12/15/1987 Agreementd
FRANCHISE AGREEMENT
THIS FRANCHISE AGREEMENT is made and entered into this
15th day of
December
, 1987, by and between the Board of
County Commissioners of the Monroe County Municipal. Service
District, hereinafter referred to as the 'Board' or 'MSD' and
Florida Disposal Company , hereinafter referred to as
the 'Franchisee' or the 'Collector' or the 'Contractor';
WITNESSETH:
This Franchise Agreement is entered into in two 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 parties hereto desire to enter into an
agreement setting forth the terms and conditions of saidran -
chise;
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:
a. "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.
b. "Commercial collection service" shall mean all non-
residential commercial, and industrial establishments.
C. "Container" shall mean and include any detachable metal
container designed or intended to be mechanically dumped into a
loader /packer type of garbage truck used by the Contractor.
(1)
d. "Disposal facility" shall mean an authorized Facility,
operated by the `1ST), at which disposal of soJ_id waste occurs.
e. "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.
f. "G=arbage can" shall mean and include anv light gauge
steel, plastic, or galvanized receptacle, closed at one end and
open at the other, furnished with a ton or UH and? two (2) handles
and of not more than thirty -five (35) gallons capacity.
Cy "Hazardous waste' shall mean materials or combinations of
materials which require special management techniques because of
their acute or chronic effect on air and waste aualitv, on fish,
wildlife, or other on the health and welfare of the
public. These materials may include, but are not limited to,
volatile, chemical, biological, explosive, flammable, radio- active,
and toxic materials.
h. "Horticultural trash" shall mean a solid waste that is an
accumulation of lawn, grass, or shrubbery cuttings or clippings and
dry leaf rakings, palm fronds, small tree branches (which shall not
exceed four (4) feet in length and four (4) inches in diameter), bushes
or shrubs, green leaf cuttings, fruits, or other matter usuallv createca
as refuse in the care of lawns and va.rds, except urge branches, trees,
or bulky or non - containerized material not susceptible to normal loading
and collection in loader packer type sanitation equinment used for regu-
lar collections from domestic households (limbs from tree trimmings
shall not exceed four (4) feet in length and four (4) inches in diameter,
and shall be placed at the roadside for pick ian).
i. "Industrial waste" shall mean any solid waste accumulation of
metal, metal products, minerals, chemicals, rock, cement_, asphalt, tar,
oil, grease, glass, crockery, rubber, tires, bottles, cans, lumber, saw-
dust, waste from animal packing or slaughterhouses, or other materials
usually created by an industrial enterprise.
j . "Infectious waste" shall mean those wastes , ihich may cause
disease or may reasonably be susnecteO of harhoring natho�-.enlc:_
organisms. Included are wastes resulting fr-)m the operation of
medical clinics, hospitals, and other facilities nroducinq wastes
which may consist of, but are not limited to, diseased human and
animal Darts, contaminated bandages, pathological snecimens,
hvpodermic needles, contaminated c lothin, , and ;ur ^ic:i 1 l , ,res .
lc. "Multi - familv dwe'lline unit" shall mean and include :inv
building or structure containing two (2) or more dwelling units
under one roof.
1. "Recycling" shall mean the reuse of solid waste in manu-
facturing, agriculture, power production, or other nrocesses.
M. "Refuse" shall mean both rubbish and garbage or a com-
bination or mixture of rubbish and garbage.
n. "Residential collection service" shall mean and includes
service of single family dwellings, duplexes, apartments. condominiums,
mobile homes.
o. "Rubbish" shall mean waste material other than garbage, c,,h;
material is usually attendant to domestic households or housekeeninL-
and the premises upon which said household is located, and shall inclivie,
but not limited to, paper, sweepings, dust, rags, ' cans, or ,,ther
waste material of any kind.
D. "Solid waste" means garbage, rubbish, refuse, vard trash or
other solid or semi -solid material resulting from domestic, commercial,
industrial, agricultural and government operations, but does not
include solids or dissolved material in domestic sewace effluent or
other significant pollutants in resources such as silt, dissolved
materials from irrigation return flows, or other common water pollutants.
q. "Special waste" shall mean those wastes that reeuire e::trri-
ordinary management. Thev include, but are not limited to, abandoned
automobiles, used tires,.waste oil, sludges, dead animals, agricultural
and industrial waste, septic tank pumpings, and infectious and hazardous
wastes.
r. "White goods and furniture" shall mean inonerative and dis-
carded refrigerators, ranges, washers, water heaters, and other similar
domestic appliances and household furniture.
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
transport the solid waste to an authorized disnosa
Board does hereby grant to the Collector the right
period of five (5) years commencing on the 1st day
and terminating on the 31st day of December, 1992,
territory:
collect and to
1 facility, and the
to do so for a
or Januarv, lgg.g
within the Following
(3"
tdest of Cross Street and South 9f 9th
3. Extension of Agreement not Guaranteed:
The Collector shall make no expenditure in reliance that this
Contract will be extended beyond it's 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 service of twice
weekly pick up of garbage and rubbish. Pick up will be limited to three
cans per pick up. In addition each residential unit shall be entitled
to a pick up of one- half.(1 /2) cubic yard of horticultural trash once
a week. (Three thirty two gallon containers are equivalent to one -half
cubic yard.) Pick up of industrial waste and /or white goods and /or
special waste, may be picked up by arrangement with and payment to the
Collector.
Infectious waste and hazardous waste will not be picked up by the
Collector.
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 containters in a erect position
at the location from which the same is removed for collection. The
Collector agree to clean up immediately, in a workman -like manner, any
waste spilled by it during the collection 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 or 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:
l 4ty
The Collector shall be responsible for providing all equipmept
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 equipment 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 repellant.
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,independent 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
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 first year of this Agreement, to.wit, January 1, 1988 through
December 31, 1988, the Collector shall receive the sum of $6.00
per month for each residential unit in his territory for which an assessmer
has been levied.
10. Compensation to the Municipal Service District:
Commencing on February 10, 1988 and continuing through April 10, 1988,
the Collector shall furnish to the Board a list of all commercial accounts
collected by him the preceding month and the gross amount income collected
and shall pay unto the Board 41.0 percent of the gross incomes received
from said commercial accounts in his territory.
From April 1, 1988 through December 31, 1988 the collector shall pay
a tipping fee of $ - - 1 . 7_00 per ton for all solid waste delivered to the
disnosai facility. The tipping fee may be increased or decreased b-r t - he
Board.
11. Changes in Compensation:
No later than October 1, 1988, the residential unit price may be.
adjusted to conform with any increase or decrease in the United suRpoR
Department of Labor, Bureau of Statistics, Washington, D.C., Consumer
Price Index for Urban Wage Earners and Clerical Workers - All Items -
(1967 = 100) for the Miami area. The percentage increase or decrease
in the unit price shall be computed as follows:
The net change will be the percent difference between the labor
index of December 1986, and the index published for December 1987.
The rate adjustment shall be effective January, 1989, unless otherwise
determined by the County. The County expressly reserves the right to
approve or disapprove the-request for an adjustment. The County's decision
shall be final and conclusive and shall create no right in the agreement
for adjustments refused for any reason by the County. It is the intent of
this section to provide the method whereby the residential unit price can
be adjusted, if approved by the County.
Movement in the indexes from one month to another are usually expresse
as percent changes rather than changes in index points because index paint
changes are affected by the level of the index in relation to its base
period, while percent changes are not. The example* below illustrates the
computation of index point and percent changes:
Review Date: June, 1988
Current Year: December 1987 labor index
Previous Year: December 1986 labor index
Index Point Difference
Percent Increase (1987) = 100 x (Point Difference)
revious Year In ex)
Percent Limitation: 7 Percent
Adjustment Percentage Allowed:
172.8
163.7
9.1
5.6
7.0
5.6
*All figures are hypothetical and are merely intended to serve an an
illustration of the methodology to be employed in adjusting the unit
price.
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, botf
( 6'
in T) erson 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 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 ony 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 contract
for, and the Collector shall pay all bills of claim 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 Facili
The Municipal Service District agrees to provide and operate a solid
waste disposal facility for the solid waste received from the Collector.
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.
(7)
The Collector shall not enter into any sub - contracts, lea §as,
agreements or assignment of or 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 lea44
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 the Collector after adjudication of
bankruptcy. If the 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 $hall 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 the 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, hauling and disposing of refuse which
Collector has agreed to do. The County shall have the right to retain
possession of and to 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 as 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
be cue.
19. Audit:
The Collector's books shall be open to inspection or audit at anv
time at the District's request and expense. The District will hire a
�8)
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.
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 the 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 Agreement 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 by its Clerk and its corporate seal to be hereto
affixed, all as
of the
day and
year
first above written.
Dated this
ffA
day of
De
, 19V
Attest :DANNY L. KC)LILt GE, Clerk
VA.1
Attest:
— W" WYA
BOARD OF COUNTY COMMISSIONERS
OF MONROE COUNTY, FLOIJDA
% r
By
Mayor Chairman
B r
I
6 Q