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Hawaiian Gardens Seeks to End “Evergreen” Clause in Consolidated Contract

By Jerry Bernstein

The Hawaiian Gardens City Council agreed to hold a written notice terminating the city’s automatic franchise term extension with Consolidated Disposal at the request of the company. Under the present contract with Consolidated, a written notice of termination had to be submitted before June 1 withdrawing the city’s consent to the automatic one-year extension. The contract provision is commonly referred to an “evergreen clause.”
Once the letter is written withdrawing the city from the evergreen clause, the contract will still be in force for the next six years but without the “evergreen” clause.
Councilman Barry Bruce asked if the council agreed to hold back the letter for nine days as requested by Consolidated, would the agreement hold if it had been sent before June 1. He said the city does not want the Evergreen Clause.”
Consolidated officials present at the meeting said yes. This means the present contract should expire on June 30, 2018 unless the parties come to a new agreement. .
Mayor Mike Gomez said he believes the council should take no action at this time and negotiate with Consolidated since they agreed to negotiate. If both parties cannot come to an agreement by Sept 1, the city’s letter of withdrawal would revert back to June 1.
Councilman Rodriguez said the city has some contract change’s it would like to see go into effect. He asked when they planned to start negotiations.
City administrator Ernesto Marquez said shortly.
A request from the Community Development Department to approve the construction plans and specifications and authorize the city engineer to seek public bids for a new veteran’s memorial plaza located at the Civic Plaza Center and a new public safety services memorial plaza located at the public library was approved by the council.
Councilman Reynaldo Rodriguez asked the estimated cost of the two projects.
Community Development Director Joseph Colombo said they wouldn’t know until the bids come in. The council appropriated $500,000 for the New Veterans Memorial Plaza and Public Safety Services Memorial Plaza. Additionally Los Angeles County Supervisor Don Knabe donated $150,000 for a total of $650,000. Construction estimates are at 15 per cent contingency was $541,000; engineering and construction management $84,285, leaving a balance of $24,715.
The council voted to set June 26 for a public hearing for approval of the consolidated landscaping and Lighting Assessment District declaring the city’s intent to levy an assessment levy.
The city funds the utilities for the maintenance of lighting and landscaping through an assessment of all properties in the citywide Assessment District. Colombo said each year the council must set the assessment and submit the tax roll to the County Tax Collector prior to Aug. 11.
In other business the council voted to join the Los Angeles Gateway Region Integrated Regional Water Management Authority as an ex-officio participant. Community Development Director Joseph Colombo said ex-official membership means the city would have neither voting rights nor a financial obligation (dues).
Colombo said the Authority currently has 18 members and government entities responsible for the regional water planning needs of more than two million people in the Gateway Cities region.
The council also approved a resolution declaring Human Services Department Equipment as surplus and recommended the items be donated, sold or destroyed. The equipment includes three video game consoles, a 19’ Television, Computer Monitor, Computer Key Board Computer Tower, Chair, Table Tennis Tables, Universal 3 Station Weight Machines, W eight Lifting Benches, Leg Extension/Curl Machine, Dip Machine and a Multipurpose Press Station.