For City Council Meeting May 26, 2026
TO: Honorable Mayor and City Council
APPROVAL: Tanya Williams, City Manager
FROM: Yazdan Emrani, P.E., Director of Public Works
Title
Request City Council to: (1) Approve Amendment No. 9 to the Waste Disposal Agreement Between the City of Rialto and San Bernardino County, Division of Solid Waste, Extending the Term From July 1, 2026, to June 30, 2035, Lowering the Current Contract Rate from 85% to 83% of the County’s Posted Gate Rate, Effective Each July 1st; and (2) Authorize the City Manager or Their Designee to Execute all Related Documents.
Body
RECOMMENDATION:
Staff recommends that the City Council:
1) Approve Amendment No. 9 to the Waste Disposal Agreement with San Bernardino County Solid Waste Division, extending the term of the current Waste Disposal Agreement from July 1, 2026, to June 30, 2035, and lowering the current contract rate from 85% to 83% of the County’s posted gate rate, effective each July 1st; and
2) Authorize the City Manager or their designee to execute all related documents.
BACKGROUND:
The Waste Disposal Agreement (WDA) is a 29-year agreement between San Bernardino County and the City of Rialto, along with 14 other cities, for the use of the County Landfill System. The 14 cities included in the WDA are the Cities of Adelanto, Apple Valley, Barstow, Big Bear Lake, Colton, Fontana, Grand Terrace, Hesperia, Highland, Loma Linda, Twentynine Palms, Victorville, Yucaipa and Yucca Valley.
The Agreement was first amended on February 19, 2002, to implement the “Article 19 Solid Waste” component of the County Waste Management System and define the City’s share of revenue. This component allowed San Bernardino County to offer competitive rates to non-WDA member cities, with member cities being offered a share of the revenue generated from the disposal fees.
In June 2003, Amendment No. 2 was approved to increase the annual maximum limits in the County’s landfill system.
In November 2007, Amendment No. 3 was approved, which allowed the County to charge $10.00 per ton (pro-rated) for identified controllable waste generated in the City and to have such waste subject to being processed in a recycling program. For example, roll-off container trucks and other County or City vehicles, such as pick-up and dump trucks, would be subject to the surcharge.
In November 2007, Amendment No. 4 was approved, which allowed the County to calculate an annual cost-of-living adjustment earlier in the calendar year and notify member cities of any changes on a more timely basis.
The approved Amendment No. 5 extended the end date of the WDA Agreement to June 30, 2016.
In June 2016, Amendment No. 6 extended the end date of the WDA Agreement to June 30, 2021, and applied an annual fixed WDA renewal discount adjustment of $0.82 per ton for the term of the agreement.
In June 2021, Amendment No. 7 extended the end date of the WDA Agreement to June 30, 2026, resetting the WDA Contract Rate to $38.00 per ton, effective July 1, 2021, and adjusted annually according to an annual price escalation formula.
In June 2022, Amendment No. 8 capped the WDA rate so that the adjusted WDA rate does not exceed 85% of the Board-approved gate rate for the proposed rate year.
ANALYSIS/DISCUSSION:
The County is requesting approval of Amendment No. 9 to the WDA. A copy of the WDA is included as Attachment 1. Staff has reviewed the Waste Delivery Agreements between the San Bernardino County Solid Waste Division and 15 San Bernardino County cities and towns and recommends its approval.
The current Agreement terminates on June 30, 2026. The Agreement commits the City to deliver the municipal solid waste generated within its boundaries to the County Landfill System. In return for the City’s commitment, the County offers a stable rate for the term of the contract, subject to CPI increases and government-imposed mandates/law changes. Both the City and County recognize that the WDA better serves the public health, safety and welfare by providing greater disposal rate stability, more predictable and reliable long-term disposal service, and the continuation of sound environmental management.
The proposed amendment provides for the following changes to the WDA.
Term Extension:
The WDA expires on June 30, 2026. This Amendment would extend the Agreement for nine years until June 30, 2035, with each member city or town having the same termination date. The extension will benefit the City by providing stable and predictable disposal rates for the term of the contract.
Rate:
Effective July 1, 2026, and each July 1st thereafter during the term of the Agreement, the Contract Rate shall be equal to 83% of the County’s posted gate rate effective that July 1st. For July 1, 2026, the County’s posted gate rate is $49.49 ($61.49 minus the $12 CDSDP fee); therefore, the WDA Rate, effective July 1, 2026, will be $41.08 per ton.
In exchange for adjusting the WDA Contract Rate to be equal to 83% of the County’s posted gate rate, the City agrees to commit to remaining a WDA City, with no provision to terminate without cause, for the remainder of the WDA Term.
ENVIRONMENTAL IMPACT:
The request is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. According to Section 15378(b), a Project does not include: (5) Organizational or Administrative activities of governments that will not result in direct or indirect physical changes in the environment.
GENERAL PLAN CONSISTENCY:
Approval of this action complies with the following City of Rialto General Plan Goal and Policy:
Measure 8.43: Provide Solid Waste and Recycling Programs, continue to meet the community’s needs for solid waste disposal and recycling, and provide that operations are done in an efficient and cost-effective manner.
LEGAL REVIEW:
The City Attorney’s Office has reviewed Amendment No. 9 to the Waste Disposal Agreement and approved it as to form.
FINANCIAL IMPACT:
Operating Budget Impact:
The County’s Solid Waste Management Division accepted the WDA Cities’ proposal to reduce the WDA rate to $41.08 per ton effective July 1, 2026. This results in a $0.99 per ton decrease to the current WDA rate. Effective July 1, 2026, and each July 1 thereafter during the term of the Agreement, the Contract Rate adjustment will be calculated as provided above, except that an annual fixed WDA renewal discount adjustment of $0.82 per ton will be applied after the annual Cost of Living Adjustment (COLA) adjustment.
Capital Improvement Budget Impact:
There is no impact to the Capital Improvement Budget related to the approval of the Waste Disposal Agreement.
Licensing
The proposed action will not require payment of a business license tax.