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THE CITY OF ~~ ~ _ ~uu j~L£~S~4NTONo March 6, 2007 Assistant City Manager TITLE: APPROVAL OF A SECOND AMENDMENT TO AN AGREEMENT FOR CONSULTANT SERVICES WITH R3 CONSULTING GROUP, INC., FOR REFUSE COLLECTION AND RECYCLING SERVICES SUMMARY The City Council approved an agreement with R3 Consulting Group, Inc., (R3) dated April 20, 2004 to provide consulting services to review refuse collection and recycling rates charged by Pleasanton Garbage Services (PGS). On February 15, 2005 the City Council approved Amendment #1 to this agreement for additional consulting services related to a range of refuse and recycling services including a review of collection rate setting mechanism and methodology, review of the Hansen property rate adjustment, finalizing a financial model to use for future rate reviews, review of the food waste program, the interim rate review and the evaluation of the Dublin recyclable processing option. This report provides information for Amendment #2, which includes services related to assistance with processing the current refuse collection and recycling rate review and technical assistance with AB939 diversion programs. The recommended Second Amendment to Agreement for Consultant Services scope is included as Attachment 1. The original agreement is included at Attachment 2. RECOMMENDATION Approve the Second Amendment to Agreement for Consultant with R3 Consulting Group, Inc., for a fee not to exceed $45,000 plus reimbursable and appropriate funding from the General Fund, General Government Department to cover project costs. FINANCIAL STATEMENT This project is not currently included in the City Budget. However, the City has reserve funding available to meet these types of projects. During the last refuse collection rate review the City utilized R3 with positive results. As a result, funding at this time is appropriate. 4 CITY COUNCIL AGENDA REPORT