FINAL MARICOPA COUNTY IGA AMENDMENT 03.31.2019.PDF

CITY OF PHOENIX
INTERGOVERNMENTAL AGREEMENT Public Works Department
AMENDMENT 3 Diversion & Disposal Division
200 W. Washington Street, 6th fl.
Phoenix, AZ 85003
Effective Date 01/1/2018
Solicitation No. N/A
SRM/SAP Contract No. N/A
City Clerk No. 138048
Amendment No. 3
IGA Title Maricopa County IGA for Solid Waste Landfill Disposal and
Processing of Recyclable Materials
Municipality Name Maricopa County
Contact E-mail briankehoe@mail.maricopa.gov
Name Eduardo Rodriguez
Telephone No. (602) 495-7308
Email eduardo.rodriguez@phoenix.gov
THE ABOVE REFERENCED INTERGOVERNMENTAL AGREEEMENT, entered into
on or about January 1, 2014 and amended on December 9, 2015 and February 1,
2017 (Agreement) IS AMENDED (Amendment) AS FOLLOWS:
The term of the Agreement is hereby extended for two (2) years, to commence
retroactively as of January 1, 2018 and expire December 31, 2019. This Agreement is
subject to termination pursuant to the provisions of A.R.S. §38-511.
1. Page 2, “Definitions”, the following verbiage will be added:
“Average Quarterly Outbound Blended Rate” means the average sales price per ton
for all material sorted and sold at the North Gateway MRF during a quarter.
“Processing Fee” means the sum of the processing fee paid to the Material
Recovery Facility processor, revenue share to the processor and any City of
Phoenix operating costs to run the recycling facility not covered by what is paid to
the processor.
“Rejects” means non-recyclable waste that is delivered to the facility which is
segregated from Recyclable materials during processing.
2. Changes to Compensation. As of January 1st, 2019 through the end of the term of
this Amendment, in Section 13, Page 4, “Compensation”, is deleted in its entirety
and replaced with the following:
13. Processing Fee and Shared Revenue
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CITY OF PHOENIX
INTERGOVERNMENTAL AGREEMENT Public Works Department
AMENDMENT 3 Diversion & Disposal Division
200 W. Washington Street, 6th fl.
Phoenix, AZ 85003
13.1. Charge or Rebate. Maricopa County will pay, or receive a credit from,
Phoenix for each ton of Recyclables accepted and processed at the MRFs. The per
ton Processing Fee that Maricopa County pays will be applied against the calculated
Average Quarterly Outbound Blended Rate (AQOBR) per ton shipped by Phoenix
from the MRFs. The AQOBR will be calculated quarterly using the blended rate at the
North Gateway Transfer Station. If the AQOBR is higher than the Processing Fee, the
excess revenue, net of the Processing Fee, will be 50% for the Maricopa County and
50% for the City of Phoenix. An AQOBR that is less than the Processing Fee will result
in a charge to Maricopa County that will not exceed the Processing Fee.
Below is the current price schedule:
Price Schedule
Item No. Description Price Effective Date
07/01/2018-
Item 1 Processing Fee $70.00 per ton
6/30/2019
Q1
Average Quarterly
Item 2 $49.22 per ton 01/01/2019-
Outbound Blended Rate
03/31/2019
Item No. Description Percent Effective Date
35%
07/01/2018-
Item 3 Reject Content $0.00 Credit
6/30/2019
Per Ton
Loads with more than 35% non-recyclable material may be rejected consistent with
Section 8.
AQOBR adjustments will follow the scheduled quarters commencing January 1st,
April 1st, July 1st and October 1st. AQOBR adjustment quarters are defined as
January, February and March (Q1); April, May and June (Q2); July, August and
September (Q3); and October, November and December (Q4). Blended rate
adjustment calculations for January 1st will be per the quarter of July 1st-September
30th; April 1st adjustment will be per the quarter of October 1st-December 31st; July
1st adjustments will per the quarter of January 1st-March 31st; and October 1st
adjustment shall be per the quarter of April 1st through June 30th. Phoenix will
provide the AQOBR in writing to Maricopa County quarterly.
Phoenix will review and adjust the Processing Fee annually, subsequent to the
expiration of the current operating agreement with the MRF operator, and based
solely on a negotiated amount between the MRF Operator and the City of Phoenix.
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CITY OF PHOENIX
INTERGOVERNMENTAL AGREEMENT Public Works Department
AMENDMENT 3 Diversion & Disposal Division
200 W. Washington Street, 6th fl.
Phoenix, AZ 85003
Below is a sample table to be used as a reference to illustrate calculation of potential
future charges and rebates:
Quarterly
Less Recycling
Outbound Audited Reject Rebate = +
Plant Processing
Blended Rate Credit Charge = -
Fee
per Ton
$0.00/ton
No Rebate
$70.00/ton (Audited Reject $-70.00/ton
No Charge
Content 25% to 35%)
$5.00/ton
$56.05/ton (Audited Reject $-70.00/ton $-8.95 Charge
Content 20% to 24%)
$12.00/ton
$+16.00 Rebate
$90.00/ton (Audited Reject $-70.00/ton
(50/50 Revenue Share)
Content 0% to 19%)
13.2 Recycling Rejects. Phoenix will conduct annual audits to determine the reject
level of the inbound material delivered by Maricopa County. Upon consent of Phoenix,
Maricopa County may request additional audits, not more than quarterly, to evaluate the
impact of educational, inspection and enforcement programs to curb reject material.
Reject content is the single biggest factor negatively impacting the value of the material
and cost. Reducing reject content will increase the average quarterly outbound blended
rate per ton calculated as follows:
Audited Reject Content Additional Credit Per Ton
25% to 35% $0.00
20% to 24% $5.00
Up to 19% $12.00
Any loads of Recyclables delivered by Maricopa County that, at the sole discretion of
Phoenix, does not meet the composition or quality standards of the Phoenix Recycles
Program as defined in Exhibit A, will be subject to rejection and charged the transfer
station’s refuse rate which is currently $38.25 per ton.
13.3 Invoices. For months that Maricopa County is required to pay Phoenix for each ton
of Recyclables accepted and processed at the MRF’s, Phoenix will calculate and
invoice Maricopa County by the 25th day of the month for the previous month.
Maricopa County will pay within 30 days of the invoice date. Maricopa County must
maintain compliance with Phoenix’s charge account requirements as defined in
Chapter 27 of the Phoenix City Code where not in conflict with this Agreement.
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CITY OF PHOENIX
INTERGOVERNMENTAL AGREEMENT Public Works Department
AMENDMENT 3 Diversion & Disposal Division
200 W. Washington Street, 6th fl.
Phoenix, AZ 85003
3. Exhibit A, “Guidelines of the “Phoenix Recycles” program”, is amended by replacing
it in its entirety with the following verbiage:
Exhibit A
Guidelines for Phoenix’s Recycling Program
The following chart shows the materials that are acceptable and unacceptable in the recycle container:
Materials Acceptable Unacceptable
Office paper, mail, newspaper,
magazines, catalogs, magazines, Tissue paper, toilet paper, paper towels, napkins,
Paper telephone books, milk/juice cartons, hardback or paperback books, padded envelopes,
juice boxes, paper towel and toilet photographs
paper tubes
Jugs, bottles, jars, cups, containers, Plastic kitchen bags, plastic shopping bags, soft or
Plastic coffee cup lids, flower pots and trays, film plastics, Styrofoam, candy wrappers, chip
plates, clamshells bags, dog food bags
Steel/tin food cans, aluminum
Metal sheets, electronics, car parts, batteries,
Metal beverage cans, party trays, aluminum
propane tanks
foil, clean aluminum pie plates/trays
Boxes (packages and food boxes)-
Cardboard Greasy pizza boxes
broken down, clean pizza boxes
Light bulbs, ceramics, sheets of glass, mirrors,
Glass Bottles, jars
window panes, dishes
Miscellaneous Clothing, textiles, any bagged materials
Tips by category:
Paper
Paper products should be clean and removed from binders, folders and bindings. Paper products like
tissue, napkins and paper towels are not recyclable because their fibers are too short.
Plastic
Keep lids on all plastic bottles. Lids are too small to be recycled separately. No plastic bags of any kind
(even if they have a recycle symbol on them). This includes plastic kitchen bags, plastic shopping bags,
sandwich bags and bubble wrap, etc. These items get wrapped around the machinery and are not
accepted in the recycle container.
Metal
Place metal lids inside of cans
Cardboard
Cardboard is acceptable in the blue container, but greasy pizza boxes are not. Salvage the non-greasy
parts of the pizza box for recycling.
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CITY OF PHOENIX
INTERGOVERNMENTAL AGREEMENT Public Works Department
AMENDMENT 3 Diversion & Disposal Division
200 W. Washington Street, 6th fl.
Phoenix, AZ 85003
Glass
Due to magnet strength for sorting iron metal objects, it is important to remove metal lids from glass jars
and place both separately in your blue recycling container.
General Recycling Protocol
All recyclable material must be relatively clean, dry, empty and uncrushed. No need to excessively wash
recyclables, a quick rinse is sufficient.
Do NOT bag, box or tie recyclables. Keep all recyclables loose. Keep items separate, do not nest.
3. Except as amended herein, all other terms and conditions of the Agreement and any
prior amendments will remain in full force and effect.
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CITY OF PHOENIX
INTERGOVERNMENTAL AGREEMENT Public Works Department
AMENDMENT 3 Diversion & Disposal Division
200 W. Washington Street, 6th fl.
Phoenix, AZ 85003
CITY OF PHOENIX MARICOPA COUNTY
A Municipal Corporation
Ed Zuercher, City Manager
By:__________________________________
Bill Gates,
Chairman of the Board of Supervisors
By:___________________________________
Ginger Spencer, Public Works Director
ATTEST: ATTEST:
By:_________________________________ By:__________________________________
Deputy City Clerk Date Clerk of the Board Date
APPROVED AS TO FORM: APPROVED AS TO FORM:
By:__________________________________ By:__________________________________
City Attorney Date Deputy County Attorney Date
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