TITLE
Recommendation to authorize City Manager to execute an amendment to Agreement No. 28344 with Waste Management, Inc. (WM), and amendments thereto, to provide recycling collection operations for a period of one year at an estimated cost of $3,280,000, while the City conducts a competitive bidding process. (Citywide)
DISCUSSION
WM is the current provider of recycling collection services to approximately 117,500 City-serviced refuse accounts. The City's contract with Waste Management expires January 1, 2013. The City is examining the best approach and most cost effective way to deliver recycling and refuse collection services. Part of this evaluation will involve competitively bidding the recycling services. In order to have sufficient time to prepare and complete bid materials, a one-year extension is necessary.
This matter was reviewed by Deputy City Attorney Amy R. Webber on November 20, 2012 and by Budget Management Officer Victoria Bell on November 9, 2012.
TIMING CONSIDERATIONS
City Council action on this matter is requested on December 4, 2012 in order to execute an agreement with WM before the end of the year to ensure that residential recycling collection is not interrupted.
FISCAL IMPACT
The estimated cost for the annual recycling contract for 2013 is $3,280,000 with offsetting revenues of $1,100,000. The expenditures and revenues are currently budgeted in the Refuse/Recycling Fund (EF330) in the Department of Public Works (PW). There is no fiscal impact to the General Fund. Approval of this recommendation will provide continued support to the local economy.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MICHAEL P. CONWAY
DIRECTOR, DEPARTMENT OF PUBLIC WORKS
APPROVED:
PATRICK H. WEST
CITY MANAGER