2025-02-18 CC Agenda Packet - ITEM D17 - Commercial Solid WasteCITY OF
ELSE GUNDO
Commercial Solid Waste
Non -Exclusive Franchise Update
February 18, 2025
City Council Meeting
Background
• The Municipal Code authorizes the City Council to determine the
methods b which the city manages and regulates the storage,
collection, transportation, processing and disposal of solid waste.
• Residential waste manaqement services are provided via an exclusive
franchise agreement with EDCO.
• At present there are nine companies permitted to provide commercial
waste management services.
• There are approximately 610 retail/industrial units and 440 multi -family
units (three or more dwelling units).
• Aside from the relatively minimal vehicle standards,there are no
substantive qualifications required to obtain a permit.
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2/18/2025 City of El Segundo 1 350 Main St El Segundo, CA 90245 2
Background Continued
• In recent years state regulation of waste management has
increased significantly. Including the organics legislation
S61383.
• Failure to achieve and maintain compliance with recently
adopted state laws and regulations can subject the City to
significant fines.
• Increased importance to ensure that solid waste service
providers demonstrate the ability and expertise necessary to
ensure compliance with a myriad of laws and regulations.
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2/18/2025 City of El Segundo 1 350 Main St. El Segundo, CA 90245 3
Non -Exclusive Franchise Model
• Details the providers duties and obligations.
• Requires insurance indemnity guarantees.
• Spells out agreed -upon fine amounts (liquidated damages) for
various violations or failure to meet specific requirements.
• Requires municipal code update deleting permit provisions and
adding non-exclusive franchise providers and temporary roll -off
services.
ELSECUNDO
2/18/2025 City of El Segundo 1 350 Main St. El Segundo, CA 90245 4
Notification / Evaluation Timeline
2023 I
�2024
2024
2024
0:
2025
2/18/2025
• November 2023 - City released Request for Qualifications ("RFQ")
>12 haulers responded, and all were deemed qualified
• April 2024 - All 12 qualified responders were provided a Request for
Proposals ("RFP")
• June 2024 - In -person interviews were conducted with the top nine
responders
• November
2024
- Council
gave direction to extend non-exclusive
agreement
to all
qualified
responders
• January
2025
- 10
of 12 original RFP responders notified consultant of
intent to
enter
into
agreement
City of El Segundo 1 350 Main St El Segundo, CA 90245
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I I `,I (.) V1)(1
Recent Events
• November
5,
2024,
Council gave direction to extend non-exclusive
agreement
to
all
12
qualified
responders.
• In December of 2024 and January of 2025, notifications were sent
out to the original 12 responders updating them with current
information along with a draft copy of the non-exclusive franchise
agreement.
• Ten of the twelve original proposers responded with their intention to
enter into the non-exclusive agreement. These include Athens
Services, American Reclamation, EDCO, Haul -Away Rubbish
Service Co., Inc, Key Disposal & Recycling, Patriot Services,
Republic Services, Universal Waste Systems, Ware Disposal, Waste
Management.
ELF GUNDu
2/18/2025 City of El Segundo 1 350 Main St. El Segundo, CA 90245 6
Recent Events Continued
• The proposed non-exclusive franchise agreements would be
extended to all ten proposers who expressed interest.
• The proposed start date for the agreements would be April 1,
2025, with a term of two years.
• All interested proposers currently operate within the city, staff
anticipates a smooth transition from the current permit system
to the recommended non-exclusive franchise agreements.
ELSEGUNDO
2/18/2025 City of El Segundo 1 350 Main St. El Segundo, CA 90245 7
Staff Recommendations
• Authorize the Mayor to execute non-exclusive franchise
agreements for the provision of commercial waste management
services with Athens Services, American Reclamation, EDCO,
Haul -Away Rubbish Service Co., Inc, Key Disposal & Recycling,
Patriot Services, Republic Services, Universal Waste Systems,
Ware Disposal, Waste Management.
• Alternatively,
this item.
2/18/2025
discuss and take other possible actions related to
City of El Segundo 1 350 Main St. El Segundo, CA 90245
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EISEGU\UO
Questions?
ELSEGUNDO
2/18/2025 City of El Segundo 1 350 Main St. El Segundo, CA 90245 9