CITY COUNCIL: Review of Waste Management Franchise Agreement Contract Compliance Scorecard

Meeting Date: October 2, 2012

Prepared by: Jason Stilwell

City Council

Agenda Item Summary

Name: Review of Waste Management Franchise Agreement contract compliance scorecard.

Description: At its August 7, 2012 meeting, the City Council reviewed the Fourth Quarter 2011-2012 contract compliance scorecard for Waste Management, Inc. and provided direction to staff regarding potential service level changes that could be incorporated into the existing agreement or renegotiated as part of a contract modification or renewal in 2015. This scorecard provides a quarterly update to various activities related to trash and recycling collections and helps monitor compliance with provisions of the franchise agreement. The scorecard is categorized based on timing of services, frequency of services, outreach and type of services, which includes proposed modifications to existing services as well as the possible inclusion of new services such as street sweeping.

Overall Cost: There may be an opportunity to replace existing services outlined within the
franchise agreement with revised services at little or no cost to the City.
Staff Recommendation: Review the Waste Management Franchise Agreement contract
compliance scorecard and provide direction to staff on contract compliance issues.
Important Considerations: While the scorecard is not a required component of the franchise
agreement with Waste Management, it serves as a tool to track and report contract
compliance. During the August 7, 2012 meeting, the City and Waste Management
determined that contract compliance was less than 100%. Since the last update, the City is
in the process of purchasing an all terrain vehicle (A TV) for beach trash and recycle
collection and emergency response. Per the agreement, Waste Management will pay
$8,400 for the ATV. Other service and contract compliance issues still remain; however,
City staff and Waste Management have made progress and continue to work jointly on full
contract compliance and on contract modifications requested by the Council and the
community.
Decision Record: On August 7, 2012, Council reviewed the Fourth Quarter 2011-2012 contract
compliance scorecard for Waste Management, Inc. and provided direction to staff regarding
potential service level changes that could be incorporated into the existing agreement or
renegotiated as part of a contract modification or renewal in 2015.
Reviewed by:
Jason ~ty Administrator Date
CITY OF CARMEL-BY-THE-SEA
STAFF REPORT
TO: MAYOR BURNETT AND COUNCIL MEMBERS
THROUGH: JASON STILWELL, CITY ADMINISTRATOR
DATE: OCTOBER 2, 2012
SUBJECT: REVIEW OF WASTE MANAGEMENT FRANCHISE
AGREEMENT SCORECARD
RECOMMENDED MOTION
Review the Waste Management Franchise Agreement contract compliance scorecard and
provide direction to staff on contract compliance issues.
BACKGROUND
USA Waste of California, Inc. dba Carmel Marina Corporation (CMC), also known as
Waste Management, performs trash and recycling collection in the City of Carmel-bythe-
Sea through an exclusive franchise agreement. On August 7, 2012, the City Council
reviewed the Fourth Quarter 2011-2012 contract compliance scorecard for Waste
Management. The scorecard provides a quarterly update to various activities related to
trash and recycling collections and helps monitor compliance with provisions of the
franchise agreement.
During this meeting, City Council provided direction to staff regarding potential service
level changes that could be incorporated into the existing agreement or renegotiated as
part of a contract modification or renewal in 2015. A summary of the proposed changes
in service levels is outlined below and included on the attached revised scorecard and
may be categorized based on timing of services, frequency of services, outreach and type
of services, which includes proposed modifications to existing services as well as the
possible inclusion of new services such as street sweeping.
1. Timing of services: Trash pick up should occur earlier than stated in agreement.
a. Change pick up time from 11:30 to 9:30 for activities #3 and #7.
i. May also need more trash bins at #7 and at Del Mar.
b. Change pick up time of “7 am- 6 pm” to 9:30 for commercial zone (#24)
i. Need consultation with businesses and lodging establishments.
2. Frequency of services: Services need to occur more frequently.
a. Increase service on Scenic Road during peak season (#5).
b. Trash bins on Scenic Road are to be changed every six months (#5).
c. Sidewalk washing needs to occur more frequently (#16).
d. Port-o-let to be replaced every six months (A), need water and towels
inside and if there are two, one needs to ADA compliant (#32).
3. Outreach/Coordination: Increase outreach and coordination of services.
a. Increase outreach to improve residential compliance (#1).
b. Increase outreach, Waste Management to pay cost of compost bins (#19).
c. Increase efforts to prevent comingling of trash/recycle on Scenic Road (#5).
d. Notify City when Waste Management receives customer complaints.
4. Types of Services Provided: Consider eliminating or adding new services as well
as other changes in existing areas of the current agreement.
a. City removed trash bins at the beach. “Credit” City for service (#6, F).
b. End Scout House service. “Credit” City for other services (#10).
c. Modify cardboard pickup. “Credit” City for other services (#18).
d. Ensure consistency in locations and assess where bins are needed (#4, #25).
e. Purchase biodegradable mutt mitts (#28).
f. Increase Waste Management contribution of replacement bins (#29).
g. Use contributions to youth (#30) and organizations (#31) for services
and/or purchases of mutt mitts, new trash bins, etc.
h. Add street sweeping as a new service.
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STAFF REVIEW
While the scorecard is not a required component of the franchise agreement with Waste
Management, it serves as a tool to track and report contract compliance. During the
August 7, 2012 meeting, the City and Waste Management determined that contract
compliance was less than 100%. Since the last update, the City is in the process of
purchasing an all terrain vehicle (ATV) for beach trash and recycle collection and
emergency response. Per the agreement, Waste Management will pay $8,400 for the
ATV. Other service and contract compliance issues still remain; however, City staff and
Waste Management have made progress and continue to work jointly on full contract
compliance and on contract modifications requested by the Council and the community.
The City Council deliberations on October 2, 2012 will provide further direction to staff
regarding the proposed service level changes.
FISCAL IMPACT
There is no fiscal impact associated with receiving the updated scorecard. However,
some of the proposed service level changes have associated costs. There may be an
opportunity to replace existing services outlined within the franchise agreement with
revised services at little or no cost to the City.
ATTACHMENTS
First Quarter 2012-13 Scorecard-revised 9/18/12



ABOVE AND BEYOND: CARMEL-BY-THE-SEA- WASTE MANAGEMENT FRANCHISE AGREEMENT