Amended and Restated Integrated Waste Management Services Franchise Agreement with USA Waste of California, Inc. (dba Waste Management).

Summary

The City of Chino has approved an Amended and Restated Integrated Waste Management Services Franchise Agreement with USA Waste of California, Inc. (dba Waste Management), effective December 16, 2025, with services commencing January 1, 2026. This comprehensive agreement replaces the 2017 contract, significantly expanding its scope to ensure compliance with stringent state mandates, particularly Senate Bill (SB) 1383 for organic waste reduction.

Key Provisions & Updates:

• Mandatory Three-Stream System: All residential, multi-family, and commercial customers will utilize a three-container system for Gray (solid waste), Blue (recyclables/some organics), and Green (green waste/food waste) materials. New containers will be SB 1383 compliant with specific colors and labeling.
• SB 1383 Compliance & Enforcement: The agreement details robust contamination monitoring (using WM Smart Truck℠ systems, photographic documentation, and fees for repeat violations), a formal waiver process for commercial/multi-family premises, and extensive quarterly/annual reporting on diversion, contamination, and edible food recovery efforts. Waste Management will assist the City with compliance reviews.
• Rate Adjustments & Fees: Annual service component rate adjustments are capped at 4%, while disposal components (landfill tipping fees, green/organic waste processing fees) are pass-through costs. Residential 3-Cart service rates will increase by 5.0% (from $36.97 to $38.82), commercial landfill tipping fees by 3.7% (to $55.83/ton), and green waste processing fees by 9.2% (to $108.33/ton). The City will receive an annual Public Benefit Payment of $562,000, a Billing Service Fee, a Recycling Administration Fee, and a $15,000 annual Public Outreach/Education Contribution (all adjusted by CPI).
• New & Enhanced Services: Residential customers will receive three free bulky goods/e-waste pick-ups per year (up to 6 items each). New programs include battery recycling receptacles at City facilities, a community sharps collection program (first mail-back container free), and free residential composting bins after workshops. Waste Management will also provide free collection services at City facilities and for designated City events and community clean-ups.
• Street Sweeping Oversight: Waste Management will now oversee street sweeping operations, including field inspections, complaint resolution, and reporting, with a dedicated coordinator.
• Liquidated Damages: Specific penalties are outlined for various failures, including those related to SB 1383 compliance (e.g., $150 per generator for not offering the three-stream system).
• ZEV/NZEV Exemption: The agreement explicitly excludes current obligations for Zero-emission/Near-zero-emission vehicle conversions, with future requirements subject to negotiation and potential rate adjustments.

Citizen Impact

Residents will see changes to their waste collection services, including a mandatory three-container system for trash, recycling, and organics, and a 5.0% increase in their monthly residential rates. New benefits include three free bulky item/e-waste pickups annually and access to battery, sharps, and composting programs. The agreement aims to significantly improve environmental outcomes by diverting more waste from landfills, but also introduces new fees and compliance requirements for residents and businesses.

Confidence

high