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03. Citizen Request for Action - Jon Lindell - Waste Management Staff Report Date of Meeting: November 5, 2025 For: Honorable Mayor and Council From: Kyle Morell, City Administrator Subject: Citizen Request for Action - Jon Lindell – Waste Management Contract Jon Lindell has submitted the attached Citizen Request for Action. He would like the City to renegotiate our Contract with Waste Management for more favorable terms, believing that Waste Management has not complied with its terms. Attachments: Citizen Request for Action Form Four Email Chains between the City, Mr. Lindell and Waste Management Waste Management Contract 1 Kyle Morell From:jon lindel < Sent:Monday, October 13, 2025 11:07 AM To:Kyle Morell Subject:Re: WM letter of delinquency I received Kyle, this is getting crazier by the day. I'll respond to your questions after I explain some things and request additional info. 1) * I only receive recycling service so I have been paying the recycling fee. I never received a trash container and WM chose to bill me for the middle sized container. I never requested trash service * The Agreement doesn't explain that recycling only is not an option. I found this out when I contacted WM and the City the day I received the letter on Oct 8. * According to the Agreement, WM must notify me by Sept. 30 about its decision to certify the $550 billing to the City. Clearly the letter from WM was predated to make it appear to to be noticed by Sept 30. * I only receive recycling service so I have been paying the recycling fee. I never received a trash container and WM chose to bill me for the middle sized container. I never requested trash service * The Agreement doesn't explain that recycling only is not an option. I found this out when I contacted WM and the City the day I received the letter on Oct 8. * According to the Agreement, WM must notify me by Sept. 30 about its decision to certify the $550 billing to the City. Clearly the letter from WM was predated to make it appear to to be noticed by Sept 30. My questions: 1) What authority under City and state law allows Scandia to act as an agent for me and other residents? 2) What City statute authorizes Scandia to act as a collection agent for WM? 3) What notification did Scandia provide me that my service required both recycling and trash hauling? 4) The Agreement between Scandia and WM shows a billing rate specifically for recycling. Why would a reasonable person believe that recycling only is not an option? 5) The Agreement states that trash containers would be provided to customers. I received a recycling container from WM but no trash container. Given WM failure to provide a trash container (I never had one from the previous hauler either) how did WM determine to bill for a 64 gallon container much less any container? 6) Given WM failure to notify me by Sept. 30, as required by the Agreement, why is Scandia ignoring this provision? 7) How many other residents has WM sent the notice to that you are aware of? To respond to your responses 1 and 2) There was no highlighting of text in your response. Further the language you quote doesn't lead to your conclusion that recycling only is not permissible. 2 3) I have received billing every 2 months and promptly paid the recycling fee included on the bill. Because the bill also showed charges for services not received. I sent a copy of the Agreement listing charges with my payment. 4) As explained, I was never provided with a trash container. I appreciate your help to resolve this. JL On Fri, Oct 10, 2025 at 1:42 PM Kyle Morell <k.morell@ci.scandia.mn.us> wrote: Jon, I will address each of your concerns below. 1. I have copied an email from Waste Management that shares the state statute language with the City regarding charging for recycling. The relevant clause is highlighted in yellow. It states that the City shall prohibit WM from imposing a greater charge on residents who recycle than on residents who do not. WM charges $9.86 for recycling; therefore, those residents who do not recycle cannot be charged less. This is why residents either pay for garbage and recycling services or choose to self-haul and opt out of service. There is no option for only garbage service or only recycling service. 2. Section 2 of the City Contract states the following. The Contractor shall furnish all labor and equipment as shall be necessary and adequate to provide for the satisfactory collection, transportation, and proper separation and processing of the Municipal Solid Waste (“MSW”) and Recyclables from all Residential Dwellings in the City that elect to have contracted hauling services. The Contract applies to all residential properties within the City. Residents can either elect to have contracted hauling services or not. If you elect to have contracted hauling service, that service includes garbage and recycling. 3. Per the contract, by having recycling services through WM, you were also charged for garbage service. Have you been sent a bill in the past for your recycling? Have you paid them in the past two years for any services? 4. The contract required each resident to be provided with a garbage and recycling container. It sounds like you were never provided a garbage container. Is that correct? 3 I'll see what I can do to help, but if you've been using their recycling services, I'm not sure I can get a refund for garbage services you didn't use. What do you do with your trash? Kyle H. Morell City Administrator City of Scandia 14727 209th Street North Scandia, MN 55073 Phone: 651.433.2274 Fax: 651-433-5112 Cell: 651.245.2654 Web: www.cityofscandia.com Email: k.morell@ci.scandia.mn.us From: jon lindel < Sent: Thursday, October 9, 2025 5:15 PM To: Kyle Morell <k.morell@ci.scandia.mn.us> Subject: Re: WM letter of delinquency I received Four things. The Statute was misinterpreted by Scandia and doesn't require payment for waste disposal if the service is not provided regardless if recycling services are provided or not. Second provide the specific language that you rely on in the agreement between Scandia and WM that requires payment for the service not provided. 4 Third, since I never authorized garbage service, require WM to refund all of my prior payments. Fourth, if I never had a garbage container provided how was I suppose to get garbage service even if I wanted it? This is silly and stupid. On Thu, Oct 9, 2025 at 8:48 AM Kyle Morell <k.morell@ci.scandia.mn.us> wrote: Jon, The City has a contract with Waste Management (WM) to provide garbage and recycling services for all residential properties in the City. The contract stipulates that every residential property must have both garbage and recycling service, unless the resident decides to self-haul their garbage and recycling. If that is the case, they must notify the City, and I will contact WM to have the service canceled. Residents are not allowed to have only garbage or only recycling. This is due to language in the State Statute that says people who choose to recycle shall not pay more for their garbage service than those who choose not to recycle. Based on your email, it appears you only use recycling, which may have been allowed before the City signed the service contract with WM, but is not allowed under the contract. You must pay for both garbage and recycling, even if you only use one of these services. Or you can self-haul your garbage and recycling, and cancel your service with WM. Please let me know how you would like to proceed. Kyle H. Morell City Administrator City of Scandia 14727 209th Street North Scandia, MN 55073 Phone: 651.433.2274 Fax: 651-433-5112 Cell: 651.245.2654 5 Web: www.cityofscandia.com Email: k.morell@ci.scandia.mn.us From: jon lindel < Sent: Wednesday, October 8, 2025 4:24 PM To: Kyle Morell <k.morell@ci.scandia.mn.us> Subject: WM letter of delinquency I received Ken, I received a letter from Waste Management that they would certify a debt to Washington County for a crazy $550 debt for services I never received. When I called they said I owed for trash pickup because I get (and pay for) recycling. I have never received trash pickup from anyone including WM. I don't even have a trash container. According to WM they are authorized to charge for services not provided because I get recycling services. They claim Scandia agrees. I would appreciate your intervention otherwise we are headed for a lawsuit. regards, jl 1 Kyle Morell From:jon lindel < Sent:Friday, October 17, 2025 11:48 AM To:Kyle Morell; s.kronmiller Subject:Re: Email followup re your representation of WM Any contract can be renegotiated at any time despite a provision otherwise. Do you think WM would refuse renegotiation? I don't think so! On Fri, Oct 17, 2025 at 11:20 AM Kyle Morell <k.morell@ci.scandia.mn.us> wrote: Jon, The terms of the contract permit termination only for material breach or unsatisfactory performance by the Contractor, as stated in Section 1.2 of the Agreement. I do not believe your concerns rise to this level. The City’s agreement with WM terminates on December 31, 2030. The City will look to renegotiate or go out for an RFP for service in early 2030. Kyle H. Morell City Administrator City of Scandia 14727 209th Street North Scandia, MN 55073 Phone: 651.433.2274 Fax: 651-433-5112 Cell: 651.245.2654 Web: www.cityofscandia.com Email: k.morell@ci.scandia.mn.us 2 From: jon lindel <jon.scandia@gmail.com> Sent: Thursday, October 16, 2025 3:57 PM To: Kyle Morell <k.morell@ci.scandia.mn.us> Cc: s.kronmiller <s.kronmiller@ci.scandia.mn.us> Subject: Re: Email followup re your representation of WM Thanks for following up. I think you have the clout to demand WM fix it not only for me but all residents who received a notice. I also think the Agreement sb renegotiated. I will be glad to participate in that. I have done negotiations with Xcel, MP, Otter Tail in my work at the AG.s Office. I was an expert witness in virtually every utility case to raise rates regulated by the PUC. Hate to sound like Trump but have saved billions, maybe trillions in ratepayer utility costs. ≈≉≊≋≌ Lets renegotiate a fairer and cheaper Agreement following Stillwater's template Agreement. On Thu, Oct 16, 2025 at 3:45 PM Kyle Morell <k.morell@ci.scandia.mn.us> wrote: Jon, Hopefully, we can get your charges removed. Our ordinance states that each resident must contract with WM for service. Please note that our contract restricts your service option to either garbage and recycling or no service from WM. If you choose no service, then you are responsible for the legal disposal of your garbage and recycling. Kyle H. Morell City Administrator 3 City of Scandia 14727 209th Street North Scandia, MN 55073 Phone: 651.433.2274 Fax: 651-433-5112 Cell: 651.245.2654 Web: www.cityofscandia.com Email: k.morell@ci.scandia.mn.us From: jon lindel < Sent: Thursday, October 16, 2025 3:20 PM To: Kyle Morell <k.morell@ci.scandia.mn.us>; s.kronmiller <s.kronmiller@ci.scandia.mn.us> Subject: Re: Email followup re your representation of WM Thanks for facilitating a resolution. I am well aware that a City can designate a single hauler. Nothing new there. Stillwater does not require both trash and recycling be paid for according to their website. I have a call in to confirm that. Stillwater also has a SUBSTANTIALLY .lower fee schedule. Also, as I pointed out there is a requirement that a resident individually has to contract with WM for service. That is a requirement by law that I pointed out and Scandia did not comply. Further, this is a copy from the Stillwater website that is relevant. Residents must retain service directly with Waste Management or call (952) 890-1100. You will receive a bill from Waste Management 4 quarterly. Residents can only use the collection carts provided by Waste Management. regards, j On Thu, Oct 16, 2025 at 2:53 PM Kyle Morell <k.morell@ci.scandia.mn.us> wrote: Jon, I will ask WM these questions. I am gaining as much knowledge about the situation before contacting WM. State Statute is firmly on our side here, Jon. Most cities contract with a single garbage hauler. Our contract with WM is not unique or in violation of any ordinance, law, or statute. Our contract is a copy of the WM contract with the City of Stillwater; the terms and conditions are the same. I will reach out to WM today and ask about what can be done about your balance. I will inform them that you did not request garbage service, did not receive a container, and even notified them on your bill that you do not have or want this service. If you wish to bring it to the Council, you will need to complete the Council Request for Action Form, available at the link below. https://www.cityofscandia.com/residents/how_do_i_/council_agenda_request.php Kyle H. Morell City Administrator 5 City of Scandia 14727 209th Street North Scandia, MN 55073 Phone: 651.433.2274 Fax: 651-433-5112 Cell: 651.245.2654 Web: www.cityofscandia.com Email: k.morell@ci.scandia.mn.us From: jon lindel < Sent: Thursday, October 16, 2025 10:58 AM To: Kyle Morell <k.morell@ci.scandia.mn.us>; s.kronmiller <s.kronmiller@ci.scandia.mn.us> Subject: Email followup re your representation of WM I was surprised by your email defending Waste Management even ignoring the Agreement provisions entered into between Scandia and WM. Its disappointing that you are not representing Scandia and its residents in a dispute with Waste Management. Instead you represent the interests of WM. I think there is an ethical issue there. Your responses take the position that I am responsible for knowing the conditions that are not spelled out in the Agreement. When I sent my payments I put WM on notice that I did have a trash container and did not want that service. No response from WM. You should have asked WM what information they used to decide to bill me for a 64 gal. trash container. You should have asked WM why they did not provide a trash container. 6 I also want to know what Scandia ordinance provides for the WM Agreement and when was it published? Here is a quote from Scandia Code 52.10. 52.10 RATES, FEES, AND COLLECTION OF CHARGES. (A) Rates, fees, and billings are determined by the contract the city has with hauler. In all residential dwellings, it shall be the responsibility of the property owner to contract with the city's hauler to provide for the collection of the solid waste and recycling materials in accordance with this chapter. The property owner shall be responsible and liable hereunder whether or not the said owner occupies or resides in the building and whether or not said premises is leased or rented to another. I never contracted with WM nor I'm sure did any other resident. Further MN Stat. 429.10 does not identify trash service as a certifiable cost to be recovered in property taxes. And, its not a Scandia cost. Again, Scandia should not be the collection agent for WM. I want to address the full Council regarding this matter. Provide all the emails exchanged between us to each council member for a meeting to discuss this matter. Provide an explanatory response to my statutory issues raised in this email. jl 1 Kyle Morell From:jon lindel < Sent:Friday, October 24, 2025 9:15 AM To:Kyle Morell; s.kronmiller Subject:Re: Scandia - 11240 218th St N - Lindel I knew that. A Stillwater resident pays a few bucks for that service. A Scandia resident pays double or more for the same service. On Fri, Oct 24, 2025 at 8:54 AM Kyle Morell <k.morell@ci.scandia.mn.us> wrote: Jon, The Washington County surcharge funds the operation of the Environmental Centers, which are open to all Washington County residents at no cost. Kyle H. Morell City Administrator City of Scandia 14727 209th Street North Scandia, MN 55073 Phone: 651.433.2274 Fax: 651-433-5112 Cell: 651.245.2654 Web: www.cityofscandia.com Email: k.morell@ci.scandia.mn.us From: jon lindel < Sent: Thursday, October 23, 2025 5:06 PM 2 To: Kyle Morell <k.morell@ci.scandia.mn.us>; s.kronmiller <s.kronmiller@ci.scandia.mn.us> Subject: Re: Scandia - 11240 218th St N - Lindel To tell the truth unlike WM, I probably received the recycling container about 2/24 but not a trash container. They also lied about timely sending the notice regarding the threat to have Scandia certify the fraudulent debt. A nine day delivery time frame to send a letter from Savage, MN to Scandia to meet the notice deadline in the contract is not plausable unless they sent it by pony express. I suspect the other 85 residents (probably 170 voters) were similarly defrauded. Scandia should get out of the business of being a collection agent for WM. Or, renegotiate the rates to mimic Stillwaters. None of this mess would have happened if rates were reasonable. Note that there is a 39% adder from Washington County and state assessments that is based on the trash charge. Residents are punished further for an unreasonable rate with the tax adders. Residents would greatly appreciate work by Scandia to renegotiate. On Thu, Oct 23, 2025 at 4:29 PM Siebels, Diana < wrote: Hi Kyle, On to this one. This certainly highlights some frustration and confusion when I review the account. There was a trash cart delivery ticket entered on 2/6/2024 and shows a 64-gal trash cart was delivered on 2/8/2024 at 10:41 am. However, I am also showing inconsistencies regarding trash services and notifications. Mainly “not outs” listed by the drivers. Subsequently, our Smart Truck system is active, and it is capturing photos from recycling service, but no images on trash service. 3 Recently, finding that John called into WM on 10/8 to review the account. Notes and your below outline from 10/16 do not line up (cancel service vs deliver a cart & credit). I have requested to see if we can get the call pulled. I am going to give our Customer Service Team a bit to research and take actions. Request is out for a proactive call to John to review service levels, select his preferred trash cart size, and to credit trash charges for services not rendered. I will send you an update after CS research, call review, and actions can be rendered. I am monitoring the account starting tomorrow afternoon for a timely update. Diana Siebels Area Manager Residential Market dsiebels@wm.com C: 218-206-1712 3101 W Superior St Duluth, MN 55806 Access WM 24/7 with MyWM From: Kyle Morell <k.morell@ci.scandia.mn.us> Sent: Thursday, October 16, 2025 3:39 PM 4 To: Siebels, Diana < Cc: jon lindel < ; s.kronmiller <s.kronmiller@ci.scandia.mn.us> Subject: [EXTERNAL] Scandia - 11240 218th St N - Lindel Diana, The resident at the above address received an assessment notice from WM for $550 for unpaid garbage service. The resident does not have garbage service, only recycling. He did not request garbage service and has never received a container for it. He has used and paid for recycling services and has repeatedly informed WM that he does not have or want garbage service. Section 8.2 of our contract with WM requires that a garbage and recycling container be provided to each property. With no garbage container delivered to the above address, the property owner made the reasonable assumption that he did not have the service and therefore should not have to pay for it. Unfortunately, his repeated attempts to inform WM of this fact were not responded to. Section 4.1 of our contract states that WM must notify the City of residential dwelling units that stop paying for curbside services. If this had been done when the resident stated he did not have service and therefore did not pay for it, a resolution could have been achieved without the accumulation of past-due fees. Additionally, the City Code Section 52.10 states the following. § 52.10 RATES, FEES, AND COLLECTION OF CHARGES. (A) Rates, fees, and billings are determined by the contract the city has with hauler. In all residential dwellings, it shall be the responsibility of the property owner to contract with the city's hauler to provide for the collection of the solid waste and recycling materials in accordance with this chapter. The property owner shall be responsible and liable hereunder whether or not the said owner occupies or resides in the building and whether or not said premises is leased or rented to another. This section requires the resident and WM to agree on the service level for the property. This resident repeatedly attempted to notify WM that they had not received a service for which they were being billed, and WM ignored their attempts. I am requesting that WM remove the $550 past due balance from the resident's account. And work with the resident on a service level, within the allowance of the City contract, that they would prefer. I look forward to your response. 5 Kyle H. Morell City Administrator City of Scandia 14727 209th Street North Scandia, MN 55073 Phone: 651.433.2274 Fax: 651-433-5112 Cell: 651.245.2654 Web: www.cityofscandia.com Email: k.morell@ci.scandia.mn.us Recycling is a good thing. Please recycle any printed emails. 1 Kyle Morell From:jon lindel < Sent:Monday, October 27, 2025 2:38 PM To:Siebels, Diana Cc:Kyle Morell; s.kronmiller Subject:Re: Scandia - 11240 218th St N - Lindel BTW. I apparently misplaced my copy of the contract between WM and me, which is required by law in Scandia. Pls send me a copy of that contract. On Mon, Oct 27, 2025 at 2:25 PM jon lindel < wrote: To WM. Interesting that you acknowledge billing for undelivered services now after its been festering for over 12 months. Must be the involvement of the Attorney General, which has a history of dealing with WM complaints. I won't agree to any charges that you claim are due. I also will decide at the end of November if I want to get service from your corrupt company. I have already paid for that service. Its pathetic that your corporate agenda is to use cities to collect your bad debts through property taxes. Further, your notice dated Sept 29 was not timely made. I received the notice Oct, 8th, which is the date I responded to WM and the City of Scandia. Clearly a predating of the notice to comply with the Agreement with Scandia. Goes to show what greedy pigs that WM is and how you operate. Provide this and your response to the Attorney Generals Office. On Fri, Oct 24, 2025 at 5:11 PM Siebels, Diana < wrote: Hi Kyle, I have an update as of this afternoon. I do not have the call record but do have notes from the 10/8 call placed on the account. The 10/8 communication is the only record of Mr. Lindell calling into WM to report issues or make any inquiries. This month is the only time this has been brought to our attention to address. Our customer service team has called out to the listed phone number and was able to leave a message late this morning to provide an update and allow Mr. Lindell to select his size of trash cart. Callback was requested to ensure we have the right services and cart delivered per his pending size request. 2 The account has a credit submitted in the amount of $647.75. This covers all trash and associated taxes back to 2/2024. This however does not balance off the entire account. There will be a remaining $29.58 in recycling service charges still due. For reference on these numbers, I have pulled a billing and payment history breakdown for subsequent details on the remaining balance. Please see attached as a reference. We look forward to hearing from Mr. Lindell regarding his selected trash service size so we can deliver the selected cart ASAP. Glad to be able to address this concern. Let us know if there are other questions. Kind Regards, Diana From: jon lindel <jon.scandia@gmail.com> Sent: Thursday, October 23, 2025 5:10 PM To: Siebels, Diana <dsiebels@wm.com>; Kyle Morell <k.morell@ci.scandia.mn.us>; s.kronmiller <s.kronmiller@ci.scandia.mn.us> Subject: [EXTERNAL] Re: Scandia - 11240 218th St N - Lindel Note that the disputed amount is more than the $550 that WM wants certified. Since I paid the recycling charge and received no trash service the account amount should be -0-. On Thu, Oct 23, 2025 at 4:29 PM Siebels, Diana <dsiebels@wm.com> wrote: Hi Kyle, On to this one. This certainly highlights some frustration and confusion when I review the account. 3 There was a trash cart delivery ticket entered on 2/6/2024 and shows a 64-gal trash cart was delivered on 2/8/2024 at 10:41 am. However, I am also showing inconsistencies regarding trash services and notifications. Mainly “not outs” listed by the drivers. Subsequently, our Smart Truck system is active, and it is capturing photos from recycling service, but no images on trash service. Recently, finding that John called into WM on 10/8 to review the account. Notes and your below outline from 10/16 do not line up (cancel service vs deliver a cart & credit). I have requested to see if we can get the call pulled. I am going to give our Customer Service Team a bit to research and take actions. Request is out for a proactive call to John to review service levels, select his preferred trash cart size, and to credit trash charges for services not rendered. I will send you an update after CS research, call review, and actions can be rendered. I am monitoring the account starting tomorrow afternoon for a timely update. Diana Siebels Area Manager Residential Market dsiebels@wm.com C: 218-206-1712 3101 W Superior St Duluth, MN 55806 Access WM 24/7 with MyWM 4 From: Kyle Morell <k.morell@ci.scandia.mn.us> Sent: Thursday, October 16, 2025 3:39 PM To: Siebels, Diana < Cc: jon lindel < ; s.kronmiller <s.kronmiller@ci.scandia.mn.us> Subject: [EXTERNAL] Scandia - 11240 218th St N - Lindel Diana, The resident at the above address received an assessment notice from WM for $550 for unpaid garbage service. The resident does not have garbage service, only recycling. He did not request garbage service and has never received a container for it. He has used and paid for recycling services and has repeatedly informed WM that he does not have or want garbage service. Section 8.2 of our contract with WM requires that a garbage and recycling container be provided to each property. With no garbage container delivered to the above address, the property owner made the reasonable assumption that he did not have the service and therefore should not have to pay for it. Unfortunately, his repeated attempts to inform WM of this fact were not responded to. Section 4.1 of our contract states that WM must notify the City of residential dwelling units that stop paying for curbside services. If this had been done when the resident stated he did not have service and therefore did not pay for it, a resolution could have been achieved without the accumulation of past-due fees. Additionally, the City Code Section 52.10 states the following. § 52.10 RATES, FEES, AND COLLECTION OF CHARGES. (A) Rates, fees, and billings are determined by the contract the city has with hauler. In all residential dwellings, it shall be the responsibility of the property owner to contract with the city's hauler to provide for the collection of the solid waste and recycling materials in accordance with this chapter. The property owner shall be responsible and liable hereunder whether or not the said owner occupies or resides in the building and whether or not said premises is leased or rented to another. This section requires the resident and WM to agree on the service level for the property. This resident repeatedly attempted to notify WM that they had not received a service for which they were being billed, and WM ignored their attempts. I am requesting that WM remove the $550 past due balance from the resident's account. And work with the resident on a service level, within the allowance of the City contract, that they would prefer. 5 I look forward to your response. Kyle H. Morell City Administrator City of Scandia 14727 209th Street North Scandia, MN 55073 Phone: 651.433.2274 Fax: 651-433-5112 Cell: 651.245.2654 Web: www.cityofscandia.com Email: k.morell@ci.scandia.mn.us Recycling is a good thing. Please recycle any printed emails. MUNICIPAL SOLID WASTE AND RECYCLING SERVICE AGREEMENT BETWEEN THE CITY OF SCANDIA AND WASTE MANAGEMENT OF MINNESOTA, INC. January 1, 2024 – December 31, 2030 City of Scandia Agreement TABLE OF CONTENTS 1 TERM OF THE AGREEMENT. .............................................................................................................................. 1 2 SCOPE OF THE AGREEMENT. ............................................................................................................................. 1 3 DEFINITIONS. ......................................................................................................................................................... 1 4 BILLING. ................................................................................................................................................................... 3 5 DISPOSITION OF MATERIALS. .......................................................................................................................... 5 6 COLLECTION LOCATION, SCHEDULE AND DAILY SERVICE HOURS. ..................................................... 5 7 WALK-UP/VALET SERVICE .............................................................................................................................................. 8 VOLUME BASED MSW SYSTEM ...................................................................................................................................... 9 MSW TIPPING FEES/HAULER REBATE. ......................................................................................................... 7 10 RECYCLING. ............................................................................................................................................................. 7 11 DATA RETENTION AND REPORTING. ............................................................................................................. 8 12 COOPERATION. ...................................................................................................................................................... 8 13 CUSTOMER SERVICE. ........................................................................................................................................... 8 14 DISPUTE RESOLUTION. ....................................................................................................................................... 8 15 LIQUIDATED DAMAGES ......................................................................................................................................... 16 MUNICIPAL FACILITIES AND CITY EVENTS COLLECTION REQUIREMENTS. ....................................... 9 17 EQUIPMENT. ........................................................................................................................................................... 9 18 PERSONNEL REQUIREMENTS. ........................................................................................................................ 10 19 LICENSES AND PERMITS. .................................................................................................................................. 11 20 SCHEDULES. .......................................................................................................................................................... 11 21 CHANGE IN COLLECTION SCHEDULE. ........................................................................................................... 11 22 INSURANCE REQUIREMENTS .......................................................................................................................... 11 23 TRANSFER OF INTEREST. ................................................................................................................................. 13 24 NON‐ASSIGNMENT AND BANKRUPTCY. ...................................................................................................... 13 25 DISPUTE RESOLUTION AND ARBITRATION PROCEDURES. ................................................................. 13 26 PERFORMANCE BOND, PAYMENT BOND. ................................................................................................... 13 27 GENERAL COMPLIANCE. ................................................................................................................................... 13 28 HOLD HARMLESS. ............................................................................................................................................... 14 29 ACCOUNTING STANDARDS. ............................................................................................................................. 14 30 RETENTION OF RECORDS. ............................................................................................................................... 14 31 DATA PRACTICES. ............................................................................................................................................... 14 32 INSPECTION OF RECORDS. ............................................................................................................................... 14 33 APPLICABLE LAW. .............................................................................................................................................. 14 34 AGREEMENT TERMINATION. .......................................................................................................................... 15 35 EMPLOYEE WORKING CONDITIONS AND CONTRACTOR’S SAFETY PROCEDURES....................... 15 36 AGREEMENT AMENDMENTS. .......................................................................................................................... 15 37 MISSED COLLECTIONS AND CLEANUPS. ...................................................................................................... 15 38 CURBSIDE RULES AND REGULATIONS. ........................................................................................................ 15 39 GUARANTY OF NONDISCRIMINATION. ........................................................................................................ 16 40 RENEWAL TERMS. .............................................................................................................................................. 16 APPENDIX “A” ‐ SOLID WASTE & RECYCLING RATES ..................................................................................... 18 APPENDIX “B” ‐ RECYCLABLES ................................................................................................................................ 19 Page 1 of 22 AGREEMENT THIS AGREEMENT, made this day of , 2023 (the “Effective Date”) by and between Waste Management of Minnesota, Inc., “Contractor,” and the City of Scandia, a municipal corporation of the County of Washington, State of Minnesota, “City;” 1 TERM OF THE AGREEMENT. The term of this Agreement shall be October 1, 2023 through September 30, 2030. 1.1 The Agreement may be extended upon mutual agreement with the City or Contractor notifying the other party ninety (90) days in advance of the end of the Agreement. The Agreement terms and conditions, with the exception of the end date, shall not change or be modified. 1.2 The City reserves the right to terminate this Agreement for material breach or unsatisfactory performance by Contractor. Termination shall not affect the City’s right to make a claim against Contractor or its Performance Bond for the damages on account for such a breach. 2 SCOPE OF THE AGREEMENT. The Contractor shall furnish all labor and equipment as shall be necessary and adequate to provide for the satisfactory collection, transportation, and proper separation and processing of the Municipal Solid Waste (“MSW”) and Recyclables from all Residential Dwellings in the City that elect to have contracted hauling services. 3 DEFINITIONS. All items or phrases used in this Agreement shall have the meaning given to the terms in Minn. Stat. §§ 115A.01 – 115A.03, the City of Scandia 2040 Comprehensive Plan, the Washington County Waste Management Master Plan 2012 – 2030, and any updates to those Plans approved by the City or the County. Specific items listed in each definition shall be considered examples of the type of Solid Waste or Recyclables within each category. 3.1 “Abatement.” The processes required to remove an assessment once charges have been certified to the county auditor for collection with the real estate taxes . 3.2 “Appliances.” A device or instrument, especially an electrical device, designed to perform a specific function for household use. (Examples: washer, dryer, water heater, toaster, microwave, dehumidifier, air conditioner, etc. “ 3.3 “Bulk Waste.” Furniture, large toys, bicycles, lawn mowers, lawn chairs, carpet and other Solid Waste with weights or volumes greater than those allowed for bags or Carts. Bulk Waste does not include construction debris, hazardous waste or Consumer Electronics. (Examples: doors, windows, mattresses, etc.) 3.4 “Cart,” or “Curbside Cart.” Containers for MSW or, Recyclables equipped with wheels and a lid in the following standardized sizes (approximate capacities): thirty-five (35) gallon (Small), sixty-four (64)-gallon (Medium), ninety-six (96)- gallon (Large) further referred to as “Small”, “Medium”, or “Large.” Page 2 of 22 3.5 “Collection.” The aggregation and transportation of Solid Waste from the place at which it is generated and includes all activities up to the time when it is delivered to a processing facility. 3.6 “Consumer Electronics.” Any discarded device generated in a Residential Unit with a circuit board, including (but not limited to): televisions, computers, laptops, tablets, computer monitors, peripherals (e.g., keyboard, printer, mouse, etc.), cell phones, PDAs, DVD recorders/players and video cassette recorders/players, and fax machines. 3.7 “Contractor.” The City’s Solid Waste Contractor, Waste Management of Minnesota Inc. (“WM”). 3.8 “Curb” or “Curbside.” That portion of the right-of-way adjacent to paved or traveled roadways, including alleys. 3.9 “Curbside Solid Waste and Recycling Services.” The Solid Waste collection services specified within this Agreement. 3.10 “Disposal.” The treatment, utilization, processing, transfer or deposit of Solid Waste. 3.11 “Excess Household Waste.” Normal household waste that exceeds the capacity of the resident’s Cart and is subject to a special fee for pick up. 3.12 “Hazardous Wastes.” Defined in state statute, state rule and county ordinance. Wastes are hazardous in Minnesota when they display one or more of these characteristics: ignitability, corrosively, reactivity, toxicity, lethality or are an oxidizer. These materials are not accepted at curbside Solid Wastes collection. 3.13 “Holidays.” Any of the following: New Year’s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day 3.14 “Mixed Municipal Solid Waste (MSW).” Defined in accordance with Minn. Stat. §§ 115A.01 – 115A.03, including garbage, refuse, rubbish, trash from residential and community activities that the generator of the waste aggregates for collection. MSW does not include auto hulks, street sweepings, ash, construction debris, tree and agricultural wastes, tires, lead acid batteries, motor and vehicle fluids, filters, and Hazardous Waste and other materials collected, processed, and disposed of as separate waste streams. Also referred to in this Agreement as “Solid Waste”. 3.15 “Non targeted materials.” Materials that are not designated mutually by the City and Contractor as Recyclable. 3.16 “Normal Household Waste.” Mixed Municipal Solid Waste typically generated by Residential households. 3.17 “Processing.” The sorting, volume reduction, baling, containment or other preparation of Recyclables delivered to a facility for transportation or marketing purposes. Page 3 of 22 3.18 “Processing center.” A facility in which solid waste and recyclable materials are processed. The facility will conform to all applicable rules, regulations, and laws of state, local or other jurisdictions. 3.19 “Recyclables.” - See Appendix “B” for the acceptable and unacceptable materials list.Contractor reserves the right upon notice to City to discontinue acceptance of any category of materials set forth above as a result of market conditions related to such materials and makes no representations as to the recyclability of the materials. . 3.20 “Residential Dwelling” shall include single and two-family dwellings, including residential manufactured homes . 3.21 “Resource Recovery Facility.” A waste and recycling facility contracted by and/or operated by the Ramsey/Washington Recycling and Energy Board (R & E Board) in which Solid Wastes are processed. 3.22 “Senior or Adjusted Accounts.” Residential Dwelling where not more than two people reside where the head of Residential Dwelling is 62 years of age or older or has a temporary disability reasonably projected to last greater than 30 days or permanent disability, regardless of age. In order to qualify for this program, the resident must:  Be physically unable to wheel their cart to the curb for collection.  Have no other person who can assist them, such as a spouse or other live-in family member or a personal assistant.  Place the carts within a reasonable distance of approximately 75 feet from the edge of the roadway. 3.23 “Single-sort Recycling.” The required Recyclables Collection method in which items designated as “Recyclable materials” or “Recyclables” are placed in a Recycling Cart, without being sorted, for Curbside Collection. 3.24 “Solid Wastes.” Shall have the same meaning as MSW; the general term for the Wastes addressed by this Agreement. 3.25 “Yard Waste.” Grass trimmings, leaves, garden wastes, twigs and miscellaneous tree seeds and cones, and bundled brush not exceeding four (4’) feet in length or forty (40) pounds per bundle. 4 BILLING. 4.1 Contractor shall be responsible for billing and collecting charges from all Residential Dwellings serviced under this Agreement. Contractor may apply interest charges, but no greater than the maximum interest permitted by law shall be applied Page 4 of 22 to balances due and unpaid after more than fifteen (15) days beyond the due date. Contractor shall immediately report to the City all Residential Dwellings that stop paying for Curbside Solid Waste and Recycling Services. 4.2 Residential Solid Waste & Recycle Material Collection (Fees) and Annual Rate Increases. The Contractor’s service fees for Residential Dwellings using Carts for Solid Waste and Recycling Services (“Service Fees”) shall be determined in accordance with the fee schedule attached hereto as Appendix “A”. This schedule will be in effect during the period of October 1, 2023 until December 31, 2023. Thereafter, the Service Fees shall be increased on January 1 of each year by the average percentage of the consumer price index for urban consumers (CPI-U) for water and sewer and trash collection services from November to November of the previous three years. The disposal fee component of the service fee shall be increased by the same percentage as any increase in the cost of disposal at the Resource Recovery Facility. 4.3 Certification of Unpaid Bills. City will certify to Washington County, on an annual basis, all delinquent Service Fees. These amounts will be assessed on and payable with the owner of the Residential Dwelling’s property taxes. As required by Minnesota Statutes to assess Solid Waste delinquent billing amounts, the Contractor must complete the following Certification process:  Send Notices/Certification Letters to Residential Dwelling Account Holders/Property Owners of the properties (“Letter”) no later than September 30th each year to meet Minnesota Statute requirements of 45 days to pay before certification (November 15th each year).  Letter must include the certification amount for Unpaid Balances for July 1st of previous year thru June 30th of current year and must not consist of delinquent charges for any other period.  Letter must include Due Date of November 15th for payment of Unpaid Balance to avoid certification.  Letter must provide a contact name and telephone number of Contractor to answer questions regarding certification letters, amounts of certifications, etc., to ensure that customer service does not refer them back to the City.  Provide a copy of all Letters sent to Residential Dwelling Account Holders/Residential Dwelling Owners to the City no later than September 30th in electronic form (i.e. flash drive or CD) for the City’s records.  Create Certification list with verified Property ID numbers formatted as ##.###.##.##.#### (County Requirement and supplied to Contractor by the City) and Amounts for Certification by the 3rd Friday of November.  The Contractor shall provide the City with the list to be certified in an electronic format.  Any changes in Property ID numbers that were corrected and emailed to the Contractor by the City the previous year need to be reflected in the current year.  Contractor understands that should any part of the above Certification Process as Page 5 of 22 described above is not completed the City will not certify any delinquent billings to the County until the following year in order to meet Minnesota Statute assessment requirements. 4.4 Process for Changes (for any reason) after Current Year Certification to the County.  Contractor must present a written request to the City for the change/abatement.  City staff will present the abatement request to the City Council for approval.  City staff will send the abatement to Washington County.  Certification list for totals remaining due must be adjusted to reflect new expected payment amounts.  Flat Fee to City of $25.00 per change/abatement, as defined under Section 3, Definitions, will be deducted from the Final City Payment to Contractor. 4.5 Previous Years Certification Refunds. Should there be any refunds for the previous year’s abatement, the Contractor will be responsible for refunding the full amount of the special assessment to the Residential Dwelling Account Holders/Property Owners. 4.6 Payment of Certification Funds. City will reimburse the Contractor within 60 days from the completion of the certification process. 5 DISPOSITION OF MATERIALS. 5.1 The responsibility for all Solid Waste collected shall be that of the Contractor from the time of pick-up. Thereafter, ownership remains with the Contractor until the Contractor has properly disposed of or marketed the collected materials. 5.2 Contractor shall dispose of Recyclables at a facility for Processing as it deems advisable, but in compliance with all City, County, State, and Federal laws and rules. Contractor may not transport the Recyclables to a mixed municipal solid waste disposal facility and shall not landfill, incinerate, compost, or make fuel pellets out of the Recyclables; provided the Resource Recovery Facility is operational and has capacity. The Contractor shall, upon the request of the City, inform the City in writing of the method of disposal and of any changes in the method. 5.3 Contractor will deliver MSW generated by municipal activities, including waste services contracts/agreements arranged for by the City on behalf of its residents, to the Ramsey/Washington County Recycling and Energy Board (R&E Board) Facility located in Newport, MN. 6 COLLECTION LOCATION, SCHEDULE AND DAILY SERVICE HOURS. 6.1 Contractor shall make MSW curbside pickup at all Residential Dwellings in the City one time per each week during the term of this Agreement. All MSW from each Residential Dwelling, shall be collected on the same day. 6.2 Single-sort Recycling shall be picked up every other week on the same day as MSW is collected. 6.3 Daily service hours shall be between the hours of 7:00 a.m. and 7:00 p.m. No Collection service shall take place outside of these hours. Page 6 of 22 6.4 After the Contractor has picked up the MSW and Recycling from a Residential Dwelling, the Contractor shall return all carts to a point that does not impede the roadway. 7 WALK‐UP/ VALET SERVICE. 7.1 The Contractor will provide a walk-up, or valet, service for MSW and Recyclables Collection for Senior or Adjusted Accounts. For these stops, the Contractor walks the cart(s) down to the curb, empties the cart(s), and walks the cart(s) back up to its original location. It is expected that driveways will be maintained in passable condition, have no greater than a moderate slope (max. 15%), and surface may be gravel and/or paved. 7.2 This service will be offered at the same rate as the Curbside Solid Waste and Recycling Services provided in Appendix A. It shall be the responsibility of the City to maintain and verify service eligibility. In addition, the Contractor shall provide this service as a temporary option (i.e. a resident recovering from surgery, injury and/or other temporary physical restriction) or as a re-occurring annual option for Senior or Adjusted Accounts. 8 VOLUME BASED MSW SYSTEM. 8.1 Volume/Weight-based MSW fees must be offered to each Residential Dwelling, in compliance with MN Stat. § 115A.93 sub. 3. 8.2 The Contractor shall furnish Carts for MSW in small, medium, and large sizes to Residential Dwellings. Residents shall be allowed to choose the number and size of the Cart(s) for their residence to be delivered by Contractor if not already provided and will be billed according to the Rate Schedule attached as Appendix A. . If the Contractor chooses to supply Carts that are slightly larger than the sizes listed above, it shall be considered in compliance with this provision. Carts will remain the property of the Contractor. 8.3 Carts shall be identified with the name of the Contractor. The City acknowledges that the majority of carts in use within Scandia bear the name of a company acquired by the Contractor. The Contractor shall either replace these carts or modify (i.e. sticker) them to identify them with the WM name no later than January 1, 2025. 8.4 In the event a Residential Dwelling desires collection of MSW in excess of the Cart size it has selected, the Contractor shall pick up the excess MSW and include on the Residential Dwelling’s quarterly invoice an amount of $3.00 for each additional thirty (30)- gallon bag or equivalent of excess MSW. 8.5 The Contractor shall not be obligated to change Cart size more than once annually and upon less than thirty (30) days’ notice. 8.6 The Service Fee per month per Residential Dwelling shall be as stated on Appendix A as, “Adopted and amended by resolution of the City Council.” 8.7 Residents who will be continuously absent from the City for more than thirty (30) days shall be entitled to a reduced rate to $0.00 per month during the period of their absence. Notification shall be made by the resident that they will be absent for more than thirty (30) days. Residents are permitted to take up to six (6) months of Page 7 of 22 vacation leave in a calendar year in increments of at least thirty (30) days. 9 MSW TIPPING FEES/HAULER REBATE. 9.1 It is agreed by the Contractor and the City that disposal rates are a combination of tipping fees and hauler rebates. In the event that the net of tipping fees and hauler rebates increase or decrease in any given twelve (12) -month period, either party may request a rate adjustment by contacting the other party. Any rate adjustments shall be negotiated between the parties, and approval will not be unreasonably withheld. A maximum of one (1) adjustment per twelve (12) -month period is allowed. 9.2 The tipping fee at the R&E Board Facility in 2023 is One Hundred, Three Dollars and 00/100 Cents ($103.00) per ton The net disposal cost is -$103.00 per ton. 10 RECYCLING. 10.1 The pickup of Recyclables shall be unlimited in quantity. Currently, Yard Waste is not an option available in the community; Parties agree to mutually negotiate in good faith to amend this Agreement to include Yard Waste when such an option is reasonable. 10.2 Residential Dwellings. Contractor shall provide a minimum of one (1) Cart for the collection of “Single-sort” Recycling per residential unit. Residents shall be allowed to choose the number and size of the Recycling Cart for their residence at no additional charge. 10.3 Washington County and the Contractor shall jointly approve the list of Recyclables collected by Contractor. Contractor may add Recyclables for which it has stable markets. 10.4 Single-sort Recycling shall be picked up every other week on the same collection day of the week as a resident’s MSW. 10.5 Contractor shall assist in the Recycling publicity and public education at the request of the City. Contractor agrees to cooperate in the development and distribution of educational material to help reduce Solid Waste generation and improve Recycling practices and disposal attitudes and habits. 10.6 Contractor agrees to replace worn or unreadable Recycling stickers on Carts as part of the continued education of residents on Recycling 10.7 Contractor shall be responsible for annually informing residents of the “Single- sort” Recycling program. The City shall be informed and receive copies of all information distributed to Scandia residents. The City requires the Contractor to publish and mail to each service address an annual public education flyer that contains the following Recycling information for City residents:  Annual calendar of curbside Recycling collection dates  List of materials to be included for Recycling  Examples of non-targeted materials that cannot be recycled in the City’s Recycling program  General information about Curbside Recycling Page 8 of 22  How to prepare materials for Recycling 10.8 The Contractor shall provide a link to a website unique to the City of Scandia, which shall contain, at minimum, the materials distributed to residents and an annual Recycling calendar. 11 DATA RETENTION AND REPORTING. 11.1 Contractor shall compile and retain Solid Waste data and report county-required data to Washington County. In addition, the Contractor shall furnish the City copies of Solid Waste reports that are submitted to Washington County when requested. Failure to furnish this data to the County within twenty (20) business days of it being due shall entitle the City to withhold any payments due to the Contractor until the data is received by the County. 11.2 Contractor must also provide to the City upon request any data generated by Contractor solely and exclusively for this Agreement that is required by Washington County including data pertaining to household participation rates. 12 COOPERATION. Contractor agrees to meet and cooperate with City staff and the City Council when requested by the City, and to study and evaluate the Solid Waste collection system in order that the goals of the City’s Comprehensive Plan are realized. If necessary, based upon regulatory changes and technological advances, Solid Waste services may be modified, such as the addition of Organic Waste to the Collection system. 13 CUSTOMER SERVICE. 13.1 The Contractor shall maintain a toll-free telephone number for accepting complaints and resident calls. Customer service representatives shall be available during the hours between 8:00 a.m. and 4:30 p.m., Monday through Friday, except Holidays. The telephone number and any subsequent changes shall be given to the City in writing. Residents may also use WM.com to communicate with customer service. 13.2 Whenever the City or a resident notifies the Contractor of a location that has not received scheduled service, the Contractor is required to serve the location no later than the following business day from the time of the complaint. 13.3 A record of all complaints and action taken thereon shall be kept by the Contractor and reported monthly to the City. All complaints shall be answered by the Contractor courteously and promptly. 14 DISPUTE RESOLUTION. 14.1 Contractor shall, in good faith, attempt to settle any dispute arising with residents. In the event the parties cannot resolve a dispute, the matter shall be submitted to City staff. 14.2 In the event a dispute shall arise between the Contractor and the City, with respect to the amount of monthly compensation entitled to the Contractor from the City, duly appointed City and Contractor representatives should meet and endeavor to Page 9 of 22 resolve the differences. In the event the dispute cannot be so resolved, both the City and Contractor shall be bound by the terms and conditions of this Contract. Disputes that require legal action will be dealt with in Washington County District Court. This contract shall be construed in accordance with the laws of the State of Minnesota. 15 LIQUIDATED DAMAGES. 15.1 Contractor agrees, that the City may demand payment from Contractor in the amounts specified below as liquidated damages for failure of Contractor to fulfill its contract obligations; provided the Contractor has not cured the failure. .  Failure to respond to legitimate missed pickup within twenty-four (24) hours in a reasonable and professional manner - Fifty dollars and 00/100 Cents ($50.00) per incident.  Failure to provide quarterly and/or annual reports - One Hundred Dollars and 00/100 Cents ($100.00) per incident.  Failure to provide residential list or number of carts and dumpsters at each service level– One Hundred Dollars and 00/100 Cents ($100.00) per incident  Failure to complete the collections within the specified timeframes without proper notice to the City - One Hundred Dollars and 00/100 Cents ($100.00) per incident.  Failure to clean up spills caused by Contractor during collection operations - Two Hundred Fifty Dollars and 00/100 Cents ($250.00) per incident. 16 MUNICIPAL FACILITIES AND CITY EVENTS COLLECTION REQUIREMENTS. 16.1 Contractor shall collect and dispose, without additional charge, such MSW and Recycling as is the responsibility of the City, or which is accumulated by the City, or for the City, such as street cans and park barrels and Recycling containers, including Recycling and MSW from all City-owned facilities, which currently are:  City Hall/Community Center, 14727 209th St. N. (6-yard dumpsters for MSW and recycling)  Public Works/Fire Hall, 15040 Scandia Trail N. including: o 6-yard dumpsters for MSW and recycling o Up to two (2) 30-yard demolition roll-offs two (2) times a year when requested by the Public Work Director  Boat landings owned by the City of Scandia at Goose Lake and Log House Landing on the St. Croix River to include two 96-gallon MSW bins for each location.  Three community special events, dates to be determined by the city, number and type of carts or dumpsters to be as requested by the Public Works Director  Annual Cleanup Event, the event dates, equipment to be provided and service rates to be mutually agreed upon by the parties. 16.2 In the event of a natural disaster within the City, the Contractor may but not be obligated to make dumpsters available as necessary for the cleanup at a price to be negotiated at the time the service is rendered. 17 EQUIPMENT. Page 10 of 22 17.1 In addition, all Collection Vehicles used in performance of the Agreement shall:  Be marked with the name of the Contractor prominently displayed on both sides of the truck. The lettering must be at least three (3) inches in height,  Operate within the weight allowed by Minnesota Statutes and local ordinances.  Be duly licensed and inspected by the State of Minnesota.  Have a first aid kit.  Have an approved fire extinguisher.  Have warning flashers.  Have a broom, shovel and absorbent material for cleaning up solid or fluid spills.  Have warning alarms to indicate movement in reverse.  Have a sign on rear of vehicle. which states “This vehicle makes frequent stops”.  All of the required equipment must be in proper working order.  All vehicles must be maintained in proper working order and be as clean and free of offensive odors as possible. 18 PERSONNEL REQUIREMENTS. 18.1 Contractor shall retain sufficient personnel and equipment to fulfill the requirements and specifications of this Agreement. 18.2 Background Checks. All of the Contractor’s employees shall be subject to security screening and background checks before they can work within the City. 18.3 The Contractor understands that if any of the Contractor’s employees, agents, or independent contractors are deemed unsuitable due to criminal history, security violations or lack of citizenship or legal status documentation, they shall be precluded from engaging in any service under this Agreement. Contractor shall provide current employee identification (in Contractor’s sole discretion) and legal status to the City on request throughout the term of the Agreement. 18.4 If requested by City, Contractor shall provide documentation that all of Contractor’s personnel working within the City have been trained both in program operations and in customer service, and shall ensure that all personnel maintain a positive attitude with the public and in the work place, and shall:  Conduct themselves at all times in a safe and courteous manner and use no abusive or foul language.  Make a concerted effort to have at all times a presentable appearance and attitude.  Wear a uniform and employee identification badge or name tag.  Drive in a safe and considerate manner.  Manage Carts and multiple dwelling Carts in a careful manner so as to avoid spillage and littering, or damage to the Cart. Carts should not be thrown once emptied.  Monitor for any spillage caused by Contractor and be responsible for cleaning up any litter or breakage which occurred as a result of Contractor’s actions.  Avoid damage to property resulting from Contractor’s negligence.  Not perform their duties or operate vehicles while consuming alcohol or Page 11 of 22 illegally using controlled substances or while under the influence of alcohol and/or such substances. 19 LICENSES AND PERMITS. The Contractor shall ensure that all driver and truck licenses and permits are current and in full compliance with local, state and federal laws and regulations. Upon request by the City, Contractor shall make available for inspection all such licenses and permits of Contractor owned processing facility used to handle material from the City as required by the appropriate city, county, state and federal laws and ordinances. 20 SCHEDULES. 20.1 Contractor shall furnish the City with a map of the area in which Collections will be made each day of the week, and the Contractor shall adhere to this schedule unless permitted otherwise by this Agreement. 20.2 Severe Weather. The Contractor may postpone Collections due to severe weather at the sole discretion of the Contractor. “Severe Weather” shall include, but not be limited to, those cases in which snow, sleet, ice or cold temperatures might jeopardize the safety of the Contractor’s staff or result in unsafe driving conditions. If Collections are postponed, the Contractor shall notify the City and Customer within two (2) hours of the determination being made. Upon postponement, Collection will be made on the immediately following business day or the immediately following Saturday, whichever is soonest. 21 CHANGE IN COLLECTION SCHEDULE. 21.1 Contractor may request a change in the schedule by requesting the change in writing to the City at least thirty (30) days from the proposed date of the requested change. A change shall be affected only upon prior, written authorization from the City and upon publication at least once in a newspaper of general circulation in the City during the week before the change. 21.2 Contractor shall not be required to make regular Collection on the following Holidays: New Year’s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day, provided that the routes are collected on the immediately following business day or the immediately the following Saturday, whichever is soonest. 21.3 Contractor is responsible to notify residents of any changes in the collection schedule as a result of the Holidays and Severe Weather. 22 INSURANCE REQUIREMENTS 22.1 Insurance secured by the Contractor shall be issued by insurance companies acceptable to the City. The insurance specified may be in a policy or policies of insurance, primary or excess. Such insurance shall be in force on the date of execution of the Agreement and shall remain continuously in force for the duration of the Agreement. The Contractor shall provide Certificates of Insurance to the City as evidence of the required insurance coverage requirements as soon as available Page 12 of 22 after December 31. Contractor’s policies shall be primary insurance to any other valid and collectible insurance available to the City with respect to any claim arising out of Contractor’s performance under this Agreement. Contractor’s policies and Certificate(s) of Insurance shall contain a provision that coverage afforded under the policies shall not be cancelled without at least thirty (30) days advanced written notice to the City or in case of non-payment of premium, at least ten (10) days written notice of cancellation. Contractor shall obtain insurance policies from insurance companies having an “AM BEST” rating of A- (minus); Financial Size Category (FSC) VII or better, and be authorized to do business in the State of Minnesota. The Contractor and its sub-contractors shall secure and maintain the following insurance: A. Workers Compensation Insurance. Workers compensation insurance as specified by the Minnesota Department of Occupational Health and Safety and federal law. Coverage shall include Employer’s Liability with minimum limits as follows: $500,000 – Bodily Injury by Disease per employee $500,000 – Bodily Injury by Disease aggregate $500,000 – Bodily Injury by Accident B. Commercial General Liability Insurance. Contractor is required to maintain insurance protecting it from claims for damages for bodily injury and property damage, which may arise from operations under the Agreement, with minimum limits at or above the maximum municipality liability under Minn. Stat. § 466.04, as amended, or the minimum limits set forth below, whichever is greater:  $2,000,000 – per occurrence  $2,000,000 – annual aggregate  $2,000,000 – annual aggregate – Products/Completed Operations The following coverages should be included:  Premises and Operations Bodily Injury and Property Damage  Personal and Advertising Injury  Blanket Contractual Liability  Products and Competed Operations Liability  City must be endorsed as an Additional Insured C. Business Automobile Liability Insurance. Contractor is required to maintain insurance protecting it from claims for damages for bodily injury and property damage resulting from the ownership, operation, maintenance or use of all autos which may arise from operations under this Agreement with minimum limits at or above the maximum municipality liability under Minn. Stat. § 466.04, as amended, or as follows, whichever is greater:  $1,500,000 – per occurrence combined single limit for bodily injury and property damage This insurance includes a cause of loss where there is a spill of fuels and lubricants used in the vehicle for its operation. An Umbrella or Excess Liability Insurance policy may be used to supplement the policy limits on a follow-form basis to ratify the full policy limits required by the Page 13 of 22 Agreement. 23 TRANSFER OF INTEREST. 23.1 The Contractor shall not assign any interest in the Agreement, and shall not transfer any interest in the Agreement, either by assignment or notation, without the prior written approval of the City. The Contractor shall not subcontract any services under this Agreement without prior written approval of the City. Failure to obtain such written approval by the City prior to any such assignment or subcontract shall be grounds for immediate Agreement termination. 24 NON‐ASSIGNMENT AND BANKRUPTCY. 24.1 The parties hereby agree that the Contractor shall have no right to assign or transfer its rights and obligations under said Agreement without written approval from the City. In the event the City or its successors or assigns files for bankruptcy as provided by federal law, this Agreement shall be immediately deemed null and void relieving all parties of their contract rights and obligations. 25 DISPUTE RESOLUTION AND ARBITRATION PROCEDURES. The parties agree that any controversy or claim arising out of or relating to this Agreement or the breach thereof, shall be settled, at the option of either party, by arbitration in accordance with the Rules of the American Association of Arbitration and judgment upon the award by the arbitrator(s) may be entered in any court with jurisdiction thereof. 26 PERFORMANCE BOND. This Agreement specifies requirements for a performance bond in the case of the Contractor’s failure to perform contracted services. The performance bond shall be for a minimum of $300,000. The responsibility for renewal is the responsibility of the Contractor. 27 GENERAL COMPLIANCE. 27.1 The Contractor agrees to comply with all applicable local, state and federal laws Independent Contractor. 27.2 Nothing contained in this Agreement is intended to, or shall be construed in any manner, as creating or establishing the relationship of employer/employee between the parties. The Contractor shall at all times remain an independent Contractor with respect to the services to be performed under this Agreement. Any and all employees of Contractor or other persons engaged in the performance of any work or services required by Contractor under this Agreement shall be considered employees or subcontractors of the Contractor only and not of the City; and any and all claims that might arise, including worker's compensation claims under the Worker's Compensation Act of the State of Minnesota or any other state, on behalf of said employees or other persons while so engaged in any of the work or services provided to be rendered herein, shall be the sole obligation and responsibility of the Contractor. 27.3 The City warrants that City's property is sufficient to bear the weight of Contractor's equipment and vehicles and agrees that Contractor shall not be responsible for any damage to City's pavement or any other surface resulting from the equipment or Page 14 of 22 Curbside Solid Waste and Recyclable Services. 28 HOLD HARMLESS. 28.1 The Contractor agrees to defend, indemnify and hold harmless the City and its council members, officers, and employees from any liabilities, claims, damages, costs, judgments, and expenses, including attorney’s fees, resulting directly or indirectly from negligent act or omission, misfeasance or malfeasance of the Contractor, its employees, its agents, or employees of subcontractors, in the performance of the services provided by this Agreement. If a Contractor is a self- insured agency of the State of Minnesota, the terms and conditions of Minnesota Statute § 3.732, et seq., shall apply with respect to liability bonding, insurance and liability limits. 29 ACCOUNTING STANDARDS. 29.1 The Contractor agrees to maintain the necessary source documentation and enforce sufficient internal controls as dictated by generally accepted accounting practices to properly account for expenses incurred under this Agreement. 30 RETENTION OF RECORDS. 30.1 The Contractor shall retain all records pertinent to expenditures incurred under this Agreement for a period of six (6) years after the resolution of all audit findings. Records for non-expendable property acquired with funds under this Agreement shall be retained for six (6) years after final disposition of such property. 31 DATA PRACTICES. 31.1 The Contractor agrees to comply with the Minnesota Government Data Practices Act as applicable as it applies to all data created, collected, received, stored, used, maintained, or disseminated by the Contactor in performing any of the City’s functions under the Agreement in accordance with Minn. Stat Section 13.03 Subd. (11. The Contractor must immediately report to the City any requests from third parties for information relating to this Agreement. The City agrees to promptly respond to inquiries from the Contractor concerning data requests. 31.2 All proposals, such as those for post-disaster assistance, shall be treated as non- public information until the proposals are opened for review by the City. At that time the proposals and their contents become public data under the provisions of the Minnesota Government Data Practices Act, Minn. Stat. Ch. 13. 32 INSPECTION OF RECORDS. 32.1 All Contractor records with respect to any matters covered by this Agreement shall be made available to the City or its designees at any time during normal business hours, as reasonably often as the City deems necessary, to audit, examine, and make excerpts or transcripts of all relevant data. 33 APPLICABLE LAW. 33.1 The laws of the State of Minnesota shall govern all interpretations of this Agreement, and the appropriate venue and jurisdiction for any litigation which may arise hereunder will be in those courts located within the County of Washington, State of Minnesota, regardless of the place of business, residence or incorporation Page 15 of 22 of the Contractor. 34 AGREEMENT TERMINATION. 34.1 Either the City or the Contractor may cancel the Agreement if the other party fails to fulfill its obligations under the Agreement in a proper and timely manner, or otherwise violates the terms of the Agreement if the default has not been cured after thirty (30) days written notice has been provided. 34.2 The City shall pay Contractor all compensation earned prior to the date of termination minus any damages and costs incurred by the City as a result of the breach. If the Agreement is canceled or terminated, all finished or unfinished documents, data, studies, surveys, maps, models, photographs, reports or other materials prepared by the Contractor solely and exclusively for the City under this Agreement shall, at the option of the City, become the property of the City, and the Contractor shall be entitled to receive just and equitable compensation for any satisfactory work completed on such documents or materials prior to the termination. 35 EMPLOYEE WORKING CONDITIONS AND CONTRACTOR’S SAFETY PROCEDURES. The Contractor will ensure adequate working conditions and safety procedures are in place to comply with all applicable local, state and federal laws and regulations. The City reserves the right to inspect on a random basis all trucks, equipment, facilities, working conditions, training manuals, records of claims for worker's compensation or safety violations and standard operating procedures documents. 36 AGREEMENT AMENDMENTS. Any amendments to this Agreement shall be valid only when reduced to writing, and duly signed by the parties. 37 MISSED COLLECTIONS AND CLEANUPS. 37.1 If the Contractor shall fail to make a Collection at any residence, it shall do so by the end of the next business day after notification is received by Contractor from the City or resident of the address where the Collection was not made. 37.2 If the Contactor’s operations result in the damage or destruction of an MSW or Recycling Cart, it shall replace the Cart within one (1) week after notification from the City or resident of the address where the Cart was damaged. If a Cart is damaged by the actions of the Residential Dwelling, the Contractor shall replace the cart within (1) week after notification from the City or resident of the address and bill the resident for the value of the Cart. Regardless of cause, Contractor shall replace materially damaged or destructed carts as soon as practical. 37.3 The Contractor shall also respond promptly upon request by the City to clean up any spills, loose Solid Waste, Solid Wastes blown out or vehicles or leakage of vehicle fluids that result from Contractor’s operations. The Contractor shall promptly clean up any of the above if observed by employees or notified of same during the route. 38 CURBSIDE RULES AND REGULATIONS. 38.1 The City agrees to enact and to continue in effect reasonable regulations obligating Page 16 of 22 its citizens to make the MSW and Recycling Carts reasonably accessible to the Contractor on the day of Collection. 38.2 The City agrees to include in the Solid Waste and Recycling Ordinance of the City to require at least the following regulations, rules and consumer requirements: 1. That residential Curbside Solid Waste and Recycling Services are mandatory and collectable only by the Contractor; 2. That the Residential Dwelling shall be responsible for the damage or loss of a Cart caused by their negligence and shall be liable to the Contractor for this damage, except that reasonable wear is expected; 3. Under this Agreement, Contractor is not responsible for collection of yard waste, bulk items or Hazardous Waste; 4. That no Cart be unreasonably compacted by stuffing or otherwise; 5. That a thirty (30) -gallon bag of Solid Waste shall not exceed thirty (30) pounds; 6. Contractor shall not be obligated to collect Recyclables contained in bags of any size or material. 7. After Collection by the Contractor, Cart shall be returned by the Contractor to a point that does not impede the roadway. 39 GUARANTY OF NONDISCRIMINATION. 39.1 Contractor agrees that during the life of the Agreement, the Contractor will not, within the State of Minnesota, discriminate against any employee or applicant for employment because of race, color, creed, national origin or ancestry or sex and will include a similar provision in all subcontracts entered into for the performance thereof. 39.2 The Agreement may be cancelled or terminated by the City and all money due or to become due may be forfeited for a second or subsequent violation of the terms or conditions of this paragraph. This paragraph is inserted in the Agreement to comply with the provisions of Minnesota Statutes§ 181.59. 40 RENEWAL TERMS. 40.1 Nothing in this Agreement shall be construed to require an extension of this Agreement. At the expiration date of the Agreement, the Agreement shall continue on a month-to-month basis, provided Contractor has the right to increase rates per section 4.2 above if Agreement extends past December 31, 2030, until the City and Contractor upon mutual agreement extend the Agreement, or either Party provides written notice of termination in the preceding month, or the City may invite additional Agreement applications or proposals. The remainder of this page is intentionally blank. Page 17 of 22 IN WITNESS WHEREOF, the Parties have caused this to be executed in form and manner sufficient to bind them at law as of the Effective Date. Waste Management of Minnesota, Inc. Thomas Beaulieu, Area Vice President City of Scandia Christine Maefsky, Mayor Kyle Morell, City Administrator Page 18 of 22 APPENDIX “A” ‐ SOLID WASTE & RECYCLING RATES 2024 Monthly Service Fees Per Residential Dwelling, not Including Minnesota Solid Waste Taxes and the County Environmental Charge Small/ 35 Gallon Medium/ 64 Gallon Large/ 96 Gallon MSW Collection $ 13.04 $13.04 $13.04 MSW Disposal $ 5.28 $7.76 $10.45 Bi-Weekly Recycling $9.39 $9.39 $9.39 Total $27.71 $30.19 $32.88 Page 19 of 22 APPENDIX “B” ‐ RECYCLABLES