ORDINANCE NO. 259
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ORDINANCE tf259
AN ORDINANCE GRANTING GUTIERREZ DISPOSAL AND MATERIALS, INC. A
FRANCHISE TO OPERATE A GARBAGE COLLECTION SERVICE IN THE CITY
OF SCHERTZ, TEXAS AND PRESCRIBING THE TERMS, OONDITIONS, OBLIGA.::
TIONS AND LIMITATIONS UPON AND UNDER WHICH SUCH FRANCHISE SHALL
BE EXERCISED.
1. Grant of Authority. There is hereby granted by the City of Schertz
(hereinafter called "city"), to a company (Hereinafter called "contractor"),
the right and privilege to operate and maintain within the City of Schertz
a service for the collection and disposal of garbage, weeds, brush and other
refuse.
2. Exclusive Grant. The right and privilege granted herein for the
purposes set forth shall be exclusive and no other contractor, person or cor-
poration shall be permitted to engage in the garbage collection within the city
of Schertz during the term of this franchise.
3. Compliance with Laws and Ordinances. The Contractor shall at all times
during the life of this franchise, be subject to all lawful exercise of the police
power by the City, and to such reasonable regulations as the City shall hereafter
by ordinance provide. In addition, Contractor will observe all state laws regu-
lating the collection and disposal of garbage (also see paragraph 6 F).
4. Liability. It is expressly understood and agreed by and between the City
and Contractor that the Contractor shall indemnify and save the City harmless
fro~m any and all loss sustained by the City on account of any suit, judgment, claim
or demand whatsoever, resulting from the negligence on the part of said Contractor,
its agents, or employees in the performance of services under this franchise agree-
ment.
5. Insurance Requirements. Contractor agrees to carry public liability
insurance naming the City of Schertz as co-insured in the amount of $100,000.00 per
person and $300,000.00 per accident; and property damage insurance in the amount of
$10,000.00. Such insurance will be carried with a reputable company and said poli-
cies must be submitted to and be approved by the City Attorney.
A. Performance Bond. Contractor agrees to furnish the City
in a Form to be approved by the City Attorney a bond
guaranteeing performance of the provisions of this franchise
in the amount of $10,000.00. Said Bond shall show Contractor
as principal and a Surety Company authorized to transact
business in Texas as Surety.
6. Service Standards. The Contractor shall maintain and operate its collection
system and equipment in order to render efficient service subject to the terms of this
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Page 2
franchise. The following shall be considered as mandatory requirements:
A. Equipment. 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.
A stand-by vehicle shall always be available. The trucks used
in collection of garbage or refuse shall be all metal, water-
tight, 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 and shall
have Contractor's name and telephone number painted in letters
of a contrasting color on each side of the vehicle. All vehicles
shall be kept in a clean and sanitary condition and shall be cleaned
inside and outside at least once each week.
B. Office. Contractor shall establish and maintain an office with
telephone service and shall keep said office open for business from
9:00 AM to 5:00 PM each and every day except Saturday, Sunday, and
legal national holidays.
C. Office Location. The Office mentioned in Sub-paragraph B 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 received by telephone or otherwise and the
action taken thereon shall be maintained by Contractor.
D. Routes and Times of Collection. Contractor shall collect, remove,
transport and dispose of garbage, weeds, and refuse from areas desig-
nated by the City Council according to the schedule attached hereto
as Exhibit "A" hereof.
E. Chan~es in Times and Routes of Collection. The City Council reserves
the right to change or alter the times and routes of collection.
Contractor shall be given at least five (5) days notice if any such
action is contemplated by City. No changes in collection schedule
shall be made by Contractor without approval by City.
F. Disposal of Garbage and Refuse. Contractor shall have the responsi-
bility of the disposal of all refuse, garbage and weeds collected under
this agreement and all of said materials shall be disposed of in com-
pliance with the laws of the State of Texas and/or the rules, regula-
tions and standards established or to be established by the Texas State
Department of Health to include the Texas Air Control Board.
G. Area of Collection. Contractor will collect garbage from all property
owners within the City needing such service and not delinquent in the
payment of the authorized service fees.
H. Interruption in Service. In the event that the collection and disposal
of garbage refuse shall be interrupted by any reason for more than
forty-eight (48) hours, the City shall have the right to make tem-
porary independent arrangements for the purpose of continuing this
necessary service to its citizens in order to provide and protect the
public health and safety.
I. Excessive Interruption in Service. If the interruption in service
mentioned in the paragraph next above continues for a period of thirty
(30) days, then City shall have the right to terminate the rights and
privileges granted in this franchise.
7. Term of Franchise. Franchise rights herein granted shall take effect and
be in force from and after the final passage hereof as required by law, and upon
filing of acceptance by the Contractor with the City Secretary, and shall continue
in force and effect for a term of three years effective July 1, 1972. If the terms
of this franchise are not accepted by the Contractor and said acceptance in writing
filed with the City Secretary within (30) days after the passage hereof, all
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rights granted hereunder shall be null and void.
A. Revocation. Franchise rights granted hereunder may be
terminated by the City of Schertz or by the Contractor on
the giving of notice in writing to the other party to
said contract, of the intention of said party to terminate
his participation in said contract ninety (90) days in
advance of said proposed termination of contract.
8. Non-transferability of Franchise Rights. The Contractor shall not accept,
sell, transfer or assign its rights or system under this franchise to any other
person or corporation without the approval of the City Council.
9. Rates, Collection Payment. The rates to be charged are as accepted
by the City and the City shall make or shall cause to be made all collections thereof.
Contractor shall be paid by City at the rate of Ninety percent (90%) of amount billed
for each customer served for which billing is made by City. Contractor shall be paid
what he is due from City within 5 days after the closing date of each billing period
with the last monthly payment hereunder to be made during the first calendary month
after the expiration of the term hereof or after the cancellation hereof, as the case
may be.
10. Records and Reports. City shall have access at reasonable hours to all the
Contractor's records, customer service cards, and all papers relating to the operation
of said Contractor within the City of Schertz. The following records and reports shall
be filed monthly by Contractor with the City Secretary at the City Hall of the City
of Schertz:
A. Reports of the results of all complaints and investigations
received and completed each month by Contractor.
B. Reports of all changes in equipment used in Contractor's operation.
C. Record of all changes in number of residents of City served by Con-
tractor.
II. Investi~ation and Public Hearing. 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 records of Contractor with relation to the operation of the garbage collection
system within the City. In this connection, the City shall have the right, through
its Council, to take testimony and compel the attendance of witnesses or the produc-
tion of books, papers and records and to examine witnesses under oath and under such
rules and regulations as it may adopt. If any officer of Board or agent or employee
of contractor refuses to give testimony before said Council, Council shall have power
by ordinance to declare this franchise a privilege and default and terminate it.
12. Notices. Where written notices are provided for in this Ordinance,
same shall be sufficient to notify Contractor if mailed by certified mail to the
proper address as specified in this bid and shall be sufficient to notify the City
Page.4
if mailed by certified mail to City Secretary, City of Schertz, P. O. Drawer I,
Schertz, Texas
78154.
SCHEDULE "A"
I. Routes and Times of Collections.
customer in City. The City shall be
collection of regular garbage, small
Garbage pick-up shall be twice a week per
divided into two routes for purposes of the
brush and limb pickup as follows:
Monday and Thursday:
Tuesday and Friday:
Route No. I
Route No. 2
(a) Resident's Special Pickup--When the trash, rubbish, limbs, rocks and
other waste which cannot conveniently be placed into regular garbage containers, as
outlined in paragraph 6 or, represent an unusual weight or size, the resident or
property owner may negotiate directly with the contractor to remove such trash, by
special pickup at an agreeable price. If an agreeable price cannot be established,
the resident is authorized to negotiate with any other person for this special service.
2. Pickup Points for Collections: Garbage containers shall be placed so that they
are accessable from the curb line without the collector entering upon private property.
3. Times of Collection: Contractor shall make no collections in residential districts
prior to 7:00 AM and collections in business districts shall not be commenced earlier
than 6:00 AM.
4. Waste from Building Operations. 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
sizeable amounts of trees, brush and debris cleared from property in preparation for
construction, will not be removed by the contractor as part of regular service but
may be done for the owner on payment of an extra charge as agreed to between the
owner and the Contractor with such payments being made directly to the Contractor. The
owner, at his option, will have such debris removed at his expense be a private hauler
of his choice.
5. Dead Animals: 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 Contractor. The Contractor 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 pick-ups 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.
6. Limit on Tree Pickups. All brush and large trimmings to be collected by Contractor
shall be placed by property owners at the curb line. Trees, brush, and limbs cannot
exceed three (3) inches in diameter nor five (5) feet in length. Leaves and grass
clippings and small brush items are to be placed in cardboard cnntainers and/or garbage
cans.
7. Types of Containers: Garbage containers shall be water tight 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 one
hundred (100) 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 the free discharge of the contents. Con-
tainers that have deteriorated, or that have been damaged to the extent of having
jagged, or sharp edges capable of causing injury to garbage collectors of other persons
whose duty it is to handle the containers, or to such an extent that the covers will
not fit securely, will be condemned by the City of Schertz.
8. Service Fees: The fair and reasonable rates for collecting garbage, trash, and
brush as equitable to all citizens are:
(a) Residential
Class I - Residence, Single Family
$2.75
per month
Class II - Trailer Parks (2 or more)
(based on number in park on the
15th day of month)
$1. 65
per unit
per month
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Class III - Apartments
$1.75
per uni.t
Class IV - Motels
$ .65
per unit
(bJ Commercial
Class V - Offices, Barber Shops, and
Professional service
$3.00
per month
Class VI - Light retail/industrial
(grocery store under 2000 sq. ft.)
$4.50
per month
Class VII - Medium retail/indistrial
(garages, filling stations, drug
stores, grocery stores 2000-4000
sq.ft.)
$7.50
per month
Class VIII - Heavy retail/industrial
$14.00
per month
9. Commercial Containers: Contractor will provide commercial containers to those
customers who desire to use them in lieu of garbage cans. The use of such containers
is not required by this ordinance by any specific customer. If desired, arrangements
for their lease or purchase will be made with the Sanitation Contractor. Monthly
lease charge for these mechanical lifted containers shall not exceed (to be determined
by Bid).
Container Size Times Serviced Per Week
1 2 3 4 5 6
1 cu. yd. $10.00 $17.00 $20.00 $25.00 $30.00 $35.00
2 cu. yd. 12.00 21. 00 25.00 30.00 35.00 40.00
3 cu. yd. 17.00 30.00 45.00 60.00 71.00 78.00
10. Billing and Collection: For the purpose of conveniance, the billing and collection
of the charges levied for the garbage service shall be done by the Utilities Depart-
ment of the City of Schertz and all such fees shall be payable at the office of the
Utilities Department. All charges shall be due and payable each month concurrent with
utility bills and if not paid on or before the due date, the City shall assess a
10% penalty for delinquency and collection expense.
II. Separability. If any section, sentence, clause or paragrah of this Ordinance
is for any reason held to be illegal, or invalid, such invalidity shall not affect the
validity of the remaining portion of this Ordinance. Ordinance No. 221 as amended and
all ordinances and agreements in conflict herewith are hereby repealed effective
July 1, 1972.
PASSED AND APPROVED this /~-"d~y of June, 1972. A.D.
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Ma~
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'City Secretary
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Acceptance:
~ontractor)
The above Ordinance Franchise is hereby accepted in all things by
of the City of Schertz, this ~O day of June, 1972.
r enry Guti , President
DISPOSAL AND MATERIALS, INC.
(CITY SEAL)
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