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ORDINANCE NO. 2016 - 28


                WHEREAS, the city's current Agreement for collection, hauling, and disposal of solid waste  and recyclables expires 12-21-2016

              WHEREAS, a Request for Proposals was duly published and copies of the Request were provided to the area solid waste haulers.

             WHEREAS, the City Council reviewed the bids received and considered the statements made and the answers given at the October 11thCouncil meeting.

             WHEREAS, the City Council unanimously agreed to accept the residential bid of Inland Waste Solutions, LLC, the Council now desires to formalize that with a written agreement  and grant of a franchise.


Section 1: That the agreement attached hereto which is titled Contract for Services between the City of Johnson and Inland Waste Solutions, LLC bearing thedate of November 7, 2016, having  been read, studied and considered by the Johnson City Council should be and hereby  is approved;  the Mayor and Recorder-Treasurer are directed and authorized to execute same for and in the name of the City.

Section 2:  Pursuant  to the  attached  Contract  there is hereby  levied fees/rates for collection and disposal of solid waste and recyclables  as well as composting collection services in accordance with the terms of such ContractHowever, the gross  receipts  taxes of the City of Johnson shall apply to all services subject to same provided by Contractor within the City

Section 3: There is hereby granted to Inland Waste Solutions, LLC a license to operate appropriate vehicles and equipment in order to perform such Contract , on existing and new dedicated streets, rights-of-way, alleys, utility easements, and  other public passageways  within Johnson

Section 4: A franchise is hereby granted unto Inland Waste Solutions, LLC to provide residential collection and disposal of solid waste and recyclables along with composting service pursuant to the terms of the attached Contract, within the Johnson corporate limits as therein provided. Said franchise shall be for the effective dates of the Contract attached hereto.

Section 5: Since a question exists as to the effective date of ordinances passed without an emergency clause, there is no doubt that the provision for residential collection and disposal of solid waste and recyclables and affiliated services for the residents of the City of Johnson helps secure the public peace, health and safety. Therefore, an emergency is hereby declared to exist. This Ordinance shall be immediately effective upon its passage and approval.

PASSED AND APPROVED this 7th day of November, 2016.


This contract is entered into by and between the City of Johnson, Arkansas ("City") and Inland Waste Solutions, LLC ("Contractor") for the provision of solid waste and recycling collection, processing and disposal services.

 1. Term of Contract:  The initial term of this contract shall be for a period of thirty­  six months beginning January 1, 2017, and ending on December 31, 2019. There shall be one additional thirty-six-month option to renew the contract, which shall  be automatically exercised UN LESS notice is given by either party. To stop the automatic thirty-six-month extension from going into effect, either party must provide 120 days' written notice prior to December 31, 2019 to the other party  that they do not wish to exercise the thirty-six (36) month option to extend the contract.

2. Services Provided: Contractor shall be responsible for providing the following services to customers in the City of Johnson: pickup and proper disposal of residential solid waste; pickup, processing and marketing of residential recyclables. Residential solid waste consists of solid waste generated weekly in amounts of .5 cubic yards or less and residential recyclables consists of total recyclable materials generated weekly in amounts not exceeding .5 cubic yards.


 A. Residential SolidWaste:

  1. Contractor shall provide pickup of residential solid waste once pe rweek on Thursday. Contractor shall pick up residential solid waste and residential recyclables and bill the individual residential customers at the rates set forth on attached Exhibit A for the level of service selected b ythe customer,failure of a customer to select a level of service shall default to "Inside City Limits one time per week solid waste curbside pickup only" service level. This rate is exclusive of applicable sales taxes.Contractor shall be responsible for all billing for these (and other services available hereunder) services and collection of same. Advance billing may be either monthly or quarterly as desired by Contractor, however, failure of payment shall not be reason for Contractor to refuse collection and disposal of solid waste or recyclables. The solid waste and recyclables shall be placed curbside by the customer no later than 07:00 o'clock A.M. on the day of collection. The solid waste shall be placed in the polycart to be provided by Contractor. Recyclables shall be placed in recycling carts provided by Contractor.
  2. Customers may choose to utilize the yellow hag service at the per bag cost listed on Exhibit A for the indicated year. These yellow bags must be purchased from the City Contractor by customers wishing to utilize that service level. This program is designed for a low volume generator. These  bags  are  pre-purchased  and  the price of  the big includes the collection and disposal of the trash. These bags are to be set curbside by 7:00 A.M. on collection day. This level of service will also entitle a resident to participate in the curbside recycling and green bag programs as well as the bulky waste program, however the customer will have to pay the additional charge indicated on Exhibit A for the indicated year (being the difference between the charge for curbside solid waste pickup and the charge for curbside solid waste and recycling pickup), for curbside recycling and./or the costs for green bag services.
  3. Partial months will be billed at a rate proportional to the number of days left in the billingcycle.
  4. A green bag compost program will also be offered for weekly curbside collection on the same day as solid waste/recyclables arecollected. This program is designed for separation of lawn and leaf waste. This program will operate April through December of each year. The fee for this service will be the charge indicted on Exhibit A for the applicable year.  Bags to be purchased from City/Contractor.
  5. Contractor will offer back door service to those individuals that cannot place solid waste/recyclables curbside due to physical limitations. No additional charge for this service.

B. Residential Recyclables If elected

Contractor shall provide pickup of residential recyclables on the same day as solid waste collection occurs. Contractor shall pick up the following materials in the manner described.

i.  Corrugated Cardboard

ii. Chip Board

iii.  Newsprint

iv.   Magazines

V. Junk Mail/Residential Paper Mix

                                        vi..  PhoneBooks

                                       vii. Aluminum Cans

                                        viii. Steel Cans

                                       ix. Number 1 (PET) plastic bottles

                                       x. Number 2 (HDPE) plastic bottles

                                       xi. Additional materials when agreed to by City and Contractor.

These materials will be collected in a commingled manner utilizing the recycling cart supplied by the Contractor. Recyclable materials collected under this contract must be processed and marketed to valid secondary materials markets. No portion of this material,  other  than  typical processing waste, may be disposed of otherwise. Curbside recycling is covered by the fee listed above.

C.Commercial Solid Waste: Commercial Solid Waste consistsofsolid waste generated weekly in amounts of greater than .5 cubic yards (either  from businesses, residential multi units having a centralized container or others) who generate such amounts of solid waste. Each customer utilizing commercial solid waste disposal service shall contract with an authorized contractor for those services and such agreement shall provide for proper disposalofcommercialsolidwasteandthepickup processingandmarketing ofcommercialrecyclables.      All contracts for collection anddisposal of commercial solid Waste and/or commercial recyclables shall be approved by the City and copies of such agreements provided to the City.  City may monitor these services as needed to insure the health and safety of citizens  and  to check  compliance  with applicable  laws.   There is a separate fee of Sper annual or any  part  thereof  foreachCommercial Solid Waste Agreement with a Johnson customer to cover the costs of these services. These fees shall be paid, in advance when the agreement goes into effect.

D.Bulky Waste Collection: In addition to the weekly trash collection Contractor shall offer a twice per year, spring and fall, bulky waste collection for the City residents only. The Contractor shall continuously provide two (2) 30 yard open top containers and a compaction truck to be serviced as needed for each of the scheduled spring and fall cleanups. The Spring bulky waste collection period shall be in May each year and the fall bulky waste collection period shall be in September each year. These bulky waste collection periods shall be two (2) days each beginning on Friday and ending on Saturday (to be designated by the City) from 8:00 AM until 5:00 PM. Bulky waste material is defined as: Stoves, refrigerators which have CFC's removed and tagged by a certified technician, water tanks, washing machines, furniture, and other waste materials other than, construction debris, dead animals, or hazardous waste. The City will not be charged for the containers or "pulls" required to empty the containers.

3. Designated Disposal Facility: Contractor shall deliver all solid waste collected under this contract to a landfill fully approved and permitted by federal, state and other  (ifneeded) authorities.       Contractor is solely responsible forselectionof proper disposal facility and all collection. Processing, transfer, and delivery of solid waste to same as well as all chargesfees.

4. Reporting Requirements:  Contractor shall provide a report with the following information to the City on a quarterly basis. Except for January 20 l 7, these reports shall be due by the 15th of every April, July, October and January covering the prior three month's activities.  The City has the right to audit the records of   the Contractor to verify information in such reports during normal business hours of the Contractor.

a. Tons of solid waste collected and disposed of under this contract Number of residential customers served under this contract Number of commercial customers served under this contract Tons of recyclable materials collected and processed under this contract

b. Percentage breakdown of recyclable materials by material

c. Markets  utilized for selling collected recyclables during the previous three (3) months.

d. Percent of waste from recycling operations:

It is understood that the information in "e" and "g" above will of necessity be for overall recycling operations and not limited to materials collected under this contract.

5. Invoicing: The invoicing and collection for services will be the responsibility of the Contractor. Billing cycle will either be monthly or quarterly billed in advance. Quarterly billing cycle typically is January, April, July, and October of each year.  The Contractor shall be responsible for billing, collecting and remitting all sales and other taxes as applicable. If Contractor experiences residential customers who fail/refuse to pay for the services for a ninety (90) day period, Contractor may file a complaint with Johnson Police Department seeking prosecution for theft pursuant to ACA Sec. 5-36-101through 5-36-106, however, by filing the complaint Contractor agrees to provide for trial a witness capable of testifying that the Defendant(s) were provided the services and failed/refused to pay for those services for ninety (90) days or more.

6. Hours for Collection: All solid waste and recyclables must be curbside, in the appropriate containers, ready for pickup by the contractor no later than 7:00 a.m. on the morning of collection/pickup.

7. Missed Pickups: Calls for missed pickups will be directed to City offices and the City will maintain a log of missed pickups. When a call for a missed pickup is received, the City will notify the Contractor, who shall return and complete any missed pickups no later than 8:00 p.m. the day they receive the notification. Costs of missed collections shall be borne exclusively by the Contractor.

8. Holidays and Bad Weather Days:  If the regular collection day falls on one of  the following holidays, then the Contractor may skip collection on that day. but must collect those customers on the following day. Holidays on which collection may be delayed are:  New Year's Day, Memorial Day, Independence  Day,  Labor Day, Thanksgiving,  and Christmas Day. In the event inclement weather or other conditions outside the control of the Contractor makes collection hazardous or impossible, collection will be excused until the earliest possible opportunity to collect safely occurs.



9. Franchise Fee: Contractor shall be responsible for remitting a franchise feeequal to 4% of gross residential charges, not including sales taxes as may be applicable, under this contract to the City depending on how Contractor elects to bill. This fee shall be due by15thof the month following billing. There will be no charge for solid waste/recycling at City Hall, Police Station, Fire Stations, Maintenance Center, Parks and other municipal facilities which may be added as needed. Contractor shall provide containers and service to these locations as needed at no cost to the City of Johnson.

10. Performance Bond /Insurance: Contractor shall be responsible for maintaining a performance bond in the amount of $50,000.00. Such bond will be payable to the City and may be utilized by the City in the event that Contractor is no longer  fulfilling their duties under this contract. Contractor shall maintain a general liability policy of no less than one million dollars and automobile insurance on all vehicles utilized in City of not less than one million per accident and two million dollars cumulative. Failure to maintain  the performance  bond and/or one or both o fthe insurance policies will be grounds for terminating this contract at the City's  discretion.   Evidence of such bond and policies shall be provided to City annually before January 15.

11.Termination of Contract: In the event that Contractor fails to meet their obligations under this contract, the City will provide a notice of deficiency to the Contractor in writing. Contractor shall have 7 days from the date of the notice to correct the deficiency to the satisfaction of the City. If Contractor fails to correct the deficiency, the City has the discretion to terminate the Contract by providing written notice to the Contractor.  If there are more than three instances of a notice of deficiency being issued by the City within any twelve-month period, the City has the discretion to terminate this contract. Such termination for good cause will trigger payment on the above performance bond.

12. Price Escalators: Costs under this contract shall be fixed during the years indicated on Exhibit A for the initial term and the three year option. No other price escalations shall be allowed with the exception of an increase or addition in governmental fees beyond the control of the Contractor.

13. Excuse from Performance:    The City and Contractor shall be excused from performing their respective obligations hereunder in the event they are preforming from so performing by reason of floods, earthquakes, other acts of God, war, civil insurrection, riots,  acts  of  an  government,  and  other  similar  catastrophic  events which are beyond the control of and not the fault of the party claiming excuse from performance hereunder. The party claiming excuse from performance shall within twenty-four  (24) hours after such  party has notice of such cause give the other party


notice of the facts constituting such cause and asserting its claim to excuse under this Article. The intention or discontinuance of Contractor's services caused by one  or more of the events excused shall not constitute a default by Contractor under this Agreement.

14. Stipulated Penalties: In addition to any other remedies provided under this contract or by federal, state or local law, the following stipulated penalties are available to the City as against Contractor as stipulated damages:

  1. Missed  Pickups  in  Excess of 10 per week -  $10.00 each 
  2. Failure  to Collect  Unless Otherwise Excused Under this Contract - $ 1000.00/week
  3. Failure to Maintain Performance Bond/Insurance Policy or policies - $100.00/day after Jan 15
  4. Failure  to Properly Report - $1000.00/report
  5. Disposal of Recyclable Materials - $1.00/lb.

15. Exclusivity: Contractor shall be the exclusive provider of residential solid waste collection within the limits of the City during the term of this contract. Commercial and Industrial customers, including construction and demolition debris and roll-off services, shall not be subject to the terms of this contract and no exclusivity is granted nor implied. No exclusivity is granted concerning the collection of recyclables or bulkywastes. 

16. Indemnity: Contractor agrees to protect, indemnify, defend and save harmless the City, its officials, officers, employees and representatives from any loss, claim, liability, penalty, fine, forfeiture, demand, cause of action, suit and costs and expenses incidental thereto (including cost of defense and reasonable attorneys' fees), to the extent directly caused by any litigation arising from any legal  challenge to this Agreement, acts of Contractor, its agents or employees, matters relating to collection,  transfer, transport or disposal of solid waste or recyclables,  or to the billing of customers by Contractor for the foes provided for hereunder, provided that any cost of settlement shall be approved by Contractor in its sole discretion, withstanding such indemnification, in the event of any such legal challenge, Contractor may elect to terminate the Contract upon giving one hundred eighty ( 180) days prior  written  notice of such  termination.  Such  termination  shall not relieve Contractor of  its duty  to  protect,  indemnify,  defend  and  hold  harmless the City as  provided  herein.

17. Severability: Should any position of this contract be declared by a court of law as unenforceable, illegal or unconstitutional, the remainder of the contract shall remain in full force and effect.

18. Applicable Law:   This contract  shall  be construed  and  governed  in accordance with  the laws of the State of Arkansas.   Enforcement  of this contract  must  be  made


in the Courts of Washington  County Arkansas.

19. Notice:   All notices, demands,  requests,  proposals,  approvals, consents and other communications which this Agreement requires authorizes in writing and shall either be personally  delivered  to a representative of the  parties at the address below or be deposited in the United States mail, first class postage prepared, addressed asfollows:

          If to City: 

City of Johnson

P.O. Box 563 Johnson, AR 72741 

Attn:   Mayor

PH. (479) 521-7291 


If to Contractor:

Inland Waste Solutions, LLC

PO Box 1700

Lowell, AR  72745

PH. (479) 878-1384 or (479) 878-1385