Title
Solid Waste 35-, 65-, 95-Gallon Containers - Contract Recommendation (Ordinance S-44181)
Description
Request to authorize the City Manager, or his designee, to enter into an agreement with Otto Environmental Systems, LLC, and Rehrig Pacific Company Corporation to provide solid waste 35-, 65-, and 95-gallon containers, used for the citywide solid waste collection of green organics, recyclables, and refuse, in an amount not to exceed $12,710,115 over the life of the contract. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
This contract will provide 35-, 65-, and 95-gallon containers used to collect refuse, recycling, and green organics from solid waste residential customers. The quantities ordered are contingent upon growth of residential customers and the number of replaced damaged containers.
Procurement Information
Invitation for Bids 18-SW-020 was conducted in accordance with Administrative Regulation 3.10. Three offers were received by the City on Nov. 22, 2017. The offers were evaluated based on responsiveness to all specifications, terms and conditions, and lowest bid. The offers for Solid Waste 35-, 65-, and 95-Gallon Containers is based on current quantities; however, the final contract value factors in higher quantities needed based on expected growth.
Otto Environmental Systems, LLC: $2,120,820
Rehrig Pacific Company Corporation: $2,199,530
Schaefer Systems International, Inc.: $2,287,300
Contract Term
The initial one year contract term will begin on or about Feb. 1, 2018, and end on Jan. 31, 2019. Provisions of the contract include an option to extend the term 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 $12,710,115 with an estimated annual expenditure of $2,542,023. Funds are 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.