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09/18/1990 - Minutes Utilities and Franchise September Minutes 1. Called to order at 7:00 2. Roll call. Present: Eldcn Wogen Tom Sullivan Mark Irwin Gerry McReynolds Don Jacobs Rebeckah Barrett Tom Miller, Miller Sanitary Service Larry Schmidt, Schmidt's Sanitary Mike Leichner, Pride Disposal Company Lee Kell, Kell Alterman & Runstein, Legal co m sel for haulers Ken Elliott, City Attorney's Office Phil Grillo, City Attorney's Office I Teen Edin, Staff Liaison 3. Minutes approved. Loreen introduced Phil Grillo & Ken Elliott - City Attorney's office. Lee Kell represents haulers. 4. Third Party Haulers Third party - proposed to go before council to start permit process, Lee Kell. Decided to discuss after ccapactor ordinance. 5. Compactor ordinance - putting cmpactors in large apartment complex. Lee Kell One problem with franchise - always arises where someone can offer cheaper services - one of reasons for existence is disparity in rate structure which creates profit opportunities - in Tigard commercial custoaner pays hider margin for service - subsidizing residential and drop box service - proposal changing rate structure - hauler ready to propose new rates that will equalize profit margins for all services. Integrated system must be viewed as a whole - before locking at ways to permit other collectors, let haulers propose new rate structure. Jerry: Have requested information from haulers about what is involved in service - can't hold up present process for new rates. Have a request from large apartment houses for compactors filled by ?? Voted to allow as a committee - now have ordinance. Lee: No intention of stopping process - have two problems. 1) rate problems; 2) want to cane back next meeting with suggestions. Town: Wants to know how shiftequity in rate structure - will counittee make a suggestion which will overhaul system - if no one subsidizes anyone else will really change current structure. 1 Jerry: Would like to see what impact would be - a whole new rate table- after that can make changes. Tom: OK. We thought you wanted something to implement without problems. Not a real difficult task. Lee: Will work recycling into program - recycling will happen whether you want to or not. Tarn and Jerry argued to have an agenda to rate issue. Lee passed out suggestions for ordinance - from him, haulers, Phil, additions and deletions from Phil's ordinance compactors exist in other places besides apartment house - haulers asking for regulation of all compactors - mist have permit to operate - issue of ownership of garbage, who puts garbage in oompactor not addressed. Wants to avoid issue of ownership. Jerry: If we don't address ownership can't cite midnight haulers who take valuable recyclables. Lee: OK. But why cloud issue by letting permittee "own" waste between back door & c mpactor? Phil: Put in to guard against hazardous waste. Team: Hazardous waste becmies mine at some point anyway. Intervention possible under the original draft. Lee: Changes in sections 1 & 2 will stay as in present ordinance - with ooaLoactor must provide recycling bins too - definitions of cmpactor - any cmpactors. Phil: Residential mast provide for source separation but not in ea uercial or industrial setting. Iae: Doesn't think applies - all situations must address recycling Phil: Location of recycling bins same as compactors. Jerry: Location can be as broad as you make it - could be at other end of dock. Tam: Important for multi-family - everything together - concern that area accessible and available to both tenants and haulers. Phil: Define same location for multi-family versus industrial - don't we have to exempt hcame compactors? Tom: Cmpactors defined as used by employees - heame c mpactors exempted Phil: Whereas clause won't be part of ordinance 2 Lee: Incorporate in definitions Phil: Keep exception clause Jerry: 2a - $1,000,000 high - everyone else didn't think so. 2e- maintenance board - $25,000.00 too high a cost Tam: what purpose Phil: My idea. Some guarantee that system be maintained. Tom: Something to get attention - maybe $5,000.00 or service agreement. Jerry: $500.00 misdemeanor - permittee will keep system up - no one writing maintenance bonds - will be. Tan: We are the ones who see condition - what is our safeguard against having to pick up if unsafe? Maintenance bond dropped. Lee: Provision included that hauler doesn't have to pick up if ordinance violated. Page 4 - conditions for operation. Larry: 4d - problem with compactor design Jerry: Expand leakage to include spillage, blowing Phil: Concerned about revoking w/o normal procedures which require hearing - should use normal code procedures Jerry: Annual certification - requires lots of people each year - every 2 years? Tan: Would be form in mail - collectors - will see weekly - if all OK would sign and send on. Jerry: Rather than certifications - have haulers report as needed Tan: If done, what is provision and action on part of City Phil: Code violation like any other Jerry: Paquirements lends muscle to hauler's request for repairs Phil: Add to violations section Lee: And remove annual certification requirement - will you be having annual fere. Jerry: Would have recommend a fee to council with blank amount 3 Lee: Annual certification could be part of annual fee process Jerry & Mark: Remove requirement that annual certification be signed by hauler. Larry: Vat about unusual circumstances which require more time. Tam: Bill for it in rate structure Jerry: Ready for rate Phil: Change misdemeanor to violation Lee: Code enforcement officer needs muscle when taking action Phil: Violation with fine not to exceed $500/day + revocation. Jerry: Ordinance is 13 years old. May need rewritten to cover new types of violations. Lee: Have done scan work - would like to present to City Attorney Jerry: Concerned about cost Lee: If we did spade work would mi m?ze costs. Would be happy to take on after rate structure. Loreen: Make sure of council direction when setting committee agenda. Jerry: Called formation to send ordinance as changed. Eldon: Moved to City Council SE00NDED VOTE - PASSED Jerry directed Phil to get final and take to Lorreen - he will present to City Council 6. Third Party Haulers - Earlier discussion agreed to permit process - Larry brit pictures Ise: For good reasons - use franchise process - now have someone who could be dumping anywhere - no control over Phil: ordinance doesn't prohibit contractors from hauling waste. Lee: Not arguing about sub-contractors hauling Phil Problem is in ordinance 4 • • Lee: Concerned about a person who is only hauling waste. Phil: Must have some connection with construction - gut reaction- narrow interpretation of ordinance Tan: For years, don't mess with people who generate waste. Could we add something about "generating waste" Jerry: We've got a guy who is doing this and was cited by Coy for it. Hone builders. Agreeing that the man is like sheet rockers. Can't interpret ordinance, can only go to court and defend - but need an interpretation. Lee: Would rather close loophole than and put in permit process. Phil: Two loopholes 1) Mmat is contractor; 2) what is hauling incidental to construction. Tan: Still barelem - need to amend ordinance to clarify it. prob fy Phil: Agreed Tan: Don't think we need a whole new permitting system - have identified weakness. Jerry: Should we do permit or plug holes Eldon, Doi, Becka - plug holes Phil: Only real permit - if let contractor dispose of waste need to be sure that waste is being disposed of properly Jerry: Mat else should be taken care of? Tan: Could look and see what we find. Could be part of enforcement process. 7. Revised rate structure discussion Jerry: No one wants to take responsibility Mike: Set a date and we will creme with a proposed rate structure which charges for recycling. Jerry & Tom: Can't charge Jerry: Identify cost of recycling Tan: Can come up with hypothetical structure and try to meet on middle 5 Jerry: Recycling question by Precision Instrument which plugging holes in ordinance need to address that issue. Tam: Had to determine what materials should be removed frau the waste stream do we want to require hauler to pick up or let saneone else do it. Jerry: If clarifying ordinance, do it now. NEXT MEETING: October 16 - agenda to include draft franchise ordinance frau hauler's legal counsel and new rate structure proposal. Adjourned at 8:55. nm: LOGIN\ISZ\U&FSFPNII 6