To: Board of Supervisors
From: Solid Waste
Meeting Date: June 20, 2023
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Department Contact: |
Howard N. Dashiell |
Phone: |
707-463-4363 |
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Item Type: Consent Agenda |
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Time Allocated for Item: N/A |
Agenda Title:
title
Adoption of Resolution Waiving Franchise Fee Delinquency Payment in the Amount of $25,828.54; and Approval of Second Amendment to BOS Agreement No. 21-219 / Department of Transportation Agreement Number 210004, Exclusive Franchise Agreement Between County of Mendocino and Redwood Waste Solutions, Inc., for Residential and Commercial Garbage, Recyclable Material and Organic Waste Collection for County Solid Waste Franchise Area Number Two (Ukiah and Fort Bragg Areas)
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Recommended Action/Motion:
recommendation
Adopt resolution waiving Franchise Fee delinquency payment in the amount of $25,828.54; Approve second amendment to BOS Agreement No. 21-219 / Department of Transportation Agreement Number 210004, Exclusive Franchise Agreement between County of Mendocino and Redwood Waste Solutions, Inc., for residential and commercial garbage, recyclable material and organic waste collection for County Solid Waste Franchise Area Number Two (Ukiah and Fort Bragg Areas); and authorize Chair to sign same.
End
Previous Board/Board Committee Actions:
By Resolution Number (No.) 21-185 (December 7, 2021) the Board approved Board of Supervisors (BOS) Agreement No. 21-219 / Department of Transportation (DOT) Agreement No. 210004. By Resolution No. 23-040 (February 28, 2023) the Board approved Amendment No. One to BOS Agreement No. 21-219 / DOT Agreement No. 210004.
Summary of Request:
Section 8.1.2 of BOS Agreement No. 21-219 / DOT Agreement No. 210004 (Agreement) - Franchise Fee - Quarterly Payments and Revenue Statements, requires Redwood Waste Solutions, Inc. (RWS), pay the franchise fee in quarterly payments due within thirty (30) days after the close of each calendar quarter. Section 8.1.4 of the Agreement - Franchise Fee - Delinquency Payment, states payments are delinquent if not received by the County within thirty (30) days and establishes a delinquency penalty of ten percent (10%), which attaches on the first day of delinquency. The quarterly franchise fee payment due on April 30, 2023, which fell on a Sunday, was not received until Monday, May 1, 2023, which, per the Agreement, results in a delinquency penalty of 10%, or $25,828.54. According to the records received by DOT, the franchise fee check was issued on April 25, 2023, and post marked on April 26, 2023. It is common practice to extend a deadline which falls on a non-business day to the next succeeding business day and DOT believes it is reasonable to waive the delinquency penalty. Additionally, DOT and RWS desire to amend the Agreement to specify that any payments due on a non-business day shall be due on the next succeeding business day. DOT respectfully requests and recommends the Board adopt the resolution waiving the franchise fee delinquency payment and approving Amendment Number Two to the Agreement clarifying the due date of franchise fee payments.
Alternative Action/Motion:
Do not waive Franchise Fee delinquency penalty and approve Amendment and provide further direction to staff.
Does This Item Support the General Plan? N/A
Strategic Plan Priority Designation: An Effective County Government
Supervisorial District: All
vote requirement: Majority
Supplemental Information Available Online At: N/A
Fiscal Details:
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source of funding: BUs 4510/4511 |
budgeted in current f/y: No |
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current f/y cost: $25,828.54 |
if no, please describe: |
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annual recurring cost: N/A |
revenue agreement: Yes |
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budget clarification: The delinquency penalty requested to be waived was not included in the budget as anticipated revenue and therefore will not negatively impact the current fiscal year budget. |
Agreement/Resolution/Ordinance Approved by County Counsel: Yes
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CEO Liaison: Executive Office |
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CEO Review: Yes |
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CEO Comments:
FOR COB USE ONLY
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Executed By: Atlas Pearson, Senior Deputy Clerk |
Final Status: Adopted |
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Date: June 20, 2023 |
Executed Item Type: Resolution Number: 23-113 Executed Item Type: Agreement Number: 23-113 |
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