HomeMy WebLinkAbout2002-10-24 - AGENDA REPORTS - SOLID WASTE AGMT (2)CITY OF SANTA CLARITA
INTEROFFICE MEMORANDUM
TO: o Fe d Members City Council
FROM: ennet cam n m City Manager
DATE: October 24, 2002
SUBJECT: SOLID WASTE FRANCHISE AGREEMENT PROCUREMENT STRATEGY
RECOMMENDED ACTION
City Council to receive report regarding solid franchise agreement procurement issues and
to provide staff and consultant with direction on key items and contract terms in order to
begin drafting the draft solid waste franchise agreements for Council approval to distribute
for hauler and public review and comment.
BACKGROUND
At the City Council Study Session on October 1, 2002, the Council reviewed the proposed
key procurement strategies with staff and with the City's technical consultant, Laith Ezzet
of Hilton Farnkopf & Hobson (HF&H). The Council provided direction on nine of the twelve
key procurement strategies presented and requested more information on the remaining
three. The results of the meeting were as follows:
Should the end dates of the new residential and commer
contracts be made consistent? How long should the new
contract terms be?
process
Should there be one, two, or three
residential service areas?
• I years residential
• 9 years commercial (to make end
dates consistent)
• Include 24 -month extension at
• Designate two points of contact
- One City staff
- One Consultant
• Contacting Council members
regarding proposals after it is
submitted may be grounds for
disqualification
• Council will be provided with
• May or may not be the same as the
Agenda Item:
#
Issue
Council Decision
4
Residential cart placement/collection method
• Fully -automated collection; cart
placed in street gutter, except in
areas where this is not feasible
• Contractor will be responsible for
the maintenance of the containers
• Information will be provided on
October 24 to address liability
issues in case the container is
hit by a vehicle
5
What size recycling and greenwaste containers should be
• Utilize 90 -gallon as standard
offered?
recycling and greenwaste cart size
to maximize diversion
• Offer 64 -gallon carts to space
constrained customers
6
Should commercial service be in exclusive geographical
One commercial hauler
residential service areas or non-exclusive?
• May or may not be the same as the
• If exclusive, how many service areas?
residential hauler
• If non-exclusive, how many haulers and what type of rate
structure? (e.g., Continue rate band? Maximum rates? No
rate regulation?)
7
Should temporary containers be part of commercial franchise?
Exclude temporary bins
• Exclude roll -off boxes
• Define what constitutes a
temporary container in the
franchise agreement
S
Should a Request for Proposals (RFP) or Request for Bids
RFP for both residential and
(RFB) be used?
commercial
• Language in RFP that will not
allow proposers to change their
proposals once they have been
submitted
9
What is the preferred residential rate structure:
Council requested more information
• Flat monthly rate for unlimited service
before making a decision
• Basic refuse rate with incremental charge for additional
refuse cart
• Volume based refuse rate based on capacity of carts
10
Franchise Fee/AB 939 Fee
• Implement 10% franchise fee
• Council requested that staff'
research alternatives to an AB
939 fee for funding outreach and
additional staff to administer
recycling programs before
maki a decision
11
How should the City's interest in a MRF be addressed?
Council requested more information
before making a decision
12
Should diaper recycling be included in scope of requested
• Request proposed cost for this
services?
service as an option in RFP
assuming citywide implementation
At this study session, staff and the consultant will present additional information for
Council consideration on the remaining three key procurement strategies (funding of a
recycling coordinator through franchise fees, a variable residential can rate, and MRF
procurement options). In addition, staff will present draft contract terms for Council
consideration.
The Council is encouraged to refer to the service categories and contract terms in the
revised Proposed Procurement Strategy attachment distributed at the October 1 Study
Session (pages A-1 through A-16) in preparation for this discussion).
Upon receipt of Council direction on all twelve key procurement strategies and contract
terms, HF&H will draft preliminary RFP and franchise agreements and the following draft
timeline is proposed (subject to change if the Council directs staff to conduct a MRF
procurement):
• Present Draft RFP to City Council at a regular City Council meeting (November 2002)
• Distribute Draft RFP packets to potential haulers and community for review and
comments (November/December 2002)
• Present revised Draft RFP packet to City Council for review and approval (January
2003)
• Distribute final RFP packet to potential haulers (January/February 2003)
• Proposals due/Evaluation of proposals (March 2003)
• Presentation of results of the evaluations presented to the Council/Council selection of
hauler(s) (May 2003)
• Finalization of agreements (June 2003)
• Council approves agreement (July 2003)
• Transition period commences (6 to 12 months prior to roll-out of services)
• Commercial Franchise expires (July 31, 2004)
• New Commercial Franchise services commence (August 1, 2004)
• Residential Franchise expires (April 15, 2006)
• New Residential Franchise services commence (April 16, 2006)
ALTERNATIVE ACTIONS
No alternative actions have been identified.
FISCAL IMPACT
None by this recommended action.
ATTACHMENTS
The following attachments accompany this report as background information for the
discussion and Council direction:
• Draft Proposed Procurement Strategy used during the Study Session on October 1,
2002. Please note that this attachment is the same as the revised one distributed at the
previous Study Session and no changes have been made to it.
• Residential Rate Options prepared by HF&H
• Materials Recovery Facility information and procurement analysis prepared by HF&H
• Comment/Response matrix from the five Community Solid Waste Workshops
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