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HomeMy WebLinkAbout2026-02-24; City Council; 02; Award a Professional Services Agreement with WIH Resource Group for the Palomar Transfer Station Consultant Services to Renew Planning, Regulatory Compliance and OperatorCA Review TL Meeting Date: Feb. 24, 2026 To: Mayor and City Council From: Geoff Patnoe, City Manager Staff Contact: James Wood, Environmental Sustainability Director james.wood@carlsbadca.gov, 442-339-2584 Avecita Jones, Senior Program Manager avecita.jones@carlsbadca.gov, 442-339-2542 Subject: Award a Professional Services Agreement with WIH Resource Group for the Palomar Transfer Station Consultant Services to Renew Planning, Regulatory Compliance and Operator Agreement Development Districts: All Recommended Action Adopt a resolution awarding a professional services agreement with WIH Resource Group for Palomar Transfer Station consultant services to renew planning, regulatory compliance and operator agreement development and authorizing appropriation of funds from the Solid Waste Enterprise Fund in an amount not to exceed $464,520. Executive Summary The operators of the Palomar Transfer Station receive various solid waste materials from residential, business and community customers, sort that material and then transport it to regional landfill and recycling centers. The City of Carlsbad manages the lease for the transfer station, which expires in June 2027. In anticipation of the contract’s expiration and to ensure continuity of service, regulatory compliance and alignment with the city’s long-term sustainability goals, staff initiated a request for proposals, seeking a qualified consultant with expertise in solid waste operations, financial modeling and sustainable materials management to support the city through the process of developing a new agreement to operate the transfer station. Following a competitive selection, staff recommend that the City Council award a professional services agreement to WIH Resource Group for these services. The consultant is to guide the city from regulatory compliance assessment and strategic planning through development of the new agreement, ensuring that the transfer station continues to meet evolving regulatory requirements while better positioning the facility as a model for innovation and sustainability. Feb. 24, 2026 Item #2 Page 1 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 The total agreement cost is not to exceed $464,520 for the two-year term ending Jan. 31, 2028. This City Council’s approval is required under Carlsbad Municipal Code Sections 3.28.040(D)(1) and 3.28.070(D) because the agreement will cost more than $100,000 per agreement year. Explanation & Analysis Background The City of Carlsbad leases the transfer station property – at 5960 El Camino Real, as shown in Exhibit 2 – from the County of San Diego under a long-term lease agreement. This agreement commenced on June 1, 2002, with an initial 25-year prepaid term through May 31, 2027, and up to 14 five-year extension options. The lease was originally executed by Allied Waste Systems, Inc., which is now Republic Services. Later in 2002, the city assumed the lease from Allied Waste Systems to secure long-term local control over solid waste services. At that time, the city also entered into a sublease and an agreement to operate the station with Palomar Transfer Station, Inc., a subsidiary of Republic Services. In 2021, the City Council amended the agreement with Republic Services to extend the term through May 31, 2027, aligning it with the county’s lease term. The amendment also incorporated new waste diversion programs and compliance measures required by state law. The city has asked the county to combine two five-year lease extension options into a single 10-year extension covering the period from 2027 through 2037. The county is considering the city's request. County staff indicated that the appraisal of the premises will not be completed until mid-2026, and that proposed lease terms will be provided to the city for review after that step. The 10-year option is subject to further internal county review and requires the approval by of the San Diego County Board of Supervisors. Consultant support The upcoming expiration of both the city's operating agreement and the county lease in 2027 necessitates a coordinated and proactive planning to ensure continuity of service, compliance with evolving solid waste regulations, development of long-term operational and financial goals and alignment with the city's sustainability goals. This effort will include a comprehensive evaluation of current operations to ensure compliance with current and future regulations, and establish a forward-looking, sustainable materials management framework. •On Sept. 25, 2025, staff issued a request for proposals seeking a qualified consultant to assist with the development of a site-specific plan for the transfer station and to support the procurement, negotiating and implementation of a new operating agreement. •Two firms submitted proposals in response. •Following a best-value evaluation process in accordance with the city’s request and Carlsbad Municipal Code Section 3.28.060, the evaluation panel selected WIH Resource Group as the top-ranked firm. Feb. 24, 2026 Item #2 Page 2 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 WIH Resource Group is a nationally recognized solid-waste and environmental consulting firm specializing in transfer station operations and design, solid-waste system optimization, transportation logistics, financial modeling and procurement support for municipal clients. The firm has completed over 1,100 projects nationwide for cities, counties and regional agencies, including the cities of Los Angeles, Santa Barbara and Glendale, Monterey County in California and King County in Washington. WIH Resource Group will be supported by MSW Consultants as a subcontractor. MSW Consultants is a California-based firm specializing in municipal solid waste financial modeling, rate studies, procurement support and performance auditing. MSW Consultants has assisted numerous California jurisdictions in developing compliant and cost-effective solid waste systems. Under the proposed agreement, WIH Resource Group will assist city staff with the following objectives: • Aligning the development of the Palomar Transfer Station operator contract with anticipated county lease requirements and appraisal-based rent adjustments • Assessing current Palomar Transfer Station operations, financial performance and regulatory compliance • Developing a transfer station sustainable materials management and compliance plan, which would identify opportunities to increase waste diversion, modernize the facility and improve customer service • Developing and assisting with evaluation of proposals for a competitive bidding process for the operator for the Palomar Transfer Station • Supporting negotiations and development of a new operator agreement that ensures regulatory compliance, financial optimization and community benefit • Helping the city and the transfer station operator in supporting environmental responsibility and service excellence for the next decade and beyond. Staff recommend awarding a professional services agreement with WIH Resource Group in an amount not to exceed $464,520 and a two-year term, with the option of two additional one- year extensions. Fiscal Analysis Staff recommend an appropriation of $464,520 from the Solid Waste Enterprise Fund for the professional services agreement with WIH Resource Group. Sufficient funds are available for this request. Following the selection of the Palomar Transfer Station operator, the selected operator will reimburse the city for procurement-related expenses, as is standard practice. Feb. 24, 2026 Item #2 Page 3 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Next Steps The following timeline is estimated to ensure a timely transition: • Begin working with WIH Resource Group to assess the Palomar Transfer Station facility and programs – early 2026 • Complete assessment and phased planning deliverables – summer 2026 • Return to the City Council with consultant findings and recommendations, including a potential request for proposals for a Palomar Transfer Station operator, contingent on City Council direction – early 2027 Environmental Evaluation The proposed action is not a “project” as defined by California Environmental Quality Act, or CEQA, Section 21065 and CEQA Guidelines Section 15378(a) and does not require environmental review under CEQA Guidelines Section 15060(c)(2) because the action is limited to awarding a professional services agreement for the Palomar Transfer Station consultant services to renew planning, regulatory compliance and operator agreement development. The action has no potential to cause either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. Exhibits 1. City Council resolution 2. Location map Feb. 24, 2026 Item #2 Page 4 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Exhibit 1 RESOLUTION NO. 2026-042 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AWARDING A PROFESSIONAL SERVICES AGREEMENT WITH WIH RESOURCE GROUP FOR PALOMAR TRANSFER STATION CONSULTANT SERVICES TO RENEW PLANNING, REGULATORY COMPLIANCE AND OPERATOR AGREEMENT DEVELOPMENT AND AUTHORIZING APPROPRIATION OF FUNDS FROM THE SOLID WASTE ENTERPRISE FUND IN AN AMOUNT NOT TO EXCEED $464,520 WHEREAS, the City Council of the City of Carlsbad, California, has determined that it is necessary to retain specialized professional services to assist with planning, regulatory compliance and development of a new operator agreement for the Palomar Transfer Station; and WHEREAS, the City of Carlsbad currently leases the Palomar Transfer Station property from the County of San Diego, and the city’s existing operating agreement with the Palomar Transfer Station Operator will expire in June 2027; and WHEREAS, in anticipation of the 2027 expiration and to ensure continuity of service, regulatory compliance, financial sustainability and alignment with the city’s long-term sustainability goals, city staff issued a request for proposals to retain a qualified consultant to support the procurement, negotiation and implementation of a new operating agreement for the Palomar Transfer Station; and WHEREAS, following a competitive evaluation process conducted in accordance with the request for proposals and Carlsbad Municipal Code Section 3.28.060, WIH Resource Group was selected as the top-ranked firm based on its qualifications, experience, approach and cost; and WHEREAS, WIH Resource Group is a nationally recognized solid waste and environmental consulting firm specializing in transfer station operations and design, solid-waste system optimization, transportation logistics, financial modeling and procurement support for municipal clients; and WHEREAS, staff recommend that the City of Carlsbad enter into an agreement with WIH Resource Group for a term of two (2) years with the option of two (2) additional one-year extensions, in an amount not to exceed $464,520, to assist the city in securing a long-term operator for the Palomar Transfer Station; and WHEREAS, staff recommend an appropriation of $464,520 from the Solid Waste Enterprise Fund for the professional services agreement with WIH Resource Group; and WHEREAS, sufficient funds are available for this request; and Feb. 24, 2026 Item #2 Page 5 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 WHEREAS, the selected proposer will reimburse the city for procurement-related expenses following the selection of the Palomar Transfer Station Operator as is standard practice. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2.The proposed action is not a “project” as defined by California Environmental Quality Act, or CEQA, Section 21065 and CEQA Guidelines Section 15378(a) and does not require environmental review under CEQA Guidelines Section 15060(c)(2) because the action is limited to awarding a professional services agreement for the Palomar Transfer Station consultant services to renew planning, regulatory compliance and operator agreement development. The action has no potential to cause either a direct physical change in the environment or a reasonably foreseeable indirect physical change in the environment. 3.The City Council hereby approves and awards a professional services agreement to WIH Resource Group, substantially in the form attached hereto as Attachment A, in an amount not to exceed $464,520, for professional services to support Palomar Transfer Station consultant services to renew planning, regulatory compliance and operator agreement development, and authorizes the Mayor to execute this agreement. 4.That the City Manager, or designee, is authorized and directed to appropriate funds from the Solid Waste Enterprise Fund, in an amount of $464,520 to fund the professional services agreement with WIH Resource Group. 5.That the City Manager or designee is hereby authorized to amend the Agreement to extend the term for up to two (2) additional one (1) year periods or parts thereof. 6.That the City Manager, or designee, is authorized to take all actions necessary to carry out the intent of this resolution. Feb. 24, 2026 Item #2 Page 6 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 24th day of February, 2026, by the following vote, to wit: AYES: Blackburn, Bhat-Patel, Acosta, Burkholder, Shin. NAYS: None. ABSTAIN: None. ABSENT: None. ______________________________________ KEITH BLACKBURN, Mayor ______________________________________ SHERRY FREISINGER, City Clerk (SEAL) Feb. 24, 2026 Item #2 Page 7 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 1 AGREEMENT FOR PHASED CONSULTING SERVICES FOR THE PALOMAR TRANSFER STATION OPERATOR SELECTION AND COMPLIANCE SERVICES WIH RESOURCE GROUP, LLC. THIS AGREEMENT (“Agreement”) is made and entered into as of the ______________ day of _________________________, 2026, by and between the City of Carlsbad, California, a municipal corporation (“City”) and WIH Resource Group, LLC., an Arizona limited liability company (“Contractor”). RECITALS A. City requires the professional services of a consultant that is experienced in phased consulting services for the Palomar Transfer Station operator selection and compliance. B. Contractor has the necessary experience in providing professional services and advice related to phased consulting services for the Palomar Transfer Station operators selection and compliance. C. Contractor has submitted a proposal to City under RFP26-3942ENV and has affirmed its willingness and ability to perform such work. NOW, THEREFORE, in consideration of these recitals and the mutual covenants contained in this Agreement, City and Contractor agree as follows: 1.SCOPE OF WORK City retains Contractor to perform, and Contractor agrees to render, those services (“Services”) that are defined in attached Exhibit “A,” which is incorporated by this reference in accordance with this Agreement’s terms and conditions. 2.STANDARD OF PERFORMANCE While performing the Services, Contractor will exercise the reasonable professional care and skill customarily exercised by reputable members of Contractor's profession practicing in the Metropolitan Southern California area, and will use reasonable diligence and best judgment while exercising its professional skill and expertise. 3.TERM The term of this Agreement will be effective for a period of two (2) year(s) from the date first above written. The City Manager may amend the Agreement to extend it for two (2) additional one (1) year periods or parts of a year. Extensions will be based upon a satisfactory review of Contractor's performance, City needs, and appropriation of funds by the City Council. The parties will prepare a written amendment indicating the effective date and length of the extended Agreement. 4.TIME IS OF THE ESSENCE Time is of the essence for each and every provision of this Agreement. 5.COMPENSATION The total fee payable for the Services to be performed during the initial Agreement term shall not exceed Four hundred sixty-four thousand five hundred twenty ($464,520). No other compensation for the Services will be allowed except for items covered by subsequent amendments to this Agreement. Payment terms are Net 30 unless otherwise provided in Exhibit “A” or agreed to in writing by the parties. Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Attachment A Feb. 24, 2026 Item #2 Page 8 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 25th February PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 2 City reserves the right to withhold a ten percent (10%) retention until City has accepted the work and/or Services specified in Exhibit “A.” Incremental payments, if applicable, should be made as outlined in attached Exhibit “A.” 6. CONSTRUCTION MANAGEMENT SOFTWARE Procore Project Management and Collaboration System. This project may utilize the City’s Procore (www.procore.com) online project management and document control platform. The intent of utilizing Procore is to reduce cost and schedule risk, improve quality and safety, and maintain a healthy team dynamic by improving information flow, reducing non-productive activities, reducing rework and decreasing turnaround times. Contractor is required to create a free web-based Procore user account(s) and utilize web-based training / tutorials (as needed) to become familiar with the system. Unless the City Engineer approves otherwise, Contractor shall process all project documents through Procore because this platform will be used to submit, track, distribute and collaborate on project. If unfamiliar or not otherwise trained with Procore, Contractor and applicable team members shall complete a free training certification course located at http://learn.procore.com/procore-certification-subcontractor. Contractor is responsible for obtaining Contractor’s own Procore support, as needed, either through the online training or reaching out to the Procore support team. It will be the responsibility of Contractor to regularly check Procore and review updated documents as they are added. There will be no cost to Contractor for use of Procore. It is recommended that Contractor provide mobile access for Windows, iOS located at https://apps.apple.com/us/app/procore-construction-management/id374930542 or Android devices located at https://play.google.com/store/apps/details?id=com.procore.activities with the Procore App installed to at least one on-site individual to provide real-time access to current posted drawings, specifications, requests for information, submittals, schedules, change orders, project documents, as well as any deficient observations or punch list items. Providing mobile access will improve communication, efficiency, and productivity for all parties. The use of Procore for project management does not relieve Contractor of any other requirements as may be specified in this Agreement. 7. STATUS OF CONTRACTOR Contractor will perform the Services in Contractor's own way as an independent contractor and in pursuit of Contractor's independent calling, and not as an employee of City. Contractor will be under the control of City only as to the result to be accomplished, but will consult with City as necessary. The persons used by Contractor to provide services under this Agreement will not be considered employees of City for any purposes. The payment made to Contractor pursuant to this Agreement will be the full and complete compensation to which Contractor is entitled. City will not make any federal or state tax withholdings on behalf of Contractor or its agents, employees or subcontractors. City will not be required to pay any workers' compensation insurance or unemployment contributions on behalf of Contractor or its employees or subcontractors. Contractor agrees to indemnify City within thirty (30) days for any tax, retirement contribution, social security, overtime payment, unemployment payment or workers' compensation payment which City may be required to make on behalf of Contractor or any agent, employee, or subcontractor of Contractor for work done under this Agreement. At City’s election, City may deduct the indemnification amount from any balance owing to Contractor. Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 9 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 3 8. SUBCONTRACTING Contractor will not subcontract any portion of the Services without prior written approval of City. If Contractor subcontracts any of the Services, Contractor will be fully responsible to City for the acts and omissions of Contractor's subcontractor and of the persons either directly or indirectly employed by the subcontractor, as Contractor is for the acts and omissions of persons directly employed by Contractor. Nothing contained in this Agreement will create any contractual relationship between any subcontractor of Contractor and City. Contractor will be responsible for payment of subcontractors. Contractor will bind every subcontractor and every subcontractor of a subcontractor by the terms of this Agreement applicable to Contractor's work unless specifically noted to the contrary in the subcontract and approved in writing by City. 9. OTHER CONTRACTORS City reserves the right to employ other Contractors in connection with the Services. 10. INDEMNIFICATION Contractor agrees to defend (with counsel approved by City), indemnify, and hold harmless the City and its officers, elected and appointed officials, employees and volunteers from and against all claims, damages, losses and expenses including attorneys fees arising out of the performance of the work described in this Agreement caused by any negligence, recklessness, or willful misconduct of Contractor, any subcontractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable. If Contractor’s obligation to defend, indemnify, and/or hold harmless arises out of Contractor’s performance as a “design professional” (as that term is defined under California Civil Code Section 2782.8), then, and only to the extent required by California Civil Code Section 2782.8, which is fully incorporated in this Agreement, Contractor’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of Contractor, and, upon Contractor obtaining a final adjudication by a court of competent jurisdiction. Contractor’s liability for such claim, including the cost to defend, shall not exceed Contractor’s proportionate percentage of fault. The parties expressly agree that any payment, attorneys fee, costs or expense City incurs or makes to or on behalf of an injured employee under City’s self-administered workers’ compensation program is included as a loss, expense or cost for the purposes of this section, and that this section will survive the expiration or early termination of this Agreement. 11. INSURANCE Contractor will obtain and maintain for the duration of the Agreement and any and all amendments, insurance against claims for injuries to persons or damage to property which may arise out of or in connection with performance of the services by Contractor or Contractor’s agents, representatives, employees or subcontractors. The insurance will be obtained from an insurance carrier admitted and authorized to do business in the State of California. The insurance carrier is required to have a current Best's Key Rating of not less than “A-:VII”; OR with a surplus line insurer on the State of California’s List of Approved Surplus Line Insurers (LASLI) with a rating in the latest Best’s Key Rating Guide of at least “A:X”; OR an alien non-admitted insurer listed by the National Association of Insurance Commissioners (NAIC) latest quarterly listings report. 11.1 Coverages and Limits. Contractor will maintain the types of coverages and minimum limits indicated below, unless Risk Manager or City Manager approves a lower amount. These minimum Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 10 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 4 amounts of coverage will not constitute any limitations or cap on Contractor's indemnification obligations under this Agreement. City, its officers, agents and employees make no representation that the limits of the insurance specified to be carried by Contractor pursuant to this Agreement are adequate to protect Contractor. If Contractor believes that any required insurance coverage is inadequate, Contractor will obtain such additional insurance coverage, as Contractor deems adequate, at Contractor's sole expense. The full limits available to the named insured shall also be available and applicable to City as an additional insured. 11.1.1 Commercial General Liability (CGL) Insurance. Insurance written on an “occurrence” basis, including personal and advertising injury, with limits no less than $2,000,000 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. 11.1.2 Automobile Liability. (if the use of an automobile is involved for Contractor's work for City). $2,000,000 combined single-limit per accident for bodily injury and property damage. 11.1.3 Workers' Compensation and Employer's Liability. Workers' Compensation limits as required by the California Labor Code. Workers' Compensation will not be required if Contractor has no employees and provides, to City's satisfaction, a declaration stating this. 11.1.4 Professional Liability. Errors and omissions liability appropriate to Contractor’s profession with limits of not less than $1,000,000 per claim. Coverage must be maintained for a period of five years following the date of completion of the work. 11.2 Additional Provisions. Contractor will ensure that the policies of insurance required under this Agreement contain, or are endorsed to contain, the following provisions: 11.2.1 City will be named as an additional insured on Commercial General Liability which shall provide primary coverage to City. 11.2.2 Contractor will obtain occurrence coverage, excluding Professional Liability, which will be written as claims-made coverage. 11.2.3 If Contractor maintains higher limits than the minimums shown above, City requires and will be entitled to coverage for the higher limits maintained by Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage will be available to City. 11.2.4 This insurance will be in force during the life of the Agreement and any extensions of it and will not be canceled without thirty (30) days prior written notice to City sent by certified mail pursuant to the Notice provisions of this Agreement. 11.3 Providing Certificates of Insurance and Endorsements. Prior to City's execution of this Agreement, Contractor will furnish certificates of insurance and endorsements to City. 11.4 Failure to Maintain Coverage. If Contractor fails to maintain any of these insurance coverages, then City will have the option to declare Contractor in breach, or may purchase replacement insurance or pay the premiums that are due on existing policies in order to maintain the required coverages. Contractor is responsible for any payments made by City to obtain or maintain insurance and City may collect these payments from Contractor or deduct the amount paid from any sums due Contractor under this Agreement. Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 11 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 5 11.5 Submission of Insurance Policies. City reserves the right to require, at any time, complete and certified copies of any or all required insurance policies and endorsements. 12. BUSINESS LICENSE Contractor will obtain and maintain a City of Carlsbad Business License for the term of the Agreement, as may be amended from time-to-time. 13. ACCOUNTING RECORDS Contractor will maintain complete and accurate records with respect to costs incurred under this Agreement. All records will be clearly identifiable. Contractor will allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of records and any other documents created pursuant to this Agreement. Contractor will allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of four (4) years from the date of final payment under this Agreement. 14. OWNERSHIP OF DOCUMENTS All work product produced by Contractor or its agents, employees, and subcontractors pursuant to this Agreement is the property of City. In the event this Agreement is terminated, all work product produced by Contractor or its agents, employees and subcontractors pursuant to this Agreement will be delivered at once to City. Contractor will have the right to make one (1) copy of the work product for Contractor’s records. 15. COPYRIGHTS Contractor agrees that all copyrights that arise from the services will be vested in City and Contractor relinquishes all claims to the copyrights in favor of City. 16. NOTICES The name of the persons who are authorized to give written notice or to receive written notice on behalf of City and on behalf of Contractor under this Agreement are: For City For Contractor Name Avecita Jones Name Bob Wallace Title Senior Program Manager Title Project Manager Department Public Works Address 28528 N 11th Way City of Carlsbad Scottsdale, AZ 85262 Address 1635 Faraday Ave Phone No. 480-241-9994 Carlsbad, CA 92008 Email bwallace@wihresourcegroup.com Phone No. (442) 339-2542 Each party will notify the other immediately of any changes of address that would require any notice or delivery to be directed to another address. Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 12 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 6 17. CONFLICT OF INTEREST Contractor shall file a Conflict of Interest Statement with the City Clerk in accordance with the requirements of the City of Carlsbad Conflict of Interest Code. Contractor shall report investments or interests as required in the City of Carlsbad Conflict of Interest Code. Yes ☐ No ☒ If yes, list the contact information below for all individuals required to file: Name Email Phone Number 18. SEVERABILITY If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this agreement shall continue in full force and effect. 19. GENERAL COMPLIANCE WITH LAWS Contractor will keep fully informed of federal, state and local laws and ordinances and regulations which in any manner affect those employed by Contractor, or in any way affect the performance of the Services by Contractor. Contractor will at all times observe and comply with these laws, ordinances, and regulations and will be responsible for the compliance of Contractor's services with all applicable laws, ordinances and regulations. Contractor will be aware of the requirements of the Immigration Reform and Control Act of 1986 and will comply with those requirements, including, but not limited to, verifying the eligibility for employment of all agents, employees, subcontractors and consultants whose services are required by this Agreement. 20. CALIFORNIA AIR RESOURCES BOARD (CARB) ADVANCED CLEAN FLEETS REGULATIONS Contractor’s vehicles with a gross vehicle weight rating greater than 8,500 lbs. and light-duty package delivery vehicles operated in California may be subject to the California Air Resources Board (CARB) Advanced Clean Fleets regulations. Such vehicles may therefore be subject to requirements to reduce emissions of air pollutants. For more information, please visit the CARB Advanced Clean Fleets webpage at https://ww2.arb.ca.gov/our-work/programs/advanced-clean-fleets. 21. DISCRIMINATION, HARASSMENT, AND RETALIATION PROHIBITED Contractor will comply with all applicable local, state and federal laws and regulations prohibiting discrimination, harassment, and retaliation. 22. DISPUTE RESOLUTION If a dispute should arise regarding the performance of the Services the following procedure will be used to resolve any questions of fact or interpretation not otherwise settled by agreement between the parties. Representatives of Contractor or City will reduce such questions, and their respective views, to writing. A copy of such documented dispute will be forwarded to both parties involved along with recommended methods of resolution, which would be of benefit to both parties. The representative receiving the letter will reply to the letter along with a recommended method of resolution within ten (10) business days. If the resolution thus obtained is unsatisfactory to the aggrieved party, a letter outlining the disputes will Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 13 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 7 be forwarded to the City Manager. The City Manager will consider the facts and solutions recommended by each party and may then opt to direct a solution to the problem. In such cases, the action of the City Manager will be binding upon the parties involved, although nothing in this procedure will prohibit the parties from seeking remedies available to them at law. 23. TERMINATION In the event of Contractor's failure to prosecute, deliver, or perform the Services, City may terminate this Agreement for nonperformance by notifying Contractor by certified mail of the termination. If City decides to abandon or indefinitely postpone the work or services contemplated by this Agreement, City may terminate this Agreement upon written notice to Contractor. Upon notification of termination, Contractor has five (5) business days to deliver any documents owned by City and all work in progress to City address contained in this Agreement. City will make a determination of fact based upon the work product delivered to City and of the percentage of work that Contractor has performed which is usable and of worth to City in having the Agreement completed. Based upon that finding City will determine the final payment of the Agreement. City may terminate this Agreement by tendering thirty (30) days written notice to Contractor. Contractor may terminate this Agreement by tendering thirty (30) days written notice to City. In the event of termination of this Agreement by either party and upon request of City, Contractor will assemble the work product and put it in order for proper filing and closing and deliver it to City. Contractor will be paid for work performed to the termination date; however, the total will not exceed the lump sum fee payable under this Agreement. City will make the final determination as to the portions of tasks completed and the compensation to be made. 24. COVENANTS AGAINST CONTINGENT FEES Contractor warrants that Contractor has not employed or retained any company or person, other than a bona fide employee working for Contractor, to solicit or secure this Agreement, and that Contractor has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift, or any other consideration contingent upon, or resulting from, the award or making of this Agreement. For breach or violation of this warranty, City will have the right to annul this Agreement without liability, or, in its discretion, to deduct from the Agreement price or consideration, or otherwise recover, the full amount of the fee, commission, percentage, brokerage fees, gift, or contingent fee. 25. CLAIMS AND LAWSUITS By signing this Agreement, Contractor agrees that any Agreement claim submitted to City must be asserted as part of the Agreement process as set forth in this Agreement and not in anticipation of litigation or in conjunction with litigation. Contractor acknowledges that if a false claim is submitted to City, it may be considered fraud and Contractor may be subject to criminal prosecution. Contractor acknowledges that California Government Code Sections 12650 et seq., the False Claims Act applies to this Agreement and, provides for civil penalties where a person knowingly submits a false claim to a public entity. These provisions include false claims made with deliberate ignorance of the false information or in reckless disregard of the truth or falsity of information. If City seeks to recover penalties pursuant to the False Claims Act, it is entitled to recover its litigation costs, including attorneys fees. Contractor acknowledges that the filing of a false claim may subject Contractor to an administrative debarment proceeding as the result of which Contractor may be prevented to act as a Contractor on any public work or improvement for a period of up to five (5) years. Contractor acknowledges debarment by another jurisdiction is grounds for City to terminate this Agreement. Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 14 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 8 26. JURISDICTION AND VENUE This Agreement shall be interpreted in accordance with the laws of the State of California without regard to, or application of, choice of law rules or principles. Any action at law or in equity brought by either of the parties for the purpose of enforcing a right or rights provided for by this Agreement will be tried in a court of competent jurisdiction in the County of San Diego, State of California, and the parties waive all provisions of law providing for a change of venue in these proceedings to any other county. 27. SUCCESSORS AND ASSIGNS It is mutually understood and agreed that this Agreement will be binding upon City and Contractor and their respective successors. Neither this Agreement nor any part of it nor any monies due or to become due under it may be assigned by Contractor without the prior consent of City, which shall not be unreasonably withheld. 28. THIRD PARTY RIGHTS Nothing in this Agreement should be construed to give any rights or benefits to any party other than City and Contractor. 29. ENTIRE AGREEMENT This Agreement, together with any other written document referred to or contemplated by it, along with the purchase order for this Agreement and its provisions, embody the entire Agreement and understanding between the parties relating to the subject matter of it. In case of conflict, the terms of the Agreement supersede the purchase order. Neither this Agreement nor any of its provisions may be amended, modified, waived or discharged except in a writing signed by both parties. This Agreement may be executed in counterparts. 30. AUTHORITY The individuals executing this Agreement and the instruments referenced in it on behalf of Contractor each represent and warrant that they have the legal power, right and actual authority to bind Contractor to the terms and conditions of this Agreement. [signatures on following page] Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 15 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 PSA26-4002ENV City Attorney Approved Version 10/23/2025 Page 9 CONTRACTOR CITY OF CARLSBAD, a municipal corporation of the State of California WIH RESOURCE GROUP, LLC., an Arizona limited liability company By: By: (sign here) KEITH BLACKBURN, Mayor Bob Wallace, President (print name/title) ATTEST: By: SHERRY FREISINGER, City Clerk (sign here) By: Deputy / Assistant City Clerk (print name/title) If required by City, proper notarial acknowledgment of execution by contractor must be attached. If a corporation, Agreement must be signed by one corporate officer from each of the following two groups. Group A Group B Chairman, Secretary, President, or Assistant Secretary, Vice-President CFO or Assistant Treasurer Otherwise, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation. APPROVED AS TO FORM: CINDIE K. McMAHON, City Attorney By: _____________________________ Assistant City Attorney Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 16 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 1 December 16, 2025 Avecita Jones, MBA, M.Ed. Senior Program Manager City of Carlsbad Environmental Sustainability – Sustainable Materials Management (SMM) 1635 Faraday Avenue Carlsbad, CA 92008-1949 Subject: RFP26-3942ENV - Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance - Responses to Phase 1 and Phase 2 Clarification Questions Dear Ms. Jones: On behalf of WIH Resource Group, Inc. (WRG), in partnership with MSW Consultants, we appreciate the opportunity to provide the following written clarificatfons in response to the City’s questfons regarding Phases 1 and 2 of the Palomar Transfer Statfon Operator Selectfon and Compliance project. These responses are intended to align precisely with the City’s Request for Proposals, Exhibit A Scope of Services, the WRG-MSW submitted proposal, and the WRG-MSW interview materials provided to the City during our interview. Consistent with the City’s RFP scope (Exhibit A), the following clarificatfons confirm our proposed scope, deliverables, and included expenses based on WRG–MSW’s submitted cost estfmate and assumptfons. WRG–MSW proposed a tfme-and-materials structure with an estfmated level of effort by phase and antfcipated direct expenses as presented in our proposal. PHASE 1 RESPONSES The following responses address the City’s clarificatfon questfons related to Phase 1. They are intended to confirm the scope, level of effort, deliverables, and approach for the Palomar Renew Plan: Compliance, Operatfonal, and Financial Assessment, consistent with Exhibit A of the City’s RFP and the WRG–MSW proposed approach. Benchmarking 1. California-Based Benchmarking Yes. All regulatory and financial benchmarking conducted under Phase 1 will be based exclusively on California transfer statfons, ensuring direct applicability to CalRecycle permitting, enforcement, SB 1383 compliance, and California-specific financial and rate structures, consistent with Exhibit A, Task 3. Final benchmark facility selectfon will be reviewed with City staff prior to completfon of the analysis. 2. Use of Out-of-State Comparisons Yes. Any out-of-state benchmarking, if used, will be limited solely to operatfonal best practfces, including facility layout, traffic flow, queuing management, throughput efficiency, safety design, and customer interface design. No out-of-state financial, regulatory, or rate data will be used for comparatfve conclusions affectfng City decision- making unless the City specifically requests it. 3. Number of Facilities and Depth of Comparison Benchmarking is antfcipated to include 8-12 California transfer statfons, selected based on facility scale, customer mix (public/self-haul and franchised), regulatory profile, and operatfonal complexity comparable to Palomar. The benchmarking analysis will address, as applicable: •Regulatory compliance posture (CalRecycle inspectfon history, enforcement trends) •Operatfonal throughput and workflow •Customer access and queuing •Financial structure (tfpping fees, ancillary revenues, cost drivers) PSA26-4002ENV Exhibit "A" Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 17 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 2 • Facility layout and capital configuratfon Site Visits, Stakeholders, and Travel 4. On-Site Days at Palomar Transfer Station Phase 1 includes a minimum of two (2) full on-site days, consistfng of an initfal comprehensive assessment visit and one follow-up or validatfon visit. Phase 1 includes multfple on-site days, antfcipated to consist of: • Initfal comprehensive assessment visit • Follow-up or validatfon visit(s) as needed for operatfonal, safety, or financial clarificatfon 5. Staff Participating in Site Visits On-site partfcipatfon will include: • Bob Wallace, MBA & Chris Bell, CPA, WIH Resource Group – Transfer statfon operatfons, compliance, procurement, and Financial Analysis • Dave Davis, MSW Consultants – California regulatory, SB 1383, and financial components. Additfonal specialists would partfcipate only if required by specific scope elements and coordinated with the City. 6. Definition of a “Site Visit” A site visit is defined as one (1) to two (2) full days of on-site engagement, typically involving the senior staff identffied in Questfon 5. The site visit will include a comprehensive facility walk-through and observatfon of operatfonal, safety, and regulatory compliance conditfons, including solid waste permitting and stormwater compliance requirements. The inspectfon will be conducted using WIH Resource Group’s proprietary transfer statfon inspectfon checklist. It will reference CalRecycle’s Inspection Guidance for Transfer Stations, Materials Recovery Facilities, and Waste-to- Energy Facilities, as applicable. Site visit actfvitfes will include operatfonal observatfons, staff interviews, documentatfon review, and photographic documentatfon. An initfal data request list will be provided to the City in advance of the site visit to support efficient and focused fieldwork. Separately, as a foundatfonal component of Phase 1, the WRG-MSW Project Team will conduct a comprehensive Palomar Transfer Statfon Regulatory, Operatfonal, and Financial Assessment, in direct alignment with Exhibit A, Phase 1 – Compliance, Operatfonal, and Financial Assessment. This effort addresses Exhibit A, Tasks 1 through 5, and provides the analytfcal foundatfon for both the Phase 1 deliverables and the subsequent Phase 2 RFP development. As detailed in the table on page 6 of this document, the Phase 1 assessment framework is organized by regulatory agency and permit program and serves as a task-by-task implementatfon roadmap identffying: (1) Applicable regulatory and permitting requirements; (2) Required compliance artffacts and documentatfon; (3) Evaluatfon methods, benchmarking inputs, and data sources; and (4) Coordinatfon points relevant to both assessment and procurement. Importantly, this structured assessment framework is designed not only to support preparatfon of the Palomar Renew Plan: A Forward Plan for Sustainable Materials Management and Compliance (Exhibit A, Phase 1, Task 6), but also to establish the technical, financial, and regulatory foundatfon for drafting a clear, defensible, and market- responsive Operator RFP in Phase 2. PSA26-4002ENV Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 18 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 3 Consistent with Exhibit A of the City’s RFP, the Phase 1 assessment and the accompanying table are intended to serve as a bridge between the City’s compliance, operatfonal, and financial analysis tasks and the Phase 2 RFP development and operator procurement process. Phase 1 findings will be explicitly carried forward into Phase 2 to inform RFP scope, evaluatfon criteria, performance metrics, compliance requirements, and contractual provisions, ensuring contfnuity, defensibility, and alignment across both phases of work. 7. Stakeholder Engagement Phase 1 antfcipates approximately eight to twelve (8–12) stakeholder interviews and meetfngs with: • City Environmental Sustainability / SMM staff • Public Works and operatfonal oversight staff • Palomar Transfer Statfon operator management • Selected haulers and internal City stakeholders, as directed by the City The number and format will be coordinated with City staff to ensure efficiency and relevance. 8. Travel Costs Yes. Travel and related direct expenses associated with Phase 1 on-site work (including airfare, lodging, mileage, and per diem, if required) are addressed within WRG–MSW’s submitted cost estfmate assumptfons. Any travel outside the scope contemplated in our submission would be performed only with the City’s prior written authorizatfon. Deliverables 9. Palomar Renew Plan Drafts Phase 1 includes: • Initfal Draft • Revised Draft (following City review) • Final Palomar Renew Plan 10. Presentation Support Yes. Phase 1 includes support for internal and external presentatfons, including City management briefings and materials suitable for Council or committee use, as requested in the Scope of Services. 11. Phase 1 Timeline Primary Phase 1 milestones align with the City’s published schedule, culminatfng in delivery of the Palomar Renew Plan by June 30, 2026, subject to City review cycles and coordinatfon. Interim draft review milestones will be coordinated with City staff to align with internal review and decision tfmelines. Contfngency 12. Contingency Authorization Yes. Any use of additfonal hours beyond the scope and level of effort contemplated in WRG–MSW’s submitted cost estfmate (including any City-directed scope adjustments) would occur only with the City’s prior written approval. PSA26-4002ENV Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 19 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 4 PHASE 2 RESPONSES The following responses address the City’s clarificatfon questfons related to Phase 2. They are intended to confirm the scope, level of effort, and support to be provided for Operator RFP development, solicitatfon, evaluatfon, contract negotfatfon, and transitfon assistance, consistent with Exhibit A of the City’s RFP and the WRG-MSW proposed approach. Consistent with Exhibit A, WRG–MSW’s Phase 2 support includes development of the RFP and Operator Agreement and transitfon support deliverables (including contract monitoring protocols and transitfon support materials) RFP Development 12. Draft RFP Versions Phase 2 will include one (1) draft RFP, one (1) revised draft incorporatfng City consolidated comments, and one (1) final RFP package for City issuance, consistent with Exhibit A deliverables. (This directly mirrors the City’s “one draft / one revised / one final” summary and avoids “2–3 rounds” ambiguity.) 13. Internal Review Rounds The City review structure for the RFP will therefore consist of two (2) City review cycles (Draft → Revised Draft → Final), with City comments consolidated per cycle to support efficient turnaround and schedule alignment. (This directly mirrors the City’s “one draft / one revised / one final” summary and avoids “2–3 rounds” ambiguity.) 14. City Attorney Coordination Yes. WRG-MSW will support integratfon of City Attorney comments and revisions into the draft and final Operator Agreement. Operator Solicitatfon 15. Bidder Meetings Yes. WRG-MSW will partfcipate in pre-proposal conferences, bidder meetfngs, and written Q&A support, consistent with Exhibit A, Phase 2. Proposal Evaluatfon and Selectfon 16. Evaluation Meetings Phase 2 includes up to three (3) formal evaluatfon meetfngs, aligned with proposal review stages and finalist selectfon. 17. Scoring Tools Yes. WRG-MSW will develop scoring matrices, evaluatfon tools, and comparatfve analysis frameworks consistent with City procurement policies. Contract Negotfatfon and Travel 18. Contract Negotiation Rounds Support is provided for two to three (2–3) primary negotfatfon cycles, with additfonal negotfatfon support provided as needed and subject to City directfon and approval. 19. Rate and Cost Modeling Yes. WRG-MSW will support rate structure review and cost-model analysis, consistent with Phase 2 negotfatfon tasks. PSA26-4002ENV Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 20 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 5 20. Presentations Phase 2 includes up to two (2) in-person presentatfons to City management and City Council, as requested. 21. Travel Costs Yes. Travel and related direct expenses associated with Phase 2 meetfngs/presentatfons (if requested by the City) are addressed within WRG–MSW’s submitted cost estfmate assumptfons. Any additfonal travel beyond the contemplated scope would be performed only with the City’s prior written authorizatfon. Transitfon and Implementatfon Support 22. Nature of Transition Support Transitfon support includes: • Contract Monitoring Protocol development • Staff tools, dashboards, and reportfng templates • Operator start-up coordinatfon guidance • Communicatfon support strategies These transitfon actfvitfes are consistent with Exhibit A’s requirement to support City staff during the transitfon period and to develop contract monitoring tools/protocols and capacity-building measures. 23. Support Hours To establish a clear baseline for implementatfon support, WRG–MSW estfmates fifty (50) to sixty (60) hours of transitfon and implementatfon support following the Operator Agreement award. This baseline allocatfon includes regular coordinatfon meetfngs, Q&A availability, and practfcal troubleshootfng support during the first 30/60/90 days post-award, as needed by the City to support a smooth implementatfon consistent with Exhibit A transitfon support expectatfons. Any additfonal support beyond this baseline would be provided only with the City’s prior written authorizatfon. 24. Post-Launch Support Period WRG–MSW’s baseline transitfon support (described above) is structured to cover the first 30/60/90 days following Operator Agreement award, recognizing that support intensity typically peaks early and then tapers as systems stabilize. 25. Availability and Response Time WRG-MSW will provide responsive, senior-level availability throughout the transitfon and implementatfon, and will respond promptly and diligently to City inquiries. I will serve as the Project Manager for the WRG-MSW Project Team and will be directly engaged and readily available to support the City as needed. I will lead and coordinate our Project Team to ensure contfnuity, accountability, and tfmely response and prompt coordinatfon in support of the City’s objectfves. The WRG-MSW Project Team’s availability and response expectatfons can be formalized in the final contract between the City and WRG, consistent with City requirements. Avecita, we appreciate the City’s thoughtiul review and engagement, and we trust the foregoing responses provide clear and complete clarificatfon to support confirmatfon of shared expectatfons as the project moves toward final scope definitfon and contract executfon. The WRG–MSW Project Team is genuinely enthusiastfc about the opportunity to work closely with you and the City of Carlsbad on this critfcal initfatfve. We are aligned with the City’s objectfves and encouraged by the shared focus on delivering a compliant, modern, financially sound, and forward-looking future for the Palomar Transfer Statfon. We value the collaboratfve approach reflected throughout this process and look forward to contfnuing discussions as the engagement advances. PSA26-4002ENV Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 21 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 6 WRG and MSW Consultants are fully committed to partnering with the City and its staff throughout Phases 1 and 2 and to providing responsive, senior-level support to ensure the project’s success. Please do not hesitate to contact me at (480) 241-9994 or via email at bwallace@wihresourcegroup.com should you have any questfons or wish to discuss next steps. Sincerely, Bob Wallace, MBA President, WIH Resource Group, Inc. PSA26-4002ENV Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 22 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 7 Table 1: Palomar Transfer Station – Phase 1 Regulatory & Permitting Review Checklist Palomar Renew Plan: Compliance, Operational & Financial Assessment SECTION AGENCIES PERMIT / PROGRAM TYPE TYPICAL COMPLIANCE ARTIFACTS TO REVIEW PRIMARY COORDINATION CONTACTS A. SOLID WASTE PERMITTING & ENFORCEMENT CalRecycle San Diego County Local Enforcement Agency (LEA) • Solid Waste Facility Permit (SWFP) • Transfer/Processing Facility regulatory compliance • CIWMB/CalRecycle Title 14 & Title 27 compliance • AB 939 / AB 341 / AB 1826 / SB 1383 interface (as applicable) • Current Solid Waste Facility Permit (SWFP) and permit conditfons • Facility Report of Informatfon (ROI) • LEA inspectfon reports (routfne and special) • Notfces of Violatfon (NOVs), enforcement actfons, or correctfve actfon letters • Approved site plan, operatfons plan, and emergency actfon plan • Tonnage reports and materials acceptance logs • Operatfng hours, throughput limits, and authorized waste types • Training records for certffied operators (as applicable) • San Diego County LEA (Solid Waste Enforcement) • CalRecycle Permitting & Enforcement Branch • City of Carlsbad Environmental Sustainability / SMM staff B. STORMWATER & WATER QUALITY COMPLIANCE California State Water Resources Control Board San Diego Regional Water Quality Control Board (Region 9) • Industrial Stormwater General Permit (IGP) • NPDES stormwater discharge compliance • SMARTS reportfng system • Notfce of Intent (NOI) and IGP coverage documentatfon • Storm Water Pollutfon Preventfon Plan (SWPPP) • Annual reports and SMARTS submittals • Sampling data, exceedances, and correctfve actfon reports • Visual inspectfon logs and BMP maintenance records • Qualified Industrial Stormwater Practftfoner (QISP) documentatfon • Non-Stormwater Discharge certfficatfons • City of Carlsbad Stormwater / Public Works staff • RWQCB Region 9 compliance staff • Operator environmental compliance lead or consultant C. AIR QUALITY & EMISSIONS San Diego County Air Pollutfon Control District (SDAPCD) • Authority to Construct / Permit to Operate (if applicable) • Statfonary source permits (generators, fuel systems, equipment) • Dust, odor, and nuisance compliance • SDAPCD permits (if issued) • Equipment inventory subject to air permitting • Generator permits and testfng logs • Odor complaint logs and response documentatfon • Dust control plans and mitfgatfon measures • Fuel storage and dispensing approvals (if applicable) • SDAPCD Engineering & Compliance Division • City of Carlsbad Environmental Sustainability staff • Facility operator maintenance / environmental staff D. HAZARDOUS MATERIALS & HHW (IF APPLICABLE) San Diego County Certffied Unified Program Agency (CUPA) California Department of Toxic • Hazardous Materials Business Plan (HMBP) • Hazardous Waste Generator requirements • HHW collectfon and storage authorizatfons (if applicable) • HMBP filings and CUPA approvals • Chemical inventory and Safety Data Sheets (SDS) • Hazardous waste manifests and disposal records • Training certfficatfons for hazardous materials handling • HHW operatfng procedures (if HHW is present or proposed) • County of San Diego CUPA / Environmental Health • DTSC regional office (as applicable) • City Environmental Sustainability / SMM staff PSA26-4002ENV Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 23 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 8 Substances Control (DTSC) • Emergency response and spill preventfon plans E. OCCUPATIONAL SAFETY & WORKER PROTECTION Cal/OSHA – Division of Occupatfonal Safety and Health • Workplace safety compliance • Injury and Illness Preventfon Program (IIPP) • Equipment and traffic safety standards • Injury and Illness Preventfon Program (IIPP) • Job hazard analyses (JHAs) • Equipment inspectfon and maintenance logs • Traffic control and site safety plans • Training records (forklifts, loaders, spotters, etc.) • OSHA logs (300/300A) and incident reports • Facility operator safety manager • City risk management or safety liaison • Cal/OSHA consultatfon services (if engaged) F. LAND USE, BUILDING, AND ENVIRONMENTAL REVIEW City of Carlsbad (Planning, Building, Public Works) CEQA Lead Agency (City of Carlsbad) • Zoning and land use approvals • Building and grading permits • CEQA environmental review (as applicable to modificatfons) • Conditfonal Use Permits (CUPs) • Building permits and certfficates of occupancy • Approved site circulatfon and traffic plans • CEQA documents (ND/MND/EIR, exemptfons, addenda) • Conditfons of approval tfed to facility operatfons • Capital improvement and modernizatfon approvals • City of Carlsbad Planning & Building Department • Public Works / Engineering • City Attorney (for CEQA and land use interpretatfon, as needed) G. INTEGRATION INTO OPERATOR RFP & CONTRACTING (PHASE 2 READINESS) — Phase 1 inspectfon findings should explicitly identffy: • Which permits and approvals are operator obligatfons vs. City responsibilitfes • Permit conditfons requiring contractual KPIs, reportfng, or penaltfes • Compliance risks that must be priced, scheduled, or capitalized in the RFP • Data transparency and audit requirements tfed to regulatory compliance — PSA26-4002ENV Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 24 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 1 October 30, 2025 Janean Hawney City of Carlsbad Contract Administrator, Public Works Department 1635 Faraday Avenue Carlsbad, CA 92008 Subject: Proposal Submittal – RFP No. 26-3942ENV – Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – Introduction and Letter of Interest Dear Ms. Hawney: WIH Resource Group (WRG) is pleased to submit this proposal to partner with the City of Carlsbad on the Palomar Transfer Station Operator Selection and Compliance Project. In collaboration with MSW Consultants (MSW), our Project Team will guide the City through the two-phase process outlined in Exhibit A – Scope of Services, ensuring full regulatory compliance, operational excellence, and financial sustainability for the Palomar Transfer Station (PTS). Our team’s approach directly addresses each component of the City’s required scope: •Regulatory Compliance Review: Assess current and emerging federal, state, and local mandates (SB 1383, AB 341, AB 939, and CalRecycle requirements) and develop a ten-year Compliance Roadmap for the Palomar Renew Plan. •Operational Efficiency & Facility Evaluation: Analyze throughput, traffic flow, safety standards, customer experience, and capital needs to identify modernization and resiliency opportunities. •Financial Optimization & Revenue Model Development: Benchmark against leading California transfer stations and recommend pricing and rate structures that enhance City revenues while advancing diversion goals. •Sustainability & Circular Economy Assessment: Integrate Sustainable Materials Management (SMM) principles through organics processing, reuse, recycling, and HHW expansion. •Diversion, Reporting & Penalty Framework: Design metrics and digital dashboards for real-time tracking of diversion, GHG reduction, and resource conservation performance. Phase 2 will build upon these findings by preparing the Palomar Transfer Station Operator RFP, facilitating proposal evaluation, leading contract negotiations, and developing a Contract Monitoring Protocol and Transition Support Package to ensure a smooth implementation of the new operator agreement. The WRG–MSW Project Team is dedicated to delivering the City’s vision for a modernized, compliant, and financially resilient Palomar Transfer Station that serves as a regional model of innovation and environmental leadership. Our collective California experience ensures a proven, results-oriented path to implementing the City’s Palomar Renew Plan and executing a new operator agreement by June 2027. We appreciate the City’s consideration and the opportunity to partner on this important initiative. Please contact me at (480) 241-9994 or bwallace@wihresourcegroup.com with any questions regarding this proposal. Sincerely, Bob Wallace, MBA President, WIH Resource Group, Inc. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 25 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 3 EXECUTIVE SUMMARY The City of Carlsbad is preparing for the next generation of operations at its Palomar Transfer Station (PTS)—a critical hub in the City’s solid waste, recycling, and sustainability framework. In alignment with Carlsbad’s Environmental Guiding Principles and Climate Action Plan, the City seeks a consulting partner capable not only of ensuring regulatory compliance but also of advancing a forward-looking operator structure that embodies innovation, fiscal transparency, and environmental leadership. WIH Resource Group (WRG), in partnership with MSW Consultants (MSW), offers the City a team with unmatched California-specific expertise, institutional knowledge, and hands-on experience guiding public agencies through complex transfer station and franchise modernization initiatives. This integrated team provides the City of Carlsbad with a single, accountable partner that blends technical, operational, and financial depth—ensuring seamless delivery with zero learning curve. Our Approach & Methodology Phase 1 – Compliance, Operational & Financial Assessment WRG and MSW will establish a comprehensive baseline for facility performance and regulatory compliance, culminating in the Palomar Renew Plan – A Forward Plan for Sustainable Materials Management and Compliance. Key elements include: • A Regulatory Compliance Review and 10-year roadmap addressing SB 1383, OSHA, FMCSA, and MUTCD standards; • A detailed Operational Efficiency Assessment covering throughput, staffing, safety, and customer service; • Financial Optimization Modeling benchmarked against peer facilities statewide; • A Sustainability and Circular Economy Plan identifying feasible expansions for organics, reuse, and HHW programs; and • Digital Performance Dashboards with diversion, GHG reduction, and energy-efficiency metrics to support data-driven decision-making. Phase 2 – RFP Development, Evaluation, Negotiation & Transition Building upon Phase 1 findings, the team will guide the City through a transparent, performance-based procurement process that includes: • Drafting a comprehensive Operator RFP integrating compliance, safety, and sustainability criteria; • Creating a Proposal Evaluation Framework with defensible scoring metrics; • Providing Negotiation Support to secure a fair, enforceable, and financially sound operator agreement; and • Delivering a Contract Monitoring Protocol and Transition Support Package with staff training, dashboards, and compliance tools for long-term oversight. Project Management, Schedule & Value Our project management approach emphasizes structure, accountability, and open communication: • A formal Kick-Off Meeting, bi-weekly coordination calls, and monthly progress reports ensure alignment and transparency throughout the project. • Phase 1 Completion: June 2026 – Delivery of the Palomar Renew Plan • Phase 2 Completion: June 2027 – Execution of the new Operator Agreement The WRG-MSW Project Team will deliver exceptional value by providing the comprehensive technical, financial, and procurement expertise that meets all City objectives within the established schedule. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 26 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 4 Why the WRG-MSW Project Team The City of Carlsbad will benefit from a partnership that offers: • California-specific experience in transfer station operations, RFP development, and SB 1383 implementation; • Technical depth in operational efficiency, cost-of-service modeling, and performance-based contracting; • Collaborative project management ensuring transparency, schedule adherence, and responsiveness; and • Proven innovation, including digital dashboards, lifecycle cost analysis, and performance-tracking tools that enhance accountability and sustainability. This combination of regulatory knowledge, operational expertise, and financial acumen ensures that the City receives not just compliance but a long-term strategic framework for operational excellence and climate resiliency. WIH Resource Group and MSW Consultants are committed to delivering a comprehensive, defensible, and future- focused modernization plan that positions the Palomar Transfer Station as a model of sustainability, efficiency, and innovation. Through rigorous analysis, transparent procurement, and actionable implementation, the Palomar Renew Plan will enable Carlsbad to meet all regulatory mandates, strengthen operational performance, and advance its leadership in California’s circular economy. 1 CONSULTANTS’ EXPERIENCE WIH Resource Group (WRG) and MSW Consultants bring together more than ten decades of combined expertise in solid-waste system planning, transfer-station operations, financial modeling, and sustainability program implementation for public agencies throughout California and across the United States. Our team’s integrated capabilities align precisely with the City of Carlsbad’s RFP #26-3942ENV requirements and are structured to successfully deliver both project phases outlined in Exhibit A – Scope of Services. For Phase 1, WRG & MSW have proven experience conducting comprehensive Compliance, Operational, Financial, and Sustainability Assessments—including regulatory reviews under SB 1383, AB 341, and AB 939; facility throughput and customer-service evaluations; financial benchmarking and revenue-model design; and the integration of Sustainable Materials Management and Circular Economy strategies. For Phase 2, our team brings direct experience developing, managing, and implementing operator RFPs, supporting municipal clients through proposal evaluation, contract negotiation, performance metric development, and post-award transition. This includes preparing detailed procurement documents, evaluation frameworks, and Contract Monitoring Protocols to ensure compliance, transparency, and long-term performance accountability. Together, WRG and MSW provide the City of Carlsbad with a complete, turnkey team uniquely qualified to prepare the Palomar Renew Plan, author and manage the Palomar Transfer Operator RFP, and guide the City through contract execution and successful implementation, on schedule, within budget, and in complete alignment with Carlsbad’s sustainability and operational goals. 1.1 PRIME CONSULTANT WIH Resource Group, Inc. An Arizona S-Corporation 28528 N 111th Way Scottsdale, AZ 85262 Phone: (480) 241-9994 Website: www.wihrg.com 1.2 SUBCONSULTANT MSW Consultants, Inc. A California Corporation 41831 McAlby Court, Suite C Murrieta, CA 92562 Phone: (951) 461-3234 Website: www.msw-consultants.com PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 27 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 5 1.3 FIRMS’ BACKGROUND AND QUALIFICATIONS WIH Resource Group – Prime Consultant Founded in 2005, WIH Resource Group is a nationally recognized solid-waste and environmental consulting firm specializing in transfer-station operations and design, solid-waste system optimization, transportation logistics, financial modeling, and procurement support for municipal clients. WRG has completed over 1,100 projects nationwide for cities, counties, and regional agencies, including Los Angeles, King County (WA), Santa Barbara, Glendale, and Monterey County. WRG-MSW Project Team’s Core Capabilities Aligned to City’s RFP Exhibit A: • Regulatory Compliance Review and 10-Year Compliance Roadmap Development • Operational and Safety Audits for Transfer Stations (including ANSI Z245 and SWANA best practices) • Financial Optimization and Revenue Model Development • Sustainability & Diversion Program Design and Metrics Frameworks • RFP Preparation, Proposal Evaluation, and Operator Contract Negotiation Support MSW Consultants – Subconsultant Established in 2000, MSW Consultants is a California-based municipal financial and operational consulting firm serving over 60 cities statewide. MSW provides financial modeling, rate studies, procurement support, and performance auditing for municipal solid-waste and transfer-station programs. The firm’s work has helped numerous California jurisdictions develop modern, cost-effective, and compliant systems aligned with SB 1383 and circular economy principles. SB 1383 and Regulatory Compliance Expertise MSW Consultants has been at the forefront of helping California jurisdictions achieve full compliance with the State’s landmark SB 1383 organics recycling mandates and related laws (AB 341, AB 1826, and AB 939). The firm has prepared both formal and informal compliance action plans for CalRecycle, updated solid-waste ordinances and franchise agreements, and provided technical and enforcement support to cities and counties statewide. Through its proprietary Minerva™ cloud-based compliance platform, MSW assists jurisdictions in monitoring commercial recycling performance and generator outreach, helping clients achieve near-100 percent compliance among the commercial sector. These projects directly advance greenhouse gas (GHG) reduction and sustainable materials management outcomes consistent with Carlsbad’s Climate Action Plan and the Palomar Renew Plan objectives. 1.4 REPRESENTATIVE MUNICIPAL AND TRANSFER-STATION PROJECTS The WIH-MSW Project Team has successfully completed a wide range of municipal solid-waste and transfer-station consulting projects across California and the western United States, closely mirroring the scope of services requested by the City of Carlsbad. These engagements demonstrate our proven ability to conduct regulatory compliance assessments, operational audits, financial modeling, and competitive operator procurements that align with both state mandates and local sustainability goals. Table 2.1 representative projects illustrate our team’s depth of experience delivering complex, multi-phase initiatives, from strategic assessments and rate studies to RFP development, contract negotiation, and transition implementation. Each is directly relevant to the Palomar Renew Plan and the City’s objectives for the Palomar Transfer Station Operator Selection and Compliance Project. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 28 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 6 Table 2.1: WRG and MSW Representative Projects Project Client / Location Scope & Relevance (Exhibit A Alignment) Key Staff Client Contact City of Los Angeles recycLA 2.0 RFP Development and Studies Project City of Los Angeles (LASAN), CA Developed comprehensive operator RFP for waste collection zones; included regulatory compliance alignment, financial modeling, diversion metrics, and operator negotiations. Bob Wallace (WRG) & Chris Bell (WRG) Daniel Meyers, Division Manager, 213-485-3774 daniel.meyers@lacity.org King County WEBR (Early Waste Export by Rail) Program Planning King County Solid Waste Division, WA Long-term infrastructure strategy for transfer and export system; modeled throughput, financial scenarios, and contract transition plans Bob Wallace (Project Lead), Chris Bell (Financial Analysis) Patty Liu, Project Manager 206-477-7678 pliu@kingcounty.gov City of Santa Barbara Transfer Station Operations & Rate Review City of Santa Barbara, CA Performed operational audit, throughput analysis, and rate study; assessed facility capital needs and financial viability aligned with SB 1383 mandates and SMM principles. David Davis (MSW Principal), Chris Bell (WRG) Jennifer Hernandez, Environmental Services Manager 805-564-5460 City of Glendale Solid Waste Franchise RFP and Rate Audit City of Glendale, CA Developed RFP, evaluation matrix, and negotiation support for waste services franchise; integrated performance metrics and customer service standards. David Davis (MSW Principal in Charge) Ed McKenna, Public Works Director 818-548-3200 Metro Transfer Station Operations Assessment & Procurement Metro (Oregon Metro), Portland, OR Conducted facility workflow and safety evaluation; developed operator procurement documents, scoring framework, and negotiation support. . Bob Wallace (WRG) & Chris Bell (WRG) Kevin Six, Sr. Solid Waste Ops Planner 503-797-1672 kevin.six@oregonmetro.gov City of Eureka & Humboldt County SB 1383 System Review Eureka & Humboldt County, CA Evaluated collection and transfer systems for SB 1383 compliance; developed financial baseline, reporting metrics, and penalty framework. Chris Bell (WRG) Robin Praszker, Env. Project Mgr 707-441-4206 rpraszker@eurekaca.gov Chelan County Transfer Station Operations & Rate Review Chelan County Public Works, WA Performed financial and operational analysis of transfer stations and recommended rate adjustments and efficiency improvements. Bob Wallace (WRG) & Chris Bell (WRG) Brenda Blanchfield, Solid Waste Coordinator 509-667- 6415 brenda.blanchfield@co.chela n.wa.us City of Coolidge Transfer & Collection System Evaluation City of Coolidge, AZ Comprehensive system review and procurement support for new transfer station operator, including customer service assessment and financial modeling. Bob Wallace (Project Lead) & Chris Bell (Financial Analysis) Donald Peters, P.E., Public Works Director 520-723-4882 California Municipal Rate Studies & Transfer Station Audits Glendale, Santa Barbara, Lompoc, Palm Springs, CA Conducted transfer station audits, financial modeling, and RFP support for multiple jurisdictions implementing SB 1383 compliance programs. David Davis (MSW Principal in Charge) References available upon request PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 29 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 7 2 PROJECT TEAM The WIH Resource Group and MSW Consultants team combines over 100 years of hands-on experience in transfer- station operations, franchise contracting, financial modeling, and SB 1383 compliance. Our senior experts have led similar California and western U.S. projects, delivering proven results in safety, efficiency, and performance-based operator procurements. Below is our Project Team’s Organizaitonal Structure for this project. Bob Wallace, MBA – Project Manager (WIH Resource Group, Inc.) Role: Overall project leadership, City liaison, technical oversight, compliance evaluation, and procurement strategy. Responsible for coordinating all deliverables and quality control across Phases 1 and 2. Experience: 40 years in solid-waste management, transfer-station operations, and franchise procurement. Former Director of Transportation & Logistics for Waste Management’s Western Group. Phase 1 Expertise: Regulatory and operational compliance reviews; safety and throughput audits; facility modernization and resiliency planning. Phase 2 Expertise: RFP development, proposal evaluation, contract negotiation, and transition support. Representative Projects: • City of Los Angeles recycLA 2.0 Program – Two Projects (2014 and 2024 to present) – Project Lead under Jacobs Engineering; designed multi-zone commercial and multi-family waste collection franchise RFP framework and performance metrics. Contact: Daniel Meyers, LASAN (213) 485-3774. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 30 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 8 • King County Waste Export by Rail (WEBR) Program – Two projects (2019 – 2023) – Rail logistics and cost modeling for long-term export strategy. Contact: Emmy McConnell (206) 263-9738. • Metro Regional Government Transfer Station Procurement (2016 – 2018) – Facility assessment and operator selection support. Contact: Will Elder (503) 797-1581. Chris Bell, CPA – Senior Financial Analyst (WIH Resource Group, Inc.) Role: Leads all financial modeling, cost-of-service analysis, and economic evaluations for operator alternatives and City revenue optimization. Experience: Certified Public Accountant with 20 years in solid-waste finance and rate design; 500+ projects nationwide. Former Assistant Divisional Controller for Waste Management of Oregon. Phase 1 Expertise: Development of financial optimization strategies and alternative pricing models to enhance diversion and revenue. Phase 2 Expertise: Proposal evaluation scoring methods, operator financial reviews, and contract compliance auditing. Representative Projects: • City of Eureka & Humboldt County SB 1383 System Review (2023) – Developed financial baseline and rate integration for organics implementation. Contact: Robin Praszker (707) 441-4206. • City of Los Angeles Commercial Franchise Program – Two projects (2014 & 2024) – Cost-of-service rate model design and financial framework development. Contact: Daniel Meyers (213) 485-3774. • Clackamas County (OR) Annual Rate Review (2001 – present) – Ongoing financial and operational audits of 11 haulers. Contact: Rick Winterhalter (503) 742-4466. David L. Davis, CMA – Principal Financial Advisor (MSW Consultants, Inc.) Role: Provides oversight of financial strategy, rate design, and policy compliance under California mandates (SB 1383 / AB 939). Experience: 30 years of California-specific consulting in solid-waste finance and transfer-station planning. Principal of MSW Consultants and former Board Member, Southern California Waste Management Forum. Phase 1 Expertise: Benchmarking financial performance against leading California transfer stations and developing long-term financial plans. Phase 2 Expertise: Assists with the financial terms of operator agreements, rate structures, and negotiation support. Representative Projects: • City of Glendale Transfer Station Financial Audit (2022) – Comprehensive rate review and performance benchmarking. Contact: Jessica Manuel (818) 548-3900. • City of Santa Barbara Solid Waste Contract Support (2021) – Rate and compliance advisory under SB 1383. Contact: Sarah Knecht (805) 564-5318. • County of Santa Maria Waste Franchise Review (2020) – Financial modeling and contract update. Contact: Kevin Hennessey (805) 925-0951. Girard Mobley – Project Manager (MSW Consultants, Inc.) Role: Supports field data collection, franchise compliance auditing, SB 1383 gap analyses, and tonnage reporting validation. Provides direct analytical and operational support to the financial modeling and compliance review team. Experience: 25 years in finance and solid waste operations, including five years with MSW Consultants performing financial and compliance audits for more than 20 municipalities throughout California. Former U.S. Marine Corps veteran with demonstrated leadership in multi-jurisdictional audit coordination and outreach programs. Phase 1 Expertise: Waste hauler audits, tonnage reconciliation, and SB 1383 commercial recycling compliance verification. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 31 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 9 Phase 2 Expertise: Data validation and due diligence support for operator proposal evaluations and cost reasonableness reviews. Representative Projects: • City of Rancho Palos Verdes – SB 1383 Gap Analysis and Food Recovery Program Implementation • City of Vernon – Commercial Generator Recycling Compliance Program • City of Corona – Franchise Agreement Audit and Rate Review Arisha Ashraf, Ph.D. – Project Manager for (MSW Consultants, Inc.) Role: Leads technical rate modeling, cost-of-service analyses, and policy impact evaluations; supports Phase 1 financial optimization and Phase 2 RFP development tasks. Experience: 15 years in environmental economics and public-sector utility finance, including prior tenure with Raftelis Financial Consultants. Holds a Ph.D. in Environmental Economics and Policy from UC Riverside and advanced degrees from Brown University and Boston University. Phase 1 Expertise: Economic forecasting, rate model design, and financial feasibility analyses integrating sustainability and compliance criteria. Phase 2 Expertise: Drafting RFP cost evaluation criteria, scoring frameworks, and assisting in policy alignment with SB 1383 and local Climate Action Plan goals. Representative Projects: • County of Sacramento – Solid Waste Rate Study and Financial Plan (2024) • City of Santa Maria – Landfill Pricing Strategy and Financial Model Update (2021) • City of Pasadena – Solid Waste Enterprise Fund Rate Study (2024) Greg Fletcher – Financial Analyst (MSW Consultants, Inc.) Role: Performs detailed financial analyses, forecast modeling, and cost allocation under the direction of senior staff; supports financial documentation and QA/QC for modeling outputs. Experience: 12 years of private-sector financial management, including experience as a financial controller for national firms. Holds a Master’s degree in Accounting and a strong foundation in cost accounting, forecasting, and model-based financial validation. Phase 1 Expertise: Cost-of-service model construction and data normalization for transfer station and collection operations. Phase 2 Expertise: Proposal evaluation support and rate model integration for operator negotiations. Representative Projects: • County of Riverside – Landfill Fee Study (2023) • City of Prescott, AZ – Solid Waste Rate Model Development (2022) • City of Santa Barbara – Solid Waste Financial Plan and Rate Study (2023) Kayla Friederich – Project Analyst (MSW Consultants, Inc.) Role: Provides analytical and research support for rate modeling, SB 1383 compliance documentation, and data synthesis for performance dashboards. Experience: 3 years of experience in environmental systems and municipal solid waste compliance analysis. Holds a B.S. in Environmental Systems from the University of California, San Diego. Phase 1 Expertise: SB 1383 compliance support, waiver tracking, and data gathering for diversion reporting. Phase 2 Expertise: Financial and technical data compilation for RFP evaluation and reporting deliverables. Representative Projects: • City of Temecula – SB 1383 Compliance and Program Implementation (2023) • City of Rancho Palos Verdes – Organics Program Rollout and Waiver Management (2023) • City of Riverside County – Franchise Agreement Development (2024) PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 32 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 10 2.1 WRG-MSW PROJECT TEAM AVAILABILITY AND CONTINUITY All key personnel are immediately available upon contract award (anticipated January 2026) and will remain dedicated through project completion in 2027. Both WRG and MSW maintain cross-trained backups to ensure uninterrupted coverage. Monthly coordination meetings and task-tracking dashboards will maintain schedule accountability and transparency for City staff. 2.2 HOURLY RATE SCHEDULE The WRG–MSW Project Team offers a competitive, transparent rate structure that reflects the senior-level expertise and technical specialization required for this engagement. Each team member brings decades of experience in solid waste operations, financial analysis, compliance, and regulatory policy—ensuring exceptional value and efficiency for the City of Carlsbad. The following table presents fully burdened hourly rates for all key personnel assigned to this project. Table 3.1: WRG-MSW Project Team Rate Schedule Title / Position Firm Hourly Rate ($) Bob Wallace, MBA – President / Project Manager WIH Resource Group 325 Chris Bell, CPA – Senior Financial Analyst WIH Resource Group 295 David L. Davis, CMA – Principal Financial Advisor MSW Consultants 276 Girard Mobly - Compliance Review MSW Consultants 242 Arisha Ashraf, Ph.D. – Policy Impact evaluations WIH Resource Group 225 Greg Fletcher – Financial Analyst MSW Consultants 215 Kayla Friederich – Project Analyst WIH Resource Group 215 Administrative Support Staff WIH Resource Group 125 Notes: 1. Rates are fully burdened and include labor, overhead, and profit. 2. Travel and reimbursables (lodging, mileage, printing) will be billed at cost, as incurred. 3. These rates will remain in effect through December 2027. 3 PROJECT APPROACH & WORK PLAN WIH Resource Group (WRG) and MSW Consultants (MSW) bring a proven, methodical approach to delivering complex solid waste and transfer-station projects that balance regulatory compliance, operational excellence, financial transparency, and sustainability performance. Our project approach is structured to meet every element of the City of Carlsbad’s RFP #26-3942ENV, guiding the Palomar Transfer Station (PTS) through a two-phase process - assessment, planning, procurement, and transition - to establish a modern, performance-based operator agreement aligned with the City’s long-term environmental and fiscal goals. 3.1 PROJECT UNDERSTANDING The WRG-MSW Project Team understands that this effort extends beyond compliance. It is a strategic modernization initiative designed to ensure that PTS remains a safe, efficient, and environmentally progressive cornerstone of Carlsbad’s solid-waste system. Our team recognizes that success requires integration across four key pillars: • Regulatory Compliance: Full alignment with SB 1383, AB 341, AB 939, OSHA, FMCSA, MUTCD, and applicable City ordinances. • Operational Efficiency: Optimized material flow, staffing, queuing, and customer service under modern safety and sustainability standards. • Financial Optimization: Transparent cost-of-service modeling and rate structures that support fiscal stability and performance-based incentives. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 33 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 11 • Sustainability Leadership: Advancement of the City’s Climate Action Plan through circular-economy strategies, diversion targets, and measurable greenhouse-gas (GHG) reductions. WRG & MSW have guided dozens of California jurisdictions, including the city of Los Angeles, Santa Barbara, Glendale, and Palm Springs, through similar transitions and will leverage that experience to deliver a modern, defensible operator framework for Carlsbad. 3.2 PROJECT OBJECTIVES The WRG–MSW team’s objectives for the Palomar Transfer Station Operator Selection and Compliance Project are to deliver a seamless, data-driven process that moves the City of Carlsbad from comprehensive assessment to successful contract execution and transition. The following key objectives guide our approach: 1. Establish a Complete Baseline: Conduct a comprehensive assessment of the Palomar Transfer Station’s operational, regulatory, financial, and sustainability performance to identify gaps, risks, and modernization opportunities. 2. Ensure Full Regulatory Compliance: Review and align City operations with all applicable mandates— including SB 1383, AB 341, AB 939, and local ordinances—developing a 10-year Compliance Roadmap that anticipates future regulatory shifts. 3. Modernize and Optimize Operations: Evaluate facility throughput, logistics, safety, staffing, and customer experience to recommend operational improvements, infrastructure investments, and technology upgrades that enhance efficiency and resiliency. 4. Advance Sustainability and Circular Economy Goals: Integrate Sustainable Materials Management (SMM) principles by expanding diversion, organics, reuse, and HHW programs; quantify greenhouse-gas and resource-recovery benefits consistent with the City’s Climate Action Plan. 5. Deliver the Palomar Renew Plan: Prepare a single, actionable roadmap synthesizing compliance, operational, financial, and sustainability strategies to guide the City’s next decade of transfer-station management. 6. Develop and Administer a Transparent Operator RFP: Design a competitive procurement process— including RFP documents, evaluation criteria, and scoring matrix—that ensures selection of a qualified, innovative operator committed to performance and accountability. 7. Negotiate and Finalize a Performance-Based Operator Agreement: Support the City in developing and executing a fair, enforceable contract that establishes clear performance metrics, pricing structures, and sustainability targets aligned with City objectives. 8. Facilitate Transition and Implementation: Provide staff training, monitoring tools, and digital dashboards to ensure a smooth handoff to the new operator, effective performance tracking, and sustained compliance post-award. 3.3 PROJECT MANAGEMENT AND COORDINATION Project management will emphasize accountability, communication, and data integrity throughout the project lifecycle. Key management components include: • Kick-Off & Mobilization: Immediately following contract execution (January 2026), WRG will host a project kick-off meeting to confirm scope, milestones, deliverables, and communication protocols. • Task Control: A shared milestone tracker and cloud-based document system will maintain transparency and version control. • City Coordination: Bi-weekly coordination calls and monthly progress summaries will keep City staff fully informed. • Single Point of Contact: Bob Wallace, MBA (WRG President), will serve as Project Manager and City liaison throughout all project phases. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 34 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 12 This framework ensures efficient workflow, proactive issue resolution, and complete alignment with the City’s schedule and deliverables. 3.4 PHASE 1 – COMPLIANCE, OPERATIONAL & FINANCIAL ASSESSMENT The objective of Phase 1 is to establish a complete technical, regulatory, operational, and financial baseline for the Palomar Transfer Station, culminating in the Palomar Renew Plan – A Forward Plan for Sustainable Materials Management and Compliance. Task 1 – Regulatory Compliance Review The WRG-MSW Project Team shall assess compliance with all current relevant local, state, and federal regulations; identify upcoming regulatory changes; and recommend proactive measures to ensure ongoing compliance. WRG Approach The WRG-MSW Project Team will conduct a detailed review of applicable statutes and mandates, including SB 1383, AB 341, AB 939, OSHA, FMCSA, and MUTCD standards. We will evaluate existing permits, documentation, and record-keeping practices to identify any compliance gaps or policy deficiencies. Building upon these findings, WRG will develop a 10-Year Compliance Roadmap outlining corrective and forward-looking measures. To enhance data transparency and defensibility, WRG will integrate MSW Consultants’ Minerva™ compliance- tracking platform, enabling real-time visualization of generator participation, violation tracking, and automated CalRecycle-compatible reporting. Leveraging this technology within the Palomar Renew Plan will provide Carlsbad with a measurable, data-driven compliance framework aligned with both state mandates and local sustainability objectives. Task 2 – Operational Efficiency & Facility Evaluation Evaluate existing transfer station operations, including throughput, workflow, and logistics; identify opportunities for operational improvements and efficiencies; assess capital investment needs to improve and modernize the facility; evaluate customer service experience for haulers, residents, and businesses (site access, wait times, traffic flow, communications); review safety standards and protocols to ensure alignment with industry best practices and regulatory requirements; and recommend strategies for operational resiliency, including emergency response, redundancy, and climate preparedness. WRG Approach The WRG-MSW Project Team will perform detailed on-site observations of daily operations, customer interactions, and equipment utilization to assess workflow efficiency and safety. We will benchmark site practices against ANSI Z245, ANSI Signage Standards (ANSI Z535 Series), SWANA Technical Policy Guidelines, The California Code of Regulations Title 14, Division 7, Chapter 3, EPA regulations and guidelines, OSHA, and benchmarking with leading municipal transfer stations. Operational, staffing, and equipment data will be analyzed to identify infrastructure constraints, modernization needs, and throughput bottlenecks. Customer service quality will be evaluated through direct observation and stakeholder input to improve user experience and safety. Recommendations will address short-term improvements and long-term capital investments to enhance operational efficiency, resiliency, and climate readiness. Integration of Regulatory Review and Operational Evaluation For Tasks 1 and 2 in Phase 1, the WRG–MSW Project Team will conduct a comprehensive, field-verified compliance and operational assessment of the Palomar Transfer Station, utilizing the California Transfer Station Regulatory Matrix developed by our team in Table 3.1 below. This matrix consolidates all relevant state and federal requirements, including Public Resources Code §40200, Title 14 CCR Division 7 (Transfer/Processing Operations), Title 27 CCR, DTSC Universal and Hazardous Waste Rules, SB 1383, and AB 341. They will then be translated into the operational and contractual requirements explicitly tailored for the City of Carlsbad Palomar Transfer Station Operator Procurement to ensure compliance by the selected operator. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 35 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 13 During this phase, WRG and MSW will review, reference, and apply each applicable regulation and standard through a combination of desktop analyses, permit and document review, and on-site inspections of Palomar’s current operations. The team will examine all key compliance areas, including: • Facility permitting and classification under CalRecycle definitions. • Adherence to minimum operational and safety standards under 14 CCR Article 6. • Implementation of load-checking and hazardous-waste screening protocols consistent with DTSC guidance. • Stormwater and runoff management under the State Water Board’s Industrial General Permit and the Porter-Cologne Water Quality Control Act. • Integration of SB 1383 organics diversion, AB 341 commercial recycling, and AB 939 source-reduction obligations. • Worker and public safety compliance under OSHA, FMCSA, and MUTCD standards. By pairing this regulatory analysis with direct field observations, WRG will not only document current compliance conditions but also identify gaps, risks, and modernization needs affecting operational efficiency and regulatory standing. Findings from this integrated review will form the foundation for: • The Regulatory Compliance Gap Analysis, • A 10-Year Compliance and Modernization Roadmap, and • Specific contractual recommendations ensuring that the forthcoming Operator RFP and Agreement explicitly reference and enforce all applicable California regulatory standards. This method ensures that the Palomar Renew Plan and subsequent operator procurement are grounded in a defensible, regulation-based framework - positioning the City of Carlsbad for long-term operational excellence, risk mitigation, and sustained compliance leadership within the State of California’s evolving solid-waste and sustainability landscape. Table 3.1: California Regulatory Matrix — Transfer Station Operations (Carlsbad PTS) Topic Authority / Citation What it Requires (Plain English) Relevance to Transfer Stations RFP / Contract Implications Facility definition & permitting category Public Resources Code (PRC) §40200 Defines a “transfer or processing station” (receives solid waste, temporarily stores, separates/processes, or transfers to larger vehicles). Confirms that Palomar is a regulated transfer/processing facility (vs., e.g., a recycling center only). Scope in RFP and Operator Agreement should match what’s allowed/permitted (activities, materials handled, throughput). State minimum standards— transfer/processin g 14 CCR, Div. 7, Ch. 3, Art. 6.0 (e.g., §§17400–17405.0) Establishes minimum standards (operations, storage, load-checking, vector/litter control, fire safety, traffic/queuing, records). §17405.0 clarifies applicability across transfer/processing variants. Core day-to-day operating rules for the site; used by LEA/CalRecycle for compliance inspections. Include enforceable O&M standards, inspection/readiness, load-check program, traffic and safety provisions, documentation, and cure/escalation steps in the Operator Agreement. CalRecycle permitting guidance CalRecycle guidance: Permitting State’s official overview of permit types, thresholds, and resources for Useful for aligning facility classification and any amendments/notification s. Require operator to maintain permits, assist with amendments, and PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 36 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 14 Transfer/Processin g Ops/Facilities transfer/processing facilities; points to current regs and 2022 updates. notify City of regulatory changes. Large vs. limited volume thresholds CalRecycle emergency regs text (definition excerpt) Example definition: “Large Volume Transfer/Processing Facility” ≥100 tons/day (used within CalRecycle rule text). Thresholds influence the permit tier and the emphasis on standards. Throughput matters for permit tiering and compliance emphasis. Specify reporting of daily tons, trigger notices for throughput changes, and permit- tier compliance warranty. Mandatory Commercial Recycling AB 341; PRC §42649 et seq.; CalRecycle MCR Requires commercial recycling programs; jurisdictions must implement and enforce programs covering businesses/MF dwellings. Transfer stations support diversion pathways and reporting. Affects inbound load diversion, education, and reporting support. Include data/reporting duties supporting City MCR compliance (e.g., tonnage by stream, contamination). Organics (SLCP) — SB 1383 14 CCR Ch. 12, Art. 3 et seq. (e.g., §18984+); CalRecycle SLCP guidance Requires jurisdictions to provide organics collection; imposes recovery targets, contamination monitoring, recordkeeping, and enforcement. Facilities must support separation, recovery, and reporting. The transfer station must accommodate organics separation/flow, verification, and data capture. Bake SB 1383 deliverables into metrics: contamination checks, organics capture KPIs, reporting cadence, audit rights, and corrective actions. Hazardous waste at transfer facilities DTSC Fact Sheet & Title 22 If a site bulks/packages/handle s hazardous waste beyond simple “transfer of packaged waste,” DTSC permitting can be triggered. Clear limits and procedures are required. Load checks will occasionally encounter Haz waste / mishandling risks enforcement. Contractual load-check protocol, training, manifesting/segregatio n rules, vendor call- outs, and incident reporting; prohibit non- permitted Haz-waste activities. Universal waste handling DTSC Universal Waste guidance Establishes requirements for universal wastes (e.g., lamps, batteries) accepted at solid- waste sites under specified conditions. Common in HHW/special material streams and C&D loads. Clarify acceptable UW types, set handling/segregation areas, and require documentation/training . Industrial stormwater (IGP) State Water Board — Industrial General Permit (IGP) Industrial stormwater discharges must be covered by IGP where applicable; facilities follow BMPs, monitoring, reporting; Paved operations, outdoor handling, and traffic can trigger IGP coverage and SWPPP obligations. Require operator to maintain IGP coverage/SWPPP, perform sampling/annual reporting, and PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 37 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 15 SIC-based triggers and Attachment A categories apply. implement BMPs; City audit rights for stormwater compliance. Siting/structural standards (select) 14 CCR §17406.1 (activities on/near disposal sites) + Title 27 cross-refs Controls for operations on closed/adjacent disposal sites; ensure stability, control of gas/leachate pathways; Title 27 may apply by reference. Relevant if PTS is co- located or near closed units/landfill infrastructure. Require operator coordination with City/LEA on siting constraints; inspection and maintenance duties. Inspection guidance (CalRecycle) CalRecycle Inspection Guidance for TS/MRF Practical interpretation of Article 6 standards used by LEAs; details typical compliance checkpoints. Predicts what inspectors will verify; good checklist source. Task 3 – Financial Optimization & Revenue Model Development Benchmark operations and financial performance against leading transfer stations in California and the U.S.; recommend financial optimization strategies; and assess the impacts of alternative pricing models on customer behavior, diversion rates, and overall facility viability. WRG Approach The WRG-MSW Project Team will analyze the facility’s cost recovery structure, revenue streams, and expenditure trends. Peer benchmarking will evaluate key performance indicators, including cost-per-ton, revenue-per-ton, diversion-related incentives, and capital reinvestment ratios. Alternative rate models—such as tiered or performance-based pricing—will be modeled to determine fiscal sustainability and alignment with policy objectives. A transparent, defensible financial model integrating revenue, expense, and performance-based compensation will be developed to support City decision-making. Task 4 – Sustainability and Circular Economy Assessment Evaluate opportunities to integrate Sustainable Materials Management (SMM) principles; recommend strategies for resource recovery, waste diversion, organics processing, composting, reuse, and recycling; explore partnerships or technologies that support circular economy practices; and identify feasible expansion of Household Hazardous Waste (HHW) or specialty-materials programs. WRG Approach The WRG-MSW Project Team will identify actionable opportunities to expand Carlsbad’s sustainable materials management portfolio. We will evaluate potential organics, composting, and specialty-material recovery options and quantify related GHG reductions, energy savings, and resource recovery metrics. Emerging circular-economy technologies and regional partnerships will be analyzed for integration feasibility. Recommendations will align with CalRecycle priorities, regional market conditions, and the City’s Climate Action Plan. Task 5 – Diversion, Reporting & Penalty Framework Propose measurable sustainability metrics, including diversion-rate targets, greenhouse-gas reduction goals, and energy/resource conservation benchmarks; recommend monitoring protocols with metrics, reporting frequency, and potential incentives or penalties to ensure accountability; and develop recommendations for digital reporting tools and dashboards that (a) are compatible with existing City systems, (b) provide real-time or near-real-time performance tracking, (c) enhance transparency and data accessibility, and (d) support compliance, sustainability, and financial reporting requirements. WRG Approach The WRG-MSW Project Team will create a digital performance dashboard compatible with the City’s existing PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 38 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 16 systems to monitor diversion, compliance, and energy-efficiency progress in real time. Our team will develop an incentive-and-penalty framework that ties operator performance to measurable environmental and financial outcomes. This approach ensures accountability, transparency, and continuous improvement toward the City’s sustainability and compliance goals. Task 6 – Deliverable: Palomar Renew Plan From the information obtained in Tasks 1 through 5, the consultant shall prepare and deliver Palomar Renew: A Forward Plan for Sustainable Materials Management and Compliance, including: • A Compliance Roadmap for the next decade • Operational Improvement Recommendations • Capital Investment Plan • Financial Optimization Strategies • Sustainability and Circular Economy Initiatives with measurable outcomes • Recommendations for HHW and other specialty material program expansion WRG Approach The Palomar Renew Plan will integrate all analytical findings into a unified, actionable roadmap. Each section will include prioritized recommendations, responsible parties, cost estimates, and implementation timelines. This plan will position Carlsbad to meet or exceed all regulatory mandates, achieve operational excellence, and advance its long-term sustainability and resiliency objectives. 3.5 PHASE 2 – RFP DEVELOPMENT, PROPOSAL EVALUATION & AGREEMENT EXECUTION The objective of Phase 2 is to translate the findings and recommendations from Phase 1 – Palomar Renew: A Forward Plan for Sustainable Materials Management and Compliance into a competitively bid, performance-based Operator Agreement that ensures regulatory compliance, operational excellence, sustainability leadership, and fiscal accountability for the City of Carlsbad. Task 1 – RFP Development The WRG-MSW Project Team shall develop a detailed Request for Proposals (RFP) for the operation of the Palomar Transfer Station, based on findings and recommendations from Phase 1 – Palomar Renew. The WRG-MSW Project Team will coordinate with City staff to finalize scope, performance measures, and evaluation criteria, and prepare a clear schedule and milestones for the procurement process. WRG Approach The WRG-MSW Project Team will prepare a comprehensive Operator RFP that integrates all Phase 1 findings and embeds the Palomar Renew Plan’s compliance, operational, and sustainability framework into a single cohesive procurement document. The team will define clear, enforceable performance metrics, diversion targets, and compliance provisions to ensure long-term operator accountability. The RFP will include transparent evaluation criteria and scoring methodologies, ensuring fairness and competitiveness while aligning with City procurement policies. Throughout development, the WRG-MSW Project Team will collaborate closely with City staff to confirm that the RFP reflects City priorities, anticipated operational outcomes, and milestone timelines for release, review, and award. Task 2 – Proposal Management & Evaluation The WRG-MSW Project Team shall support the City in issuing and managing the RFP process, including outreach to bidders and communications with them. WRG Approach The WRG-MSW Project Team will manage the entire proposal evaluation lifecycle, ensuring a transparent, PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 39 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 17 defensible, and objective selection process. Our team will develop and apply a quantitative evaluation matrix incorporating technical capability, operational performance, financial soundness, innovation, and community benefit. Bidder communications, pre-proposal meetings, and clarifications will be managed in coordination with City procurement staff. WRG will document all evaluations and prepare comprehensive summary reports and recommendations for City management and the City Council, supporting well-informed and auditable decision- making. Task 3 – Negotiation Support, Agreement Execution & Presentations The WRG-MSW Project Team shall assist the City in drafting a new Operator Agreement that reflects Palomar Renew's principles and City objectives, and in supporting negotiations with the selected operator. WRG Approach The WRG-MSW Project Team will provide complete negotiation and contract development support, helping the City secure an agreement that ensures performance accountability, financial transparency, and sustainability integration. Our team will review operator submittals, draft and redline key contract provisions, and guide negotiations to protect the City’s fiscal and operational interests. The WRG-MSW Project Team will also prepare and deliver professional presentations to City Management and City Council summarizing findings, compliance assurances, and projected long-term benefits under the new Operator Agreement. Task 4 – Transition and Implementation to New PTS Contract The WRG-MSW Project Team shall provide resources and guidance to support the smooth implementation of the new transfer station operator agreement. WRG Approach The WRG-MSW Project Team will ensure a seamless transition and onboarding process for the new operator. We will develop a comprehensive Contract Monitoring Protocol defining KPIs, reporting requirements, escalation procedures, and audit protocols. WRG will prepare a Transition Support Package, including customized staff training materials, reporting templates, and digital dashboards for ongoing performance oversight. Our team will remain engaged during the initial implementation phase to provide advisory support, resolve issues promptly, and ensure uninterrupted service continuity and early compliance success. Task 5 – Deliverables – Phase 2 The WRG-MSW Project Team shall prepare and deliver: • Draft and Final RFP Document for the Palomar Transfer Station • Proposal Evaluation Framework and Scoring Matrix • Evaluation Report with recommendations for operator selection • Draft and Final Operator Agreement aligned with Palomar Renew principles • Negotiation support materials and documentation • Contract Monitoring Protocol and Staff Support Materials • Transition Support Package • Presentation to City Management and City Council (as requested) WRG Deliverables At the conclusion of Phase 2, the WRG-MSW Project Team will deliver a complete, professional, and defensible procurement and implementation package, including all documentation, templates, protocols, and presentation materials required for successful operator selection, contract execution, and performance oversight. 3.6 QUALITY CONTROL & RISK MANAGEMENT The WRG–MSW Project Team maintains a disciplined Quality Assurance and Quality Control (QA/QC) framework to ensure that every analysis, model, and deliverable is accurate, transparent, and defensible. Our multi-layered PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 40 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 18 review process safeguards data integrity, minimizes risk, and promotes accountability—ensuring that all project milestones are achieved with precision and confidence. Three-Tier QA/QC Process 1. Task-Level Review – Each deliverable is reviewed by a senior WRG or MSW subject-matter expert for technical accuracy and completeness. 2. Cross-Firm Peer Review – Reports and models undergo inter-firm review to confirm data validity, consistency, and defensibility. 3. Client Review and Feedback – Drafts are shared with City staff for feedback and refinement before finalization. 3.7 SCHEDULE AND COORDINATION A detailed schedule will be finalized at project initiation, targeting: • Phase 1–2 Completion: Q2 2026 • Phase 3 RFP Release: Q3 2026 • Operator Selection & Council Approval: Q1 2027 • Transition & Implementation: Q2 2027 Weekly virtual coordination calls and milestone workshops will ensure adherence to the timeline and budget. 4 SCHEDULE & PROJECT TEAM AVAILABILITY WIH Resource Group (WRG) and MSW Consultants (MSW) have developed a detailed, achievable project schedule that directly aligns with the City of Carlsbad’s published milestones for RFP No. 26-3942ENV. Our work plan mirrors the City’s phased approach—beginning with a comprehensive Phase 1 Compliance, Operational, and Financial Assessment (January–June 2026) and concluding with the completion of Phase 2 Operator Procurement, Negotiation, and Transition (June 2027). The schedule includes built-in flexibility to accommodate City review cycles, stakeholder engagement, and evolving regulatory guidance while maintaining overall project momentum. Both WRG and MSW will use an integrated milestone tracker to monitor progress, update deliverable status, and ensure adherence to the City’s target completion dates. Table 5.1: Proposed Project Schedule Phase / Milestone Description of Key Tasks Target Completion Date Phase 1 – Contract Initiation & Project Mobilization Contract execution, kick-off meeting, finalize work plan, data matrix, and communication protocols. January 2026 Phase 1 – Regulatory Compliance Review Review City operations against SB 1383, AB 341, AB 939; identify compliance gaps and create a 10-year roadmap. February 2026 Phase 1 – Operational Efficiency & Facility Evaluation Conduct a site visit, evaluate facility throughput, workflow, safety, and customer experience, and assess modernization needs. March 2026 Phase 1 – Financial Optimization & Revenue Model Development Benchmark against peer transfer stations; develop pricing and cost-recovery models. April 2026 Phase 1 – Sustainability & Circular Economy Assessment Identify SMM opportunities, organics and HHW expansions, and measurable sustainability metrics. May 2026 Phase 1 Deliverable – Palomar Renew Plan Compile all findings into the final Palomar Renew: A Forward Plan for Sustainable Materials Management and Compliance. June 30 2026 Phase 2 – Operator RFP Development Draft detailed Operator RFP, integrate compliance, performance, and sustainability criteria; finalize with City staff. August 2026 Phase 2 – Proposal Management & Evaluation Issue RFP, receive and score proposals, facilitate evaluation meetings, and document findings. October 2026 – Winter 2026 PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 41 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 19 Phase 2 – Negotiation Support & Council Presentation Lead contract negotiations, finalize Operator Agreement, and support City Council approval process. Spring 2027 Phase 2 – Transition & Implementation Support Develop Contract Monitoring Protocol, performance dashboards, and training for City staff; assist through operator handoff. June 1, 2027, and ongoing This schedule ensures all Phase 1 and Phase 2 deliverables, including the Palomar Renew Plan, Operator RFP, Evaluation Reports, and Transition Support Package, are completed in accordance with City expectations. 4.1 ABILITY TO PROVIDE REQUIRED SERVICES The WRG-MSW Project Team possesses the demonstrated capacity, technical expertise, and proven experience necessary to deliver all services outlined in the City’s RFP. Our team offers a comprehensive blend of regulatory, operational, financial, and procurement experience gained from decades of supporting municipalities across California and the western United States. Together, WRG and MSW have successfully guided jurisdictions through complex, multi-phase initiatives involving SB 1383 implementation, franchise and transfer-station modernization, performance-based contracting, and rate-structure development. The WRG–MSW Team is fully equipped to perform each task identified in the City’s scope of services, including: • Conducting comprehensive compliance reviews addressing SB 1383, AB 341, AB 939, OSHA, FMCSA, and MUTCD standards. • Performing operational and facility evaluations of throughput, safety, and customer service to identify modernization and resiliency opportunities. • Developing financial optimization and cost-of-service models that ensure transparency, sustainability, and equitable rate design. • Creating the Palomar Renew Plan—a forward-looking roadmap for sustainable materials management and compliance. • Leading the Phase 2 Operator RFP development, evaluation, negotiation, and transition, culminating in a defensible, performance-based operating agreement. 4.2 CURRENT WORKLOAD Both WIH Resource Group (WRG) and MSW Consultants (MSW) maintain balanced municipal and private-sector project portfolios, ensuring full capacity to dedicate senior-level attention and technical resources to the City of Carlsbad’s initiative. Both WRG and MSW maintain dedicated staff and cross-trained backups to guarantee timely delivery, even during overlapping project peaks. Together, the team’s active project portfolio demonstrates broad capacity, technical depth, and a consistent record of on-time, on-budget delivery for complex municipal solid- waste and transfer-station engagements. PSA26-4002ENV; Exhibit "A" (cont.) Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 42 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Proposal for Phased Consulting Services for the Palomar Transfer Station Operator Selection and Compliance – RFP26-3942ENV Page | 20 5 COST ESTIMATE WIH Resource Group proposes a cost-efficient, transparent, and defensible pricing framework designed to deliver all tasks identified in the City’s Exhibit A – Scope of Services. Our proposed cost estimate covers the complete life cycle of the engagement, from Phase 1: Compliance, Operational, and Financial Assessment through Phase 2: Operator RFP Development, Evaluation, Negotiation, and Transition Support, and includes all labor, overhead, and anticipated direct expenses. The WRG–MSW Project Team proposes a time-and-materials contract structure that provides the City of Carlsbad with flexibility, fiscal control, and scalability. Each phase and primary tasks can be refined or adjusted as the project progresses to align with City priorities, schedule refinements, or evolving operational needs. Table 5.1 presents our estimated effort and cost by phase, derived from detailed task analyses and experience with similar projects for other clients. Table 5.1 – Estimated Level of Effort and Cost by Phase Phase Description Estimated Hours Cost (@ $275/hr) Phase 1 – Compliance, Operational & Financial Assessment Regulatory review, facility evaluation, financial modeling, sustainability and diversion framework, and preparation of the Palomar Renew Plan deliverable. 844 $232,100 Phase 2 – RFP Development, Evaluation & Agreement Execution RFP preparation, proposal evaluation, negotiation support, transition assistance, and contract- monitoring protocol. 564 $155,000 Subtotal (Phases 1 + 2) 1,408 hrs $387,100 Contingency (15%) For unforeseen meetings, data requests, or City revisions. — $58,065 Optional On-Call Support (5%) For post-award technical or presentation assistance, if authorized. — $19,355 Grand Total (with 15% Contingency + 5% Optional On-Call) — $464,520 5.1 SUMMARY OF OUTCOMES BY PHASE •Phase 1: Deliver the Palomar Renew Plan – a comprehensive roadmap integrating compliance, operational efficiency, financial optimization, and sustainability strategies. •Phase 2: Develop and issue the Operator RFP, conduct proposal evaluation and negotiation, prepare a Council-ready agreement, and support transition implementation and monitoring protocol setup. 5.2 COST ASSUMPTIONS AND BUDGET CONTROL •The total proposed cost of services of $387,100 includes all direct and indirect costs, overhead, and reimbursables. •The contingency (15%) covers potential adjustments in scope or schedule. •The optional On-Call Support (5%) is included for post-award or public-presentation needs at the City’s discretion. •Any reallocation of hours or budget among tasks will be mutually agreed upon by the City of Carlsbad and the WRG–MSW Project Team prior to implementation. PSA26-4002ENV Exhibit "A" Docusign Envelope ID: EC955928-4577-48AE-95B9-595F04EF9E58 Feb. 24, 2026 Item #2 Page 43 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43 Exhibit 2 Feb. 24, 2026 Item #2 Page 44 of 44 Docusign Envelope ID: 6A9FC015-34B9-431C-9C54-B7C5D913FF43