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Stadium Manager’s Recommendation Memo

City Council and Authorities Concurrent
March 10, 2026

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Stadium Manager’s Recommendation Memo
Meeting
March 10, 2026
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City Council and Authorities Concurrent
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Text extracted from the city's file for reading and search. Open the original on santaclara.legistar1.com. That file is the official record.

Date: Januar y 14, 2026

To: Jovan Grogan
Executive Director
Santa Clara Stadium Authorit
y

From: Procurement Department
Fort
y Niners Stadium Management Company LLC

Subject: Recommendation for Approva l and Award of a Single-Source Purchase Order to Arata Equipment Company for the Purchase and Installation of Four Sani-Tech Trash Compactors

Recommendation:

1. Recommend approval and award of a single-source Purchase Order to Arata Equipment Company for the purchase and installation of four new Sani-Tech trash compactors at Levi’s Stadium in the amount of $629,869.50 (inclusive of all applicable sales tax).

2. Authorize the Stadium Manager to execute change orders up to 10% or $62,986.95, for a total not to exceed amount of $692,856.45, in amounts determined by the Stadium Manager to be necessary and appropriate to address unexpected essential electrical modifications (such as any damaged above- ground electrical hookups) required to ensure the proper installation and operation of the compactor units.

Background:

Levi’s Stadium operates four all-electric auger compactor systems manufactured by Sani-Tech Systems, Inc. (Sani-Tech), which were purchased from and installed by Arata Equipment as part of the original stadium construction in 2014, to address tight space constraints and meet the City of Santa Clara’s waste collection requirements. The compactors are specifically designed for flat-floor installation and to match Mission Trails’ collection equipment. The systems feature specialized electrical hookups, automated tipping mechanisms, custom floor guide rails, and advanced safety and control features, allowing for efficient, high-volume operation with less maintenance and fewer waste pickups.

All four compactors are nearing the end of their useful life and require replacement.

Arata submitted a quotation to replace the units with new Sani-Tech systems.

Single Source Justification:

The Stadium Manager requests a single-source procurement through Arata to purchase and install four new Sani-Tech compactor systems.

This recommendation is consistent with the City’s purchasing code Section

2.105.280(b)(2)–(3), which permits a single or sole source procurement when:

(2) The purchase is required to ensure operation or function to match other products with respect to the repair, expansion, or completion of a system, structure, or program currently in use by the City; and

(3) The purchase of an item is only available from one source (sole source).

The compactor systems and layout at Levi’s® Stadium were custom-designed during original construction for Sani-Tech equipment. The proposed replacement units are fully compatible with the existing footprint, floor guide rails, electrical infrastructure, and Mission Trails’ truck specifications, allowing installation with no facility modifications.

Selecting a different manufacturer could require engineering redesign and facility changes, including structural, electrical, and logistical adjustments. Potential impacts include:
• Physical Footprint: The space is sized for four Sani-Tech units; alternate dimensions could reduce capacity or require expansion.
• Electrical Infrastructure: Existing high-voltage connections support Sani- Tech’s all-electric drive and would likely need rewiring or relocation. • Logistical Alignment: Floor guide rails are matched to Sani-Tech bin wheels to ensure proper alignment with Mission Trails’ trucks; alternate bins would likely require new guides.

We recommend purchasing through Arata, the sole authorized dealer for Sani-Tech equipment in Northern California, making it the only authorized source for this equipment.

Pricing Justification:

These new compactors will replace the original compactors that were purchased from Arata in 2014 at a cost of approximately $330,000 (as part of the original stadium construction). The cost of new replacement compactors is more than the original cost primarily due to twelve years of cost escalation (4% annual increase translates to 2026 pricing of $528,341). In addition, 2026 pricing reflects the manufacturer’s new model, which has replaced all prior models produced since the 2014 purchase. The manufacturer has transitioned to the latest high-performance model with upgraded dumpers and delay kits. These features include larger gearboxes, larger lift arm assembly, and heavy reinforcement in critical areas.

While the total 2026 price reflects a growth rate above the standard CPI, this is considered reasonable given the performance upgrades to the newer units, global tariffs, and the dramatic rise in freight costs over the last 12 years.

Accordingly, the proposed turnkey pricing of $629,869.50 is determined to be fair and reasonable.

Notice of Intent to Award a Single-Source Purchase Order:

Stadium Manager published a Notice of Intent to Award a Single-Source Purchase Order to Arata Equipment Company for Sani-Tech Compactor Systems for Levi's Stadium on Bonfire Interactive, Stadium Manager’s eProcurement portal https://49ers.bonfirehub.com/portal/ on December 22, 2025.

Stadium Manager invited suppliers registered on the portal with specific commodity codes offering such services to submit. The Notice of Intent to Award a Single-Source Purchase Order to Arata Equipment Company for Sani-Tech Compactor Systems for Levi’s Stadium closed on January 6, 2026, at 11:59 p.m. (PT). No submissions were received.

Summary:

Arata Equipment Company has submitted a quote to supply, deliver, and install four new Sani-Tech compactors for a total of $605,643.75, including sales tax, along with a two-year parts and labor warranty for each unit. Approving this purchase will ensure the smooth operation of the stadium, system compatibility, and long-term cost efficiency.

Fiscal Impact:

The compactor replacement project was approved as part of the FY25/26 SCSA Capital Expenditure budget under two projects. The combined approved budget for this project is $766,500.00, broken down as follows:

1. FY25/26 SCSA Capital Expenditure budget referenced under General Building, Trash Compactor Replacement, as a FY24/25 carryover project for $346,500.

2. FY25/26 SCSA Capital Expenditure budget referenced under General Building, Trash Compactor Units for $420,000.

Submission of Post-Award Submittals:

Once Stadium Manager receives approval from the SCSA Board, the agreement will be executed by both parties, and a copy will be forwarded to the Board. Supporting documentation has been provided for review and approval.

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