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HomeMy WebLinkAboutOrdinance No. 2022-05 ORDINANCE NO. 2022-05 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF FRIENDSWOOD, TEXAS, GRANTING TO WASTE CONNECTIONS OF TEXAS THE RIGHT, PRIVILEGE, AND FRANCHISE TO PROVIDE FOR THE COLLECTION, HAULING, RECYCLING, AND DISPOSAL OF MUNICIPAL SOLID WASTE AND RECYCLABLE MATERIALS IN THE CITY OF FRIENDSWOOD, TEXAS; PRESCRIBING COMPENSATION FOR THE RIGHT, PRIVILEGE, AND FRANCHISE CONFERRED HEREUNDER; CONTAINING OTHER PROVISIONS RELATED THERETO; PROVIDING A REPEALING CLAUSE; CONTAINING A SAVINGS CLAUSE; AND PROVIDING FOR THE PUBLICATION AND EFFECTIVE DATE HEREOF. WHEREAS, the City of Friendswood is authorized to regulate and provide solid waste collection, corporate hauling recycling, p p, rec clin , and disposal services within its orate limits; under terms and conditions deemed appropriate by the City Council; and WHEREAS, the City Council hereby finds that it is necessary and appropriate to enter into this franchise agreement with Waste Connections of Texas for the collection, hauling, recycling, and disposal of municipal solid waste and recyclable materials in order to protect and preserve the public health and safety of the citizens of the City of Friendswood, and that such purpose requires prompt unrestrained action by the City Council; and WHEREAS, the City Council desires to enter into a franchise agreement with Waste Connections of Texas for the collection, hauling, recycling, and disposal of municipal solid waste and recyclable materials;NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FRIENDSWOOD, STATE OF TEXAS: Section 1. The facts and matters set forth in the preamble of this ordinance are hereby found to be true and correct and are hereby adopted by the City Council of the City of Friendswood,Texas. Section 2. The City Council hereby grants the franchise described in Section 3 hereof to Waste Connections of Texas for the collection, hauling, recycling, and disposal of municipal solid waste and recyclable materials. Section 3. The City Council hereby authorizes the Mayor to execute the Franchise Agreement for the Collection, Hauling, Recycling, and Disposal of Municipal Solid Waste and Recyclable Materials in the City of Friendswood, which is attached hereto as Exhibit "A" and incorporated herein for all intents and purposes. Section 4. In the event any clause phrase, provision, sentence, or part of this ordinance or the application of the same to any person or circumstances shall for any reason be adjudged invalid or held unconstitutional by a court of competent jurisdiction, it shall not affect, impair, or invalidate this ordinance as a whole or any part of provision hereof other than the part declared to be invalid or unconstitutional; and the City Council of the City of Friendswood, Texas, declares that it would have passed each and every part of the same notwithstanding the omission of any such part thus declared to be invalid or unconstitutional,whether there be one or more parts. Section 5. All ordinances or parts of ordinances in conflict or inconsistent with this Ordinance are hereby expressly repealed. Section 6. The work and activity done in connection with the franchise granted hereunder shall be subject to and governed by all present and future federal, state, and local laws, rules, and regulations. Section 7. That this ordinance, having been published in accordance with Section 9.03 of the Charter of the City of Friendswood, shall take effect and be in force immediately after its final reading. PASSED and APPROVED on first reading this 9`'day of February,2022. W�� MI ORE N,Mayor ATTE L ICIA BRYSCH,City Secreta FRIENDS O _ = �O APPROVED AS TO FORM: U * CO s��Te o� KAREN HORNER,City Attorney PASSED,APPROVED and ADOPTED on second and final reading this 7' day of March,2022. O ayor ATTES o f FRIEA/�S' LE CIA BRYSCH, City Se cr 'i'• O APPROVED AS TO FORM: 9TF O�� F ,. KARN HORNER City Attorney HACity Council\Ordinances\2022\02-09-2022\Franchise Agreement.docx 2 Exhibit "A" FRANCHISE AGREEMENT FOR THE COLLECTION, HAULING, RECYCLING AND DISPOSAL OF MUNICIPAL SOLID WASTE AND RECYCLABLE MATERIALS IN THE CITY OF FRIENDSWOOD, TEXAS STATE OF TEXAS § COUNTY OF GALVESTON § This Franchise Agreement(this"Agreement")is made and entered into as of the day of May 2022, by and between Waste Connections of Texas, LLC, d/b/a Waste Connections of Texas, a Delaware limited liability company (the"Service Provider"),and the City of Friendswood,Texas(the"City")to grant to the Service Provider the franchise, license and privilege to collect, haul and recycle or dispose of Municipal Solid Waste and Recyclable Materials (as such terms are defined herein) within the City's corporate limits subject to all applicable federal,state,and local laws. 1. Defined Terms. The following terms,as used herein,shall have the meanings ascribed to them in this section,except where the context clearly indicates a different meaning: Automated Collection Service means the collection of garbage or trash with the use of a Standard Automated Side-Loader Truck. Automated Service Container means a rolling, molded plastic container, issued by the Service Provider, equipped with a lid, capable of holding not more than 95 gallons, and designed to be collected by means of a Standard Automated Side-Loader Truck operated by a single person without the necessity of leaving the cab of such truck. Bag means a plastic sack, secured at the top, designed to store refuse with sufficient wall strength to maintain physical integrity when lifted by the top. Bulky Item means any item not measuring in excess of either forty-eight (48) inches in length or fifty(50) pounds in weight, including, but not limited to, refrigerators, stoves, washing machines,water tanks,chairs,couches, and other similar household items. Bundles means items not measuring in excess of either forty-eight(48)inches in length or fifty(50)pounds in weight and which are securely fastened together,including,but not limited to, brush,newspapers,and tree trimmings. Business Day means any day that is not a Saturday,a Sunday,or a Holiday. Calendar Year means the period beginning January 1 and ending on the succeeding December 31. City Manager means the City Manager of the City of Friendswood or his designated representative. Commercial Unit means any non-manufacturing commercial facility that generates and accumulates Municipal Solid Waste during,or as a result of,its business,including,but not limited to,restaurants,stores,and warehouses. Franchise Agreement Page 1 Construction and Demolition Waste means Solid Waste resulting from construction or demolition activities or that is directly or indirectly the by-product of such activities,including,but not limited to,cartons, concrete,excelsior,gypsum board,metal,paper,plastic,rubber,and wood products.Construction and Demolition Waste does not include Hazardous Waste,Municipal Solid Waste,Recyclable Materials or Bulky Items. Container means any receptacle,designed to hold between eighteen(18)gallons and forty (40) cubic yards of Solid Waste and utilized by a Commercial, Industrial or Residential Unit for collecting Municipal Solid Waste, Construction and Demolition Waste or Recyclable Materials. The term "container" includes,but is not limited to,dumpsters,Roll-Offs and Roll-Outs. Contract Year means the period beginning April 1 and ending on the succeeding March 31. Curbline means an imaginary line drawn along the edge of the pavement on either side of a public street. The term"Curbline"shall include the area three(3)feet beyond said imaginary line on the residents'side of the line. Green Waste means items derived from plants such as grass, leaves, tree trimmings, and branches. The term"Green Waste"does not include any item exceeding four(4)inches in diameter or 48 inches in length.Green Waste must be placed in paper bags or Bundles. Handicapped Residential Unit means any residential dwelling that is inhabited by persons, all of whom are physically handicapped to the extent that they are unable to place Municipal Solid Waste or Recyclable Materials at the curbside,and that generates and accumulates Municipal Solid Waste and Recyclable Materials.The identities of the members of a Handicapped Residential Unit shall be certified by the City Manager. Hazardous Waste means Waste identified or listed as a hazardous waste by the administrator of the United States Environmental Protection Agency(EPA)under the federal Solid Waste Disposal Act, as amended by the Resource Conservation and Recovery Act of 1976, as amended, or so classified by any federal or State of Texas statute, rule, order, or regulation, including but not limited to radioactive, volatile, corrosive, highly flammable, explosive, biomedical,infectious,biohazardous,toxic or hazardous material. Holidays means the following days: (1) New Year's Day(January 1 st), (2) Memorial Day, (3) Independence Day(July 4th), (4) Labor Day, (5) Thanksgiving Day,and (6) Christmas Day(December 25th). Industrial Unit means any manufacturing, mining, or agricultural facility that generates and accumulates Municipal Solid Waste during,or as a result of,its operations. Landfill means any facility or area of land receiving Municipal Solid Waste or Construction and Demolition Waste and operating under the regulation and authority of the Texas Commission on Environmental Quality("TCEQ")within the State of Texas,or the appropriate governing agency for landfills located outside the State of Texas. Franchise Agreement,Page 2 Multi-Family Residential Unit means any residential dwelling that is designed for, and inhabited by,multiple family units and that generates and accumulates Municipal Solid Waste and Recyclable Materials. Municipal Solid Waste means Solid Waste resulting from or incidental to municipal, community, commercial, institutional, or recreational activities, or manufacturing, mining, or agricultural operations. The term "Municipal Solid Waste" does not include and specifically excludes Construction and Demolition Waste or Hazardous Waste. Recyclable Materials means (1) Newspapers, magazines, and catalogs, and other paper items such as mail, paper bags,or other paper; (2) Glass bottles and jars (excluding mirrors, windows, ceramics, and other glass products); (3) Metal cans composed of tin, steel,or aluminum(excluding scrap metal);and (4) Plastic containers including all varieties of the types designated as#1,#2,#3,#4, #5 and V. Recycling Bin means a Container with eighteen (18)gallons of capacity and provided by the Service Provider for the collection of Recyclable Materials. Recycling Cart means a Roll-Out provided by the Service Provider for the collection of Recyclable Materials. Residential Unit means any residential dwelling that is either a Single-Family Residential Unit or a Multi-Family Residential Unit. yards to forty 40 cubic yards of Roll-Offmeans a Container with twenty 20 cubic rty ( ) y tY ( ) capacity. Roll-Out means a Container with ninety-six(96)gallons of capacity. Single-Family Residential Unit means any residential dwelling that is designed for and inhabited by a single person or family unit and that generates and accumulates Municipal Solid Waste and Recyclable Materials. Solid Waste has the meaning ascribed to it by the EPA under 40 C.F.R. §261.2(a)(1),or by the State of Texas under the Solid Waste Disposal Act§361.003(34)whether such waste is mixed with or constitutes Recyclable Materials. Standard Automated Side-Loader Truck means a truck manufactured or configured to permit the driver to collect the garbage and rubbish from Automated Service Containers,placed at the Curbline, by means of a mechanical device operated by the driver without the necessity of leaving the cab of the truck. White Good means any item not measuring in excess of either three (3)cubic feet in size or fifty (50) pounds in weight and that is manufactured primarily from metal, including, but not limited to,a bathtub,heater,hot water heater,refrigerator, sink,or washer and dryer. Franchise Agreement,Page 3 2. Franchise Grant. The City hereby grants to the Service Provider, in accordance with the City's charter, ordinances, and regulations governing the collection, hauling, recycling, and disposal of Municipal Solid Waste and Recyclable Materials,the franchise,license and privilege to collect,haul,and recycle or dispose of Municipal Solid Waste and Recyclable Materials over,upon,along and across the City's present and future streets,alleys,bridges and public properties,and acknowledges and agrees that, to the extent allowed by law,the Service Provider shall be the sole provider of such Services. The Service Provider accepts such franchise and agrees to perform all work and services herein in a timely manner with the care and skill ordinarily used by other providers practicing under the same or similar circumstances, time, and locality. Service Provider may independently enforce the exclusivity provisions of the Agreement against third-party violators,including,but not limited to, seeking injunctive relief and/or damages. 3. Operations. (a) Scope of Operations. It is expressly understood and agreed that the Service Provider will collect,haul and recycle or dispose of all Municipal Solid Waste and Recyclable Materials (as provided herein) (i) generated and accumulated by Commercial, Industrial and Residential Units, and (ii) placed within Containers or Bags by those Commercial, Industrial and Residential Units receiving the services of the Service Provider(or otherwise generated and accumulated in the manner herein provided by those Commercial Units, Industrial Units and Residential Units), all within the City's corporate limits, as they now exist or are hereinafter amended during the term of this Agreement(the"Services"). (b) Nature of Operations. The City hereby grants to the Service Provider, in accordance with the City's ordinances and regulations governing the collection, hauling, and recycling or disposal of Municipal Solid Waste and Recyclable Materials,the title to all Municipal Solid Waste and Recyclable Materials collected, hauled, and recycled or disposed of by the Service Provider over,upon, along and across the City's present and future streets, alleys, bridges and public properties. All title to and liability for materials excluded from this Agreement shall remain with the generator of such materials. 4. Single-Family Residential Unit Collections. (a) Single-Family Residential Units.The Service Provider will collect Municipal Solid Waste from Single-Family Residential Units twice per week; provided, that (i) such Municipal Solid Waste is placed in Containers not exceeding thirty-two (32) gallons or fifty (50) pounds or Bags not exceeding 50 pounds, and (ii) such Containers and Bags are placed within five (5) feet of the curbside or right-of-way adjacent to the Single-Family Residential Unit no later than 7:00 a.m.on the scheduled collection day.Except as provided in Section 4(d),the Service Provider shall not be responsible for providing Containers for the collection of Municipal Solid Waste to Single-Family Residential Units. The Service Provider shall not be responsible for any damage to a Single-Family Residential Unit's Container that is not caused by the negligence of the Service Provider. The Service Provider will collect Recyclable Materials from Single-Family Residential Units once per week;provided,that(i)such Recyclable Materials are placed in Recycling Bins or Recycling Carts,and(ii)such Recycling Bins or Recycling Carts are placed within five(5)feet of the curbside or right-of-way adjacent to the Single-Family Residential Unit no later than 7:00 a.m.on the scheduled collection day.The Service Provider shall only be responsible for the collection of Recyclable Materials placed in Recycling Bins or Franchise Agreement,Page 4 Recycling Carts.Any Single-Family Residential Unit that generates Recyclable Materials in an amount greater than the capacity of two(2)Recycling Bins will be required to utilize Recycling Carts. The Service Provider shall be compensated for this additional service as provided for in Section 9(a)hereto.Single-Family Residential Units must comply with any description of and/or procedures with respect to removal of contaminants or preparation of Recyclable Materials as reasonably provided by Service Provider. If any Single-Family Residential Unit fails to do so, Service Provider may decline to collect such materials as Recyclable Materials and collect and dispose of the same as Municipal Solid Waste without being in breach of the Agreement.Service Provider shall not be responsible for and has not made any representation regarding the ultimate recycling of such Recyclable Materials by any third-party facilities. (b) Excess or Misplaced Municipal Solid Waste. The Service Provider shall only be required to collect a maximum of either two(2)Recycling Bins or one(1)Recycling Cart from any Single-Family Residential Unit. Additionally, the Service Provider shall only be responsible for collecting, hauling, and recycling or disposing of Municipal Solid Waste and Recyclable Materials placed inside the Containers or Bags.Municipal Solid Waste and Recyclable Materials in excess of the maximum aggregate limit above, in excess of the Containers' or Bags' limits, or placed outside or adjacent to the Containers or Bags will not be collected by the Service Provider. However, such excess or misplaced Municipal Solid Waste and Recyclable Materials may be collected on occasion and within reason due to Holidays or other extraordinary circumstances as determined by the Service Provider in its sole discretion. (c) Handicapped Residential Units. Notwithstanding anything to the contrary contained herein, the Service Provider agrees to assist Handicapped Residential Units with house- side collection of their Containers; provided, that the Service Provider receives prior written notice from the Handicapped Residential Unit of such special need. (d) Automated Collection Service. From May 1, 2022, to December 31, 2022, the Service Provider shall collect Municipal Solid Waste from certain Single-Family Residential Units designated by the City Manager twice per week via a Standard Automated Side-Loader Truck; provided, that such Municipal Solid Waste is placed in an Automated Service Container within the Curbline no later than 7:00 a.m.on the scheduled collection day.The Service Provider shall be responsible for providing Automated Service Containers for the collection of Municipal Solid Waste to Single-Family Residential Units designated by the City Manager.It is expressly understood and agreed that the Automated Collection Service may be terminated upon written notice by the City Manager; provided such service has h designated Single-Family Residential Units for at least been continuously provided tote gn g y six(6)months. If terminated the designated Single-Family Residential Units shall receive Services in accordance with the remaining provisions of this Section 4. 5. Commercial,Industrial and Multi-Family Residential Unit Collections. The Service Provider will collect Municipal Solid Waste and Recyclable Materials from Commercial, Industrial and Multi-Family Residential Units up to six (6) times per week, as provided for in Section 9(b)hereof. The Service Provider shall only be responsible for collecting, hauling, and recycling or disposing of Municipal Solid Waste and Recyclable Materials placed inside the Containers provided by the Service Provider. However, the Service Provider shall be obligated to offer and provide sufficient service to Commercial, Industrial and Multi-Family Residential Units,and to increase or decrease,as necessary,the frequency of collection and the size or number of Containers so that Commercial, Industrial or Multi-Family Units' Municipal Solid Franchise Agreement,Page 5 Waste and Recyclable Materials will be regularly contained. The Service Provider shall be compensated for these additional Services as provided for in Section 9(b) hereof., The parties acknowledge and agree that the Service Provider shall not be responsible to City for damage to any private pavement or accompanying sub-surface of any route reasonably necessary to perform the Services herein contracted and that the Single-Family, Commercial, Industrial or Multi- Family Residential Unit assumes all liabilities for damage to the private pavement, unless such damage is caused by Service Provider's negligence or willful misconduct. Commercial, Industrial or Multi- Family Residential Units must comply with any description of and/or procedures with respect to removal of contaminants or preparation of Recyclable Materials as reasonably provided by Service Provider. If any Commercial, Industrial or Multi-Family Residential Unit fails to do so, Service Provider may decline to collect such materials as Recyclable Materials and collect and dispose of the same as Municipal Solid Waste without being in breach of the Agreement. Service Provider shall not be responsible for and has not made any representation regarding the ultimate recycling of such Recyclable Materials by any third-party facilities. 6. Special Collections and Services. (a) Municipal Locations. The Service Provider will provide, at no cost to the City, up to an aggregate number of eighteen (18) Containers to collect Municipal Solid Waste and/or Recyclable Materials at certain municipal locations within the City once or twice per week, as needed. Specifically, the provisions of this Section 6(a) shall apply to the following locations: Location Containers Container Collections Collection per Week Municipal Friendswood 1 6 yards 2 Solid Waste City Hall 1 6 yards 1 Municipal Solid Waste Friendswood 1 8 yards 1 Municipal Public Safety Solid Waste Building 1 8 yards 1 Municipal Solid Waste Municipal Friendswood 1 6 yards 2 Solid Waste Public Library 1 8 yards 1 Municipal Solid Waste Municipal Friendswood 2 4 yards 1 Solid Waste Public Works 1 6 yards 1 Municipal Solid Waste Friendswood Municipal Activities 1 8 yards I Solid Waste Building Friendswood 1 6 yards 2 Municipal Fire Station#1 y Solid Waste Friendswood 1 6 yards 1 Municipal Fire Station#2 y Solid Waste Franchise Agreement,Page 6 • o LocationCollections Containerson per Week on Friendswood 1 4 yards i Municipal Fire Station#3 y Solid Waste Friendswood 1 8 yards 1 Municipal Fire Station#4 Solid Waste Additionally,the Service Provider will provide,at no cost to the City,an adequate number of Recycling Carts or front-load Containers to collect Recyclable Materials at the City parks;the Service Provider shall decide, in its sole discretion,which type of Containers to use in providing such services. (b) Special Events. The Service Provider will provide, at no cost to the City, an adequate number of Containers to collect Municipal Solid Waste at the following special events in the City: City's Spring Sparkle, Fall Haul-A-Day, Independence Day Celebrations, and Santa in the Park; provided, that the City gives the Service Provider reasonable prior written notice of the date of such special event as well as the number of Containers that will be required. (c) Port-O-Lets. The Service Provider shall provide Port-O-Lets during the Independence Day Celebrations and Little League Opening Day. Additionally, the Service Provider shall provide five(5)Port-O-Lets at Centennial Park,as needed. (d) Friendswood ISD Recycling. The Service Provider shall provide, at no cost to the City, collection for Recyclable Materials to all Friendswood ISD schools located in the City limits. The Service Provider shall determine the type/size of the Containers and the frequency of the collections. 7. Bulky Items and Green Waste. (a) Pre Arranged Collections.The Service Provider will collect Bulky Items and Green Waste from Single-Family Residential Units once per week, as designated by the Service Provider; provided,that the Bulky Items or Green Waste(i)are placed at the curbside no later than 7:00 a.m.on the scheduled collection day,(ii)are reasonably contained,and(iii) do not have any individual item exceeding fifty (50) pounds in weight. The Service Provider shall only collect Green Waste that has been placed in paper bags designed for the disposal of Green Waste or secured in a bundle weighing less than fifty (50) pounds with no item measuring more than 48 inches. The Service Provider shall only be responsible for collecting, hauling, and recycling or disposing of Bulky Items and Green Waste from those Single-Family Residential Units that have complied with this Section 7(a)and Section 1.White Goods containing refrigerants will not be collected by the Service Provider unless such White Goods have been certified in writing by a professional technician to have had all such refrigerants removed. (b) Negotiated Collections.It is understood and agreed that the service provided under Section 7(a). does not include the collection of Bulky Items and Green Waste comprised of Construction and Demolition Waste, White Goods or any materials resulting from remodeling, general property clean-up or clearing of property for the preparation of construction. However,the Service Provider may negotiate an agreement on an individual Franchise Agreement,Page 7 basis with the owner or occupant of a Single-Family Residential Unit regarding the collection of such items by utilizing the Service Provider's Roll-Off Services. 8. Title to Equipment. Notwithstanding anything to the contrary contained herein, it is expressly understood and agreed that all equipment, including, but not limited to, Containers, provided by the Service Provider in connection with the Services, shall at all times remain the property of the Service Provider; however, Single-Family Residential Units, Commercial, Industrial, and Multi-Family Units shall have care, custody, and control of the equipment while at the service locations. Units shall not overload(by weight or volume),move or alter the equipment,and shall use the equipment only for its proper and intended purpose. Units must provide unobstructed access to the Containers on the scheduled collection day Any Container provided by a Single-Family Residential Unit for the collection of Municipal Solid Waste shall remain the property of such Single-Family Residential Unit. 9, Rates and Fees. Subject to adjustment, as provided in Section 10 hereof, the rates and fees to be charged and received by the Service Provider are as follows: (a) Single-Family Residential Unit Services. For the Services provided to Single-Family Residential Units under Section 4(a) hereof, the Service Provider shall charge (i) $15.20 per month for each Single-Family Residential Unit that has one(1)Recycling Bin, plus a one-time fee of$7.46 for one (1) additional Recycling Bin. The Service Provider shall charge $16.35 per month for each Single-Family Residential Unit receiving the Services provided under Section 4(a). and utilizing one (1) Recycling Cart instead of Recycling Bins. Except as provided for in Section 9(d), these rates apply to all Single-Family Residential Units located within the City's corporate limits. (b) Commercial, Industrial and Multi-Family Residential Unit Services. For the Services provided to Commercial, Industrial and Multi-Family Residential Units under Section 5 hereof, the Service Provider shall charge per month for each Container utilized the following rates: Collections per Week 95 Gallon $36.54 $54.82 N/A N/A N/A N/A 2 Cubic Yards $89.43 $105.71 $178.73 $250.03 $327.98 $413.00 3 Cubic Yards $102.69 $134.80 $249.56 $349.12 $457.93 $576.65 4 Cubic Yards $103.09 $135.59 $250.76 $350.72 $459.95 $579.04 6 Cubic Yards $116.70 $210.41 $305.17 $401.55 $508.58 $610.20 8 Cubic Yards $206.13 1 $317.86 $406.92 $542.45 $693.10 $832.72 For any collection that the Service Provider is required to make in excess of the above weekly figures,the Service Provider shall charge the following amounts per collection per Container: Container size Per Extra Lift 95 Gallon N/A 2 Cubic Yards $16.78 3 Cubic Yards $25.17 4 Cubic Yards $33.56 Franchise Agreement,Page 8 Colitaillel- size Per Extra Lift 6 Cubic Yards $50.33 8 Cubic Yards $67.08 Additionally, the Service Provider shall provide the following features to Commercial, Industrial or Multi-Family Residential Units at the stated monthly cost: Monthly Cost Container with Casers $5.79 Containers with Locks or Gates $8.69 Recycling Container—6 Cubic Yards $81.09 Recycling Container—8 Cubic Yards $98.46 The foregoing rates apply to all Commercial,Industrial and Multi-Family Residential Units that are located within the City's corporate limits. (c) Roll-Off Services. The Service Provider will negotiate agreements with each Commercial, Industrial or Residential Units on an individual basis regarding the Roll-Off Services to be provided. The Roll-Off Services will be billed directly to such Commercial, Industrial or Residential Unit and will be collected by the Service Provider. The Roll-Offs provided pursuant to this Section 9(c) must be located within the City in accordance with City ordinances and policies. Notwithstanding anything to the contrary contained herein, a franchise fee shall not apply to the services set forth in this Section 9(c). (d) Automated Collection Services. For Automated Collection Services provided to Single- Family Residential Units under Section 4(d) hereof, the Service Provider shall charge(i) $15.20 per month for each Single-Family Residential Unit that has one(1)Recycling Bin, plus a one-time fee of$7.46 for one (1) additional Recycling Bin. The Service Provider shall charge $16.35 per month for each Single-Family Residential Unit receiving the Services provided under Section 4(a) and utilizing one (1) Recycling Cart instead of Recycling Bins. 10. Rate Adjustment. (a) Rate Adjustments. On each anniversary date of this Agreement, the Service Provider may request an increase in the rates charged by the Service Provider for the Services from the City to account for changes in costs incurred by the Service Provider, including, but not limited to,changes in the Consumer Price Index for all Urban Wage Earners;increased disposal costs; increased landfill fees; changes in federal, state, or local laws, rules, or ordinances that introduce or increase fees,taxes or similar assessments; increased labor or equipment cost; or increased operational costs. In the event the City fails or refuses to consent to any such requested rate increase and the Service Provider can demonstrate that such rate increase is necessary to offset the Service Provider's increased costs in connection with performing the services under this Agreement not otherwise offset by any previous rate adjustments hereunder,the Service Provider may, in its sole discretion,terminate this Agreement upon one hundred twenty(120)days written notice to the City. (b) Fuel Cost Adjustment. Beginning on October 1, 2022, and on each October 1 thereafter, the Service Provider shall adjust all the rates herein if,during the previous Calendar Year, the average price of diesel exceeded$3.65 per gallon(the "Base Price"). Each adjustment Franchise Agreement,Page 9 shall become effective on October 1 and remain effective throughout the applicable Contract Year.The average price of diesel fuel will be determined by reference to the U.S. Energy Administration/Department of Energy published price for diesel fuel -gulf coast region. The following website (or any successor website) will be the source for such information: http://tonto.eia.doe.govlooWinfo/wohd pldiesel detail report combined.asp The average price of diesel fuel for each Calendar Year(each,an"Annual Average Price") shall be the average of the weekly fuel prices published for each week during the Calendar Year. The fuel cost adjustment for any Contract Year(each, a"Fuel Cost Adjustment") shall be the product of (i) 13.20% and (ii) a fraction the numerator of which is equal to the difference between the Base Price and the Annual Average Price and the denominator of which is the Base Price. In the event the Annual Average Price is greater than the Base Price, the Fuel Cost Adjustment shall be an upward adjustment to all rates herein. In the event the Annual Average Price is less than the Base Price,the Fuel Cost Adjustment shall be a downward adjustment to all rates herein. Notwithstanding anything to the contrary contained herein, the Franchise Fee (as defined herein) shall not apply to the Fuel Cost Adjustment. 11. Exclusions. Notwithstanding anything to the contrary contained herein, this Agreement shall not cover the collection,hauling,recycling or disposal of any Hazardous Waste,animal or human,dead animals, auto parts, used tires, concrete, dirt, gravel, rock or sand from any Container located at any Commercial, Industrial or Residential Unit; provided, however,that the Service Provider and the owner or occupant of a Commercial,Industrial or Residential Unit may negotiate an agreement on an individual basis regarding the collection, hauling or disposal of Construction and Demolition Waste,auto parts,used tires,concrete,dirt,gravel,rock or sand by utilizing the Service Provider's Roll-Off Services. If no agreement is negotiated and the Service Provider finds what reasonably appears to be discarded Hazardous Waste, Service Provider shall promptly notify the City and the producer of the Hazardous Waste,if the producer can be readily identified.Title to and liability for any Hazardous Waste shall remain with the producer of the Hazardous Waste, even if Service Provider inadvertently collects or disposes of such Hazardous Waste. 12. Term of Agreement. The term of this Agreement shall be for a period of three(3)years, commencing on April 1,2022, and concluding on March 31, 2025,unless terminated earlier as provided herein. The term of this Agreement may be extended by mutual agreement of the parties. 13. Assignment. This Agreement shall not be assignable or otherwise transferable by the Service Provider without the prior written consent of the City;provided,however,that the Service Provider may assign this Agreement to any direct or indirect affiliate or subsidiary of the Service Provider or to any person or entity succeeding to all or substantially all of the Service Provider's assets(whether by operation of law, merger, consolidation or otherwise) without the City's consent. For any assignment for which the City's consent is required, the City may require any records or financial statements necessary in its opinion to ensure such sale or assignment will be in the best interest of the City. Franchise Agreement,Page 10 14. Enforcement. The City shall take any action reasonably necessary to prevent any other Solid Waste collection company from conducting business in violation of the franchise granted herein to the extent provided by law. If the Service Provider experiences recurring problems of damage or destruction to or theft of the Containers provided by the Service Provider pursuant to this Agreement, the Service Provider may, prior to replacing or repairing such Containers, require security deposits from the Commercial, Industrial or Residential Units utilizing such Containers. To the maximum extent allowed by applicable law,the City also hereby grants to the Service Provider the right of ingress and egress from and upon the property of Commercial, Industrial and Residential Units for the purposes of rendering the Services contemplated hereby. 15. Processing,Billing and Fees. (a) Monthly Statement. On a monthly basis, the City agrees to bill and collect the rates and fees charged under Section 9(a)hereto from all Single-Family Residential Units possessing active water meters within the City's corporate limits, as well as from all other Single- Family Residential Units requiring the collection, hauling, recycling and disposal of Municipal Solid Waste and Recyclable Materials within the City's corporate limits (the "Monthly Statement"). Thereafter, the City will remit to the Service Provider an amount equal to such Monthly Statement. Such remittance shall be made by the City on or before the 151 day of each month (for the immediately preceding month's service) commencing on May 15, 2022. Along with each monthly remittance, the City shall provide the Service Provider with a report indicating the service type, size, location,and number of Single-Family Residential Units which have been billed for that month. Nothing herein shall prohibit the City from collecting sums in addition to those sums called for herein. (b) Commercial Billing.On a monthly basis,the Service Provider agrees to bill and collect the rates and fees charged under Section 9(b) hereto from all Commercial, Industrial, and Muti-Family Units possessing active water meters within the City's corporate limits, as well as from all other Commercial, Industrial, and Multi-Family Units requiring the collection, hauling, recycling and disposal of Municipal Solid Waste and Recyclable Materials within the City's corporate limits (the "Commercial Billing"). Thereafter, the Service Provider shall remit to the City an amount equal to ten percent(10%)gross receipts collected(less tax) from the Commercial Billing(the "Franchise Fee"). Such remittance shall be made by the Service Provider on or before the 20' day of each month (for the immediately preceding month's service). (c) Taxes. In addition to the amounts billed and collected by the City under Section 15(a),the City shall also be responsible for collecting and remitting or paying any and all sales, use and service taxes assessed or payable in connection with the amounts collected under Section 15(a). In addition to the amounts billed and collected by the Service Provider under Section 15(b),the Service Provider shall also be responsible for collecting and remitting or paying any and all sales, use and service taxes assessed or payable in connection with the amounts collected under Section 15(b). (d) Bad Debt; Unpaid Rates/Fees. The City agrees that payments owing to the Service Provider pursuant to this Agreement shall be based solely on the Services rendered by the Service Provider. The Service Provider shall not be held responsible for the collection of "bad debt"billed b and owed to City for the Services, nor shall the Service Provider be Y h' Franchise Agreement Page 11 s g penalized for Services rendered that remain unpaid by any Commercial, Industrial or Residential Unit. (e) Billings for Roll-Off Services. Notwithstanding the above, the Service Provider will bill and collect from all Residential, Commercial and Industrial Units for services performed with respect to Roll-Off Containers.The Service Provider shall not pay a Franchise Fee on any amounts collected under this Section 15(e). 16. Spillage. The Service Provider, at its sole cost, shall immediately clean or remove all loose or spilled Municipal Solid Waste or Recyclable Materials caused by the Service Provider or released from the Service Provider's vehicle,and in any event no longer than one(1)business day after receiving notice from the City. It is understood and agreed, however,that the Service Provider shall not be required to clean up,collect or dispose of any loose or spilled Municipal Solid Waste or Recyclable Materials not caused by the Service Provider's rendering of the Services, or be required to collect and dispose of any excess Municipal Solid Waste or Recyclable Materials placed outside of the Containers by any Commercial, Industrial or Residential Unit. The Service Provider shall report the location of such conditions to the City so that the City can issue proper notice to the owner or occupant of the Commercial, Industrial or Residential Unit instructing the owner or occupant to properly contain such Municipal Solid Waste or Recyclable Materials. Should excess Municipal Solid Waste or Recyclable Materials continue to be placed outside of the Containers,the City may require the Commercial, Industrial or Residential Unit to increase the frequency of collection of such Municipal Solid Waste or Recyclable Materials, or require the Commercial, Industrial or Residential Unit to utilize a Container with sufficient capacity so that the excess Municipal Solid Waste or Recyclable Materials will be regularly contained. The Service Provider shall be compensated for these additional Services as provided for in Section 9 hereof and shall be entitled to receive an extra collection charge for each additional Container requiring an extra collection. 17. Non-Collection Notice and Follow-Up. (a) Notice from the Service Provider. It is specifically understood and agreed that where the owner or occupant of a Commercial, Industrial or Residential Unit fails to timely place a Container or Bag as directed in Sections 4 and 5 hereof,or is otherwise in violation of the City's ordinances and regulations, the Service Provider's reasonable rules adopted hereunder or the provisions of this Agreement relating to the nature,volume or weight of Municipal Solid Waste,or Recyclable Materials to be removed,the Service Provider may refrain from collecting all or a portion of such Municipal Solid Waste or Recyclable Materials and will notify the City within eight(8) hours thereafter of the reason for such non-collection. The Service Provider will also provide written notice to the Commercial, Industrial or Residential Unit of the reason for such non-collection, unless such non- collection is the result of the Commercial,Industrial or Residential Unit's failure to timely place the Containers, Bags, Bulky Items or Green Waste out for collection. Such written notice shall be attached to the Container or the uncollected Municipal Solid Waste, shall indicate the nature of the violation and shall indicate the correction required in order that such Municipal Solid Waste or Recyclable Materials may be collected. (b) Incomplete Stops. If there are any incomplete stops due to mechanical reasons or D.O.T. time,the dispatcher must contact the City of Friendswood and enter a service comment to reschedule the pick-up for next day. After entering the service comment. It is mandatory that these stops be serviced within 24 hours.4 Franchise Agreement,Page 12 (c) Notice from a Commercial, Industrial or Residential Unit. When the City is notified by an owner or occupant of a Commercial,Industrial or Residential Unit that Municipal Solid Waste or Recyclable Materials has not been removed from such Commercial,Industrial or Residential Unit and where no notice of non-collection or a change in collection schedule has been received by the City from the Service Provider,or the Service Provider has failed to collect Municipal Solid Waste or Recyclable Materials from the Commercial,Industrial or Residential Unit without cause, as supported by notice as described herein, then the Service Provider will use all reasonable efforts to collect such Municipal Solid Waste or Recyclable Materials on the day a collection order is issued by the City;provided,however, that if the Service Provider fails to make such collection on the same day that a collection order is issued by the City,the Service Provider shall make such collection no later than 12:00 p.m. on the following Business Day, and there shall be no charge to the Service Provider for any such original non-collection or late collection so long as the Service Provider makes such collection within such time. 18. Hours of Service. For all the Services provided hereunder, the Service Provider's hours of service shall be between 7:00 a.m.to 7:00 p.m.,Monday through Saturday,unless otherwise approved by the City Manager in writing. The Service Provider will not be required to provide service on Sundays or Holidays except during natural disasters or emergencies, and may, at its sole discretion, observe Holidays during the term of this Agreement;provided,however,that the Service Provider shall provide such services on the immediately following Business Day. 19. Customer Service. The City agrees to field all inquiries and complaints from Commercial, Industrial and Residential Units relating to the collection, hauling, recycling and disposal of Municipal Solid Waste and Recyclable Materials. The Service Provider and the City agree to cooperate with each other in the response to any such inquiries and the resolution of any such complaints. In order to assist the City in its obligations under this Section 19, the Service Provider agrees to provide City Hall with a primary contact and toll-free telephone number, as well as Service Request Forms for customer service issues such as changes in service and missed collections. 20. Compliance with Applicable Laws. The Service Provider shall comply with all applicable federal and state laws regarding the collection, hauling, recycling and disposal of Municipal Solid Waste and Recyclable Materials, including existing and future laws that may be enacted,as well as any regulations reasonably passed by the City that are not in derogation of this Agreement. Nothing in this Agreement shall be construed in any manner to abridge the City's right to pass or enforce necessary police and health regulations for the reasonable protection of its inhabitants. The City shall have the right to make reasonable inspections of the Service Provider in order to ensure compliance with this Section 20. Violations of any applicable federal and/or state law will be corrected at the Service Provider's expense. The Service Provider will pay for all applicable penalties associated therewith. 21. Vehicles and Equipment. Vehicles used by the Service Provider for the collection, hauling, recycling and disposal of Municipal Solid Waste and Recyclable Materials shall be protected at all times while in transit to prevent the blowing or scattering of Municipal Solid Waste and Recyclable Materials onto the City's public streets,or properties adjacent thereto,and such vehicles shall be clearly marked with the Service Provider's name in letters and local telephone numbers not less than two(2)inches in height. All collection vehicles used by the Service Provider shall be washed and deodorized once per week. Such vehicles shall be maintained throughout the term of this Agreement in an efficient Franchise Agreement,Page 13 working condition, in compliance with all applicable laws and in accordance with the manufacturer's specifications. The vehicles shall be painted as often as necessary to preserve and present a well-kept appearance. The Service Provider shall have a regular preventative maintenance program. 22. Due Care. The Service Provider shall exercise due care and caution in providing the Services so that the City's public and private property,including streets and parking areas,will be protected and preserved. 23. Personnel and Performance Standards. (a) Employment. The Service Provider represents that it has or will secure at its own expense, all personnel required in performing the services under this Agreement. Such personnel shall not be employees of or have any contractual relationship with the City. During the term of this Agreement, the Service Provider shall be responsible for the actions of its agents, servants, and employees while such agents, servants and employees are acting within the scope of their employment or agency. The Service Provider shall not deny employment to any person on the basis of race,religion, color, sex, or national origin and will ensure that all federal and state laws peltaining to salaries, wages and operating requirements are met or exceeded. (b) Customer Service. The Service Provider,its agents,servants,and employees shall perform the Services in a courteous,competent,and professional manner. (c) Uniforms. The Service Provider shall outfit each person performing services under this Agreement within the City with uniforms that clearly identifies him/her as a representative of the Service Provider. (d) Safety. The Service Provider shall provide each person performing services under this Agreement with appropriate safety equipment. The Service Provider shall assure that all such persons are properly trained in safe operations and have sufficient skill, ability, and experience to properly perform the duties to which they are assigned. (e) Qualifications. The Service Provider shall not assign any person to perform services under this agreement who has been convicted of a felony or any offense that designates individuals as sex offenders. The City shall have the right,using reasonable discretion,to request that an employee be barred from further work for the Service Provider in connection with this Agreement for reasons including, but not limited to, wanton, discourteous, belligerent, or unsafe behavior. The City's request shall be in writing and shall describe the reasons for the request. Upon receipt of the City's request, the Service Provider shall comply immediately by removing the individual from duties within the City. 24. Insurance Coverage. Pursuant to this Agreement, the Service Provider shall procure and maintain at its sole cost and expense for the duration of this Agreement, insurance against claims for injures to person or damages to property which may arise from or in connection with the performance of the work hereunder by the Service Provider, its agents, representatives, volunteers, employees, or subcontractors,to the extent the liabilities are assumed by Service Provider in this Agreement or exist in law or equity. The Service Provider's insurance coverage shall be primary insurance with respect to the City, its officials, employees, and agents. Any insurance or self-insurance maintained by the City, its officials, employees, or agents shall be considered in excess of the Franchise Agreement,Page 14 Service Provider's insurance and shall not contribute to it. Further, the Service Provider shall include all subcontractors, agents and assigns as additional insureds under its policy or shall furnish separate certificates and endorsements for each such person or entity. All coverages for subcontractors and assigns shall be subject to all of the requirements stated herein. The following is a list of standard insurance policies along with their respective minimum coverage amounts required in this Agreement: ➢ Statutory Limits Worker's Compensation ➢ Employer's Liability$1,000,000 ➢ Waiver of subrogation Required ➢ Per Occurrence:$1,000,000 ➢ Aggregate:$2,000,000 Commercial General Liability ➢ Products&Completed Operations:$2,000,000 ➢ Personal&Advertising Injury:$1,000,000 ➢ Waiver of subrogation required ➢ Coverage shall be broad form CGL Business Automobile ➢ Combined Single Limits: $2,000,000 ➢ Coverage for Any Auto ➢ Waiver of subrogation required Excess Umbrella Liability ➢ Per Occurrence:$5,000,000 ➢ Aggregate:$5,000,000 The following shall be applicable to all policies of insurance required herein. ➢ Insurance carrier must have an A.M. Best Rating of A:VII or better. ➢ Only insurance carriers licensed and admitted to do business in the State of Texas will be accepted. ➢ Liability policies must be on occurrence form. ➢ Each insurance policy shall be endorsed to state that coverage shall not be canceled except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City. Service Provider agrees to provide City with at least 30 days' prior written notice if any insurance policy required herein is suspended, voided, or reduced in coverage or limits. ➢ The City,its officers,agents,and employees are to be added as"additional insureds"to all liability policies(excluding workers' compensation). ➢ Upon request and without cost to the City, certificates of insurance shall be furnished to the City. ➢ All insurance required herein shall be secured and maintained in a company or companies satisfactory to the City,and shall be carried in the name of the Service Provider. ➢ The Service Provider shall provide copies of insurance certificates required hereunder to the City on or before the effective date of the Agreement and each year thereafter. ➢ To the extent permitted by law,any or all of the insurance coverage required by this Section 24 may be provided under a plan(s)of self-insurance, including coverage provided by the Service Provider's parent corporation. 25. 1 demnity. THE SERVICE PROVIDER AGREES TO AND SHALL INDEMNIFY AND HOLD HARMLESS AND DEFEND THE CITY, ITS OFFICERS, AGENTS, AND EMPLOYEES (HEREINAFTER COLLECTIVELY REFERRED TO AS THE "CITY") FROM AND AGAINST ANY AND Franchise Agreement,Page 15 ALL CLAIMS, LOSSES, DAMAGES, CAUSES OF ACTION, SUITS AND LIABILITY OF EVERY KIND,INCLUDING ALL REASONABLE EXPENSES OF LITIGATION, COURT COSTS, AND REASONABLE ATTORNEY'S FEES, FOR INJURY TO OR DEATH OF ANY PERSON, FOR DAMAGE TO ANY PROPERTY, OR FOR ANY BREACH OF CONTRACT, TO THE EXTENT ARISING OUT OF, OR IN CONNECTION WITH THE WORK PERFORMED BY THE SERVICE PROVIDER UNDER THIS AGREEMENT, BUT ONLY TO THE EXTENT CAUSED BY THE NEGLIGENCE OR WILLFUL MISCONDUCT OF THE SERVICE PROVIDER. IT IS THE EXPRESSED INTENTION OF THE PARTIES HERETO,BOTH THE SERVICE PROVIDER AND THE CITY, THAT THE INDEMNITY PROVIDED FOR IN THIS PARAGRAPH IS INDEMNITY BY THE SERVICE PROVIDER TO INDEMNIFY AND PROTECT THE CITY FROM THE CONSEQUENCES OF THE SERVICE PROVIDER'S OWN NEGLIGENCE OR WILLFUL MISCONDUCT, ONLY. IN THE EVENT THAT ANY ACTION OR PROCEEDING IS BROUGHT AGAINST THE CITY FROM WHICH THE CITY IS INDEMNIFIED, THE SERVICE PROVIDER FURTHER AGREES AND COVENANTS TO DEFEND THE ACTION OR PROCEEDING BY LEGAL COUNSEL ACCEPTABLE TO THE CITY WHICH APPROVAL SHALL NOT BE UNREASONABLY WITHHELD. THE INDEMNITY PROVIDED FOR IN THIS PARAGRAPH SHALL SURVIVE THE TERMINATION OR EXPIRATION OF THE AGREEMENT. 26. Release. By this Agreement, the City does not consent to litigation or suit, and the City hereby expressly revokes any consent to litigation that it may have granted by the terms of this Agreement or any other contract or agreement,any charter,or applicable state law.Nothing herein shall be construed so as to limit or waive the City's sovereign immunity. 27. Savings Provision. In the event that any term or provision of this Agreement shall be determined by a court of competent jurisdiction to be invalid or unenforceable,this Agreement shall,to the extent reasonably possible,remain in force as to the balance of its terms and provisions as if such invalid term or provision were not a part hereof. 28. Termination. (a) Termination by the City. Furthermore, the City may immediately and without notice, unless otherwise specified,terminate this Agreement if the Service Provider breaches this Agreement,which shall include,but not be limited to,the following: (1) By failing to pay insurance premiums,liens,claims or other charges; (2) By failing to pay any payments due the City, State or Federal Government from the Service Provider or its principals, including, but not limited to, payments identified in this Agreement, any taxes, fees, assessments, or liens after receiving 10 days' written notice from the City and failing to cure; Franchise Agreement,Page 16 (3) On the institution of voluntary or involuntary bankruptcy proceeding against the Service Provider; (4) On dissolution of the Service Provider; (5) By violation of any provision,including,but not limited to,the provision requiring sufficient or adequate machinery or equipment to provide the services, of this Agreement after receiving 30 days'written notice from the City and failing to cure; or (6) By the abandonment or discontinuance of the Service Provider's operations,or any portion thereof. (b) Termination by Service Provider. The Service Provider has the right to terminate this Agreement for cause if the City breaches any provision of this Agreement and fails to cure the breach within thirty (30) days after receiving written notice from Service Provider of the breach or default. (c) Payment upon Termination. If the City terminates the Agreement, the Service Provider shall be entitled only to payment for work satisfactorily performed as of the date of the termination. (d) Retention of Liabilities. Notwithstanding the provisions of this Article, the Service Provider shall not be relieved of liability to the City for damages sustained by the City by virtue of any negligent act or omission or any breach of the Agreement. 29. Scholarships. Each year the Service Provider shall provide an annual $1000.00 scholarship to one student in Friendswood High School and an annual $500 scholarship to one student from Clear Brook High School and one student from Clear Springs High School. 30. House Count. The City and the Service Provider will conduct a count of all Single-Family Residential Units located in the City's corporate limits once per year.The parties shall mutually agree on the day and time for such count. 31. Fourth of July Sponsorship. The Service Provider agrees that for the duration of the term of the Agreement, the Service Provider shall support the City's Fourth of July Festival with an annual SEVEN THOUSAND AND 00/100 DOLLARS($7,000.00)donation. 32. Reports/Records. (a) Records. The Service Provider shall maintain records of the amount of Municipal Solid Waste and Recyclable Materials disposed of under the terms of this Agreement,by weight or volume,as designated by the City Manager. All records related in any way to the Service Provider's services to the City shall be available for audit by the City from 8:00 a.m. to 5:00 p.m., Monday through Friday, within five (5) calendar days of a written request therefor from the City to the Service Provider. Financial records will be maintained with such adequacy so as to allow identification of the source of all revenue and expenditures related to this Agreement. (b) Transport of Recyclable Materials. The Service Provider agrees to transport the Recyclable Materials to a registered recyclables processing center for further processing Franchise Agreement,Page 17 and reclamation. Upon request,the Service Provider shall provide the City with copies of delivery/weight tickets for deliveries. (c) Reports. The Service Provider shall provide the City additional reports as may be reasonably requested by the City Manager. 33. Force Majeure. The performance of this Agreement may be suspended,and the obligations hereunder excused in the event and during the period that such performance is prevented by a cause or causes beyond reasonable control of such party. The performance of this Agreement will be suspended, and the obligations hereunder excused only until the condition preventing performance is remedied. Such conditions shall include,but not be limited to, acts of God, acts of war, accident, explosion, fire, flood, riot, sabotage, acts of terrorists, unusually severe or unsafe weather conditions, epidemic, pandemic, inability to access equipment, lack of adequate fuel, or judicial or governmental laws or regulations. 34. Governing Law. This Agreement shall be governed in all respects,including as to validity,interpretation,and effect, by the internal laws of the State of Texas,without giving effect to the conflict of laws rules thereof. The parties hereby irrevocably submit to the jurisdiction of the courts of the State of Texas and the Federal courts of the United States located in the State of Texas, solely in respect of the interpretation and enforcement of the provisions of this Agreement and venue for any legal action or proceeding arising under or relating to the franchise herein shall lie exclusively in Galveston County,Texas. 35. Notices. Any notices required or permitted to be delivered hereunder shall be in writing and shall be deemed to be delivered when deposited in the United States mail, postage prepaid, certified mail, return receipt requested,addressed to the respective party at the address set forth below: If to the City: City of Friendswood 910 S.Friendswood Drive Friendswood,TX 77546 Attn: City Manager If to the Service Provider: Waste Connections of Texas,LLC 827 W.Hwy 6 Alvin,TX 7751 I Attn: District Manager With Copy to: Waste Connections of Texas,LLC 2301 Eagle Parkway, Suite 200 Ft.Worth,TX76177 And Franchise Agreement,Page 18 3 Waterway Square Place,Suite 110 The Woodlands,TX 77380 ATTN: Legal Department or such other addresses as the parties may hereafter specify by written notice and delivered in accordance herewith. 36. Performance Bond. The Service Provider shall maintain in full force and effect during the term of this Agreement an annually renewable Performance Bond in the amount of$250,000. The Service Provider shall be responsible for any premium payment required for the Performance Bond and maintaining such Bond throughout the term of this Agreement. A certificate showing that the Performance Bond premiums are paid in full shall accompany the original Performance Bond to be filed with the City, and such certificate shall be submitted to the City on an annual basis. The surety that issues the Performance Bond shall be authorized to do business in the state of Texas. The Service Provider shall,at all times throughout the duration of this Agreement,have a current,valid performance on file with the City. 37. Entire Agreement. This Agreement shall constitute the entire understanding of the parties hereto with respect to the subject matter hereof,and no amendment,modification,or alteration of the terms shall be binding unless the same be in writing,dated subsequent to the date hereof,and duly executed by all parties hereto. Should any of the provisions contained in any of the contract documents be in conflict or inconsistent with each other,such conflict or inconsistency shall be construed in favor of the City. Furthermore,both parties expressly agree that the City Manager shall be the sole and final decision- maker should any conflict arise hereunder. 38. Commercial Practices. The apparent silence of this Agreement or specifications as to any detail,or the apparent omission from it of a detailed description concerning any point, shall be regarded as meaning that the standard in the industry is to prevail and that only material and workmanship indicative of the industry standard shall be used. All interpretations of specifications shall be made on the basis of this statement. 39. Damages. Random checks of the facilities shall be carried out during the term of this Agreement at the option of the City to ensure faithful performance and compliance with all the terms and conditions herein. The Service Provider and the City understand and agree that the failure to perform the services in the manner and pursuant to the terms of this Agreement in a timely manner may cause damage to the City. In the event that the City sustains damage(s), the City may (i) make a claim for such damages under the Service Provider's public liability,property damage insurance policy in effect, (ii) deduct the amount of such damages from any amount which is due or may become due throughout the term of this Agreement,or(iii)recover such damages from the Service Provider or the sureties on its bond, if any. All such remedies shall be cumulative, and the City shall not be required to elect any one remedy, nor shall it be deemed to have made such an election by proceeding to enforce any one remedy. 40. No Waivers. Failure of either party hereto to insist on the strict performance of any of the agreements contained herein or to exercise any rights or remedies accruing thereunder upon default or failure of performance shall not be considered a waiver of the right to insist on and to enforce by an Franchise Agreement,Page 19 appropriate remedy,strict compliance with any other obligation hereunder to exercise any right or remedy occurring as a result of any future default or failure of performance. 41. Independent Contractor. It is mutually understood and agreed that nothing in this Agreement is intended or shall be construed as in any way creating or establishing the relationship of partners or co-partners between the parties hereto, or as constituting the Service Provider as an agent or representative of the City for any purposes or in any manner whatsoever. The relationship of the Service Provider to the City shall be that of an independent contractor. 42. No Third-Party Beneficiaries. This Agreement shall not bestow any rights upon any third party,but rather,shall bind and benefit the Service Provider and the City only. 43. No Right to Arbitration. Notwithstanding anything to the contrary contained in this Agreement, the City and Service Provider hereby agree that no claim or dispute between the City and Service Provider arising out of or relating to this Agreement shall be decided by any arbitration proceeding including, without limitation, any proceeding under the Federal Arbitration Act (9 U.S.C. Sections 1-14), or any applicable State arbitration statute,including but not limited to the Texas General Arbitration Act. 44. Headings. The article headings are used in this Agreement for convenience and reference purposes only and are not intended to define,limit,or describe the scope or intent of any provision of this Agreement and shall have no meaning or effect upon its interpretation. 45. Gender and Number. Words of any gender used in this Agreement shall be held and construed to include any other gender and words in the singular number shall be held to include the plural,and vice versa,unless context requires otherwise. 46. Construction of Agreement. The parties agree that this Agreement shall not be construed in favor of or against any party on the basis that the party did or did not author this Agreement. 47. Agreement Read. The parties acknowledge that they have read,understand,and intend to be bound by the terms and conditions of this Agreement. 48. Authority. The officers executing this Agreement on behalf of the parties hereby confirm that such officers have full authority to execute this Agreement and to bind the party he/she represents. IN WITNESS WHEREOF, the parties hereto have executed this Agreement in multiple copies,each of which shall be deemed to be an original,but all of which shall constitute but one and Franchise Agreement,Page 20 the same Agreement on the day of March,2022,the date of execution by the Mayor of the City of Friendswood. CITY OF FRIENDSWOOD MIKE FOREMAN,Mayor ATTEST: LETICIA BRYSCH, City Secretary WASTE CONNECTIONS OF TEXAS,LLC (Signature) (Printed Name) (Title) STATE OF § COUNTY OF § Before me, , the undersigned notary public, on this day personally appeared , the of WASTE CONNECTIONS OF TEXAS,LLC,d/b/a Waste Connections of Texas.,on behalf of such limited liability company, known to me; proved to me on the oath of ; or proved to me through his/her current {description of identification card or other document issued by the federal government or any state government that contains the photograph and signature of the acknowledging person) (Check one) to be the person whose name is subscribed to the foregoing instrument and acknowledged to me that he/she executed that instrument for the purposes and consideration therein expressed. Given under my hand and seal of office this day of ,20_. Notary Public in and for the State of Texas My commission expires: H:\Contracts\Solid Waste Franchise\Waste Collections of Texas Franchise Agreement 2022-2025.docx Franchise Agreement,Page 21