HomeMy WebLinkAbout1987-06-23 87-237 ORDER8]-23]
Introduced by Councilor Shubert, June 23, 1987
CITY OF BANGOR
(➢TIE.) Mrbgri Authors i g the City Manager m sign andAgreemand with the
Psmbacat valley_Refua¢.nlapoaal.District ..,...Solid- waste -Contract Aasignment-------
Bg We City Council of the Cftp ofBanw.'
TILLT , BERMS, the City of Bangor has previously entered into an Agreement
with the Penobscot Energy Recovery Company for the disposal of its solid waste at
the new disposal facility being constructed in Orrington: and
WHEREAS, the City by previous Council Order has joined the Penobscot Valley
Refuse Disposal District and
WHEREAS, it has been previously recognized by the City that the Agreement
with PERC was an interim step pending the formation of the Penobscot Valley Refuse
Disposal District, and that the role of the District would be to control the flow
of solid waste to the PERC facility and to provide other services necessary per-
taining to solid waste disposal;
HOW, THEREPORB, Be It
CROSSED, THAT the City Manager be and hereby is authorized on behalf of the
Municipal Officers to sign the attached Agreement between the City of Bangor and
the Penobscot Valley Refuse Disposal District for the cognitional assignment of
the previous Contact between the City and PERC for solid waste disposal and for
the future administration of solid waste Gelated business.
STATEMENT OF PACT:
This Order is afinal step in establishing the proposed method of solid waste
disposal through the Penobscot Valley Refuse Disposal District, wherein the aggregate
tonnage from all of the member communities will result In a lower tipping fee and
the District will providea .strong and united effort in the administration Of the
disposal Contract with thePenobscot Energy Reconvery Company (PERC), as well as
other future solid waste problems which may occur, such as landfill closures,
disposal of unacceptable or hazardous waste, etc.
87-23,71
0 R D ER
W/B
In City Council June 23,1907
,
0.A,
Title,
amended on the fourth page
•/Yg24�
of agreement 2nd paragraph
Authorizing the City
Manager (
F,p
blank space add july 10
to sign an agreement
......................................
with the
Passed as amended
Penobscot Valley Refuse
Dis Fosal !;
Dist. kr,
jsS�d
si anent
,y�p}"4&
iov
`
.FK.r.....
Councilman
(NAME OF MUNICIPALITY)
MEMBER -DISTRICT AGREEMENT
DISPOSAL OF SOLID WASTE AND
PROVISION OF CONTRACT SERVICES
Whereas, the Penobscot Valley Refuse Disposal District
("District") has been organized pursuant to the provisions of the
Maine Refuse Disposal District Enabling Act,. 38 M.R.S.A, Ch. 17;
Whereas, the District is constituted a quasi -municipal,
regional corporation with a present membership in excess of 20
municipalities in the Penobscot Valley region and a Board of
Directors consisting of two representatives from each of said
municipalities;
Whereas, the (Town/City) of Baneor (hereinafter
"the Municipality") is a member of said District, with two
representatives to the District Board of Directors;
Whereas, the purpose of said District is to provide a system
for disposal of all non-bazardous solid waste generated by
residential and commercial activities within the boundaries of
its member municipalities and such other non -hazardous solid
waste as contemplated by 38 H.R.S.A. 51726;
Whereas, the District has been organized to facilitate long-
term solutions to present and potential solid waste disposal
Problems;
Whereas, prior to the formation of the District, the
Municipality entered into a direct contract, a Waste Disposal
Agreement dated 7n0,85 a Copy of whichis attached
1
hereto as Exhibit A, with Penobscot Energy Recovery Corporation
("PERC"); _
Whereas, the Municipality recognizes that the waste Disposal
Agreement with PERC, and the mode of solid waste disposal called
for by the Agreement, was an interim step pending the formation
of the District as a legal entity with the power to contract with
PERC;
Whereas, the Municipality recognizes that PERC has
conditionally assigned its waste disposal contracts to its
lenders as collateral in order to obtain necessary financing to
allow construction of a solid waste incineration facility in
Orrington, Maine;
Whereas, the Municipality desires to join with other member
municipalities of the District in administering the manner and
mode in which solid waste is to be collected, transported and
disposed;
Whereas, the District, acting through its Board of Directors
has the authority to require its member municipalities to enact
flow control ordinances that control solid waste collection,
transportation, and delivery to a specific facility or
facilities;
Whereas, the Municipality seeks to join with the other
member municipalities in committing the delivery of all
Acceptable Waste generated within their boundaries to the PERC
waste incineration facility, or Bach other facility as the
District may designate, (principally in the event that the PERC
facility may not be ready or .able to accept the solid waste -
generated within the member municipalities] under the auspices
and control of and to the credit of the District;
Whereas, the Municipality has joined with other member
municipalities of the District to obtain the advantage of
"pooling" waste of all member municipalities of the District such
that, if the Municipality experiences a shortfall in the amount
Of waste it can deliver to the PERC waste incineration facility
when compared with its targeted "Guaranteed Annual Tonnage,' as
defined in the waste Disposal Agreement, the Municipality will he
able to use the surplus of another member municipality of the
District so that the Municipality will not have to compensate
PERC for the shortfall;
Whereas, the Municipality has joined with other member
municipalities of the District to obtain the advantage of
'discount" tipping fees resulting from the aggregation of waste
among all member municipalities of the District;
Whereas, the Municipality has joined with other member
municipalities of the District to share the costs of legal
representation in negotiation and dispute resolution of contract
matters and of lobbying as to legislation affecting solid waste
disposal;
Whereas, the Municipality has joinedwithother member
municipalities of the District to establish a regional
organization that can provide an alternative disposal facility,
should the PERC incineration facility fail or be closed;
Whereas, the District has negotiated a contract with PEMC
pertaining to the delivery of Acceptable Waste generated by its
!1
member municipalities upon the completion and startup of the PERC
facility that presently is under construction in Orrington,
Maine; and
Whereas, the Municipality seeks to obtain the full benefit
of the services to be providedby the District;
Now, therefore, the Municipality and the District do hereby
agree as follows:
1. Conditional Assignment of FERC Waste S 1
Agreement. Pursuant to Article. XVII. A. (iii) of the Waste
Disposal Agreement by and .between the Penobscot Energy Recovery
Company and the Municipality dated 1985,
the Municipality hereby agrees to and does hereby conditionally
assign said Agreement to the District as security for the -
performance of the Municipality's obligations to the District.
Pursuant to this Assignment, the Municipality agrees to use its
best efforts to cause to be delivered to the PERC incineration
facility, or to another waste disposal facility -(in the event of
a failure or closure of the PERC facility), all the Acceptable
Waste collected by it and/or under its control, up to its
Guaranteed Plant Capacity Share (as defined in said Waste
Disposal Agreement). All such Acceptable Waste delivered shall
be administered by and credited to the District, as though the
District had itself actually delivered said waste to the PERC
facility or such other facility as may be designated by the
District from time to time,
The Municipality and the District agree that, in the event
that the Municipality withdraws from the District, the. District
shall reassign the Waste Disposal Agreement to the Municipality.
Such withdrawal shall be pursuant to 38 M.R.S.A. g 1728 and
further conditioned upon the Town 'a payment of any outstanding
charges due to the District.
2. Payment of District Charges. The Municipality agrees
that all fees or charges, including Tipping Fees (based on the.
Muncipality's Guaranteed Annual Tonnage, as that team is defined
in the Waste Disposal Agreement, or Acceptable Waste actually
delivered, whichever is greater), which are established by the
District for administration of the waste disposal process,
together with such other services as the District, through its
Board of Directors, may establish, shall be paid at the time and
in the: manner established by action of the District's Board of
Directors.
3. District Services. The District agrees to provide
contract administration and planning services relating to the
collection, transportation, and disposal of solid waste generated
within the member municipalities of the District, together with
such other services as the District, by action of its Board of
Directors, may establish. -
4. District Bylaws. The Municipality shall abide by the
District's Bylaws„ as those Bylaws may be amended from time to
time, and all valid actions of the Board of Directors taken
pursuant thereto, for as long as it shall remain a member of the
District. A copy of the District's Bylaws shall. be placed and
Shall remain on file at the District's corporate office.
5. Plow Control. The Municipality agrees that, in the
event that it becomes necessary to assure delivery of a quantity
of Acceptable Waste from the municipal members of the District
sufficient to meet the District's Guaranteed Annual Tonnage, the
District shall have the Power and authority to require that the
Municipality enact an ordinance controlling delivery of all
Acceptable Waste generated or created within the municipal
boundaries of the Municipality to the PERC facility and/or to
another facility designated by the District pursuant to 38
M.R.S.A. §1738, as amended. At the option of the Municipality,
the District shall provide the form of said ordinance or allow
the Municipality to adopt its own language for said ordinance,
provided it accomplishes the objectives of this paragraph.
6. Accounting. The District shall, as part of the
services to be provided to the Municipality, provide such
accounting services (relating to amounts of waste delivered and
fees for collection, transportation and disposal thereof) as the
District's Board of Directors may establish. However,. the
Municipality shall be responsible for maintaining its eve records
for the Purpose of independent verification of whatever records
the District or PERC may keep.
]. Unacceptable Waste. The disposal, collection, and
transportation of any "Unacceptable Waste" (as that term is
defined in the Waste Disposal Agreement and the Put -Pay Agreement
to be executed by the District and PERC) generated within the
municipal boundaries of the Municipality, shall remain the sole
responsibility of the Municipality.
S. Applicable Law. The law of the State of Maine shall
govern the validityr interpretation, conattuation,and
performance Of this Agreement.
9. Other Documents. Each party hereto promises and agrees
to execute and deliver any instruments and to perform any acts
which may be necessary or reasonably required in order to give
full effect hereto.
IN WITNESS WHEREOF, the parties hereto have executed this
contract on this day of 1967.
Witness:
Witness:
Member/District Agreement
TMBOS
(TOWN/CITY( OF
BY:
PENOBSCOT VALLEY REFUSE DISPOSAL
DISTRICT -
By:
its Chairndn
7