01-053 Second Amendment, Zanker Rd Mgmt~~.a5~
SECOND AMENDMENT TO AGREEMENT
FOR PROCESSING OF YARD WASTE INTO COMPOST
CITY OF CUPERTINO
This Second Amendment To Agreement for Processing of Yard Waste into
Compost ("Second Amendment") is made, entered and is effective as of July 1,
2001, by and between the CITY OF CUPERTINO, CALIFORNIA, a California
municipal corporation, (hereinafter "City") and ZANKER ROAD RESOURCE
MANAGEMENT, LTD., a California limited partnership (hereinafter "Contractor").
RECII~ALS
A. On or about February 9, 1993, City and Contractor entered into an
Agreement for Processing of Yard Waste into Compost (the "Agreement"),
which was amended by a First Amendment dated October 1, 1996. The
Agreement and the First Amendment arE; collectively referred to herein as the
"Agreement";
B. City and Contractor have agreE~d to extend the term of said
Agreement for an additional five (5) years;
C. The parties desire to amend some of the provisions of said Agreement.
NOW, THEREFORE, it is hereby agreed by and between the parties hereto
as follows:
AGREEMENT
1. Recitals. The recitals of fact are agreed to be true and correct and are
incorporated herein by reference.
2. Compostable Waste Definition. 'The following definition is added as Section
1.11 to the Agreement:
"Section 1.11 Definition of Composta~~le Waste. Compostable Waste means
organic solid waste, including vegE:table, fruit, grain, meat, and dairy
wastes, non-residential landscaping trimmings (e.g., grass, leaves,
Second Amendment to Agreement for
Processing of Yard Waste into Compost
06/25/01
prunings, flowers, wood chips), socl, animal manure, wood wastes and
saw dust, waxed and non-waxed ~~ardboard, paper and soiled paper,
compostable plastics and compostable plastic bags. compostable
Waste includes organic wastes from food processors, canneries,
distributors, grocery stores, restaurants, institutional cafeterias and
residential complexes. Compostal~le Waste would also include other
wastes deemed acceptable as compostable by the Contractor."
3. Receipt of Compost. The following language is hereby added to
Section 2.3
"City may designate a hauler to transport its portion of compost or other
approved materials as specified in Sections 2.3 and 2.4 of the Agreement.
Upon request of the City, Contractor shall provide the hauling services at
a rate of One Hundred Dollars ($1 Ci0.00) per walking floor load of compost
or other materials (approximately ~?2 tons) which compost or other
material shall be transported to a I~~cation within the City mutually agreed
upon by City and Contractor.
4. Term. Section 4.2 of the Agreement is amended in total to read as
follows:
"Section 4.2. Term. The Term of this; Agreement shall be for the period July
1, 2001 through June 30, 2006. City shall have an option to renew this
Agreement for three (3) additional terms of three (3) years each on such
terms and conditions as are mutually agreeable to the City and
Contractor."
5. Tipping Fee. Section 5.1 of the <~greement is amended in total to read
as follows:
"Section 5.1 Tipping Fee. The Tipping Fee for delivery of yard waste to the
processing facility (including processing and ultimate conversion to
compost or other usable materials at the processing facility) shall be
Twenty-Four and 25/100 Dollars ($24.25) per ton, commencing on July 1,
2001, which amount shall be adjus~fed in accordance with Section 5.3
hereof."
6. Delivery of Municipal Yard WastE~. The following language is hereby
added to Section 2.1 of the Agreement.
Second Amendment to Agreement for
Processing of Yard Waste into Compost
06/25/01
Contractor with the mutual agreernent of the City and City's
Designated Hauler may specify an alternate drop off location for
the City's yard waste. This alternate drop off location will be at no
additional cost to the City or to the City's Designated Hauler.
7. Consumer Price Index. Section 5.3 of the Agreement is amended in
total to read as follows:
"Section 5.3 Consumer Price Index. The Tipping Fee and other charges
provided for in this Agreement sha'I be adjusted as of July 1 of each year,
beginning as of July 1, 2002, (the "F;ate Adjustment Date") in accordance
with the following formula:
P = A (.8 x B)
A = The Tipping Fee in effect as of the rate adjustment date. As of the
date of this Agreement, the ~fipping Fee is $24.25.
B = The net percentage change in the Consumer Price Index (CPI), all
items, 1982-1984 equals 100 for all urban consumers (CPI-U), for San
Francisco-Oakland-San Jose, California, published by the U.S.
Department of Labor, Bureau of Labor Statistics.
P = The amount of adjustment tc> the Tipping Fee for the new twelve
(12) month period.
All "net percentage changes", as `hat phrase is used above, are to be
computed as the difference betwE~en the applicable index values for the
month of May immediately prior to the current Rate Adjustment Date and
for the month of May immediately prior to the last Rate Adjustment Date
(May 2001 in the case of the first adjustment hereunder), divided by the
index value for the month of May ii~nmediately prior to the last Rate
Adjustment Date.
Contractor shall notify City in writing of any adjustment under this Section
at the earliest practicable time. On the next billing date after the receipt
of Contractor's statement showing adjustment under this Section, City shall
pay to Contractor or contractor shell credit to City, as the case may be, a
lump sum equal to any increase or decrease applicable to that period
Second Amendment to Agreement for
Processing of Yard Waste into Compost
06/21/01
which has elapsed during which tree new Tipping Fee is effective.
Thereafter, the Tipping Fee charged by Contractor shall not be modified
to reflect any change under this SE~ction until a subsequent adjustment
statement is received by City. Adjustment to the Tipping Fee will only be
made in units of one cent ($0.01). Fractions less than one cent ($0.01) will
not be considered in making adjustment.
Should the indices named in this SE~ction not be published for May of any
given year, the calculations shall be performed using the index value as
published for the last month immediately preceding the May in question
(or, in the case of a quarterly publi:~hed index, the index value for the
quarter including the May in question).
Should the indices named in this SE~ction be discontinued, successor
indices shall replace same. Successor indices shall be those indices which
are most closely equivalent to the discontinued indices as recommended
by the purlishing agency."
8. Compostable Waste Composting. Anew paragraph 3.8 should be
added to this Agreement to read as follows:
"Section 3.8. Compostable Waste Composting. Contractor will accept
and process Compostable Waste from both commercial and residential
collection programs within the City. Specifications regarding the program,
startup date, rates, education programs, contamination factors, and other
issues, would be mutually agreed upon between the parties hereto before
the program may begin. Tipping Fees to be charged by the Contractor
for Compostable Waste Composting shall not exceed five percent (5~) of
the least expensive municipal compost waste composting Tipping Fee
Contractor is then charging other rnunicipalities.
Second Amendment to Agreement for
Processing of Yard Waste into Compost
06/21/01
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WHEREFORE, the parties hereto ha~/e set their hand and seal on the date
affixed next to their signatures.
Dated: , 2001
APPROVED AS TO FO M:
A o ey
"CITY"
CIT'E' OF CUPERTINO, a
municipal corporation,
By:
Its: Mayor
ATT EST~'~/
~L~l 'vln ~~~-~"' ~C ? ~?y~2-c ..
By:
Name: ~i vn ~~~ f ~ ~ ~~'t ~~1
Title: City Clerk
"CONTRACTOR"
ZA(~IKER ROAD RESOURCE
MANAGEMENT, LTD., a California
limii~ed partnership
By: ZANKER ROAD RESOURCE RECOVERY,
INC., a California corporation, General
Pari~ner
Richard A. Cristina, President
Second Amendment to Agreement for
Processing of Yard Waste into Compost
06/21/01
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