90-F-34 Solid Waste
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ORDINANCE NO. 90 -- F- 31
AN ORDINANCE
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GRANTING ALAMO WASTE, INC. A
FRANCHISE FOR MUNICIPAL SOLID
WASTE COLLECTION AND DISPOSAL;
IMPOSING PROVISIONS AND CONDITIONS
RELATING TO THE EXERCISE OF SAME;
AND PROVIDING FOR PENALTIES NOT TO
EXCEED $200.00 FOR VIOLATION
THEREOF.
WHEREAS, it is found to be in the public interest to
have a municipal solid waste collection and disposal service 1n
the City of Schertz, Texas; and
WHEREAS, the City of Schertz has reviewed a~d is
satisfied with the qualifications of the FRANCHISEE named below;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF SCHERTZ, TEXAS:
Section 1. SHORT TITLE.
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This Ordinance shall be known and may be cited as the Alamo Waste
Municipal Solid Waste Franchise Collection and Disposal Ordinance
of the City of Schertz, Texas.
Section 2. DEFINED TERMS.
a. Municipal Solid Waste (hereinafter referred to as MSW)
is defined as garbage, trash, refuse, brush, yard waste, and
other waste generated in residences and commercial
establishments.
b. White Waste is defined as refrigerators, washing
machines, tires, large pieces of furniture or other bulky items.
c. Temporary 1S defined as any period of less than thirty
(30) days.
d. Permanent 1S defined as any period thirty (30) days or
more.
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Section 3, GRANTS OF AUTHORITY.
a, There is hereby granted by the City of Schertz
(hereinafter called FRANCHISER), to Alamo Waste, Inc., a
corporation organized under the laws of the State of Texas
(hereinafter called FRANCHISEE), the right and privilege to
operate and maintain within the City of Schertz a service for the
collection and disposal of MSW. Relationship of FRANCHISEE and
FRANCHISER is purely contractual. No other function or
relationship is implied.
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b. The right and privilege granted herein for the purpose
set forth shall not be exclusive.
~. The City Council of Schertz hereby grants the
FRANCHISEE, under the terms, conditions and consideration of this
franchise, permission for the occupation or use of the streets,
alleys, easements and public ways within the franchise area for
the purpose of collection and disposal of MSW, to the extent
necessary to accomplish the object of this franchise.
Section 4.
INDEMNIFICATION, INSURANCE AND BONDS.
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a. The FRANCHISEE shall indemnify and save harmless the
FRANCHISER, and all agents, officers, employees and
representatives thereof from and against any and all loss
sustained by the FRANCHISER on account of any suit, judgment,
claim or demand whatsoever, resulting from the negligence on the
part of said FRANCHISEE, its agents,' or employees in the
performance of services under this franchise.
b. FRANCHISEE agrees to carry general liability insurance
naming the FRANCHISER as additional insured in the amount of
$500,000.00 combined single limit; auto liability naming the
FRANCHISER as additional insured in the amount of $500,000.00
combined single limit, and worker compensation lnsurance as
provided by State law.
(1) The policy or policies shall provide by endorsement
that it may only be cancelled or amended by the insurance company
after thirty (30) days notice, in writing, to the City Manager.
(2) Said policy (or policies) must be approved by the
City Attorney.
(3) Said policy (or policies) must be 1n force before
the FRANCHISEE commences service.
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(4) Either the original policy (or policies) or
certified coples must be on file with the City Secretary for
Schertz, Texas,
c, The FRANCHISEE shall furnish an annually renewable bond
to the FRANCHISER in the amount of $20,000.00 guaranteeing the
faithful performance of obligations of the FRANCHISEE under terms
of this franchise, be in force before FRANCHISEE commences
serVlce, and be subject to these requirements:
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(1) Such bond shall be executed by the FRANCHISEE and
one or more sureties approved by the City Attorney.
(2) Either the bond (or bonds) or certified copies must
be on file with the City Secretary for Schertz, Texas.
(3) The bond (or bonds) must provide by endorsement
that it cannot be cancelled or amended by the bonding company
prior to thirty (301 days notice to the City Manager.
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(4) The bond shall be conditioned that the FRANCHISEE
shall well and truly observe, fulfill, and perform each term and
condition of this franchise and that in case of any breach of
condition of the bond, the amount thereof shall be recoverable
from the principal and surety thereof by the FRANCHISER for all
liquidated damages for the failure of the FRANCHISEE well and
faithfully to observe and perform any provision of this
franchise, and for any amount billed to the FRANCHISEE by the
FRANCHISER for the cost of the FRANCHISER's performing or causing
to be performed the FRANCHISEE's obligation, as provided herein.
Section 5. QOALITY AND PERFORMANCE STANDARDS.
Acceptance of this franchise carries with it expectations of both
efficiency and quality of service. The standards below are
considered minimum standards.
a. Quality of Service. Customer satisfaction is the
ultimate measure of the quality of service. FRANCHISEE will make
every reasonable effort to insure the rate paying customer is
treated with due courtesy and respect. The property of the
customer will be treated without abuse. Informal complaints will
be resolved as quickly as possible with the customer receiving
the benefit of the doubt. Formal complaints will be resolved as
provided in Section 13.
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b. Equipment and Maintenance Thereof. All equipment,
including motor vehicles and trucks necessary for the performance
of this franchise shall, at the beginning of the period hereof,
be in good condition and repair, Stand-by equipment shall always
be available. The trucks used in collection of MSW shall be all
metal, watertight, with completely enclosed "Packer" type bodies
that are designed and manufactured for the collection of garbage
and refuse. Said collection vehicles shall be painted and
numbered in letters of a contrasting color on each side of the
vehicle and maintained in a mechanically sound and safe
condition. All vehicles shall be kept in a clean and sanitary
condition and shall be cleaned inside and outside at least once
each week.
c. Routes and Pickup Points.
(1) The FRANCHISEE will provide proposed routes for
purposes of the collection of regular garbage, small brush and
limb pickup as follows:
Monday and Thursday
Tuesday and Friday
The FRANCHISER must approve such routes pr10r to commencement of
the franchise.
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(2) Garbage containers shall be placed so that they are
accessible from the curbline without the collector entering upon
private property. Special cases to allow for front building line
collection will be authorized by mutual agreement of the
FRANCHISEE and the FRANCHISER when the residents at any house are
mentally or physically incapable of placing containers at the
curbline,
(3) Ko trash or garbage containers will be placed on
the curbline earlier than twenty-four (24) hours prior to the
time of collection nor later than twenty-four (24) hours after
the time of collection.
d. Times and Frequencies of Pickup with Provisions for
Holidays.
(1) FRANCHISEE shall make no collections in residential
districts prior to 7:00 A.M., and collections in business
districts shall not be commenced earlier than 6:00 A.M.
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(2) There shall be twice a week pickup of MSW for all
classes of customer accounts. (The number of pickups may vary for
Class VIII and other commercial activities, depending on volume
and characteristics of waste materials. See para 3, Exhibit 1).
(3) Holidays. Collection will be made for all
residential accounts twice weekly regardless of ~ational or state
holidays, except for Christmas Day, New Years Day, July 4, and
Labor Day.
e. Types of Containers. Garbage containers shall be
watertight receptacles of solid and durable grade of metal or
plastic, not to exceed thirty (30) gallons in capacity, or
plastic or other waterproof bags manufactured for the purpose of
containing garbage or refuse; the combined weight of the garbage
and container shall not exceed seventy-five (75) pounds.
Containers shall be provided with suitable lifting handle or
handles on the outside and close-fitting cover equipped with a
handle. The container must not have any inside structures, such
as inside bands, and reinforcing angles or anything within the
container to prevent free discharge of the contents, Containers
that have deteriorated, or that have been damaged to the extent
of having jagged or sharp edges capable of causing inju~y to
garbage collectors or other persons whose duty it is to handle
the containers, or to such an extent that the covers will not fit
securely, need not be accepted by the FRANCHISEE.
f. Limit on Tree Pickups. All brush and large trimmings
to be collected by the FRANCHISEE shall be placed by customers
at the curbline. Trees, brush and limbs cannot exceed four
inches (4") in diameter nor five feet (5') in length. All limbs
and brush must be tied in bundles not to exceed sixty (60) pounds
each. Leaves and grass clippings and small brush items are to be
placed in cardboard containers, plastic trash bags, or garbage
cans.
g. Dead Animal Pickup. Dead animals shall not be placed
in garbage containers. Dead animals, except for small dead
animals such as cats, dogs and the like, are not required to be
accepted by the FRANCHISEE. The FRANCHISEE, upon call with no
extra compensation, shall as a special service pick up small dead
animals from the street, or upon request from a customer. A
record shall be kept of these special service pickups and filed
with the City Secretary on a monthly basis. The owner shall be
responsible for the removal and disposal of excessively large
dead animals, such as cows, horses, mules and goats.
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h. Area of Service and Interruption in Service.
(II FRANCHISEE will collect MSW from all residents of
the City and commercial businesses, not delinquent in the payment
of the authorized service, or any resident requesting such
service, or as directed by the FRANCHISER.
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(~) Interruption in Service. In the event that the
collection and disposal of MSW shall be interrupted by any reason
for more than forty-eight (48) hours, the FRANCHISER shall have
the right to make temporary independent arrangements for the
purpose of continuing this necessary service to its citizens in
order to provide and protect the public health and safety, Costs
of the temporary independent arrangements shall be borne by the
FRANCHISEE.
(3) Excessive Interruption in Service. If the
interruption in service described in the paragraph next above
continues for a period of thirty (30) days, the FRANCHISER shall
have the right to terminate the rights and privileges granted in
this fr3nchise.
1. Office Hours, Staffing, and Service Logs.
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(1) Office. FRANCHISEE shall establish and maintain an
office with telephone service and shall keep said office open for
business from 9:00 A,M. to 5:00 P.M. each and every day except
Saturday, Sunday and legal national holidays, as a minimum.
(2) Office Staffing and Log. The office mentioned ln
sub-paragraph (1) shall be staffed with sufficient competent
personnel to handle calls and inquiries during office hours. A
daily log of all service calls, complaints and inquiries taken
thereon shall be maintained by FRANCHISEE and available to the
FRANCHISER.
Section 6. TEMPORARY AND PERMANENT ROLL-OFF CONTAINERS.
Rocks, waste, scrap, building materials, or other trash resulting
from construction or major remodeling; resulting from a general
cleanup of vacant or improved property just prior to its
occupancy; or resulting from sizable amounts of trees, brush and
debris cleared from property in preparation for construction, will
be removed by the FRANCHISEE as part of the regular service but
rates will be derived from Exhibit 1, paras 3, 4 and 5.
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Section 7. CHANGES IN TIMES fu~D ROUTES OF COLLECTION.
The City Council reserves the right to change or alter the times
and routes of collection. FRANCHISEE shall be given at least
five (5) days notice if any such action is contemplated by
FRANCHISER. No changes in collection schedule or routes shall be
made by FRANCHISEE without approval by FRANCHISER.
Section 8. DISPOSAL OF MSW.
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FRANCHISEE shall have the responsibility for the disposal of all
~SW collected under this franchise and all of said materials
shall be disposed of in compliance with the laws of the State of
Texas and/or the rules, regulations and standards established
from time to time by the Texas Department of Health Resources,
Texas Water Quality Board, Environmental Protection Agency and
the Texas Air Control Board.
Section 9.
SPECIAL CONSIDERATIONS.
a. The FRAXCHISEE will provide pickup twice weekly for the
FRA:,CHISER at City properties at no cost to the FRANCHISER.
Containers will be of the size and type appropriate to volume and
characteristics of material.
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b. The FRANCHISEE will provide special pickup during the
July 4th Schertz Jubilee and Annual Firemen's Supper at no
charge. Placement of containers will be at the direction of the
City Parks and Recreation Department. The FRANCHISEE will
provide one 20 cubic yard roll-off container at no charge to the
FRANCHISER.
c. The FRANCHISEE will provide special pickup services
daily at designated locations during the Schertz Annual Spring
Cleanup. The FRANCHISEE will provide five 40 yard roll-off
containers at no cost to the FRANCHISER.
d. Twice each year FRANCHISEE will pick up white waste.
Times are at FRANCHISEE discretion, with a minimum of 120 day gap
between dates. Selected dates shall be published in local media.
This pickup will include large household appliances, furniture
(or bulky items), tires, or other material not normally collected
during twice weekly pickup. This service will be at no cost to
the FRANCHISER or the public.
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Section 10, DORATION OF THE FRANCHISE AND RENEWAL OPTIONS.
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a. This franchise and the rights, privileges, and
authority hereby granted shall take effect and be in force from
and after final passage hereof, as provided by law, and shall
continue in force and effect for a term of two (2) years,
provided that, within thirty (30) days after the second reading
of this Ordinance, the FRANCHISEE shall file with the FRANCHISER
its unconditional acceptance of this franchise and promise to
comply with and abide by all of its provisions, terms and
conditions. Such acceptance and promise in writing shall be duly
executed, and sworn to by an authorized official of the
FRANCHISEE on behalf of the FRANCHISEE before a notary public or
other officer authorized by law to administer oaths.
b. This franchise may be renewed for an additional period
of two (2) years unless for just cause either the FRANCHISER or
FRANCHISEE gives written notification of the termination of this
franchise to the other ninety (90) days prior to the expiration
of the two (2) year term of this franchise.
Section 11. SEPARABILITY, COMPLIANCE WITH APPLICABLE
LAWS AND NON-CONTESTABILITY BY FRANCHISEE.
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a. If any section, subsection, sentence, clause, phrase or
portion of this Ordinance is for any reason held invalid or
unconstitutional by any court of competent jurisdiction, such
portion shall be deemed a separate, distinct, and independent
provision and such holdings shall not effect the validity of the
remaining portions thereof.
b. At all times during the term of this franchise, the
FRANCHISEE shall be subject to all lawful exercise of the police
power by the FRANCHISER and to such reasonable regulations as the
FRANCHISER shall from time to time provide, pursuant to the
exerC1se of such police power.
c. The FRANCHISEE of this franchise, by acceptance of such
franchise, expressly acknowledges and accepts the right of the
FRANCHISER to issue such franchise and further agrees to fully
comply with all appropriate regulations promulgated by any
appropriate government agency of competent jurisdiction.
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Section 12. NON-TRANSFERABILITY OF FRANCHISE RIGHTS.
The FRANCHISEE shall not sell, transfer, or assign its rights
under this franchise, or substantially all of its assets, to any
other person or corporation without the prior written approval of
the City Council, such approval not to be unreasonably withheld.
Section 13. COMPLAINTS AND RESOLOTION.
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a. Complaints from or by the public or a particular
customer must be in writing and mailed (or presented) to the City
Manager or designated representative for action.
b. FRANCHISEE will pay a penalty of not less than $25.00
or more than $500.00 for each customer complaint not
satisfactorily resolved. Satisfactory resolution will be
determined by the City Manager. FRANCHISEE may appeal to City
Council which will make a final determination. Penalty will be
dedllcted from FRA~CHISEE proceeds the billing cycle following
City Manager determination unless appealed, in which case City
Council will provide further instruction. Twenty-five (25)
unresolved complaints will be a basis for contract review by City
Council for franchise termination.
Section 14. INVESTIGATION AND POBLIC HEARING.
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The City Council shall have full power to examine or cause to be
examined at any time, and at all times, the books, papers and
rec6rds of FRANCHISEE with relation to the operation of the MS~\
collection system within the City of Schertz. In this
connection, the FRANCHISER shall have the right, through its City
Council, to take testimony and compel the attendance of witnesses
or the production of books, papers and records and to examine
witnesses under oath and under such rules and regulations as it
may adopt. If any officer, agent, or employee of FRANCHISEE
refuses to give testimony before said City Council, City Council
shall have power to vote to declare this franchise a privilege
and default and terminate it.
Section 15. NOTICES.
Where written notices are provided for in this franchise, same
shall be sufficient to notify FRANCHISEE if mailed by certified
mail to the proper address as specified in this franchise and
shall be sufficient to notify the FRANCHISER if mailed by
certified mail to City Secretary, City of Schertz, P.O. Drawer I,
Schertz, Texas 78154.
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Section 16. SERVICE RATES.
Rates for services provided under this franchise are contained 1n
Exhibit 1. The FRANCHISEE shall have the option of negotiating a
change in service rates pursuant to Section 11.06 of the City
Ch~rter, prior to the second year, and every year thereafter, if
the franchise is renewed.
Section 17. BILLING, COLLECTION AND PAYMENT.
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a. For the purpose of convenience, the billing and
collection of the charges levied for the MSW service shall be
done by the Utilities Department of the FRANCHISER and all such
fees shall be payable at the Municipal Offices. The FRANCHISER
will prorate a new customer service to the nearest half-month
charge relative to the commencement of serV1ce. (Service shall
be considered commencing when water is turned on to that
customer). All charges shall be due and payable each month
concurrent with utility bills and if not paid on or before the
due date, the FRANCHISER shall assess & ten percent (10%) penalty
for delinquency and collection expenses. utilities will be
discontinued for lack of payment of any garbage bill or any part
thereof.
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b. FRA~CHISEE shall be paid by FRANCHISER at the rate of
eighty-five percent (85%) of amount billed, excluding penalties,
for each customer served for which billing is made by FRANCHISER.
FRANCHISEE shall be paid what is due within ten (10) days after
closing date of ' each billing period with the last monthly payment
hereunder to be made during the first calendar month after the
expiration of the term hereof or after the cancellation hereof,
as the case may be.
Section 18. PUBLICATION COSTS.
The FRANCHISEE shall assume the cost of publication of this
franchise Ordinance and Exhibit as such publication is required
by law and such is payable upon the FRANCHISEE's filing of
acceptance of this franchise.
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Sectlon 19, PENALTIES.
a. Any person, association, organization, company, or
corporation who shall perform franchise services described in
this franchise or described in a franchise awarded pursuant to
Article V, Chapter 7 1/2, City Code without authority of duly
awarded franchise and payment of consideration, shall be subject
to a penalty not to exceed two hundred ($200.00) dollars for each
and every day such a service is unlawfully performed.
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b. Any person, association, organization, company, or
corporation, upon award of a franchise under Article V, Chapter
7 1/2, City Code who fails to provide the services described in
the awarded franchise, is subject to a fine of two hundred
($200.00) dollars for each and every day such service is not
performed.
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EXHIBIT 1
SERVICE RATES:
1. H:::sidential
Class I
Residential, Single Family
6.47' per month
9.32 per month
4.74 per unit
per month
Class IA
Class II
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Class III
Class IV
Residential, Front Door
(see Para 5 e (2) of Schedule)
Mobile Home Parks (2 or more
mobile homes) (based on
number in park on the 15th
day of the month)
Apartments
4.74 per unit
per month
1. 88 per unit
per month
lvlotels
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2. Commercial
Class VI
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Class VII
Offices, barber shops and
professional services
7.55
per month
Light retail, wholesale,
commercial or industrial,
2000 to 4000 square feet
and excluding large grocery
stores, etc.
12.50
per month
Heavy volume retail,
wholesale, commercial or
industrial (placement
into a category in this
class will be determined
by a time and cost study
of refuse generation and
collection. The cate-
gories in this class
usually require hand
loading from rooms or pens
and would not apply when
commercial containers are
used. )
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a. Two weekly pickups of
approximately 1.5 cubic
yards each (13 cu. yds.
per month) excluding
large grocery, fur-
niture or department
stores.
37.00
b, Two weekly pickups of
approximately 3 cu. yds,
each (26 cu. yds. per
month) excluding large
grocery, furniture or
department stores, etc.
72.50
c. Three weekly pickups
of approximately 3 cu.
yds. each (39 cu. yds.
per month) excluding
large grocery, furniture
or department stores, etc.
107.00
d. Four weekly pickups of
approximately 3 to 4 cu.
yds. each, including large
grocery, furniture or
department stores, etc.
125.85
e. Five weekly pickups of
approximately 3 to 4 cu.
yds. each including large
grocery, furniture or
department stores, etc.
163.00
f. Six weekly pickups of
approximately 3 to 4 cu.
yds. each including large
grocery, furniture or
department stores, etc.
200.00
g. Customer requ1r1ng more
than four (4) cu. yds. each
pickup would be charged per
cu. yds. collected
2.75
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per month
per month
per month
per month
per month
per month
per yard
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3. Commercial containers. Franchisee will provide commercial
containers to those customers who desire to use them in lieu of
garbage cans. The use of such Franchisee provided containers is
required by this contract. Rates for containers and pickup will
be based on the following table:
Container Size Frequency of PichlP
1 ") 3 . 5 6
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2 cu. yard 30.07 48.50 63.05 77.60 92.15 101.85
.., cu. yard 36.86 63.05 82.45 101,85 121.25 140.65
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4 cu. yard 48.50 79.54 98.94 123.19 160.05 171.69
6 cu. yard 65.96 101.85 135.80 169.75 218.25 237.65
e 8 cu. yard 77.60 121.25 169.75 213.40 261. 90 310.40
10 cu. yard 89.24 135.80 189.15 242.50 292.94 343.38
4. Roll-Off Rates Per Pull
Open Top Containers - Dry Material
20 cu. yard $175.00
30 cu. yard $195.00
40 cu. yiud $215.00
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5. Wet Material. Rates on Compactor containers or open top
containers with wet material must be negotiated with customers at
the time they are needed. This type of waste must be hauled to a
Type I landfill which generally has a higher disposal rate
attached to it.
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APPROVED cn first reading the t+ day of D~ct>atbPIe.., 19~.
PASSED, APPROVED AND ADOPTED on second and final reading this the
11- day of j)PCPlUj)(~ /2, 19 '70 .
.i\TTEST:
SEAL OF CITY
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ACCEPTED:
Title:
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Notice Address:
Alamo Waste, Inc.
P.O. Box 577
Schertz, TX 78154
Attention: Henry Gutierrez
state of Texas
County of Guadalupe
This instrument was acknowledged on ~'n2 /c?
by ~ FrcrJt/M G-oIf/2ftle~ fkP5 id n/r 0 Alamo
1k
, 199~
~'iaste ,
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Inc. on behalf of such corporation.
(NOTARY SEAL)
Commission Expires J /--30 -?~
JUNE G. KRAUSE
Notary Public. Slate 01 Texas
II, Coall\liSSiOll Expires 11/30/92
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PAGE ONE OF TWO PAGES
.A
AMWEST SURETY INSURANCE COMPANY
WOODLAND HILLS, CALIFORNIA
BOND NO. 017000669
PREMIUM $400.00
Premium based on final contract price,
PERFORMANCE BOND
Any singular reference to Contractor, Surety. Owner or other party shall be considered plural where applicable.
CONTRACTOR (Name and Address):
ALAMO WASTE, INC
2221 FM 3009. P.O, BOX 577
SCHERTZ. TX ,78154
OWNER (Name and Address):
CITY OF SCHERTZ
CITY HALL
JAM 1 2 1993
SCHERTZ, TX T6154
SURETY (Name and Principal Place of Business):
AMWEST SURETY INSURANCE COMPANY
1235 NORTH LOOP WEST, SUITE 318
HOUSTON, TX 77008
CONSTRUCTION CONTRACT
Date:
Contract Number:
Amount: Twenty Thousand and 00/100 Dollars ($20.000.00).
Description (Name and location): MUNICIPAL SOLID WASTE COLLECTION & DISPOSAL FOR RESIDENTIAL
& COMMERCIAL ESTABLISHMENTS SCHERTZ. TEXAS
BOND
Amount Twenty Thollsand and 00/100
Dollals ($20,000,OO).
Signed, sealed and dated this 4th day of JANUARY, 1993.
Principal
By:
nature of Pnncipal
AMWEST SURETY INSURANCE COMPANY
HANK SIMPSON
Attorney-in-Fact
Signature of Attorney-an-Fact
A UII.'"",,",?ClI
PAGE TWO 01" TWO PAlit:.::i
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AMWEST SURETY INSURANCE COMPANY
Performance Bond
BOND NO. 017000669
1. The Contractor and the Surety, jointly and severally, bind themselves, their heirs. executors, administrators, successors and assigns to the
Owner for the performance of the Construction Contract, which is incorporated herein by reference.
2. If the Contractor performs the Construction Contract, the Surety and the Contractor shall have no obligation under this Bond, except to
participate in conferences as provided in Subparagraph 3.1.
3. If there is no Owner Default, the Surety's obligation under thiS Bond shall anse after:
3.1 The Owner has notified the Contractor and the Surety at its address described in Paragraph 10 below that the Owner is considenng
deClaring a Contract Default and has requested and attempted to arrange a conference with the Contractor and the Surety to be held not
later than fifteen days after receipt of such notice to discuss methods of performing the Construction Contract. If the Owner, the Contractor
and the Surety agree, the Contractor shall be allowed a reasonable time to perform the Construction Contract but such an agreement shall
not waive the Owner's right, if any, subsequently to declare a Contractor Delault; and
3.2 The Owner has d(;lclared a Contractor Default and formally terminated the Contractor's right to complete the contract. Such Contractor
Delault shall not be declared earlier than twenty days after the Contractor and tile Surety have received notice as provided in Subparagraph
3.1; and
3,3 The Owner has agrtled to pay the Balance of the Contract Price to the Surety 111 accordance with the terms of the Construction Contract
or to a contractor selected to perform the Construction Contract in accordance With the terms of the contract with the Owner.
4. After the Owner has declared Contractor in default and has satisfied the conditions of Paragraph 3, and the Surety has conducted its own
prompt and reasonable investigation as to whetller or not the Contractor's default has actually occurred, the Surety may at its own option elect
one or more of the follOWing actions:
4.1 Arrange for the Contractor, With consent of the Owner, to perform and complete the Construction Contract; or
4.2 Undertake to perform and complete the Construction Contract itself, through its agents or through independent contractors; or
4.3 Obtain bids or negoliated proposals from qualified contractors acceptable to the Owner for a contract for performance and complelion of
the Construction Contract, arrange for a contract to be prepared for execution by the Owner and the Contractor selected with the Owntlr's
concurrence, to be secured with performance and payment bonds executed by a qualified surety equivalent to the bonds issued on the
Construction Contract, and pay to the Owner the amount of damages as described in Paragraph 6 in excess of the Balance of the Contract
Price incurred by the Owner resulting from the Contractor's default; or
4.4 Waive its right to perform and complete, arrange for completion, or obtain a new contractor and with reasonable promptness under the
circumstances:
.1 After investigation, determine the amount for which it may be liable to the Owner and as soon as practicable after the amount is
determined, tender payment therefor to the Owner; or
.2 Deny liability in whole or in part and notify the Owner citing reasons therefore.
5. If the Surety proceeds as provided in Subparagraph 4.4, and the Owner refuses the payment tendered or the Surety has denied liability, in
whole or in part, without further notice the Owner shall be entitled to enforce any remedy available to the Owner.
6, After the Owner has terminated the Contractor's right to complete the Construction Contract, and if tho Surety elects to act under
Subparagraph 4.1, 4.2, or 4.3 above, then the responsibilites of the Surety to the Owner shall not be greater than those of the Contractor under
the Construction Contract, and the responsibilities of the Owner to the Surety shall not be greater than those of the Owner under the
Construction Contract. To the limit of the amount of tilis Bond, but subject to commitment by the Owner of the Balance of the Contract Price to
mitigation of costs and damages on the Construction Contract, the Surety is obligated without duplication for:
6.1 The responsibilities of the Contractor for correction of defective work and completion of the Construction Contract; and
6.2 LiqUidated darnaues, or if no liquidated damages are specified in the Construction Contract, actual damages caused by delayed
performance or non-performance 01 the Contractor.
7. The Surety shall not be liable to the Owner or others for obligations of the Contractor that are unrelated to the Construction Contract, and the
Balance of the Contract Pllce shall not be reduced or set off on account of any such unrelated obligations. No nght of action shall accrue on this
Bond to any person or entity other than the Owner or its heirs, executors, administrators or successors.
8_ The Surety hereby waives notice of any change, including changes oj time, to the Construction Contract or to related subcontracts, purchase
orders and other obligations.
9. Any proceedlllg, leual or equitable. under thiS Bond lIIay be instituted 111 any court of competent Jurisdiction in the location In which the work or
part of the work is located and shall be instituted within six months after Contractor Default or witllln six months after the Contractor ceased
working or within six months after the Surety refused or fails to perform its obligations under this Bond, whichever occurs first. If the provisions of
this Paragraph are void or prohibited by law, the minimum period of limitation available to sureties as a defense in the junsdiction of the suit shall
be applicable.
10. Notice to the Surety, the Owner 01 the Contractor shall be mailed ,or delivered to the address .shown ,on 1he ,signature page..
11. When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the construction was to be
performed, any provision in this Bond conflicting with sclld statutory or other legal requirement shall be deemed incorporated herein.
12. DEFINITIONS
12.1 Balance of the Contract Price: The total amount payable by the Owner to the Contractor under the Construction Contract after all
proper adjustments have been made, including allowance to the Contractor of any amounts received or to be received by the Owner III
settlement of insurance or other claims for damages to which the Contractor is entilled, or reduced by all valid and proper payments made to
or on behalf of the Contractor under the Construction Contract.
12.2 Construction Contract: The agreement between the Owner and the Contractor identified on the signature page, including all Contrdct
Documents and changes thereto.
12.3 Contractor Default: Failure of the Contractor, which has neither been remedied nor waived, to perform or otherWise to comply Willi the
terms of the Construction ContraGt.
12.4 Owner Default: Failure of tile Owner, which has neither been remedied nor waived, to pay the Contractor as reqUired by the
Construction Contract or to perform and complete or comply With the otller terms hereof.
A
PAGE ONE OF TWO PAGES
A
AMWEST SURETY INSURANCE COMPANY
WOODLAND HILLS, CALIFORNIA
BOND NO. 017000669
PREMIUM $400.00
Premium included in performance bond
PAYMENT BOND
Any singular refi:rence to Contractor, Surety, Owner or other party shall be considered plural where applicable.
CONTRACTOR (Name and Address):
ALAMO WASTE, INC
2221 FM 3009, P.O BOX 577
SCHERTZ, TX 78154
OWNER (Name and Address):
CITY OF SCHERTZ
CITY HALL
SCHERTZ, TX 78154
SURETY (Name and Principal Place of Business):
AMWEST SURETY INSURANCE COMPANY
1235 NORTH lOOP WEST, SUITE 318
HOUSTON, TX 77008
CONSTRUCTION CONTRACT
Date:
Contract Number:
Amount: Twenty Thousand and 00/100
Dollars ($20,000.00).
Description (Name and location): MUNICIPAL SOUD WASTE COllECTION & DISPOSAL FOR RESIDENTIAL
& COMMERCIAL EST ABUSHMENTS SCHERTZ, TEXAS
BOND
Amount: Twent~' Thousand and 00/100
Dollars ($20,000.00).
Signed, sealed and dated this 4th day of JANUARY, 1993.
ALAMO WASTE, INC
Principal
By:
Signature of Principal
AMWEST SURETY INSURANCE COMPANY
HANK SIMPSON
By:
Attorney-in-Fact
Signature of Allorney-in-Facl
A: ,.,
PAGE TWO OF TWO PAGES
"A
AMWEST SURETY INSURANCE COMPANY
Payment Bond
BOND NO. 017000669
1. The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and assigns to the
Owner to pay for labor, materials and equipment furnished for use in the performance of the Construction Contract, which is incorporated herein
by reference.
2. With respect to the Owner, this obligation shall be null and void if the Contractor:
2.1 Promptly makes payment, directly or indirectly, for all sums due Claimants, and
2.2 Defends, indemnifies and holds harmless the Owner from all claims, demands, liens or suits by any person or entity whose labor,
matenals or equipment were furnished for use in the performance of the Construction Contract, provided the Owner has promptly notilied the
Contractor and the Surety (at the address described in Paragraph 11) of any claims, demands, liens or suits and tendered defense of such
claims, demands, liens or suits to the Contractor and the Surety and provided there IS no Owner Default.
3. With respect \0 Clallllants, this obligation shall be null and void if the Contractor promptly makes payment, directly or Indirectly, for all sums
due.
4. The Surety shall have no obligation to Claimants under this Bond until:
4,1 Claimants who are employed by or have a direct contract with the Contractor have given notice to the Surety at P.O. Box 4500,
WOt)(1land Hills, California 91365-4500 and sent a copy, or notice thereof, to the Owner, stating that a claim IS being made under this Bond
and, with substantial accuracy, the amount of the claim.
4.2 Claimants who do not have a direct contract With the Contractor:
Have furnished written notice \0 the Contractor and sent a copy, or nolice thereof, to the Owner, witllln 90 days alter having last
performed labor or last furnished materials or equipment included in the claims stating, with substantial accuracy, the amount of lhe
claim and the name of the party to wholll the materials were furnished or supplied or for whom the labor was done or performed;
and
.2 Have either rtlceived a rejection In whole or in pari from the Contrac:tOl, or not received within 30 days of furnishing the al)ove
notice any communication from the Contractor by which the Contractor has indicated the claim will be paid directly or indirectly;
and
.3 Not haw,g lleen paid within the above 30 days, have sent a written notice to the Surety at P.O, Box 4500, Woodland Hills,
Califorrlla 91365-4500 and sent a copy, or notice thereof, to the OWntH stating that a claim is being made under this Bond and
enclosing a copy of the previous wntten notice furnished to the Contractor.
5, If a notice required by Paragraph 4 is given by the Owner to the Contractor or to the Surety, that is suffiCient compliance.
6. The Surety's total obligation shall not exceed the amount of this Bond, and the amount of this Bond shall be credited for any payments made
in good fanh by the Surety
7 Amounts owed by thE: Owner to the Contractor under the Construction Contract shall be used for the performance of the Construction
Cuntract and to satiSfy claims, if any, under any Construction Performance Bond. By the Contractor furnishing and the Owner accepting thiS
Bond, tltey agree that all funds earned by the Contractor in the performance of tlte Construction Contract are dedicated to satisfy obligations of
the Contractor and the Surety under this Bond, subject to the Owner's priority to use the funds for the completion 01 the work.
8. The Surety shall not bo liable to the Owner, Clallnants or others for obhgation~ 01 the Contractor that are unrelated to the Constructiun
Contract. The Owner shall not be liable to make payments to, give notices on behall of, or otherwise have obligations to Clallnants under tillS
Bond.
9 The Surety hereby wa,V(;S notice of any change, including changes of time, to the Construction Contract or to relaled subcontracts, purchase
orders and other obligations.
10, No suit or action shall be commenced by a Clallnant under this Bond other than In a courl of competent junsdlclion III the location in which
the work or part of the work is located or after tlte expiration of six months from the date (1) on which the claimant gave the notice required by
Paragraph 4.1 or Clause 4.2.3 or (2) on which the last labor or service was performed by anyone or the last materials or equipment were
furnished by anyone under the Construction Contract, whichever of (1) or (2) first occurs, If the provisions of this Paragraph are void or
prohibited by law, the mInimum period of limitation available to sureties as a defense In the junsdiction of the suit shall be applicable.
11. Notice to the Surety, the Owner or the Contraetor shall be mailed or delivered to the address speCified or shown on lI1e signature page.
Actual receipt of notice by Surety, the Owner or the Contractor, however accomplished, shall be sufficient compliance as of the date received at
the address shown on the :>ignature page.
12. When this Bond has been furnished to comply With a statutory or other legal reljuirement in the location where the construction was to be
periorrned, any provision in this Bond conflicting with said statutory or legal requirement shall be deemed deleted herefrom and provisions
conforming to such statutory or other legal requirement shall be deemed, incorporated herein.
13, Upon request by any person or entity appearing to be a potential, beneficiary of thiS Bond, the Contractor shall pmmptly furnish a copy of
this Bond or shall permit a copy to be made,
14. DEFINITIONS
14.1 Clcllmanl: An IndiVidual or entity having a dlrElct contract with the Contractor or with a subcontractor oltlte Contractor to furnish labor,
malenals or equipment for use in the performance 01 the Contract. The intent of tltis Bond shall be to include Without limitation in the terms
"labor, materials or equipment" that pari of water, gas, power, light, heat, oil, gasoline, telephone service or rental equipment used In the
Construction Contract, architectural and engineenng services required for performance of the work of the Contractor and the Contractor's
subGontractors, and all other items for which a mechanic's hen may be asserted IfI the jurisdiction where the labor, materials or equipment
were furnished.
14.2 Construction Contract: The agreement between the Owner and the Conlfactor Identified on the signature page, including all Contract
Documents and changes thereto.
14.3 Owner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the Contractor as required by the
Construction Contract or to perform and completn or comply with the other turms thereof,
A
UI~.A:J,)ll:! 12/91
011000669
000179882
-47
NOT VALID FOR BOND
EXECUTED ON OR AFT
9-10-93
BOND NUMBER
POWER NUMBER
4'>:,'?'-:..-, .,:,;.", <...."~;f~EI1D C.11'~fH IU.. Y -'~() "I(' .Islit '{J/Jryi/i ,conjunctioJl ~vlt" :d,c':JJOlIil '~'l'cifiClI JIlTdn " _ . J - _.~j.
~, # . '
This document is printed on multi-colored security paper with black and red ink, with border in blue ink and bears the raised
seal of Amw.est Surety Insurance Company (the "Company"), Only unaltered originals of this Power of Attorney are valid.
This Power of Attorney is valid solely in connection with the execution and delivery of the bond noted above and may not be
used in conjunction with any other power of attorney. No representations or warranties regarding this Power of Attorney may
be made by any person. This~rower of Attorney is governed by the laws of the State of California. Any power of attorney
used in connection with any bond issued by the Company must be on this form and no other form shall have force or effect.
KNOW ALL MEN BY THESE PRESENTS, that Amwest Surety Insurance Company, a California
corporation (the "Company"), does hereby make, constitute and appoint:
HANK SIMPSON
AS AN EMPLOYEE OF AMWEST SURETY INSURANCE COMPANY
its true .and lawful Attorney-in-Fact, with limited power and authority for and on behalf of the Company as surety,
to execute, deliver and affix the seal of the Company thereto if a seal is required on bonds, undertakings,
recognizances or other written obligations in the nature thereof as follows:
Bid Bonds up to $**1,000,000.00
Contract (Performance & Payment), Court, Subdivision $**1,000,000.
License & Permit Bonds up to $**1,000,000.00
Small Business Administration Guaranteed Bonds up to $**1,250,000.
and to bind the Company thereby. This appointment is made under and by authority of the By-Laws of the
Company, which are now in full force and effec;t.
CERTIFICATE
I, the undersigned secretary of Amwest Surety Insurance Company, a California corporation,
DO HEREBY CERTIFY that this Power of Attorney remains in full force and effect and has not been revoked
and furthermore, that the resolutions of the Board 'of Directors ~et forth on the reverse, and that the relevant
provisions of the By-Laws of the Company, are now in full force and effect.
Signed and sealed at Houston. Texas this 4 th day of
~b~~~"ry
J an uary 19....21..
0000119882 - 41
E
,f
mUIUHn~ttt,uU~Q\}O'nUU9'UUMl~n'~'~~'~ Resolutions of the Board of Directors ~~ID*[)lOOOOGtvfi!l~~~
, v
This Power of Attorney is signed and sealed by facsimile under and by the authority of the f6R~~MM)~~a~~" .
Board of Directors of Amwest Surety Insurance Company at a meeting duly held on December :ll~.;)'wtngsresolntions adopted by ,tb,
}(:,',"':
RESOLVED, that the President or any Vice President, in conjunction with the Secretary or any Assistant Secretary,
may appoint attorneys-in-fact or agents with authority as defined or limited in the instrument evi~ings~e~f'exi:ot~t
in each case, for and on behalf of the Company, to execute and deliver and affix the seal ofth:e,Cp~~,
undertakings, recognizances, and suretyship obligations of all kinds; and said officers may remow anyapcl1ya1llm>rfm~-
fact or agent and revoke any power of attorney previously granted to such person. ," ,I'e" sue';, :;'v)mey-il1~
RESOLVED FURTHER, that any bond, undertaking, recognizance, or suretyship obligation shall be valid and~i?ding
upon the Company: )1 d'c! hinding
(i) when signed by the President or any Vice President and attested and sealed (if a seal be required) by any
Secretary or Assistant Secretary; or'", .,,:: "; lred) h)' , 1\'
(ii) when signed by the President or any Vice President or Secretary or Assistant Secretary, and countersigned
and sealed (if a seal be required) by a duly authorized attorney-in-fact or agent; or '
(iii) when duly executed and sealed (if a seal be required) by one or more attorneys-in-fact or agents pursuant
to and within the limits of the authOrity evidenced by the power of attorney issuedb~~lW91JlpmJl!1ticl>
such person or persons. ,h: Conipany to
RESOLVED FURTHER, that the signature of any authorized officer and the S', "'e Company may be affixed by
facsimile'to any power of attorney or certification thereof authorizing the execution o'TY or any b(!)]a~,ba1diUctklirlw,
recognizance, or other suretyship obligations of the Company; and such signature '-en so usedJsmm~,i~,
same force and effect as though manually affixed. .II ;;ha.P. have the
IN WITNESS WHEREOF, Amwest Surety Insurance Company has caused these presc,
its corporate seal to be hereunto affixed this 1st day of December, 1990.
f: signed by .its proper officers, and
:;:, i hy ufflCer,<,
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"",~, \NSUR 111//",
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John E, Savage, resident
~~.~
.'..', \'., " ,.., ~"';>h' .""
STATE OF CALIFORNIA, COUNTY OF LOS ANGELES
On this 1st day of December, 1990, personally came before me John E. Savage and Karen G. Cohen, to me lq10WIl to be the
individuals and officers of Amwest Surety Insurance Company, who executed the above instrument, and they haveacKgowledge.{i me
execution of the same, and being by me duly sworn, did severally depose and say that they are the said officersofcthe:corporationafpresaid
and that the seal affixed to the above instrument is the seal of the corporation, and that said corporate seal and theirsignatures:asl"S'licm
officers were duly affixed and subscribed to the said instrument by the authority of the Board of Directors,q( said'cprporation;
OFACIAL SEAL
ANA B. ZAMUDIO-SOLIS
Notav Publlc>CaIfomla
PRINCPAI. OFFICE IN
lOS ANGElJ:S COUNTY
My CornrrisaIon &pIra.
October 22. 1993
O-~,".,
""":,\.:.~:,,,:, ,::;:.",
-'. Ai'ra' 8'l
~)I ~-tJ I IDe !lID I n~'~UnQ ID<l'O'9' M>U'O Q 1 ~ n'~3' Restrictions and Endorsements
'~<~:,~:'~<~;4.:-;~~;~$'_:~";';'\"~"~~:;~~
..
.
.
.
1400 SCHERTZ PARKWAY
p, O. DRAWER I
SCHERTZ, TEXAS 78154-0890
AC (210) 658-3510
FAX (210) 6S9-3204
KERRY R. SWEAIT
OTY MANAGER
December 8, 1995
Mr. Henry Gutierrez
Vice President/General Manager
Alamo Waste, Inc.
P.O. Box 577
Schertz, Texas 78154
Re: December 6, 1995 letter regarding temporary residential
roll-off construction service
Mr. Gutierrez:
We have reviewed your letter, billing practices and associated
requirements for billing and collecting of charges for
temporary roll-off units. We recognize that due to the nature
of such business and service, it is necessary to periodically
move and relocate units and thus the billing must be closely
coordinated between the provider and customer. We agree that
billing and collecting for service of roll-off containers for
temporary locations at residential constructions sites only,
may be done directly by Alamo Waste with a reduction in the
fee established by Ordinance No. 95-F-11 as relates to the
billing charges; however, the franchise fee (3%) will be paid
by Alamo Waste directly to the City and will be based on the
normal fee established by City Ordinance No. 95-F-11.
We expect this procedure to be placed in effect for the
December 1995 billing in order to coordinate those specific
accounts previously billed by the City of Schertz. Payment of
the franchise fee for any accounts directly billed by Alamo
will be made by December 31, 1995.
In order to establish records and maintain reports on this
matter please furnish a written report each month, by address
of service, for the services billed by Alamo Waste together
with the franchise fee payment.
Please maintain your records on these types of services in
such a manner that upon request, an audit review would reflect
all activity on this matter.
Henry Gutierrez
Page 2
Please let me know if we may furnish other information or be
of assistance in any way.
Thank you.
Sincerely,
Kerry R. Sweatt
City Manager
KRS:db
cc: Utility Billing
Public Works
Inspection
Office Manager
Management Services
City Secretary