recyclable Materials collected, and Compostable Materials collected.
The Annual Report shall detail the Compostable Materials collected broken down
by the tonnage and cubic yards of food waste collected and the tonnage and cubic
yards of yard waste collected.
The Annual Report shall contain a discussion of public awareness activities
and their impact on recycling participation and recovered amounts, and a
discussion of highlights and other noteworthy program experiences, along with
measures taken to resolve problems, increase efficiency, and increase
participation.
The Annual Report shall also contain a detailed discussion of the progress
made during the year toward meeting a fifty percent (50%) diversion rate for Non
Residential Service Recipients and for multi-family sectors as calculated in Exhibit
H.2.
Franchisee shall annually provide, in a Microsoft Excel format, or other
electronic format acceptable to City a Residential and Non-Residential report that
summarizes container sizes and service levels. City and Franchisee shall meet to
discuss incorporating the changes requested and possibly streamlining current
reporting items in the monthly report.
3.2 Vehicle Fleet Information.
3.3
Each year of the term of this Agreement, Franchisee shall submit to City,
as an attachment to the Annual Report, all information required by Section 6.1.6
of this Agreement.
Audited Financials.
After the end of each fiscal year of Franchisee, Franchisee shall submit to
City a copy of its audited financial statements for such year. Such audited
financials shall include all of Franchisee's revenues under this Agreement during
such fiscal year.
End of Agreement Reports.
Reports covering the last period of this Agreement will be due following the end
of collection services, on the schedule stated in this EXHIBIT G.
(J)ecem6er 2017 38 Cupertino-Co{{ection Agreement
EXHIBIT H: DIVERSION
(Amended December 19, 2017)
H. Calculation to determine the City's diversion rate for 2018 for residential (population) and
commercial (employment) sectors.
For purposes of determining if the requirements of the Agreement, including those under
Paragraph 2.2.1 are met, the following CalRecycle Disposal Reporting System (DRS) "Diversion
Equivalent Rate" (DRE) formula shall be used:
DRE = [ l _ ( Annual Per Capita Rate) ] X lOO
2 x Target Rate
As an example, for Cupertino's Population (Residential) Diversion Rate Equivalent (DRE) for
2012, using the 2012 CalRecycle pounds per person per day target with 2012 annual actual (as
shown in the below table), is as follows:
CalRecycle Disposal Rate Target for Cupertino for 2012
TARGET
2012
ANNUAL(actual)
Population (Pounds/Person/Day) 4.3 2.6
Employment (PPD) 8.1 4.3
DRE= [ 1-( ~)] x 100
2 x4.3
= [ 1 -(~ ) ] X 100
8.6
= [ 1 -0.302 ] X 100
= 69.8 % (approximately)
And, for Cupertino's Employment (Commercial) Diversion Rate Equivalent (DRE) for 2012, the
equation is:
DRE= [ 1 -( __±2__) ] x 100
2 xB.1
= [ 1 -(E) ] x 100
16.2
= [ 1 -0.265 ] X 100
= 73.3 % (approximately)
(f)ecem6er 2017 39 Cupertino-Co[fection )1.greement
Actual calculations for subsequent years shall be based upon CalRecycle's annual municipal data
collected in August of each year for the preceding calendar year (for example, data for 2016 is
collected in August 2017).
Diversion calculations may exclude C&D tonnages from the Apple Park project due to the
project's uniquely large size.
H.2 Calculation to determine the City's diversion rate for 2019 for Commercial and Multi-
Family Franchisee collection services.
Diversion shall be calculated using the following formula:
(A+ B) I (A+ B + C) = Diversion percentage for Commercial and Multi-Family
A= Tons of recycled Commercial and Multi-Family materials
B = Tons of composted Commercial and Multi-Family materials
C= Tons of Commercial and Multi-Family material landfilled
Residue from processing recyclables and compostables that are landfilled shall be counted in
the tons of commercial and multi-family material landfilled, not as tonnage recycled or
composted.
Diversion Program Features
Single-Family Residential Services:
• Provide each residential customer with a dishwasher-safe, pitcher or pail. These pitchers
or pails can be used for the in-home storage of compostable organic materials. The
dishwasher compatible pitcher or pail will be convenient for residents to clean and
maintain.
• Single-stream collection of commodities listed below at "Recyclable Commodities"
• Curbside collection of CFL bulbs in clear zip lock bags
• Curbside collection of dry cell batteries and cell phones in clear zip lock bags
• Curbside collection of used motor oil in 1-gallon containers and used oil filters in clear
zip lock bags
• Curbside collection of E-Waste and U-Waste through on-call collection programs
(J)ecem6er 2017 40 Cupertino-Co{{ection )Igreement
• On-call collection of material and diversion of all recyclable and reusable materials
• Curbside collection of cooking oil, in 1-gallon containers marked as "Cooking Oil"
• Curbside collection of "Coats and Blankets for Kids" every fall
• Provide a four times-per-year "Environmental Day" for the collection of recyclable
commodities listed below at "Recyclable Commodities"
• Distribute public outreach material highlighting the recyclables and organics collection
programs
• By May l, 2018, develop a three-minute "How to Utilize Your Organics and Recycling
Cart" video for viewing on the City of Cupertino Cable access channel and for schools
Multi-Family Residential Services:
• Two On-Call collections for each resident per year at no charge per EXHIBIT E. Each
multi-family complex shall be entitled to up to two on-call collections times the number
of units in the complex, per year.
• Conversion to single-stream collection of commodities listed below at "Recyclable
Commodities"
• Contact management of every MFD complex to initiate or expand recycling services
• Provide to each MFD unit whose complex participates in the organics collection service,
a dishwasher-safe, one-half to one gallon capacity container, for the in-home storage of
Compostable Materials.
• Provide each MFD unit with a "Recycling Tote Bag" for the in-home storage of single-
stream recyclables
• Collection of E-Waste and U-Waste through on-call collection programs
• Provide drop-off containers at MFD management offices for dry cell batteries and cell
phone recycling
• Arrange HOA presentations on the recyclables and organics collection programs
• Distribute public outreach material highlighting the recyclables and organics collection
programs
([)ec em6er 201 7 4 1 Cupertino-Co[fection }lgreement
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By May 1, 2018, conduct a Recyclin9 ~litz at large multi-family developments. Recology
Zero Waste Coordinators and Management will visit buildings on Saturdays to distribute
"Buddy Bags" to help residents sort recyclables, along with a brochure guide
By May 1, 2018, develop a three-minute "How to Utilize Your Organics and Recycling
Cart" video for viewing on the City of Cupertino Cable access channel and for schools
Commercial Services:
• Conversion to single-stream collection of commodities listed below at "Recyclable
Commodities"
• Contact every new commercial customer to initiate or expand recyclables and organics
collection services
• Upon request, provide each commercial customer with a "Slim Jim' container for the
indoor accumulation of organics materials
• Arrange presentations of recycling programs at civic groups, schools, community
functions, City events, City and Recology websites, and the City access channel
• Distribute public outreach material highlighting the recyclables and organics collection
programs
• Lend Clear Stream stands upon request for large Cupertino school events such as football
games. Especially to divert food and compostable material.
<Decem6er 2017 42 Cupertino -Co{Cection Jlgre ement