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GET STARTED WITH THE CALL TO ORDER, UM, GUEST, SAY WELCOME TO EVERYONE, THE JP BOARD OF DIRECTORS MEETING HERE.
UM, I'M JUST GONNA QUICKLY START WITH A ROLL CALL AND THEN PASS IT ON TO COUNCILMAN, UM, NAN, WHO'S THE CHAIR TODAY OR OF THE JPA.
COUNCIL MEMBER CHRISTINA DUGGAN HERE.
AND COUNCIL MEMBER JEFF WOOD HERE.
WE HAVE A QUORUM AND I'LL PASS THE BATON ON TO YOU.
UH, THANK YOU ALL FOR BEING HERE.
THE DATE IS FEBRUARY 16TH, 2024, AND THIS IS OUR, UH, ANNUAL MEETING.
UM, WE'VE HAD A CALL TO ORDER A ROLL CALL AND, UH, WOULD YOU LIKE TO READ ITEM NUMBER ONE? OH, IT'S 15TH.
WHAT DID I SAY? 16TH? FEBRUARY 15TH.
ANYWAY, FOR THE RECORD, TODAY'S THE 15TH.
UM, AND, AND, UH, SO CAN WE HAVE THE FIRST AGENDA, READ PLEASE.
24TH, UM, RECOMMENDATION TO APPROVE THE MINUTES OF THE SOUTHEAST RESOURCE RECOVERY FACILITY AUTHORITY MEETING OF WEDNESDAY, MARCH 29TH.
I'LL MAKE A MOTION TO APPROVE.
UM, AND I'LL, I'LL JUST MAKE A COMMENT HERE THAT, UM, I REMEMBER THIS MEETING ONE YEAR AGO DISTINCTLY, AND BOB DID A GREAT JOB OF, UM, NOT EVERYTHING TAKES PLACE IS REFLECTED IN THE MINUTES.
UM, AND JUST LIKE TO SAY THAT I THINK YOU EXPLAINED THE SITUATION, UH, PERFECTLY.
AND I'D ALSO LIKE TO SAY AFTER ONE YEAR, I'M CONVINCED THAT THE OPERATOR HAS DONE ALL THEIR DUE DILIGENCE AND HAS TRIED EVERYTHING, OR EXHAUSTED EVERY, UH, POSSIBLE WAY TO, UH, KEEP THE PLANT OPERATING.
SO, UM, WE HAVE A MOTION AND A SECOND, UH, ANY OTHER COMMENT SEEING THAT? OKAY.
CAN WE HAVE A VOTE PLEASE BY G RAISING YOUR HAND? ANY OPPOSED? OKAY.
RECOMMENDATION TO HOLD AN ELECTION OF CHAIR AND VICE CHAIR OF THE SOUTHEAST RESOURCE RECOVERY FACILITY AUTHORITY.
AND I'LL, I'LL ASK THE CITY ATTORNEY.
I I'M GONNA ASK FOR, UH, ANY VOLUNTEERS SO YOU CAN SELF NOMINATE.
ARE WE DOING THIS FOR CHAIR OR VICE CHAIR? UH, LET'S DO IT FOR CHAIR FIRST.
SO WE HAVE, UM, ANY OTHER NOMINATIONS? ALRIGHT.
YOU WANNA GO TO VICE CHAIR RIGHT NOW? OR WE CAN VOTE? WE'LL VOTE, UH, VOTE.
FIRST TIME ON DUG FOR AS CHAIR.
ALRIGHT, SO WE HAVE, UH, ONE NOMINATION.
UM, UH, DO WE NEED A SECOND? NO.
ALL THOSE IN FAVOR RAISE HAND.
OPPOSED? SO NOW WE GO TO VICE CHAIR.
YOU HAVE A NOMINATION FOR VICE CHAIR? I'LL BE HAPPY TO DO IT.
HAVE YOU BEEN CHAIR BEFORE? UH, NOT OBSERVE, NO.
EVERYBODY SHOULD HAVE THAT OPPORTUNITY WAS RUNNING AND IT WON'T CONFLICT WITH MY CLIMATE ENVIRONMENT.
UH, SO, OKAY, WE HAVE A NOMINATION FOR VICE CHAIR ALL WHAT'S IN FAVOR OPPOSED
SO WE HAVE, UH, UNITED'S APPROVAL OF THAT, AND I THINK AT THIS TIME I HANDED OVER TO CHRISTINA DUGGAN.
IS THAT THE PROPER, UH, NO, JULY 1ST.
DO THAT, THE END, THE NEXT C YEAR FROM NO, WE'RE VERY CIVIL IN THIS ELECTION.
WHEN WE TAKE OUTSIDE, THAT'S WHAT I GUESS
IS THE START DATE IS THE FISCAL YEAR? IS THAT WHY? I DON'T KNOW.
WHY IS IT NOT? I DON'T KNOW WHY.
WELL, YOU KNOW WHAT THE GPA, UM, WELL THAT'S THE CONTRACT IS JUNE 30TH AND I THINK CONTEMPLATED IT'S JUST THE AGREEMENT.
THAT'S KIND OF WHAT IT SAYS WITH THAT WOULD, OKAY.
IT'S UNLIKELY THAT THIS WILL EVER COME UP, BUT I IMAGINE IF WE HAD TO HAVE A SPECIAL SERVE MEETING FOR SOME REASON FRIDAY, JULY 1ST, I WOULD IMAGINE THE THREE OF YOU WOULD EXPECT CHRISTINA TO BE THE CHAIR OR NO? UM, YEAH, I DON'T WANNA BE ON THE HOOK.
I THINK YOU ALL COULD PROBABLY MAKE A MOTION RIGHT NOW, BUT I MEAN, IF SOMEONE WANTS TO MOVE THAT THIS BECOMES EFFECTIVE AT THE END OF THIS MEETING.
SECOND IT VOTE AND LET'S DO THAT.
YEAH, I MOVE WHAT HE SAID SECOND.
I THINK THAT MAKES MORE SENSE.
ITEM NUMBER THREE IS A RECOMMENDATION TO RECEIVE, ADOPT, AND FILE THE SERVE
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MANAGER'S REPORT FOR FISCAL YEAR 23.UM, AND I CAN KIND OF GO THROUGH THE MANAGER'S REPORT HERE.
WELL, IF IT'S INCLUDED IN THE, SO THIS IS FOR FISCAL YEAR 2023, WHICH IS OCTOBER ONE OF 22 TO SEPTE THE END OF SEPTEMBER, 2023.
UH, SURF GENERAL UPDATES AND MAJOR ACHIEVEMENTS ARE AS FOLLOWS.
UM, THAT YEAR WE RECEIVED 322,000 TONS OF IES.
UM, SOLD ABOUT 166,000 MEGAWATT HOURS OF ENERGY ON THE KAISO DE AHEAD MARKET.
UM, AND SURF DESTROYED A TOTAL OF 508,000 POUNDS OF NARCOTICS AND DRUG RELATED PARAPHERNALIA FOR CALIFORNIA LAW ENFORCEMENT AGENCIES AND FEDERAL AGENCIES, INCLUDING CBP AND DEA.
AND JUST TO KIND OF BE CLEAR, UM, THE, UH, UH, TI THE REVENUES THAT WE RECEIVED WERE ACTUALLY ONLY FOR THE OCTOBER ONE TO JANUARY 1ST, 2023 PERIOD.
'CAUSE STARTING THAT THE AMENDMENT WAS APPROVED BY COUNCIL TO MOVE AHEAD WITH, UM, A EVENT TO KIND OF TAKING OVER THE COMMERCIAL OPERATIONS.
SO THEN AT THAT POINT, THEY WERE, UH, RESPONSIBLE FOR BOTH THE EXPENSES AND THE REVENUES, UM, STARTING FEBRUARY 1ST, 2023.
SO, BUT THIS IS, UM, OVERALL TOTALS FOR THE FY JANUARY 1ST, 2023.
THE SEVENTH AMENDMENT THAT WAS APPROVED IN JANUARY BY COUNCIL, UH, WENT INTO EFFECT FEBRUARY 1ST, 2023.
AND WE WERE HOPEFUL THAT IT WOULD'VE GOTTEN THROUGH JUNE 30TH, 2024.
UM, SOME OTHER ACHIEVEMENTS, UH, RECEIVED THE LAND SALE PROCEEDS OF ROUGHLY $1.53 MILLION FOR SALE OF THE NORTHERN PORTION OF THE SURF SITE TO, UM, THE PORT OF LONG BEACH AND COORDINATION WITH THEIR TIY TRACK REALIGNMENT PROJECT.
SO THAT WENT THROUGH SUCCESSFULLY AND WE HAVE, UM, COMPLETED THE TRANSACTION.
ON JANUARY 17TH, 2023, CITY COUNCIL HAD APPROVED AMENDING THAT COMMERCIAL STRUCTURE UNDER THE AGREEMENT SUCH THAT COVANTA WOULD TAKE RESPONSIBILITY FOR ALL SERVE REVENUES AND EXPENSES FOR THAT CONTRACT PERIOD, BEGINNING ON FEBRUARY 1ST, 2023 UNTIL THE END OF THE CONTRACT TERM JUNE 30TH, 24.
THE SEVENTH, SEVENTH AMENDMENT ALSO AMENDED THE O AND M AGREEMENT IN RELATION TO EARLY TERMINATION OF OPERATIONS AND DECOMMISSIONING.
BUT IN RECENT MONTHS, COVANTA ENCOUNTERED OUR OPERATOR ENCOUNTERED SEVERAL EQUIPMENT FAILURES NEAR OR AT THE END OF ITS DESIGN LIFE AND UNANTICIPATED OUTAGES THAT HAVE RESULTED IN SIGNIFICANT FACILITY DOWNTIME AND COMPROMISING THE ECONOMIC VIABILITY OF S SO COVANTA AGREED TO THE AMENDED COMMERCIAL STRUCTURE AS KIND OF A PILOT TO EVALUATE IF THE FACILITY WAS SUSTAINABLE ON ITS OWN ACCORD, WHICH HAS SINCE PROVEN NOT TO BE THE CASE AND ULTIMATELY SUBMITTED ITS LETTER OF TERMINATION FOR CONVENIENCE.
THAT WAS EFFECTIVE JANUARY 31ST, 2024, JUST THIS PAST MONTH.
PURSUANT TO THE TERMS OF THE AGREEMENT, CITY STAFF WORKED WITH COVANTA TO DEVELOP A DECOMMISSIONING PLAN FOR C THAT INCLUDES SALVAGING EQUIPMENT AND MATERIALS TO OFFSET APOR PORTION OF THE DECOMMISSIONING COSTS.
DECOMMISSIONING OPERATIONS WILL BE PERFORMED BY COVANTA AND HAS COMMENCED AFTER TERMINATION OF OPERATIONS WITH AN ESTIMATED COMPLETION BY ABOUT DECEMBER OF 2024 THIS YEAR.
IN PARALLEL THOUGH, CITY STAFF HAS BEEN ACTIVELY PLANNING FOR THE POSSIBILITY OF DECOMMISSIONING AND HOW TO TRANSITIONER TO ITS NEXT PRODUCTIVE USE.
SO, UM, A REQUEST FOR PROPOSALS WAS SUBMITTED TO DESIGN PERMIT FOR A DEVELOPER TO DESIGN PERMIT FINANCE CONSTRUCT, OWN, AND OPERATE AN ORGANIC WASTE RECEIVING AND PROCESSING FACILITY AT THE SURF SITE IN ACCORDANCE WITH SB 1383, WHICH WAS RELEASED AROUND APRIL OF 2023.
PROPOSALS WERE RECEIVED ABOUT LATE LAST YEAR, UH, AWARDED IN JANUARY, 2024 AND APPROVED BY THE CITY COUNCIL TO ENTER INTO, UM, AN EXCLUSIVE NEGOTIATING AGREEMENT WITH BIOENERGY DECO OF ANNAPOLIS, MARYLAND.
ON, UM, THE FEBRUARY 6TH, UH, MEETING, WE'LL WORK DILIGENTLY TO REACH COMMERCIAL TERMS WITH BDC.
IT'S ESTIMATED THAT THE COMMISSIONING OF THIS FACILITY WILL TAKE ROUGHLY THREE TO FIVE YEARS, UH, ONCE COMMERCIAL TERMS HAVE BEEN REACHED.
SO JUST SOME KEY BENEFITS TO HIGHLIGHT IN THE PROPOSAL THAT, UM, OF THIS RFP, UH, IS A REDUCED PROCESSING FEE FOR THE CITY'S MUNICIPAL ORGANIC WASTE.
YOU, UH, REVENUE SHARING MECHANISM ON TFIS RNG DIGEST STATE, AND CO2 CELLS.
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MMBTU OF CARBON NEGATIVE RENEWABLE NATURAL GAS WOULD BE PRODUCED ANNUALLY, WHICH MITIGATES, UH, 47,000 METRIC TONS OF CO2 EQUIVALENTS FROM THE ATMOSPHERE.UM, BIO DECO IS DEDICATED TO CREATING NEW GREEN SCALE JOBS ADDRESSING THE CHALLENGES OF ORGANICS MANAGEMENT AND ENVIRONMENTAL JUSTICE ISSUES.
AND, UM, THE PROPOSAL ALSO INCLUDES A LONG TERM, UM, CONTEMPLATES A LONG TERM LEASE ABOUT 10 OR 20 YEARS.
UM, AND THE FACILITY WOULD THEN COME BACK TO THE CITY AFTER THE LEASE EXPIRES OR THE JPA WITH, UM, AND SOME, SOME OTHER ADDITIONAL THINGS IS THAT WITH AN ANTICIPATED CAPACITY OF THAT 314,000 TONS, THIS NEW FACILITY WOULD PROVIDE A MUCH NEEDED TOOL FOR LONG BEACH, UM, WHICH IS ONLY ABOUT MINIMUM 50,000 TONS AS WELL AS BEING KIND OF A REGIONAL SOLUTION FOR THE LA COUNTY AREA.
SO IT'S, IT'S A LITTLE BIT MORE ABOVE, BEYOND KIND OF JUST WHAT IT'S GONNA PROVIDE FOR LONG BEACH.
IT COULD KIND OF, UH, MORE BIG PICTURE.
SO THAT'S KIND OF, UH, IN A NUTSHELL WHAT, UM, WHERE, WHERE WE'RE AT WITH THE, WITH THE FACILITY, SOME NEXT STEPS FOR SERVE.
RIGHT NOW THE SERVE FUND'S BEEN PARTICULARLY SEEN, MANAGED FOR OVER 35 YEARS, AND CURRENTLY HAS THE FUNDS AVAILABLE FOR THE REMAINING TASKS OF DECOMMISSIONING AND DEMO DEMOLISHING THE FACILITY, INCLUDING SOME SALVAGE OF MATERIALS AND REMEDIATION TO OCCUR.
UM, BUT THE JPA WILL BE AT A TURNING POINT WHERE ITS PURPOSE IS FULFILLED AFTER THESE EFFORTS ARE COMPLETED, AND IT IS UP FOR DISCUSSION ON WHETHER TO DISSOLVE OR CONTINUE THIS PARTNERSHIP WITH A NEW PURPOSE.
SO THIS KIND OF ENDS MY MANAGER'S REPORT.
UM, FIRST, FOR THOSE WHO ARE THERE, I, I APOLOGIZE FOR BRINGING UP THE, UH, CITY COUNCIL MEETING.
I THOUGHT WE'D COVERED EVERYTHING IN THAT MEETING, BUT I DON'T THINK WE COVERED THE DEA COMPONENT, UH, AT THE COUNCIL MEETING.
AND I'M NOT, NOT SURE IT'S WITHIN THE PURVIEW OF THIS BOARD, BUT IS IS THERE AN ALTERNATIVE OR IS THERE A PLAN FOR TAKING THIS FUNCTION ELSEWHERE? I I UNDER THE PREMISE THAT I DON'T THINK YOU CAN DESTROY THE DRUGS BY PUTTING IT IN WITH THEIR ORGANIC WASTE
AND SO THE, SO THE STANISLAU FACILITY THAT'S, UH, IS STILL OPERATIONAL TODAY, SO THAT'S AN OPTION.
BUT THERE ARE OTHER AGENTS, UH, PLACES THEY CAN BRING EITHER IN ARIZONA OR EVEN IN UTAH.
AND SO THERE, THERE ARE, BUT THERE ARE FURTHER DISTANCES AND HIGHER COSTS AND SO FORTH, SO YEAH, SURE.
BUT, UH, HALF A MILLION POUNDS SEEMS LIKE IT'S SUBSTANTIAL A LOT.
WHERE TO GO? YEAH, IT WAS, THEY, THEY WILL, AND ON, UH, JANUARY 31ST, THERE WAS A LOT OF THEM THERE DISPOSING OF, OF WHAT THEY HAD, UH, ON HAND AT, AT THIS TIME.
HAS THE CITY EVER LOOKED AT HOW MUCH IT'S GOING TO COST FOR THAT HALF A MILLION? I MEAN, I KNOW OTHER AGENCIES USED IT OTHER THAN LONG BEACH, BUT DO WE KNOW NO, THE COST, THEY, BECAUSE THEY'D HAVE TO GO OUT AND REACH COMMERCIAL TERMS WITH WHEREVER THEY DECIDE TO BRING IT AND STRUCTURE AGREEMENTS, THEY, THEY ACTUALLY ENTERED INTO AGREEMENT WITH THE CITY AND WE BROUGHT IT BEFORE COUNCIL FOR APPROVAL AND I FORGET, IT WAS KIND OF A NOMINAL FEE THAT WE CHARGED 'EM.
THERE WERE, THERE WERE BASICALLY TWO MAIN AGREEMENTS.
ONE WAS WITH THE DOJ, WHICH COVERED BASICALLY ALL OF THE STATE, LOCAL, UH, AGENCIES WITHIN CALIFORNIA, AND THEN ONE WITH SPECIFICALLY WITH CUSTOM SUPPORT OF PROTECTION BECAUSE REALLY THEY HAVE A MAJORITY OF THAT 500,000 POUNDS ACTUALLY COMES FROM THEM ON A MONTHLY BASIS.
THEY BRING ABOUT ANYWHERE FROM 17 TO 30,000 POUNDS, JUST THAT ONE AGENCY.
EVERY MONTH YOU SAID, WHAT DID YOU SAY? EVERY MONTH? YEAH, EVERY MONTH.
IT'S A MAJORITY OF IT REALLY CAME FROM THE CUSTOMS. UM, AND BOTH OF THEM, LIKE, UH, BOB MENTIONED WAS FOR A PRETTY NOMINAL FEE.
I THINK IT WAS LIKE 12,000 FOR A YEAR.
SO GREAT REPORT ON THE, ON THE ACTIVITIES.
I THINK FOR ME SITTING HERE REPRESENTING OBVIOUSLY MY CITY, IT'S WHAT DOES THIS MEAN FOR US? WHICH GOES TO, I THINK TO YOUR LAST PARAGRAPH, YOUR LAST QUESTION.
UM, THIS IS A JOINT POWERS THAT SOMEHOW LAKEWOOD WAS PART OF WHAT WE WERE USING THE FACILITY.
UM, A LOT OF THE DISCUSSION OBVIOUSLY IS CENTERED AROUND THE CITY OF LONG BEACH FOR OUR NEIGHBORS, UM, THE BORDER OF OUR CITY.
BUT IF YOU'RE ASKING WHERE DO WE GO, I THINK TIMES PROBABLY TO END THE JPA BECAUSE WE'RE NOT USING THE FACILITY.
I KNOW WHEN I WAS MAYOR, THEY CALLED AND SAID, YOU NEED A REPRESENTATIVE,
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TIME FOR US TO GET OUT.WELL, I, I THINK UNTIL THIS TIME IS WE, WE ACTUALLY GET IT IN A STATE READINESS FOR DEMOLITION AND IT'S DEMOLISHED, AND THEN WE SEE IF THERE'S ANY FURTHER ENVIRONMENTAL THINGS THAT NEED TO BE MITIGATED.
JBA WOULD STILL BE RESPONSIBLE FOR THAT RETURNING TO THE SITE THAT IT WAS PRIOR TO THE CONSTRUCTION OF THE FACILITY.
SO THERE'S SOME PURPOSE BEHIND KEEPING IT TOGETHER UNTIL SUCH TIME AS WE'VE ALL RECOGNIZED THAT WE'VE, UH, DECOMMISSIONED IT, WE'VE DEMOLISHED IT, WE'VE REMEDIATED ANY CONTAMINATION OR ANYTHING TO THE SOIL, AND THE, THE SITE ITSELF, THE 12 ACRE SITE, IS NOW IN A STATE THAT THERE'S NO FURTHER LIABILITY FOR THE JPA AND THEN WE CAN, WE COULD BE AT A POINT TO MAKE THAT DECISION.
I THINK THAT'S, I THINK THAT'S EXACTLY RIGHT.
AND, AND THEN AT THAT POINT, I DON'T SEE WHY YOU WOULD KEEP THE JPA GOING UNLESS SOMETHING CHANGES AND THAT THAT COULD ALL COME TO FRUITION IN ONE YEAR.
IT, IT'S OUR, IT'S, IT IS HOPEFUL THAT, YOU KNOW, WE HOPEFULLY HAVE A DECOMMISSIONED BY THE END OF DECEMBER PRIOR TO THAT, THEN WE'RE GONNA GO OUT AND SEEK, UH, BIDS FROM A DEMOLITION CONTRACTOR.
SO WE WOULD JUST GO RIGHT FROM LAST DAY OF DECOMMISSIONING HOPEFULLY, AND ROLL RIGHT INTO THE, UH, DEMOLITION OF IT.
THAT REALLY DOESN'T TAKE AS LONG AS YOU THINK IT'S TWO TO THREE MONTHS IN MOST OF THESE ONES THAT ARE ELSEWHERE IN THE COUNTRY.
UM, SO YOU, YOU COULD BE LOOKING AT THIS TIME NEXT YEAR, WE, WE WOULD BE AT A POINT WHERE WE COULD DO THAT.
SO WHAT WOULD BE THE, I MEAN WITH THE DECOMMISSIONING THE, THE REMEDIATION, I MEAN, WHAT'S, WHAT'S THE LIABILITY TO LIKE THE CITY OF LAKEWOOD, CITY OF SIGNAL HILL AND LONG BEACH? I WERE THERE PRO SO I'M, SO I'M NOT THE ATTORNEY FOR LAKEWOOD AND SIGNAL, BUT, UM, THERE PROBABLY WOULDN'T BE ANY YOU, THE LIABILITY IS TO THE JP JPA AND IF THE LIABILITY TO THE JPA EXCEEDED ITS ASSETS, THEN THAT'S ON WHOEVER NEEDS THE ADDITIONAL MONEY.
YOU CAN'T PIERCE THROUGH AND THEN SUE LAKEWOOD LONG BEACH AND THE REST.
BUT WHY YOU WOULDN'T WANT TO WIND DOWN THE JP IN ADVANCE IS BECAUSE THE JPA DOES HAVE X NUMBER OF MILLIONS OF DOLLARS RIGHT.
AND WHEN YOU WIND THAT DOWN, EACH CONSTITUENT ENTITY, MY RECOLLECTION OF THE JOINT POWERS AGREEMENT IS THE MONEY GETS FARMED OUT TO THE OWNERSHIP PERCENTAGES OF ALL THE PEOPLE, THE ENTITIES THAT ARE IN THE JPA.
BUT WE CAN'T DO THAT OF COURSE, UNTIL EVERYTHING IS WOUND DOWN.
CAN I CLARIFY ONE POINT? SURE.
MATT EATON WITH THE SANITATION DISTRICT, SO IT'S ACTUALLY THE TWO CITIES ARE NOT PARTY TO THE JPH, THE SANITATION DISTRICTS THAT ARE A PART OF THE JPA.
SO WHATEVER GOES GOOD OR BAD FUNNELS BACK TO THE SANITATION DISTRICTS AND THE MEMBERS FROM SIGN HILL AND LAKEWOOD ARE APPOINTEES OF THE SANITATION DISTRICTS.
SO YOU DON'T HAVE TO WORRY ABOUT THE CITY ITSELF.
I WAS THINKING IT WAS ONLY LA COUNTY, SAN THE CITY OF LONG BEACH, BUT I WAS WONDERING, WELL WHY, WHY ARE YOU THAT EVERY YEAR WHEN WE GET THE MEETING NOTICE, SO SIGNAL HILL, LAKEWOOD, WERE THE YEAH.
WE GET NOTHING BETWEEN THIS MEETING AND A YEAR FROM NOW.
WE DON'T KNOW WHAT'S GOING ON WITH THE FACILITY THAT SOMEHOW WE'RE NOTIFYING THE, THE DISTRICTS DIRECTLY.
BUT, UM, ACCORDING TO THE AGREEMENT, THE JPA AGREEMENT, THERE HAD TO BE APPOINTEES, UM, ASSIGNED, UH, AS PART OF THE BOARD AND, UH, COUNTY SAN DISTRICTS HAD APPOINTED.
IT DOESN'T SOUND EVER GONNA GET ANY MONEY.
LIQUID DOESN'T SOUND EVER GET ANY LIABILITY.
THE AND THE AUTHORITY, THE JPA AUTHORITY, UM, DELEGATED TO THE CITY OF LONG BEACH TO RUN THE FACILITY.
SO THE CITY OF LONG BEACH HAS THE FULL AUTHORITY TO MAKE THE OPERATION DECISIONS OUTSIDE OF WHAT THE, THE JPA BOARD DECIDES FOR THE BIG PICTURE.
I THINK MANY YEARS AGO THERE WAS A FULL FISCAL DISCLOSURE REPORT THAT WAS DUE, BUT WHEN THE BONDS WERE PAID OFF AND THE JPA DIDN'T HAVE ANY DEBT, I THINK IT STOPPED AT THAT TIME.
AND SO, YEAH, IT'S, IT'S BEEN RUN A LITTLE DIFFERENTLY IN THE LAST COUPLE YEARS.
WE'LL KEEP SEAN UP MAYBE ONE MORE TIME.
VICE CHAIR NOW
AND WE CAN ALSO HAVE HOLD A SPECIAL MEETING AS REQUIRED, LIKE TO JUST UPDATE THE BOARD OF IF THERE'S SPECIFIC ACTIONS THAT NEED TO BE, UM, HELD IN BETWEEN NOW AND THE NEXT YEAR.
BUT THE, THE CADENCE IS ONCE A YEAR TYPICALLY.
WE'VE BEEN WORKING HAND IN HAND WITH, UH, THE SAN DISTRICTS ON HOW WE GOT TO THIS POINT THROUGHOUT THE YEAR.
IN FACT, YOUR HONOR, OUR SELECTION COMMITTEE FOR THE, UH, THE RP, THE, UH, SELECTION OF BIO ENERGY DECO AND THEN JUST, YOU KNOW, WE EVEN OFFERED THEM, HEY, CAN YOU GUYS COME IN AND RUN THIS? WELL, THEY, WHEN THEY SHUT THEIR COMMERCE PLAN DOWN ALL THEIR, THEY HAD THEIR OWN EMPLOYEES RUNNING IT AND THEY WERE ALL A RETIREMENT AGENT AND MAYBE ONE LEFT.
BUT YEAH, SO WE, WE EXHAUSTED THAT AND UH, HOPEFULLY WE'RE GONNA LEVERAGE IT.
HAD THEM ADVISE US ON THE DECOMMISSIONING PLAN.
'CAUSE THEY DID DECOMMISSION THEIR OWN FACILITY.
IT'S A SMALLER FACILITY, BUT YOU KNOW, THEY WERE VERY HELPFUL IN MAKING SURE WE HAD SOME OF THE RIGHT ELEMENTS IN OUR DECOMMISSIONING PLAN AND SO FORTH.
SO IT'S BEEN A GOOD PARTNERSHIP.
AND, AND JUST ON A SIDE NOTE, UH, YEARS AGO I WORKED FOR STATE COMPENSATION.
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NINETIES WE PROVIDED THE WORKERS' COMPENSATION FOR THE FACILITY.IT WAS, I FORGET THE NAME, BUT IT WAS RUN OUT OF FLORIDA, I THINK WAS WHERE THE CORPORATE OFFICE WAS 93.
92 MONTEY PACIFIC OR YEAH, SOMETHING LIKE THAT.
SO I DID ALL THE LOSS CONTROL AND I REMEMBER WALKING OUT THERE FROM A SAFETY ASPECTS.
SO JUST KIND OF FULL CIRCLE 37 YEARS LATER, THAT'S, IN FACT ALL OF OUR INTERNAL ACCOUNTING THINGS ALL REFER TO IT AS THE MONTEY, UH, FACILITY MONTEY AGREEMENT.
THE UTILITY BILL FOR THE NATURAL GAS STOVE GOES TO MONTEY.
SO I'VE BEEN OUT THERE AND IT'S SAME GAME WATCHING IT.
THE VEIA DID IT FOR A WHILE AND THEN IT WENT TO COVANTA.
IT'S GOT A PRETTY EXTENSIVE HISTORY OVER 35 YEARS.
SO WHEN THE AGREEMENT OR THE CONTRACT WITH, UM, BIO BDC COMES PART OF A QUESTION THAT YOU AND I TALKED ABOUT IS HOW, WHAT ARE WE GOING TO DO WITH A FACILITY AFTER IT'S BEEN RUN FOR 10 OR 20 YEARS? I THINK WE NEED TO LOOK AT WHAT HAPPENS, HOW IS IT BEING MAINTAINED THROUGHOUT THE YEARS AND IS THERE AN EXPECTATION THAT WE WALK AWAY IF THE CITY OF LONG BEACH ENDS UP WITH THE FACILITY, IT'S GONNA BE IN GOOD CONDITION THAT WE CAN KEEP RUNNING IT OR THEY KEEP RUNNING IT.
I, I THINK THOSE ARE THE TERMS THAT WE'RE GONNA SIT DOWN WITH 'EM AND WORK THROUGH PRETTY INTENSELY.
SO I DON'T KNOW WHAT THE AGE OF A A DIGESTER IS, RIGHT.
OR DO I KNOW ANYTHING ABOUT IT? BUT I, THEY HAVE 250 'EM WORLDWIDE, SO I GOTTA BELIEVE THEY'VE RUN SOME AND 25 YEARS WORTH OF EXPERIENCE AT THIS.
IT'S JUST DOMESTICALLY IN THE US THEY HAVE VERY FEW FACILITIES.
DO WE KNOW IF THERE WILL BE ANY, UH, CITY TAX CREDITS LIKE THERE WAS FOR REFUSE WITH, UH, THE BIO RECYCLING? WELL, THERE WE'RE GONNA GET A REDUCED TIP FEE, IF THAT'S, IF THAT'S WHAT YOU WANNA CALL IT.
UH, I THINK YOU STILL GO THERE, PROBABLY TIP YOUR TRUCKS.
THEY, WE ALSO HAVE A REVENUE SHARING OPPORTUNITY THAT WAS MENTIONED IN THERE.
SO THERE WILL BE SOME PERCENTAGE WE NEGOTIATE WITH THEM ON THAT.
AND THAT WOULD BE FOR ALL REVENUES THAT THEY DERIVE.
SO THEY'RE GONNA BRING IN, THEY'RE GONNA CHARGE OTHER AGENCIES TO BRING IN AND BRING ORGANICS.
BUT ANYWAY, THEY'RE GONNA HAVE A REV, UH, AN ACCOUNTING MECHANISM.
WE WILL SHARE IN THE REVENUES THAT THEY HAVE, THEY WILL MAKE BIOGAS R AND G.
WE COULD BID ON BIOGAS IS, IS COMMANDS PRETTY HIGH PRICE, BUT IT COMES WITH RENT CREDITS RIGHT NOW THAT YOU CAN USE TO SUBSIDIZE THE COST OF THAT, UH, BECAUSE IT IS GREEN OR, OR UH, UH, FOSSIL FUEL FREE TYPE GAS.
SO DEPENDING ON WHO THEY FIND THE HOME FOR THAT WE BUY A LOT.
OR THE GAS UTILITIES BUYS A LOT THAT GOES INTO LONG BEACH TRANSIT.
UH, AND SO THEY GET SUBSIDIZED PRETTY WELL ON THEIR FUEL PRICES FOR UH, LONG BEACH TRANSIT ON THAT.
SO THAT'S AN OPTION WE HAVE, UH, AS WELL.
AND THEN THERE'S THE FURTHER THING WHERE YOU CAN SPLIT THE ATOMS, GET YOUR HYDROGEN NOW A CH FOUR BE LEFT WITH CO2 AND THEY HAVE A MARKET FOR CO2.
AND THEN THEY ALSO HAVE A MARKET FOR GREEN HYDROGEN, WHICH WOULD DOVETAIL INTO SOME OF THE WORK THAT ARCHE IS DOING DOWN THERE IN THE TRANSPORTATION SECTOR AND IN THE PORTS.
SO THERE'S A LOT OF, UH, UH, OPTIONS THAT ARE THERE.
AGAIN, WE'RE JUST GONNA BE A PARTNER IN THAT WE SHARE REVENUES, HOW THEY MARKET THAT, HOW THEY DEVISE ALL THAT, THAT WILL BE ON THEM.
BUT, UM, BUT WE WILL HAVE A LITTLE BIT OF SAY, SO I DON'T KNOW THAT WE'LL HAVE A LOT.
WHEN WE WALKED OUTTA THE CITY COUNCIL MEETING, I MET THE GUY THAT'S RESPONSIBLE FOR GETTING ALL THE FEED STOCK.
GETTING 314,000 TONS A YEAR OF FEED STOCK INTO THAT FACILITY.
SO THAT'S GONNA BE QUITE A CHALLENGE.
UM, I MEAN, THE CITY'S GONNA HAVE THEIR OWN ORGANICS, BUT, UH, THAT'S ONLY 50,000 TONS A YEAR.
IF WE'RE REALLY GOOD, THEY GONNA PROCESS 314,000.
SO WE'RE ONLY ONE SIXTH OF WHAT THEY ANTICIPATE, UH, RUNNING THROUGH THAT FACILITY.
SO, UM, THAT'S IT FOR, UH, COMMENT AS A BOARD.
UM, I'LL GO TO PUBLIC COMMENT.
I DON'T SEE DAVE
SO I, I GUESS WE DON'T HAVE ANY PUBLIC COMMENT.
SO BEFORE ADJOURNMENT, WE WANT TO GO WITH OUR, UH, UH, MR. CITY ATTORNEY.
SO CAN YOU, HOW, HOW DO WE ADDRESS THIS? WAS THERE, WAS THERE A MOTION TO RECEIVE AND FILE? LET'S JUST MAKE, OH, I DO THAT TO RECEIVE AND FILE THE REPORT.
SECOND AND ASS SEPARATE PUBLIC COMMENT ON THE REPORT.
AND THEN GENERAL PUBLIC COMMENT.
SO WE WANNA MAKE OUR MOVE TO, UH, APPOINT A NEW CHAIR RIGHT NOW, OR EFFECTIVE IMMEDIATELY OUR, DID WE DO THAT? OH NO, WE ALREADY DID IT.
ALRIGHT, I'LL MOVE TO ADJOURN.
[00:25:01]
YOU.