Title
Resolution Authorizing the Execution of a Landfill Lease Agreement Between the City of Hampton and USA Waste of Virginia Landfills, Inc. to Lease and Operate the City-Owned Landfill Located at 100 North Park Lane [LRSN 5000005], Commonly Known as the Bethel Landfill
Purpose
PURPOSE/BACKGROUND:
The City owns certain property located at 100 North Park Lane (LRSN 5000005), commonly referred to as the Bethel Landfill (the “Landfill”), and more particularly described in the proposed Landfill Lease Agreement (the “Agreement”) attached to this resolution. USA Waste of Virginia Landfills, Inc. (also referred to as “Waste Management” or “WM”) is the successor in interest to Williams Corporation of Virginia, the original lessee of the Landfill under a lease dated, May 1, 1986, and modified by an Amendment dated, March 29, 1994 (“Existing Lease”), pursuant to which WM currently operates the Landfill. According to its terms, the Existing Lease commenced on May 29, 1986, and, therefore, in accordance with Virginia Code § 15.2-2100, the Existing Lease will terminate by operation of law on May 29, 2026. The Agreement is intended as a short-term operating lease, preserving continuity of Landfill operations while the parties evaluate and negotiate potential long-term options for the Landfill. Although the proposed Agreement generally maintains status quo, it incorporates some enhancements favorable to the City, including a requirement that WM provide monthly operational reports, a provision allowing the city to conduct an annual audit of WM's records to verify compliance with the lease, and a requirement that WM send 100 tons per day of waste to the Hampton/NASA Steam Plant. The Agreement will be for an initial term of one (1) year, with the option to renew for up to four (4) additional one-year terms.
This matter was properly advertised in accordance with Virginia §§ 15.2-1800 and 15.2-2100.
City staff recommends approval of the Resolution.
Discussion:
See Purpose/Background above.
Impact:
See Purpose/Background above.
Recommendation:
Rec
Conduct a public hearing and approve the Resolution.
Body
WHEREAS, the City owns certain property located at 100 North Park Lane (LRSN 5000005), commonly referred to as the Bethel Landfill (the “Landfill”);
WHEREAS, USA Waste of Virginia Landfills, Inc. (also referred to as “Waste Management” or “WM”) is the successor in interest to Williams Corporation of Virginia, the original lessee of the Landfill under a lease dated, May 1, 1986, and modified by an Amendment dated, March 29, 1994 (“Existing Lease”), pursuant to which WM currently operates the Landfill;
WHEREAS, according to its terms, the Existing Lease commenced on May 29, 1986, and, therefore, in accordance with Virginia Code § 15.2-2100, the Existing Lease will terminate by operation of law on May 29, 2026;
WHEREAS, the City and WM have negotiated a new Landfill Lease Agreement (the “Agreement”) which is attached to this resolution for reference;
WHEREAS, the Agreement is expressly intended as a short-term operating lease, preserving continuity of Landfill operations while the parties evaluate and negotiate potential long-term options for the Landfill;
WHEREAS, the Agreement is for an initial term of one (1) year, with the option to renew for up to four (4) additional one-year terms; and
WHEREAS, the Council has determined that the terms and conditions of the Agreement are acceptable.
NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Hampton, Virginia, as follows:
1. That the Landfill Lease Agreement is approved substantially in the form attached to this resolution; and
2. The City Manager, or her authorized designee, is hereby authorized to execute the Landfill Lease Agreement in substantially the same form as attached hereto and to perform other such acts as may be necessary and appropriate in accordance with the intent of this resolution, subject to review and approval by the City Attorney.