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CC - Approve an Agreement for On-Call Bin Repair Service (Welding and Fabrication Services) to Container Management Group (CMG) in an Amount Not-to- Exceed $30,000 for FY 2017-18, with Two One-Year Options to Renew for an Aggregate Amount Not-to-Exceed $90,000.
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Meeting Date: July 24, 2017
Contact Person/Dept: Mauricio Alvarenga, Senior Solid Waste Supervisor
Phone Number: (310) 253-6400
Fiscal Impact: Yes General Fund: No
Public Hearing: [] Action Item: [] Attachments: []
Commission Action Required: No Date:
Public Notification: (E-Mail) Meetings and Agendas - City Council (7/18/17);
Department Approval: Charles D. Herbertson, Public Works Director/City Engineer 7/14/17
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RECOMMENDATION
Staff recommends that the City Council approve an agreement for on-call bin repair service (welding and fabrication services) to Container Management Group (CMG), in an amount not to exceed $30,000 for FY 2017-18, with two one-year options to renew at the same price, terms, and conditions, for an aggregate amount not-to-exceed $90,000 over a three-year period, with future year funding contingent on City Council budget approval.
BACKGROUND/DISCUSSION
The City of Culver City operates an exclusive residential and commercial refuse collection and disposal service as a municipal enterprise.
The City collects refuse, construction debris (C&D), recyclables, green waste, food waste, and bulky items with a fleet of 3 roll-off vehicles, 16 Compressed Natural Gas (CNG) vehicles and approximately 40 city employees. Commercial and some multi-family accounts are provided 2, 3 & 4 yd. containers as well as roll-off containers up to 40 yds. for these services. The Refuse and Recycling operations currently consists of Five (5) Residential, six (6) Commercial and two (2) Industrial / Roll off Routes.
The City requires welding services to repair metal refuse and recycling bins and roll-off containers to extend the life of the containers. The City has utilized bin fabrication services to refurbish commercial bins and roll-offs for several years. In the past, the Environmental Programs and Operations (EPO) Division has opted to refurbish commercial bins as the pricing has been deemed more cost-effective than the purchase of a new containers. Currently employed services include all labor, supplies and materials needed to repair bins. Repairs include the pull handles, fork channels, leach bars, casters/wheels and straightening the side panels.
Staff issued a Request for Proposals RFP # 1633 for On-Call Bin Repair Services on May 25, 2017. Two proposals were received as follows:
Rubio’s Welding Service $ 285/container
Container Management Group $ 300/container
Although Rubio’s Welding Service costs per container are lower, staff recommends approving the purchase order for Container Management Group because staff’s past experience is that Rubio’s Welding Service has had a long lead time for repairs to bins and they appear to have trouble handling the volume of bin repairs that the City requires.
FISCAL ANALYSIS
The purchase order is for an amount not to exceed $30,000 for the first year. Funds are available FY 17-18 in account # 20260400. 619800. Future years funding is contingent upon Council approval.
ATTACHMENTS
None
MOTION
That the City Council:
1. Approve an agreement with Container Management Group (CMG), for refuse bin repair (welding and fabrication services) in an amount not-to-exceed $30,000, with two one-year options to renew at the same price, terms, and conditions, for an aggregate amount not-to-exceed $90,000; and,
2. Authorize the City Attorney to review/prepare the necessary documents; and,
3. Authorize the City Manager to execute such documents on behalf of the City.