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AGREEMENT APPROVING AN EXPENDITURE OF FUNDS <br /> TO CLOSE FORMER LANDFILL <br /> <br /> THIS AGREEMENT is made and entered into this day of <br />September, 1986, by and between PLEASANTON GARBAGE 8ERrICE, INC., <br />a California corporation (hereinafter referred to as "PGS") and <br />the CITY OF PLEASANTON, a municipal corporation (hereinafter <br />referred to as "CITY"). PGS and CITY agree as set forth below: <br /> <br /> RECITALS <br /> <br /> A. CITY pursuant to Article 9, Chapter 2, Title IV of the <br />Ordinance Code has established an exclusive franchise for the <br />collection of refuse in the CITY. <br /> <br /> B. PGS previously operated a landfill for the disposal of <br />solid waste for CITY in accordance with said franchise agreement. <br /> <br /> C. PGS purchased the landfill site for $77,876.00 in <br />approximately 1969 and has never expensed the cost of the site in <br />the rates charged for services. <br /> <br /> D. CITY's sole relationship to the landfill site is as <br />franchisor to PGS; the CITY does not have any real property <br />interest in the landfill site and the landfill site is not within <br />the city limits of Pleasanton. <br /> <br /> E. Said landfill reached its capacity and PGS has taken <br />steps to properly close and cease operation of the landfill. <br /> <br /> F. Said landfill is subject to Closure Order Number 78-60 <br />issued by the Regional Water Quality Control Board, San Francisco <br />Bay Region, July 18, 1978. <br /> <br /> G. Said Order 78-60 requires that the migration of methane <br />gas be controlled as necessary to prevent the creation of any <br />nuisance and that the existing sub-surface storm drain be <br />removed. <br /> <br /> H. CITY, by Resolution 81-36, Section 2(h) provided that: <br /> <br /> Should the actual expenses necessary to properly close <br /> off the former Vineyard Avenue dump site be less than <br /> the $100,000 projection, the unspent moneys shall be <br /> placed into the rate reserve. Should, however, said <br /> expense exceed $100,000, the additional expense may be <br /> recovered in future rate increase. <br /> <br /> I. Funds equal to Eighty-six Thousand One Hundred Nineteen <br />and No/100 Dollars ($86,119.00) have been expended on closure of <br />the landfill site by PGS as of March 31, 1986, identified in <br />Exhibit A attached to this agreement. <br /> <br /> - 1 - <br /> <br /> <br />