TITLE
Recommendation to adopt Specifications No. RFP PW14-041 and award contracts to Consolidated Disposal Service, LLC, dba Republic Services, Inc., and EDCO Transport Services for receiving, processing, transfer and disposal services for a combined annual amount of $1,400,000, plus a 10 percent contingency of $140,000 for a total annual amount not to exceed $1,540,000, for a period of two years with the option to renew for two additional one-year periods, and authorize City Manager to execute all documents necessary to enter into the contracts, including any necessary amendments thereto; and
Amend purchase order No. BPPW14000013 with Consolidated Disposal Service, LLC, dba Republic Services, Inc., by $350,000 for a total amount not to exceed $445,000. (Citywide)
DISCUSSION
City Council approval is requested to enter into annual contracts with Consolidated Disposal Service, LLC, dba Republic Services, Inc., and EDCO Transport Services to provide receiving, processing, transferring and disposal of waste and may include refuse, recyclables, green waste, construction and demolition materials, and bulky items. This service is needed to handle disposed materials incompatible with the Southeast Resource Recovery Facility (SERRF) and to serve as a backup when SERRF is inoperable or unable to accept waste.
The original contract expired April 1, 2014. The Department of Financial Management, Purchasing Division, worked with the Department of Public Works, Environmental Services Bureau, to develop a new comprehensive scope of services. During this time, an interim purchase order was issued in the amount of $95,000 to continue services without any disruptions, while a Request for Proposals (RFP) was conducted. The evaluation process concluded in July 2014. To ensure continuity of service until the new contracts are in place, an additional amount of $350,000 is requested, increasing the total interim purchase order amount to $445,000.
A Request for Proposals (RFP) for disposal services was advertised in the Press-Telegram on May 30, 2014, and 928 potential proposers specializing in disposal services were notified. Of those proposers, 17 downloaded the RFP document via the Purchasing Division's electronic bid system. The RFP document was made available from the Purchasing Division, located on the seventh floor of City Hall and the Division's website at www.longbeach.gov/purchasing <http://www.longbeach.gov/purchasing>. An RFP announcement was also included in the Purchasing Division's weekly update of Open Bid Opportunities, which is sent to 30 local, minority and women's business groups. Three proposals were received by the due date of June 19, 2014. Of those proposers, none were Minority-owned Business Enterprises (MBEs), Women-owned Business Enterprises (WBEs), certified Small Business Enterprises (SBEs), nor a Long Beach-based business.
An Evaluation Committee, comprised of the Environmental Services Bureau staff reviewed the written proposals and evaluated each firm on the following criteria: demonstrated competence; experience in performance of comparable engagements; reasonableness of cost; expertise and availability of key personnel; financial stability; conformance with the terms of this RFP; and customer service.
Two vendors are being recommended for an award for services to ensure no disruptions to service operations and a back-up provider is always available. After thoroughly reviewing the proposals, the City has determined Consolidated Disposal Services, LLC, dba Republic Services, of Santa Fe Springs, CA (not an MBE, WBE, SBE or Local), and EDCO Transport Services of Signal Hill, CA (not an MBE, WBE, SBE or Local), are the most qualified and responsive proposals.
Local Business Outreach
In an effort to align with our outreach goal, Long Beach businesses are encouraged to submit proposals for City contracts. The Purchasing Division also assists businesses with registering on the Bids Online database to download the RFP document. Through outreach, 135 Long Beach vendors were notified to submit proposals, of which none downloaded the RFP; and none submitted a proposal.
This matter was reviewed by Deputy City Attorney Amy Webber on August 11, 2014 and by Budget Management Officer Victoria Bell on August 21, 2014.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. RFP PW14-041 and award the contracts concurrently is requested on September 16, 2014 to ensure that contracts are in place expeditiously.
FISCAL IMPACT
The combined total cost of the new contracts is $1,540,000 annually, including contingency. The Public Works, Environmental Services Bureau, is the primary department that will utilize the contracts and has sufficient budget in the Refuse/Recycling Fund (EF 330) and General Fund (GF). The secondary users consist of the Airport, Harbor, Parks, Recreation and Marine and Water departments, which are budgeted in various funding sources. To continue services until the new contracts are in place, an increase of $350,000 to the interim purchase order is requested for a revised total of $455,000. The award of these contracts will provide continued support to our local economy by assisting in the preservation of employment for 84 full-time employees residing in Long Beach.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
ARA MALOYAN
DIRECTOR OF PUBLIC WORKS
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER