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HomeMy WebLinkAboutAgenda - 12-09-2014 - 7c 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: December 9, 2014 Action Agenda Item No. 7-c SUBJECT: Approval of Purchase of Roll Carts for Rural Roadside Recycling Program DEPARTMENT:Solid Waste ManagementPUBLIC HEARING: (Y/N)No ATTACHMENT(S):INFORMATION CONTACT: Bid Sheet BOCC Information Item – September 4, Gayle Wilson, 919-968-2885 2014Clarence Grier, 919-245-2453 PURPOSE: To authorize thepurchase of 7,600 95-gallon roll carts for the rural roadside recycling collection program. BACKGROUND: Orange County has been discussing the implementation of roll carts in the rural roadside program for several years, but hasexperienced continuing delays to proceeding dueat least in partto recycling program funding uncertainty. The Board ofCounty Commissioners (BOCC) ultimately appropriated funds in the Fiscal 2014/15 budget for the purchase of approximately 7,000 roll cartswith the intention of implementing the carts in the fall of 2014. The BOCC directed staff to determine in advancehow many rural program service area residents wished to receive a roll cart prior to finalizing a purchase recommendation for the Board’s consideration. The BOCC further indicated that should the number of affirmative resident responses in the current service area not utilize the budgeted quantity of roll carts,staff could consider surveying the previously proposed service expansion area tosolicit interest in roll carts up to the authorized quantity. In September2014 Solid Waste staff provided an information itemupdate (attached) of the proposed implementation plan for rural roll carts that outlined the process by which the current service area would be surveyed for interest in receiving a roll cart. Staff also provided a timeline by which a recommendation would be brought to the BOCC for purchase authorization and ultimately, distribution of the carts to residents. In September 2014 a mailing was distributed to all residents (approx. 14,500) in the existing rural roadside service area. A second mailing was distributed to all of the non-respondents to the first mailing. As of November 14, 2014, staff had received 7,541 responses by mail, phone, email or answers via the on-line survey to order carts(6,841); or alternatively to indicate that they did not want a cart (700).Responses continue to trickle in. 2 Based on the 6,841 responses to date, plus an estimated 10% additional residents who did not respond to date for whatever reason that staff anticipates will desire a cart, staffbelieves the Countycan expect at least 7,525 carts will be requested by the time of delivery or soon thereafter, once the carts become visible alongthe roadways. Additionally, staffbelievesa small stock (75) should be on hand in the event of new construction or to replace lost, stolen or damaged carts. Additional carts will not be available unless or until they are approved in the FY-2015/16 budget. Thereforestaff isproposing the purchase of 7,600 roll cartsat this time. The95-gallon rural roll cartswill be virtually identical to theroll carts previously distributed in the Towns with the exception that they will have black lids rather than blue lids. Those who did not opt for carts may continue to use their bins roadside or carry recycling to the convenience centers or drop-off sites. If the proposed cart purchase is approved, the carts will be orderedwith delivery to residents expected during the month ofFebruary and residents may start usingthe cartsupon delivery. The distribution schedule will be partly weather dependent, but should be completed byearly March. Residents may keep the orange bins for personal use or recycle them at any Solid Waste Convenience Center. Members of the publicwho have not yet ordered a cart but are eligible (located in the existing service area) and interested can contact the Solid Waste Department, 919-968-2788 or recycling@orangecountync.gov. Staffanticipates that the carts will result in increased recycling, greater collection efficiency and fewer worker injuries with more automated collection and less manual stooping to collect from bins. The first three months of in-Town recycling using the blue roll carts resulted in a 29 percent increase in tons of recyclables collected at the curb. FINANCIAL IMPACT: The BOCC appropriated $378,000 for 7,000 roll carts in the FY-2014/15 budget based on an estimated cost of $54/each, including distribution. These funds were to be borrowed from the solid waste enterprise fund reserve at a 2.5% rate over five years.A $75,000 grant (reimbursable) from North Carolina Department of Environment & Natural Resourcesis still expected to fund a portion of the rural cart cost. The current cost of the carts is $58.44 or $444,144 total, including distribution and a mold label on the lid. The increase is a result of an increase in the cost of resin;the purchase of fewer carts than for the urban program and obtaining less of a volume discount;higher costs for cart distribution in rural areas as opposed to in-town’ and the mold label on the lid as opposed to decals used for the urban roll carts. North Carolina General Statute (NCGS) 143-129(e) (3) allows local governments to make purchases through a competitive bidding group purchasing program, which is a formally organized program that offers competitively obtained purchasing services at discount prices to two or more public agencies. The HGACBuyis a cooperative purchasing group that meets the requirements of NCGS 143-129(e)(3). The specific contract number is HGACBuyContract #GC01-13. The $66,144 budget increase is proposed to be funded by increasing the amount borrowed from the solid waste enterprise fund reserve. RECOMMENDATION(S): The Manager recommends that the Board authorized the purchase of 7,600 95-gallon roll carts from Rerhig Pacific at a total cost of $444,144, to be borrowed from the solid waste enterprise fund reserve over five year period at a 2.5% interest rate. 3 Contract CONTRACT PRICING WORKSHEET Date GC01-13 11/20/2014 Prepared: No.: For Catalog & Price Sheet Type Purchases This Worksheet is prepared by Contractor and given to End User. If a PO is issued, both the PO and the Worksheet MUST be faxed to H-GAC @ 713-993-4548. Therefore please type or print legibly. Buying Orange County, North CarolinaRehrig Pacific Company Contractor: Agency: ContactPrepared Eric GerringerFaith Zydowsky Person:By: 919-968-2788404-771-7005 Phone:Phone: 919-932-2900 Fax:Fax: egerringer@orangecountync.govfzydowsky@rehrigpacific.com Email:Email: Catalog / Price Sheet Supply of Recycling Containers Name: General Description Production of 95 gallon roll out carts for Rural Recycling Program of Product: A. Catalog / Price Sheet Items being purchased - Itemize Below - Attach Additional Sheet If Necessary Description QuanUnit PrTotal RC787 – ROC 95EV - 95 Gallon Evolution Roll Out Cart - Recycle (Pepsi Blue Body/ Black Lid) 7,600$50.23381748 0 0 *All Pricing includes cart branding on body.0 *Pricing includes HGAC Fees and does not include any applicable taxes.0 *Pricing includes freight per cart. 0 *Pricing includes RFID tag.0 0 0 0 0 0 Total From Other Sheets, If Any: Subtotal A: 381748 B. Unpublished Options, Accessory or Service items - Itemize Below - Attach Additional Sheet If Necessary (Note: Unpublished Items are any which were not submitted and priced in contractor's bid.) Description QuanUnit PrTotal Assembly & Distribution 7,600$753200 In Mold Label in Lid 7,600$1.219196 RFID Tags (included in cart unit rate in section A) 7,600$0.000 0 Total From Other Sheets, If Any: Subtotal B: 62396 Check: Total cost of Unpublished Options (B) cannot exceed 25% of the total of For this transaction the percentage is: 16% the Base Unit Price plus Published Options (A+B). C. Trade-Ins / Special Discounts / Other Allowances / Freight / Installation / Miscellaneous Charges Subtotal C: 0 Delivery Date: 1/23/2015D. Total Purchase Price (A+B+C): 444144 4 5 6