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July 2024 Page 13 City of San Leandro Post Collection 3. Residential Organic Materials shall be Transferred and Transported to the Approved 458 Residential Organic Materials Processing Facility 459 B. Capacity Guarantee. Contractor guarantees sufficient capacity at the Approved Transfer Facility to 460 Transfer and Transport all City Delivered Materials to the Approved Facilities throughout the Term 461 of the Agreement. 462 4.3 RECYCLABLE MATERIALS PROCESSING 463 A. Processing. Contractor shall Accept all Recyclable Materials at the Approved Recyclable Materials 464 Processing Facility and shall Process such material in accordance with Contractor’s Proposal as 465 detailed in Exhibit G. Contractor shall operate the Approved Recyclable Materials Processing Facility 466 in accordance with Applicable Law and all standards of performance described in Article 5. 467 Contractor shall meet the following minimum Processing standards at the Approved Recyclable 468 Materials Processing Facility: 469 1. Pre-sorting of large items prior to further Processing. 470 2. Mechanical separation of two-dimensional and three-dimensional materials. 471 3. Separation of individual Commodities via manual and/or mechanical methods, and/or use of 472 advanced sorting technologies (e.g., optical sorters). 473 4. Final screening and quality control for all recovered material Commodities. 474 B. Capacity Guarantee. Contractor guarantees sufficient capacity at the Approved Recyclable 475 Materials Processing Facility to Process all City Delivered Materials throughout the Term of the 476 Agreement. 477 C. Diversion. Contractor shall Process all Recyclable Materials in a manner that maximizes reuse, 478 Recycling, and Diversion and is deemed not to constitute Landfill Disposal pursuant to 14 CCR 479 Section 18983.1(a), which states that Landfill Disposal includes final disposition of Organic Waste at 480 a Landfill or use of Organic Waste as ADC or AIC. After Processing, Contractor may Dispose of 481 materials that do not have a higher or better use as Residue or for Beneficial Reuse purposes, to the 482 extent allowed by State and local law. 483 Contractor shall Process all Recyclable Materials such that each Diverted Commodity is of sufficient 484 quality to attract the highest domestic market prices for which similar Commodities, produced by 485 other local Processing facilities that Process single-stream Recyclable Materials, are sold. The 486 Contractor’s operation of the Approved Recyclable Materials Processing Facility must consistently 487 produce Commodities that achieve Residue and contamination standards that meet or exceed the 488 domestic market requirements to attract the highest current domestic market price for the 489 specified Commodities. Exhibit B presents the Commodity quality standards to be achieved by the 490 Contractor. Verification of Commodity quality standards shall be conducted annually through the 491 Residue and material characterization study performed in accordance with Exhibit G3. 492 D. Residue Allocation and Disposal. Contractor shall use the method of tracking and allocating 493 Recyclable Materials Residue levels approved by the City and in accordance with Section 8.3.2.C. 494 Contractor’s Residue allocation methodology shall be used throughout the Term to accurately 495 allocate the City’s share of the total Residue generated from the Processing of Recyclable Materials 496 at the Approved Recyclable Materials Processing Facility. Contractor shall report Residue from 497 Docusign Envelope ID: DD1D0F3A-E7BC-4C69-8F25-5A59BD356B1B