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jmf 5/22/20 EXHIBIT 1 RESOLUTION NO. 2020-XXX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA ADJUSTING RATES FOR RESIDENTIAL/CURBSIDE REFUSE COLLECTION SERVICE PROVIDED BY THE CITY OF SANTA ANA WHEREAS, Chapter 16 of the Santa Ana Municipal Code, Article II, Section 16- 38, authorizes the City to charge for the provision of curbside solid waste collection service to customers within the City of Santa Ana and to establish those rates by resolution; and WHEREAS, landfill operators must cover all disposed solid waste at the end of each day and may use alternative materials in lieu of earthen materials. These materials are referred to as alternative daily cover (ADC); and WHEREAS, as of January 1, 2020, pursuant to Assembly Bill 1594, the use of green waste as ADC does not qualify for diversion credit and will be considered disposal for purposes of measuring jurisdiction's compliance with other state mandates; and WHEREAS, previously, green waste collected from the City's customers by the City's solid waste contractor, Waste Management (WM), was minimally processed by a third -party green waste facility, transferred to landfills to be used as ADC, and the City received diversion credit; and WHEREAS, to continue receiving diversion credit under the new restrictions of AB 1594, the green waste is now being composted by the third -party green waste facility, but at a higher cost to WM; and WHEREAS, the City previously retained HF&H Consultants, LLC, independent solid waste consultants, to assist the City in negotiating a one-year extension of the solid waste agreement with WM to June 30, 2022, which will incorporate programs to comply with AB 1594 and shall become effective upon approval of this Resolution; and WHEREAS, based on the results of the analysis completed by HF&H, a copy of which is attached as Exhibit A, increases in the rate for residential/curbside cart refuse service are necessary as a result of AB 1594; and WHEREAS, the proposed increase to the residential/curbside cart refuse service rate is structured to directly align with WM's increased cost for composting green waste and is based on a proposed cost of $90.13 per ton to process and compost green waste, versus a current cost of $33.13 per ton to use green waste as landfill ADC; and WHEREAS, the proposed residential/curbside cart refuse service charge is a fixed, monthly charge billed on a bimonthly basis; and Resolution No. 2020-XXX Page 1 of 5 75A-3