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<br />March 8. 2005 <br /> <br />Motion by Mr. Whitehurst, and seconded by Mr. Smith, that the City Council <br />adopt a resolution of the Council authorizing the City Manager to enter into <br />negotiations with SPSA and American Ref-Fuel Company concerning a waste <br />management plan involving the acceptance of "Out of Area" waste at a Portsmouth <br />location within the guidelines set in the resolution. As a part of this motion the City <br />Manager is directed to present for review and approval by the City Council any <br />proposed agreement with those parties, and was adopted by a unanimous vote. <br /> <br />"A RESOLUTION AUTHORIZING THE CITY MANAGER TO NEGOTIATE WITH <br />THE SOUTHEASTERN PUBLIC SERVICE AUTHORITY OF VIRGINIA (SPSA) AND <br />AMERICAN REF-FUEL COMPANY TOWARD AN AGREEMENT FOR THE <br />ACCEPTANCE OF "OUT OF AREA" WASTE UNDER CERTAIN CONDITIONS AND <br />TO INITIATE OTHER ACTIONS NECESSARY TO FACILITATE RECEIPT OF SUCH <br />WASTE. <br /> <br />WHEREAS, the Southeastern Public Service Authority of Virginia (SPSA) has <br />proposed that the City of Portsmouth consider participating in a new waste <br />management program that has the potential to enhance the long-term financial growth <br />of the City of Portsmouth while simultaneously supporting the region's long-term <br />protection of public health, safety, and environment and controlling future costs of <br />waste management services to the region; and <br /> <br />WHEREAS, these opportunities include a host fee for the City of Portsmouth <br />through a memorandum of understanding (MOU) or other similar legal document with <br />American Ref-Fuel Company, a business that is experienced in solid waste <br />management and is economically stable; and <br /> <br />WHEREAS, the host fee revenue associated with the receipt and management <br />of additional municipal solid waste and the disposal of such additional waste will <br />benefit the citizens of the City of Portsmouth and provide additional funding to be <br />utilized towards achieving the goals of the City's Comprehensive Plan; and <br /> <br />WHEREAS, such an arrangement would also provide a long-term source of <br />revenue that is essential to efficient and cost-effective operations of waste <br />management for the City and the region; and <br /> <br />WHEREAS, the City Council supports the proposed arrangement with SPSA <br />and American Ref-Fuel, subject to negotiation, study, and further approval of an <br />appropriate final written agreement or other legal instrument for that purpose. <br /> <br />NOW THEREFORE, BE IT RESOLVED, that the Council of the City of <br />Portsmouth, Virginia, hereby authorizes the City Manager, to take the necessary steps <br />to develop for presentation to the City Council a memorandum of understanding and <br />other legal instruments necessary to formalize an agreement between the City, SPSA, <br />and American Ref-Fuel for the receipt and disposal of certain waste from outside <br />SPSA's existing service area; and <br /> <br />BE IT FURTHER RESOLVED, that such legal instruments shall include, but not <br />be limited to, the following provisions: <br /> <br />1. Delivery of a minimum of 2,500 tons per day, on an annualized basis, of <br />residential, municipal solid waste, for six days per week, to be transported and <br />disposed of by SPSA or American Ref-Fuel in one or more properly permitted and <br />regulated facilities; <br /> <br />2. Negotiation for payment of a minimum host fee set at today's equivalent <br />industry standard fee per ton, annually adjusted based on a mutually agreeable index, <br />such as the Consumer Price Index, and other such adjustments outside of a general <br />adjustment index; <br /> <br />3. A minimum term of 20 years, beginning on or about January 1, 2007, <br />with provisions for sale, assignment or termination of the agreement <br />