Title
Dept/ Agency: Law
Action: (X) Ratifying (X) Authorizing ( ) Amending
Type of Service: Host Municipality Agreement
Purpose: To continue the operation of a solid waste disposal, electric power generating and resource recovery facility.
Entity Name: Reworld Essex Company
Entity Address: 183 Raymond Boulevard, Newark, New Jersey 07105-4798
Contract Amount: As defined in detail within the Modified Interim Host Municipality Agreement
Funding Source: No municipal funds required
Contract Period:
Contract Basis: ( ) Bid ( ) State Vendor ( ) Prof. Ser. (X) EUS
( ) Fair & Open ( ) No Reportable Contributions ( ) RFP ( ) RFQ
( ) Private Sale ( ) Grant ( ) Sub-recipient ( ) n/a
Additional Information:
This interim agreement reaffirms Newark’s priority waste acceptance rights, incorporates the Original Agreement by reference, and establishes the 2025 Host Municipality Consideration of Four Million Two Hundred Thousand Dollars and Zero cents ($4,200,000.00).
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WHEREAS, the City is a party to a Host Municipality Agreement dated May 15, 1985 (the “Original Agreement”) among the City, the Port Authority of New York and New Jersey, and the County of Essex, which has expired in accordance with its terms; and
WHEREAS, the Modified Interim Host Municipality Agreement (this “Agreement” or “Interim Agreement”) is made and entered into as of December 1, 2025 (the “Effective Date”) by and between Reworld Essex Company, a New Jersey general partnership with its principal place of business at 183 Raymond Boulevard, Newark, New Jersey 07105-4798 (the “Company”), and the City of Newark, New Jersey, a duly incorporated municipal corporation (the “City”); and
WHEREAS, the Company has designed, constructed, owns, and is operating a solid waste disposal, electric power generating and resource recovery facility located at 183 Raymond Boulevard, Newark, New Jersey 07105-4798 (the “Facility”); and
WHEREAS, the City and the Company desire to enter into this Agreement pursuant to Section 8.2(b) of the Original Agreement for a twelve (12) month interim term while the parties continue negotiation of a new long-term Host Municipality Agreement of not less than ten (10) years; and
WHEREAS, under this Interim Agreement, the Company shall pay to the City the Host Municipality Consideration of Four Million Two Hundred Thousand Dollars and no cents ($4,200,000) for the twelve (12) month period ending December 31, 2025, which shall be payable within ten (10) business days of the later of the Effective Date or the City’s delivery of wiring instructions; and
WHEREAS, the Interim Agreement further incorporates the Original Agreement by reference, except for those sections expressly modified, and reaffirms the Company’s obligation to prioritize the timely acceptance of waste delivered by or on behalf of the Essex County Utilities Authority and the City; and
WHEREAS, the parties also agree that any arrears owed to the City under prior host municipality agreements shall be addressed and incorporated into the forthcoming long-term agreement.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Mayor of the City of Newark and/or his designee, the Business Administrator, are hereby authorized to enter into the Modified Interim Host Municipality Agreement with Reworld Essex Company, for the term beginning retroactively on January 1, 2025 and expiring on December 31, 2025, and to accept the Host Municipality Consideration in the amount of Four Million Two Hundred Thousand Dollars and no cents ($4,200,000) as the entire financial consideration payable to the City for the twelve (12) month term.
2. The Modified Interim Host Municipality Agreement is hereby ratified from the Effective Date of December 1, 2025 through the date of adoption of this Resolution.
3. In the absence of a new long-term Host Municipality Agreement, Section 8.2 of the Original Agreement shall govern until such time as a new long-term agreement is negotiated, finalized, and authorized by the Municipal Council.
STATEMENT
This Resolution ratifies and authorizes the Mayor and/or his designee, the Business Administrator, to enter into the Modified Interim Host Municipality Agreement with Reworld Essex Company for the period of January 1, 2025 through December 31, 2025 and to accept the Host Municipality Consideration in the amount of Four Million Two Hundred Thousand Dollars and no cents ($4,200,000) as the entire financial consideration payable to the City for the twelve (12) month interim term. The Interim Agreement incorporates key provisions of the Original Agreement, reaffirms Newark’s priority waste acceptance rights, and ensures continued operations at the Facility while the parties negotiate a long-term Host Municipality Agreement of no less than ten (10) years.