Title
Purchase of Residential 35-, 65- and 95-Liquid-Gallon Containers - Requirements Contract, IFB 22-SW-037 (Ordinance S-48460)
Description
Request to authorize the City Manager, or his designee, to enter into a contract with Otto Environmental Systems, and IPL North America Inc., to provide residential 35-, 65- and 95-liquid-gallon solid waste containers for Citywide solid waste services of green organics, recyclables and refuse collections. Further request to authorize the City Controller to disburse all funds related to this item. The total value of the agreement will not exceed $20.25 million.
Report
Summary
The agreement will provide 35-, 65-, 95-liquid-gallon containers on an as needed basis for the City's fully-automated residential refuse, recycling and green organics collection programs. Order quantities are contingent upon replacement needs for existing containers as well as new containers for service area growth.
Procurement Information
Invitation for Bid 22-SW-37 was conducted in accordance with Administrative Regulation 3.10. Four offers were received by the City on Jan. 26, 2022. The offers were evaluated based on responsiveness to all specifications, terms and conditions, and lowest bid. The offers for solid waste containers are based on estimated annual quantities; however, the final contract value factors in higher quantities needed based on expected growth.
Otto Environmental Systems: $3,953,742.00
IPL North America Inc.: $4,032,635.33
Rehrig Pacific Company: $4,410,048.42
Sierra Container Group LLC: $4,482,000.00
Contract Term
The initial one-year contract term will begin on or about May 1, 2022, and end on April 30, 2023. Provisions of this contract include an option to extend the term for up to four additional years, in increments of up to one-year, which may be exercised by the City Manager or designee.
Financial Impact
The aggregate contract value will not exceed $20.25 million with an estimated annual expenditure of $4.05 million.
Funding is available in the Public Works Department's budget.
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Public Works Department.