Pleasant Hill Municipal Code Art. III Franchise Agreement

The city council may enter into exclusive or nonexclusive franchise agreements for the collection of garbage, recyclable materials and organic waste in the city. Franchise agreements may be entered into without competitive bidding. (Pub. Res. Code § 40059.) In a franchise agreement, the city council shall establish the method(s) for setting the maximum amount of collection rates, which may include rate changes after holding a public hearing, automatic cost of living rate increases, and provisions for extraordinary circumstance rate changes.

It is unlawful for any person to collect or transport garbage, recyclable materials or organic waste within the city unless the person is a franchisee, or the garbage, recyclable materials or organic waste is exempt under PHMC § 13.10.060.

(Formerly 13.10.090; 1991 code § 12-3.1; Ord. 775 § 1, 2003; Ord. 828 § 1, 2007; Ord. 950 § 1 (Exh. 1), 2021)

In addition to the requirements under PHMC § 13.10.070, each franchise agreement shall address in detail obligations set forth in the franchise agreement and all of the following:

A. Terms and standards of service, standards of performance and other requirements and conditions regarding the collection and disposal of garbage, recyclable materials and organic waste. This shall include limits on operations including days and hours of operation, curbside service, use of streets/clean-up, disabled occupant service (at no cost to the customer and in compliance with the ADA), on-property service, and any other type of service standards, requirements and limitations, consistent with Public Resources Code section 40059.1.

B. Special collection events and programs, such as Christmas tree collection, periodic collection of bulky waste and white goods, educational and promotional services, e-waste, used motor oil, household hazardous waste, construction and demolition debris, and special events authorized by the city (such as concerts and parades).

C. Standards of operation and objective measurements to ensure that city receives the maximum feasible diversion credit.

D. Insurance and indemnification requirements, including types and amounts of coverage, and performance bonds.

E. Vehicle standards and driver standards.

F. Procedure for establishing maximum service rates, service fees, and franchise fees or other compensation, including time and frequency of payment. Service fees include all service-related fees including, but not limited to, source reduction and recycling fees, user fees, cost-based fees for city's administrative expenses and programs.

G. Billing and collection requirements.

H. Generator complaint and dispute resolution procedures (including recording of complaints, manner of handling and responding to complaints, hours of operation of local office, after-hours handling of complaints, billing disputes).

I. Recordkeeping requirements, including reporting, record retention and auditing procedures. These may include records of (1) the type of waste generator, (2) amount by volume or weight collected or disposed of, (3) type and classification of materials as garbage, recyclable materials or organic waste, (4) location of disposal, (5) amount and type of waste disposed of or diverted from landfills, and (6) such other reporting requirements as city may determine. These may also include the manner of keeping customer payments records.

J. Breach of contract, remedies and penalty for breach (including procedures for termination), liquidated damages, and city's right to take over a franchise in the event of breach.

K. Assignment of the franchise, change of ownership or control of franchisee, independent contractor status.

L. Emergency responses at the city's request (such as earthquakes, flooding or fallen tree clean-up).

(Formerly 13.10.100; 1991 code § 12-3.2; Ord. 775 § 1, 2003; Ord. 950 § 1 (Exh. 1), 2021)

A. Billing and penalties. A franchisee shall bill each subscriber directly, in amounts that are at or below the maximum rates and periods established by the city council. Franchisee may add a penalty, in amounts established by the city council, for an owner or occupant who neglects, fails or refuses to pay the bill. The additional amount may include costs incurred by franchisee. (Govt. Code § 54348.) If an occupant fails to pay the bill, the owner is responsible for payment.

B. Payment under protest. If a customer wishes to contest the billing of franchisee, he or she shall make payment under protest and, at the same time, shall file a written statement of protest with the city manager. Within 30 days, the city manager shall notify the customer of the findings and adjudication and adjustment in the matter. Anyone may appeal the decision of the city manager to the city council, upon submittal of an appeal fee in an amount established by the city council. The city council shall conduct a hearing on the matter at a regular council meeting. The council's decision is final. The city shall refund the appeal fee to the customer if the city council finds in favor of the protest.

C. Failure to pay. If there is no payment of a bill after 60 days or more, franchisee shall undertake collection of the bill (including penalties and expenses of collection) for a period of 120 days from the original invoice date. Franchisee shall make reasonable efforts to obtain payment through issuing late-payment notices, telephone requests for payment, assistance from collection agencies (who shall make at least two attempts at collection), and bringing an action in small claims court. If franchisee's collection efforts for a 120-day period fail, and franchisee can demonstrate to the city that it attempted on at least five occasions to solicit the monies due, then that franchisee, with the city's consent, may discontinue service.

(Formerly 13.10.110; 1991 code § 12-3.3; Ord. 775 § 1, 2003; Ord. 828 § 2, 2007; Ord. 950 § 1 (Exh. 1), 2021)