MEMORANDUM
TO: Board of Supervisors
FROM: Lars Ewing, Public Services Director
DATE: February 28, 2017
SUBJECT: Consideration and Discussion of Hoberg’s Historical Association Gate Fee Charge Account at Eastlake Landfill
EXECUTIVE SUMMARY: On June 21, 2016 the Board approved terms for an Eastlake Landfill gate fee charge account with Lake County Partners, LLC, for the disposal of an anticipated 5,026 tons of waste to be generated from the Valley Fire cleanup efforts at Hoberg’s Resort at 15205 State Highway 175 in Cobb. The terms approved by the Board were a payment-free and interest-free grace period of six months from the date of first waste disposal at the landfill with interest at an annual rate of 1.97% applied to the account balance following the six month grace period, and full account payment to be made no later than forty eight months following each waste disposal at the landfill. In order to secure those terms with Lake County Partners, and further ensure payment of all gate fees through a promissory note, staff prepared a draft agreement which was provided to Lake County Partners for review. Lake County Partners has since been sold to Hoberg’s Historical Association (HHA), and staff has been unsuccessful negotiating a mutually amenable agreement. The agreement as proposed by the County is attached, as well as the most recent agreement as proposed by HHA with mark-ups shown. As of February 17, HHA has transported 890.72 tons of waste to the landfill amounting to an account balance of $45,533.63. HHA has not provided the requested estimate of remaining waste to be delivered to the landfill, but using their own previous estimate of “less than $200,000” equates to approximately 3,000 tons of remaining waste.
RECOMMENDED ACTION: Staff requests Board direction regarding the HHA gate fee charge account.