Public Works and Transportation Committee
June 23, 2026
AGENDA REPORT
TO: Betsy Lake FROM: Josh Rowan
Acting City Administrator Director, Oakland
Department of
Transportation
SUBJECT: Contract for Asphalt and
Concrete Disposal Service for In-
House Paving Operations
DATE: June 1, 2026
City Administrator Approval Date:
RECOMMENDATION
Staff Recommends That The City Council Adopt The Following Pieces of Legislations:
(1) Awarding A Purchase Contract For Asphalt And Concrete Disposal Service To Argent Materials, Inc., In Accord With The Request For Quotations (Rfq No. 403527), Specification No. 26-745-00 And Contractor’s Bid, In An Amount Not To Exceed Five Hundred And Sixty Thousand Dollars ($560,000) Per Year For Three (3) Years, With One (1) Additional Two-Year Option In An Amount Not To Exceed Five Hundred And Sixty Thousand Dollars ($560,000) Per Year, For A Total Not To Exceed $2,800,000.00 Over Five (5) Years.
(2) Waiving Any Further Advertising And Bidding And Awarding A Purchasing Contract For Asphalt And Concrete Disposal Service To Bee Green Recycling & Supply, Llc., In Accord With The Request For Quotations (Rfq No. 403527), Specification No. 26-745-00 And Contractor’s Bid, In An Amount Not To Exceed Five Hundred And Sixty Thousand Dollars ($560,000) Per Year For Three (3) Years, With One (1) Additional Two- Year Option In An Amount Not To Exceed Five Hundred And Sixty Thousand Dollars ($560,000) Per Year, For A Total Not To Exceed $2,800,000.00 Over Five (5) Years.
(3) Adopting Appropriate California Environmental Quality Findings.
EXECUTIVE SUMMARY
With the passage of Oakland’s Affordable Housing and Infrastructure Bond (Measure KK) in 2016, the Department of Transportation (OakDOT) has significantly expanded its in- house paving Betsy Lake (Jun 12, 2026 09:55:29 PDT)
Jun 12, 2026
Jestin D. Johnson, City Administrator
Subject: Contract for Disposal of Asphalt and Concrete Spoils Date: June 1, 2026 Page 2
Public Works and Transportation Committee
June 23, 2026
operations. Since 2017, new in-house paving staff positions have been created and filled, and the City has purchased new paving equipment to support ambitious in- house paving mileage goals.
The subject resolution would address one of the key elements of OakDOT’s in- house paving operations: materials disposal of weathered asphalt and broken concrete. Approval of the resolution is needed to approve two disposal service contracts with Argent Materials Inc., an Oakland firm, and Bee Green Recycling & Supply LLC, an Oakland firm. Argent Materials Inc. is certified as a Locally Produce Goods/Local Business Enterprise (LPG/LBE). Bee Green Recycling & Supply LLC is certified as a Small Local Business Enterprise (SLBE).
BACKGROUND / LEGISLATIVE HISTORY
In September 2021, City Council approved the Fiscal Year (FY) 2021- 23 Capital Improvement Plan (CIP). The CIP funded the paving program at $57.5M per year using Measure KK General Obligation Bond funds. Measure KK was approved by the voters of Oakland in N ovember 2016 to fund $600M of vital infrastructure maintenance improvements, including $350M for streets and sidewalks.
In December 2021, City Council approved the 5-Year Paving Plan (5YP) (Resolution No. 88975 C.M.S.
City of Oakland - File #: 21-0903), identifying 350+ miles of pavement rehabilitation and preventative maintenance citywide to be completed within five years, including an in -house mileage total goal of 64 miles.
Since the passage of Measure BB and Measure KK, the City has expanded its in-house capacity by budgeting for new equipment and two new street repair crews. OakDOT now maintains a fully staffed in-house paving crew that performs street paving year-round.
ANALYSIS AND POLICY ALTERNATIVES
The recommended actions of starting new purchase contracts with multiple suppliers advance the Citywide priorities of: Vibrant, Sustainable Infrastructure, as the purchase contracts directly support paving of streets and construction of sidewalk; and Responsive, Trustworthy Government.
On February 3, 2026, the City issued Specification No. 26-745-00/RFQ 403527, seeking qualified suppliers to provide for the disposal service of asphalt and concrete debris, retail supply of paving materials, including cold patch asphalt concrete (mainly for pothole repairs), drain rock and decomposed granite for parks maintenance uses. The RFQ was sent to nine (9) prospective vendors, posted on the City's web page, and advertised in the City's official newspaper in accordance with Oakland Municipal Code (OMC) 2.04.050.
On March 9, 2026, the RFQ period closed. The City received two (2) bid proposals from Argent Materials Inc. (Oakland) and Bee Green Recycling & Supply LLC (Oakland). Staff from the Department of Transportation evaluated the submittals and found that it represented reasonable market pricing.
A contract with Argent Materials Inc. in the amount of $2,000,000 was executed in July 2022 and expired in July 2025. The amount of in- house paving performed in the past year surpassed all Jestin D. Johnson, City Administrator
Subject: Contract for Disposal of Asphalt and Concrete Spoils Date: June 1, 2026 Page 3
Public Works and Transportation Committee
June 23, 2026
previous benchmarks, and as a result the amount of asphalt and concrete disposal cost far exceeded what it was in 2022.
As a certified local business enterprise, Argent Materials has been providing quality paving spoils disposal services with competitive pricing and producing business tax revenue for the City. Argent Materials’ optimized and accessible site also maximizes the City’s operational efficiency and reduces logistical costs. Argent Materials is recommended for a purchasing contract not to exceed five hundred and sixty thousand dollars ($560,000) per year for three (3) years, with one (1) additional two-year option in an amount not to exceed five hundred and sixty thousand dollars ($560,000) per year, for a total not to exceed $2,800,000.00 over five (5) years.
Bee Green Recycling & Supply, LLC is a certified small local business enterprise and recommended for a purchase contract not to exceed five hundred and sixty thousand dollars ($560,000) per year for three (3) years, with one (1) additional two- year option in an amount not to exceed five hundred and sixty thousand dollars ($560,000) per year, for a total not to exceed $2,800,000.00 over five (5) years.
The new agreements would establish redundancy and help eliminate operational interruptions that were caused by unforeseen service outages at Argent Materials in the past and enhance the overall operational resilience against third-party disruptions by adopting a multivendor strategy.
WAIVER OF ADVERTISING AND COMPETITIVE BIDDING AND OF LOCAL AND SMALL
LOCAL BUSINESS ENTERPRISE PARTICIPATION REQUIREMENTS
Oakland Municipal Code (OMC) section 2.04.050 requires advertising and competitive bidding for contracts for the purchase of services, supplies or combinations required by the City in any one transaction which exceeds $50,000, and the award to the lowest r esponsible, responsive bidder if award is made.
Additionally, the Local and Small Local Enterprise (LBE/SLBE) Program requires that there be 50% LBE/SLBE participation in City contracts for the purchase of services, supplies or combination thereof pursuant to Oakland’s Local and Small Local Business Ent erprise Program guidelines adopted by Ordinance No. 13647 C.M.S.
RELATED PLANNING EFFORTS
This agenda item is a routine item and does not relate to any Oakland strategic planning efforts.
FISCAL IMPACT
Funds are available for the purchase and disposal of in-house paving materials in the Adopted Fiscal Year (FY) 2025-27 Budget in Fund 2232 State Gas Tax Road Maintenance and Rehabilitation Account (RMRA), Project No. 1003469, as well as in Fund 5342 Measure U (2022 Affordable Housing and Infrastructure Bond), Project No. 1005420. Similar budget is anticipated to be available following FY 2027 given the on-going need for continued street resurfacing and will be subject to funding availability in future budget cycles.
Jestin D. Johnson, City Administrator
Subject: Contract for Disposal of Asphalt and Concrete Spoils Date: June 1, 2026 Page 4
Public Works and Transportation Committee
June 23, 2026
PUBLIC OUTREACH / INTEREST
Street repaving, sidewalk repair and curb ramp construction are top priorities for Oaklanders, and a significant public outreach process was performed toward the adoption of the 5-Year Plan.
The bid requests for the services were disseminated using both the City's web-based procurement system, iSupplier, as well as through a formal advertisement in the East Bay Times (formerly the Oakland Tribune).
COORDINATION
The Office of City Attorney and Budget Bureau have reviewed this report and resolution.
RACE AND EQUITY
Staff did not complete a Racial Equity Impact Analysis on the recommended action.
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA)
The actions in this report are not considered a project under CEQA; therefore, CEQA review is not applicable.
Betsy Lake, Acting City AdministratorSubject: Contract for Disposal of Asphalt and Concrete Spoils Date: June 1, 2026 Page 5 Public Works and Transportation Committee June 23, 2026 ACTION REQUESTED OF THE CITY COUNCIL Staff Recommends That The City Council Take The Following Actions: (1) Awarding A Purchase Contract For Asphalt And Concrete Disposal Service To Argent Materials, Inc., In Accord With The Request For Quotations (Rfq No. 403527), Specification No. 26-745-00 And Contractor’s Bid, In An Amount Not To Exceed Five Hundred And Sixty Thousand Dollars ($560,000) Per Year For Three (3) Years, With One (1) Additional Two-Year Option In An Amount Not To Exceed Five Hundred And Sixty Thousand Dollars ($560,000) Per Year, For A Total Not To Exceed $2,800,000.00 Over Five (5) Years. (2) Waiving Any Further Advertising And Bidding And Awarding A Purchasing Contract For Asphalt And Concrete Disposal Service To Bee Green Recycling & Supply, Llc., In Accord With The Request For Quotations (Rfq No. 403527), Specification No. 26-745-00 And Contractor’s Bid, In An Amount Not To Exceed Five Hundred And Sixty Thousand Dollars ($560,000) Per Year For Three (3) Years, With One (1) Additional Two-Year Option In An Amount Not To Exceed Five Hundred And Sixty Thousand Dollars ($560,000) Per Year, For A Total Not To Exceed $2,800,000.00 Over Five (5) Years. (3) Adopting Appropriate California Environmental Quality Findings. For questions regarding this report, please contact Tony Jones, Interim Operations Manager, at [email protected]. Respectfully submitted, Josh Rowan Director, OakDOT Reviewed by: Jamie Parks Assistant Director Sarah Fine Division Manager Tony Jones Division Manager Prepared by: Haici Liu Administrative Analyst II