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SR-6-B (42) (,-13 , > JAN 1 8 1994 CA:JL:atty\muni\strpts\mtt\srre21 city council Meeting 1-18-94 Santa Monica, California STAFF REPORT TO: Mayor and City Council FROM: City Attorney SUBJECT: ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA REQUIRING PERMITS FOR ENTERPRISES PROVIDING SOLID WASTE, REFUSE OR SOURCE-SEPARATED RECYCLABLE MATERIALS SERVICE At its meeting on January 11, 1994, the city Council introduced for first reading an ordinance requiring permits for enterprises providing solid waste, refuse or source-separated recyclable materials service. The ordinance is now presented to the City Council for adoption. RECOMMENDATION It is respectfully recommended that the accompanying ordinance be adopted. PREPARED BY: Joseph Lawrence, Acting city Attorney Martin T. Tachiki, Chief Deputy City Attorney JAN 1 8 1994 ~-B ~c{) . CA:MT:f:\atty\muni\laws\mtt\srre21 City Council Meeting: 1/18/94 Santa Monica, California ORDINANCE NUMBER 1717 (City council Series) AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SANTA MONICA REQUIRING PERMITS FOR ENTERPRISES PROVIDING SOLID WASTE, REFUSE OR SOURCE-SEPARATED RECYCLABLE MATERIALS SERVICE NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA DOES ORDAIN AS FOLLOWS: SECTION 1. Section 5.08.010 of the Santa Monica Municipal Code is amended to read as follows: Section 5.08.010. Definitions. The following words or phrases as used in this Chapter shall have the following meanings: ( a) Building Rubbish. Buildlng rubbish, is the waste material from construct~on, replacement, remodeling, repair, or demolition of structures, and includes, but is not limited to, such rejected materials and fixtures as earth, stones, bricks, plaster, glass, lumber, rOOfing materials, shingles, concrete, plumbing fixtures, pipes, heating systems, and electrical materials. (b) city. The city of Santa Monica. 1 --- - -- . (c) Commercial Recycling Bin. The term "commercial recycling bin" shall mean any container, bin or receptacle designed for the storage of source-separated recyclable materials. (d) Commercial Refuse Bin. The term "commercial refuse bin" shall mean any container, bin or receptacle, designed for the storage of solid waste by an institutional, industrial or commercial entity. (e) Diversion. The term "diversion" shall mean any activity, existing or occurring in the future, which has been, is, or will be implemented by the City which will result in or promote the diversion of solid waste through source reduction, recycling or composting from solid waste land fills or transformation facilities. (f) Dwelling. A structure or portion thereof which is used principally for residential occupancy. (g) Dwelling Unit. One or more rooms designed, occupied, or intended for occupancy as separate living quarters. (h) Garbage. Garbage is animal and vegetable waste resulting from the handling, 2 ~...- -.---------......------------- - ,- --- ----~ -~- --- preparation, working, and service of food and of a type which originates primarily in kitchens, stores, restaurants, hotels, and other places where food is cooked, stored, or consumed. The term II garbage If shall not include within its meaning food processing wastes from canneries, slaughter houses, packing plants, or similar industries, nor condemned food products or animal shells. (i) Director of General Services shall mean the Director of General Services of the city or his or her designate. (j) Hazardous Waste. Hazardous waste is those substances defined by applicable federal, state or City law or regulation. (k) Industrial Waste. Industrial Waste is solid waste material from factories, processing plants, or other manufacturing enterprises, and shall include, but not be limited to, condemned foods, lumber scraps and shavings, plaster cases, and miscellaneous manufacturing refuse. (1) Qualified Businesses. Qualified Businesses shall mean any business which generates less than one hundred ( 100) kilograms of hazardous waste or less than two 3 (2) kilograms of extremely hazardous waste per month as defined by federal or state law. (m) Recyclable Material. Recyclable material is any waste material which can be reused or reprocessed to produce a useable material or which is designated by the Director of General Services as recyclable material. Recyclable material may include wastes defined as building rubbish, garbage, industrial waste, hazardous waste, or rubbish. (n) Recycling Enterprise. The term II recycling enterprisell shall mean any individual, partnership, joint venture, unincorporated private organization or private corporation providing solely source separated recycling services in the city. (0) Recycling Requirements. The term IIrecycling requirementsll shall mean the obligations imposed by or upon the city pursuant to federal, state or city law, ordinance, resolution, policy, plan or program relative to recycling all, or a portion, of the solid waste generated within the City including, without limitation, state mandates to divert twenty-five percent (25%) of residential and commercial refuse by the year 4 1995 and fifty percent (50%) of residential and commercial refuse by the year 2000, and the provision of City-approved recycling services to all customers. (p) Refuse. Refuse is garbage, rubbish, building rubbish, and industrial waste. (q) Rubbish. Rubbish is paper, cardboard, books, magazines, rags, clothing, paper cartons, wooden crates, wooden boxes, mattresses, rubber, linoleum or asphalt tile, excelsior, carpet sweepings, cut hair, vacuum sweepings, wrapped garbage, grass, weeds, leaves, yard trimmings, and other similar articles or materials; ashes, broken glass, crockery, bottles, tin cans, metal containers, bed springs, metal furniture, miscellaneous metals, and all other similar articles of materials; tree branches, brush, palm fronds, wooden furnlture, and all other similar materials which will burn by contact with flames of ordinary temperature after being dried to proper moisture content or that has not been segregated for source separated recycling handling services. Rubbish shall not include automobile and truck bodies, chassis, and engines. 5 - ---- (r) Solid Waste. The term "solid waste" shall mean all rubbish, garbage, refuse, industrial waste, hazardous wastes, non-source separated recyclable material and building rubbish. (s) Solid Waste Enterprise. The term flsolid waste enterprise" shall mean any individual, partnership, joint venture, unincorporated private organization or private corporation providing solid waste handling services handling services in the city. (t) Solid Waste Handling Serv~ces. The term "solid waste handling services" shall mean the collection, transportation, storage, transfer or processing of solid waste for commercial, institutional, or industrial users or customers and shall include, without limitation, the placement of commercial refuse bins on public property. (u) Source Separated Recycling Handling Services. The term "source separated recycling handling services" shall mean the collection, transportation, storage, transfer or processing of source separated recyclable materials for commercial, institutional or industrial users or customers in order to 6 segregate recyclable materials for recovery or special handling o~ to facilitate the recovery or special handling of source separated recyclable materials. (v) Source Separation. The term "source separation" shall mean the segregation by the generator of the materials designated for separate collection for some form of materials recovery or special handling. (w) Waste Characterization study. The term "waste characterization study" shall mean the Waste Characterization study of the Source Reduction and Recycling Element (" SRRE") adopted by the city on August 4, 1992. SECTION 2. Section 5.08.400 of the Santa Monica Municipal Code is added to read: Section 5.08.400. Purpose and Intent. The City Council finds and declares that regulation of industrial, commercial and institutional solid waste enterprises and industrial, commercial and institutional recycling enterprises is necessary and appropriate in that: (a) The City is required by State law to achieve designated recycling/diversion rates 7 - in the years 1995 and 2000 as well as to prepare a comprehensive study of all residential, commercial, and industrial refuse generated within city limits; (b) The City conducted a Waste Characterization study and adopted a Source Reduction and Recycling Element (SRRE) on August 4, 1992 as a prelude to compliance with state mandated diversion rates of twenty-five percent (25%) in 1995 and fifty percent (50%) in the year 2000. This Chapter will facilitate implementation af the SRRE Plan by conditioning issuance of an enterprise permit on compliance with certain disclosures and performance requirements, and will assist the City in satisfying state mandated diversion criteria. SECTION 3. Section 5.08.410 of the Santa Monica Municipal Code is added to read: section 5.08.410. Enterprise Permit Required. No person, partnership, joint venture, unincorporated private organization or private corporation shall provide solid waste handling services or source separated recycling handling services nor conduct a 8 -- -- - solid waste enterpr1se or a recycling enterprise in the City without first obtaining an enterprise permit pursuant to this Chapter. Nothing herein relieves a solid waste or recycling enterprise from its obligation to obtain all other applicable permits, licenses and approvals required under local, state and federal law. SECTION 4. Section 5.08.420 of the Santa Monica Municipal Code is added to read: Section 5.08.420. Applications. Applications for an enterprise permit shall be submitted on a form provided by the Director of General Services. No enterprise permit shall be issued unless and until the applicant has provided all information requested by the Director of General Services and has complied with Section 5.08.430. The application shall be submitted to the Director of General Services accompanied by the applicable fee which shall be set by Resolutlon of the city Council. SECTION 5. Section 5.08.430 of the Santa Monica Municipal Code is added to read: 9 Section 5.08.430. Issuance of an Enterprise Permit. Issuance of an enterprise permit by the Director of General Services will be based upon the following: (a) Applicant must be a solid waste enterprise or a recycling enterprise; (b) Applicant must complete an application in full and provide all information requested by the Director of General Services; (c) Applicant must agree, in writing, to comply with all current and future regulations promulgated by the Director of General Services, including any special conditions placed upon the enterprise permit by the Director of General Services to insure compliance with the provisions of this Chapter and applicable provisions of state and federal law. (d) Applicant must provide the Director of General Services with evidence of the insurance and performance deposits required by this Chapter or by Resolution of the City Council. (e) If required by Resolution of the City Council, applicants, which provide solid 10 -- waste handling services, must adopt a capacitYI frequency refuse rate structure which is in substantial compliance with the provisions of the applicable Resolution of the city Council. (f) Applicant must provide a minimum weekly baseline service level of one pick-up per week for solid waste handling services. throughout the city. (g) Applicant must provide a minimum baseline serV1ce level of one pick-up per month for source separated recycling handling services. SECTION 6. section 5.08.440 of the Santa Monica Municipal Code is added to read: Section 5.08.440. Administration. The Director of General Services is empowered to adopt regulations governing the administration of this Chapter and the activities of permittees in order to 1mplement the provisions of this Chapter and the applicable Resolutions of the City Council. The regulations adopted by the Director of General Services shall be considered conditions of any 11 enterprise permit issued pursuant to this Chapter. SECTION 7. Section 5.08.450 of the Santa Monica Municipal Code is added to read: Section 5.08.450. Terms and Renewal of Permit. All enterprise permits issued pursuant to this Chapter shall expire on June 30th of each year. However, any enterprise permit issued prior to June 30, 1994 may be issued with an expiration date of June 30, 1995. Enterprise permits may be renewed if the permittee submits an application for renewal at least thirty (30) days prior to the expiration of the enterprise permit on a form prescribed by the Director of General Services accompanied by the applicable fee specified by Resolution of the City Council. The Director of General Services shall renew the enterprise permit if, during the term of the enterprise permit, the permittee has compl1ed with the provisions of this Chapter, the Resolutions of the City Council adopted to implement the provisions of this Chapter, the regulations adopted by the Director of General Services, any special conditions placed upon the enterprise permit and has obtained all 12 --- ------- necessary permits, licenses and other approvals required under this Code or pursuant to state or federal law. SECTION 8. Section 5.08.460 of the Santa Monica Municipal Code is added to read: section 5.08.460. Insurance. Prior to issuing an enterprise permit, and at all times during the period that the enterprise permit is in effect, the perm1ttee shall obtain and maintain the types and minimum amounts of insurance coverage, plus all other requirements, specified by Resolution of the Ci ty Council. SECTION 9. Section 5.08.470 of the Santa Monica Municipal Code is added to read: Section 5.08.470. Performance Deposit. (a) Permittee shall provide City with a certificate of deposit or other form of security acceptable to the City, in the sum specified by Resolution of the City council to insure compliance with the duties and obligations imposed by the provisions of this Chapter. 13 - (b) In lieu of revoking or suspending an enterprise permit, or as a condition of reinstating a previously revoked or suspended enterprise permit, the Director of General Services may stay the revocation or suspension of an enterprise permit or allow the reinstatement of an enterprise permit, if the permittee agrees to the application of the performance deposit, or other form of security, to any costs incurred by the City of Santa Monica arising from violations by a solid waste or recycling enterprise of this Chapter, Resolutions adopted to implement this Chapter, regulations issued by the Director of General Services or any condition of the enterprise permit or any other applicable City, state or federal law or regulation. (c) If the deposit or other form of security is applied by the Director of General Services pursuant to subsection (b) above to the costs incurred by the City arising from a violation by a solid waste or recycling enterprise, the solid waste or recycling enterprise must bring the level of the deposit back to the required amount specified by 14 --- --- - -------- ~~T~.%~ - ----- Resolution of the City Council within thirty (30) days of notification by the city. SECTION 10. section 5.08.480 of the Santa Monica Municipal Code is added to read: Section 5.08.480. Indemnification and Hold Harmless. Each permittee, as a condition of the enterprise permit, shall indemnify, defend, and hold harmless the city, 1ts city council, boards, commissions, officers, agents, employees and volunteers with respect to any loss, liability, injury or damage that arises out of, or is in any way related to, the acts or omissions of permittee, its employees, officers, and agents in the performance of any activity, function, or duty authorized by, or required under the terms of, the enterprise permit. SECTION 11. Section 5.08.490 of the Santa Monica Municipal Code is added to read: Section 5.08.490. Disclosure. A. Each permittee shall, as a condition to the enterprise permit, provide the city with information regarding the solid waste, refuse and source separated recyclable 15 materials collected in the city of Santa Monica in compliance with the reporting format of the Director of General Services. The format and frequency of the reports shall be set forth in regulations adopted by the Director of General Services. The information to be provided shall include, without limitation, the following: 1) A statement of the monthly volume of service by capacity and frequency. 2) Monthly we1ght records of all solid waste, refuse and source separated recyclable materials generated or diverted in the City by category (commercial and industrial) and the landfill or recycling destination of the solid waste, refuse or source separated recyclable materials. 3 ) Copy of any schedule of charges for solid waste handling services, which is mandated by Resolution of the city Council and adopted pursuant to Santa Monica Municipal Code Section 5.08.430(e). 4) Copies of solid waste studies conducted by, or on behalf of, the permittee. 16 ~~- 5) Solid waste enterprises and recycling enterprises shall maintain all records relating to the services provided, including service agreements or contracts, customer lists, billing records, refuse, source separated recyclable commodity or solid waste material destination records and customer complaints for the full term for the service agreement or contract, and an additional period of not less than three (3) years, or any longer period mandated by federal, state or local law. The city shall have the right, upon five (5) business days' advance notice, to inspect and audit all records relating to the enterprise permit. Such records shall be made available to the city at the applicant's regular place of business, or at a location within the County of Los Angeles. B. Each permittee shall provide representative solid waste, refuse or source separated recyclable material loads for sorting by County of Los Angeles and City of Santa Monica solid waste consultants at the 17 times and locations specified in a written request from the Director of General Services. c. Each permittee shall permit access by city or County employees to all locations under the control or supervision of the permittee where solid waste handling services or source separated recycling handling services occur. SECTION 12. Section 5.08.500 of the Santa Monica Municipal Code is added to read: Section 5.08.500. Recyclinq Requirements. Each permittee shall, as a condition to the enterprise permit, comply with all recycling requirements. Upon request of the Director of General Serv1ces, each permittee shall prov~de proof of compliance with any applicable law, ordinance, regulation or special condition of the enterprise permit. SECTION 13. Section 5.08.510 of the Santa Monica Municipal Code is added to read: Section 5.08.510. Revocation, Suspension or Denial of Enterprise Permit. The Director of General Services may revoke, suspend or 18 -,- - -----.---- - -- --- -- ......-:-- --~- -~--= - . deny an enterprise permit, or invoke the provision of Section 5.08.470, for any of the following reasons: (a) Permittee cannot, or has ceased to, comply with the requirements for issuance, maintenance, validity or renewal of an enterprise permit; (b) Permittee cannot, or has failed to, comply with the provisions of this Chapter or Resolutions of the city council adopted to implement this Chapter; (c) Permittee has violated provisions of this Code or other applicable laws. (d) Permittee has violated the regulations adopted by the Director of General services pursuant to the authority granted by this Chapter; or (e) Permittee has failed to comply with any special conditions imposed upon, or made a part of, the enterprise permit. (f) Permittee has failed to provide the minimum level of service mandated by the provisions of this Chapter or set forth in a service agreement or contract between a solid waste enterprise or recycling enterprise and its customer. 19 -- (g) The enterprise permit was issued as a result of a mistake of an officer or employee of the City contrary to the terms of this Code or applicable provisions of state or federal laws or regulations. If a Hearing Examiner finds that such enterprise permit was issued in contravention of this Code or other applicable law, the Hearing Examiner shall order the enterprise permit revoked and the fee for the unexplred port1on of the enterprise permit shall be refunded. After the revocation, all activity for which such enterprise permit was required shall be immediately discontinued. section 13. section 5.08.520 of the Santa Monica Municipal Code is added to read: Section 5.08.520. Right of Appeal. Any solid waste enterprise or recycling enterprise aggrieved by the denial, revocation or suspension of an enterprise permit by the Director of General Services may appeal to a Hearing Examiner in accordance with section 5.08.530. For purposes of this Code, revocation shall include a decision to deny an 20 --- -- - ...------- ~ - -- __~~_r . application to grant, renew or reinstate an enterprise permit. There shall be no right of appeal as to the determination of the amount of any fee or the amount of any bond required by this Chapter or pursuant to any Resolution of the city Council. Section 14. Section 5.08.530 of the Santa Monica Municipal Code is added to read: Section 5.08.530. Appeals (a) A Hearing Examiner appointed by the city Attorney shall hear in accordance with this Section any revocation, suspension or denial arising under Sections 5.08.510 and 5.08.520. (b) Standards. The Hearing Examiner may suspend, revoke or deny an enterprise permit, whenever, in the reasonable judgment of the Hearing Examiner, the suspension, revocat1on or denial are in accordance with this Code and any other applicable law. (c) Rules. The City council may, by Resolution, establish rules for the conduct of the hearing before the Hearing Examiner. In 21 ~ the absence of such rules, the Hearing Examiner shall be governed by those rules generally applicable to administrative proceedings conducted under the Administrative Procedures Act of the state of California. (d) Hearing. Any solid waste enterprise or recycling enterprise aggrieved by an action appealable to a Hearing Examiner shall be entitled to a hearing upon filing a written request therefore with the city Clerk not later than the tenth (10th) day following the mailing of a notice of the action from which the appeal is taken. The Hearing Examiner shall hold a hearing not later then thirty (30 ) days following receipt of the request by the City Clerk, unless an extension of the time therefore is granted by the Hearing Examiner. The solid waste enterprise or recycling enterprise shall be given no less than five (5) days notice of the time and place of said hearing. The hearing shall be open to the public. Any interested party is entitled to be heard and may be represented by counsel. (e) Decision of Hearing Examiner. The decision of the Hearing Examiner shall be made 22 -_--00'"................._ . within forty-five (45) days of the conclusion of the hearing. Notice of the dec1sion shall be mailed to the solid waste enterprise or recycling enterprise at its last known mailing address within fifty (50) days of the conclusion of the hearing. (f) stay Pending Hearing. The suspension or revocation of any enterprise permit for which an appeal has been timely filed w1th the City Clerk, shall be stayed pending the decision of the Hear1ng Examiner. Nothing in this subsection shall be construed to require any officer or employee of the city to issue any enterprise permit. (g) Review of Hearing Examiner's Decision. Thirty (30) days after the Hearing Examiner's decision is delivered or mailed to the affected permittee, the stay of any suspension or revocation shall expire, unless a stay of execution by a court of competent jurisdiction is issued. The Hearing Examiner's decision in all cases is final except for judicial review. Such review must be sought by petition under Code of civil Procedure Section 1094.5, not later than ninety (90) days after the dec1sion is issued. 23 ~.'- SECTION 16. section 5.08.550 of the Santa Monica Municipal Code is added to read: Section 5.08.550. Transfer of an Enterprise Permit. No enterprise permit issued pursuant to the provisions of this Chapter shall be transferable by assignment, sale, hypothecation, operation of law or otherwise without the express written permission of the Director of General Serv1ces. Transfer of an enterprise permit shall include, but not be limited to, the sale or transfer of fifty percent (50%) or more of the ownership or voting rights of a corporate solid waste enterprise or recycling enterprise. SECTION 17. Section 5.08.560 of the Santa Monica Municipal Code is added to read: section 5.08.560. Permit and Fees Not Exclusive. The fees and permits required by this Chapter shall be in addition to any license, permit or fee required by any other Chapter of this Code or other applicable state or federal law. 24 - ------=---- -- - - -..- -~~-- ._.~. . .........-..... - ...- ~----...... - -=7"L"'O"'k_ ~ --- -- ~ - -.... - . . . . Section 18. Any provision of the Santa Monica Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, are hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance. Section 19. If any section, subsection, sentence, clause, or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council hereby declares that it would have passed th1s Ordinance, and each and every section, subsection, sentence, clause, or phrase not declared invalid or unconstitutional without regard to whether any portion of the Ordinance would be subsequently declared invalid or unconstitutional. Section 20. The Mayor shall sign and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption. This Ordinance shall become effective after 30 days from 1ts adoption. APPROVED AS TO FORM: ~~ JOS LAWRENCE Acting city Attorney 25 ~- . . . . Adopted and approved thIS 18th day of January, 1994 Ma~ rBL I hereby certIfy that the foregomg Ordmance No 1717 (CCS) was duly and regularly mtroduced at a meetmg of the CIty CouncIl on the 11th day of January. 1994. that the saId Ordmance was thereafter duly adopted at a meetIng of the CIty CouncIl on the 18th day of January. 1994 by the followmg CouncIl vote Ayes Councllmembers Abdo. Genser, Greenberg, Holbrook. Olsen. Rosenstem, Vazquez Noes' Councllmembers None Abstam CouncIlmembers None Absent. CouncIlmembers: None ATTEST. ~/~~~_ f ,{),~ City Clerk - - - ~r.