HomeMy WebLinkAboutResolution 2020-038 N.C.S. 03/16/2020Resolution No. 2020-038 N.C.S.
of the City of Petaluma, California
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PETALUMA
APPROVING OF A MEMORANDUM OF UNDERSTANDING TO ALLOW ZERO
WASTE SONOMA TO APPLY FOR GRANT FUNDING TO ESTABLISH NEW DROP-
OFF RECYCLING CENTERS AND AUTHORIZING THE CITY MANAGER TO
EXECUTE THE MEMORANDUM OF UNDERSTANDING ON BEHALF OF THE CITY
WHEREAS, the California Legislature enacted the California Beverage Container
Recycling and Litter Reduction Act in 1986 to encourage recycling and reduce litter, resulting in
the creation of hundreds of California Redemption Value facilities (CRV Facilities) to reclaim
and recycle beverage containers; and
WHEREAS, in 2016, RePlanet, the largest CRV Facility operator, closed 191 CRV
Facilities, and in 2019 closed another 284 centers, resulting in reduced recycling of beverage
containers; and
WHEREAS, the California Legislature enacted AB 54 in 2019 authorizing the California
Department of Resources Recycling and Recovery (CalRecycle) to expend up to $5 million to
support pilot CRV projects; and
WHEREAS, Zero Waste Sonoma, a solid waste joint powers authority of which the City
of Petaluma is a member, has proposed a program to establish ten new CRV Facilities in
underserved areas in Cloverdale, Healdsburg, Sebastopol, Santa Rosa, Sonoma and Petaluma,
and plans to apply for AB 554 funding to support the program, and is requesting the support of
member agencies for its application for AB 54 funds in the form of entering a memorandum of
understanding with Zero Waste Sonoma; and
WHEREAS, the proposed execution by the City of Petaluma of an MOU with Zero
Waste Sonoma to seek AB 54 funding to establish ten new CRV Facilities is exempt from the
requirements of the California Environmental Quality Act (CEQA) in accordance with Section
15308 of the CEQA Guidelines as action taken by a regulatory agency as authorized by state or
local ordinance to assure the maintenance, restoration, enhancement or protection of the
environment where the regulatory process involves procedures for protection of the environment,
in that the proposed CRV Facilities will increase beverage container recycling and reduce the
impact on the environment that results from disposing of beverage containers in landfills and the
manufacture of new beverage containers from non -recycled materials;
Resolution No. 2020-038 N.C.S. Page 1
NOW, THEREFORE, be it resolved by the City Council of the City of Petaluma as
follows:
1. The City Council hereby approves of the City entering the proposed memorandum of
understanding attached to and made a part of this resolution as Exhibit A.
2. The City Manager is hereby authorized and directed to execute the memorandum of
understanding in Exhibit A on behalf of the City, subject to such changes to the
memorandum of understanding as the City Manager may deem necessary or
appropriate and the City Attorney may approve.
Under the power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the 4Approved as to
Council of the City of Petaluma at a Regular meeting on the 161h day of March .t orm:
2020, by the following vote:
---tity Attorney
AYES: Mayor Barrett; Vice Mayor Fischer; Healy; Kearney; King; McDonnell; Miller
NOES: None
ABSENT: None
ABSTAIN: None
4
ATTEST:
City Clerk
Mayor
Resolution No. 2020-038 N.C.S. Page 2
Exhibit A
Memorandum of Understanding
Between the City of Petaluma and Sonoma County Waste Management Agency
Regarding Application for and Implementation of CRV Pilot Project Grant
This Memorandum of Understanding ("MOU") is made this _ day of
12020 by and between the CITY OF PETALUMA, a municipal corporation
of the State of California ("City") and the SONOMA COUNTY WASTE MANAGEMENT
AGENCY, a California joint powers authority ("Agency") (collectively the "parties").
RECITALS
WHEREAS, the Agency is a joint powers authority established pursuant to the
California Joint Exercise of Powers Act (Gov't Code sections 6500 et seq.), and one of
the Agency's core programs is to provide education regarding recycling, composting and
other methods of waste diversion to the Agency's members and the public; and
WHEREAS, the City is a member of the Agency, and Agency provides such
educational services to the City and its residents; and
WHEREAS, the State passed SB 458 in 2017 authorizing the Department of
Resources Recycling and Recovery (CalRecycle) to approve up to five California
Redemption Value (CRV) pilot projects to provide convenient beverage container
redemption opportunities in both urban and rural areas; and
WHEREAS, the State passed AB 54 in 2019 authorizing the expenditure of up to
$5,000,000 to support the CRV pilot projects; and
WHEREAS, The CRV pilot projects are intended to provide opportunities for
California local government and recycling center operators to improve redemption
opportunities for eligible beverage containers and increase recycling rates in convenience
zones statewide that are not served by a recycling center that redeems all California
Redemption Value (CRV) containers ("unserved convenience zones"); and
WHEREAS, CalRecycle administers grant funding for the CRV pilot programs and
is offering grant funding of up to $1,000,000 per jurisdiction in furtherance of such
programs (the "CalRecycle Grant" or "Grant"); and
WHEREAS, the Agency desires to apply for funding under the CalRecycle Grant
for a program with United Cerebral Palsy of the North Bay (UCPNB) to design, fabricate,
install, maintain and service stationary; self -operated CRV recycling kiosks to be operated
in unserved convenience zones in the City and other member cities of the Agency (the
"Pilot Program"), as more particularly described in Exhibit A, attached hereto and
incorporated herein by this reference; and
Resolution No. 2020-038 N.C.S. Page 3
WHEREAS, the Agency needs City authorization in order to apply for the
CalRecycle Grant on the City's behalf, and to administer the grant and implement the Pilot
Program within the City's jurisdiction if such grant funding is received;
NOW, THEREFORE, in consideration of the foregoing, the parties hereby agree
as follows:
AGREEMENT
1. Authorization to Submit Grant Application on behalf of City. The City
hereby authorizes the Agency to submit an application for the CalRecycle Grant on the
City's behalf, along with other member jurisdictions of Agency, to be used for the
implementation of the Pilot Program as defined below and as more specifically described
in this MOU. The City agrees and acknowledges that if the CalRecycle Grant is received,
the Agency will be the grant recipient, and will implement the Pilot Program within the
City.
2. Responsibilities of the Agency. Agency will undertake the following
actions in furtherance of application for and implementation of the CalRecycle Grant and
the Pilot Program:
A. Agency will prepare an application on behalf of the City and certain
other members of the Agency that have unserved convenience zones within their
jurisdiction for funding through the CalRecycle Grant to be used for the Pilot
Program.
B. Following submittal of the application for the CalRecycle Grant,
Agency will serve as the primary contact with the CalRecycle grant manager; will
coordinate and direct Grant activities as outlined in the Grant application; will
monitor and adhere to the Grant schedule, budget, and timeline; will prepare
required documentation for the Grant, when necessary; will obtain approval from
CalRecycle grant manager for expenditures; will complete the required reporting
to CalRecycle on behalf of the City; will develop a database to track monthly
results; and will review monthly to determine consistency of beverage container
recycling numbers, and to identify any anomalies in order to address any issues
promptly.
C. Agency is additionally responsible for implementation of the Pilot
Program and coordination with stakeholders in the City if the grant funding is
received, including meeting with grocery store management in the applicable
unserved convenience zones to gather data and assess best placement of
container for the pilot; working with UCPNB and the Petaluma Recycling Center to
implement the Pilot Program; responding to public questions, comments and
concerns, fielded through phone calls and email; developing messaging related to
Resolution No. 2020-038 N.C.S. Page 4
the pilot program for social media and the Agency's website; and creating and
distributing outreach materials to notify public of new recycling facilities.
3. Compensation and Expenses. The Agency is applying for and will be the
recipient of the CalRecycle Grant, should it be approved by CalRecycle. Expenses
incurred by Agency in connection with the administration and implementation of the
CalRecycle grant may be paid from grant proceeds to the extent permitted under the
terms of the CalRecycle Grant, but in no event will the City be responsible to pay
compensation, payment or expenses to City for the Agency's activities as described in
this MOU.
4. Agreements in Furtherance of CalRecycle Grant. In the event City and
Agency need to enter into additional agreements in furtherance of the CalRecycle Grant,
including but not limited to agreements to allow the location of self -operated recycling
kiosks on City property, or agreements for the purchase and ownership of such kiosks,
the parties will work together to negotiate reasonable terms for such agreements.
4. Indemnification/Hold Harmless. Agency shall indemnify, defend, and
hold harmless the City, its City Council, officials, consultants, agents, and employees from
and against any and all loss, damages, liability, claims, suits, costs and expenses,
including reasonable attorney's fees, arising from Agency's performance of this MOU,
with the exception of matters that are based upon the negligent or intentional acts or
omissions of the City, its City Council, officials, consultants, agents and employees.
5. Term. The term of this MOU shall begin on , 2020 and shall remain
in effect for the term of the CalRecycle Grant.
6. Termination of MOU. This MOU may be terminated by either party at any
time for convenience by giving the other party ninety (90) calendar days advance written
notice, provided however, that once the CalRecycle Grant has been received, the City
cannot rescind its authorization for the Agency to implement the Pilot Program within
City's jurisdiction.
7. Notice. During the term of this MOU, all notices shall be made in writing
and either served personally, sent by first class mail, or sent by facsimile provided
confirmation of delivery is obtained at the time of facsimile transmission, addressed as
follows:
To: Agency Sonoma County Waste Management Agency
Attention: Executive Director
2300 County Center Drive, Ste. B-100
Santa Rosa, CA 95403
Telephone Number: 707-565-3668
Resolution No. 2020-038 N.C.S. Page 5
To City: City of Petaluma
Attention: City Manager
11 English Street
Petaluma, CA 94952
Telephone Number: 707-778-4347
Any party may change the address to which notice is to be given by providing the
other party with written notice of such change at least fifteen (15) calendar days prior to
the effective date of the change.
Service of notices shall be deemed complete on the date of receipt if personally
served or if served using facsimile machines provided confirmation of delivery is obtained
at the time of facsimile transmission. Service of notices sent by first class mail shall be
deemed complete on the fifth (5th) day following deposit in the United States mail.
8. Governing Law. This MOU shall be deemed to be executed within the
State of California and construed in accordance with and governed by laws of the State
of California.
9. Amendment. Except as otherwise expressly provided in Section 1, above,
this MOU and the exhibits hereto may only be amended in writing signed by both parties,
and any purported amendment shall be of no force or effect. This MOU may be amended
to both extend the term and conditions, as well as to add tasks. Agency will not begin
new tasks without express written permission of the City.
10. Entire Agreement. This MOU and its exhibits constitute the entire
agreement between the City and Agency and supersedes all prior negotiations,
representations, or agreements, whether written or oral.
[Signatures on following page]
Resolution No. 2020-038 N.C.S. Page 6
Between the City of Petaluma and Sonoma County Waste Management Agency
Regarding Application for and Implementation of CRV Pilot Project Grant
IN WITNESS WHEREOF, the parties hereto have executed this
agreement in duplicate on the day and year first above written.
APPROVED AS TO FORM:
City Attorney
APPROVED AS TO FORM:
Agency Counsel
CITY OF PETALUMA, A Municipal
Corporation of the State of California
City Manager
SONOMA COUNTY WASTE
MANAGEMENT AGENCY, A California
Joint Powers Authority
By:
Leslie Lukacs, Executive Director
Resolution No. 2020-038 N.C.S. Page 7
51
■_iiWI
Sonoma County CRV Pilot
Background
In 1986, the California Beverage Container Recycling and Litter Reduction Act, also
known as the Bottle Bill, was enacted to encourage recycling and reduce litter, and set a
program goal of achieving an 80% recycling rate. This act enabled the creation of CRV
facilities to reclaim bottles from Californians in exchange for payout of returned bottle
deposits, and established convenience zones, designated by a supermarket at the
center of a half -mile radius within which a state -certified recycling center must exist.
For years, recyclers relied on the State's handling fees and processing payments made
when the cost of recycling exceeded the value of material, per ton redeemed. In 2016,
RePlanet, California's largest operator of recycling redemption centers, closed 191
facilities, and then, in August 2019, they closed their remaining 284 locations. This trend
mirrored closures of 40% of all California redemption centers since 2015. This was
driven in large part by increased business costs, falling prices of glass, aluminum and
plastic materials, and the state's payment structure.
In 2016, Sonoma County had 25 CRV facilities (one center for every 20,000 residents).
That number has dropped to just four remaining facilities in 2020 (one for every 125,000
residents) located in Petaluma, Santa Rosa, and Windsor. These closures have led to a
drop in customer's redemption payouts ($.025 per nickel, and $.05 per dime), increase
in customer wait time at existing four facilities, potential loss for the local economy, and
an increase in bottles and cans landfilled.
SB 458 (Wiener) was passed in 2017, authorizing CalRecycle to approve up to five pilot
projects proposed by cities and/or counties working in combination with private
businesses to provide convenient beverage container redemption opportunities in both
urban and rural areas. AB 54 (Ting 2019) was passed to allow for the expenditure of up
to $5,000,000 to support the pilot projects. AB 54 also extends the deadline for
CalRecycle to approve pilot project applications until January 1, 2022.
ZWS is interested in partnering with the Petaluma Recycling Center (PRC) to implement
a pilot that would bring ten new CRV collection facilities to currently unserved areas in
Cloverdale, Healdsburg, Sebastopol, Santa Rosa, Sonoma, and Petaluma.
ZWS Partnership with the United Cerebral Palsy of the North Bay
The Petaluma Recycling Center (PRC), an employment program and job training site for
employees with disabilities, and division of the 501(c) (3) United Cerebral Palsy of the
North Bay (UDPNB), emerged as an ideal partner for the CalRecycle Grant. The PRC
is a certified CRV recycler center and CalRecycle requires the certification to apply.
Resolution No. 2020-038 N.C.S. Page 8
UCPNB plans to design, fabricate, install, maintain and service stationary, self -operated
CRV recycling kiosks for the program. Their staff will service the kiosks weekly or more
frequently as needed, based on routes that are set up to maximize service intervals and
keep operating costs to a minimum. Staff providing the collection service will be in
uniform and their vehicle will information decals identifying the collaborative program.
The outdoor, self-service kiosks will be built into new steel shipping containers (20 foot)
similar to the units seen in Oregon. Because of the delays and costs involved in getting
these units permitted and wired for electricity outside of a grocery store, each structure
will have solar powered, battery backup operation. The power will operate the kiosk
touch screen, bar code reader, sensors, security cameras, cellular router, door latch,
and a safety light.
Customers will be able to use a mobile -friendly web site to sign up and access their
accounts, and receive support and communications via email. At the drop off site,
customers will be informed of the process by a Windows application running on the self-
service kiosk. Customers will provide basic account information that includes the
customer's name, address, email, phone contact and desired method of receiving their
recycling payments. PRC will link new accounts to existing CZ store membership
programs like the Safeway program. This process would give customers a way to
purchase items from the Convenience Zone (CZ) store with credits received from the
CRV.
Each new customer will be sent a box of 25 -labeled bags, each bag containing a unique
bar code. Boxes of bags will be available to purchase in the CZ store, to order on line
or at the kiosk itself. If the customer gets a box of bags from the CZ store they would
have to pass by the kiosk to have the box bar code scanned to register / link the bar
codes in that box to their account.
As the customer brings a full bag of CRVs within four feet of the kiosk display, a
universal bar code reader will identify the bag's owner and display their name on the
screen. After the customer verifies their identity, the display will ask them to enter the
number of bags to be deposited into the container. Once the customer indicates how
many bags will be placed inside, the door will open and the bar code reader will count
and track the number of bags inserted. When finished, the screen will ask them to shut
the door and to check on line for the transaction amount with a disclaimer that the
anticipated amount may vary based on downstream processing. When the customer
logs into the portal, they can see the results of our inspection / sorting process and see
how much the balance in their account will be adjusted.
There is a tie in potential either to receive cash through their account, donate to local
nonprofits, or to use the amount of the CRV credit as a voucher in the CZ store (s) plus
some added percentage that the stores may support. This feature is similar to the
BottleDrop program found in the Oregon Redemption Centers. PRC will also add a
button to allow the customer to donate the amount to a group of Sonoma County not for
profit organizations and another button for the customer to request that we contact them
by phone or e-mail.
Resolution No. 2020-038 N.C.S. Page 9
Because each kiosk has a cellular router built in, each kiosk will update our central
database at the end of each transaction (as the door closes), with the number of bags
inserted since the last service interval and allow us to tie video images to that
transaction. Each kiosk will also check in hourly to update our internal database with
real time information on the operational status of the system. There could be locations
that need more than one kiosk due to extremely high volumes. If this occurs, a second
kiosk will be installed or service intervals may be increased depending on the layout of
the parking lot spaces. The kiosk will operate on the Microsoft Kiosk platform.
CRV material from the kiosks will be collected on a schedule. The collected CRV will be
transported back to the PRC to be inspected, sorted, weighed and recorded into our
database enabling us to reimburse each customer via the software platform we have
established. Each bar coded bag will link that transaction to the customer's account and
each sorting / inspection process will be filmed on our CCTV system and saved for a
minimum of 90 days in order to resolve any complaints. The video footage of the
sorting / inspection process will include a screen shot from the security camera video
showing the person at the kiosk processing the CRV as a method to double verify the
transaction to the correct person / account.
PRC has extensive training in all phases of CRV processing as required by CalRecycle
and will handle any ineligible materials, odd -sized containers, previously baled, or out of
state materials as required by law. All processing and payment posting will be done
within two working days from the date of pick up. Customer complaints or questions will
be handled by PRC on their 1-800 service line and on-line questions and account
balance verification will be available on our website.
Resolution No. 2020-038 N.C.S. Page 10