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CRRA2019

August 11–14, 2019

Westin Mission Hills Golf Resort & Spa, Rancho Mirage, CA

Please note that this is a tentative schedule and items are subject to change.  

Should you have any questions, please call CRRA at 916-441-2772, ext 2 or 3.

Contract Risks and Reasonable Rate Structures

Monday, August 12, 2019 at 4:15 PM–5:45 PM PDT add to calendar
AMB 3
DESCRIPTION

The next few years present a paradigm shift in the handling of organic waste, impacting contracted services and programs, and consequently, rates charged to customers.

PRESENTATION CATEGORY
EDUCATION & OUTREACH
MARKETS

Speakers

Implicit in the Fine Print - Market Risk Allocation in Recyclables Processing Agreements

PRESENTATION CATEGORY

MARKETS

Speakers

[photo]
Constance Hornig, Law Offices
Title

Attorney

Speaker Biography

Constance Hornig is an attorney of 40-years' experience who works with public entities and NGOs on integrated-solid waste matters, including recyclables-processing contracts whether stand-alone or embedded in a collection franchise.  She represents little McFarland&Wasco in the CaliforniaCentralValley to gigantic LosAngelesCounty. 

She participated in developing SWANA / NW&RA joint advisory on recyclables processing contracts, accessible on their websites. 

In this presentation she focuses on her municipal-finance/recent procurements expierence, 

*developing business-terms,

*drafting contracts&RFPs,

evaluating  proposals,&

*negotiating contracts.

She has worked on behalf of local jurisdictions for their contracts with national (Waste Management,Allied,WasteConnections), regional (Recology,Athens,Burrtec) and many local waste-services-companies.

Presentation Category
Presentation Title
Speaker Abstract

Read the major waste management companies 10Q’ reports to the SEC and listen to their CEOs quarterly calls to shareholders. Shareholders and the rating agencies’ obsessive concern is the crash of the Chinese recycling markets. Companies’ (understandable) response is to shift recyclables market risk to local governments by incorporating the price floors for MRF operations / recyclables processing services (their costs) into tipping fees (their revenue form customers / local jurisdictions). This is not good or bad, but it should be transparent.
If the public is cushioning the contractors against market downturn, what is the consequence for how recyclables revenues (losses) are shared (or not shared)? Gone are the days of minimum price guaranties. Is a 90% revenue share a good deal for a local government? Is a 90% revenue share net operating expenses still a good deal? Read the fine print. This presentation looks at multiple new ways to allocate and share market risk in recyclables processing contracts (or recyclables processing components embedded in collections contracts.

Encouraging Behavior Change through Reasonable Rate Structures

DESCRIPTION

California leads the nation in solid waste management and diversion of recyclables and organic materials from landfills. Our state’s solid waste management system is now facing a fundamental shift in the provision and payment for recycling and organic collection services. As local agencies and their franchised haulers increase organics diversion from waste streams, new challenges are emerging.  Implementing an effective and sustainable commercial recyclables and organic materials management system will require mandates that achieve the following: 

  1. All Generators Pay Appropriate Service Rates to Adequately Cover Associated Organic Management Costs
  2. Enforceable Participation Requirements: Universal service requires that every recyclables and organics material generator/customer receive recycling and organic collection services, at a base level. Jurisdictions and haulers may explore these and other enforcement mechanisms: contamination monitoring protocols; outreach and education requirements; and flow control agreements.

Over the past year, R3 has assisted several jurisdictions with negotiation of Franchise Agreements to include new universal organic food scraps collection and specific contamination protocols. We have also drafted model ordinance language as part of a Resource Toolkit that we are developing for CalRecycle. It aims to assist jurisdictions in implementing new or expanded programs related to organic material collection, tracking, and infrastructure development, and includes language that emphasizes SB 1383 regulations (as they currently read), AB 341, AB 1826, AB 1594, and AB 2176 regulations, and CALGreen Code.

PRESENTATION CATEGORY

EDUCATION & OUTREACH

Speakers

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Jennifer Chong, City of Half Moon Bay
Title

Management Analyst

Speaker Biography

Jennifer Chong is a Management Analyst with the City of Half Moon Bay’s Public Works Department with over 7 years  of experience working for local government organizations. Jennifer joined the City of Half Moon Bay in 2016 and successfully led the City's procurement of a new, ten-year, $40M solid waste franchise agreement. Jennifer also has experience as a Recycling Coordinator/Waste Prevention Specialist and believes that the best way to drive behavior change is through a combination of the right rate structure and grassroots educational efforts.

Presentation Category
Presentation Title
Speaker Abstract

In September 2017, the City of Half Moon Bay approved a 10-year franchise agreement with Republic Services for collection, transport, processing, and disposal of all waste collected in the City. The final agreement went into affect April 1, 2018 and included, among other things:

  1. Rate structure to incentivize diversion;
  2. Universal roll-out of recycling and organics for all sectors;
  3. Diversion requirements to meet or exceed requirements of AB 341 and AB 1826; and
  4. Public education and outreach.

This presentation will provide a high-level view, from the City's perspective, on enforceable mechanisms that are in place and how they are encouraging behavior change. The presenter will also provide an overview of challenges encountered in implementing a universal roll-out for recycling and organics in all sectors, and lessons learned during the implementation of new services.

[photo]
Kristine Day, City of Beaumont
Title

Assistant City Manager

Speaker Biography

As Beaumont’s new Assistant City Manager, Kristine is looking forward to helping Beaumont continue to grow as a community and to ensure that the city restores the public’s trust.  She will lead the staff of the Public Works Department, Community Services, Planning and Capital Improvement Projects. Prior to joining the City of Beaumont, Kristine's career began in the State of Texas, starting out in the mayor's office in Corpus Christi to Deputy City Manager in Kerrville.

Presentation Category
Presentation Title
Speaker Abstract

This presentation will provide a high-level view, from the City's perspective, on enforceable mechanisms that are in place and how they are encouraging behavior change. The presenter will also provide an overview of challenges encountered in implementing a universal roll-out for recycling and organics in all sectors, and lessons learned during the implementation of new services.

[photo]
Lily Quiroa, Waste Management
Title

Public Services Sector Regional Manager

Speaker Biography

Lily is Waste Management’s Public Services Sector Regional Manager for the Inland Empire. She is responsible for leading a team that oversees franchise contracts and municipal affairs. She brings over ten years of experience in the waste and recycling industry.   Prior to this role, she spent 6 years assisting with business development efforts around landfill expansions and permitting recycling facilities.  In that role, she developed extensive experience implementing outreach and communications programs related to environmental issues.  Lily graduated from the University of Southern California, where she completed a double major in political science and sociology. 

Presentation Category
Presentation Title
Speaker Abstract

This presentation will provide a high-level view from the hauler’s perspective on enforceable mechanisms that are in place and how they are encouraging behavior change. The presenter will also provide an overview of challenges encountered in implementing a universal roll-out for recycling and organics in all sectors and lessons learned during the implementation of new services.

Moderator

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Carrie Baxter, R3 Consulting Group, Inc.
Title

Project Manager

Moderator Biography

Carrie has a Bachelor of Science in Organization, Management, and Leadership from the University of San Francisco and is a member of CRRA and NCRA. As Project Manager with R3 Consulting Group, she has over 10 years of experience in a range of solid waste operational, planning, and financial projects. She specializes in assisting jurisdictions to negotiate and improve waste hauler collection contracts that incorporate best practices and legislative requirements. Carrie has also created disaster debris management plans for various California cities; provided financial analysis services such as modeling rates and diversion incentive methods; and evaluated billing and reporting systems.

[photo]
Monica Devincenzi, Republic Services
Title

Municipal Relationship Manager

Moderator Biography

Monica Devincenzi has been in the solid waste industry for over 20 years, focusing on community relations and public education and outreach in both the private and public sectors. She joined Republic Services in Daly City in July 2015 as the Municipal Relationship Manager. Previously, she served as the Recycling and Outreach Sustainability Manager for RethinkWaste (South Bayside Waste Management Authority), a joint powers authority with twelve-member agencies in San Mateo County. Prior to joining RethinkWaste in 2008, Monica worked for Waste Management for over 11 years. She has served on the CRRA Board since 2012.

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