Agreement - Michael Balliet - 2023-07-01 (2)AGREEMENT FOR SOLID WASTE CONSULTING SERVICES
This Agreement is made and effective as of July 1, 2023, between the Costa Mesa
Sanitary District, a sanitary district ("District") and Michael Balliet Consulting, LLC, a
Limited Liability Company ("Consultant"). In consideration of the mutual covenants and
conditions set forth herein, the parties agree as follows:
Recitals
WHEREAS, District released a Solid Waste Performance Audit, SB 1383
Compliance Analysis, and Implementation Plan Development Request for Proposal
(RFP) in October 2020;
WHEREAS, Consultant was the only firm to submit a bid for the RFP and
completed the proposal in February 2021 and was awarded the contract;
WHEREAS, Consultant's contract will terminate on June 30, 2022 and the parties
desire to continue to retain Consultant to provide those services; and
WHEREAS, Consultant is knowledgeable about solid waste services and
requirements and the Board of Directors has decided to sole source this agreement to
consultant,
NOW, THEREFORE, the parties hereto do hereby agree as follows:
1. TERM
This Agreement shall commence on July 1, 2023 and shall remain and continue in
effect unless sooner terminated pursuant to the provisions of this Agreement. This
Agreement shall be for a period of two -years from July 1, 2023 to June 30, 2025.
2. SERVICES
Consultant shall provide services to assist District with franchise hauler
compliance, SB 1383 compliance and conduct quarterly waste composition studies
covering all eight mixed waste routes annually. Consultant shall perform the tasks
described and set forth in Exhibit A, attached hereto and incorporated herein as though
set forth in full.
3. PERFORMANCE
Consultant shall at all times faithfully, competently and to the best of its ability, experience,
and talent perform all tasks described herein. Consultant shall employ, at a minimum,
generally accepted standards and practices utilized by persons engaged in providing
similar services as are required of Consultant hereunder in meeting its obligations under
this Agreement. All services described in Exhibit A shall be performed.
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4. PAYMENT
The District agrees to pay Consultant a sum not to exceed $36,540 per year or for
the total of $73,080 for term of the Agreement to assist District with franchise hauler
compliance, SIB 1383 compliance and conduct quarterly waste composition studies
covering all eight mixed waste routes annually and such other tasks as set forth in Exhibit
A. The payment shall identify the tasks performed and deliverables and shall correspond
to the scope of work.
5. SUSPENSION OR TERMINATION OF AGREEMENT
(a) Either party may terminate the Agreement without cause by giving 30 days
notice. In the event of such termination, Consultant shall be entitled to be paid
for work performed up until the time of termination provided the work product is
produced for District's use.
(b) In the event of default, no compensation shall be paid and the Agreement may
be terminated in 5 days provided an opportunity to cure is provided in that time
period.
6. OWNERSHIP OF DOCUMENTS
(a) Consultant shall maintain complete and accurate records with respect
to the project and such other information required by District that relate to the performance
of services under this Agreement. Consultant shall maintain adequate records of services
provided in sufficient detail to permit an evaluation of services. All such records shall be
maintained in accordance with generally accepted accounting principles and shall be
clearly identified and readily accessible. Consultant shall provide free access to the
representatives of District or its designees at reasonable times to such books and records;
shall give District the right to examine and audit said books and records; shall permit
District to make transcripts therefrom as necessary; and shall allow inspection of all work,
data, documents, proceedings and activities related to this Agreement. Such records,
together with supporting documents, shall be maintained for a period of three (3) years
after receipt of final payment.
(b) Upon completion, termination or suspension of this Agreement all other
documents prepared in the course of providing the services to be performed pursuant to
this Agreement shall become the sole property of the District and may be used, reused
or otherwise disposed of by the District without the permission of the Consultant.
7. INDEMNIFICATION
(a) Indemnification for Professional Liability. When the law establishes a
professional standard of care for Consultant's Services, to the fullest extent permitted by
law, Consultant shall indemnify, protect, defend and hold harmless District and any and
all of its officials, employees and agents ("Indemnified Parties") from and against any and
all losses, liabilities, damages, costs and expenses, including attorney's fees and costs
to the extent same are caused in whole or in part by any negligent or wrongful act, error
or omission of Consultant, its officers, agents, employees or subconsultants (or any entity
or individual that Consultant shall bear the legal liability thereof) in the performance of
professional services under this Agreement.
(b) Indemnification for Other Than Professional Liability. Other than in the
performance of professional services and to the full extent permitted by law, Consultant
shall indemnify, defend and hold harmless District, and any and all of its employees,
officials and agents from and against any liability (including liability for claims, suits,
actions, arbitration proceedings, administrative proceedings, regulatory proceedings,
loses, expenses or costs of any kind, whether actual, alleged or threatened, including
attorneys fees and costs, court costs, interest, defense costs and expert witness fees),
where the same arise out of, are a consequence of, or are in any way attributable to, in
whole or in part, the performance of this Agreement by Consultant or by any individual or
entity for which Consultant is legally liable, including but not limited to officers, agents,
employees or subconsultants of Consultant.
Consultant shall maintain prior to the beginning of and for the duration of this
Agreement insurance coverage as specified in Exhibit "B" attached to and part of this
Agreement. Such insurance shall include commercial general liability, and current
automotive and worker's compensation. A certificate of insurance shall be submitted.
9. INDEPENDENT CONSULTANT
(a) Consultant is and shall at all times remain as to the District a wholly
independent Consultant. The personnel performing the services under this Agreement on
behalf of Consultant shall at all times be under Consultant's exclusive direction and
control. Neither District nor any of its officers, employees, or agents shall have control
over the conduct of Consultant or any of Consultant's officers, employees, or agents,
except as set forth in this Agreement.
(b) No employee benefits shall be available to Consultant in connection with the
performance of this Agreement. Except for the fees paid to Consultant as provided in the
Agreement, District shall not pay salaries, wages, or other compensation to Consultant
for performing services hereunder for District. District shall not be liable for compensation
or indemnification to Consultant for injury or sickness arising out of performing services
hereunder. In addition to the indemnity provisions in Paragraph 7, Consultant shall
indemnify District for any claims that any officer, agent or employee of Consultant is
eligible for pension or other fringe benefits provided to District's employees.
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10. LEGAL RESPONSIBILITIES
The Consultant shall keep itself informed of State and Federal laws and
regulations, which in any manner affect those employed by it or in any way affect the
performance of its service pursuant to this Agreement. The Consultant shall at all times
observe and comply with all such laws and regulations. The District, and its officers and
employees, shall not be liable at law or in equity occasioned by failure of the Consultant
to comply with this Section.
11. UNDUE INFLUENCE
Consultant declares and warrants that no undue influence or pressure has been
used against or in concert with any officer or employee of the Costa Mesa Sanitary District
in connection with the award, terms or implementation of this Agreement, including any
method of coercion, confidential financial arrangement or financial inducement. No officer
or employee of the Costa Mesa Sanitary District will receive compensation, directly or
indirectly, from Consultant, or from any officer, employee or agent of Consultant, in
connection with the award of this Agreement or any work to be conducted as a result of
this Agreement. Violation of this Section shall be a material breach of this Agreement
entitling the District to any and all remedies at law or in equity.
12. NO BENEFIT TO ARISE TO LOCAL EMPLOYEES
No member, officer, or employee of District, or their designees or agents, and no
public official who exercises authority over or responsibilities with respect to any project
during his/her tenure or for one year thereafter, shall have any interest, direct or indirect,
in any agreement or sub -agreement, or the proceed thereof, for work to be performed in
connection with the project performed under this Agreement.
13. RELEASE OF INFORMATION / CONFLICTS OF INTEREST
(a) All information gained by Consultant in performance of this Agreement shall be
considered confidential and shall not be released by Consultant without District's prior
written authorization. Consultant, its officers, employees, agents or subconsultants, shall
not without written authorization from the District Manager or unless requested by the
District Counsel, voluntarily provide declarations, letters of support, testimony at
depositions, response to interrogatories, or other information concerning the work
performed under this Agreement or relating to any project or property located within the
District. Response to a subpoena or court order shall not be considered "voluntary"
provided Consultant gives District notice of such court order or subpoena.
(b) Consultant shall promptly notify District should Consultant, its officers,
employees, agents or subconsultants be served with any summons, complaint,
subpoena, notice of deposition, request for documents, interrogatories, requests for
admissions, or other discovery request, court order, or subpoena from any person or party
regarding this Agreement and the work performed thereunder or with respect to any
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project or property located within the District. District retains the right, but has no
obligation, to represent Consultant and/or be present at any deposition, hearing, or similar
proceeding. Consultant agrees to cooperate fully with District and to provide the
opportunity to review any response to discovery requests provided by Consultant.
However, District's right to review any such response does not imply or mean the right by
District to control, direct, or rewrite said response.
14. NOTICES
Any notices which either party may desire to give to the other party under this
Agreement must be in writing and may be given either by (i) personal service, (ii) delivery
by a reputable document delivery service, such as but not limited to, Federal Express,
which provides a receipt showing date and time of delivery, or (iii) mailing in the United
States Mail, certified mail, postage prepaid, return receipt requested, addressed to the
address of the party as set forth below or at any other address as that party may later
designate by notice:
To District: Costa Mesa Sanitary District
290 Paularino Avenue
Costa Mesa. California 92626
Attn: General Manager
To Consultant: Michael Balliet Consulting, LLC
30181 Outpost Road
San Juan Capistrano, CA 92675
Attn: Michael L. Balliet
15. ASSIGNMENT
The Consultant shall not assign the performance of this Agreement, nor any part
thereof, nor any monies due hereunder, without prior written consent of the District.
16. LICENSES
At all times during the term of this Agreement, Consultant shall have in full force
and effect, all licenses required of it by law for the performance of the services described
in this Agreement.
17. GOVERNING LAW
The District and Consultant understand and agree that the laws of the State of
California shall govern the rights, obligations, duties and liabilities of the parties to this
Agreement and also govern the interpretation of this Agreement. Any litigation concerning
this Agreement shall take place in the municipal, superior or federal district court with
jurisdiction over the Costa Mesa Sanitary District.
18. ENTIRE AGREEMENT
This Agreement contains the entire understanding between the parties relating to
the obligations of the parties described in this Agreement. All prior or contemporaneous
agreements, understandings, representations, and statements, oral or written, are
merged into this Agreement and shall be of no further force or effect. Each party is
entering into this Agreement based solely upon the representations set forth herein and
upon each party's own independent investigation of any and all facts such party deems
material.
19. AUTHORITY TO EXECUTE THIS AGREEMENT
The person or persons executing this Agreement on behalf of Consultant warrants
and represents that he/she has the authority to execute this Agreement on behalf of the
Consultant and has the authority to bind Consultant to the performance of its obligations
hereunder.
20. INTERPRETATION
In the event of conflict or inconsistency between this Agreement and any other
document, including any proposal or Exhibit hereto, this Agreement shall control unless
a contrary intent is clearly stated.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed
the day and year first above written.
COSTA MESA SANITARY DISTRICT
Generai Manager
APPROVED AS TO FORM:
District Counsel
CONSULTANT
Michael Ba liet Consultin , LLC
resident
Exhibit A
MBC
MICHAEL BALLIET CONSULTING
January 28, 2023
Nabila Guzman
Management Analyst
Costa Mesa Sanitary District
290 Paularino Avenue
Costa Mesa, CA 92626
VIA ELECTRONIC MAIL
Re: Proposal — Annual Compliance Consulting Services
Nabila:
I am very interested in continuing my work with the Costa Mesa Sanitary District (CMSD)
and believe my firm can provide beneficial assistance through a scope of work that is
similar to our current agreement. My suggested annual budget amount is $36,540 which is
discussed later in this letter proposal.
The three distinct areas of ongoing assistance would remain the same and include: 1)
franchise hauler compliance, including revised monitoringtreporting and contract issue
resolution; 2) SB 1383 and related regulatory compliance consulting to help the CMSD
deal with this continuing regulatory burden; and 3) quarterly waste composition studies
covering all eight (8) mixed waste routes annually.
Franchise Hauler Monitorine
• Develop revised reporting procedures as needed and focus implementing a
complete quarterly review process of all former annual review areas on a
"calendared" schedule. This will include routing and collection, processing facility
diversion efficiency and contamination measurements, contamination by routes
(CR&R internal studies), waste composition and characterization reviews, and
monitoring customer service issues/resolution. Work to refine their 4' quarter
summary report to incorporate all new contracted responsibilities as they develop.
• Perform an annual detailed rate review of CR&R customers, along with a
Countywide survey, to establish true value of rates.
• Review and advise on contract performance issues and cited concerns and
deficiencies.
• Assist with and/or advise on CalRecycle compliance issues and any new regulations
and/or clarification of expectations on activities delegated to CR&R.
• Attendance at scheduled hauler meetings as needed.
Annual Compliance Assistance Project Proposal
• On call assistance to CMSD management and staff on all hauling and regulatory
issues involving CR&R and their service to the District.
SB 1383 and other Regulatory Compliance Consulting
• Assist with implementation and monitoring of SB 1383 measures.
• Provide reports and advice on legislative changes related to solid waste.
• Assist in preparing required notices and coordinate contamination monitoring
protocol.
• Assist with "high diversion rate" facility issues in the interim, until full 3-cart
transition is in effect. Work to ensure diversion activities for the two -cart system
remain in at reasonable levels and assist in responding to CalRecycle issues (if any).
• Assist the CMSD staff in refining and executing its overall compliance strategy.
• Assist in report preparation and attend CMSD Board and committee meetings as
needed.
• On call assistance to CMSD staff for any compliance or franchise question/issue.
Quarterly Waste Composition Studies
• Coordinate load selection and sorting assistance procedures with CR&R.
• Schedule and conduct random samplings of two different mixed waste collection
loads each quarter. Over the course of the contract year each of the eight (8) routes
will have load samples examined.
• Oversee sorting, weighing and categorizing each load into general trash,
recoverable recyclables, and organic waste fractions. Within the organic waste
fraction we will segregate and measure both food waste and green waste to help
identify where expanding outreach/education is needed.
In general, these are the activities will continue to ensure effective and compliant
performance by CR&R and ensure CMSD monitoring and reporting procedures effectively
demonstrate your SB 1383 compliance. The proposed scope of work is very similar to
existing activities. However, now that negotiation activities have abated, we recommend
focusing on developing a compliance calendar and refining CR&R activities and reporting
measures to meet the schedule CMSD desires. We suggest meeting with CR&R to kick-
off this process prior to or early in the new contract period.
The annual project budget we propose is slightly altered based upon new costs and lessons
learned in our current project work. We are slightly increasing estimated project hours to
an average of 17 per -month but are removing the contingency figure of $1,100 used
previously. Due to some significant increases in our costs of doing business we must
increase our hourly rate to $135. However, we are able to reduce the cost of quarterly waste
composition studies to $2,250 to help offset the impact of our hourly fee increase.
In total, our proposed annual cost of service is $36,540. We will honor this same annual
pricing level should the CMSD wish to make this a two-year contract.
2 1 Annual Compliance Assistance Project Proposal
Thank you for the continued opportunity to provide consulting work for the Costa Mesa
Sanitary District and let me know if you require revisions to the proposed scope of work
to work within your upcoming budgets.
Sincerely,
Submitted via email on 112812023
Michael L. Balliet
Michael Balliet Consulting, LLC
Annual Compliance Assistance Project Proposal
Exhibit B - Insurance Requirements
(1). Minimum Scope of Insurance. Coverage shall be at least as broad as the latest
version of the following: (1) General Liability: Insurance Services Office Commercial
General Liability coverage (occurrence form CG 0001); (2) Automobile Liability: Insurance
Services Office Business Auto Coverage form number CA 0001, code 1 (any auto); and
(3) Workers' Compensation and Employer's Liability: Workers' Compensation insurance
as required by the State of California and Employer's Liability Insurance.
(2). Minimum Limits of Insurance. Applicants shall maintain limits no less than: (1)
General Liability: $1,000,000 peroccurrence for bodily injury, personal injury and property
damage. (2) Automobile Liability: $1,000,000 per accident for bodily injury and property
damage; and (3) Workers' Compensation and Employer's Liability: Workers'
Compensation limits as required by the Labor Code of the State of California. Employer's
Liability limits of $1,000,000 per accident for bodily injury or disease.
(3) Insurance Endorsements. The insurance policies shall contain the following
provisions, or Applicant shall provide endorsements on forms supplied or approved by
the District to add the following provisions to the insurance policies:
(A) General Liability. The general liability policy shall be endorsed to state
that: (1) the District, its directors, officials, officers, employees, agents and volunteers
shall be covered as additional insured with respect to the Work or operations performed
by or on behalf of the Applicant, including materials, parts or equipment furnished in
connection with such work; and (2) the insurance coverage shall be primary insurance as
respects the District, its directors, officials, officers, employees, agents and volunteers, or
if excess, shall stand in an unbroken chain of coverage excess of the Applicant's
scheduled underlying coverage. Any insurance or self-insurance maintained by the
District, its directors, officials, officers, employees, agents and volunteers shall be excess
of the Applicant's insurance and shall not be called upon to contribute with it in any way.
(B) Automobile Liability. The automobile liability policy shall be
endorsed to state that: (1) the District, its directors, officials, officers, employees, agents
and volunteers shall be covered as additional insureds with respect to the ownership,
operation, maintenance, use, loading or unloading of any auto owned, leased, hired or
borrowed by the Applicant or for which the Applicant is responsible; and (2) the insurance
coverage shall be primary insurance as respects the District, its directors, officials,
officers, employees, agents and volunteers, or if excess, shall stand in an unbroken chain
of coverage excess of the Applicant's scheduled underlying coverage. Any insurance or
self-insurance maintained by the District, its directors, officials, officers, employees,
agents and volunteers shall be excess of the Applicant's insurance and shall not be called
upon to contribute with it in any way.
(C) Workers' Compensation and Employers Liability Coverage. The
insurer shall agree to waive all rights of subrogation against the District, its directors,
officials, officers, employees, agents and volunteers for losses paid under the terms of
the insurance policy which arise from work performed by the Applicant
(D) All Coverages. Each insurance policy required shall be endorsed to
state that: (A) coverage shall not be suspended, voided, reduced or canceled except
after thirty (30) days prior written notice by certified mail, return receipt requested, has
been given to the District; and (B) any failure to comply with reporting or other provisions
of the policies, including breaches of warranties, shall not affect coverage provided to the
District, its directors, officials, officers, employees, agents and volunteers.
(4) Acceptability of Insurers. Insurance is to be placed with insurers with a
current A.M. Best's rating no less than A- or better, licensed to do business in California,
and satisfactory to the District.