Report to Mayor and City Council
Tuesday, July 21, 2020
Discussion
SUBJECT:
Title
APPROVAL OF A TRANSFER STATION IMPROVEMENTS AND OPERATIONS AGREEMENT BETWEEN THE CITY AND USA WASTE OF CALIFORNIA ("OPERATIONS AGREEMENT") FOR IMPLEMENTATION OF PROJECT IMPROVEMENTS, BEAUTIFICATION AND OPERATIONAL STANDARDS AT THE WASTE MANAGEMENT TRANSFER STATION AT FRANCISCO AND MAIN STREET (CITY COUNCIL)
Body
I. SUMMARY
USA Waste owns and operates the Carson Transfer Station located at 135-401 Francisco Street, 19803-19809 Main Street, 19821 Main Street and 19831 Main Street, Carson, CA 90745 ("Transfer Station" or "Site"), which is permitted to receive, process, and arrange for disposal and transport of municipal solid waste.
Starting in March 2018, the City was made party to several litigation actions relating to its award of an exclusive solid waste hauling franchise to Waste Resources Technologies ("WRT"). The City's former franchised hauler, USA Waste, challenged the City's award of franchise to WRT and the transition of certain solid waste accounts to WRT. The City and USA Waste also had other longstanding disputes with respect to USA Waste's operation of the Transfer Station. All parties to the WM/WRT litigation worked diligently for several months towards a global settlement of all disputes, and on September 10, 2019, the Council approved the global settlement arrangement and attendant agreements.
As part of the global settlement, USA Waste and the City established a path forward for resolving claims related to the Transfer Station. The settlement thus required USA Waste and the City to negotiate towards obtaining permits and entering an "Operations/Improvement Agreement" for USA Waste to install at least $5,000,000.00 in improvements to the Site.
The "Transfer Station Improvements and Operations Agreement" attached hereto at Exhibit 1 (the "Operations Agreement") is the culmination of the negotiations as contemplated by the settlement.
Aside from being ...
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