HomeMy WebLinkAboutORD 15-051ORDINANCE NO. 15-051
ENTITLED AN ORDINANCE APPROVING THE TRANSFER OF
THE SOLID WASTE COLLECTION AND TRANSPORTATION
SERVICE FRANCHISE FROM ENVIRO WASTE SOLUTIONS TO
INDUSTRIAL TRANSPORTATION WASTE, LLC.
WHEREAS, by Ordinance No. 11-071, passed on its third and final reading on
October 25, 2011, Enviro Waste Solutions (EWS) was granted a franchise to operate a
solid waste collection and transportation service within the City of Beaumont, Texas;
and,
WHEREAS, Industrial Transportation Waste, LLC (ITW) merged and acquired
EWS effective April of 2015; and,
WHEREAS, ITW has requested a transfer of EWS franchise rights under the
existing franchise; and,
WHEREAS, Section 12 of the Ordinance agreement provides that franchise
rights granted shall not be transferred to another without the approval of the City; and,
WHEREAS, the Council finds that it is in the best interest of the citizens of
Beaumont to approve the transfer;
CITY OF BEAUMONT:
THAT the statements and findings set out in the preamble to this ordinance are hereby,
in all things, approved and adopted; and;
THAT the terms and conditions provided for in Ordinance No. 11-071 are to be
transferred and assigned to and assumed by Industrial Transportation Waste, LLC as
follows:
Section 1.
Grant of Autho
There is hereby granted by the City to Industrial Transportation Waste, LLC (the
"Company") 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 or transporting 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 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 for the remainder
of the original term of the franchise. 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 reports 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 Company will 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 include
City as an additional 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 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) per
occurrence 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.
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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.
Office
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.
Nn+irne
Where written notices are provided for in this ordinance, same shall be sufficient
to notify Company when provided by certified mail to the address furnished by Company
to City. Notice to City is sufficient if mailed by certified mail to City Manager, P.O. Box
3827, Beaumont, Texas 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
affect the remaining portions of this ordinance. If Section 4 hereof is held to be invalid
for any reason, the ordinance shall be immediately invalid.
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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 this the 17th day of
November, 2015.
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