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5.4. SR 01-08-2001
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5.4. SR 01-08-2001
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City of <br /> <br />E <br /> <br />Item 5.4. <br /> <br />MEMORANDUM <br /> <br />River <br /> <br />TO: <br /> <br />FROM: <br /> <br />MAYOR AND CITY COUNCIL <br /> <br />STEPHEN ROHLF, BUILDING & <br />ZONING ADMINISTRATOR <br /> <br />DATE: <br /> <br />JANUARY 8, 2001 <br /> <br />SUBJECT: <br /> <br />TRANSFER OF CORROW <br />SANITATION'S CITY REFUSE <br />CONTRACT TO RANDY'S SANITION <br /> <br />Randy's Sanitation is purchasing Corrow Sanitation. Combined with the City of Elk <br />River accounts for residential refuse pickup that were formerly Corrow's, Randy's will <br />now be serving approximately 50% of the city. BFI continues to serve the other 50%. <br />Curt Corrow will continue in the business as a Randy's Sanitation employee. <br /> <br />It is required that the Elk River City Council approve the transfer of Corrow's city <br />contract to Randy's in writing. The attached portion of the contract titled, "Assignment <br />and Transfer", identifies four conditions that must be meet to approve the transfer. The <br />following are staff's comments regarding those four conditions: <br /> <br />1) <br /> <br />Randy's is currently one of three haulers the city uses for residential refuse <br />service. They have demonstrated their ability to provide this service <br />adequately. <br /> <br />2) <br /> <br />The city will still have two contracted haulers after Randy's purchases <br />Corrow. The city also has the ability to have its residential refuse service go <br />out for bids. Staff does not feel the pending purchase will create an anti-trust <br />situation. <br /> <br />3) <br /> <br />The Council's approval of the transfer should be made contingent on the <br />execution of a document stating that Randy's expressly assumes Corrow's <br />obligations to the city under their contract. Randy's is preparing this <br />document and staff anticipates our attorney's opinion on it prior to Monday <br />night's meeting. <br /> <br />4) <br /> <br />The City Attorney will also be reviewing the purchase agreement between <br />Randy's and Corrow, which hopefully will be completed by Monday night. <br /> <br />Staff recommends the Council approve the transfer of Corrow Sanitation's contract <br />with the City of Elk River to Randy's Sanitation contingent on the City Attorneys <br />review. A certified copy of the minutes from the meeting will suffice as written <br />confirmation to Randy's of the Council's action. <br /> <br />13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · TDD & Phone (763) 441-7420 · Fax (763) 441-7425 <br /> <br /> <br />
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