HomeMy WebLinkAboutContract 54244 CSC No.54244
STATE OF TEXAS §
§ KNOW ALL PERSONS BY THESE PRESENTS:
COUNTIES OF TARRANT,DENTON §
PARKER AND WISE §
AGREEMENT TO SETTLE UP OUTSTANDING VARIABLE RENT PAYMENTS OWED
TO THE CITY PURSUANT TO THE AGREEMENT TO LEASE AND OPERATE
SOUTHEAST LANDFILL (CITY SECRETARY CONTRACT NO. 28336)
This Agreement to Settle Up Outstanding Variable Rent Payments Owed to the City
Pursuant to the Agreement to Lease and Operate Southeast Landfill (City Secretary Contract No.
28336) (the "Settlement Agreement") is entered into as of the5tn day of August , 2020, by and
between THE CITY OF FORT WORTH, TEXAS, a home rule municipal corporation in Tarrant
County, Texas, acting herein by and through its Assistant City Manager, Valerie Washington
("City"), and ALLIED WASTE SYSTEMS, INC., d/b/a FORT WORTH SOUTHEAST
LANDFILL, a Delaware corporation duly authorized to do business in the State of Texas, acting by
and through its duly authorized representative ("Lessee").
WITNESSETH:
WHEREAS, the City and Lessee entered into a certain"AGREEMENT TO LEASE AND
OPERATE SOUTHEAST LANDFILL" known as City Secretary Contract No. 28336, (the
"Lease Agreement"), dated January 28, 2003, as amended; and
WHEREAS, section 4.04 of the Lease Agreement, as amended, requires the Lessee to make
Minimum Annual Variable Rent and Additional Annual Variable Rent payments to the City as
specifically detailed in Sections (C), (D), and(E); and
WHEREAS, the City's Consultant performed a comprehensive audit of the Additional
Annual Variable Rent payments for the Calendar Years 2016 through 2019 and determined that the
City had not been paid the accurate amount for the Additional Annual Variable Rent due and owing
for those years in accordance with the Lease Agreement; and
WHEREAS, both parties agree that inadvertent calculation errors made by the Lessee
resulted in a shortfall of Additional Annual Variable Rent payments to the City as follows:
• 2017: $109,982
• 2018: $539,717
• 2019: $730,628
• 2020: $1,203,643
• Total: $2,583,970; and OFFICIAL RECORD
CITY SECRETARY
FT.WORTH, TX
SETTLEMENT AGREEMENT
EXECUTION COPY Page 1
WHEREAS,the parties wish to resolve this issue in good faith and have therefore agreed to
the payment schedule established below.
NOW, THEREFORE, for and in consideration of the mutual covenants contained herein,
and other good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged and confessed, the City and Lessee agree as follows:
A. Payment by Lessee of the Outstanding Additional Annual Variable Rent payments for
Calendar Years 2016-2019. Lessee agrees to pay the City Additional Annual Variable Rent
for the Calendar Years 2016 through 2019 as shown above in the total amount of$2,583,970.
Lessee agrees to make payment to the City of the Additional Annual Variable Rent during the
Calendar Years 2016 through 2019 as follows:
• One lump sum payment of$1,203,643.31 due within 30 days of the complete execution of
this Settlement Agreement.
• Followed by three quarterly payments as follows:
o Payment 1: Due October 31, 2020 in the amount of$460,108.98
o Payment 2: Due January 31, 2021 in the amount of$460,108.98
o Payment 3: Due April 30 , 2021 in the amount of$460,108.99
B. Settlement of Claims Regarding the Additional Annual Variable Rent Payments for
the Calendar Years.Both parties agree, that upon execution of this Settlement Agreement, no
other claims related to the Additional Annual Variable Rent payments for the Calendar Years
2016 through 2019 shall be made, and the City releases and waives any and all claims related to
Additional Annual Variable Rent Payments for the years 2016—2019,provided Lessee makes
timely and complete payments to the City as described in Section A. The City shall have all
rights and remedies as described in the Lease Agreement if the Lessee fails to make prompt
payment as described in Section A.
C. Miscellaneous. Nothing contained herein shall be deemed to amend or modify the Lease
Agreement. Any defined term used herein,but not defined herein, shall have that meaning set
forth in the Lease Agreement.
SIGNATURE PAGE TO FOLLOW
SETTLEME T GREEME T
EXECUTIO OPY Page 2
IN WITNESS WHEREOF, this Settlement Agreement has been executed on August 5
2020.
CITY OF FORT WORTH, TEXAS ALLIED WASTE SYSTEMS, INC., d/b/a
FORT WORTH SOUTHEAST LANDFILL,
By:
Richard Kang(Aug 4,202014:49 CD
Richard Kang
Area President
Valerie Washington(Aug 5,202017:51 CDT)
Valerie Washington Aug , 2020
Assistant City Manager Date Signed: g
RECOMMENDED BY: WITNESS:
Robert smouse
Robert Smouse(Aug 4,2020 20:22 CDT) Pedro Garcia(Aug4,202014:59 CDT)
Robert Smouse By: Pedro Garcia
Assistant Director of Code Compliance DFW Post Collection General Manager
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ATTEST: d_
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Mary Kayser aaa��eza54ap
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City Secretary
Date Signed: Aug 6,2020
APPROVED AS TO FORM AND LEGALITY:
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Christa R.Lopez-Reynolds(Aug 5,200 09:
Christa R.Lopez-Reynolds
Senior Assistant City Attorney
OFFICIAL RECORD
CITY SECRETARY
FT.WORTH, TX
SETTLEMENT AGREEMENT
EXECUTION COPY Page 3
CONTRACT COMPLIANCE MANAGER
By signing, I acknowledge that I am the person responsible for the monitoring and administration of
this contract, including ensuring all per performance and reporting requirements.
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Christian Harper(Aug 4,20 015:08 CDT)
Christian Harper
Code Compliance Contract Services Administrator
OFFICIAL RECORD
CITY SECRETARY
FT.WORTH, TX
SETTLEMENT AGREEMENT
EXECUTION COPY Page 4