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03/21/1986 AgreementFRANCHISE AGREEMENT THIS FRANCHISE AGREEMENT is made and entered into this 2/st day of 17t-C_h , 1986, by and between the Board of County Commissioners of the Monroe County Municipal Service District, hereinafter referred to as the "Board" or "MSD" and Baltuff Disposal Service, Inc. , hereinafter referred to as the "Franchisee" or the "Collector" or the "Contractor"; WITNESSETH: This Franchise Agreement is entered into duplicate originals. WHEREAS, the Board is desirous of having all solid waste in the unincorporated limits of Monroe County, and in those Muni- cipalities which, by Ordinance, have joined the Municipal Service District, regularly collected and properly disposed of; and WHEREAS, the Collector is willing to handle such collec- tion; and WHEREAS, the parties hereto desire to enter into an agree- ment setting forth the terms and conditions of said franchise; NOW, THEREFORE, for and in consideration of the premises and undertakings herein set forth, the Board of County Commissioners of the Monroe County Municipal Service District and the Collector each agree with the other as follows: 1. Definitions: "Bundle" means a package of solid waste, excluding garbage, weighing not more than fifty (50) pounds and not exceeding four (4) feet in its longest dimension, securely tied with cord or rope of sufficient strength to permit lifting and carrying of the full weight thereof without spillage or leakage and placed for collection immediately adjacent to a standard container. "Garbage" means all kitchen and table food waste, animal or vegetative waste that is attendant with or results from the storage, preparation, cooking or handling of food materials. "Solid Waste" means garbage, rubbish, refuse, yard trash or other solids or semi -solid material resulting from N domestic, commercial, industrial, agricultural and government operations, but does not include solids or dissolved material in domestic sewage effluent or other significant pollutants in resources such as silt, dissolved materials from irrigation return flows, or other common water pollutants. "Trash" means combination of yard trash, along with other debris, such as paper, cardboard, cloth, glass, and other like matter. "Yard Trash" means vegetative matter resulting from land-scaping maintenance and includes materials such as tree and shrub trimmings, grass clippings, palm fronds, tree stumps, tree limbs, etc. 2. Grant of Franchise: The Board does hereby contract with the Collector to collect all of the solid waste which the Board is obligated to collect and to transport the solid waste to an authorized disposal facility, and the Board does hereby grant to the Collector the right to do so for a period of five (5) years commencing on the 1st day of January, 1985, and terminating on the 31st day of December, 1989, within the following territory: Ramrod Key North to the 7 Mile Bridge. 3. Extension of Agreement not Guaranteed: The Collector shall make no expenditure in reliance that this Contract will be extended beyond its present term of years. 4. Collection of Solid Waste: Collection shall be made by the Collector as follows: a. All residential units shall be provided basic ser- vice of twice weekly pick up of garbage, and said collection shall be unlimited, providing that said garbage is placed in containers authorized in Chapter 8, Monroe County Code. Other residential solid waste shall be limited to one-half (1/2) cubic yard per residential unit per week. Residential discarded house- W hold white goods, furniture, and equipment shall be picked up upon call within five (5) working days of such call. b. All commercial and industrial establishments shall be provided basic solid waste collection service by the Collector on an as -needed basis. c. The Collector shall use the utmost care in handling containers to avoid damage and shall replace said containers in a erect position at the location from which the same is removed for collection. The Collector agrees to clean up immediately, in a workman -like manner, any waste spilled by it during the collec- tion process. d. The Collector shall provide adequate equipment and labor forces to insure satisfactory collection of solid waste and its delivery to an authorized disposal facility under adverse conditions of weather, and irrespective of breakdowns or similar hindrances. e. The Collector shall make collections with as little noise and as little disturbance as is possible, with particular attention to this provision during the morning hours; provided, however, that no collections shall be made between the hours of 11:00 p.m. and 5:00 a.m., local time, in residential and motel or hotel areas. f. The Collector shall agree to complete collection in accordance with an agreed upon schedule, even if it is necessary to use additional forces and equipment so as to not delay collection in any other areas within his territory. 5. Equipment used in Collection of Solid Waste: The Collector shall be responsible for providing all equipment necessary to maintain the agreed upon schedule. The equipment shall be modern, sanitary, motor propelled collection units, and said equipment shall be maintained in such a manner as to give maximum service and assure safe operation. Said equip- ment shall not be permitted to remain parked anywhere on a street or right-of-way when not in use. Said equipment shall be washed daily after use and sprayed with a disinfectant and an approved fly repellent. 3 e 6. Labor used in Collection: The Collector shall be responsible for providing all labor and supervision necessary to maintain the agreed upon schedule, it being understood that the Collector is an indepen- dent contractor and will provide for Workmen's Compensation and other requirements of Florida Law. 7. Title to Waste: All solid waste, upon being removed by the Contractor from the premises where produced or accumulated, shall become, and be, the property of the Collector. Title to the waste shall be retained by the Collector only for the period of time that the waste is in transit to an authorized disposal facility, whereupon the waste becomes the property of the Municipal Service District. 8. Collector's Office: The Collector shall maintain an office within his franchise area for the receiving of complaints during normal working hours. 9. Compensation to the Collector: Compensation for residential collections shall be established annually in accordance with the procedures set forth in Chapter 8, Monroe County Code. For the second year of this Agreement, to -wit: January 1, 1986, through December 31, 1986, the Collector shall receive the sum of six dollars ($6.00) per month for each residential unit in his territory for which an assessment has been levied. Commencing in February, 1986, and each consecutive month thereafter, on the tenth day of the month, or as soon thereafter as possible, the District shall furnish to the Collector a copy of his territory for which he is obligated to serve. Said assessment roll shall be accompanied by a warrant made payable to the Collector in an amount equal to six dollars ($6.00) for each residential assessment for the past month. 10. Compensation to the District: Commencing on February 10, 1986, and on the loth day of each consecutive month thereafter, the Collector shall furnish to the Board a list of all commercial accounts collected by him the preceding month and the gross amount of income collected and 4 shall pay unto the County twenty-five percent (25%) of the gross incomes received from said commercial accounts in his territory. The commercial percentage payable to the County for future years may be increased or decreased depending on the decision of the Board of County Commissioners during the conduct of rate hearings held pursuant to Chapter 8, Monroe County Code. The Collector shall note which commercial accounts have not been paid and the amount of said delinquency owing. For any commercial account delinquent for one (1) month, the Collector shall notify the Manager of the Municipal Service District of said delinquency. The Collector shall, on the month following collection of any delinquent account, include said information on his list furnished to the County and shall pay the twenty-five percent (25%) owing to the Board. The Collector shall use consecutively numbered receipt books furnished by the Collector and the Collector shall account for all commercial payments made to him by use of said receipt books. A receipt shall be issued to each commercial account making payment by way of cash payment, check or money order. Said receipt shall show the date of payment, name of account, amount of payment and shall indicate whether said payment was by cash, check or money order. The Collector shall make every effort to collect delinquent commercial accounts. 11. Changes in Compensation: Changes in compensation shall be in accordance with Chapter 8, Monroe County Code. 12. Responsibility to Bill and Collect for Services: a. The billing and collecting for residential service shall be the responsibility of the Municipal Service District. b. The billing and collection of commercial accounts shall be the responsibility of the Collector. C. The Collector shall maintain an office within his territory for receiving the compensation for his commercial collection service, both in person and/or by mail. d. The County shall maintain all Ordinances now on its books and adopted for the purpose of assisting in the enforcement 5 of the collection of service charges for both commercial and residential accounts. 13. Compliance with Authority: The Collector agrees to comply with all ordinances, statutes and regulations of Monroe County and the State of Florida properly applicable to the Collector's operation under this Agreement. 14. Performance Bond: No performance bond shall be required of the Collector at this time. However, said performance bond may hereafter be required by the Board if, in its discretion, the same shall be deemed necessary. 15. Insurance: The Collector shall carry the required Workmen's Compensation Insurance; Public Liability Insurance in an amount not less than $100,000.00 for injuries, including accidental death, to any person; and, subject to the same limit for each person in an amount of $300,000.00 on account of one accident; Property Damage Insurance in an amount no less than $10,000.00 for each accident and $30,000.00 aggregate. The Collector, further, shall keep and save harmless the Board from and against any and all costs, damages, claims or expenses it may suffer, incur or sustain or become liable for on account of any injury to, or death of, the employees of the Collector or to any other person, or damage to or injury to real estate or personal property, caused by and arising out of the work contracted for, and the Collector shall pay all bills of claims for wages, salaries and supplies purchased in the operation under this Agreement or otherwise. The Collector shall furnish, prior to the commencement of operations under this Agreement, proper certificates of insurance as evidence that the above -described insurance has been issued and is in effect. 16. Disposal Facility: The Municipal Service District agrees to provide and operate a solid waste disposal facility for the solid waste received form the Collector. R 17. Accounting Method: The Contractor agrees to be on the Accrual Basis of accounting and to maintain the records as shown in Appendix "A" of this Agreement. 18. Miscellaneous: Provisions of this Agreement shall be interpreted to attain the objective that all reasonable quantities and types of refuse placed for collection are collected. The Collector shall not enter into any sub -contracts, leases, agreements or assignments which in any way abrogate its duties or responsibilities hereunder without prior written approval of the County. However, said prohibition shall not apply to the purchase or leasing of equipment, employee hiring or discharge, office purchase or leasing. It is agreed that, in the event the Collector shall be adjudged bankrupt, either by voluntary or involuntary proceeding, then this contract shall immediately terminate. In no event shall this contract be, or be treated as, an asset of Collector after adjudication of bankruptcy. If Collector shall be proven insolvent, or fail in business, then this contract may be terminated at the option of the County, in which event, the County shall have the right to immediately take possession, lease or purchase Collector's operating equipment and records. All terms and conditions of the contract are considered material, and failure to perform any of said conditions on the part of the Collector shall be considered a breach of said contract. Should Collector fail to perform any of said terms or conditions, the County shall have the right to terminate the contract, only after ten (10) days notice, in writing, to the Collector of the violation of the contract and the failure of the Collector to remedy the violation within said time. In the event of termination of the contract for breach or default by the Collector as above -specified, the County shall have the right to forthwith take possession of all trucks and other equipment of Collector for the purpose of collecting, haul- ing and disposing of refuse which Collector has agreed to do. The County shall have the right to retain possession of and to 7 operate all said trucks and equipment until other suitable trucks and equipment can be purchased or otherwise acquired by the County for such purpose, for a period not to exceed six (6) months. The County shall pay to the Collector an equitable monthly rental fee for each piece of the Collector's equipment in the County's possession. The County shall, in case of any such termination, have the right of purchase of Collector's equipment and trucks at the depreciated fair market value thereof should it elect to so purchase. The County shall make an equitable rebate to the Collector for services rendered prior to termination, if any is due. 19. Audit: The Collector's books shall be open to inspection or audit at any time at the District's request and expense. The District will hire a Certified Public Accountant to make an annual audit of the Collector's records. This audit is to be completed by April 1 during each year of this Agreement. A monthly statement shall be provided to the County by the Collector showing the gross receipts collected by the Collector for the preceding month's commercial collections. (Also see Section 9 of this Agreement). Said monthly statements shall be prepared in accordance with a format mutually agreed upon by the Collector and the Clerk of the Board of County Commissioners and said statement shall be accompanied by the Collector's check made payable to the County in an amount representing twenty-five percent (25%) of said gross receipts no later than the loth day of each month beginning February 10, 1986. 20. Service: The Collector agrees that he will, upon written request from the Manager of the Municipal Service District, discontinue collection service to any residential and/or commercial account be and same located within the unincorporated limits of Monroe County or within the corporate limits of any municipality. The Collector agrees that, should said account be serviced after such notification, said action will constitute a breach of this Agree- E., went warranting termination of same in accordance with Section 18 hereof. IN WITNESS WHEREOF, the Collector has caused these presents to be signed by its proper officers and its seal to be hereto affixed, and the County has caused these presents to be signed by its Mayor and Chairman and attested to by its Clerk and its corporated seal to be hereto affixed, all as the day and year first above written. (SEAL) Attest : DANNY L. YOL1AGE, Clerk �4 z-, �-,- / �, � 2 /� er (SEAL) ecretar BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By: ayor airman DISPOSALBALTUFF . 4�z BALXNCE SHEET YEAR E%DING: �- ASSET S CLnRE`.-T ASSETS Cash in Bank Certificate of Deposit Loans Receivable - Stockholder (Sch. I) ILoans Receivable - Miscellaneous Prepaid Federal Income Taxes Prepaid Insurance 1----------------" repaid-State—income Taxes _ Other Current Assets - To —1 Current Assets `Automobiles and Trucks Building and Land Commercial Containers 14achines,Equip.& Tools Office Furn.,Fix.Equip. Less: Accumulated aepreciat�on NET PROPERTY & EQUIPMENT OTHER ASSETS Equipment Deposit Performance Bond Deposit Utility Deposit Other Assets TOTAL OTHER ASSETS . TOTAL ASSETS 1 , APPEMIX 1'A' 3 • � ��g•i ;;-f •h . "cam-r�,� �{Y a�`,it } • a r. $ - �. 4.��,• �.....�—� 'gin .I:7"RMM' '_.� +W�t».A�'iF...J..Rr'•�,t`.��F+y �T#. ":{. {#.ice..�B �R.'�iJ� «y4.�"_ryt..{,y���. •s•4� :iy '1.. .,. B LAi;CE SHEET CC`P_L`,T : . AS OF: z iIABT_LTTIES A.�'D STOCKHOLDERS' EOLIh' Ct cR-- T LIASILITT7S Accrued Income Taxes Accrued Payroll Taxes Notes Payable - Portion Due r Within One Year Other Current Liabilities _ TOTAL CURRENT LIABILITIES LONG-TERM LIABILITIES _._..._._ Installment Loans Payable. - -- Portion Due After One Year ` TOTAL LONG-TER<<1 LIABILITIES TOTAL LIABILITIES STOCKHOLDERS' EOUITY Common Stock* , _.......... Retained Earnings Balance, January 1, Add: Net Income/Loss Balance, December 31, Treasury Stock TOTAL STOCKHOLDERS' EQUITY TOTAL, LIABILITIES & STOCKHOLDERS' EQUITY r * Include cost per share and outstanding stock. L • a tip, ' •.�.^� .•+tie r.}��yl� NR '��. ,.r� , .. ,. •...1' , �-� �,- :. '�L 't i� ,. � y. i. s _. STyTE`!ENT t CO:.r AN-Y; YEAR REVE:.UE Monroe County Residential Customers :•!onroe Count. C0rrr;ercia1 Customers Other Collection Revenue _ Total Operation Revenue r OPERATING EYPE*ISES 3 Employee wages Employee Fringes —- Direct—'Iehicle—Expenses General Maintenance General Overhead - Total Operating Expenses i Net Operating Income LOfficers' Salaries Officers' Fringes Owners' Discretionary Costs _ Other Income and Expenses, Net Income Before Taxes Income Taxes• NET INCOME f SALA:\'IES/;,AGES : ';D FRi::GES - SC, EDL'LE A �:i'LOYEES A:`"D CORPORATE OFFICERS =0 TANY : YEAR E:/DI:,G: E— LOYEES :,AGES Part-time L. nor $ [Garbage Coll. Crew` [ifech/?Iaintenance* [Clerical Yearly Total 1st Otr 2nd Otr 3rd Otr .* Otr $ $_ S $ S EHPLOYEE FRI`IGES Group Health, Employment.$ $ $ Group Life, Employment $ $ Payroll Taxes, Employ. Prof.Shar./Pension Empl. - Uniforms/Laundry, Empl. OFFICERS' FRINGES Group Health, Officers $ $ $ Group Life, Officers $ $ Payroll Taxes, Officers . Prof.Shar./pension, Off. ' Uniforms/Laundry, Off. OFFICERS' SALARIES 0509) $ $ $ CORPORATE OFFICERS/OWNERS Officer's ;Jame 2 nt.-.,oa ,_, * ?,orate emolovees' wa., ,es based on emplover, s estimates when both collection crew and maintenance worker. **Part-time, full-time. .n s,•nl `1 t (i Y,:fi'.y_�.+C: :;.- ...•^,e ..li5 4 'Y siR:��ir •••. .r.. ... i. ..: I ZZ r —,Z:.— `<I o I ��I!CII� ail � „� ,; x w z EEE C J j l i l � l I _ olri Cl !tn ;1-15 c u c J�F vrw DISC: CTIO':.k TS L: 'T ^S - `CC:� C� SC::LDCLE LIST EACH -OS- ACC-. i Descr: - - j• 1 ' 1 1 TOTAL, $ j *Discretionary Management Accounts: jL 901 - Advertising 6 Promotion 902 - Donations 903 - Dues & Subscriptions 904 - Entertainment 905 - Penalties (Taxes) 906 - Travel, Seminar/Training f b 1. 1� °i`? a t P. r T^ � I' �J fse � t.v ..Hr srt ram.. 'K 4'tl' •.•� � i 0.Crr1,. ... - i� ney, �1. '1 2�—� � ,M .-. _...f. ` � r . Y RENTED PROPERTY FROM OWNERS SCHEDULE F COMPANY: YEAR ENDING: �I A. For property (land, buildings, vehicles or other property) that is rented/leased to the company and owned by individuals and/or other entities that also have ownership in the stated franchise company, complete thq. following: Name of Owner 4* .OW� is ling - y ?r y�t.,y.+a.. t«m-y.;iC� �. .,�1�°4�. }.� ir,�,�Sx..i7" ;y „ J i., t':1��4� a ♦ + # i:. � t:: s :