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CC - Approval of an Agreement with CR&R Incorporated for Solid Waste, Recyclables, Organics and Construction and Demolition Waste Transport Services and On-Call Roll-Off Collection Services for a Period of Five Years with Option for Two Additional Two-Year Extensions.
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Meeting Date: July 23, 2018
Contact Person/Dept: Kim Braun/Public Works
Phone Number: 310-253-6421
Fiscal Impact: Yes [x] No [] General Fund: Yes [] No [x]
Public Hearing: [] Action Item: [] Attachments: []
Commission Action Required: Yes [] No [x] Date:
Public Notification: (E-Mail) Meetings and Agendas - City Council (07/18/18);
Department Approval: Charles D. Herbertson, Public Works Director/City Engineer (07/11/18)
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RECOMMENDATION
Staff recommends the City Council approve an agreement with CR&R Incorporated for solid waste, recyclables, organics and construction and demolition transport services and on-call roll-off collection services for a period of five years, with option for two additional two-year extensions.
BACKGROUND/DISCUSSION
The City is a municipal exclusive franchise collecting all waste, commingled recyclables, organics and construction and demolition materials in-house for all commercial and residential customers within the city limits. The City owns and operates a Solid Waste and Recycling Transfer Station Facility located at 9255 Jefferson Boulevard operating six (6) days a week between the hours of 4:30 am to 4:00 pm M-F and 4:30 am - 1:00 pm Saturday. The facility is closed on Sundays, New Year’s Day and Christmas Day. It is located on a 1.4 acre triangular shaped lot which is bordered to the north by an approximately 120 foot wide flood control channel, the Ballona Creek; on the west by the Culver City Fire Department’s Training Yard; on the south by Jefferson Boulevard, a primary arterial which traverses the southern part of the City; and to the east by industrially zoned private property. Land uses in the vicinity are mainly industrial.
The facility operates with an average daily throughput of 500 tons per day with between 40 and 50 percent of this inflow comprised of municipal solid waste (MSW) and most of the remaining throughput made up of organic waste, inert materials, commingled recyclables and construction and demolition waste. All materials are top loaded from the upper level into transfer vehicles staged in the drive through lane of the lower level. All vehicles enter the facility at the upper level from the east side of the site from Jefferson Boulevard and exit the facility from the west side of the site onto Jefferson Boulevard. The transfer station has two pits and a single loading tunnel equipped with tandem scales. The pits are used approximately 10.5 hours per day.
At 500 tons per day throughput, approximately 70 incoming loads (seven tons per load) of materials will utilize the scale house on a daily basis. During Calendar Year 2017 an average of 64,500 tons of materials was transported from the transfer station to various processing sites.
In addition, the City is an Exclusive Municipal Franchise, collecting all solid waste, recyclable materials, organics, bulky items and construction and demolition debris (C&D) using City staff and equipment. Recent demand for the in-house collection of C&D requires assistance from CR&R Incorporated to offset the increase in C&D collection operations.
In March 2011, City Council approved an agreement with CR&R Incorporated for the transfer of municipal solid waste. The agreement was extended in March 2016 for two additional years, expiring in March 2018.
Description of Services
CR&R Inc., will provide solid waste, commingled recyclables, organics and construction and demolition waste transport services from the Culver City Transfer Station to various disposal sites and processing facilities as required by the City. In addition, CR&R Inc., will provide for on-call roll-off collection services. CR&R Inc., shall be solely responsible for all necessary personnel, vehicles and equipment required to provide the transport services and the on-call roll-off collection services. CR&R Inc., shall provide and maintain sufficient vehicles of adequate design and capacity to transport materials delivered to the transfer station to various disposal and processing facilities. Sufficient standby vehicles must be available to assure daily hauling to disposal and processing sites. All personnel shall be qualified for their positions and shall have the necessary licenses required by federal, state and local regulations. All materials will be delivered to various disposal and processing sites as directed by the City. CR&R is aware and acknowledges the fact that disposal and processing facilities may change during the term of this contract as well as there may be a fluctuation in the quantities of material types delivered to the transfer station.
An RFP was issued in May 2018 for the Transport Services and On-Call Roll-Off Services with two proposals received on June 21, 2018 from CR&R Incorporated and RSC Trucking Incorporated. The Cost Proposal is listed per Zone based on Distance (MILES). A per ton fee for each Zone is listed annually for five fiscal years. Two (2) extension periods of Two (2) years each is included and the per ton transport fee will be subject to an Annual CPI adjustment applied each July 1st.
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SOLID WASTE, COMMINGLED RECYCLABLES, ORGANICS AND CONSTRUCTION AND DEMOLITION WASTE TRANSPORT SERVICES |
|
ZONE |
A |
B |
C |
D |
|
Distance (miles) |
0-30 |
31-60 |
61-90 |
91+ |
|
Proposers |
*CR&R |
RSC |
CR&R |
RSC |
CR&R |
RSC |
CR&R |
RSC |
|
FY 18/19 $/Ton |
11.75 |
16.50 |
13.00 |
19.00 |
17.50 |
27.00 |
20.00 |
30.00 |
|
FY 19/20 $/Ton |
**12.10 |
17.50 |
13.39 |
20.00 |
18.03 |
28.00 |
20.60 |
31.00 |
|
FY 20/21 $/Ton |
12.46 |
18.25 |
13.79 |
20.75 |
18.57 |
28.75 |
21.22 |
31.75 |
|
FY 21/22 $/Ton |
12.83 |
19.00 |
14.20 |
21.50 |
19.12 |
29.50 |
21.85 |
32.50 |
|
FY 22/23 $/Ton |
13.21 |
20.00 |
14.63 |
22.50 |
19.69 |
30.50 |
22.51 |
33.50 |
|
(2 Year Ext) |
CPI |
CPI |
CPI |
CPI |
CPI |
CPI |
CPI |
CPI |
|
(2 Year Ext) |
CPI |
CPI |
CPI |
CPI |
CPI |
CPI |
CPI |
CPI |
*CR&R Inc., proposal was completed per load rather than per ton. In order to compare cost proposals, the per load amount was converted into tonnages using the following formula: Price per load/20 tons per load = Price per ton.
**CR&R Inc., based its cost increment for each additional year on CPI not to exceed three percent (3%) annually. In order to compare costs proposals, CR&R Inc., proposal was increased by the maximum of three percent (3%) annually. Note: CR&R, Inc. costs may differ if CPI is less than 3%.
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On-Call Roll-Off Services |
|
|
FY 18/19 |
FY 19/20 |
FY 20/21 |
FY 21/22 |
FY 22/23 |
|
|
CR&R |
RSC |
CR&R |
RSC |
CR&R |
RSC |
CR&R |
RSC |
CR&R |
RSC |
|
Hourly |
$ 90 |
$135 |
$ 92 |
$140 |
$ 93 |
$155 |
$ 95 |
$165 |
$97 |
$170 |
FISCAL ANALYSIS
Funding for these services is included in FY 18/19 budget. Funding for future fiscal years is contingent upon budget approval.
ATTACHMENTS
N/A
MOTION
That the City Council:
1. Approve a five-year agreement with CR&R Inc., for solid waste, recyclables, organics and construction and demolition transport services and on-call roll-off collection services, two additional two-year extensions;
2. Authorize the Public Works Director/City Engineer to exercise each of the two additional two-year optional renewals for FY 23/24 through 24/25 and 25/26 through 26/27;
3. Authorize the City Attorney to review/prepare the necessary documents; and,
4. Authorize the City Manager to execute such documents on behalf of the City.