MEETING DATE: 5/8/2018
DEPARTMENT: RESOURCE MANAGEMENT AGENCY
DEPT HEAD/DIRECTOR: John Guertin
AGENDA ITEM PREPARER: Kevin McCarthy, IWM Technical Lead Manager
SBC DEPT FILE NUMBER: 142
SUBJECT:
RESOURCE MANAGEMENT AGENCY - J. GUERTIN
Landfill Ad Hoc Committee’s Recommendation to Not Approve Waste Connections Inc. Landfill Operating Agreement 2018 Change in Law (CIL) Adjustment request for $88,271.95; and Adopt Resolution not approving Waste Connections Inc. Landfill Operating Agreement 2018 CIL request for $88,271.95.
SBC FILE NUMBER: 142
RESOLUTION NO: 2018-19
AGENDA SECTION:
REGULAR AGENDA
BACKGROUND/SUMMARY:
The Landfill Ad Hoc Committee, comprised of Board Chair Botelho and Vice-Chair Muenzer, is recommending to not approve Waste Connections Inc. (WCI) 2018 Change in Law (CIL) request for $88,271.95. County staff and the Landfill Ad Hoc Committee met on March 15, 2018 to review the CIL request from WCI dated March 1, 2018 and determined the request was not acceptable based on the provisions of the Landfill Operating Agreement. This determination was based on WCI not providing any documentation that the expenses were associated with a change in law that meets the requirements of Section 6.2.B of the current Landfill Operating Agreement. This determination was reviewed by outside special counsel.
WCI provided back-up detail on the expenses incurred, however, WCI did not provide documentation that the expenses had occurred because of a change in law since the current Agreement became effective in April 2014. Essentially, WCI is submitting a request for reimbursement for costs of operating the landfill, but WCI had agreed to pay facility operating costs as part of the terms and conditions of the current Landfill Operating Agreement. WCI has stated that these facility operating costs have historically been reimbursed by the County and the County should continue to reimburse WCI. WCI has acknowledged that no such arrangement or provision for reimbursement of the costs was memorialized in the current Agreement. After extensive analysis and review by outside counsel it is the recommendation of the Landfill Ad Hoc Committee that these are not valid CIL costs that should be paid by the County.
WCI submitted its 2018 Change in Law reimbursement request via email on 3/1/18 for a total request of $88,271.95 based on In-County ton allocation of 23.3%. The identified costs related to: (1) costs associated with the Module 1(top deck) Preferential Liner Pathway (PLP), (2) costs associated with AB 32 required quarterly landfill surface emissions monitoring and (3) costs associated with the storm water basin improvements.
BUDGETED:
Yes