CITY OF POMONA
COUNCIL REPORT
August 1, 2022
To: Honorable Mayor and Members of the City Council
From: James Makshanoff, City Manager
Submitted by: Rene Guerrero, Public Works Director
SUBJECT: AWARD OF CONTRACT TO OTTO ENVIRONMENTAL SYSTEMS, NORTH AMERICA, INC. FOR PURCHASE OF REFUSE CONTAINERS RECOMMENDATION:
It is recommended that the City Council take the following actions:
Award a contract to Otto Environmental Systems, North America, Inc. for as-needed purchase of refuse containers through a cooperative purchase agreement that was executed by the Houston-Galveston Area Council (H-GAC) through December 31, 2023; and Authorize the City Manager, or designee, to execute the contract, purchase orders, and any extensions thereto, on behalf of the City.
EXECUTIVE SUMMARY: Award of this contract to Otto Environmental Systems, North America, Inc. (Otto) will ensure that the City can continue to efficiently provide refuse containers to residents of the City utilizing a cooperative purchase agreement.
FISCAL IMPACT: The City spends approximately $215,000 annually in container replacements from fund 582-2510-52760-00000 and there is sufficient funding under this account to cover the fiscal impact associated with the award of this contract.
PREVIOUS RELATED ACTION: On February 25, 2013, the City awarded a bid to Otto for an initial one-year term with two one-year extension options. On February 22, 2016, the City Council approved an award of bid to Otto for the as-needed purchase of refuse containers for an initial three-year term, with two one-year extension options. On May 17, 2021, the City Council approved an award of bid to Otto for the as-needed purchase of refuse containers through January 19, 2022, through a “Piggyback” Cooperative Purchasing clause that utilized an RFP completed by the City of Sacramento on March 24, 2016. On February 7, 2022, the City awarded a contract to Otto for the as-needed purchase of refuse containers through a cooperative purchase agreement that was executed by DeKalb County through August 31, 2022.
DISCUSSION: In accordance with Section 2-997 of Ordinance No. 4276, the Procurement Officer recommends the procurement of refuse containers utilizing the Cooperative Purchasing Clause listed in the H-GAC Cooperative Agreement. The procurement process used by H-GAC was competitive and provided all the products utilized by the City’s Solid Waste Division. Otto has been the City’s vendor, reliably providing refuse receptacles to the City of Pomona since 2013.
Prepared by:
Maritza Sosa-Nieves
Senior Management Analyst
Award of Contract to Otto Environmental for Refuse Containers