HomeMy WebLinkAboutORD 14-041ORDINANCE NO.14 -041
ENTITLED AN ORDINANCE GRANTING A FRANCHISE FOR
SOLID WASTE COLLECTION AND TRANSPORTATION
SERVICES TO SPRINT WASTE SERVICES, L.P.
WHEREAS, Sprint Waste Services, L.P. (the "Company ") has requested a franchise
to operate a solid waste collection and transportation service within the City of Beaumont,
Texas (the "City "); and,
WHEREAS, the City desires to grant such franchise;
NOW, THEREFORE, BE IT ORDAINED BY THE
CITY OF BEAUMONT:
THAT the statements and findings set out in the preamble to this resolution are hereby,
in all things, approved and adopted; and
Section 1.
Grant of Authority
There is hereby granted by the City to Sprint Waste Services, L.P. the right and
privilege to operate and maintain within the City a solid waste collection and transportation
service (the "service "). For purposes of this franchise, the term "solid waste collection and
transportation service" shall mean the regular business of collection, hauling ortransporting
any garbage, rubbish, waste or refuse from locations in the City, and the disposal of such
material in accordance with law. The franchise granted herein is nonexclusive, and
franchises may be granted to other persons for service.
Section 2.
Term of Franchise
The franchise herein granted shall take effect and be in force sixty (60) days after
the final passage hereof as required by law and upon the filing by the Company of an
acceptance with the City Clerk, and shall continue in force and effect until one (1) year
thereafter. The acceptance required hereunder must be in writing and filed with the City
Clerk within thirty (30) days after final passage hereof. Upon the expiration of the term
hereof, this franchise shall continue on a month -to -month basis until terminated by either
party or extended or replaced.
Section 3.
Rates
The Company shall establish rates for service which are uniform as to customer
class based upon such criteria as type of waste, container size, frequency of collection
and distance of travel. The Company shall file its initial rates for service with its
acceptance as required herein. Such rates shall, unless modified by the City, be effective
with the effective date of this franchise. Any modifications in rates by the Company shall
first be filed with the City Clerk and City Attorney and shall be effective thirty (30) days after
such filing unless modified by City as provided herein. Nothing herein shall prevent the
Company from charging uniform rates which are less than the rates filed with the City. The
City shall have the right to establish rates charged by Company for services performed
hereunder, after notice and hearing. Rates established by the City shall be sufficient to
allow the Company an opportunity to earn a reasonable return on its invested capital used
in providing such services.
Section 4.
Franchise Fee
The Company shall pay to the City, on or before the fifteenth (15th) day of each
month, a sum equal to SEVEN PERCENT (7 %) of the gross revenues received for service
in the previous month as payment for the use of the City's streets, alleys and rights -of -way.
The payments herein provided do not relieve Company from the payment of ad valorem
taxes, special assessments, charges, or other fees applicable to the public generally. City
shall have the right, at any reasonable time, to audit the books and records of the
Company and the Company is hereby required to make such books and records available
at the request of City. Upon written acceptance, the Company shall furnish to the City a
listing of customers served, including customer name, address, frequency of pick -up, size
of container or type of service and charge for same. The following report shall be filed
monthly with the City Manager or his designee along with the street rental payment
required herein:
Upon written request and within thirty (30) days of receipt, the Company shall
furnish to the City adequate reconciliation of reported revenues which would
include: a listing of names and addresses of all customers served, frequency
of pick -up, size of container or type of service and charge for same, and date
service was initiated and discontinued.
Section 5.
Indemnity, Insurance and Bond
The Company shall at all times during the effective period of this franchise, carry
liability insurance as provided herein. The Company covenants and agrees at all times to
indemnify and save harmless the City, its officers, agents, employees, and any member
of the public against any and all injuries, damages, claims, causes of action or loss of
compensation arising or resulting from Company's operations under this franchise, whether
or not such loss was caused by the negligence of the City, its agents, servants or
employees. Upon notice given Company by City, Company must defend at its own
expense, any action or suit brought against the City because of any work or other acts
done by the Company under the terms of this franchise. Counsel chosen by Company to
defend City must be satisfactory to City. Company will pay any final judgment which might
be obtained against City by reason of any work or acts done hereunder by Company, its
agents, servants or employees, and Companywill pay all damages occurring to any person
or property, public or private, resulting from any fault or neglect on its part or on the part
of its agents or employees.
The Company agrees to carry insurance as follows:
1) Workers' Compensation
The Company shall furnish the City Clerk a certificate of
insurance indicating workers' compensation coverage as
required by the State of Texas.
2) Automobile Liability Insurance
The Company shall carry, in its own name, a policy in
comprehensive form to insure the automobile liability of its
operation with limits of not less than Five Hundred Thousand
Dollars ($500,000.00) per occurrence for bodily injury and, in
addition, not less than One Hundred Thousand Dollars
($100,000.00) property damage. This policy shall name City
as an additional insured and provide for thirty (30) days notice
to City prior to cancellation. A certificate of insurance certifying
such coverage shall be filed with the City Clerk before the
effective date of this franchise, and it shall be maintained in
force during the term of the franchise.
3) General Liability
The Company shall carry, in its own name, a comprehensive
liability insurance policy including contractual coverage for
operations other than automobile with limits of not less than
Five Hundred Thousand Dollars ($500,000.00) peroccurrence
for bodily injury, and One Hundred Thousand Dollars
($100,00.00) per occurrence for property damage. The policy
shall name the City as named insured and provide for thirty
(30) days notice to City prior to cancellation. A certificate of
insurance certifying such coverage shall be filed with the City
Clerk before the effective date of this franchise and maintained
in force during the term of the franchise.
Section 6.
Compliance with Laws and Ordinances
The Company shall, at all times during the term of this franchise, be subject to all
lawful exercise of police power by the City and to such reasonable regulations as the City
shall hereafter by ordinance provide. In addition, the Company will observe all city, county,
state, and federal laws regulating the collection and disposal of solid waste.
Section 7.
Service Standard and Equipment
The Company shall maintain and operate its collection system and equipment in
good order to render efficient service subject to the terms of this franchise. All vehicles,
containers, and equipment used for the collection and transportation of solid waste shall
be constructed, operated and maintained to prevent loss of liquid or solid waste material
and to minimize health and safety hazards to solid waste management personnel and the
public. Such vehicles, containers, and equipment used shall be maintained in a clean,
sanitary condition and free from odors at all times. All vehicles and equipment shall comply
with federal, state, and local regulations. Collection vehicles and all bulk, commercial, and
roll -off type containers shall be painted and numbered and shall have the Company's name
and telephone number painted in letters of a contrasting color. Such containers may not
be placed on any street or right -of -way within the City. All collections shall be made directly
from the premises of the customer and any emptied containers returned directly to such
premises.
Section 8.
Providing Services
The Company shall provide service to any person, firm, corporation, association or
entity inside the City of Beaumont who requests such service and is not delinquent in the
payment of collection charges due the Company.
Section 9.
Ciffira
The Company shall establish and maintain an office with telephone service and shall
keep said office open for business from 9:00 A.M. to 5:00 P.M. each and every day except
Saturday, Sunday and holidays.
Section 10.
Interruption of Service
In the event that service shall be interrupted for any reason for more than forty -eight
(48) hours, the City shall have the right to make temporary independent arrangements for
the purposes of continuing this necessary service to its residents in order to provide or
protect the public health and safety. If the interruption in service mentioned herein
continues for a period of seventy -two (72) hours, then the City shall have the right to
terminate the rights and privileges granted in this franchise.
Section 11.
Termination
In the event that any provision of this franchise is violated by the Company, the City
may serve written notice upon the Company of its intention to terminate this franchise. The
notice shall contain the reasons for such intention to terminate the franchise. Unless within
ten (10) days after mailing such notice by City to the Company, such violation shall cease,
or satisfactorily arrangements for correction be made by Company, the City Council may,
after a public hearing in which Company is provided an opportunity to present evidence
concerning such violation, declare the franchise terminated and serve written notice upon
the Company of the termination and the termination of the franchise shall be effective upon
the mailing of such notice.
Section 12.
Transfer of Franchise Rights
Franchise rights granted hereunder shall not be transferred to another without the
approval of City. A single transfer or a series of transfers of Company's stock which
constitute a transfer of a majority interest in Company is subject to the prior approval of
City.
Section 13.
Notices
Where written notices are provided for in this ordinance, same shall be sufficient to
notify Company when provided by certified mail to:
Sprint Waste Services, L.P.
1000 S. Business Park Dr.
Port Arthur, TX 77640
Notice to City is sufficient if mailed by certified mail to:
City Manager
City of Beaumont
P.O. Box 3827
Beaumont, TX 77704
Section 14.
If any section, sentence, clause, paragraph or phrase of this ordinance, other than
Section 4, is for any reason held to be invalid or illegal, such invalidity shall not effect the
remaining portions of this ordinance. If Section 4 hereof is held to be invalid for any
reason, the ordinance shall be immediately invalid.
Section 15.
It is agreed by City and Company that venue of any legal proceedings under this
franchise agreement shall be in Jefferson County, Texas.
Section 16.
Vehicle Permits
Twenty (20) days prior to the effective date of this franchise, the Company shall
furnish to the City a list of all vehicles to be providing solid waste collection and disposal
service under this franchise. Such list shall include state license number, year, make,
model and manufacturer's rated capacity for each vehicle. Vehicles not having a valid City
of Beaumont landfill permit will not be allowed to operate under this agreement nor utilize
the City refuse disposal facility. If at any time a vehicle or equipment is found to be in
noncompliance with Section 7 of this franchise, the Company will be notified of its violation
and said equipment or vehicle shall be removed from service upon receipt of written
notification.
Failure to comply with this provision or to falsify the information concerning the
location of the service of the vehicle shall be a material breach of this franchise. Should
City decide not to terminate this franchise because of any violation of this Section,
Company's disposal fee at City's landfill shall be doubled for all of Company's vehicles for
a period of sixty (60) days.
PASSED BY THE CITY COUNCIL of the City of Beaumont on first reading this the
26th day of August, 2014.
PASSED BY THE CITY COUNCIL of the City of Beaumont on second reading this
the 9th day of September, 2014.
PASSED BY THE CITY COUNCIL of the City of Beaumont on final reading this the
7th day of October., 2014.- °'�Ep,UMp����ii
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ACCEPTANCE:
Sprint Waste Services, L.P.
(Co a Owner /Representative)