Laserfiche WebLink
<br /> <br /> STAFF REPORT <br /> <br /> <br /> <br />TO: Mayor Fischer and Members of City Council <br /> <br />FROM: Chris Heineman, City Administrator <br /> Laura Linehan, Community Relations Manager <br /> <br />DATE: January 8, 2025 <br /> <br />RE: Approval of the First Amendment to the Municipal Materials Management <br />Agreement between the City of Little Canada and Allied Waste Services of <br />North America, LLC dba Republic Services of the Twin Cities for refuse <br />services (trash, bulky, and yard waste.) <br /> <br />ACTIONS TO BE CONSIDERED: <br />Staff is requesting City Council consideration to approve the First Amendment to the Municipal <br />Materials Management Agreement between the City of Little Canada and Allied Waste Services <br />of North America, LLC dba Republic Services of the Twin Cities for refuse services (trash, <br />bulky, and yard waste.). <br /> <br />BACKGROUND: <br />At the December 18, 2024, City Council meeting, the City Council approved an agreement <br />between the City of Little Canada and Allied Waste Services of North America, LLC dba <br />Republic Services of the Twin Cities for refuse services (trash, bulky, and yard waste.) <br /> <br />As part of the terms and conditions within the contract, the city required the furnishing of an <br />annual performance bond based on 25% of the estimated revenues for all accounts on an annual <br />basis. The purpose of this performance bond is to protect the city in the event that services are <br />unable to be completed, requiring the city to seek alternative services. <br /> <br />In working with Republic Services to finalize the performance bond for 2025, an error in the <br />contract amount was discovered. As outlined in previous memos, the city decided to move <br />forward with directly paying disposal costs to Ramsey Washington Energy Center. Prior to that <br />decision, the city would have paid the disposal cost directly to Republic Servies, thus increasing <br />the amount of revenue and corresponding performance bond value. In finalizing the contract, the <br />performance bond amount outlined within the terms and conditions is inclusive of both <br />collection and disposal revenues. Therefore, Republic Services requested an adjustment to the <br />contract to clearly define the amount annually. <br /> <br />Prior Contract Language <br />Performance Bond. The Company shall provide a performance bond in the case of the <br />Company's failure to perform contracted services. The performance bond shall be for a minimum <br />of $500,000. The responsibility for renewal is the responsibility of the Company. The <br />performance bond shall be executed by a corporate surety company authorized to do business in