City Council Agenda Report
Meeting Date: May 7, 2024
From: Daniel S. Wall, P.E., Director of Public Works
Department: Public Works
Submitted by: Efren Peregrina Renteria, Procurement Specialist Subject
Contract with Haul-Away Rubbish Service Co., for Mixed Waste Collection, Recycling and Disposal Services - Contract No. 20240297
Recommendation
A. Accept the bid proposal from Haul-Away Rubbish Service Co. as the lowest responsive and responsible bidder for the Mixed Waste Collection, Recycling and Disposal Services and reject all other bids;
B. Approve and Authorize the City Administrator to execute Contract No. 20240297 in the amount of $360,000 for Mixed Waste Collection, Recycling and Disposal Services for the City, for a period not to exceed three (3) years; and
C. Authorize a contingency amount of ten percent (10%) or $36,000 for changes in frequency or volume of services being rendered, and grant authority to the City Administrator to issue change orders of an amount up to the contingency amount if necessary.
Background
On March 27, 2024, the City Administrator authorized the advertisement of the Notice Inviting Bids (NIB) for mixed waste collection, recycling and disposal services in accordance with Vernon Municipal Code Section 3.32.070 (A) for competitive bidding. The NIB was limited to refuse haulers that hold a valid City of Vernon Franchise Hauler Permit. This opportunity was sent directly to Franchise Hauler Permit holders, posted on the Planet Bids online platform, and published in the local newspaper.
The bids for Contract No. 20240297 – Mixed Waste Collection, Recycling and Disposal Services, were received and opened on April 9, 2024. The calculated results were as follows:
1. Haul-Away Rubbish Service Co. $1,482.00
2. American Reclamation Inc. $2,703.60
3. Key Disposal & Recycling Inc. $16,278.95
Public Works staff reviewed the bids and deemed that the bid received by Haul-Away Rubbish Service Co.(“Haul-Away”) is the lowest responsive and responsible bid. Based on a thorough bid evaluation, staff recommends award of the proposed contract to Haul-Away.
Bids were used for comparison purposes as actual costs will depend on the volume of waste collected and frequency of waste recycling and disposal services. Volume and frequency are additionally impacted by homeless encampment clean-ups, bulky item pickups, and illegal dumping. Staff anticipates monthly fees may be approximately $10,000 and has also requested a contingency of ten (10%) percent should additional funds be necessary to pay for services rendered on an as-needed basis or beyond the anticipated amount.
The proposed contract has been reviewed and approved as to form by the City Attorney’s Office.
Fiscal Impact
The fiscal impact is estimated at $360,000 over the three-year term of the contract. Sufficient funds are available in the Professional Services-Other Account for the General Fund, Public Works Department, City Housing Division, Facilities Maintenance Division, and Street Maintenance Division for the current fiscal year and will be budgeted in subsequent fiscal years.
Attachments
1. Haul-Away Rubbish Service Co. Contract