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Home My WebLink About10.a. Joint Powers Compost Operation Transfer of Operation Contract CITY OF ROSEMC?UNT EXECUTIVE SUirB�iARY FOR ACTIC?N CITY COUNCIL MEETZNG DATE.April. 20, 1993 AGENDA ITEM: Joint Powers Compost Operation AGENDA SECTION: Transfer of Operation Contract New Business PREPARED BY: S t ephan J i l"k AGENDA 11'q"C I►A .�d. � (� � � � c�v� rr• �� ATTACHMENTS: Letter From R. D. Pecar Al' 4VED BY= ��/� Assignment Agreement �� The Cities of Lakeville, Farmington, Rosemount and Apple Valley currently operate a compost �acility in Lakeville on land awned by the city of Apple Valley. The four cities contract with Richard Picar to operate and manage the facility. Mr_ Picar would like to transfer the contract for operation to SKB Environrnental, Inc of St . Paul . Mr. Picar currently operates cornpost facilities in two other cities. These operations are also being sold to SKB Environmental . Under the contract for sale between SKB and R.D. Picar, Mr. Picar will still provide management services ta SKB. The financial resources of SKB will be brought into play in a business that SKB is well established. SKB currently operates the demolition landfill in Inver Grove Heights . They axe a national firm doing business in landfill and waste management operatians throughout the nation. The Assignment Agreement to transfer the operational contract to SKB has b�Pn reviewed by all four city adzninistrators and Mr. Roger Knutson, attorney far the City of Lakeville. It is found to be acceptable. I request your approval of the agreement. Mr. Richard Picar and the Preseident of SKB Environmental will be at our council meeting to introduce themsel:ves and answer any questions you might have. RECOI�+4SENDED ACTIC?N:Motion ta apprave the assignment agreement to �ransfer the agreement for operation of the Joint powers yard waste facility from R. D. Picar to 5KB Environmental, Tnc. and authorize the Mayor and City Clerk to sign on behalf of the City. COUNCIL ACTION: CAMPfiELL, KI�UTSON, SCC�TT & FUCHS, P.A• Attorne�'s at La�i> (6l�)�ka3-�O�J Tltiutn:ts J.C:cun�,l�cfl Fa�{61?)��2•»2t� Ru�cr N.Kn�rcsun • Th��m.�s M.Scucc Gafl•G.Fuchs James F.�Vais�ore Elli��cc$.Knecsch �t;chael r�.5r�,hack MarGh 2 9, 19 9 3 Rcnae Q Stcincr Mr. John Hennen Mr. Larry Thompson City of Lakeville City of Farnington 20195 Holyoke Avenue West 325 Oak Street P.O. BoY 957 Farmington, MN 5502� Lakeville, MN 55044 Mr. James F. 5heldon Mr. Stephan Jilk App1e Valley City Attorney City of Rosemount 600 Midway National Bank Bldg. 2875 - 145th St�eet West 73�0 West 147th Street P.O. Box 510 Apple Va11ey, MN 55124 Rosemount, MN 5506$ Mr, Richard Pecar, V.P. SRB Environmental, Inc: ` 251 Starkey Street P.O. Box 7216 Saint Paul, Minnesota 55107 RE: Yardwaste Maintenance Facilitv Contract Gentlemen: Enclosed please find proposed agreement wherein R.D. Pecar & Company, Inc. requests permission to assign its interest ir► the above referenced contract together with all rights and abligations under it. Please review and call me with any changes you wish to have made. Very truly yours, CAM �-r-i�3'�' , S COTT & GHS, P.A. � Roger N, utson RNK:srn Enclasure Suite �17 • Eaaandale Oftiice Center • 13�0 C�rrorate Cence,Cur�•e • Ea�an, ��1N »1?1 A5SIGNMENT AGREEMENT THIS ASSZGNMENT AGREEMENT is made and entered into by, between, and among the Cities of Lakeville, Apple Valley, Rosemount, and Farmington, hereinafter "Client" , and R.D. Peear & Company, Inc. , P.O. Box 40130, Saint Paul, Minnesota 55104, herein- after "Pecar" ; and SKB Environmental, Inc. , 251 Starkey Street, P.O. Box 7216, Saint Paul, Minnesota 55107 , hereinafter "SKB" . RECITALS A. The Client and Pecar have previously entered into an agreement for the operation and maintenance of a yardwaste facility locat�d at 17750 Pilot Knob Road in Lakeville, Minnesota (��Agreement") . B. Pecar has requested permission from the Glient to assign to SKB its interest in the Agreement together with all rights and obligations under it. NOW, THEREFORE, the parties agree as follows: 1. Peear hereby assigns its interests, rights, and obli- gations under the Agreement to SKB. 2 . SKB accepts the assignment of Pecar's interest, right, and obligati4ns under tne Agreement and agrees to be bound by its terms as if it were an original signatory to it. 3 . Client appraves Pecar's assignment of its a.nterest, right, and abligations under the Agreement to SKB subject to the following conditions: a. SKB providing the Client proof of insurance as required by the Agreement. b. SKB providing the Client a performance bond as required by the Agreement. 4527 03I29/93 c. Pursuant to paragraph 15.2 of the Agreement, the designated vendor coordinatar is: Name: Richard Pecar, V.P. SKB Environmental, Inc. 251 Starkey Street, P.O. Box 7216 Saint Paul, Minnesota 55107 CITY OF LAREVILLE CZTY OF APFLE 4ALLEY BY: BY: Its Mayox It,s Mayor �D P.ND Its Clerk Its Clerk CITY OF ROSEMOIINT CITY OF FARMINGTON BY: BY: Its Mayor Its Mayar AND AND Its Clerk Its Administrator R.D. PECAR & COMPANY, INC. SRB ENVIRONMENTAL, INC. BY: BY' Its Zts AND �D Its Its 452T 2 03l29143 �. � w, `�, �u.�,r�rc r r;, �6,�. i S"n�� ntl C L`� i:�d��..�..+�: L �"lJJ 6 � t�7iii�?4 � � � . � . �� ,�.� ��,s � `s� �� s� �'� ��> �; a�a �� '��`Q �bo �;�.�:� � '_ : ;::.�;:=. ��`��` !F� n ��o� .11i'r',i� � i�.rJ Marcn 8 , 1�53 _ . .- . C��ERK'S OFFl�� c:-r�� - ��=_►�Acur�T r-s; . s��Q�, �, :�F: l:l L Y F+C7 R11 t'l� S[�u L G t' CITY OF ROSEMOUNT 2875 - 145th Street Rosemount . M�1 55G5� �ear Mr. J i lk. : I am kFrir� n� tt',is �Q�t2� -., :�u�:�s� �:�u;. t��2 C� �y o� R�ser�ur�t ailos�� i��e �ra�sfer oT cu; yyarc� waste �ontract tv �r�oti�zr carrsA��v . SKB �t�iVIRQt�ii+1ENTAL , ZNC. ( "SF:�" ) , oi St. Paul . We �r� not proposing any o�+'�e� rc�o�i�ScaL�Urs Lo �h� existinct Cantr2ct. �. �. ?�car & Co. , inc . � �'P,Cir" ; �as n�p�tiacea u �ac-cr;jse �greemer,� o� our ir��.�r�s�� ii� �:�rc� +�°�� c�rn�'��', r�� op�r�,�ictr,{, �� tt�� Sr:�. SK6 has �rc�v i aeci Rt�r ��i ih a lette�- o� i r;te� L wia��c�r comm5ts to the purc+�as� of RDF sruiPm�'�L an� t�� a�sua:ptiort o� ti�e ric��ts ar�d o�iigatior:s to RDF ' � Cc�retr�c:.s i.o Uper�tQ �r�d mair�t�in �ubi;c Y�r� k`usie fccilities . St:�'. ��:iii rYt�i �, 2yistir�� =ti.�:=� em�;t�YeA� un� wili �m�l�;��Q m� �e e ..I- r' r ��.�Il �:i ,�{J�� {3'' ''�:'� cli �.'GlT:i�CSL�it� ��::�3�`rCi"1� . 'r.fll.. I � ., �:C..,}1 .. � ��: : S:.l�ty ictCl .i; t�c: lf; L��:3Y111� . :>O�L�`�� .�YO•'� �•`tt.:� tJ�:�.:�v�;i�c , wi 11 i rzciva� Sr:�' � n�w y�rd w��t� f�c.i 1 i tY ; �t Shai�onE�. �h� _ accuisition ofi k�ia ' s Yai-d w�ste interests b� SKE is contin�snt upon wr; tten approv�l c�r ��: s tr�n�action �Y all �ar�i�s to ��.ch C�ntr-act. '1 $(il C(7LIIL1C32�1`L �I'I '1 .S �t�W d�'T`GSriC.�t,'-�tTiPi`it. �A'lli .'�2�21'�1 's.. �.�� }`��i'"�i2.�. �'..f1L�i 'k11.'l S'IgtliTlCB�i"C1r' i(ilpi"UYE itl8 yai:Gi L1cs5t� ��'Y1C�S �w'� Cail �.'"'). i'OY'iCi� tO h�OS2f(IQtlitt i'e51 ��11�5 . i�"1l5 �1"t'8��t�2(REIIL k'l l� SLi�'T'IClL�'t2fl GtSi' c�v2raii op�r�ti�n� . �i ;�r��ciall�� .�rr� ; � �erms o� �.i'�� iv��sitY �` �Yci iclJi2 �Q'�1 j�i71��1i. , i.;t�''-- �i1 i i 1 t}' �G �1.3`!Ci:.d1 t1 t;�� 2t�t11�iT��i L . ��;:: �'iU {,rOr'�G1 �2� ... f'�irJC� GUSL`�T"T�CCI �'� uC�tIil �l l '�i.i"aLi �'�' uC1G "1jYY.2i.1 i1C: G`c'.��'i�i31 t� L'y' . ��i'$ W1 '11 b�i1�T'1 � ��.`''� C"_.t31111i'ty :C"'5.:.� �:J Cil� CX'�.Zc:i'�L�'�Ce `i-fl LC3�ij�GaLlt'1�. Page 2 SKE is 3 k'aste management company that oper�tes a state-or�-the- art ciemolitior cisposa�. f�cility i;� Invcr G�ov� Hei �hi.s and oth?r forms of rAcy�clirrg ente�A�'ises such wood an� concreLe process3ng. SKE enjoys a higf; ieve3 re�ut��ion in Dakat� County and r.tith t�,e �fiRC�,. I h�ve enclosed an SKE brochure for your inform�tion . ;:1.^.t: :� ` ��t"2t, �i��' r.'�Y�S; CiE;ilt Gfi .`'�.:�, � �i1C`= � 's1•.'.i11� il }:£? �G fT1L-'8L �.7 i `..i� y0U d,L yaur earli�SL oppar�.;SitlLj' I.0 G1Si.US� Giit' �8iaU8.�,i.. +iJB +�.'GlliG prefer to meet by micf-M�rch i� possibl�:. I will call Yau next wesk fior �n appcintment. Ple�se contact mp i�` Your require �ciditiona3 information �Y c�?ling Z24- 1659 . S`�r�cerely , � � ��ti"" �;ict�ar� G . =�ec4r PRcSZCc(4T � t�re5i �p�L , SK� ��•�V1t;UNM�NT�,L , T"kC . v. _ P.iCk: 0 Get�.:; , Rot�ert Eriei;son , CiLY Admini �tr-.�zc�r , C-� iY cf �ak�vii�e Tom Meler�a , Ci �Y A�minisLra�or , Ci ::Y �'" �Ai�j� :'a11eY 4Qrry invr��psan , :'itY Aarr�; r; ; s:.r-�Lor , Ci ::.y at Farmir��cr . `i� �:�K��" 1�? ..iJil;s i'i.'�_.';3�I�it , ��i ��;� . . . v�—'T i �R�`^G'1 i�}V t i , :��S �.J' C1� H jJ�3�� `C�,�i�,''�7' ` ��T'r' �F �HI;EI�'IL��E TEL � 1-b1�-:�r��-��15 h�1ar 2� y� 11 � u� I�u . uu� P .u2 �� Naxch 24 , 1993 2�r. Jcshn Hennen CITY OF LAKEVZLLE 20195 Hoiyoke Lakevil].e, ?NLt� 55044 Dear Mr. Hennen: I a:� �friting thi� �etter to r�sponti to the issues ynu discussed wi.th Richard Pecar �egarding the assignment and transfez of R. D. Pecar & Ca. , Inc. Contracts to SK$� Z11C. Z . �'�.gnaae. SrB will agree to replace the signs at Lakeville and on County Rc�ad �2 . 2 . Cost cf � � a�: fees to re�are assi nment dQcurnents. We would be glad t4 hava our staff attvzney, Dawn Gaqne, contact Lakeville' s at�.orney, N.r• Y.nutsan. Possibly, SY•B can draft �.he Ttecessa�Y dG�CumentS, SubjeCt j of cour5e, to 2f�r. Knut�on' s aPpxoval. 3 . �o,.ir c�ties _s1i11 wait until Ov�atonna and Cattane �G�ov� apprav� the assi nment C� SKB to their Contraets with R D Pecar & Co,_, __Iric. SKB understands that because there are four communities participating in the Lakeville Contraet, it -would be prudent on yaur part to �aks up the �.ssignment aft�r Owatonna and Cottage Grov� hav� completed their apgrr�val , _ 4 . Sh8 to com�l}� with Countv Ordinance 17._0. SK�3 is familiar with this deve2oping ordinance and is willing to comp2y with its provisions as �.hey may apply to yard waste compc�st i.ng. In closing, I would like to thank y4u for assembling the City Manac�ers af L�}:eville, Apple Valley, Ros�maunt and Farmington to discuss our request to assume the rights and obliqations of R.D, Pecar & Co. , Inc. contract� . 251 ;;tarhey 5L • P.C�. �Q>;721fi - St. Aaul, t,�tJ 551fl7 �'�i yrinlcJ,,,,RK>cicd 5��, � 012-2�4-u329 • FkX�i1?.223-5053 �' ' �_��i , �� LHI `��ii..L� I GL • 1-'��1.: �:b�,-�J. �J I'�t7.I ._J �J� � l � U.:� IVU .V�J� r . �� John Hennen ' March z2 , 1993 Page 2 SKB �.s loaking forward t� a long and mutual�y satisfying r�2ationship providing convenient and afforable yard waste cc�mpasta.ng �ervaces for the abc�ve cQr.�munities. S�ncerel�, SY:B� INC. s�. /.7 � ��,�� - Richard �'Gara President �Z� cc: Mr. Roger Knutsan Mr. Richard Peoar