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7A Page 43 ATTACHMENT 2 Educate the public Educate and involve the community . Integrate collection services with SBWMl\ facilities . Flexibility of collection methods Comment #3 Page 2 - '~ackground" section The Grand Jury report states: (The SBln.1A was first formed in 1982 as the South Bf!Js-ide Transfer Statio'J (SBTSA) Joint Powers Authoriry (JP A). Its purpose was to consolidate local collection semces and address the need for coordinated municipal ~tJortJ to manage solid waste di.sposa~ ensurin..~ that its 12 member agencies ?4therlon, Belmont, Burlingame, East Palo Alto, Foster Czry, fIjl/sbom1lgh, Menlo Park, Redwood Ci'~, San Carlos, San Mateo, fFest Bt9 Sanitation District, and unincorporated portions of San Mateo County) would coliectil)cfy hatJC lower collection and solid waste management costs. The SBWM.A has delivered the lowest garbage rates in the Bt!)' Area. A kry ,'onsideration fOr managing costs was the constrHftion oj the transfer station in San Corios in 1984, which is the onlY SUt-h facility in central San Mateo Coun!}. Browning Ferns Industries (BPI) built and operated the facility from its inception until the SBTSA purcha.red the transfer station and adjacent Material Re~cling Facility (lvlRF) from B.Fl in 1999." The statement above does not accurately capture all of the history of the organization. The SBTSA (South Bayside Transfer Station Authority) was formed in 1982 by the same agencies that are a party to the South Bayside Waste l\1fanagement Authority ]PA. Its initial purpose was "to provide an adequate flow of solid waste to the San Carlos Transfer Station to assure the then owner/ operator BFI-San 1tlateo that it would recover its investment in the facility. The SBTSA JPA actually expired by its own terms as a JP A in 2002. The SBWl\-fA was formed in Dec. 9, 1999 by the fonner SBTSA members, " for the joint ownership, financing, administration, review, monitoring, enforcement, and reporting of Solid Waste, Recyclable Material, and Plant Material Collection activities in the Service Area." 'Ibe SBWMA was formed concurrently with the acquisition by the SBWMA in March 2000 of the Transfer Station and Recyclery properties from BFI-San Mateo. The SBWMA JPA Agreement was atnended by a First Amendment and Restatement in 2005. As stated above, the SBWMA issued bonds and purchased the Transfer Station and the Recyc1ery properties from BFI-San Mateo in March 2000. At the time of sale, BFI obtained an Agreement from the SBWMA to operate the facilities without a Request for Proposals (RFP) process, dated March 1,2000. The initial term of that agreement was to December. 31,2006, and was extended, again without an RFP process, to December 31, 2010. At the same time, effective March 2000, BFI obtained new Franchise Agreements individually v..i.th the 121\.fember Agencies, without an RFP process, and those Franchise agreements were also extended by the J\.1ember Agencies, without an RFP, to December 31, 2010. Comment #4 Page 2 - "Background" section The Grand Jury report states: ('5 inco the inception oj the JP A, one company, Allied, previouslY known as BFI, operated both the collection services and the disposal seroiees oj solid waste. The current SBWMA contract witb .Aliied is due to e:x.Pire on January 1,2011. n SB\1VMA Grand]ury ResponscAddendum 2.doc Page 2 of 17