City approves Amended and Restated Agreement between city and CR&R

The Canyon Lake City Council adopted Resolution No. 2020-26, approving the Amended and Restated Agreement between the city and CR&R Incorporated for solid waste services.

On January. 14, 1992, the city entered into a franchise agreement with CR&R for the provision of solid waste services. Since that time, the nature of solid waste services has changed dramatically with significant regulatory changes from the State of California and economic changes related to recyclables. The original franchise agreement has been amended five times to account for these regulatory and economic changes.

The city and CR&R have constant discussions related to the continuing provision of solid waste services to ensure that the city and CR&R remain in compliance with state regulations and to protect the public health and safety. When it became apparent that the city and CR&R would need to further amend the franchise agreement, it was determined that it would be beneficial to adopt an amended and restated agreement that incorporates all previous changes so that both parties could reference a single document going forward.

In addition to the cleanup of outdated language within the franchise agreement, the Amended and Restated Agreement makes the following changes to bring the city and CR&R into compliance with industry best practices:

  • CR&R will conduct twice per month street sweeping services along Railroad Canyon Road.
  • CR&R will dedicate the required amount of time necessary to ensure compliance with AB 939.
  • CR&R will pay a Franchise Fee of 20 percent of gross revenues, less landfill fees, to the city.
  • The term of the Amended and Restated Agreement will be 10 years from approval, with evergreen language automatically extending the term for an additional one year, such that the expired term shall always be 10 years.
  • Additional language clarifying the method of collection of fees on the property tax roll.
  • Addition of “pandemics’ to the potential Force Majeure events.

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