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17-R-41 Acceptance of Assignment of City's Exclusive Solid Waste Franchise agreement to BFI Waste Services of Texas, LP DBA Republic ServicesA RESOLUTION BY THE CITY COUNCIL. OF THE CITY OF SC HERTZ, TEXAS AUTHORIZING THE ACCEPTANCE OF ASSIGNMENT OF THE CITY'S EXCLUSIVE SOLID WASTE FRANCHISE AGREEMENT, AND OTHER MATTERS IN CONNECTION THEREWITH WHEREAS, the City of Schertz entered into a new ten year solid waste franchise agreement with Cibolo Waste Incorporated, DBA Bexar Waste on July 28, 2015; and WHEREAS, the franchise agreement had included in it, a clause regarding the assignment of the agreement by Bexar Waste that requires City Council approval prior to such assignment being entered into; and WHEREAS, Bexar Waste has notified the City that they have entered into an asset purchase agreement with BFI Waste Services of Texas, LP DBA Republic Services and Bexar Waste has requested City Council to approve assignment of the City's solid waste franchise agreement to Republic Services; and WHEREAS, the assignment of this agreement will not change any requirements of the contractor providing solid waste services for the City and the assignment will not limit or change the City's ability to rectify service issues or terminate the agreement for lack of performance; and WHEREAS, the City Council has determined that it is in the best interest of the City to accept assignment of its current solid waste franchise agreement; BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SCHERTZ, TEXAS THAT: Section 1. The City Council hereby authorizes the Mayor to sign a letter for Bexar Waste approving their assignment of the City's solid waste franchise agreement to Republic Services attached in Exhibit A. Section 2. The recitals contained in the preamble hereof are hereby found to be true, and such recitals are hereby made a part of this Resolution for all purposes and are adopted as a part of the judgment and findings of the City Council. Section 3. All resolutions, or parts thereof, which are in conflict or inconsistent with any provision of this Resolution are hereby repealed to the extent of such conflict, and the provisions of this Resolution shall be and remain controlling as to the matters resolved herein. Section 4. This Resolution shall be construed and enforced in accordance with the laws of the State of Texas and the United States of America. Section 5. If any provision of this Resolution or the application thereof to any person or circumstance shall be held to be invalid, the remainder of this Resolution and the application of such provision to other persons and circumstances shall nevertheless be valid, and the City Council hereby declares that this Resolution would have been enacted without such invalid provision. Section 6. It is officially found, determined, and declared that the meeting at which this Resolution is adopted was open to the public and public notice of the time, place, and subject matter of the public business to be considered at such meeting, including this Resolution, was given, all as required by Chapter 551, Texas Government Code, as amended. Section 7. This Resolution shall be in force and effect from and after its final passage, and it is so resolved. PASSED AND ADOPTED, this 27th day of June, 2017. CITY OF SQHERTZ, TEXAS Michael R. Carpenter ATTEST: City Secretary, Brenda Dennis (CITY SEAL) 50506221.1 - 2 - P.O. Box 519 • Schertz, Texas 78154 • Phone (210) 566 -5454 ^ Fax (210) 566 -6910 May 23, 2017 City of Schertz, Texas 1400 Schertz Parkway Schertz, Texas 78154 Attn: John Kessel, City Manager Re: Consent to Assignment Dear Mr. Kessel, Reference is made to that certain Franchise Agreement granted under Ordinance No. 15-F-18 (the "Contract") be en the. City of Schertz, Texas ( "Schertz") and Cibolo Waste, Inc., a Texas corporation doing business under the assumed name Bexar Waste ( "Assignor'). Please be advised that Assignor anticipates it will enter into an asset purchase agreement (the "Purchase Agreement") with BFI Waste Services of Texas, LP, a Delaware limited partnership ( "Assignee'), and certain other parties identified therein pursuant to which Assignee will acquire substantially all of the assets of Assignor (the "Transaction"). As part of the Transaction, the Contract will be assigned by Assignor to Assignee and Assignee will assume all of Assignor's obligations under the Contract (the "Assignment 1). Pursuant to Section 11 of the Contract, Assignor may not assign its rights under the Contract without the prior written consent of the City Council of Schertz ( "Schertz City Council"). Accordingly, please confirm the Schertz City Council's consent to the Assignment by having a dully authorized representative of the Schertz City Council sign on the space indicated below. By its signature below, Schertz waives any restrictions on assignment set forth in the Contract, but only with respect to the assignment and assumption contemplated by this letter. This consent, and the assignment and assumption contemplated hereby, shall not be effective unless and_ypkfl the closing of the Transaction. Notwithstanding anything herein to the contrary, in the event that the Transaction i af l close, this consent shall be of no force and effect and the Contract shall not be assigned to Assignee. Sincerely, Cibolo Waste, Inc., dba Bexar Waste By:,. Miguel Gutierrez, President Acknowledged and accepted this day of 2017. City of Sc By: ame: Its: %�i9yd2 Commercial a Construction ° Industrial « Municipal < Residential ° Recycling