HomeMy WebLinkAboutRes 47-08 09/02/2008
RESOLUTION NO. 47-08
A RESOLUTION AUTHORIZING THE EXECUTION
OF AN EXCLUSIVE CONTRACT FOR COMMERCIAL SOLID
WASTE SERVICES IN THE VILLAGE OF MOUNT PROSPECT
WHEREAS, the President and Board of Trustees of the Village of Mount Prospect have
determined that it is in the best interests of the Village of Mount Prospect to enter into an
agreement with ARC Disposal, Inc., for solid waste services to all nonresidential (commercial)
consumers within the corporate boundaries of the Village according to the terms of the
Agreement.
NOW, THEREFORE, BE IT ORDAINED BY THE PRESIDENT AND BOARD OF TRUSTEES
OF THE VILLAGE OF MOUNT PROSPECT, COOK COUNTY, ILLINOIS, ACTING IN THE
EXERCISE OF ITS HOME RULE POWERS:
SECTION ONE: That the Board of Trustees of the Village of Mount Prospect does hereby
authorize and direct the President to execute and the Village Clerk to attest the signature on the
Agreement between ARC Disposal, Inc., and the Village of Mount Prospect for nonresidential
(commercial) solid waste services.
SECTION TWO: That this Resolution shall be in full force and effect from and after its passage
and approval in the manner provided by law.
AYES: Hoefert, Juracek, Korn, Polit, Zadel
NAYS: None
ABSENT: Corcoran
PASSED and APPROVED this 2nd day of September, 2008.
~~.'*~
. Lisa Angell,
Village Clerk
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I ana K. Wilks,
Mayor
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COMMERCIAL SOLID WASTE SERVICES CONTRACT
BY AND BETWEEN
VILLAGE OF MOUNT PROSPECT
AND
ARC DISPOSAL COMPANY, INC.
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TABLE OF CONTENTS
ARTICLE I
DEFINITIONS
Section 1.1. Definitions
ARTICLE II
SCOPE OF SERVICES
Section 2.1. Commercial Services
Section 2.2. Private Services
Section 2.3. Revenue Collection
Section 2.4. Excluded Services
Section 2.5. Modification of Required Services
Section 2.6. Commercial Service Phase In
ARTICLE III
TERM OF WASTE CONTRACT
Section 3.1. Term of Commercial Solid Waste Contract
ARTICLE IV
WASTE COLLECTION AND DISPOSAL
Section 4.1. Commercial Service
Section 4.2. Private Service
Section 4.3. Schedule and Location of Collection
Section 4.4. Disposal of Solid Waste
Section 4.5. Solid Waste Collection Data
ARTICLE V
COMPENSATION
Section 5.1. Commercial Service
ARTICLE VI
REVENUE COLLECTION
Section 6.1. Billing of Accounts
Section 6.2. Commercial Service
Section 6.3. Private Service
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ARTICLE VII
TITLE TO SOLID WASTE
Section 7.1. Title to Solid Waste
ARTICLE VIII
RECYCLABLE MATERIALS
Section 8.1. Recyclable Materials Collection Service
ARTICLE IX
BREACH; EVENTS OF DEFAULT AND REMEDIES
Section 9.1. Breach by Contractor
Section 9.2. Breach by Municipality
Section 9.3. Events of Default and Remedies of Municipality
Section 9.4. Events of Default and Remedies of Contractor
ARTICLE X
INSURANCE AND INDEMNIFICATION
Section 10.1. Insurance
Section 10.2. Indemnification
ARTICLE XI
MISCELLANEOUS
Section 11.1. Non-Assignability
Section 11.2.Equal Employment Opportunity
Section 11.3. Prevailing Wage Rates
Section 11.4. Performance Bond or Letter of Credit
Section 11.5. Provision for Telephone Calls
Section 11.6. Equipment to be Used by Contractor
Section 11.7. Compliance with Laws
Section 11.8. Care and Performance
Section 11.9. No Alcohol or Drugs
Section 11.1 O.Governing Law
Section 11.11.Severability
EXHIBIT A - List of Approved Disposal and Recycling Sites
EXHIBIT B - Contractor's Price Sheet
EXHIBIT C - Contract Agreement
EXHIBIT D - Special Service Areas
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COMMERCIAL SOLID WASTE SERVICES CONTRACT
THIS COMMERCIAL SOLID WASTE SERVICES CONTRACT (this "Contract") is
entered into on this 25th day of September, 2008, by and between the VILLAGE OF
MOUNT PROSPECT, an Illinois municipal corporation (hereinafter the "Village"), and
ARC DISPOSAL COMPANY, INC., an Illinois corporation (hereinafter the
'Contractor"; Village and Contractor are sometimes individually referred to herein as a
"Party" and collectively as the "Parties"),
WHEREAS, the Village and Contractor wish to enter into an agreement for
provision of Commercial Solid Waste Services to all commercial entities in the Village;
WHEREAS, Contractor currently provides solid waste services to residential
customers in the Village;
WHEREAS, on September 2,2008, pursuant to Village Resolution No. 47-08,
being "A Resolution Authorizing the Execution of an Exclusive Contract for Commercial
Solid Waste Services in the Village of Mount Prospect," the Village Board of Trustees
authorized and directed execution of such an agreement with Contractor.
NOW, THEREFORE, for and in consideration of their mutual promises,
covenants, undertakings and agreements, the Parties agree as follows:
ARTICLE I
DEFINITIONS
Section 1.1. Definitions
"Breach" means one of the items described in Sections 9.1 or 9.2.
"Commercial Service" means the service provided by the Contractor, on behalf of
the Village of Mount Prospect, pursuant to Section 4.1.
"Commercial Solid Waste Contract" or "Contract" means this agreement by and
between the Village of Mount Prospect and the Contractor, as amended from time to
time by written agreement of the Parties hereto.
"Contractor" means ARC Disposal Company, Inc., an Illinois corporation, and its
successors and assigns.
"Event of Default" has the meaning specified in Sections 9.3 and 9.4.
"Non-SWANCC Waste" means commercial refuse. Recyclable Materials (as
described in Article VIII), and any other materials designated by the Municipality for
collection, provided that such materials are not SWANCC Waste.
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"Project Use Agreement" means the Project Use Agreement, dated March 25,
1992, between SWANCC and the Village of Mount Prospect, as amended from time to
time.
"Recyclable Materials" means (a) fiber products, including, but not limited to,
newspaper, computer paper, white ledger paper (bond, typing, copier and index cards),
colored paper (bond, typing, copier and index cards), envelopes, plain paper facsimile
paper, glossy paper (magazines, brochures and similar items), manila and bleached file
folders, junk mail, NCR forms, telephone and MLS books, old corrugated items,
overseas cardboard, post-it notes and chipboard (b) containers, including, but not
limited to, aluminum and plastic food and drink cans, juice and milk boxes and cartons,
aluminum foil and formed aluminum (pie pans and pastry trays), plastics (coded plastics
numbered 1,2,3,5,6 and 7) and plastic rings from soda and beer packs and (c) any other
items mutually agreed upon by the Village of Mount Prospect and the Contractor.
"State" means the State of Illinois.
"SWANCC" means the Solid Waste Agency of Northern Cook County.
"SWANCC Waste" shall have the meaning ascribed to it in the Village of Mount
Prospect Ordinance No.4409.
"Village" means the Village of Mount Prospect, Illinois, an Illinois municipal
corporation.
ARTICLE II
SCOPE OF SERVICES
Section 2.1. Commercial Services. The Contractor shall provide, on behalf of
the Village of Mount Prospect, complete service for designated collection, transportation
and disposal (or sale) of Non-SWANCC Waste at the facility or facilities mutually agreed
upon by the Village of Mount Prospect and the Contractor. The Contractor shall be the
sole and exclusive agent of the Village of Mount Prospect to provide the above-
referenced Commercial Services.
Section 2.2. Private Services. The Contractor shall, on its own behalf (and not
on behalf of the Village of Mount Prospect), provide for the collection, transportation and
disposal of all Private Service solid waste at a facility or facilities mutually agreed upon
by the Village of Mount Prospect and the Contractor and in accordance with the
provisions of Section 4.2. (Exhibit A)
Section 2.3. Revenue Collection. The Contractor shall, on behalf of the Village
of Mount Prospect, provide revenue collection services in accordance with Article VI for
all Commercial Services provided under this Commercial Solid Waste Contract.
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Section 2.4. Excluded Services. Waste collection, transportation and disposal
from all single family and multifamily residential within the Village of Mount Prospect are
not included within this Commercial Solid Waste Contract.
Section 2.5. Modification of Required Services. The Village of Mount Prospect
reserves the right to adjust or expand the scope of Commercial Services required under
this Commercial Solid Waste Contract, upon thirty (30) days prior written notice to the
Contractor, to accommodate changes in the definition of non-SWANCC Waste or
changes in the scope of services. The Village of Mount Prospect and the Contractor
shall negotiate in good faith, an equitable adjustment to the Contractor's compensation
under this Commercial Solid Waste Contract required as a result of any adjustment or
expansion of Municipal Services.
Section 2.6. Commercial Service Phase In. Contractor agrees that it will
consider all of its current commercial accounts in the Village of Mount Prospect to be
under this Commercial Solid Waste Contract and will give all of its current commercial
accounts in the Village of Mount Prospect the service described in the contract at the
pricing structure agreed to as part of the Contract. All other commercial entities in the
Village of Mount Prospect will begin receiving service under the Contract within one
year of the "Commencement Date," defined below.
No commercial, industrial or institutional entity, receiving the same level of service, will
be charged more than the entity paid in the month before the commencement date of
this Commercial Solid Waste contract, regardless of the rates set forth in Exhibit 8. If
the entity's rate one month prior to the commencement of service is lower than the rate
in Exhibit 8, the entity's rate will be grandfathered for one year and that rate will then be
adjusted to the rate set forth in Exhibit 8.
Prior to the implementation of this Commercial Solid Waste Contract, for current and
phased in accounts, or anytime there is a significant change in commercial services, the
Contractor shall be responsible for the cost to prepare and distribute informational
flyers/brochures to all accounts about rate changes, routes and collection dates, items
collected and preparation, holiday collections and other information of benefit to the
customer. The Village of Mount Prospect shall have the right to review and approval of
the flyer/brochures before distribution.
ARTICLE III
TERM OF SOLID WASTE CONTRACT
Section 3.1. Term of Solid Waste Contract. The initial term of this Contract (the
"Initial Term") shall commence on November 1,2008 (the "Commencement Date"), and
end on December 31, 2015, unless terminated at an earlier date pursuant to the terms
of this Contract.
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Section 3.2 At the expiration of the Initial Term, and for two (2) renewal terms of
one (1) year each thereafter, the Contract shall be considered to be automatically
renewed, unless either Party shall notify the other Party in writing not less than ninety
(90) days prior to the expiration of the current term, that the notifying Party does not
wish to renew for an additional term.
ARTICLE IV
WASTE COLLECTION AND DISPOSAL
Section 4.1. Commercial Service.
(a) Non-SWANCC Waste. Materials to be collected by the Contractor in
accordance with the schedule provided in Section 4.3 and transported to a state
permitted sanitary landfill, transfer station, incinerator or processing facility mutually
agreed upon by the Village of Mount Prospect and the Contractor, (Exhibit A) and
disposed or sold shall include the following:
(i) Commercial refuse.
(ii) Recyclable Materials as provided in Article VIII.
(b) SWANCC Waste. The Contractor may deliver commercial waste to
SWANCC facilities as replacement for residential waste otherwise deliverable under any
residential services contract between Contractor and the Village (the "Residential
Contract") subject to the following conditions:
(i) receipt by Village of written approval by SWANCC for such
deliveries;
(ii) such annual waste deliveries to SWANCC, when combined with
residential waste delivered to SWANCC pursuant to the Residential Contract shall not
exceed current annual deliveries pursuant to the Residential Contract (the "Current
Amount").
(iii) The Contractor shall reimburse the Village for any waste delivered
to SWANCC over the Current Amount unless attributable to a proportionate increase in
residential customers.
(iv) The Village, by at least 30 days prior written notice, may require the
Contractor for a fixed period of time, not to exceed four weeks to separately collect
waste from multi-family properties for Village audit purposes.
Section 4.2. Private Service (Not included in the Commercial Service in 4.1). In
addition to the Commercial Services provided by the Contractor on behalf of the Village
of Mount Prospect under Section 4.1, the Contractor shall also make available to the
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commercial entities of the Village of Mount Prospect, Private Service for all types of
solid waste not otherwise covered by this Contract including, but not limited to, earth,
sod, rocks, concrete, rubble and waste from remodeling, construction and demolition of
buildings, excavations and other materials. The Contractor shall be the exclusive
vendor for such services so long as the Village and Contractor annually agree on the
rates to be charged for such Private Service. The Contractor shall not be required to
provide for the collection and disposal of special or hazardous waste and large
quantities of liquid requiring tank truck disposal equipment.
For services provided pursuant to this Section, the Contractor agrees to keep
available tractor loaders, trailers and other necessary equipment. Upon the request of a
customer, the Contractor shall furnish an estimate for the cost of removal of any
materials named in the immediately preceding paragraph.
Section 4.3. Schedule and Location of Collection. Commercial Service Waste
shall be collected in compliance with provisions of Village of Mount Prospect Ordinance
No. 5700 adopted July 15, 2008.
(a) Private Service Solid Waste. Private Service waste shall be collected
in accordance with the provisions of Section 4.2 on a day mutually agreed to by the
Contractor and the commercial entity between the hours of 6:30 a.m. and 6:00 p.m.
(b) Notwithstanding any other provision of this Proposal, there shall be no
limitation on the hours of collection in the "Special Service Areas" designated on
Exhibit D. The Village, upon receipt of verified complaints from residential occupants of
the Village related to collection in the Special Services Areas may modify Exhibit D,
subject to 15 days prior written notice to Contractor.
Section 4.4. Disposal of Waste.
(a) Commercial (Non-SWANCC) Waste. The Contractor shall transport
for processing all non-SWANCC Waste collected pursuant to this Contract to a
permitted facility approved by the Village of Mount Prospect in accordance with state
laws and any United States governmental agencies.
The Village of Mount Prospect shall have a right to inspect, by its authorized
representative(s), disposal sites, including transfer facilities used by the Contractor for
the disposal/storage of solid waste collected in the Village of Mount Prospect; refuse,
recyclables, yard material including loose leaves. If at anytime during the Contract, the
facility(s) used by the Contractor is in violation of federal, state or local requirements
regulating operation of the disposal site, waste collected in the Village of Mount
Prospect must be delivered to other state permitted facilities.
(b) Recyclable Materials. Recyclable Materials collected shall be
transported for sale (with an intermediate diversion for processing permitted) to sites
approved by the Village of Mount Prospect.
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Section 4.5. Solid Waste Collection Data. The Contractor shall provide to the
Village of Mount Prospect, at least once per quarter, a report on the quantity of all
commercial waste collected within the Village of Mount Prospect. The report shall
contain a detailed breakdown of the types of waste collected and shall be identified by
the origin of the waste collected. The reporting format shall be approved in advance by
the Village of Mount Prospect.
ARTICLE V
COMPENSATION
Section 5.1. Commercial Service.
(a) Non-SWANCC Waste. For providing for, on behalf of the Village of
Mount Prospect, the collection, transportation and disposal (or sale) of commercial
refuse and recyclables at a facility or facilities mutually agreed upon by the Village of
Mount Prospect and the Contractor, and for providing revenue collection services, the
Contractor shall receive as compensation the rates set forth in the Contractor's Price
Sheet, attached as Exhibit B.
(b) Payment Terms. All payments to Contractor are due within 14 days of
invoice date. Contractor may suspend service if not paid within 60 days of invoice.
After 30 days of non-payment a "past due'" notice will be sent to the non-paying entity
by Contractor. The provisions of Sections 5.1 and 6.1 shall be in addition to the
obligations of commercial customers set forth in Village Ordinance No. 5700 adopted
July 15, 2008 and the rights of contractor provided therein.
ARTICLE VI
REVENUE COLLECTION
Section 6.1. Billing of Accounts. Commercial Services provided under Section
4.1 are provided by the Contractor on behalf of the Village. The Contractor shall
perform on behalf of the Village of Mount Prospect, the billing and collection of all rates
and charges imposed on commercial entities by the Village of Mount Prospect relating
to such Commercial Services. The Village of Mount Prospect will set the rates to be
charged by the Contractor and no rates may be changed without written approval of the
Village of Mount Prospect. (Those rates and charges to the consumer may be more
than those set forth in Exhibit B.) The Village of Mount Prospect agrees to cooperate
and assist the Contractor in the collection of funds owed for services performed. The
Village of Mount Prospect further agrees to cooperate with respect to information, if any,
relating to vacancies or any other information that will assist the Contractor in the
execution of this Contract.
No commercial, industrial or institutional entity, receiving the same level of service, will
be charged more than the entity paid in the month before the commencement date of
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this Contract, regardless of the rates set forth in Exhibit B. If the entity's rate one month
prior to the commencement of this Contract is lower than the rate in Exhibit B, and such
entity provides written notice and evidence of such prior rate on or before ninety (90)
days after November 1, 2008, then the entity's rate will be grandfathered from the start
of service and that rate will be adjusted to the rate set forth in Exhibit B and adjusted
under this Section 6.
Section 6.2. Commercial Service. The Contractor shall, on a monthly basis, or
an alternate schedule approved by the Village, bill each commercial entity (as they are
phased-in according to Section 2.6) an amount payable to the Contractor for the
collection, transportation and disposal (or sale) of Commercial Service waste for the
current month. The bill shall be payable by the commercial entity within fourteen (14)
days. The Contractor shall account separately for all amounts received from
commercial entities and hold such amounts for the benefit of the Village of Mount
Prospect. The amount so collected to which the Village is entitled pursuant to this
Contract shall be remitted to the Village of Mount Prospect on a monthly basis.
Section 6.3. Private Service. The Contractor may, but is not required to, include
as an item on each commercial entity's bill an amount payable to the Contractor for the
collection, transportation and disposal of Private Service waste. The Contractor shall
retain all amounts collected from commercial entity pursuant to this Section 6.3.
Alternatively, the Contractor may bill commercial entities separately for Private Service.
ARTICLE VII
TITLE TO WASTE
Section 7.1. Title to Solid Waste. The Contractor shall have title to all Solid
Waste collected pursuant to this Contract.
ARTICLE VIII
RECYCLABLE MATERIALS
Section 8.1. Recyclable Materials Collection Service.
(a) Commercial Recycling Service. Materials to be collected by the
Contractor in accordance with the schedule referenced in Section 4.3 and transported to
the facility or facilities mutually agreed upon by the Village of Mount Prospect and the
Contractor shall include all Recyclable Materials as defined in Section 1.1. These
recyclables shall be collected in a wheeled cart or dumpster as set forth in Exhibit B.
(b) Transportation of Recyclable Materials. Recyclable Materials shall
be sorted, processed and transported for sale to sites approved by the Village of Mount
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Prospect. The Contractor shall retain all income (and fully bear all losses) resulting
from the disposition of Recyclable Materials.
(c) Recyclable Materials Collection Data. The Contractor shall provide
to the Village of Mount Prospect, at least quarterly, a report on the weight, in tons, of all
Recyclable Materials collected from Commercial Entities under this Contract. The
report shall also contain a weight breakdown, by tons, of the types of Recyclable
Materials collected.
(d) The Village of Mount Prospect shall have the reasonable right
depending on the availability of markets for materials to be added, to add materials to
the list of Recyclable Materials stated in Article I.
(e) The Contractor, as agent for the Village of Mount Prospect, shall
have a contractual obligation to ensure that all Recyclable Materials collected are
properly processed and marketed. No collected Recyclable Materials shall be landfilled
or incinerated, unless advance authorization to do so is given by the corporate
authorities of the Village of Mount Prospect.
(f) The Contractor shall sell all Recyclable Materials it collects under
this Contract. If a change in the market, for the sale of any particular Recyclable
Material makes continued collection of such Recyclable Material not economically
feasible, the Contractor shall consult with the Village of Mount Prospect regarding the
market changes of the affected Recyclable Material. The Village of Mount Prospect
may, in its discretion, agree to remove from the list of Recyclable Materials any
economically infeasible item upon such market change.
(g) The Contractor shall be required to implement a sticker system for
Recyclable Materials that are not collected. The sticker should identify why the
Recyclable Materials were not collected. The Contractor shall provide an example of
the sticker system to the Village of Mount Prospect for advance approval.
(h) Entities that are currently engaged in the sale of recyclable material
including, but not limited to scrap metal, glass and paper may continue to sell the
same,and retain all revenues. Such entities are not the subject matter of this Contract.
(i) In addition to the foregoing, collection of recycled materials shall be
subject to the rules and regulations set forth in Exhibit E, as the same may be modified
by the agreement of the Contractor and the Village Manager.
ARTICLE IX
BREACH; EVENTS OF DEFAULT AND REMEDIES
Section 9.1. Missed Collection.
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If the Contractor misses a collection under the Commercial Service the collection
must be corrected within 24 hours of the reported missed collection or a charge of $10
per missed collection will be charged to the Contractor. If the missed collection is due
to a labor dispute of the Contractor's labor force the missed collection shall be rectified
within seven (7) calendar business days.
Section 9.2. Breach by Contractor.
(a) Each of the following shall constitute a Breach on the part of the
Contractor:
(i) failure of the Contractor to pay, within thirty (30) days after
notice from the Village of Mount Prospect of such nonpayment, amounts which are due
to the Village of Mount Prospect under this Contract;
(ii) failure of the Contractor to perform timely any obligation under
this Commercial Solid Waste Contract not included within subparagraph (i) above,
except that such failure shall constitute a Breach only if such failure remains uncured for
seven (7) days after notice to the Contractor from the Village of Mount Prospect of such
failure; provided however, that this seven (7) day notice with opportunity to cure shall
not be required in the event of persistent and repeated failure to perform.
(iii) the Contractor's being or becoming insolvent or bankrupt or
ceasing to pay its debts as they mature or making an arrangement with or for the benefit
of its creditors or consenting to or acquiescing in the appointment of a receiver, trustee
or liquidator for a substantial part of its property, (B) a bankruptcy, winding up,
reorganization, insolvency, arrangement or similar proceeding being instituted by the
Contractor under the laws of any jurisdiction, (C) a bankruptcy, winding up,
reorganization, insolvency, arrangement or similar proceeding being instituted against
the Contractor under the laws of any jurisdiction, which proceeding has not been
dismissed within one hundred twenty (120) days, (D) any action or answer by the
Contractor approving of, consenting to or acquiescing in any such proceeding, or (E) the
levy of any distress, execution or attachment upon the property of the Contractor which
shall (or which reasonably might be expected to) substantially interfere with its
performance under this Contract.
Section 9.3. Breach by the Village of Mount Prospect. Each of the following
shall constitute a Breach on the part of the Village of Mount Prospect:
(a) failure of the Village of Mount Prospect to pay, within thirty (30)
days after notice from the Contractor of such nonpayment, amounts which are
undisputed or which are determined to be due to the Contractor under the Solid Waste
Contract;
(b) the Village of Mount Prospect being or becoming insolvent or
bankrupt or ceasing to pay its debts as they mature or making an arrangement with or
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for the benefit of its creditors or consenting to or acquiescing in the appointment of a
receiver, trustee or liquidator for a substantial part of its property, (ii) a bankruptcy,
winding up, reorganization, insolvency, arrangement or similar proceeding being
instituted by the Village of Mount Prospect under the laws of any jurisdiction, (iii) a
bankruptcy, winding up, reorganization, insolvency, arrangement or similar proceeding
being instituted against the Village of Mount Prospect under the laws of any jurisdiction,
which proceeding has not been dismissed within one hundred twenty (120) days, (iv)
any action or answer by the Village approving of, consenting to or acquiescing in any
such proceeding, or (v) the levy of any distress, execution or attachment upon the
property of the Village of Mount Prospect which shall (or which reasonably might be
expected to) substantially interfere with the Village of Mount Prospect performance
hereunder.
Section 9.4. Events of Default and Remedies of the Village of Mount Prospect.
(a) If a Breach occurs under Section 9.2, the Village of Mount Prospect
may exercise anyone or more of the following remedies:
(i) the Village of Mount Prospect may declare an Event of Default
and may then terminate this Contract immediately, upon notice to the Contractor and,
subject to the provisions of sub-paragraph (v) below, upon such termination the
Contractor shall cease providing services under this Contract;
(ii) the Village of Mount Prospect may seek and recover from the
Contractor any unpaid amounts due the Village of Mount Prospect, all its substantiated
costs for the failure of the Contractor to perform any obligation under this Contract and
all damages, whether based upon contract, work stoppage, strike, Contractor
negligence (including tort), warranty, delay or otherwise, arising out of the performance
or non-performance by the Contractor of its obligations under this Contract, and whether
incidental, consequential, indirect or punitive, resulting from the Breach;
(iii) the Village of Mount Prospect may (A) call upon the sureties to
perform their obligations under the performance bond or letter of credit furnished
pursuant to Section 11.4 below or (B) in the alternative, after releasing the sureties from
their obligations under the [performance bond or letter of credit], take over and perform
the required services by its own devices, or may enter into a new contract for the
required services, or any portion thereof, or may use such other methods as shall be
required in the opinion of the Village of Mount Prospect for the performance of the
required services;
(iv) the Village of Mount Prospect shall have the power to proceed
with any right or remedy granted by federal laws and laws of the State as it may deem
best, including any suit, action or special proceeding in equity or at law for the specific
performance of any covenant or agreement contained herein or for the enforcement of
any proper legal or equitable remedy as the Village of Mount Prospect shall deem most
effectual to protect the rights aforesaid, insofar as such may be authorized by law;
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(v) upon any such termination of the Contract, the Contractor shall
for a period requested by the Village of Mount Prospect, but not longer than six (6)
months, continue to perform the contractual services during which period the Village of
Mount Prospect shall continue to pay the Contractor its scheduled compensation;
(vi) no remedy by the terms of this Contract conferred upon or
reserved to the Village of Mount Prospect is intended to be exclusive of any other
remedy, but each and every such remedy shall be cumulative and shall be in addition to
any other remedy given to the Village of Mount Prospect. No delay or omission to
exercise any right or power accruing upon any Event of Default shall impair any such
right or power or shall be construed to be a waiver of any such Event of Default or
acquiescence therein, and every such right and power may be exercised from time to
time and as often as may be deemed expedient. No waiver of any Event of Default
shall extend to or shall affect any subsequent default or Event of Default or shall impair
any rights or remedies consequent thereto.
(b) This Section 9.4 shall survive the termination of the Solid Waste
Contract.
Section 9.5. Events of Default and Remedies of Contractor.
(a) If a Breach occurs under Section 9.3, the Contractor may declare
an Event of Default and terminate this Contract immediately, upon notice to the Village
of Mount Prospect. In such event, the Contractor's sole remedy shall be to seek and
recover from the Village of Mount Prospect, and any entity to whom services are
provided pursuant to this Contract, any unpaid amounts due the Contractor and any
damages, whether incidental, consequential, indirect or punitive, resulting from the
Breach. The Contractor shall not be entitled to specific performance or any other
equitable remedies.
(b) This Section 9.5 shall survive termination of this Contract.
ARTICLE X
INSURANCE AND INDEMNIFICATION
Section 10.1. Insurance.
The Contractor shall obtain and maintain throughout the term of this Contract,
and at the Contractor's sole cost and expense not less than the insurance coverage set
forth below.
(a) Workers' Compensation and Worker's Occupational Disease.
Workers' Compensation coverage shall be as required by law in the State of Illinois.
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This shall include coverage for all persons who the Contractor may employ directly or
through subcontractors in carrying out the work under this Contract.
(i) Employer's Liability - $5,000,000.
(b) Commercial General Liability coverage on an occurrence basis for
bodily injury, property damage and personal injury as provided by the standard ISO
commercial general liability policy. A combined single limit of $5,000,000 is required.
(c) Comprehensive Automobile Liability for bodily injury and property
damage arising out of owned, non-owned, and hired vehicles. A combined single limit
of $5,000,000 per occurrence is required.
(d). Additional Insured: The Village of Mount Prospect shall be named
as an additional insured under the commercial general liability and automobile liability
policies.
(e). General: The above insurance shall be placed with insurance
companies acceptable to the Village. In addition, a certificate of insurance shall be
provided to the Village verifying coverage as required in this Article and confirming at
least thirty (30) days advance written notice to the Village of Mount Prospect of policy
cancellation or material change. If requested, the Contractor shall provide a certified
copy of the policy(s) to the Village of Mount Prospect.
Notice of policy cancellation or material change shall be mailed to the Village of
Mount Prospect in care of the Village Manager, 50 South Emerson Street, Mount
Prospect, Illinois 60056.
(f) Accident Notification: In the event of an accident of any kind which
involve the general public and/or private or public property, the contractor shall
immediately notify the Village Manager and shall provide a full account of all details of
the accidents. The Contractor shall furnish the Village of Mount Prospect with copies of
all reports of such accidents at the same time that the reports are forwarded to any
other interested parties.
Section 10.2. Indemnification.
The Contractor shall indemnify and save harmless the Village of Mount
Prospect, its officers and employees from any and all liability, losses or damages
including attorney's fees and costs of defense the Village of Mount Prospect may suffer
as a result of claims, demands, suits, actions, or proceedings of any kind or nature
including Workers' Compensation claims, in any way resulting from or arising out of the
operations of the Contractor under this Contract including operations of subcontractors;
and the Contractor shall, at his own expense, appear, defend, and pay all fees of
attorneys and all costs and other expenses arising there from or incurred in connection
therewith; and if any judgments shall be rendered against the Village in any such action
15
CENTRAL\30978948.2
the Contractor shall, at his own expense, satisfy and discharge same. The Contractor
expressly understands and agrees that any Letter of Credit/Performance Bond or
insurance protection required by the Contract, or otherwise provided by the Contractor,
shall in no way limit the responsibility to indemnify, keep and save harmless, and defend
the Village of Mount Prospect as herein provided.
ARTICLE XI
MISCELLANEOUS
Section 11.1. Non-Assignability. The Contractor shall not assign this Contract or
any part thereof, except to Republic Services, Inc., without the prior written consent of
the Village of Mount Prospect, which consent shall not be unreasonably withheld.
Approval, if any, for such assignment may be made only by the corporate authorities of
the Village of Mount Prospect. Upon such assignment, the assignor shall be released
from all obligations under this Contract except for delivery of payments, received prior to
the effective date of such assignment, to the Village to the extent required pursuant to
Article 6 hereof.
Except as provided above, the Contractor shall not assign or subcontract this Contract
or the work hereunder, or any part thereof, to any other person, firm, or corporation
without prior written consent of the Village of Mount Prospect, but the Contractor may
perform its obligations hereunder through its subsidiaries or divisions. Such
performance of obligations by subsidiaries or divisions shall not relieve the Contractor
from its obligations or change the terms of this Contract.
Section 11.2. Equal Employment Opportunity. In the event of the Contractor's
noncompliance with the provisions of this Section 13.2, the Illinois Human Rights Act or
the Illinois Department of Human Rights Rules and Regulations, the Contractor may be
declared ineligible for future contracts or subcontracts with the State or any of its
political subdivisions or municipal corporations, and this Contract may be canceled or
voided in whole or in part, and such other sanctions or penalties may be imposed or
remedies invoked as provided by statute or regulation.
During the performance of this Contract, the Contractor agrees as follows:
(a) That it will not discriminate against any employee or applicant for
employment because of race, color, religion, sex, marital status, national origin or
ancestry, age, physical or mental handicap unrelated to ability, or an unfavorable
discharge from military service; and further, that it will examine all job classifications to
determine if minority persons or women are underutilized and will take appropriate
affirmative action to rectify any such under-utilization.
(b) That, if it hires additional employees in order to perform this
Contract or any portion hereof, it will determine the availability (in accordance with the
Illinois Department of Human Rights Rules and Regulations) of minorities and women in
16
CENTRAL\30978948.2
the area(s) from which it may reasonably recruit and it will hire for each job classification
for which employees are hired in such a way that minorities and women are not
underutilized.
(c) That, in all solicitations or advertisements for employees placed by
the Contractor or on the Contractor's behalf, the Contractor will state that all applicants
will be afforded equal opportunity without discrimination because of race, color, religion,
sex, marital status, national origin or ancestry, age, physical or mental handicap
unrelated to ability, or an unfavorable discharge from military service.
(d) That the Contractor will send to each labor organization or
representative thereof with which it is bound by a collective bargaining or other
agreement or understanding, a notice advising such labor organization or representative
of the Contractor's obligations under the Illinois Human Rights Act and the Illinois
Department of Human Rights Rules and Regulations. If any such labor organization or
representative fails or refuses to cooperate with the Contractor in its efforts to comply
with such Act and Rules and Regulations, the Contractor will promptly notify the Illinois
Department of Human Rights and the Village of Mount Prospect, and will recruit
employees from other sources when necessary to fulfill the Contractor's obligations
thereunder.
(e) That the Contractor shall submit reports as required by the Illinois
Department of Human Rights Rules and Regulations, furnish all relevant information as
may from time to time be requested by the Illinois Department of Human Rights or the
Village of Mount Prospect, and in all respects comply with the Illinois Human Rights Act
and the Illinois Department of Human Rights Rules and Regulations.
(f) That the Contractor shall permit access to all relevant books,
records, accounts and work sites by personnel of the Village of Mount Prospect and the
Illinois Department of Human Rights for purposes of investigation to ascertain
compliance with the Illinois Human Rights Act and the Illinois Department of Human
Rights Rules and Regulations.
(g) That the Contractor shall include, verbatim or by reference, the
provisions of this Section 13.2 in every subcontract it awards under which any portion of
the Waste Contract obligations are undertaken or assumed, so that such provisions will
be binding upon each subcontractor. The Contractor will promptly notify the Village of
Mount Prospect and the Illinois Department of Human Rights in the event any
subcontractor fails or refuses to comply therewith. In addition, the Contractor will not
utilize any subcontractor ineligible for contracts or subcontracts with the State or any of
its political subdivisions or municipal corporations.
During the term of this Contract, the Contractor shall comply in all respects with
the Equal Employment Opportunity Act. The Contractor shall have a written equal
employment opportunity policy statement declaring that it does not discriminate on the
basis of race, color, religion, sex, national origin, disability, or age. Findings of non-
17
CENTRAL\30978948.2
compliance with applicable State or federal equal employment opportunity laws and
regulations may be sufficient reason for revocation or cancellation of the Solid Waste
Contract.
Section 11.3. Prevailing Wage Rates. Not less than the prevailing rate of wages,
as found by the Village of Mount Prospect or the Illinois Department of Labor, or
determined by a court on review, shall be paid to all laborers, workers and mechanics
performing work under the Solid Waste Contract. The Contractor and each
subcontractor shall keep an accurate record showing the names and occupations of all
laborers, workers, and mechanics employed by them on the Solid Waste Contract and
showing the actual hourly wages paid to each such person.
The submission by the Contractor and each subcontractor of payrolls, or copies
thereof, is not required. However, the Contractor and each subcontractor shall preserve
their weekly payroll records for a period of three (3) years from the date of completion of
this Contract.
If the Illinois Department of Labor revises the prevailing rate of hourly wages to
be paid by the Village of Mount, the revised rate, as provided by the Village of Mount
Prospect to the Contractor, shall apply to this Contract.
Section 11.4. Performance Bond or Letter of Credit. The Contractor shall furnish
to the Village of Mount Prospect a performance bond with corporate surety or an
irrevocable letter of credit from a reputable banking institution to guarantee the faithful
performance of this Solid Waste Contract. The performance bond or letter of credit
shall be in the amount of $500,000 in a format approved by legal counsel for the Village
and payable to the Village of Mount Prospect. The performance bond or letter of credit
shall remain in effect for the term of the Solid Waste Contract and be delivered to the
Village within ten (10) calendar days after receipt of notice of award of Contract. The
Parties agree that Contractor can satisfy the provisions of this Section 11.4 by causing
its current approximately $500,000 bond for residential service in the Village to be
modified to include both the Residential Contract and this Agreement.
Section 11.5. Provision for Telephone Calls. The Contractor shall maintain an
office and a [1-800] telephone number, for the receipt of service, billing and complaint
calls, and shall be available for such calls on all working days from 8:00 a.m. to 5:00
p.m. Any complaints must be given prompt and courteous attention, and in case of
missed scheduled collections, the Contractor shall investigate; and if verified, shall
arrange for collection of such waste within 24 hours after the complaint is received.
Section 11.6. Equipment to be Used by Contractor. The Contractor agrees to
collect all materials described in Section 4.1 in fully enclosed, leak-proof, modern trucks.
For the collection of Recyclable Materials, the Contractor shall use trucks specifically
designed for recycling service.
18
CENTRAL\30978948.2
Containers used for providing service to commercial sites shall be inspected
annually by the Contractor and if necessary cleaned to keep them in sanitary condition.
Said cleaning shall be at the Contractor's expense and be performed at the Contractor's
location, not at the premises of the customer. The date of cleaning must be marked,
with large numbers, on the front of the container.
Any cleaning required more frequently than once annually, as deemed necessary
by the Village, shall be at the expense of the customer served and billed directly to the
customer by the Contractor. The Contractor shall provide any such additional exchange
of containers approved by the Village at the rate outlined in Exhibit B.
Containers damaged due to normal wear and tear, as determined by the Village,
shall be exchanged at no cost to the property or the Village. Containers subjected to
damage in excess of normal wear and tear, as determined by the Village, shall be
exchanged by the contractor and billed to the property according to the rate outlined in
Exhibit B.
Equipment used for Private Service described in Section 4.3 may be open-body
trucks, dump trucks and similar type equipment. When open-body trucks are used, the
Contractor shall take such action as is necessary to prevent littering.
Section 11.7. Compliance with Laws. The Contractor shall comply at all times
with all applicable federal, State and municipal laws, ordinances and regulations at any
time applicable to the Contractor's operations under this Contract with no increase to
the Contractor's compensation as set forth in this Contract. The Contractor shall obtain,
at its own expense, all permits and licenses required by law or ordinance and maintain
the same in full force and effect.
Section 11.8. Care and Performance. The Contractor shall undertake to perform
all services rendered hereunder in a neat, thorough and workmanlike manner, without
supervision by the Village of Mount Prospect, and to use care and diligence in the
performance of all specified services and to provide neat, orderly, uniformed and
courteous employees and personnel on its crews.
Section 11.9. No Alcohol or Drugs. The Contractor shall prohibit and use its best
efforts to enforce the prohibition of any drinking of alcoholic beverages or use of illegal
drugs by its drivers and crew members while on duty or in the course of performing their
duties under this Solid Waste Contract.
Section 11.10. Governing Law. This Contract and any questions
concerning its validity, construction or performance shall be governed by the laws of the
State.
Section 11.11. Severability. The invalidity or unenforceability of one or
more of the terms or provisions contained in this Contract shall not affect the validity or
19
CENTRAL \30978948.2
enforceability of the remaining terms and provisions of this Contract so long as the
material purposes of this Contract can be determined and effectuated.
Section 11.12. Change in Law. Should a "Change in Law" occur, the
Contractor shall be granted a fair and equitable corresponding rate adjustment by the
Village. For purposes of this Contract, a "Change in Law" means: (i) the enactment,
adoption, promulgation or modification of any federal, state or local law, ordinance,
code, rule or regulation; or (ii) the order or judgment of any federal, state or local court,
administrative agency or other governmental body; provided that such event materially
changes the costs or ability of the Contractor to carry out its obligations under this
Agreement and establishes requirements which are materially more burdensome than
or in addition to applicable requirements in effect on the date this Agreement is
executed.
Section 11.13. Venue. The parties hereto agree that for purposes of any
lawsuit(s) between them concerning this Agreement, its enforcement, or the subject
matter thereof, venue shall be in Cook County, Illinois, and the laws of the State of
Illinois shall govern the cause of action.
[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]
20
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IN WITNESS WHEREOF, the Parties hereto, having been duly authorized and
having taken all necessary actions required by law, have executed this Agreement with
the intention that the Parties shall be bound by the terms of this Agreement.
~~;-
ARC D1~:~A~MPANY, INC., an Illinois
:~PO;Ua~~
Title: ~LA4C. ~v~
VILLAGE OF MOUNT PROSPECT, an Illinois
municipal Corporation
By: ~J/~.r~~
Title: c#/"h----
;;EST. ~
Ti~
30978948_2.0 C
CENTRAL\30978948.2
EXHIBIT A
LIST OF PROPOSED DISPOSAL AND RECYCLING SITES
Sites not identified below must be approved by the Village Manager of Mount Prospect
Disposal:
ARC Transfer Station
Mallard Ridge Landfill
Recycling:
ARC Transfer Station
Resource Management
Champion Paper
CENTRAL\30978948.2
2101 S. Busse Rd, Mount Prospect, IL 60056
W8470 State Rd 11, Delavan, WI 53115
2101 S Busse Rd, Mount Prospect, IL 60056
9999 S Andersen Ave, Chicago Ridge, IL 60415
1525 Chase Street, Elk Grove, IL 60007
A-1
EXHIBIT B
COST PROPOSAL
COMMERCIAL REF USE
COLLECTION
Container Size 1 x/week 2x/week 3x/week 4x/week 5x/week 6x/week
65 gallon cart $17 $29 $41 $53 $65 $77
95 gallon cart $19 $32 $46 $59 $72 $86
1cy $34 $58 $82 $105 $129 $153
2 cy $40 $90 $130 $160 $205 $234
3 cy $80 $136 $192 $248 $304 $360
4 cy $85 $145 $204 $264 $323 $383
6 cy $120 $204 $288 $371 $456 $539
8 cy $145 $247 $348 $450 $551 $653
10 cy $185 $315 $444 $574 $703 $833
B-1
CENTRAL\30978948.2
COMMERCIAL RECYCLING
COLLECTION
Container Size 1 x/week 2x/week 3x/week 4x/week 5x/week 6x/week
65 gallon cart $12* $20 $29 $37 $45 $54
95 gallon cart $13* $23 $32 $41 $51 $60
1cy $24* $40 $57 $74 $90 $107
2 cy $28* $48 $67 $87 $106 $126
3 cy $56* $95 $134 $174 $213 $252
4 cy $60* $101 $143 $184 $226 $268
6 cy $84* $143 $202 $260 $319 $377
8 cy $102* $173 $244 $315 $386 $457
10 cy $130* $220 $311 $401 $492 $583
*See Note #1
% I N C R E A S E I N A B 0 V E R E F U S E
A N 0 R E C Y C L I N G R A T E S
June 1,2009 4%
January 1, 2010 4%
January 1, 2011 4%
January 1, 2012 4%
January 1, 2013 4%
January 1,2014 4%
January 1, 2015 4%
GRANDFATHERED PROPERTIES
Period
Commencin
November 1, 2008 June 1, 2009 January 1, 2010 January 1, 2011
Rate = to one 70% 90% 100%
month before start
of contract
* % increase that grandfathered properties would see. A grandfathered property will pay
the reater of their randfathered rate and the percenta e identified above of the
B-2
CENTRAL \30978948.2
standard rate for that time period under this Contract. Grandfathered properties will be
at the contract rates b the end of ear 3.
See Note #2
ROLL-OFFS
20 c $365/ ull, loads over 4 tons $49/ton additional*
30 c $415/ ull, loads over 4 tons $49/ton additional*
40 c $465/pull, loads over 4 tons $49/ton additional*
*See Note #3
CONTAINER EXCHANGE FEE
The initial delivery is at no charge. After delivery, exchange fee of $20 per container for
container exchan es, removal and delive .
NOTES
1. Each commercial refuse customer is allowed once a week recycling service of a
cart or dumpster of any size for free.
2. The collection charge for two and six yard compactor containers is two times the
rate found in the Commercial Refuse Collection schedule. The rental / lease/
purchase of compactors shall be negotiated directly between ARC and the
commercial customer. Compactors may be rented/leased/purchased from a third
party vendor provided they are compatible with the contractor's equipment.
3. Roll-off compactor service charge is $415 per load with an additional charge of
$49 per ton for any tons in excess of five (5) tons.
B-3
CENTRAL\30978948.2
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EXHIBIT E
RECYCLING PROGRAM - RULES AND REGULATIONS
The following additional rules and regulations shall apply to all commercial recycling
customers. The following information will communicated, via a handout, to each
customer during contractors initial visit to confirm and setup service.
Acceptable Materials:
. Fiber products (office paper, newspaper, cardboard, etc.)
. Aluminum containers
. Plastic containers
Unacceptable Materials:
. Glass
. Tin and other metals
If multiple containers are requested the size of lesser shall be subject to the provisions
of Note 1 of Exhibit B regarding limited free recycling services.
Identified contaminated containers will be collected as Commercial waste and the
customer charged appropriately. The associated charge is $20 per container yard per
occurrence.
E-1
CENTRAL \30978948.2