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Wednesday, July 13, 2022
Citizens Advisory Committee Meeting
Time: 6:00 p.m.
Location: Costa Mesa Sanitary District - 290 Paularino Ave., Costa Mesa, CA 92626
***
IMPORTANT NOTICE REGARDING JULY 13, 2022 CITIZENS ADVISORY COMMITTEE MEETING
This hybrid in-person and teleconferenced meeting will utilize electronic means consistent with
State of California Assembly Bill 361 (Gov. Code § 54953(b)(3)).
***
The livestream of the meeting can be viewed by clicking the "Video" icon on this page (which will be
made available at the start of the meeting) or by visiting www.youtube.com/CostaMesaSanitary.
***
To participate in the meeting by computer:
1. Copy and past the following into your browser - https://us02web.zoom.us/join
2. Enter the Meeting ID number - 837 0100 6805
3. Click "Join."
***
To join the meeting with a mobile device:
1. Download the Zoom app at the Google Play Store (for Android devices) or the App Store (for
Apple devices)
2. Open the Zoom app. Select "Join a Meeting."
3. Enter Zoom Meeting ID. Select "Join Meeting."
***
To join the meeting by phone:
1. Call 1-669-900-6833.
2. You will be asked to enter the Meeting ID number. Dial 837 0100 6805#
3. Lastly, you will be asked to enter your Participant ID. Press the # symbol again to bypass this
step.
***
Public Comments: Members of the public can submit any comments in real time during the meeting
or prior to the meeting in writing for the Board of Directors' consideration by sending them to the
District Clerk, Noelani Middenway, at nmiddenway@cmsdca.gov. Those comments will be made part
of the official public record of the meeting.
***
Obtaining Agenda Materials: The public is entitled to copies of all documents that are made part of
the agenda packet. If any document or other writing pertaining to an agenda item is distributed to
all or a majority of the Board after the packet is prepared, a copy of that writing may be obtained
from the District Clerk's Office.
***
In Compliance with ADA: Contact District Clerk, Noelani Middenway, at (949) 645-8400, 48 hours
prior to meeting if assistance is needed (28 CFR 35.102.35.104 ADA Title II).
A. OPENING ITEMS
1. Call to Order
2. Roll Call
3. Public Comments - Speakers will be limited to three minutes. The three minutes per speaker time allotted may be
extended for good cause by a majority vote of the committee).
B. ITEM
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1. Approve the Citizens Advisory Committee Meeting Minutes of May 11, 2022
2. Receive and File Waste Composition Study #2 from Michael Balliet Consulting
3. Free Shredding/Compost Event - Final Report
4. Consider Recommending the Board of Directors Approve 2.8% Rate Adjustment to CR&R Environmental Services
5. Consider Appointing One Citizens Advisory Committee Member to the Solid Waste Ad Hoc Committee
6. Provide Comments and Suggestions to Contract Negotiations Preliminary Deal Points with CR&R Environmental
Services
C. CLOSING ITEMS
1. Committee Member Comments
2. Board/Staff Comments
3. Adjournment
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Wednesday, July 13, 2022
Citizens Advisory Committee Meeting
Time: 6:00 p.m.
Location: Costa Mesa Sanitary District - 290 Paularino Ave., Costa Mesa, CA 92626
***
IMPORTANT NOTICE REGARDING JULY 13, 2022 CITIZENS ADVISORY COMMITTEE MEETING
This hybrid in-person and teleconferenced meeting will utilize electronic means consistent with
State of California Assembly Bill 361 (Gov. Code § 54953(b)(3)).
***
The livestream of the meeting can be viewed by clicking the "Video" icon on this page (which will be
made available at the start of the meeting) or by visiting www.youtube.com/CostaMesaSanitary.
***
To participate in the meeting by computer:
1. Copy and past the following into your browser - https://us02web.zoom.us/join
2. Enter the Meeting ID number - 837 0100 6805
3. Click "Join."
***
To join the meeting with a mobile device:
1. Download the Zoom app at the Google Play Store (for Android devices) or the App Store (for
Apple devices)
2. Open the Zoom app. Select "Join a Meeting."
3. Enter Zoom Meeting ID. Select "Join Meeting."
***
To join the meeting by phone:
1. Call 1-669-900-6833.
2. You will be asked to enter the Meeting ID number. Dial 837 0100 6805#
3. Lastly, you will be asked to enter your Participant ID. Press the # symbol again to bypass this
step.
***
Public Comments: Members of the public can submit any comments in real time during the meeting
or prior to the meeting in writing for the Board of Directors' consideration by sending them to the
District Clerk, Noelani Middenway, at nmiddenway@cmsdca.gov. Those comments will be made part
of the official public record of the meeting.
***
Obtaining Agenda Materials: The public is entitled to copies of all documents that are made part of
the agenda packet. If any document or other writing pertaining to an agenda item is distributed to
all or a majority of the Board after the packet is prepared, a copy of that writing may be obtained
from the District Clerk's Office.
***
In Compliance with ADA: Contact District Clerk, Noelani Middenway, at (949) 645-8400, 48 hours
prior to meeting if assistance is needed (28 CFR 35.102.35.104 ADA Title II).
A. OPENING ITEMS
Subject 1. Call to Order
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type
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A. OPENING ITEMS
Member Position Term
Elodie Katz Chair 2021-23
Sue Lester Vice Chair 2021-23
Dickie Fernandez Member 2020-22
Daniel Baume Member 2020-22
Seth Greiner Member 2020-22
Phil Marsh Member 2020-22
Rosemarie Chora Member 2020-22
Mike Corcoran Member 2020-22
Judith Gielow Member 2021-23
Jeff Arbour Member 2021-23
Cindy Brenneman Member 2021-23
Subject 2. Roll Call
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type
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A. OPENING ITEMS
Subject 3. Public Comments - Speakers will be limited to three minutes. The three minutes
per speaker time allotted may be extended for good cause by a majority vote of the
committee).
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
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Type Procedural
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B. ITEM
To: Citizens Advisory Committee
Via: Scott Carroll, General Manager
From: Gina Terraneo, Management Analyst II
Date: July 13, 2022
Subject: Approve the Citizens Advisory Committee Meeting Minutes of May 11, 2022
Summary
The recorded minutes of the May 11, 2022 Citizens Advisory Committee Meeting are hereby submitted to the Citizens Advisory
Committee for review and approval.
Analysis
Attached to the staff report are the minutes for the Citizens Advisory Committee Meeting on May 11, 2022.
Staff Recommendation
That the Citizens Advisory Committee approves the meeting minutes as presented.
Legal Review
Not applicable.
Environmental Review
Consideration of public meeting minutes is an administrative matter and is exempt from the requirements of the California Environmental
Quality Act (CEQA) (Public Resources Code Section 21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its
own procedures “to list those specific activities which fall within each of the exempt classes”, and the District has adopted “CEQA
Guidelines and Implementing Procedures” that state on page 6 ”Projects” does not include …. C. Continuing administrative or
maintenance activities.”
Financial Review
Not applicable.
Public Notice Process
Copies of this report are on file and will be included in the complete agenda packet for the July 13, 2022 Citizens Advisory Committee
Meeting at District Headquarters and posted on the District’s website.
Alternative Actions
1. Do not approve the meeting minutes as presented.
2. Direct staff to report back with more information.
File Attachments
minutes_2022_5_11_cac.pdf (111 KB)
Subject 1. Approve the Citizens Advisory Committee Meeting Minutes of May 11, 2022
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Action, Minutes
Recommended Action That the Citizens Advisory Committee approves the meeting minutes as presented.
Minutes View Minutes for May 11, 2022 - Citizens Advisory Committee Meeting
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B. ITEM
To: Citizens Advisory Committee
Via: Scott Carroll, General Manager
From: Nabila Guzman, Management Analyst I
Date: July 13, 2022
Subject: Receive and File Waste Composition Study #1 from Michael Balliet Consulting
Summary
On December 8, 2021, Michael Balliet Consulting (MBC) performed a waste composition study to determine the amount of organic waste
contamination in mixed waste collection routes. This report, along with the attachment, describes MBC findings.
Recommendation
That the Citizens Advisory Committee provide comments and recommendations to the Board of Directors regarding the results of the
Solid Waste Characterization Study Conducted on May 19, 2022.
Analysis
The focus area for Study #2 included mixed waste route collecting in the Killybrooke neighborhood. The material was transported to
CR&R's transfer station in Stanton and dumped onto a clean sorting area in order for the material to be sorted. A total of 233.92 pounds
of mixed waste was sorted into six material type categories, the categories and their respective weights are included below:
CATEGORY TOTAL POUNDS PERCENTAGE
Green Waste 16.44 6.95%
Food Waste 17.04 7.28%
Paper and Cardboard 37.42 15.82%
Recyclable Containers 18.76 8.02%
Other Recyclables 21.36 9.04%
Trash 122.90 52.54%
Under SB 1383, Green Waste and Food Waste are considered "prohibited container contaminants" and it is what CMSD and CR&R will
be looking for starting in July 2023. The presence of these contaminants could result in fines to residents if the behavior is not corrected
after receiving notice from CMSD/CR&R. These waste characterization studies will result in education and outreach from CMSD staff to
help minimize contamination before SB 1383 notices and fines are officially issued in 2023. Based upon the May 19, 2022 sampling, only
14.31% of the load were prohibited materials which is lower than the 56.44 pounds or 24.26% found in the Azure Drive, Orchird Street,
and Orchard Drive in Newport Beach in December 2021.
MBC's findings are consistent with District staff findings from the cart-to-cart outreach. Out of all the neighborhoods visited in the CMSD
service area, the Killybrooke neighborhood had the most participation in the Organics Recycling Program, with almost every single home
having a cart out for collection. Significantly less contamination was also found in the organics cart in comparison with other
neighborhoods.
Subject 2. Receive and File Waste Composition Study #2 from Michael Balliet Consulting
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Action (Consent)
Recommended Action That the Citizens Advisory Committee provide comments and recommendations to the Board
of Directors regarding the results of the Solid Waste Characterization Study Conducted on
May 19, 2022
Goals 2.8 Solid Waste - Recycle green waste and food scraps
2.1 Solid Waste - Focus on generating less contaminated materials
2.0 Solid Waste
2.6 Solid Waste - Improve waste stream and recycling reporting
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Legal Review
Not applicable
Environmental Review
Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities which
fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that state on page
6 “”Projects” does not include …. C. Continuing administrative or maintenance activities.”
Financial Review
The cost for MBC to perform each waste composition study was $3,500. This cost was budgeted in the FY 2021-22 Budget.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the July 13, 2022 Citizens Advisory Committee
meeting held at 290 Paularino Avenue, Costa Mesa and posted on the District’s website.
Alternative Actions
1. Direct staff to report back with more information.
File Attachments
5-19-22 Waste Composition Study.pdf (2,296 KB)
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions is
waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to items
listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the consent
calendar as a whole.
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B. ITEM
Subject 3. Free Shredding/Compost Event - Final Report
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Action (Consent)
Recommended Action That the Citizens Advisory Committee receive and file this report
To: Citizens Advisory Committee
Via: Scott Carroll, General Manager
From: Nabila Guzman, Management Analyst I
Date: March 9, 2022
Subject: Free Shredding/Compost Event - Final Report
Summary
On June 11, 2022 the Costa Mesa Sanitary District in partnership with CR&R Environmental Services, Newport-Mesa Unified School
District, and the City of Costa Mesa,held a drive-thru free shredding and compost giveaway event.
Recommendation
That the Citizens Advisory Committee receive and file this report
Analysis
The District's free shredding and compost giveaway event was held on Saturday, June 11, 2022, from 8:00 A.M. to 12:00 P.M., providing
the community with a free and convenient way to dispose of personal documents and obtain compost for their gardens. The event was
held at the Estancia High School parking lots, and the area was set up to allow residents fast and easy access to get their residency
checked, and then stop at the shredding and compost station before exiting. To host this event, the District worked with the City of Costa
Mesa, Newport Mesa Unified School District, and CR&R. The City of Costa Mesa provided traffic message boards, a forklift, and 4 event
workers. The Newport Mesa Unified School District assisted staff with permits needed to host the event and made workers available to
open their facilities on a weekend. A total of 34 workers were used for this event, 17 from CMSD, 4 CAC volunteers, 4 City Staff workers,
and 9 from CR&R.
This is the first time CMSD has held a shredding event, Southern California Shredding Company was hired to provide the service at a
total cost of $175 per hour, per truck for a total of $2,625. Residents were able to drop off up to 5 standard file boxes of paper per
household. A total of 11,000 pounds of paper were collected by the three shredding trucks.
For the compost portion of the event, CR&R Environmental Services provided 1,680 bags of compost and 8 volunteers plus Mike Carey,
Senior Sustainability Coordinator to work the event. Residents were allowed to take home up to 2 bags of compost per household. A total
of 1,120 bags of compost were distributed or 33,600 pounds of compost. There was no cost from CR&R for the compost or workers
provided.
Approximately 661 cars participated in the event and the compost giveaway was the most popular. In addition to the two service stations,
CMSD staff also gave out 200 kitchen pails that were gone within the first two hours of the event. Attached to the staff report are pictures
of the event.
Legal Review
Not applicable
Environmental Review
Subject activity is exempt from the requirements of the California Environmental Quality Act (CEQA) (Public Resources Code Section
21000 et. seq.). Section 15300.4 of CEQA allows an agency while establishing its own procedures “to list those specific activities which
fall within each of the exempt classes”, and the District has adopted “CEQA Guidelines and Implementing Procedures” that state on page
6 “”Projects” does not include …. C. Continuing administrative or maintenance activities.”
Financial Review
The Board of Directors adopted $10,600 for the Shredding Event and $3,000 for the Compost Giveaway Event in the FY2021-22 budget.
The total expenditures for the Shredding and Compost Giveaway Events are $9,171, which includes shredding truck fees, supplies,
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File Attachments
IMG_8809.JPG (4,814 KB)
IMG_8825.JPG (5,218 KB)
Shredding Event.jpg (595 KB)
Shredding Event2.jpg (1,065 KB)
advertisements, and refreshments. In addition, the District paid $3,436 from Solid Waste overtime account for 10 CMSD non-exempt
employees to work the events.
The District did not incur any additional expenses since the City of Costa Mesa provided traffic message boards, a forklift, and 4 event
workers; and CR&R Environmental Services provided 1,680 bags of compost and 8 volunteers plus 1 Senior Sustainability Coordinator,
to work the Compost Giveaway Event.
The total cost for the District to host a free drive-thru Shredding and Compost Giveaway Events for the resident of Costa Mesa is
$12,607.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the July 13, 2022 Citizens Advisory Committee
meeting held at 290 Paularino Avenue, Costa Mesa and posted on the District’s website.
Alternative Actions
1. Direct staff to report back with more information
All matters listed on the consent calendar are considered to be routine and may be acted upon by one motion after
public comment has been received. Only Board of Directors may pull an item for discussion. Reading of resolutions is
waived and they will be adopted and numbered. Now is the time for those in the audience who wish to speak to items
listed on the consent calendar. Each speaker will be limited to four (4) continuous minutes of comment on the consent
calendar as a whole.
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B. ITEM
To: Citizens Advisory Committee
From: Scott Carroll, General Manager
Date: July 13, 2022
Subject: Consider Recommending the Board of Directors Approve 2.8% Rate Adjustment to CR&R Environmental Services
Summary
CR&R Environmental Services is requesting CMSD approve a rate adjustment to offset inflation expenditures.
Recommendation
That the Citizens Advisory Committee considers recommending the Board of Directors approve 2.8% rate adjustment to CR&R
Environmental Services
Analysis
The recommended rate of adjustment of 2.8% is not a reflection of CR&R's current service level as the community is continuing to have
service delays to emptying organics and mixed waste carts, as well as delays for collecting large items. In addition, residents are
experiencing inadequate service levels at CR&R's Customer Service Center where residents complained about being on hold for nearly
an hour and/or being disconnected from the phone line. The service delays is contributed to staffing shortages, equipment breakdowns,
and delays receiving parts and supplies.
The proposed rate adjustment will help offset costs that are beyond CR&R's control such as inflation. The following 12-month to 12-month
inflation for the past five months are as follows. See attachment.
2022
January:7.5%
February:7.4%
March:8.5%
April:7.9%
May:8.0%
If the rate adjustment is approved by the Board of Directors, the additional costs can be absorbed in the District's existing solid waste FY
2022-23 Budget. Residential rates will not have to increase to accommodate the 2.8% rate adjustment.
Legal Review
Not applicable
Environmental Review
Consideration of a consumer price index increase to hauler rates is an administrative matter and not a disturbance of the environment
similar to grading or construction and not a project under CEQA or the District’s CEQA Guidelines.
Financial Review
The District is currently paying CR&R $10.3635 per occupancy for trash hauler, $54.98 per ton for recycling disposal and $75.65 per ton
for organics disposal. If the Board of Directors approves the 2.8% cost of living adjustment, the new rates will be as follows:
Subject 4. Consider Recommending the Board of Directors Approve 2.8% Rate Adjustment
to CR&R Environmental Services
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Action
Recommended Action That the Citizens Advisory Committee considers recommending the Board of Directors
approve 2.8% rate adjustment to CR&R Environmental Services
Goals 2.0 Solid Waste
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The Board of Directors adopted the following budgets for FY 2022-23:
Based on the last two fiscal years’ tonnage trends, staff projects the trash hauler occupancy accounts and the organics tonnage to remain
the same as the adopted budget projections. If the 2.8% COLA is approved, it may cost the District an additional $80,600 in the trash
hauler account and $25,400 in the organics disposal account, totaling $106,000. However, staff projects the recycling disposal tonnage
will slightly decrease. In the event, the recycling disposal tonnage does decrease the District could save $134,600. Therefore, staff
believes the increased expenditure may be absorbed in the existing Solid Waste FY 2022-23 Budget.
Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the July 13, 2022 Citizens Advisory Committee
Meeting at District Headquarters and posted on the District’s website.
Alternative Actions
1. Recommend the Board of Directors approve a rate adjustment that's less than 2.8%.
2. Recommend the Board of Directors does not approve a rate adjustment for CR&R Environmental Services.
File Attachments
CPI.pdf (50 KB)
CRR Rates.jpg (15 KB)
Fy2022-23 CRR Budget.jpg (16 KB)
CRR 2.8.jpg (27 KB)
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B. ITEM
Subject 5. Consider Appointing One Citizens Advisory Committee Member to the Solid Waste
Ad Hoc Committee
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Action
Recommended Action That the Citizens Advisory Committee (CAC) appoint one member to serve on the Solid Waste
Ad Hoc Committee
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B. ITEM
To: Citizens Advisory Committee
From: Scott Carroll, General Manager
Date: July 13, 2022
Subject: Provide Comments and Suggestions to Contract Negotiations Preliminary Deal Points with CR&R Environmental
Services
Summary
Since March 2022, staff and CR&R Environmental Services have been negotiating a new contract to address new regulations pertaining
to SB 1383, California's Short-Lived Climate Pollutant Reduction Strategy. This report will describe the deal points staff and CR&R have
agreed to, but needs Board approval to finalize. Staff anticipates a new contract will be presented to the Board in August 2022 for their
approval consideration.
Recommendation
That the Citizens Advisory Committee provide comments and suggestions to staff regarding contract negotiations preliminary deal points
with CR&R Environmental Services
Analysis
The following have been agreed upon by staff and CR&R Environmental Services
1. Three cart system – CMSD and CR&R agree that the three-cart system will include one black cart (trash), one blue cart
(recyclables) and one green (organics) cart. Residents will have the option to request for a second green cart at no additional
cost. The blue cart will be 90 gallons and residents will have the option to switch their 65-gallon black cart for a 90-gallon black
cart. If residents have two mixed waste carts, one of the carts will be removed and replaced with a blue cart. CMSD and CR&R
agree to rollout the 3-cart system in July 2023.
2. Cart inventory – CR&R will conduct an inventory control program to determine the quantity of carts at each household.
CR&R is performing an inventory control program in Newport Beach where a 3 party is used to audit carts being placed on
the curb. In addition, CR&R is implementing user verification by mailing letters to residents and encouraging them to verify the
quantity of carts in their possession by using an on-line system. Each resident will have a unique account number assigned to
him/her for identity purpose and to log into the system.
3. Liquidated Damages – CMSD and CR&R agree that CMSD can apply liquidated damages to CR&R if more than 23 missed
collections per week occur. Residents placing their carts on the curb after service or the city not notifying CMSD and/or
CR&R about street improvements would not apply for missed collections. We agreed the liquidated damages will be $100 per
home. In addition, CR&R agreed to include in CMSD’s contract the highlighted liquidated damages cited in the City of
Newport Beach contract. See list of liquidated damages in attachment.
4. Community-Wide Citizen Survey - CR&R agrees to pay half of the cost ($20,000) to perform a community-wide citizen
survey every two years.
Subject 6. Provide Comments and Suggestions to Contract Negotiations Preliminary Deal
Points with CR&R Environmental Services
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Action
Recommended Action That the Citizens Advisory Committee provide comments and suggestions to staff regarding
contract negotiations preliminary deal points with CR&R Environmental Services
Goals 2.0 Solid Waste
2.1 Solid Waste - Focus on generating less contaminated materials
2.8 Solid Waste - Recycle green waste and food scraps
rd
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5. SB 1383 Outreach – CR&R will provide direct mailer, cart hangers, knock & talk, lid flipping auditing, to name a few outreach
efforts. In addition, the following terms of the existing contract will be included in the new contract.
CR&R prepares and mails one brochure to residents every 2 years
District receives $35,000 +CPI annually from CR&R to conduct outreach
CR&R dedicates 20 hours a week from CR&R sustainability coordinator on SB 1383
6. New Technology - CR&R would like CMSD to be part of the pilot program for new technology that will allow CMSD staff to
track when carts are emptied. New carts will have an RFID code on them, but CR&R is trying to verify if the current camera
system on their fleet can read the RFID codes.
7. Contamination Fee and Notification Procedures – CMSD and CR&R agreed the notification procedure and fine will be
consistent with administrative fines and protocols for storing trash carts in public view. The procedures will be as follows:
Within a one-year period (12 months), residents will be notified about contamination in their carts.
1. 1 warning - a tag is placed on cart (CMSD recommend using a yellow-colored tag to catch residents’ attention).
2. 2 warning - a tag is placed on cart (CMSD recommends using a red-colored tag).
3. 3 warning – a letter is mailed to residents’ home.
4. If contamination is found in the cart after notifying residents’ three times within a 12-month period, a $75.00 fee will be
issued to the resident. A $150 fee is issued to the resident for a fifth violation within a 12-month period. A $300 fee is
issued to the resident for sixth violation within a 12-month period. A $300 fee will be issued to the resident for every
violation thereafter within a 12-month period. The fee schedule is consistent with CMSD’s Short-Lived Climate
Pollutant Reduction Act ordinance.
CMSD and CR&R agreed to share contamination fee revenues that’s consistent with the existing revenue-sharing agreement for
extra carts (80/20). CMSD receives 80% of the revenues while CR&R receives 20%. The contamination fee still needs to be
determined.
8. Rate Adjustments – CMSD agreed to allow CR&R to request rate adjustments annually. However, to avoid conducting Prop
218 hearings every year, CR&R will submit a five-year rate projection to be considered for Board approval where the COLA is
based on Los Angeles-Long Beach-Anaheim CPI but capped at 5% per year. CR&R must provide documented justification for
the rate adjustment and the rate adjustment cannot compensate losses from liquidated damages that were applied to CR&R, if
any.
9. CR&R’s Performance Review – CMSD will not use the benchmarks earlier this year to approve or deny CR&R’s request for
a rate adjustment. However, CMSD will have the right to deny such request if CR&R receives “Unsatisfactory” in their annual
performance evaluation and/or CMSD cannot afford a rate adjustment.
10. Parameters for Replacing Carts – CMSD and CR&R agree residents can request replacing their carts by making such
request to CR&R.
11. Ancillary services. CR&R keeps 100% of revenues. We currently have no agreement to split revenues and ancillary
services and revenues from this service is not impacting the District’s budget, so CR&R can keep 100% of revenues. L
CR&R is proposing a monthly cost of $24.08 to implement the terms described above. CR&R's proposed cost is a 4% increase from the
FY 2023-24 projected cost described in the Solid Waste Rate Study conducted in February 2019. CR&R's proposed monthly cost does
not include district overhead (e.g. salaries, benefits) and solid waste programs (e.g. battery recycling and sharps program). Staff
estimates the monthly cost would increase $2.60 to cover overhead and special programs, which brings the total monthly cost to $26.68.
Staff is currently evaluating existing staffing levels for the Solid Waste Department that may require the total monthly cost to increase.
Staff will submit our recommendations later this year.
In 2023-24, the solid waste rate will be $24.10 and it will be the last year of the five-year rate adjustment approved by the Board of
Directors on May 23, 2019. A Proposition 218 hearing will need to be conducted prior to any rate adjustments after 2023-24.
Legal Review
Not applicable at this time. District Counsel will review and approved the proposed contract with CR&R Environmental Services.
Environmental Review
Contract negotiations for solid waste services is an administrative matter and not a disturbance of the environment similar to grading or
construction and not a project under CEQA or the District’s CEQA Guidelines.
Financial Review
There are inadequate revenue sources to approve implementing the preliminary agreed upon terms between CR&R and staff. A rate
adjustment will need to be approved by the Board of Directors after conducting a protest hearing in compliance with Proposition 218.
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Public Notice Process
Copies of this report are on file and will be included with the complete agenda packet for the July 13, 2022 Citizens Advisory Committee
Meeting at District Headquarters and posted on the District’s website.
Alternative Actions
1. Direct staff to report back with more information
File Attachments
Proposed Liquidated Damages.docx (22 KB)
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C. CLOSING ITEMS
Subject 1. Committee Member Comments
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Presentation
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C. CLOSING ITEMS
Subject 2. Board/Staff Comments
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Presentation
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C. CLOSING ITEMS
The next Citizens Advisory Committee meeting will be held at 6:00 p.m. on Wednesday, September 14, 2022 in the District's Boardroom,
located at 290 Paularino Avenue, Costa Mesa, CA 92626.
Subject 3. Adjournment
Meeting Jul 13, 2022 - Citizens Advisory Committee Meeting
Access Public
Type Procedural