Res 2018-74 Contract for Recycling ServicesRESOLUTION NO. 2018 - 74
A RESOLUTION TO APPROVE CONTRACT FOR RECYCLING SERVICES:
ALLIED WASTE SERVICES OF NORTH AMERICA LLC
WHEREAS, Minn. Stat. §115A.551 sets the goal to recycle 75 percent by weight of total solid
waste generated by December 31, 2030; and
WHEREAS, Fridley City Code Chapter 113 specifies that the City of Fridley will provide for the
collection of all recyclables form all residential properties, single unit through 12 -unit multiple
dwellings; and
WHEREAS, the City of Fridley issued a Request for Proposal for the provision of such services;
and
WHEREAS, Allied Waste Services of North America LLC operating in the State of Minnesota
as Republic Services of Blaine, submitted the recommended proposal and is willing to perform
the obligations set forth by this Contract;
NOW, THEREFORE, BE IT RESOLVED, that the Mayor and City Manager are authorized to
execute the Contract for Recycling Services included as Exhibit A.
PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS
17TH DAY OF DECEMBER, 2018.
SCOTT J. LUND - MAYOR
ATTEST:
DEBRA A. SKOGEN - CITY CLERK
CONTRACT FOR RECYCLING SERVICES
CITY OF FRIDLEY, MINNESOTA
AND
Allied Waste Services of North America, LLC
(CONTRACTOR)
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CONTRACT FOR RECYCLING SERVICES
This Agreement is made on , between the City of Fridley, a municipal corporation
organized and existing under the laws of the State of Minnesota, hereinafter called the "City" and
Allied Waste Services of North America, LLC, a Delaware Limited Liability Company, qualified to do
and actually doing business in the State of Minnesota as Republic Services of the Twin Cities - Blaine,
herein called the "Contractor".
1 Purpose of Agreement
The purpose of this Agreement (also known as Contract) is to define the requirements of the Recycling
Services program for dwellings of up to and including 12 dwelling units and designated municipal
facilities. The goal of the City is to maximize the fullest recovery possible of recyclable materials in a
convenient, cost-efficient manner.
As of November 1, 2018 City utility billing records lists 9093 dwelling units that qualify to receive
recycling service under this contract Agreement. This unit count does not include additional municipal
facilities that need to be serviced under this Agreement, which are listed under Section 17.
2 Terms of Agreement
The term of this seven (7) year Agreement shall be from May 1, 2019 through April 30, 2026, the date
of signature by the parties notwithstanding. This Agreement is renewable, upon the written mutual
consent of the parties.
3 Definitions
Minnesota Statute definitions shall be the primary legal basis for all contract definitions. Other
definitions included herein are for purposes of ease of communication. However, if a contract
definition is in conflict with the Minnesota Statutes, the Minnesota Statutes shall take precedence.
Aluminum: Disposable containers fabricated primarily of aluminum, commonly used for soda, beer,
juice, or other beverages; clean aluminum foil and pie tins.
Cardboard: Cereal, cracker, pasta, shoe, gift, electronic, tissue, beverage, and other similar
containers. Does not include plastic, wax, or other coated cardboard.
Cartons: Cartons include carton packaging such milk cartons, juice cartons, juice boxes, soup, broth
and wine cartons, and other similar containers.
City: City of Fridley, a Minnesota municipal corporation.
Collection District: means a specific geographic area of the City established for the purpose of having
Curbside Recycling collection for all dwelling units on the same day.
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Collection Route: means a contiguous geographic area within a Collection District determined by the
Contractor that will be serviced by one collection vehicle and which may be used to measure collection
progress. These routes and changes to the routes must be approved by the City.
Contractor: The entity or team of entities which enters into a contract with the City for the collection
of recyclable material.
Dwelling Unit (DU): A single -unit providing complete independent living facilities for one (1) or
more persons, including permanent provisions for living, sleeping, eating, cooking and sanitation.
Education Tag: means an information tag notifying residents about unacceptable materials set out for
collection. The tag will also contain information regarding preparation requirements. The tag must be
left at the residence if any portion of the recycling set out is not taken.
Extra Collection: The additional collection of recyclable material in excess of the provided recycling
cart.
Glass: Glass includes unbroken brown, clear, and green glass containers such as bottles and jars used
for food and beverages. Glass does not include window glass, mirrors, or light bulbs.
Markets: Any person or company that buys (or charges for) recycling of specified materials and may
include, but is not limited to: end -markets, intermediate processors, brokers and other recycling
material reclaimers.
Material Recovery Facility (MRF): A specialized facility that receives, separates and prepares
recyclable materials for marketing to end-user manufacturers.
Multi -Unit Dwelling (MUD): Generally, buildings in larger multi -family buildings with five (5)
dwelling units or more per structure.
Non -Targeted Materials: Materials that are not included in the City's recycling program.
Organics/Source-Separated Compostable Materials: Food wastes, plant materials, and paper that
are not otherwise recyclable as defined in Minnesota Statutes Chapter 115A that are:
A. Separated at the source by the waste generator for the purpose of transporting them to a
commercial compost manufacturing facility;
B. Collected separately from mixed municipal solid waste and are governed by the licensing
provisions of Section 115.93;
C. Delivered to a facility to undergo controlled microbial degradation to yield a humus -like
product meeting the Pollution Control Agency's class I or class II, or equivalent, compost
manufacturing standards and where process rejects do not exceed fifteen (15) percent by weight
of the total material delivered to the facility; and
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D. May be transferred to a licensed compost manufacturing facility, unless the Commissioner
of the Pollution Control Agency determines that no other person is willing to accept the
materials.
Paper: Mail, office and school paper; magazines and catalogs; newspaper and inserts; phonebooks;
and other similar products.
Plastic: Plastic bottles and jugs including those with attached caps; plastic cups and containers such as
yogurt cups, pudding and fruit cups, clear disposable cups, margarine and whipped cream tubs, clear
produce, deli, and take out containers, and other similarly containers . Does not include plastic bags,
polystyrene foam, or wrapping film.
Recyclable Materials: Materials that are separated from mixed municipal solid waste for the purpose
of reprocessing, including, but not limited to aluminum, cardboard, cartons, glass, paper, plastic, and
steel cans. This does not include material used to create refuse -derived fuel or material that is
destroyed by incineration. Materials may be added to this list by mutual written agreement between the
City and Contractor. Also referred to as "recycling".
Residuals: Materials collected and delivered to the processing facility, and removed from the
recyclable materials for composting, incineration or landfill disposal prior to or during processing.
Single -Stream Recycling: Rigid containers and fibers collected and processed together.
Steel Cans: Disposable containers fabricated primarily of steel or tin used for food and beverages.
Walk-up Service: A service for door -side collection of recyclables at designated DU's upon request
from the City or from the resident for anyone who is unable to convey recyclables to the curb. The
Contractor "walks up" to collect their materials.
4 Compensation to Contractor
4.1 PER DU PRICE
The City shall pay the Contractor the following rate over the term of the seven year contract:
The rates shall be comprised of a combined Monthly Collection Charge and a Recycling Processing
Charge. The Monthly Collection Charge shall be:
$2.50 per DU per month, May 1, 2019-
April 30, 2020
$2.58 per DU per month, May 1, 2020-
April 30, 2021
$2.66 per DU per month, May 1, 2021-
April 30, 2022
$2.75 per DU per month, May 1, 2022-
April 30, 2023
$2.85 per DU per month, May 1, 2023-
April 30, 2024
$2.95 per DU per month, May 1, 2024-
April 30, 2025
$3.05 per DU per month, May 1, 2025-
April 30, 2026
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Each year, the Monthly Collection Charge shall be adjusted set forth above (the "Annual Collection
Rate Adjustment").
The Recycling Processing Charge shall be determined based on the formula in Attachment A.
4.2 METHOD OF PAYMENT
The Contractor shall submit monthly itemized invoices to the City. Invoices so submitted shall be paid
within thirty (30) days of receipt by City.
4.3 CERTIFIED DWELLING UNIT (DU) COUNT AND SET OUT RATE
The Contractor may request that the City re -certify the number of DUs existing in the City at any time
throughout the term of this Agreement. Likewise, the City may request that the number of DUs
serviced be adjusted within 30 days of notification to the Contractor in the event that dwelling units are
added or removed from the City.
5 Collection
5.1 COLLECTION DAYS AND HOURS FOR CURBSIDE RESIDENTIAL
RECYCLING
The Contractor must collect recyclables according to the existing collection districts on Monday,
Tuesday, Wednesday, and Thursday per the Fridley Recycling Collection Districts Map contained in
Attachment B. The parties of this Agreement may mutually agree to change the collection districts
with the initiating party bearing the cost of direct mail notification to all property owners and residents
of the changed district.
Contractor must not begin recycling collection service prior to 7:00 a.m. Collection routes must be
complete by 8:30 p.m. Exceptions to collection hours may be modified only upon the mutual
agreement of the City and Contractor.
5.2 FREQUENCY
The collection frequency will be every other week with the first week of collection beginning May 1,
2019.
5.3 SEVERE WEATHER
Except as otherwise provided herein, recycling collection may be postponed due to severe weather at
the sole discretion of the Contractor. The Contractor shall consult with the City before postponing
collection. Collection will be postponed to a day mutually agreed upon.
5.4 HOLIDAY SCHEDULE
During a week when the holidays listed fall on a collection day (Monday - Thursday), recycling
collection will be one day late. The six holidays where this will occur are: New Year's Day, Memorial
Day, Independence Day, Labor Day, Thanksgiving, and Christmas Day.
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5.5 POINT OF COLLECTION
Single-family through three -unit dwelling units, including manufactured homes, will be serviced
curbside unless noted in Attachment C (the map of DU's accessible by alley or alternative means, as
qualifying for alleyside or alternative collection as mutually agreed upon by the City and Contractor.)
The curbside point of collection is at the edge of the curb along the respective public or private street
from which the DU gains its access. When construction work is being performed in the right-of-way,
recycling carts shall be placed as close as feasible to an access point for the collection vehicle.
Contractor may decline to collect any carts not so placed, but must provide photographic
documentation of the reason for declining collection.
Dwellings of between four and 12 DUs in size will not be required to place recycling containers
curbside. Contractor will service carts or dumpsters at dwellings of between four and 12 dwelling units
where they are stored, typically next to garbage enclosures. The Contractor and City may mutually
agree upon alternate collection arrangements for these dwellings where space constrains or other
limitations to normal servicing methods exist.
5.6 WALK-UP SERVICE
At the start of the Contract, 34 DUs receive walk-up service in the curbside recycling collection
program. If additional customers request walk-up service, the City and Contractor shall negotiate the
terms of the financial compensation, if any, to be provided to Contractor for walk-up service accounts.
6 Recycling Cart Supply
The Contractor shall purchase, own, provide, inventory and distribute sturdy curbside wheeled carts to
all dwelling units, except for those multi -unit dwellings in which it is determined that a dumpster is
more appropriate, during the entire term of the Agreement. The Contractor shall maintain carts as
necessary. The carts shall be uniform and consistent in color and design. Each DU will be provided
one 65 -gallon cart. Alternate sizes and additional carts shall be available upon at no additional cost.
The Contractor shall maintain sufficient cart inventory of the proper size and color to meet supply and
demand needs for the entire term of the Agreement.
The Contractor shall be prepared to deliver all service containers to households upon request within
two weeks of a request.
7 Contractor's Property
All carts, trucks, and any other equipment that Contractor furnishes under this Contract shall remain
Contractor's property. The City and its residents shall use the equipment only for its proper and
intended purpose and shall not overload (by weight or volume), or alter the equipment.
8 Excess Collection
The Contractor shall collect excess collection provided that it is stored in paper bags or, in the case of
cardboard, is flattened and bundled neatly with twine, and placed adjacent to the recycling cart.
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9 Liquidated Damages
The City shall send a formal written letter or electronic notice outlining the issue and notifying the
Contractor of a violation. After such notice, the Contractor shall be liable, and the City shall charge the
Contractor accordingly, for liquidated damages at the following rates, upon a determination by the City
that performance has not occurred consistent with the provisions of the Agreement.
9.1 MISSED COLLECTIONS
The Contractor shall have a duty to pick up missed collections in which a recycling cart was properly
set out before 7:00 a.m. on the day of collection. The Contractor shall not have a duty to pick up
improperly set out carts or carts set out after 7:00 a.m. Photographic documentation must demonstrate
the reason the recycling was not collected.
The Contractor agrees to pick up all missed collections on the same day the Contractor receives notice
of a missed collection, provided notice is received by the Contractor before 11:00 a.m. on a business
day. With respect to all notices of a missed Collection received after 11:00 a.m. on a business day, the
Contractor agrees to pick up that missed collection before 6:00 p.m. on the following business day.
The penalty for missed collections not picked up by 6 p.m. the next business day is:
• Five hundred dollars ($500) per individual occurrence;
• One thousand dollars ($1,000) per missed pick up of an entire block. A missed
block is defined as a block where residents from at least three households within
two intersections of that block or cul-de-sac report a missed collection;
• Two thousand dollars ($2,000) per incident of failure to complete collection on
the scheduled collection day when the City did not, or does not retroactively,
approve extension of collection hours; and
• Three thousand dollars ($3,000) per occurrence of failure to complete a majority (50%
or more) of collections within the collection district on the scheduled collection day
when the City did not, or does not retroactively, approve extension of collection hours.
Exceptions
If City staff is notified of a delay prior to 4 p.m. on the scheduled collection day, the Contractor shall
be deemed not liable for liquidated damages when the Contractor's inability to perform recycling
collection service is the result of conditions beyond its control such as acts of God or severe weather,
civil disorder, significant road construction, changes in statues, regulations and ordinances and other
acts beyond the control of the Contractor. When the City and the Contractor have mutually agreed that
the Contractor may safely return to the City, the Contractor shall have five (5) days (excluding
Saturdays, Sundays, and holidays) to provide such service. In the event of a continuing failure beyond
said period, the Contractor shall not be entitled to payment for any dwelling unit not serviced. In the
event that the City has approved a delay beyond the five (5) days, the Contractor will not be assessed
penalties as specified above.
9.2 OTHER
Penalties shall be assigned in the following additional scenarios:
• One hundred dollars ($100) per incident for failure to provide adequate customer phone
service as determined by spot checks and resident complaints (e.g., excessive hold
times; questions not answered accurately to Fridley's program specifications, etc.).
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• Three hundred dollars ($300) per incident for failure to clean up spills during collection
operations.
10 Customer Service
The Contractor shall provide a Municipal Services Manager and an Operation Supervisor that are
accessible and response to City staff needs seven days a week.
The Contractor shall provide customer service via a Contractor Customer Resource Center ("CRC") to
receive calls and emails from Fridley residents between the hours of Monday through Friday 8 AM to
5 PM and Saturdays, 8 AM to 12 PM. The Contractor shall make the telephone number and web site
address readily available and known to City residents in education materials. The Company name and
a truck number shall be printed in large print on the collection vehicles.
The Contractor shall have a 24-hour answering service or voice mail system available to Fridley
customers and City staff
The Contractor shall keep a customer service log of all contacts, including type of contact, subject
matter, date and the time received, the Contractor's response, and the date and time of response.
11 Publicity, Promotion and Education
The Contractor shall provide the following publicity, promotion, and education services without
additional compensation:
• Printing or embossing of recycling content and preparation instructions on each
recycling cart.
• Replacement of printing or embossing of recycling content and preparation instructions
on each recycling cart should the original become unreadable, on all cart replacements,
and on all new service dwellings.
• Printing and mailing of an informational postcard or brochure at least once per year,
including recycling instructions and collection calendar, to all dwelling units including
each dwelling unit in a multi -dwelling unit, with the City providing the mailing list.
• Provision of 1000 copies of extra informational postcards or brochures for distribution
by the City.
• Provision of 1,000 new recycling cart stickers annually to be made available to
residents.
• Provision of one daytime, staffed tour of the Contractor's Material Recovery Facility per
year on a weekday with date and time agreed upon by the City and Contractor with the
City coordinating reservations and providing transportation for city residents.
• Contractor will cooperate with City staff to create television interviews that promote
recycling in the community upon request.
12 Ownership of Recyclable Materials
Ownership of recyclable material set out for the purpose of participating in the curbside recycling
program shall remain with the person or household from which the material originated until placed in
Contractor's vehicle, upon which ownership shall pass to the Contractor.
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13 Procedure for Handling Non -Targeted Materials
If the Contractor determines that a resident has set out Non -Targeted Materials, the driver shall use the
following procedure:
1. Contractor shall leave the Non -Targeted Materials in the recycling cart or dumpster and leave
an "education tag" indicating acceptable materials and the proper method of preparation.
2. The driver shall record the address and take photographic documentation of the non -targeted
materials; the Contractor shall report the address and provide the photographic documentation
to the City.
14 Cleanup of Spillage or Blowing Litter
The Contractor shall make reasonable attempt to cleanup any material spilled or blown during the
course of collection and or hauling operations and any material that is scattered around the recycling
cart. Designated recyclable materials shall be transported in a covered, properly sealed vehicle so that
the materials do not drop or blow during transport.
15 Processing of Recyclable Material
Upon collection, the Contractor shall deliver the designated recyclable materials to a Material
Recovery Facility, an end market for sale or reuse, or to an intermediate collection center for later
delivery to a MRF or end market, according to Minnesota Statutes (M.S. 115A.95). It is unlawful for
any person to transport for disposal or to dispose of recyclable materials to a mixed municipal solid
waste disposal facility.
The City expects the Contractor to market collected recyclables to the highest and best use of the
recyclable materials (glass to glass bottles and jars, aluminum cans to aluminum cans). Adequate
recyclable material processing capacity must be provided for material collected.
The Contractor shall ensure that the percentage of collected residuals does not exceed the percentage
permissible by State Statute of material (by weight) processed in the Contractor's MRF in a given
month.
Once the Contractor's recycling collection and processing methods have been accepted and approved
by the City, the Contractor shall inform the City of any changes to the agreed upon collection and
processing methods. The Contractor shall provide written notice to the City at least sixty (60) days in
advance of any substantial change in these or subsequent plans for receiving and processing recyclable
materials collected from the City. It will be the City's right to refuse changes to the agreed upon
collection or processing methods, provided that such approval shall not be unreasonably withheld,
delayed or modified by the City. A collection or processing method cannot be changed without the
written approval of the City.
15.1 WEIGHING LOADS
The Contractor shall weigh and report the City's collected residential recyclable material weights
separately from other material. These weight slips must be made available to the City upon request. It
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is recognized that the Contractor may use some means of calculating estimated tonnage amounts based
upon test weights conducted in similar situations.
15.2 ESTIMATING MATERIALS COMPOSTION
The Contractor shall provide the City with documentation of a recent scientific commodity
composition study of collected residential recyclables collected in a comparable community upon
request.
15.3 END MARKET CERTIFICATION
Upon request by the City, the Contractor shall provide written certification to the City that all
recyclable commodities identified will continuously be recycled and not disposed. Upon request, the
Contractor shall provide the City with adequate documentation of end markets for each recyclable
commodity.
16 Third Party Processing
The City of Fridley may, at any time during the contract, elect to contract with another MRF should it
be deemed to be more cost effective. If the hauling distance is further than the Contractor's
Minneapolis MRF, and a per -mile price adjustment for the Collection Rate would occur to cover that
additional hauling cost.
17 Municipal Facilities Collection Requirements
The Contractor will provide adequate cart or dumpster capacity and every other week recycling
collection of recyclable materials at designated municipal facilities at no additional cost. The municipal
facilities currently requiring every other week recycling service are: the Fridley Civic Campus,
Springbrook Nature Center, the Fridley Public Works Garage, two municipal liquor stores, and two
satellite fire stations. The Public Works Garage container will be used to store recyclable materials
collected from City parks and must be adequately sized. Other facilities may be added upon mutual
consent of both parties.
During the term of the Contract, the City may consider providing recycling collection in additional
facilities. If this additional service is considered, the City may request a proposal from the Contractor,
or may amend the Contract to include the additional facilities.
18 Reporting
18.1 MONTHLY REPORTS
The Contractor will provide the City with monthly reports in a mutually agreed upon format. Monthly
reports shall be due to the City by the 15th of the following month. These reports are to include at a
minimum:
• Total weight of recyclables collected monthly for all customers serviced;
• Total number of potential stops and participation rate;
• Estimated weight breakdown per recycling commodity;
• Quantities of process residuals disposed (in tons);
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• Log of all complaints, including the nature of the complaints; and the date and time of
response;
• Log of all resident addresses where education tags were left;
• Log of all missed pick-ups; and
• Any pending conditions that may affect the City's recycling programs
• Any MRF Audits conducted throughout the year will be shared with the City on the
monthly report following the audit.
18.2 ANNUAL REPORTS
The Contractor will provide the City with annual reports, in a mutually agreed upon format. Annual
reports shall be due by the 15th of February. These reports are to include at a minimum:
• A list of households not participating in the curbside recycling program;
• Cart inventory and replacement schedule;
• Trends in recovery rates and participation;
• Efforts the Contractor has made to expand recyclable markets;
• Summary of market trends in prices, technology advancements, specifications, and
implications for municipal curbside recycling programs;
• Review of Contractor's recommendations for improvement in the City's recycling
program, including enhanced public education and other opportunities for expansion;
• Opportunities for improvement with the remaining years under the current Agreement;
and
• Number of carts at all multi -family unit dwellings including any increased or decreased
levels of service based on route audits.
19 MEETINGS
The City and the Contractor shall meet as needed, but at least once a year, to review educational and
promotional materials, the recycling program, collection and customer service issues, the annual report
and other items as necessary.
20 Collection Vehicle Equipment Requirements
Vehicles shall be designed to accommodate the collection of commingled recyclable material. In
addition, all Collection vehicles used in performance of the Contract shall:
• Be compliant with City Code Chapter 113;
• Be duly licensed and inspected by the State of Minnesota;
• Operate within the weight allowed by Minnesota Statutes and local ordinances;
• Be Minnesota Department of Transportation (DOT) -compliant at all times;
• Be cleaned at least weekly and kept clean and as free from offensive odors as possible;
• Be well painted, clean, and in good repair;
• Equipped with a back-up warning device that complies with all applicable OSHA,
Minnesota Statues, and/or Minnesota Department of Transportation regulations.
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Be leak -proof according to modern, industry design standards;
Follows City noise ordinances; and
Equipped with the following:
o Two-way communications device
o First aid kit
o An approved fire extinguisher
o Warning flashers
o Sign on the rear of the vehicle which states "This Vehicle Makes Frequent
Stops"
o A broom and shovel for cleaning up spills
All of the required equipment must be in proper working order. All vehicles must be clearly identified
on both sides with the Contractor's name and telephone number prominently displayed. The lettering
must be at least three inches in height.
21 Personnel Requirements
Contractor shall retain sufficient personnel and equipment to fulfill the requirements and specifications
of the services described in this Contract. The Contractor will provide a Route Supervisor to oversee
the recycling route drivers servicing the City, and a Staff Representative to oversee administration of
the Contract (may be the same person). The Route Supervisor will be available to address missed
collections each day.
22 Employment and Non -Discrimination
The Proposer must agree to comply with all of the provisions of Minnesota Statute Section
181.59, which relate to civil rights and discrimination and all State and Federal Statutes regarding
employment and discrimination. Service shall be provided without regard to race, color, creed,
religion, national origin, and without regard to sex, age, disability, public assistance status, or sexual
orientation.
The Proposer must agree to comply with employment practices whereby no applicant for employment
or employee hired shall be discriminated against with respect to that person's hire, tenure,
compensation, terms, upgrading, conditions, facilities, or privileges of employment by reason of race,
color, creed, religion, national origin, age, sex, disability, public assistance status, or sexual orientation,
except as may be based upon bona fide occupational qualifications.
23 Insurance
Insurance secured by the Contractor shall be issued by insurance companies acceptable to the City and
admitted in Minnesota. The insurance specified may be in a policy or policies of insurance, primary or
excess. Such insurance shall be in force on the date of execution of the Contract and shall remain
continuously in force for the duration of the Contract.
All such insurance policies will be primary without the right of contribution from any other insurance
coverage maintained by City. All policies required herein shall be written by insurance carriers with a
rating of A.M. Bests of at least "A-" and a financial size category of at least VII.
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The Contractor and its sub -contractors shall secure and maintain the following insurance:
23.1 WORKERS' COMPENSATION
Contractor must provide Workers' Compensation insurance for all its employees and, in case any work
is sub -contracted, Contractor will require the sub -contractor to provide Workers' Compensation
insurance in accordance with the statutory requirements of the State of Minnesota, including Coverage
B, Employer's Liability. Insurance minimum limits are as follows:
$1,000,000 — Bodily Injury by Disease per employee
$1,000,000 — Bodily Injury by Disease aggregate
$1,000,000 — Bodily Injury by Accident
23.2 COMMERCIAL GENERAL LIABILITY INSURANCE
Contractor is required to maintain Commercial General Liability Insurance protecting it from claims
for damages for bodily injury, including death, and from claims for property damage, which may arise
from operations under the Contract whether the operations are by the Contractor or by a sub -contractor
or by anyone directly or indirectly employed by the Contractor under the Contract. This policy shall
have no coverages removed by endorsement. Insurance minimum limits are as follows:
$2,000,000 — per occurrence
$5,000,000 — annual aggregate
$5,000,000 — annual aggregate — Products/Completed Operations
The following coverages shall be included:
Premises and Operations Bodily Injury and Property Damage
Personal and Advertising Injury
Blanket Contractual Liability
Products and Completed Operations Liability
23.3 COMMERCIAL AUTOMOBILE LIABILITY INSURANCE
Contractor is required to maintain Commercial Automobile Liability Insurance protecting it from
claims for damages for bodily injury, including death, and from claims for property damage resulting
from the ownership, operation, maintenance or use of all autos which may arise from operations under
the Contract, and in case any work is sub -contracted Contractor will require the sub -contractor to
maintain Commercial Automobile Liability Insurance. Insurance minimum limits are as follows:
$2,000,000 — per occurrence, combined Single Limit for Bodily Injury and Property
23.4 ADDITIONAL INSURANCE CONDITIONS
Any insurance limits in excess of the minimum limits shall be available to City.
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• All policies except professional liability shall be endorsed with a waiver of subrogation in favor
of City, including its elected and appointed officials, employees, and agents for losses arising
from activities under the Contract.
• Contractor is responsible for payment of Contract -related insurance premiums and
deductibles.
• Contractor is responsible to review and ensure any and all sub -contractors comply with the
insurance provisions contained herein and said insurance is maintained as specified.
• Contractor's policies shall include legal defense fees within its liability policy limits.
• An Umbrella or Excess Liability insurance policy may be used to supplement the Contractor's
policy limits on a follow -form basis to satisfy the full policy limits required by the Contract.
• The City reserves the right to immediately terminate the Contract if the Contractor is not in
compliance with the insurance requirements and retains all rights to pursue any legal remedies
against the Contractor.
• Contractor is required to submit a Certificates of Insurance acceptable to City as evidence of
the required insurance coverage requirements.
• The Certificate of Insurance i) will also provide for 30 days prior written notice of cancellation
to the City (except Workers' Compensation); (ii) shall name City as an additional insured under
the Automobile, General Liability, and any umbrella or excess policies (if applicable); and, (iii)
shall contain waivers of subrogation in favor of City (excluding Worker's Compensation
policy) except with respect to the sole negligence or willful misconduct of City.
• City's failure to approve or disapprove Contractor's policies or certificates shall not relieve
Contractor of full responsibility to maintain the required insurance.
• If the coverage period shown on Contractor's current Certificate(s) of Insurance ends during the
duration of the project, Contractor must, prior to the end of the coverage period, obtain a new
Certificate of Insurance showing that coverage has been extended.
• No representation is made that the minimum insurance requirements are sufficient to cover the
obligations of Contractor under the Contract.
24 ASSIGNMENT
Neither party shall assign this Agreement, nor any interest arising herein, without the written consent
of the other party.
24.1 SUB -CONTRACTOR
The Contractor shall not enter into sub -contracts for any of the services provided for in this Agreement
without the express written consent of the City. Failure to obtain such written approval by the City
prior to any such assignment or sub -contract shall be grounds for immediate Contract termination.
24.2 TRANSFER OF INTEREST
The Contractor shall not assign any interest in the Contract, and shall not transfer any interest in the
Contract, either by assignment or novation, without the prior written approval of the City provided that
such approval shall not be unreasonably withheld, delayed or modified by the City.
25 Independent Contractor
Nothing contained in this agreement is intended to, or shall be construed in any manner, as creating or
establishing the relationship of employer/employee between the parties. The Contractor shall at all
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times remain an independent Contractor with respect to the services to be performed under this
Contract. Any and all employees of the Contractor or other persons engaged in the performance of any
work or services required by Contractor under this Contract shall be considered employees or sub-
contractors of the Contractor only and not of the City; and any and all claims that might arise,
including Worker's Compensation claims under the Worker's Compensation Act of the State of
Minnesota or any other state, on behalf of said employees or other persons while so engaged in any of
the work or services provided to be rendered herein, shall be the sole obligation and responsibility of
Contractor.
26 Licensing
The Contractor must have a Class III Collector's license issued by the City, per City Code Section 113.
The Contractor is responsible for all necessary county, state, and other applicable licensing.
27 Governing Law
This Contract shall be interpreted and governed by the internal laws of Minnesota.
28 Risk Allocation and Indemnification
The Contractor shall be responsible for any and all claims for personal injuries or death, or the loss of
or damage to property to the extent caused by Contractor's negligence or acts of willful misconduct or
those of its sub -contractors or agents.
The Contractor agrees to indemnify, defend and hold the City, its agents, contractors, sub -contractors,
officials, employees, attorneys, boards, Council, agents, volunteers and representatives harmless against
and in respect of any and all claims, demands, actions, suits, proceedings, losses, costs, expenses,
obligations, liabilities, damages, recoveries, and deficiencies, including interest, penalties and reasonable
attorneys' fees, that the party incurs or suffers, which arise out of, result from or relate to the Contractor's
negligence in its performance of the services under this Agreement. Contractor's indemnification
obligation to the City for any City liability to third parties shall be capped at the City's maximum liability
limits set forth in Minnesota Statutes Chapter 466, exclusive of the City's reasonable attorneys' fees and
related litigation expenses. Such reasonable attorneys' fees and related litigation expenses shall not be
subject to said cap and Contractor shall indemnify the City for those fees and expenses in addition to its
indemnification obligation for any City liability to third parties.
In no event shall the Contractor be responsible to indemnify any party indemnified under this section for
any claims, demands, actions, suits, proceedings, losses, costs, expenses, obligations, liabilities, damages,
recoveries and deficiencies, including interest, penalties and reasonable attorneys' fees, that are incurred
due to the negligence or intentional misconduct of any party indemnified under this section. The parties
further agree that this indemnity obligation shall survive the completion or termination of this
Agreement.
28.1 GOVERNMENTAL IMMUNITY
Nothing contained herein shall be deemed a waiver by the City of any governmental immunity defenses,
statutory or otherwise. Further, any and all claims brought against the City shall be subject to the
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maximum liability limits provided in Minnesota Statutes Section 466.04 subdivision 1 (to the extent
applicable).
28.2 DISPOSAL FINES AND PENALTIES
Contractor is solely responsible for all fines and penalties imposed by any governmental agency
relating to Contractor's negligence or willful misconduct during its the hauling and processing of
Recyclable Materials or disposal of Residuals and it shall indemnify, defend and hold the City
harmless therefrom.
28.3 NO CLAIMS
Contractor agrees to pay all persons doing work or furnishing skill, tools, machinery, or materials or
insurance premiums or equipment or supplies for Contractor with respect to Contractor's performance
of services under this Agreement, and all just claims for such work, material, equipment, insurance,
and supplies provided to or for Contractor with respect to Contractor's performance of services under
this Agreement. Contractor shall indemnify, defend and hold the City harmless from such claims.
29 Performance Bond
The Contractor shall execute and deliver to the City a performance bond with a corporate surety in the
sum of three hundred thousand dollars ($300,000). This Agreement shall not become effective until
such a bond, in a form acceptable to the City, has been delivered to the City and approved by the City
Attorney. This agreement shall be subject to termination by the City at any time if said bond shall be
canceled or the surety thereon relieved from liability for any reason.
Upon renewal or extension of this agreement, the Contractor will execute and deliver to the City a
performance bond complying with the requirements above to cover the entire period of renewal or
extension.
30 General Compliance
The Contractor shall conduct operations under this Contract in compliance with all applicable laws,
including local ordinances; provided, however, that this Contract shall govern the obligations of the
Contractor where there exist conflicting ordinances of the City on the subject.
31 Employee Working Conditions and Contractor's
Safety Procedures
The Contractor will ensure adequate working conditions and safety procedures are in place to comply
with all applicable federal, state and local laws and regulations. The City reserves the right to inspect
on a random basis and upon reasonable advance written notice to Contractor all trucks, equipment,
facilities, working conditions, training manuals, non -privileged records of claims for Worker's
Compensation or safety violations and standard operating procedures documents. The City also
reserves the right to inspect and approve the Contractor's safety plans for protection of public and
employee safety during route collections and other operations.
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32 Accounting Standards
The Contractor agrees to maintain the necessary source documentation and enforce sufficient internal
controls as dictated by generally accepted accounting practices to properly account for expenses
incurred under this Contract.
33 Confidentiality
Contractor shall have no confidentiality obligation with respect to any Recyclable Material collected
pursuant to this Contract.
34 Data Practices
The Contractor agrees to comply with the Minnesota Government Data Practices Act and all other
applicable state and federal laws relating to data privacy or confidentiality. The Contractor must
promptly report to the City any requests from third parties for information relating to this Agreement.
The City agrees to promptly respond to inquiries from the Contractor concerning data requests. The
Contractor agrees to hold the City, its officers, and employees harmless from any claims resulting from
the Contractor's unlawful disclosure or use of data protected under state and federal laws.
35 Opener
Should the Tons Sold Rate (as defined in Attachment A) fall below $50 per ton after Year 3, the
Contractor shall notify the City at the time of the next Annual Recycling Adjustment. The City of
Fridley may decide to reopen this Contract or re -negotiate the Recycling Processing Charge within
sixty (60) days of such notification. Within such sixty (60) days, both parties shall attempt good faith
negotiations. If an agreement is reached, an amended contract shall be executed with an effective date
of May 1st of the following year. If both parties cannot successfully come to an agreement, the City of
Fridley shall notify the Contractor in writing within such sixty (60) day period of its intent to exit this
Contract and put the service(s) out for Proposal. The Contractor shall continue to provide recycling
services at the most recent Recycling Processing Charge for a period of nine (9) months following the
City's notification to the Contractor of the City's intent to exit this Contract. This Contractor will
automatically terminate, with no penalty to the City or the Contractor, nine (9) months following such
notification, unless the parties otherwise mutually agree in writing to renew or extent this Contract.
36 Severability
If any provision of this Contract shall be invalid, illegal or unenforceable, it shall be modified so as to
be valid, legal and enforceable but so as most nearly to retain the intent of the parties. If such
modification is not possible, such provision shall be severed from this Contract. In either case, the
validity, legality and enforceability of the remaining provisions of this Contract shall not in any way be
affected thereby.
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37 Contract Termination
37.1 TERMINATION BY CITY
In the event of a failure by Contractor to perform any material provision of this Contract, the City shall
give written notice of such breach to the Contractor along with at least thirty (30) days (the "cure
period") to correct such breach. City may terminate this Contract after such cure period if Contractor
has not adequately corrected such breach in accordance with this Contract and City so notifies
Contractor in writing of such termination action.
37.2 TERMINATION BY CONTRACTOR
In the event of a failure by City to perform any material provision of this Contract, the Contractor shall
give written notice of such breach to the City along with at least thirty (30) days (the "cure period") to
correct such breach. Contractor may terminate this Contract after such cure period if City has not
adequately corrected such breach in accordance with this Contract and Contractor so notifies City in
writing of such termination action.
37.3 CLAIMS
Following any such termination or expiration of this Contract, neither party shall have any further
obligation under this Contract other than for claims arising prior to such termination date or expiration
date and provisions that expressly survive the termination or expiration of this Agreement such as the
indemnification obligations set in Section 26.
37.4 CART REMOVAL
Following termination or non -renewal of this Contract by the City or Contractor, the Contractor shall
remove all containers placed pursuant to the Contract within two (2) weeks at no additional cost.
38 Renewal of Contract
This Contract is renewable, upon the written mutual consent of the parties.
39 Notice
Except as otherwise herein provided, all notices required to be served by either party shall be in writing
and sent by postage prepaid, certified mail, as follows:
If to the City of Fridley:
City of Fridley
Attn: Environmental Planner
7071 University Ave. NE
Fridley, Minnesota 55432
If to Contractor:
Republic Services
Attn: Bev Mathiasen, Municipal Services Manager
8661 Rendova Street NE
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Blaine, MN 55014
Or to such other address as the party addressed shall have previously designated by notice given in
accordance with this Section. All notices shall be effective on the date sent.
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40 Signatures
IN WITNESS HEREOF, the parties hereto have caused this Contract to be duly executed and
delivered as of the day and year first written above.
CITY OF FRIDLEY, MINNESOTA
BY:
Name: Mayor
ON: _ 2018
Name: , City Manager
ON:
2018
ALLIED WASTE SERVICES OF NORTH
AMERICA, LLC, doing business as Republic
Services of Blaine
NAME:
TITLE:
ON:
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Attachment A. Recycling Processing Charge
*Exainp le of Recyclhig Processhig Fee Calculation®
Net IlProcessing Valine/ Clhalrge - Model foie All Date Review
Number of Homes
Piickups per Month
Rounds per seat out
Tons per Month
9,155
2.165
14.5
14144.327018.8
Riecydle Processing Rate per Ton for Riesiidenttuall Stream (from MRIF Conttrollller)
% Tons Rate
Tons solid 88a% 127.,01 107.00 R,ew from Ccrrxrmadityr 1,3,,59,0
Resliduall tons 10A17.32 $a' 83.52esOLAOa Casts (Trans & Drsp, (1,4147
*Residuaal oasts should be ra' cost, ra'revenue a -a
Cormrmodiitty Vague (IRWett. Revenue diiyaiided by Tons per Month)
Nett Processing l � Commodity Vallue rmunus Processing Rate),
Share with City (iif commodity vallue exceeds processing costs;
City Rebate � pe r Ton )
Net R,Evon UO $
12,143
844.144
(3x.30)
50
Monthlly I Ret Processung "Valine (Rebate or IR~Ret Processung Position x Tons per Month) (44,373)
latedilulstimenit to lReconcili mirnmodlilt i. Iiil Value $ 0.48
A. Annual Recyclin2 Adiustment. In addition to the Annual Collection Rate Adjustment
set forth in Section 4.1 of this Agreement, by the September lst following each
anniversary of the Effective Date of this Agreement, Republic shall evaluate, and adjust if
needed, the Recycling Processing Charge based on any changes in Number of Homes,
Pick Ups Per Month, Pounds Per Set Out, Tons Per Month, Commodity Value, Processing
Rate and/or Residual Costs (the "Annual Recycling Adjustment"). The Recycling
Processing Charge over the most recent preceding twelve (12) month period shall be
compared to the last identified Recycling Processing Charge to determine any change. A
reduction in the Recycling Processing Charge shall result in a decreased price for the
Recycling Services for the twelve (12) months immediately following the effective date
of the Annual Recycling Adjustment. An increase in the Recycling Processing Charge
shall result in an increased price for the Recycling Services for the twelve (12) months
immediately following the effective date of the Annual Recycling Adjustment.
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B. Rebates. In the event that the Net Processing Rate for any given year is greater than zero
dollars ($0), Contractor agrees to share fifty percent (50%) of the savings with the City
by applying a credit for fifty percent (50%) of such Net Processing Rate that is greater
than zero dollars ($0) to the following year's Recycling Processing Charge. Contractor
will provide the City with annual reports containing all information and data necessary to
calculate and verify the Net Processing Rate, Commodity Value and Processing Rate.
(1) "Net Processing Rate" means the Commodity Value minus the Processing Rate
and Residual costs.
(2) "Commodity Value" means the average amount Contractor receives per twelve
(12) month period on the sale of Recyclable Materials processed at the facility
receiving the City's recyclable Materials.
(3) "Processing Rate" means the then -current rate Contractor charges to process
Recyclable Materials.
C. Recyclin2 Processing Charge. The Recycling Processing Charge (an example of which
is set forth at the beginning of this Attachment A) shall be based on the following inputs:
(1) Number of homes: To be determined based on the Certified Dwelling Unit
Count.
(2) Pickups per month: Pickups per month is 2.17 (26 weeks per year divided by 12
months).
(3) Pounds per pickup: To be determined based on monthly recycling abatement
forms completed by drivers indicating the tonnage collected. That tonnage is
multiplied by 2,000, divided by 2.17, and then divided by the number of
households in the city to reach the average pounds per set out for that month.
(4) Tons per month: To be determined based on the pickups per month multiplied
based on the pounds per pickup.
(5) Recycling Processing Rate Per Ton: To be determined from MRF Controller,
but with an annual cap of a 3% increase.
(6) Tons Sold Percentage: To be determined based on outbound tons sold to a mill at
a positive price.
(7) Residuals Sold Percentage: The residual rate is the inbound tons less tons sold or
disposed — this is a MRF average, not specific to Fridley.
(8) Tons Sold Rate: To be determined based on the sale price of material processed
less any transportation costs incurred delivering material to the end mill.
(9) Residuals Tons Rate: To be determined based on the cost to transport and
dispose of the residual material after processing is complete.
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Attachment B. Current Route Map
Fridley ICIISchedule
111Et1y Effective: January 1, 2018
.I 1311 I ' =Holiday week may move your normal recycling day back one day
J, Blue Week Monday: Blue Week Tuesday,
Jan; $ 22 Jan 9,23
F b- 5 19 Feb. 6i 20
March. 5.19 Manor: 6, 20
U u 'JmI11CNm1MItmNpIl@WIA@ April: 2. 16 ao April: 3, 17
f. May 14,29' May 1.15,"$0
1 k i Juno: 11 2§ June: 12,28
�5 �„ July. 9:23 Juty, 14,24
I Aug: 6, 20: Au9' 7, 21
Sept "5,18
29 Oct 2, 16, 30
Nuv: '12,26 Nov. 13,27
awwwwuwwww�.www.w� lc 90, 24 Dec 11 26
ul l
Gran Week Monday: "Mn BORNE RD E.
Fah 13,26
10-h: 12,28
April; 9,23
mar 7,21
June: 4,1E
July: 2,16 , 4611 41 ff ', eKFc .I � ° _ ml a uuuuuuuuu
Aug 13,2i l� r nP' a 1
Sept 10,24 So $, 22 1 "pi�uIIIi iiiI,I ,
Now: 5,19 5.
Dec 3, 17, 31
w
/ N
I
Tuesda
We�I! / 1111 u/r 11"'`
Gygv ek y:
.Jan 3", 161 ail , k J r r ��pkulli 1' II 1 I t2 t y@
Fab: 13,27 117x1
March. 93, 22 4 �plimlYkUfi
Mara: $0,20.
y y R41S5155@P141T4I
.June.". 5,19
$Illlh �W I 1
Ju3,17,31 �f �� �.11'.
Aa 94,2E 1 �i i UWWINAI I �(: R.CREEK RD NE
Sept 91 25
23�
f l
c fl s. r
Nov: 6, 2R(I�
y
Dec,4.1E eI
Q�.� WI W fillies a
�.
Tl �I
Jan17 31
M mh 14,28
API 1126 rh ,'lilt p
May' 9,23
Jun.:
6, 20
J ly 6, 18
Aug 1, 15, 29 M1X 1111 r • ,
Sept 12, 26f 1J
OM 10.24
: 7,21
Dec:T"' ^,
nec6, 26
Tl e '�
Grey Week Thursdav: 'p Blue Week Wedneaday. Blue Weak Thursday:
Jan. 6", 18 A Q
Jan: 1c.24 J t1, 25
'G
Fab 1,1'5 t Feb °7.21 F b 8,22
March: 1, 1s, 29 �0 " 11 M •h 7,21 M ch $, 22
April: 12, 2E 7m f April 4, 18 April 5, 19
MaY 10, 24 (I„ May, 2,.16, "31: May, 3, 17 "Jun 1(Ho17.
June: *6, 1 IJ I1� I � July 11,28 S 27 1 �y 12, 26 2E
July: 6, 19
Aug: 2, 16, 30 Aug; $.22 Aug. 9.33:
Sepi 13, 27 Sept '6,19 Sept? '7 20
Oct 11 25' ` i h 1 Oct. 3,.17.34. Oct; 4, MSE
23... l„J I�ov. 14, 28: Nov 1, 15 29
6zc 6. 20 I D-1 12, `27 Dec. 13."28.
I
I y
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y 1 d "ir. iM1ntlg q , nut. The d�- .Fred he e ub a'daagil
s.
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Y M
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wnfaroseone oso sagaaith"s doeu e�nt.
"r
Map Date: December 20 2017
Attachment B. Current Route Map 23
Attachment C. Alley Map
Map of Alley Collection Sites
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smTH VE
69TH AVE
Rear: 63
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SVde:20
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City Limits
59TH AVE.
59T. AVE
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58THAVE .....,.i,,,
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i
FIRESME DA
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3
Bin Locations for Alley Properties
uulV#@
Front: 48
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i
FIRESME DA
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3
Bin Locations for Alley Properties
uulV#@
Front: 48
Rear: 63
d(IJIM
SVde:20
Paved Alley
Mobile Homes
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City Limits
Water
-'
Parcels
Attachment C. Alley Map 24