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Amended and Restated Agreement with USA Waste of California, Inc. (dba Waste Management <br />of Orange County) <br />September 6, 2016 <br />Page 2 <br />scheduled Consumer Price Index adjustments already in place. The Proposed Agreement, <br />however, is a consolidation of all of the previous amendments and agreements and identifies a <br />single franchise fee to replace a number of miscellaneous charges and transfers to the City (i.e., <br />Program Surcharge, Administrative, NPDES, and other fees added to the cost of services). All of <br />the fees from residential, commercial, and industrial services will be consolidated and set forth as <br />a single Franchise Fee of 26.15 percent (Exhibit 2). <br />The possibility of amending and restating the current agreement was discussed with Waste <br />Management of Orange County and they agreed. With this opportunity for both sides to review <br />the agreement, they requested that the City explore the pros and cons of a possible extension of <br />the current solid waste agreement. Approval of this request will allow staff to bring the results to <br />the City Council for future discussion and direction. <br />The Proposed Agreement will also provide an opportunity to prepare for the Sustainable Mobility <br />and Roadway Transformation (SMaRT) Program. If Council takes action to approve this legacy <br />roadway repair and rehabilitation program, SMaRT Program pass- through fees would not be <br />considered part of the Refuse Enterprise Franchise Fee. <br />STRATEGIC PLAN ALIGNMENT <br />Approval of this item supports the City's efforts to meet Goal #4 — City Financial Stability, <br />Objective #1 (maintain a stable, efficient and transparent financial environment). <br />ENVIRONMENTAL IMPACT <br />There is no environmental impact associated with this action. <br />FISCAL IMPACT <br />There i no fiscal impact associated with this item. ) fi ----------- — <br />Fr d Mou avipou <br />Executive Director <br />Public Works Agency <br />FM /MLM /ck <br />Exhibits: 1. Proposed Amended and Restated Agreement <br />2. Solid Waste Agreement History <br />25E -2 <br />