0874RESOLUTION NO. 874
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROLLING HILLS APPROVING AND CONSENTING TO A
CHANGE IN CONTROL OF THE CITY'S SOLID WASTE
COLLECTION FRANCHISE
RECITALS:
A. BFI Waste Systems of North America, Inc., a Delaware Corporation, is the
duly authorized holder of a franchise (FRANCHISE) that authorizes the collection and
transportation, recycling and disposal of solid waste within the City of Rolling Hills
("Franchise Authority").
B. By letter dated February 2, 2000, Franchisee informed the City that it was
being purchased by Allied Waste Industries, Inc., a Delaware Corporation, but would continue
to serve the City as a wholly-owned subsidiary of Allied. Franchisee requested the City's
consent to the change in ownership.
C. In accordance with Section 8.08.070 of Chapter 8.08 of the Rolling Hills
Municipal Code and Paragraph 28 in the Franchise Agreement, such a change of control of the
Franchisee requires the approval of the Franchise Authority.
D. The staff of the Franchise Authority has reviewed the documentation that
has been submitted by Franchisee in connection with the change in ownership, which indicates
that:
1. The merger'of the Franchisee with Allied Waste Industries, Inc. will create
the second largest solid waste services company in the United States.
2. The resulting company appears to be well capitalized and possesses
ample resources to perform the Franchise obligations.
3. BFI Waste Systems of North America, Inc. will continue to serve the City
as its Franchisee, in its new capacity as a subsidiary of Allied Waste Industries, Inc., and will
remain obligated to perform in accordance with the requirements of its Franchise and Chapter
8.08 of the Municipal Code.
NOW, THEREFORE, the City Council of the City of Rolling Hills resolves as
follows:
Section 1. In accordance with Section 8.08.070 of Chapter 8.08 of the Rolling
Hills Municipal Code and Section 28 of the Franchise Agreement, the Franchise Authority
consents to and approves the change in ownership of BFI Waste Systems of North America,
Inc. as a wholly-owned subsidiary of Allied Waste Industries, Inc.
Section 2. The authorization, consent and approval of the Franchise Authority
of the proposed transfer of control is conditioned upon compliance by the Franchisee or the
Transferee with the following requirements as to which they are jointly and severely
responsible:
1. An original or conformed copy of the written instrument
evidencing the closing and consummation of the proposed transfer of control of the Franchise
must be filed in the office of the City Clerk within 30 days after adoption of this Resolution.
2. Nothing contained in this Resolution may be construed to extend
the term of the franchise which will terminate in its entirety on June 30, 2000.
Section 3. The City Clerk is directed to transmit a certified copy of this
Resolution to Mr. Doug Moore, General Manager, Allied Waste Industries, Inc.
Section 4. The City Clerk is directed to certify the passage and adoption of
this Resolution.
PASSED, APPROVED AND ADOPTED this 27`
THOMAS F. HEINSHEIMER
MAYOR
Resolution No. 874 -1-
ATTEST:
MARILYN KERN
DEPUTY CITY CLERK
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) §§
CITY OF ROLLING HILLS)
I certify that the foregoing Resolution No. 874 entitled:
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ROLLING HILLS APPROVING AND CONSENTING TO A
CHANGE IN CONTROL OF THE CITY'S SOLID WASTE
COLLECTION FRANCHISE
was approved and adopted at a regular meeting of the City Council on March 27, 2000 by the
following roll call vote:
AYES: Councilmembers Murdock, Hill, Mayor Pro Tem Pernell and Mayor
Heinsheimer.
NOES: None.
ABSENT: Councilmember Lay.
ABSTAIN: None.
and in compliance with the laws of .California was posted at the following:
Administrative Offices.
lei - �_
MARILY L. KERN
DEPUTY CITY CLERK
Resolution No. 874 -2- -
1