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<br />88 <br /> <br />been slow to correct the operating conditions that have lead to the permit violations that Page 5 <br />were identified in the evaluation committee report, these historical Upermit issues" will <br />not be a factor in a contractor's operations of the SBWMA's SRDC. <br /> <br />A number of other Notices of Violation were related to "operating practices" that could be <br />improved through better management of the site by Community Recycling. The <br />Selection Committee recognized that in 2008 the company made progress over 2007 in <br />reducing and correcting the Notices of Violation. Given that the SRDC is a very different <br />type of operation than Community Recycling's and that Potential Industries (the other <br />partner in SBR) has a clean operating history, the Selection Committee is confident that <br />the company understands and will live up to the high standards required by the <br />SBWMA. In addition, the SBWMA's agreement with the contractor will include <br />provisions to both define and enforce "good housekeeping" practices at SRDC. The <br />Selection Committee is comfortable that SBR can and will operate the SRDC at the level <br />expected by SBWMA staff and the member agencies. <br /> <br />Next Steps <br />It js anticipated that the Selection Committee recommendation will be considered for <br />vote by the SBWMA Board of Directors on April 23, 2009. After final selection, <br />negotiation of the facility operations agreement will begin between the SBWMA and the <br />selected contractor. The SBWMA Board will consider the final draft agreement at its <br />June 2009 meeting, followed by member agency consideration of the agreement in July <br />to September, 2009. The governing boards of eight member agencies must ultimately <br />approve the agreement before it becomes effective. If this timeline slips, additional <br />costs will be incurred by the ratepayers due to the need to make alternative off-site <br />processing arrangements for recyclable materials. <br /> <br />ALTERNATIVES <br />The Council can direct staff to vote for either one of the two short-listed facility operators <br />(SBR or HBC) or provide other direction that the Council deems appropriate. <br /> <br />FISCAL IMPACT <br />There is no direct fiscal impact to the City for the costs associated with this decision. <br />However, as the SRDC operations are funded from the rates that City residents and <br />businesses pay for garbage collection and recycling services, utility bills will rise as a <br />result of service improvements. <br /> <br />Bri~{{~ <br /> <br />Director of Finance <br /> <br /> <br />ATTACHMENTS <br />1. Facility Operations Contractor Selection Committee Report dated January 15, 2009 <br />2. Final Recommendation - Facility Operations Contractor Selection Committee Report <br />dated March 18, 2009 <br /> <br />RELATED DOCUMENTS IN CITY CLERK'S OFFICE <br />None <br />