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January 3, 1996 Norm Wictting Bob Schrille Waste Management of Washington, Inc. 4020 Lake Washington Blvd, N.E., Suite 3 I 0 Kirkland, W A 98033 Re: Contract Renewal Gentlemen: Please let this letter serve as written notice of the City of Moscow's exercise of its option to renew the contract regarding solid waste export services for Moscow, Idaho entered on September 30, 1995 (hereinafter the "CONTRACT"). Section 20.0 of the Contract states that the City shall have the right to renew the Contract for six additional periods, the first being a period of three years, under the same provisions and for the same service fee calculated in accordance with Article 8 of the Contract. As required by 20.2 the City hereby gives the contractor one hundred and twenty (120) days written notice of its intention to exercise its option to renew the Contract Pursuant to §20.3, the City will expect a new performance guarantee (acceptable to the City in its sole discretion) prior to July I, I 996. Thank you for your time and consideration in this matter. Sincerely, Gary J. Riedner City Supervisor GJR:dm 96-03