TO: Mayor and City Commission
FROM: Douglas E. Smith, City Manager
DATE: August 19, 2015
Title
DISCUSSION AND POSSIBLE ACTION REGARDING REQUEST FOR PROPOSAL 2015-010 GARBAGE AND RECYCLING COLLECTION SERVICES.
BACKGROUND: The city’s current contract with Waste Management for garbage and recycling collection services was set to expire on September 30, 2015. The City Commission previously voted to extend the existing contract for sixty (60) days. A request for proposal (RFP) was issued on May 21, 2015 and two proposals were received in response to the RFP. The two responders were Waste Management and Waste Pro. A selection and evaluation committee (SEC) was formed to evaluate the proposals based on the criteria outlined in the RFP. The recommendations outlined below result in an increase in residential curbside level of service and an estimated annual total contract savings of over 10% compared to the existing contract.
RECOMMENDATION: The SEC recommends the City Commission:
§ Select Waste Management to provide the requested services
§ Select residential curbside automated garbage cart collection
§ Select residential curbside weekly yard waste and monthly bulk collection
§ Not include owner-occupied multifamily in the franchise agreement
§ Continue participating in a recycling rewards program
FISCAL IMPACT: Contract Year 1 Revenue: $1,455,000
Contract Year 2 Estimated Revenue: $1,455,200
Contract Year 3 Estimated Revenue: $1,480,900
Contract Year 4 Estimated Revenue: $1,507,000
Contract Year 5 Estimated Revenue: $1,533,600
Contract Year 6 Estimated Revenue: $1,560,600
Revenues after the first year are estimated based on a 1.8% CPI adjustment to applicable revenue components (e.g. franchise fee), not all revenue components are subject to CPI adjustment.
Costs to residents are dependent on service options selected.
CONTACT PERSON: Mr. Reddy Chitepu, P.E., Director of DEES