FROM: Robert Thompson, General Manager
Originator: Lan C. Wiborg, Director of Environmental Services
SUBJECT:
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INLAND EMPIRE COMPOSTING AUTHORITY (IERCA) AGREEMENT
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GENERAL MANAGER'S RECOMMENDATION
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RECOMMENDATION: Recommend to the Board of Directors to:
A. Approve Agreement Number 4600003688 for the Reuse of Biosolids with the Inland Empire Regional Composting Authority to receive and compost approximately 50 wet tons per day of OC San's biosolids at a base fee (tipping fee) of $73.00 per wet ton, plus an administrative fee of $5.00 per wet ton for a term of five (5) years from July 1, 2026 through June 30, 2031 for a total amount not to exceed $5,700,000;
B. Approve up to two (2) additional one-year extension options at the escalated cost of up to 6% per year from the base year plus administrative fee; and
C. Approve a 10% contingency of $570,000 in the event OC San needs to send additional loads to this compost option.
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BACKGROUND
In accordance with the 2017 Biosolids Master Plan and Orange County Sanitation District's (OC San's) 2025 Strategic Plan, OC San maintains a diverse portfolio of biosolids management options that utilize multiple contractors, markets, and facilities to enhance resiliency.
In 2015, the Los Angeles County Sanitation District and Inland Empire Utilities Agency - collectively known as Inland Empire Regional Composting Authority (IERCA), agreed to compost OC San's biosolids at their Inland Empire Regional Composting Facility (IERCF) located in the City of Rancho Cucamonga. To date, OC San has executed two (2) consecutive agreements with IERCA. The first agreement was from 2015 through 2019 and the second agreement started in 2019 and is set to expire June 30, 2026.
IERCA's proposed tipping and administrative fees reflect a uniform rate structure applied to all biosolids generators. The new Agreement would enable OC San to deliver approximately 50 wet tons per day (fiv...
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