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HomeMy WebLinkAboutCM SB 1383 Planning and Implementation AssistanceAGREEMENT FOR PROFESSIONAL SERVICES FOR SB 1383 PLANNING AND IMPLEMENTATION ASSISTANCE This Agreement is made and entered into this _ day of 7A OP1 � , 2021, by and between the CITY OF SAN RAFAEL (hereinafter "CITY"), and R3 CONSULTING GROUP, INC. (hereinafter "CONTRACTOR"). RECTTALIS WHEREAS, the City of Larkspur, the City of San Rafael, the Town of Ross, Ross Valley - South (County of Marin), the Las Gallinas Valley Sanitary District, the Town of San Anselmo, and the Town of Fairfax (hereinafter "FRANCHISORS") have similar franchise agreements with Marin Sanitary Services; and WHEREAS, the FRANCHISORS utilize jointly sponsored programs to achieve financial and staff time savings through collaborative analyses such as the annual reviews of Marin Sanitary Services operations and expenses pursuant to the franchise agreements; and WHEREAS, the FRANCHISORS desire to utilize the services of the CONTRACTOR to conduct SB 1383 planning work; and WHEREAS, the CITY has in the past acted as the contracting agency on behalf of the FRANCHISORS, and has agreed to do so in this instance as well; and WHEREAS, the FRANCHISORS entities (each a "Participating Entity" and collectively, "the Participating Entities") have agreed to share equally in the cost of the analysis, to be paid for by Mann Sanitary Service and allocated through each city/town's annual rate setting review as set forth below; AGREEMENT NOW, THEREFORE, the parties hereby agree as follows: 1. PROJECT COORDINATION A. CITY. The City Manager shall be the representative of the CITY for all purposes under this Agreement. Sustainability Program Manager Cory Bmf is hereby designated the PROJECT MANAGER for the CITY, and said PROJECT MANAGER shall supervise all aspects of the progress and execution of this Agreement. B. CONTRACTOR. CONTRACTOR shall assign a single PROJECT DIRECTOR to have overall responsibility for the progress and execution of this Agreement for CONTRACTOR. Garth Schultz is hereby designated as the PROJECT DIRECTOR for CONTRACTOR. Should circumstances or conditions subsequent to the execution of this Agreement require a substitute Rev. Date: 1130114 PROJECT DIRECTOR for any reason; the CONTRACTOR shall notify the CITY within ten (10) business days of the substitution. 2. DUTIES OF CONTRACTOR CONTRACTOR shall perform the duties and/or provide services as described in CONTRACTOR's Proposal for SB 1383 Planning and Implementation Assistance, dated April 21, 2021, attached hereto as Exhibit "A" and incorporated herein. 3. DUTIES OF CITY CITY shall cooperate with CONTRACTOR in its performance under this agreement and shall compensate CONTRACTOR as provided herein. 4. COMPENSATION. For the full performance of the services described herein by CONTRACTOR, CONTRACTOR shall be compensated on a time and materials basis as described in Exhibit "A" in a total contract amount not to exceed $155,096.00. It is understood and agreed by the parties that payment of compensation hereunder for the SB 1383 Planning and Implementation Assistance project shall be made as follows: CONTRACTOR shall submit monthly invoices to CITY for review and approval, then CITY shall forward CONTRACTOR's approved invoices to Marin Sanitary Services, which shall remit payment on each invoice directly to CONTRACTOR within thirty (30) of receipt thereof. 5. TERM OF AGREEMENT The term of this Agreement shall commence upon the date of execution of this Agreement and shall end on March 31, 2022. 6. TERMINATION. A. Discretionary. Either party may terminate this Agreement without cause upon thirty (30) days written notice mailed or personally delivered to the other party. B. Cause. Either party may terminate this Agreement for cause upon fifteen (15) days written notice mailed or personally delivered to the other party, and the notified party's failure to cure or correct the cause of the termination, to the reasonable satisfaction of the party giving such notice, within such fifteen (15) day time period. C. Effect of Termination. Upon receipt of notice of termination, neither party shall incur additional obligations under any provision of this Agreement without the prior written consent of the other. D. Return of Documents. Upon termination, any and all CITY documents or materials provided to CONTRACTOR and any and all of CONTRACTOR's documents and materials prepared for or relating to the performance of its duties under this Agreement, shall be delivered to Rev. date: 1/30/14 CITY as soon as possible, but not later than thirty (30) days after termination. 7. OWNERSHIP OF DOCUMENTS. The written documents and materials prepared by the CONTRACTOR in connection with the performance of its duties under this Agreement, shall be the sole property of CITY. CITY may use said property for any purpose, including projects not contemplated by this Agreement. 8. INSPECTION AND AUDIT. Upon reasonable notice, CONTRACTOR shall make available to CITY, or its agent, for inspection and audit, all documents and materials maintained by CONTRACTOR in connection with its performance of its duties under this Agreement. CONTRACTOR shall fully cooperate with CITY or its agent in any such audit or inspection. 9. ASSIGNABILITY. The parties agree that they shall not assign or transfer any interest in this Agreement nor the performance of any of their respective obligations hereunder, without the prior written consent of the other party, and any attempt to so assign this Agreement or any rights, duties or obligations arising hereunder shall be void and of no effect. 10. INSURANCE. A. Scope of Coverage. During the term of this Agreement, CONTRACTOR shall maintain, at no expense to CITY, the following insurance policies: 1. A commercial general liability insurance policy in the minimum amount of one million dollars ($1,000,000) per occurrence/two million dollars ($2,000,000) aggregate, for death, bodily injury, personal injury, or property damage. 2. An automobile liability (owned, non -owned, and hired vehicles) insurance policy in the minimum amount of one million dollars ($1,000,000) dollars per occurrence. 3. If any licensed professional performs any of the services required to be performed under this Agreement, a professional liability insurance policy in the minimum amount of one million dollars ($1,000,000) per occurrence/two million dollars ($2,000,000) aggregate, to cover any claims arising out of the CONTRACTOR's performance of services under this Agreement. Where CONTRACTOR is a professional not required to have a professional license, CITY reserves the right to require CONTRACTOR to provide professional liability insurance pursuant to this section. 4. If it employs any person, CONTRACTOR shall maintain worker's compensation insurance, as required by the State of California, with statutory limits, and employer's liability insurance with limits of no less than one million dollars ($1,000,000) per accident for bodily injury or disease. CONTRACTOR's worker's compensation insurance shall Rev. date: 1/30/14 3 be specifically endorsed to waive any right of subrogation against CITY. B. Other Insurance Requirements. The insurance coverage required of the CONTRACTOR in subparagraph A of this section above shall also meet the following requirements: 1. Except for professional liability insurance or worker's compensation insurance, the insurance policies shall be specifically endorsed to include the CITY, its officers, agents, employees, and volunteers, as additional insureds (for both ongoing and completed operations) under the policies. 2. The additional insured coverage under CONTRACTOR'S insurance policies shall be "primary and noncontributory" with respect to any insurance or coverage maintained by CITY and shall not call upon CITY's insurance or self-insurance coverage for any contribution. The "primary and noncontributory" coverage in CONTRACTOR'S policies shall be at least as broad as ISO form CG20 0104 13. 3. Except for professional liability insurance or worker's compensation insurance, the insurance policies shall include, in their text or by endorsement, coverage for contractual liability and personal injury. 4. By execution of this Agreement, CONTRACTOR hereby grants to CITY a waiver of any right to subrogation which any insurer of CONTRACTOR may acquire against CITY by virtue of the payment of any loss under such insurance. CONTRACTOR agrees to obtain any endorsement that may be necessary to effect this waiver of subrogation, but this provision applies regardless of whether or not CITY has received a waiver of subrogation endorsement from the insurer. 5. If the insurance is written on a Claims Made Form, then, following termination of this Agreement, said insurance coverage shall survive for a period of not less than five years. 6. The insurance policies shall provide for a retroactive date of placement coinciding with the effective date of this Agreement. 7. The limits of insurance required in this Agreement may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and noncontributory basis for the benefit of CITY (if agreed to in a written contract or agreement) before CITY'S own insurance or self-insurance shall be called upon to protect it as a named insured. 8. It shall be a requirement under this Agreement that any available insurance proceeds broader than or in excess of the specified minimum insurance coverage requirements and/or limits shall be available to CITY or any other additional insured party. Furthermore, the requirements for coverage and limits shall be: (1) the minimum coverage and limits specified in this Agreement; or (2) the broader coverage and maximum limits of coverage of any insurance policy or proceeds available to the named insured; whichever is greater. No representation is made that the minimum Insurance requirements of this agreement are sufficient to cover the obligations of the Rev. date: 1130114 CONTRACTOR under this agreement. C. Deductibles and SIR's. Any deductibles or self-insured retentions in CONTRACTOR's insurance policies must be declared to and approved by the PROJECT MANAGER and City Attorney, and shall not reduce the limits of liability. Policies containing any self-insured retention (SIR) provision shall provide or be endorsed to provide that the SIR may be satisfied by either the named insured or CITY or other additional insured party. At CITY's option, the deductibles or self-insured retentions with respect to CITY shall be reduced or eliminated to CITY's satisfaction, or CONTRACTOR shall procure a bond guaranteeing payment of losses and related investigations, claims administration, attorney's fees and defense expenses. D. Proof of Insurance. CONTRACTOR shall provide to the PROJECT MANAGER or CITY'S City Attorney all of the following: (1) Certificates of Insurance evidencing the insurance coverage required in this Agreement; (2) a copy of the policy declaration page and/or endorsement page listing all policy endorsements for the commercial general liability policy, and (3) excerpts of policy language or specific endorsements evidencing the other insurance requirements set forth in this Agreement. CITY reserves the right to obtain a full certified copy of any insurance policy and endorsements from CONTRACTOR. Failure to exercise this right shall not constitute a waiver of the right to exercise it later. The insurance shall be approved as to form and sufficiency by PROJECT MANAGER and the City Attorney. 11. INDEMNIFICATION. A. Except as otherwise provided in Paragraph B., CONTRACTOR shall, to the fullest extent permitted by law, indemnify, release, defend with counsel approved by CITY, and hold harmless CITY, its officers, agents, employees and volunteers (collectively, the "City Indemnitees"), from and against any claim, demand, suit, judgment, loss, liability or expense of any kind, including but not limited to attorney's fees, expert fees and all other costs and fees of litigation, (collectively "CLAIMS"), arising out of CONTRACTOR'S performance of its obligations or conduct of its operations under this Agreement. The CONTRACTOR's obligations apply regardless of whether or not a liability is caused or contributed to by the active or passive negligence of the City Indemnitees. However, to the extent that liability is caused by the active negligence or willful misconduct of the City Indemnitees, the CONTRACTOR's indemnification obligation shall be reduced in proportion to the City Indemnitees' share of liability for the active negligence or willful misconduct. In addition, the acceptance or approval of the CONTRACTOR's work or work product by the CITY or any of its directors, officers or employees shall not relieve or reduce the CONTRACTOR's indemnification obligations. In the event the City Indemnitees are made a party to any action, lawsuit, or other adversarial proceeding arising from CONTRACTOR'S performance of or operations under this Agreement, CONTRACTOR shall provide a defense to the City Indemnitees or at CITY'S option reimburse the City Indemnitees their costs of defense, including reasonable attorneys' fees, incurred in defense of such claims. B. Where the services to be provided by CONTRACTOR under this Agreement are design professional services to be performed by a design professional as that term is defined under Civil Code Section 2782.8, then, to the extent permitted by law including without limitation, Civil Rev. date: U30114 5 Code sections 2782, 2782.6 and 2782.8, CONTRACTOR shall indemnify and hold harmless the CITY and its officers, officials, and employees (collectively City Indemnitees) from and against damages, liabilities or costs (including incidental damages. Court costs, reasonable attorney's fees as may be determined by the Court, litigation expenses and fees of expert witnesses incurred in connection therewith and costs of investigation) to the extent they are caused by the negligence, recklessness, or willful misconduct of CONTRACTOR, or any subconsultants, or subcontractor or anyone directly or indirectly employed by them, or anyone for whom they are legally liable (collectively Liabilities). Such obligation to hold harmless and indemnify any indemnity shall not apply to the extent that such Liabilities are caused in part by the negligence or willful misconduct of such City Indemnitee. C. The defense and indemnification obligations of this Agreement are undertaken in addition to, and shall not in any way be limited by, the insurance obligations contained in this Agreement, and shall survive the termination or completion of this Agreement for the full period of time allowed by law. 12. NONDISCRIMINATION. CONTRACTOR shall not discriminate, in any way, against any person on the basis of age, sex, race, color, religion, ancestry, national origin or disability in connection with or related to the performance of its duties and obligations under this Agreement. 13. COMPLIANCE WITH ALL LAWS. CONTRACTOR shall observe and comply with all applicable federal, state and local laws, ordinances, codes and regulations, in the performance of its duties and obligations under this Agreement. CONTRACTOR shall perform all services under this Agreement in accordance with these laws, ordinances, codes and regulations. CONTRACTOR shall release, defend, indemnify and hold harmless CITY, its officers, agents and employees from any and all damages, liabilities, penalties, fines and all other consequences from any noncompliance or violation of any laws, ordinances, codes or regulations. 14. NO THIRD PARTY BENEFICIARIES. CITY and CONTRACTOR do not intend, by any provision of this Agreement, to create in any third party, any benefit or right owed by one party, under the terms and conditions of this Agreement, to the other party. 15. NOTICES. All notices and other communications required or permitted to be given under this Agreement, including any notice of change of address, shall be in writing and given by personal delivery, or deposited with the United States Postal Service, postage prepaid, addressed to the parties intended to be notified. Notice shall be deemed given as of the date of personal delivery, or if mailed, upon the date of deposit with the United States Postal Service. Notice shall be given as follows: Rev. date: 1130i 14 TO CITY: Cory Bytof Sustainability Program Manager City of San Rafael 1400 Fifth Avenue P.O. Box 151560 San Rafael, CA 94915-1560 TO CONTRACTOR: Garth Schultz Principal R3 Consulting Group, Inc. 1512 Eureka Rd., Ste. 220 Roseville, CA 94661 16. INDEPENDENT CONTRACTOR. For the purposes, and for the duration, of this Agreement, CONTRACTOR, its officers, agents and employees shall act in the capacity of an Independent Contractor, and not as employees of the CITY. CONTRACTOR and CITY expressly intend and agree that the status of CONTRACTOR, its officers, agents and employees be that of an Independent Contractor and not that of an employee of CITY. 17. ENTIRE AGREEMENT -- AMENDMENTS. A. The terms and conditions of this Agreement, all exhibits attached, and all documents expressly incorporated by reference, represent the entire Agreement of the parties with respect to the subject matter of this Agreement. B. This written Agreement shall supersede any and all prior agreements, oral or written, regarding the subject matter between the CONTRACTOR and the CITY. C. No other agreement, promise or statement, written or oral, relating to the subject matter of this Agreement, shall be valid or binding, except by way of a written amendment to this Agreement. D. The terms and conditions of this Agreement shall not be altered or modified except by a written amendment to this Agreement signed by the CONTRACTOR and the CITY. E. If any conflicts arise between the terms and conditions of this Agreement, and the terms and conditions of the attached exhibits or the documents expressly incorporated by reference, the terms and conditions of this Agreement shall control. 18. SET-OFF AGAINST DEBTS. CONTRACTOR agrees that CITY may deduct from any payment due to CONTRACTOR Rev. date: 1130114 under this Agreement, any monies which CONTRACTOR owes CITY under any ordinance, agreement, contract or resolution for any unpaid taxes, fees, licenses, assessments, unpaid checks or other amounts. 19. WAIVERS. The waiver by either party of any breach or violation of any term, covenant or condition of this Agreement, or of any ordinance, law or regulation, shall not be deemed to be a waiver of any other term, covenant, condition, ordinance, law or regulation, or of any subsequent breach or violation of the same or other term, covenant, condition, ordinance, law or regulation. The subsequent acceptance by either party of any fee, performance, or other consideration which may become due or owing under this Agreement, shall not be deemed to be a waiver of any preceding breach or violation by the other party of any term, condition, covenant of this Agreement or any applicable law, ordinance or regulation. 20. COSTS AND ATTORNEY'S FEES. The prevailing party in any action brought to enforce the terms and conditions of this Agreement, or arising out of the performance of this Agreement, may recover its reasonable costs (including claims administration) and attorney's fees expended in connection with such action. 21. CITY BUSINESS LICENSE / OTHER TAXES. CONTRACTOR shall obtain and maintain during the duration of this Agreement, a CITY business license as required by the San Rafael Municipal Code CONTRACTOR shall pay any and all state and federal taxes and any other applicable taxes. CITY shall not be required to pay for any work performed under this Agreement, until CONTRACTOR has provided CITY with a completed Internal Revenue Service Form W-9 (Request for Taxpayer Identification Number and Certification). 22. SURVIVAL OF TERMS. Any terms of this Agreement that by their nature extend beyond the term (or termination) of this Agreement shall remain in effect until fulfilled, and shall apply to both Parties' respective successors and assigns. 23. APPLICABLE LAW. The laws of the State of California shall govern this Agreement. 24. COUNTERPARTS AND ELECTRONIC SIGNATURE. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one document. Counterpart signature pages may be delivered by telecopier, email or other means of electronic transmission. Rev. date: 1130114 IN WITNESS WHEREOF, the parties have executed this Agreement as of the day, month and year first above written. CITY OF SAN RAFAEL ATTEST: 'e&'./Va44,H,w LINDSAY LARA, City Clerk APPROVED AS TO FORM: k,O\ ROBERT F. EPSTEIN, Ci Attorney Rev. date: 1130114 CONTRACTOR By: Name: Garth Schultz Title: Principal and Secretary [If Contractor is a corporation, add signature of second corporate officer] Name: Richard Tagore-Erwin Title: Principal and President Z3 CONSULTING GROUP, INC. RESOURCE5-RESPECT- RESPONSIBILITY April 21, 2021 Cory Bytof Sustainability Program Manager, City of San Rafael 1400 Fifth Avenue, San Rafael, CA 94901 submitted via email: Cory. Bytof(cDcityofsanrafael.org SUBJECT: Proposal for SB 1383 Planning and Implementation Assistance Dear Mr. Bytof (on behalf of the MSS Franchisors), R3 Consulting Group, Inc. (R3) is pleased to submit this proposal to provide the City of San Rafael (City) — serving as the lead agency on behalf of the Franchisors of Marin Sanitary Service (MSS), comprised of the City, the Towns of Ross, Fairfax and San Anselmo, the City of Larkspur, County of Marin, and Las Gallinas Valley Sanitary District (collectively "MSS Franchisors") — in Senate Bill (SB) 1383 planning assistance and initial implementation. We are well positioned to provide the requested services to the Franchisors, having worked with you and MSS since 2017 while also simultaneously gaining experience assisting other clients throughout California in planning for SB 1383 compliance. R3 has been actively tracking the development of SB 1383 regulations and has participated in the associated rule-making process up through the law's finalization as of November 3, 2020. We have gained a thorough understanding of the regulations and are helping clients prepare for implementation. SB 1383 has complex requirements which affect many aspects of solid waste collection and post - collection systems. While haulers can assist in implementation of many aspects of the law, agencies ultimately bear responsibility for its implementation. Via this project, we will work with you to establish a coordinated approach for all MSS Franchisors, thus facilitating a cost-effective and smooth transition into implementation for the MSS, each of your agencies, and, of course, for your solid waste customers. While a coordinated MSS -area -wide approach will result in greater economies of scale for the City and the other MSS Franchisors, certain tasks (in particular ordinance revision and procurement policy development) will require agency -specific efforts. As such, this proposal includes tasks that will be completed for all MSS Franchisors as well as specific tasks that will be customized for each agency as appropriate. Please note that this proposal, and its costs, assume that all MSS Franchisors will elect to participate in the project. Rose Radford will serve as Project Manager and primary point of contact for this engagement. Garth Schultz will serve as Principal -in -Charge and will work with Rose throughout the project. We appreciate the opportunity to submit our proposal to the City. Should you have questions regarding our proposal or need additional information, please do not hesitate to reach out directly. Sincerely, Rose Radford I Project Manager R3 Consulting Group, Inc. 415 347.9536 1 rradford@r3cgi.com Garth Schultz I Principal -in -Charge R3 Consulting Group, Inc. 510.292 0853 1 gschultz@r3cgi.com 1512 Eureka Road. Suite 220 Roseville. CA 95661 p 916 782 7821 f 1. . r3cgi 1. SCOPE OF WORK Task 1 — Project Kick-off and Coordination Task 1.1 Kick-off Meeting Upon City authorization to proceed, R3 will facilitate a project kick-off meeting with designated representatives of the MSS Franchisors. The meeting will provide an opportunity to review the project objectives, R3's project approach, schedule, and data availability. The kick-off meeting will serve to set the expectations and timeline for the Scope of Work and establish the best means for ongoing communication and collaboration between R3 and the MSS Franchisors for the duration of this engagement. One item of importance for discussion during the kick-off meeting will be how R3, the City, the Franchisors and MSS will work collaboratively to ensure that this project provides the best possible outcomes for customers and ratepayers, while still achieving meaningful compliance with the law. R3 understands that the City and the Franchisors do not intend for this SB 1383 planning and implementation exercise to be a "check -the -box" exercise that results in compliance without due consideration of how to ensure the resultant outcomes are good for customers, good for the environment, and good for the economy. R3 whole-heartedly embraces this intention and has the on -the -ground experience working with commercial business and other parties in Marin County on organics collection programs and other similar policies. We will bring best practices gleaned from these experiences to bear in working with the Franchisors throughout the course of the project. Please note that we have budgeted for all meetings to be virtual, including check-in meetings with agency staff, MSS, as well as presentations to Councils/Boards, and other bodies. Additional costs will be incurred for required attendance at in-person meetings; R3 will seek City approval of additional costs before they are incurred. Task 1.2 Information Request Upon authorization to proceed, R3 will provide the MSS Franchisors and MSS with a preliminary list of documents in support of this Scope of Work. Requested documents may include, but will not necessarily be limited to, the following: Customer rate sheets; Education and outreach information provided by MSS to customers; Copies of most recent monthly and annual reports, including tonnage reporting; and Other relevant data. The provided information and materials, along with the documents already in R3's files, will assist with our analysis and ultimate drafting of our Final Analysis Report and Findings. Task 2 — Analysis of Current Programs and Implementation Pathways There are aspects of the law, such as procurement policy, that would benefit from in-depth research, engagement with industry and public -sector partners, and a detailed cost/benefit analysis. Planning for requirements such as edible food recovery and reporting necessitates engagement with other agencies in Marin County. Options for enforcement, which is required to begin in 2024, should be explored in concert with interagency departments and other agencies in the County. Other aspects of the law, such as municipal code updates, are self-contained and could be easily accomplished by each agency without coordination with other agencies, though there are benefits to regional coordination. R3 has been following SB 1383 regulations closely on behalf of many clients and has developed a user- friendly SB 1383 action plan that we will customize according to the MSS Franchisors' needs. SB 1383 touches upon many aspects of solid waste management, many of which are currently the responsibility of City of San Rafael I SB 1383 Planning Assistance 1 IL3 the franchised haulers via agreements, while others are jurisdictional responsibilities, and some may already be the responsibility of either the County or Zero Waste Marin. R3 will assess SB 1383 preparedness by beginning with our action plan template, and for each requirement: 1. Determining if there is a similar existing requirement via another legislation such as Assembly Bill (AB) 1826, and indicating which party(ies) are responsible for the similar requirement; 2. If there is a similar existing requirement, assessing current compliance activities conducted by the party responsible against the upcoming requirements of the law and identifying changes that need to be made, assuming no changes in responsible party; and 3. If there is no similar requirement (such as for edible food recovery), R3 will assess current conditions and make recommendations that provide a pathway to compliance. Gaps in compliance will be identified through this process, along with opportunities for program improvements. SB 1383 jurisdiction responsibilities can be broken up into five major compliance areas, described in more detail in sub -tasks 2.1 - 2.5: Education and Outreach; Inspection and Enforcement, including the assessment of penalties and contamination monitoring; Edible Food Recovery Programs; Purchasing Policy Changes; and Collection Service Adjustments. Based on similar reviews for other jurisdictions, pathways are likely to include the following: Implementing universal roll-out by providing organic waste collection services (including food waste) to all residents and businesses; Establishing a food recovery program in coordination with Marin County and/or other agencies as appropriate; Providing enhanced education and outreach to the community, which involves potential changes to content and frequency of mailers and on-site outreach as appropriate; Hiring a dedicated officer for enforcement of the law's requirements; Procuring more recyclable and recovered organic products; Gathering a significant amount of information for reporting to CalRecycle, both during the initial planning and reporting process, and on an ongoing basis as a part of Electronic Annual Reports to CalRecycle (reporting is currently completed by Zero Waste Marin); and Monitoring and enforcing compliance through the agencies' municipal codes. It should be noted that the tracking and reporting requirements of SB 1383 are substantial. We are aware that MSS has already engaged Recyclist, which is a data management system designed to facilitate tracking of outreach and education efforts and associated collateral such as photos and exemption forms. While Recyclist may be effective for ongoing reporting for SB 1383, the agencies may need to coordinate reporting activities with Zero Waste Marin (currently the designated AB 939 reporting entity for jurisdictions in Marin County). Reporting is built in to all the programmatic implementation steps outlined in this task, and recommendations on reporting will be included as a part of all sub -tasks listed below. It should also be noted that many of these tasks would benefit from a coordinated regional approach. As a part of some of these tasks, R3 proposes to engage various agencies active in Marin County in order to facilitate collaboration. However, this scope of work is specifically designed to facilitate the MSS City of San Rafael I SI3 1383 Planning Assistance 2 P,J Franchisors' implementation of SB 1383, and as such, engagement with regional actors and the County is focused on specific topic areas. Task 2.1 Education and Outreach Data shows that on -the -ground technical assistance is key to effective program implementation, from signing businesses up for organics service to reduce contamination by more effective sorting. We are aware that low contamination is a key requirement of the MSS Food to Energy program and that contamination monitoring via route audits is also a requirement of SB 1383 (see Task 2.5, Collection Service Adjustments). SB 1383 requires education and outreach activities — generally in alignment with AB 1826 education and outreach — including the following: Monitoring of businesses that generate 2 or more cubic yards of solid waste per week; Conducting site visits to encourage correct participation and sign-up for non-compliant accounts; Waste assessments, especially in the case of exemption requests or reported self -haul or back -haul activities; Annual mailers, which will need to include the new requirements of SB 1383 such as multi -family recycling instructional materials provided to new tenants on move -in, front -of -house sorting containers including recycling and organics containers with labels and correct color coding; and Education and outreach targeted at Tier I and Tier II covered generators under the edible food recovery requirements, which differ from the organics recycling requirements of AB 1826 and will likely require staff to facilitate relationship -building between covered generators and recovery organizations. While these activities are familiar to MSS and MSS Franchisors and ramping up to AB 1826 covered generator thresholds will likely facilitate most education and outreach activities required under the new regulations, R3 anticipates additional staff effort related to education and outreach. This will likely require increased staffing for the party(ies) identified as responsible for these requirements, including MSS and the Franchisors' staff. This Education and Outreach task will be completed for MSS Franchisors as a whole, and not substantially customized for each MSS Franchisor. Task 2.2 Inspection and Enforcement Inspection and enforcement requirements included in SB 1383 represent a departure from the AB 1826 requirements in that penalties are required to be assessed on businesses not in compliance with the recycling requirements, including: signing up, participating, placing containers for recycling and organics in the front- and back -of -house, and self/back-hauling in compliance with the state's requirements. In summary, SB 1383 introduces: Penalties for non-compliant businesses (under the organics recycling requirements, the requirement to right -size containers, and the requirements to provide educational material as well as the edible food recovery requirements described in Task 2.3) in alignment with the SB 1383 penalty structure introduced in the regulations; Penalties for haulers, including franchised haulers and the self -haul sector for not diverting organic material according to the requirements; Penalties for regulated entities for not providing adequate reporting (this includes edible food recovery organizations); Investigation of complaints of non-compliance by members of the public or other entities; City of San Rafael I SB 1383 Planning Assistance 3 Q ��> Contamination monitoring via periodic (current regulations require annual) route audits for every route and a representative portion of customers; or via monitoring at post -collection facilities; A defined "waiver" system similar to the exemption system for AB 1826, except that organics generation thresholds are lower (10 gallons or less for customers below 2 cubic yards of solid waste service, and 20 gallons or less for customers at or above 2 cubic yards), inspection of businesses subject to waiver and adequate documentation is required, and re -inspection on a prescribed basis (now every 5 years). Note that physical space limitations are included as a possible waiver rationale. R3 generally recommends that exemption/waiver authority resides in jurisdiction or authority staff and not the hauler; and Required reporting to CalRecycle on all site visits, penalties, waivers. Via this task, R3 will further refine our staffing impact analysis, and research compliance fee mechanisms and alternative options for enforcement. While the inspections required by the regulations can reasonably be performed by the hauler, others (such as the edible food recovery enforcement and the front -of -house container placement) are not appropriate to include in hauler responsibilities. Moreover, the regulations clearly state that authority for enforcement cannot be delegated to a private entity. Based upon the SB 1383 planning assistance R3 has conducted for other agencies, R3 anticipates at this time that at least one part-time enforcement staff with the ability to issue citations will be needed for the City of San Rafael; and some level of additional enforcement staff will be needed for the other agencies. This Inspection and Enforcement task will be completed separately for each MSS Franchisor. Task 2.3 Edible Food Recovery Programs Establishing and implementing food recovery programs can be challenging, but R3 is aware of a number of edible food recovery organizations that are already operating in Marin County. The County is responsible for a number of the key aspects of planning for SB 1383, including: Inspection of all food -serving businesses via Environmental Health for enforcement of state minimum standards; and Planning for edible food capacity in the County, including identification of edible food recovery organizations and assessment of those organizations' capacity, as well as any need for additional capacity in the County. As such, R3 proposes to initially engage the County and request available information about the County's current edible food recovery planning efforts, as well as current activities conducted by County Environmental Health inspectors and collateral already developed by the County. We will assist the agencies in exploring opportunities for regional coordination and interagency collaboration related to edible food recovery, with an eye toward going "above and beyond" basic requirements to design a program that effectively captures edible food that was previously disposed, and provides it to people in need. After engaging with the County, R3 will then prepare a list of strategies appropriate for the agencies to implement or support. These could include: Connecting potential donors to potential recipients; Providing small grants to food recovery organizations for refrigerators or vehicles; City of San Rafael I SB 1383 Planning Assistance 4 P 3 Distributing model food recovery agreements to surplus food generators, based upon CalRecycle's model agreement; Coordinating efforts with County Environmental Health for distribution of food recovery information to commercial food generators or training of food recovery organizations in safe food handling procedures; and Coordinating efforts with the County to ensure that food -insecure recipients are matched with food distribution organizations. The Edible Food Recovery Programs task will be completed for MSS Franchisors as a whole, and not substantially customized for each MSS Franchisor. Task 2.4 Purchasing Policy Changes SB 1383 requires changes to each agency's purchasing policies, including procurement of recycled - content paper, compost and/or mulch product from post -collection facilities, use of natural gas from post - collection facilities, and use of electricity from qualifying post -collection sources. Via this task, R3 will calculate the required amounts of product for each agency and will assist the agencies as necessary in gathering information about current purchasing quantities of qualifying materials from the various agency departments involved. Informational interviews with up to four related industry and public sector partners will be arranged, including: Central Marin Sanitation Agency, the agency that receives processed food scraps from MSS and introduces those food scraps into its digesters for conversion into natural gas; Marin Community Choice Energy, a non-profit renewable electricity provider that the agencies partner with, and which has already obtained energy from some qualifying sources; Marin Carbon Project or other solutions -based collaboratives that focus on the use of compost, mulch, and biosolids, including strategic spreading of recovered organic content in open space; and The Wildfire Prevention Authority or another public agency partner to explore the existing generation of woody matter and the highest and best use of that matter for environmental purposes. R3 will also conduct limited research to gather information on the use of the products required for procurement to assist the MSS Franchisors in determining the most beneficial procurement strategy that will align with the requirements of SB 1383. This Purchasing Policy Changes task will be completed for MSS Franchisors as a whole, and not substantially customized for each MSS Franchisor; although R3 will calculate recovered organics procurement targets separately for each agency. Task 2.5 Collection Service Adjustments Although MSS is currently conducting a range of activities for AB 1826 compliance, R3 initially expects that these activities will need to be expanded and adjusted to facilitate compliance with SB 1383. Specifically, the Franchisors and MSS will need to explore the following types of adjustments in collection programs: Establishment or expansion of recycling and composting collection services to all customers to address SB 1383 requirements; Route audits for contamination monitoring; Edible food recovery outreach and education and designation of responsibilities between hauler, agencies, and County staff; City of San Rafael I SB 1383 Planning Assistance 5 Z��> Diversion and program monitoring and reporting; Coordination and task designation between the agencies and the hauler; and Collection container labeling adjustment to align with SB 1383 requirements for all new carts and bins placed into service. These labels may be printed and not include graphics, but they must include a list of allowed and dis-allowed materials. While commercial bin labels may be compliant, it is possible that CalRecycle will require labels to be placed on all residential carts as well. Moreover, if MSS is currently using black containers for the Food to Energy program, those carts will need to have their lids changed to the yellow color to be compliant. R3 will prepare a list of the adjustments that the MSS Franchisors may consider requesting MSS to make, and present that list to MSS during one virtual meeting to discuss operational feasibility, benchmarking, and costs, with universal service for all businesses as a significant point of discussion. The information gathered during that meeting will be synthesized, analyzed, and provided as guidance to the MSS Franchisors. This will identify which activities are best suited for MSS to perform, as well as determining marginal activities that may benefit from MSS's assistance or involvement. We will provide the analysis and recommendations in our final report to the MSS Franchisors, as a part of Task 4, and will be available to assist the MSS Franchisors in negotiations for an amendment to the MSS agreement, or a mutually agreed-upon letter of understanding (see optional Task 5). This Collection Service Adjustments task will be completed for MSS Franchisors as a whole, and not substantially customized for each MSS Franchisor. With this task, R3 will also provide an estimate of initial costs of implementation for implementation of the SB 1383 requirements by the MSS Franchisors based upon our recommended implementation approach. This cost estimate may be further adjusted depending upon agency interests and the final implementation strategy during rate -setting in late 2021. Task 2.6 Ongoing Coordination R3 will arrange regular check -ins (approximately five meetings) by conference call with agency staff throughout the duration of the project. R3 will advise agency staff of upcoming interviews and coordinate agency staff availability to join in these meetings, with the ultimate goal of positioning staff to proceed with implementation of the programmatic requirements after the planning process is complete. This task includes regular check -ins with the MSS Franchisor staff as a whole, as well as individual meetings with each agency (up to two per agency, in addition to the combined meetings with all Franchisors). Task 3 — Municipal Code Update R3 proposes to provide limited implementation assistance to the MSS Franchisors in preparing a municipal or district code update in alignment with SB 1383 requirements. SB 1383 requires updates to the municipal or district codes of every jurisdiction in California, aligning with the following requirements in the regulations: Universal service for organic waste diversion; Other business and hauler requirements under the regulations, described more fully in Task 2, above; Penalties for non-compliance and the mechanism for assessing such penalties; Enforcement of CALGreen construction and demolition debris recycling requirements and container design requirements; and the Model Water Efficient Landscape Ordinance, Title 23, Division 2, Chapter 2.7 of the California Code of Regulations. This task is limited to updates on municipal code language to align with SB 1383 and does not include other revisions such as modernizing code language or alignment with franchise agreement language. City of San Rafael I SB 1383 Planning Assistance 6 P,3 We are aware that the self -haul requirements of SB 1383 are of particular interest to the City of San Rafael. Via this task, we will also prepare one short memorandum that describes the requirements of SB 1383 and how they are enacted in the model municipal code as well as the proposed municipal code. We will provide an explanation on how self -haul regulation is envisioned in SB 1383, how it might be implemented, and benefits/drawbacks to the proposed approach. We recommend that the MSS Franchisors develop municipal/district code updates using the model municipal code provided by CalRecycle as a basis and adapt that municipal code in accordance with legal counsel's preference and R3's professional judgement. Via this task, R3 will work directly with legal counsel and City staff to prepare an ordinance for adoption by each agency, will be available to present and introduce the proposed ordinances at one virtual Council/Board meeting, and will attend one additional virtual Council/Board meeting to answer questions for final adoption, per agency. Please note that ordinance revisions outside of SB 1383 requirements may require additional effort than is anticipated herein. Should the City or the agencies wish to explore other solid waste -related municipal code changes, R3 would be happy to assist pending approval of additional contract expenses for work outside of SB 1383. Task 4 — Training, Reporting, and Presentations R3 will arrange a combined SB 1383 training meeting to provide MSS Franchisor staff with additional information about the law and suggests that agency management be engaged if not already for that meeting. This training will be conducted virtually, and a copy of the presentation and an associated handout will be provided beforehand to participants. We will present our findings to date and our recommendations for next steps during that meeting and gather information from agency staff on feasibility and preferences. R3 will prepare a draft analysis report for City of San Rafael review which includes the following key elements: A summary update of recent legislation, including AB 341, AB 1826, AB 901, AB 1594 and SB 1383, all of which should be addressed in the City's new Agreement(s); A summary of the research, interviews, recommendations and outcomes from Tasks 2 and 3; Suggested best practices to include as part of the Agreement(s) updates and/or letters of understanding with the hauler. As part of this task, we will provide an electronic version of the draft analysis report to the City of San Rafael for comments. At the City staffs preference, we will be available for one additional meeting to review findings and address the City's comments on the draft report. Following discussion with the City, R3 will revise our draft report and provide the MSS Franchisors with a second interim draft analysis report. We will be available to meet with each MSS Franchisor staff one additional time to provide revisions and address comments, and thereafter will compile our final draft report. R3 will also be available to provide one virtual presentation to each Council/Board with findings and recommendations resulting from the tasks above. City of San Rafael I SB 1383 Planning Assistance 7 P,3 Optional Task 5 — Negotiations with MSS The role of the hauler is key in designing an effective SB 1383 implementation plan. We will already have identified roles for the hauler to fill and met with MSS to explore options on those roles as a part of Task 2.5. After resolution of those conversations, R3 expects that MSS will either propose an amendment to their Agreement with the MSS Franchisors, or request that a letter of understanding or other less formal agreement be agreed upon and signed. Regardless of the mechanism, we expect that implementation of the SB 1383 requirements will involve changes to the MSS costs of operation likely to impact rates. If the MSS Franchisors so desire, R3 can assist the Franchisors in negotiating the rate impacts and finalize the language on program requirements and design for those elements of implementation for which each chooses to engage MSS. In this proposal, we have provided for up to five additional meetings with MSS, and the drafting of an amendment or letter of understanding as an optional task. Deliverables Two (2) Draft Analysis and Findings Reports, including an SB 1383 preparedness matrix; One (1) municipal code update for each agency; Two (2) virtual Council/Board meetings [one (1) presentation and one (1) to answer questions] prior to adoption of each municipal code update; One (1) Final Analysis Report and Findings in electronic format; One (1) virtual presentation, per agency, to Council or Board on findings and recommendations; (Optional) Amendment or letter of understanding with MSS. City of San Rafael I SB 1383 Planning Assistance 8 Z� j R3 is available to begin work on this project as soon as indicated by the City. R3 proposes the following schedule for work completion, with the project beginning in May 2021 and completing by the end of December 2021. This schedule provides ample time to complete the required project effort, achieve compliance with SB 1383 starting May 2021 (pending appropriate agency action), and incorporate project results into the regularly scheduled MSS 2022 rate adjustment and setting process. City of San Rafael I SB 1383 Planning Assistance 9 [ZJ Project Kick -Off and Coordination May 2021 May 2021 2. Analysis of Current Programs and Pathways June 2021 July 2021 Municipal Code Update July 2021 September 2021 Final Analysis, Reporting, and Presentations September 2021 December 2021 5. (Optional) Negotiations with MSS July 2021 October 2021 City of San Rafael I SB 1383 Planning Assistance 9 [ZJ 3, PROJECT BUDGET R3 proposes a contract with the City of San Rafael as the lead agency, providing for the scope of services for all MSS Franchisors. Payment for work performed under this scope of services is rate -recoverable MSS as a pass -through -cost. The proposed contract amount of $155,096 is a not -to exceed amount based on time and materials for all Franchisors. City of San Rafael I SB 1383 Planning Assistance 10 Q 3 TASK 7 -Agency Total 1 Project Kick-off and Coordination $2,674 Education and Outreach $5,462 Inspection and Enforcement $16,819 Edible Food Recovery Programs $7,762 2 Purchasing Policy Changes $9,056 Collection Service Adjustments $7,906 Ongoing Coordination and Cost Estimates $8,481 3 Municipal Code Update $38,467 4 Training, Reporting, and Presentations Subtotal Tasks 1-4 $14,087 $110,716 5 (Optional) Negotiations with MSS Total Tasks 1-5 $24,150 $134,866 15% Contingency -. Grand Total $20,230 $155,096 City of San Rafael I SB 1383 Planning Assistance 10 Q 3 Billing Rates In the table below, we have provided our hourly billing rates for R3 that may be involved in providing the City solid waste consultant services. Z3CONSULTING GROUP, INC. RESOURCES • RESPECT- RESPONSIBILITY Principal $225 per hour Project Director $215 per hour Senior Project Manager $190 per hour Project Manager $185 per hour Senior Project Analyst $165 per hour Senior Administrative Support $160 per hour Project Analyst $155 per hour Associate Analyst $145 per hour Administrative Support $125 per hour Consultants/Subcontractors Cost plus 10% Lodging and meals Direct cost Travel - Private or company car At Current Federal Rate Travel - Other Direct cost Delivery and other expenses Direct cost Payments Unless otherwise agreed in writing, fees for work completed will be billed monthly at the first of each month for the preceding month and will be payable within 30 days of the invoice date. City of San Rafael 1 SB 1383 Planning Assistance 11 P'3 4. FIRM C, �UALIFICATICIMS About R3 Incorporated in California in 2002, R3 is a California Certified Small Business with offices in Roseville and Davis, California. Our firm is led by two principals, Richard Tagore-Erwin and Garth Schultz, who have 40+ years of combined solid waste expertise. We specialize in providing a diverse range of solid waste management consulting services exclusively to public agencies, including rate and financial reviews, competitive procurement and/or extension negotiations of collection, processing and disposal services; development, implementation and monitoring of service contracts and franchise agreements; and legislative compliance. R3 works exclusively for public agencies and does not work for any private solid waste management companies. We do, however, have very good professional working relationships with private sector service providers - which is valuable in negotiations. Food Waste Reduction Planning / Food Recovery R3 assists clients with the development, implementation, and evaluation of their organics and food waste reduction programs. Our extensive experience has allowed R3 to address a variety of issues that typically confront our municipal clients during the implementation of their various programs and facilities, including inter -jurisdictional coordination, planning requirements, diversion mandates, regulatory compliance, community outreach, and public education. Our organics -related services include the following: Developing and evaluating existing organics programs; Analyzing options for program improvement and potential new programs to implement; Identifying businesses subject to compliance with SB 1383; Monitoring and tracking covered generator compliance; Designing and assessing public education and outreach materials and methods for notifying businesses of their requirements and compliance options; Developing franchised hauler tracking methods for necessary reporting, public education and outreach, and compliance monitoring requirements; Performing on-site waste assessments and material characterizations and providing hands-on technical assistance to regulated businesses to support their compliance; Facilitating private sector diversion opportunities, including food donations and recycle/reuse vendors; and Planning for end-use markets for compost product and SB 1383 implementation. Legislative Compliance R3 provides a full range of planning, design, implementation, monitoring, and administrative services in support of regulatory compliance with AB 1826 (Mandatory Commercial Organics Recycling), SB 1383 (Short -Lived Climate Pollutants), AB 341 (Mandatory Commercial Recycling), AB 1594 (Ban on Green Material ADC Diversion Credit), as well as new legislation such as AB 1669 (Displaced Employees), AB 901 (Solid Waste Reporting Requirements), and AB 876 (Organics Management Infrastructure Planning). California has adopted aggressive legislation to reduce waste sent to the landfill and many jurisdictions are not fully prepared to meet their requirements under AB 341, AB 1594 and AB 1826. Our understanding of these legislative requirements and our hands-on experience assisting our clients with implementing effective AB 341 and AB 1826 programs and preparing for the requirements of AB 1594, AB 1669, SB 1383, and AB 901 has helped us to develop effective compliance strategies and implementation plans that leverage existing franchised hauler resources and contractual requirements. City of San Rafael I SB 1383 Planning Assistance 12 [Z3 We ensure that all regulatory requirements are being met and that our clients are taking the necessary steps to remain in compliance with the law. We assist jurisdictions with meeting these requirements by providing a coordinated approach that is logical and cost-effective, and draws upon our operational, public policy, and public education and outreach capabilities. Relevant Experience R3's project team brings a unique level of relevant experience and knowledge of solid waste solutions that can help you deliver the organics programs and policy that your community needs. In the past 3 years alone, R3 has assisted 30+ clients with legislative compliance plans. Our work, with a sampling shown below, covers everything from agreement negotiations, policy and ordinances development, legislative compliance, to stakeholder engagement. Project Team Qualifications Below is a brief summary of roles and responsibilities for each project team member. More information on their qualifications can be found within their resumes, located in the following pages. City of San Rafael I SB 1383 Planning Assistance 13 P3 Name / Role Specialty Responsibilities Garth Schultz Legislative Compliance, Garth will provide project oversight as Principal, Principal -4n -Charge Rate Analysis; Strategic as well as analytical support as needed. He will Analysis, Project contribute his expertise developing strategies Leadership for straightforward legislative compliance and }r `] organics planning. a Rose Radford Legislative Compliance Rose will be the Project Manager and will be the _ Project Manager Guidance, Ordinance rima int of contact. She will be responsible primary Po Pons Revisions, Capacity for overseeing the team, providing analytical Analysis, Pmfect review, and leading stakeholder engagement dig, Ah Management and presentations. Throughout the entire engagement, she will be ensuring all the City services are being met for the project. Came Baxter Legislative CoWiance Carrie will bring her thorough understanding - Analytical Support Gridance, Collection of SB 1383 and AB 827, AB 341, and AB 1826 Agreement Negotiations and provide key analytical support to assist and Ptomiement in analyzing capacity needs and guidance on Assistance, Orntnance regulatory requirements. Revisions, Rate Anatysis, Project Management Claire Wilson Legislative Compliance Claire will provide analytical support to assist in - Analytical Support Gddance, Reporting, providing guidance on regulatory requirements Ordinance Revision4 She will assist in the strateg¢ing and Edible Food Recovery, development of outreach materials. Education and Outreach Kristy Dalay Legislative Compliance Kristy will provide support for record keeping and Analytical Support Guidance, Rate and Data reporting, as required under SB 1383, and assist cAnalysis, Education and in creating outreach materials for ongoing Outreach educational purposes. City of San Rafael I SB 1383 Planning Assistance 14 �3 RAF` A 2 yo wITH P`l`y CONTRACT ROUTING FORM INSTRUCTIONS: Use this cover sheet to circulate all contracts for review and approval in the order shown below. TO BE COMPLETED BY INITIATING DEPARTMENT PROJECT MANAGER: Contracting Department: City Manager Project Manager: Cory Bytof Extension: 3407 Contractor Name: R3 Consulting Group, Inc. Contractor's Contact: Garth Shultz Contact's Email: gschultz@r3cgi.com ❑ FPPC: Check if Contractor/Consultant must file Form 700 Step RESPONSIBLE DEPARTMENT 1 Project Manager 2 City Attorney 3 Project Manager -t - 4 J Project Manager PRINT 5 Project Manager 6 City Attorney 7 8 VJ DESCRIPTION a. Email PINS Introductory Notice to Contractor b. Email contract (in Word) & attachments to City Atty c/o Laraine.Gittens@cityofsanrafael.org COMPLETED REVIEWER DATE Check/Initial n/a 4/19/2021 a. Review, revise, and comment on draft agreement and return to Project Manager 4/21/2021 b. Confirm insurance requirements, create Job on PINS, send PINS insurance notice to contractor Forward three (3) originals of final agreement to contractor for their signature When necessary, * contractor -signed agreement ❑ N/A agendized for Council approval *PSA > $20,000; or Purchase > $35,000; or Or Public Works Contract > $125,000 Date of Council approval CONTINUE ROUTING PROCESS WITH HARD COPY Forward signed original agreements to City Attorney with printed copy of this routing form Review and approve hard copy of signed agreement City Attorney Review and approve insurance in PINS, and bonds (for Public Works Contracts) City Manager/ Mayor Agreement executed by Council authorized official City Clerk Attest signatures, retains original agreement and forwards copies to Project Manager 5/3/2021 6/3/21 ❑x