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Regular City Council Meeting <br />Monday, October 24, 2016 <br />Page 36 <br /> <br />Mr. Culver responded that without going into specificities, staff had tried insert- <br />ing a clause addressing a percentage of either processing or pick-up costs, but had <br />been unsuccessful in garnering that language. Mr. Culver stated staff’s agreement <br />to continuing negotiations with Eureka, but anticipated any such provision will <br />increase base costs for the city. <br /> <br />Mayor Roe spoke in opposition to the motion; and while not having as much con- <br />cern as that expressed by Councilmember Willmus, stated the open-ended nature <br />of the contract did cause him concern. Mayor Roe suggested revisiting the issue <br />with the intent to establish a point that the contract has to be reopened if nothing <br />else. Mayor Roe noted both parties were in this together and would both be in <br />trouble if the commodities market dropped again, and suggested both the contrac- <br />tor and city look at a different approach going forward if that should happen and <br />address such an opportunity versus how the contract is currently written. Mayor <br />Roe noted that the city typically has some way to protect its interests better. <br /> <br />Councilmember McGehee asked if there was anything in the contract as it now <br />stands that would provide an opportunity to renegotiate. <br /> <br />City Attorney Gaughan noted that any contract can be amended to the mutual <br />agreement of both parties, including such a provision in the proposed contract as <br />presented. However, Mr. Gaughan noted the question was if there was mutual <br />agreement to do so. In order to protect the city’s interest, Mr. Gaughan submitted <br />that the city would not be interested in a mutual consent to renegotiate clause, but <br />that the city could retain the right to unilaterally terminate the contract or renego- <br />tiate specific terms. <br /> <br />Mayor Roe noted that provision was not in this current proposed contract. <br /> <br />Councilmember Willmus noted Mayor Roe had touched upon a resolution, some- <br />thing that could serve as a trigger mechanism; and offered his support for such <br />language. <br /> Roll Call <br />Ayes: <br /> <br />McGehee. <br />Nays: <br />Willmus, Etten and Roe. <br />Motion failed. <br /> <br /> <br />Willmus moved to continue negotiations with Eureka based on the structure of <br />this proposed agreement; but inserting a floor or triggering mechanism to allow <br />the contract to be reviewed if and when a certain threshold is reached, to be de- <br />termined by city staff during negotiations, at which time the contract will be reo- <br />pened and renegotiated. <br /> <br />City Attorney Gaughan reiterated his concern is renegotiation depending on such <br />a provision. By way of example, Mr. Gaughan noted a result of such a provision <br /> <br />