DATE: November 18, 2025
TO: Board of Supervisors
SUBMITTED BY: Steven E. White, Director
Department of Public Works and Planning
SUBJECT: Retroactive Amendment No. 2 to Master Agreement for Waste Tire Hauling and Disposal Service
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute retroactive Amendment No. 2 to Master Agreement No. 22-046 with American Refuse, Inc. and West Coast Rubber Recycling, Inc. for the provision of waste tire hauling services, effective upon execution with no change to the original term of September 12, 2021, through September 11, 2026, removing annual contract limits and increasing the contract maximum by $25,000 to a total of $1,050,000.
REPORT
Approval of the recommended action will eliminate the annual maximum compensation of $205,000 and increase the contract maximum to $1,050,000 on Master Agreement No. 22-046 to provide waste tire hauling services at the American Avenue Disposal Site (AADS). This item is countywide.
ALTERNATIVE ACTION(S):
If your Board does not approve the recommended action, the County will be unable to compensate American Refuse, Inc. and West Coast Rubber Recycling, Inc. for the unexpected increase in service demands. This may jeopardize the continued provision of timely and environmentally responsible waste tire disposal and recycling services, potentially placing the County in violation of applicable state and local regulations.
RETROACTIVE AGREEMENT:
The recommended amendment is retroactive to July 1, 2025, to authorize payment for ten Year Four invoices between July 11, 2025, and August 19, 2025, totaling $29,500, along with approximately $1,200 in accrued finance charges pending approval of the amendment. In July 2025, AADS experienced a notable surge in tire volume at the landfill, reflecting the County’s ongoing need for accessible tire disposal option for both residents and businesses. AADS, Roads Maintenance and Operations, and Solid Waste and Recycling divisions incurred expenditures in FY 2024-25 that exceeded the annual contract limit of $205,000 by $26,497.74. However, Year One’s contract maximum was underutilized by $88,599.42, which could have offset the overage had annual spending caps not been in place.
FISCAL IMPACT:
There is no Net County Cost associated with the recommended action. The expenditures related to the increased maximum compensation will be funded by the AADS Enterprise Fund (Org 9026). Costs already incurred in FY 2024-25 have been accounted for within the available resources of the fund for that fiscal year. Sufficient appropriations to cover the outstanding invoices with the related finance charges and unexpected disposal volume surges have been included in the Department of Public Works FY 2025-26 Adopted Budget and will be included in subsequent budget requests.
DISCUSSION:
In FY 2024-25, AADS successfully diverted 552.01 tons of tires from the landfill, approximately equivalent to 55,201 passenger tires. Over the initial four years of the agreement, AADS incurred a total cost of $662,633.68. The contract supporting this waste tire disposal and recycling initiative is also utilized by two additional programs within Public Works and Planning: the Road Maintenance and Operations Division, which expended $52,417.70 over four years, and the Solid Waste and Recycling (SW&R) program, which contributed $37,375.46 toward the contract maximum. The combined four-year contract costs across all divisions total $752,426.84.
In July 2025, AADS experienced an unanticipated increase in waste tire disposal volumes, with invoices coming in at $29,500, a sharp rise from the $8,850 in June. The diversion efforts resulted in the Department exceeding its annual contract spending limit of $205,000 by $26,497.74. To resolve this, the proposed amendment No. 2 would increase the contract maximum by $25,000, from $1,025,000 to $1,050,000, and remove the annual spending ceiling. This adjustment allows for the use of unspent funds from previous years without substantially increasing the overall contract maximum. The contract increase, along with the elimination of annual spending limits, will help ensure timely payments and accommodate unforeseen costs across all participating divisions.
REFERENCE MATERIAL:
BAI #28, February 1, 2022
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Master Agreement
CAO ANALYST:
Maria Valencia