Consent to the transfer of Kahut Waste Services, LLC dba City Sanitary Service residential solid waste, recycling, and composting collection franchise to Kahut Companies Holdings, Inc.

The City of Portland ordains: Section 1. The Council finds: In 2018, the Council granted a residential solid waste, recycling and composting collection franchise to Kahut Waste Services, LLC dba City Sanitary Service (City Sanitary). The franchise established terms and conditions for the delivery of garbage hauling services within a specific geographic territory of the city (Ordinance No. 189242). Portland City Charter Section 10-216 provides that no franchise shall be sublet or assigned, nor shall any of the franchise rights or privileges be leased, assigned, sold or transferred, without the consent of the City expressed by non-emergency ordinance. Under Section 14.1(A) of the franchise, the grantee agrees not to sell, lease, mortgage, assign, merge or otherwise transfer the franchise without the prior written consent of the City. City Sanitary has notified the Bureau of Planning and Sustainability (BPS) of City Sanitary’s decision to transfer its franchise to Kahut Companies Holdings, Inc., effective 30 (thirty) calendar days after passage of this Ordinance. City Sanitary has requested City consent of its franchise transfer. In accordance with Section 14.1(B) of City Sanitary’s franchise, BPS staff have reviewed the proposed transfer and determined that Kahut Companies Holdings, Inc. has the technical, legal and financial resources to adequately perform all obligations under the franchise. Staff recommends that the Council consent to the franchise transfer. NOW, THEREFORE, the Council directs: Pursuant to the City Charter and City Sanitary’s franchise, consent is hereby given to the transfer of the franchise from City Sanitary to Kahut Companies Holdings, Inc. Within 10 (ten) business days of the completion of the corporate transaction, Kahut Companies Holdings, Inc. shall file written notice of the transfer with BPS, in accordance with Section 15.A of Ordinance No. 189242. Within 10 (ten) business days after this Ordinance is approved by Council, Kahut Companies Holdings, Inc. shall file in the Office of the Auditor of the City of Portland a written acceptance, executed by a duly authorized representative, acceptable as to form by the City Attorney. Such acceptance shall be unqualified and shall be construed to be an acceptance by Kahut Companies Holdings, Inc. of all terms, conditions, and restrictions of this Ordinance. Any failure to file such written acceptance within such time shall be deemed an abandonment and rejection of the rights and privileges conferred hereby and this Ordinance shall thereupon be null and void.