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HomeMy WebLinkAbout1990-08-02-R RESOLUTION N0. , . . - A RESOLUTION AUTHORIZING THE MAYOR AND CITY CLERK TO ENTER INTO AN AGREEMENT WITH GENCORP AUTOMOTIVE TO RECEIVE SOLID WASTE AND FOR OTHER PURPOSES. WHEREAS, the City of Batesville, (hereinafter referred to as "the City") and Gencorp Automotive, (hereinafter referred to as "Gencorp" ) have previously agreed that Gencorp would deliver to the City and that the City would accept and dispose of solid waste from the Gencorp facility, and WHEREAS, the previous agreement between the City and Gencorp has expired and a new agreement has been proposed , a copy of which is attached hereto and incorporated herein by reference, now BE IT THEREFORE CONSIDERED AND RESOLVED BY THE CITY COUNCIL OF THE CITY OF BATESVILLE that the Mayor shall be authorized to execute the agreement attached hereto and incorporated herein on behalf of the City and said agreement concerning the acceptance of solid waste generated by Gencorp to be received by the City. . 1 . . . . . . . . . . . . . . . . . ORABLE JIM SHIRRELL, MAYOR ATTEST: . . . . . . . . . . . . . . . . LARRY WILLIAMS CITY CLERK BATESVIIJX ec T THIS AGREEMENT made this day of May, 1990, effective December 1, 1989 by and between the CITY OF BATESVILLE, ARKANSAS, a Municipal Corporation organized and existing under the laws of the State of Arkansas, hereinafter referred to as "CITY" and GENCORP AUTOMOTIVE, a segment of GENCORP INC. , a Corporation existing and operating ander the laws of the State of Ohio, with its principal offices at Akron, Ohio, hereinafter referred to as GENCORP. The CITY agrees to operate a controlled two-stage air waste incineration facility and dispose of waste received from GENCORP in accordance with the following terms and provisions of this AGREEMENT. I. CONDITIONS OF WASTE: The CITY shall accept, receive, store and incinerate or otherwise dispose of all of the solid and liquid waste and scrap materials delivered to it from GENCORP on an as received basis providing the following conditions are met: 1.1 The waste can be incinerated in an environmentally safe manner in a properly operated controlled two-stage air incineration facility. 1.2 The liquid or fluid waste is a combustible material. 1.3 The liquid or fluid waste is delivered in containers or in such a manner that it can be fed into and burned in the burning equipment without creating any unusual problems. 1.4 the waste in not deemed a hazardous waste with respect to handling or incineration. Nothing in this agreement shall require that GENCORP deliver all or any part of its non-hazardous wastes generated at its existing Batesville Plant to the CITY. 2. DELIVERY OF WASTE: GENCORP will attempt to schedule the delivery of any of its waste to be delivered to the CITY pursuant to this AGREEMENT, to the CITY's facility on an off-shift basis or any other mutually agreeable time to enable the - 2 - CITY to balance the fuel availability for the incinerator; however, this is not to be interpreted. to mean that the CITY will not accept the waste from GENCORP's plant any less frequently than once per day, seven days per week. If the CITY desires to accumulate GENCORP's waste and/or blend it to balance the thermal heat content of the refuse fired to the incinerator, the burden for this operation and/or equipment required will be the responsibility of the CITY. 3. LIABILITY• GENCORP is to be held harmless in regard to any liability in regard to either civil or criminal action concerning the following items: 3.1 Compliance with Environmental Protection Agency rules and regulations covering the operation of the incinerator, including the gathering and delivery of the refuse to the incinerator plant. 3.2 Air pollution generated by the incinerator facility, including odor, particulate matter, smoke emission, sulfur compounds, nitrogen compounds, hydrocarbon emissions, general nuisance, etc. 3.3 Compliance with any federal, state or local rules or regulations or laws regarding water pollution or disposal of condensate process water, drainage water, or storm water from the incinerator facility. 3.4 Compliance with federal, state and local standards or codes relating to noise, safety, OSHA or any other rules or regulations concerning industrial health and/or safety. 3.5 Labor conflicts, civil disturbances, riots, etc. , with respect to the operation of the incinerator. 4. DISPOSAL FBBS: GENCORP shall pay a monthly disposal fee to the CITY as determined by the following: P = (A-S) = T WHERE: P - Tipping Fee in Dollars Per Ton. - 3 - A = Total Annual Cost of Operating the Plant divided by 12. The total annual operating cost should be based on the annual budget agreed to by both parties and should include amortization and maintenance reserve. Representatives of GENCORP or accountants employed by GENCORP may inspect any auditor's or accountant's reports in the possession of the CITY concerning annual operating costs as well as actual invoices or other documents or matters used to prepare those reports. At the end of each calendar year, actual costs of operating the plant shall be compared to the above mentioned budgeted costs. Any excess of actual costs will be added to the next year's budgeted cost; the difference between actual cost and budgeted cost, if less than budgeted cost, will be subtracted from the next year's budgeted cost. S = The Actual Steam Revenues during the billing Period. T = the Total Tonnage of waste Received by the Batesville Energy Facilities during the billing period. Attached hereto, marked EXHIBIT "A" and made a part hereof as though fully set out herein word for word is the agreed totaled annual . operating costs for the remainder of the year 1990. The billing period shall begin the 1st day of each month and end the last day of each month. The monthly payment shall be due on the 1st day of each month. 5. AMENDMENT OF AGREEMENT: This AGREEMENT supersedes the agreement dated December 1, 1984 and may not be amended or supplemented except by an instrument in writing signed by both parties hereto. This AGREEMENT shall be effective from and after the date of its execution and remain in full force and effect until expiration or cancellation pursuant to the terms of this AGREEMENT. 6. INOTICBS: Notices required under this AGREEMENT will be given to and from the respective local operating personnel of the CITY and GENCORP. Notices will be deemed properly given when in writing, sent by certified mail, postage prepaid and addressed: - 4 - If to CITY: Mayor of Batesville City Hall Batesville, AR 72501 If to GENCORP: Plant Manager GenCorp P.O. Box 2237 Batesville, AR 72503 and copy to: Vice President Law GenCorp Automotive 350 Springside Drive Akron, Ohio 44313 7. TKULS: GENCORP and the CITY agree that this AGREEMENT shall expire at the end of a term of five (5) years and may be renewed by the parties prior to expiration. Either party may terminate this AGREEMENT upon six (6) month's prior notice to the other party. 8. LIABILITY OF CTW: In the event the CITY's incinerator plant or facility shall be damaged or destroyed or their operations interrupted by Act of God, fire, other acts of the elements, riots, civil disorder, war or any other cause beyond the reasonable control of the CITY, then in such event the CITY shall be relieved from performance under this AGREEMENT, until normal operations are restored. Further, the CITY shall not be liable to GENCORP for damages resulting from cessation of operations for necessary repairs, installments or improvements. 9. Neither party shall have the power or right to make assignment of any rights or obligations under this AGREEMENT without the expressed prior written consent of the other party. The foregoing notwithstanding, GENCORP shall have the right to assign this contract to any 100% owned subsidiary if the nature of the business and the wastes thereby generated remain substantially as they are as of the date that this AGREEMENT is executed. - 5 - IN WITNESS WHEREOF, the parties hereto have caused this AGREEMENT to be duly executed this day of May, 1990. CITY OF BATESVILLE By Jim Shirrell, Mayor (SEAL) ATTEST: Larry William, City Clerk GENCORP AUTOMOTIVE By Vice President ATTEST: (SEAL) JSH:emc 5034 5/9/90 BATESVILLE WASTE-TO-ENERGY FACILITY BUDGET - 1990 Personnel Cost 289, 950 . General Operations 84, 775 . Building Operations 6 , 850. Vehicle Operations ( Sans Fuel) 1, 725 . Equipment Operation 51, 800. Grounds Operation 700. Building Maintenance 3 , 025. Vehicle Maintenance 2 , 000 . Equipment Maintenance 27 , 550 . Grounds Maintenance 2, 500 . Major Maintenance 82, 500. Depreciation Expense Unit One 80, 000. Unit Two 54 , 000 . 134 , 000 . $687 , 375 .