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HomeMy WebLinkAboutAgenda - 05-17-2016 - 5-c - Approval of Purchase of Roll Carts for Rural Recycling Program Expansion 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date May 17, 2016 Action Agenda Item No. 5-c SUBJECT: Approval of Purchase of Roll Carts for Rural Recycling Program Expansion DEPARTMENT: Solid Waste Management ATTACHMENT(S): INFORMATION CONTACT: HGACBuy Contract Pricing Worksheet Gayle Wilson, 919-968-2885 Gary Donaldson, 919-245-2453 PURPOSE: To authorize the purchase of 4,060 roll carts (95 gallon size) from Rehrig Pacific for the expansion of the rural roadside recycling collection program, at a cost of $234,000. BACKGROUND: Orange County began offering roll carts for curbside recycling in a portion of the unincorporated areas of Orange County in the winter of 2015 with plans to provide like service to the remaining unincorporated areas. A variety of methods, including a series of mailings to all improved properties (approximately 6,800) in the expansion area, was used to determine in advance how many in the program service area wished to receive a roll cart prior to finalizing a purchase recommendation for the Board of Commissioners (BOCC) consideration. Responses were requested to be made by March 30, 2016. As of April 22, 2016, 3,283 replies had been received. Of those, 2,411 have requested a 95 gallon recycling cart, 546 requested recycling bins and 326 have requested neither. Responses continue to be received. In the 2015 implementation of roll carts in the initial rural area, similar response rates were received. In that instance, mailings and other outreach were made to 14,500 improved properties. Of those, 7,541 responses were received resulting in 6,840 requesting carts. In anticipation of demand, 7,600 carts were ordered. The 7,600 roll carts were distributed within the first few months of implementation and 1,200 additional carts were subsequently ordered and deployed. All rural carts have been deployed. There is currently a list of approximately 60 residences in the current rural area awaiting a roll cart. This waiting list grows weekly due to new construction and increased interest. In light of the past experience, staff believes that additional requests for roll carts will be received by the Solid Waste Department both prior to the implementation and following the delivery of the carts. Additionally, some inventory of carts should be maintained to service new construction and to replace lost, stolen and damaged carts. Staff recommends that 4,060 rural roll carts be ordered at a cost of $234,000. 2 Additionally, a route optimization study was performed last summer/fall to determine the most efficient collection schedules for the entire rural service area, including both the existing area and new expansion area. In order to achieve the most efficient collection operations, the new collection schedules will be assigned in conjunction with the expansion implementation. Most of the entire service area will be assigned new collection days. A substantive notification and outreach effort has started and will continue to notify all rural curbside participants of their new schedules. FINANCIAL IMPACT: On April 19, 2016, the BOCC approved $234,000 in financing for the proposed purchase of solid waste disposal carts as part of the FY 2015-16 Final Financing Resolution Authorizing the Issuance of $8,150,000 in Installment Purchase Financing for Various Capital Investment Plan Projects. Repayment of the debt related to this portion of the financing will be made from the Solid Waste Enterprise Fund. The cost of the carts is $51.77 each as noted on the attached quote. Assembly and distribution costs of $7.00 each for 3,400 of the carts being deployed immediately by Rehrig is also budgeted. It should be noted that the attached quote details 4,000 carts and a total cost of $230,880. Staff has since increased the number of proposed carts by 60, to 4,060, and thereby bringing the total cost to $234,000. 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 HGACBuy is a cooperative purchasing group that meets the requirements of NCGS 143-129 (e) (3). The specific contract number is HGACBuy Contract #RC01-16. SOCIAL JUSTICE IMPACT: The following Orange County Social Justice goal is furthered by this item: • GOAL: ESTABLISH SUSTAINABLE AND EQUITABLE LAND-USE AND ENVIRONMENTAL POLICIES The fair treatment and meaningful involvement of people of all races, cultures, incomes and educational levels with respect to the development and enforcement of environmental laws, regulations, policies, and decisions. Fair treatment means that no group of people should bear a disproportionate share of the negative environmental consequences resulting from industrial, governmental and commercial operations or policies. RECOMMENDATION(S): The Manager recommends that the Board authorize the purchase of 4,060 roll carts (95 gallon size) from Rehrig Pacific at a total cost of $234,000. 3 IHGACBvy CONTRACT PRICING WORKSHEET Contract RCO1-16 Date 4.24.16 For Standard Equipment Purchases No.: Prepared: This Worksheet is prepared by Contractor and given to End User. If a PO is issued, both documents MUST be faxed to H-GAC @ 713-993-4548. Therefore please type or print legibly. Buy1ng Orange Count,North Carolina Contractor: Rehrig Pacific Company Agency: Contact Kristina Witosky Prepared Eric Voss Person: By: Phone: 919.612.0103 Phone: 770.312.6675 Fax: Fax: Email: kwitosky @orangecountync.gov Email: evoss @xehrig.com Product AG259 Description: 4,000-95 Gallon Recycling Roll-Out Carts Includes Freight,RFID and IML @$51.77 Code: A.Product Item Base Unit Price Per Contractor's H-GAC Contract: $207,080.00 B.Published Options-Itemize below-Attach additional sheet if necessary-Include Option Code in description if applicable (Note:Published Options are options which were submitted and priced in Contractor's bid.) Description Cost Description Cost AG255-AG268-Assembly&Distribution $23,800.00 A&D for 3,400 Rural County Homes @$7.00 each 0 Subtotal From Additional Sheet(s): I Subtotal B: 23800 C.Unpublished Options-Itemize below-Attach additional sheet if necessary (Note:Unpublished options are items which were not submitted and priced in Contractor's bid.) Description Cost Description Cost Subtotal From Additional Sheet(s): I Subtotal C: 0 Check:Total cost of Unpublished Options(C)cannot exceed 25%of the total of the Base Unit Price plus Published Options(A+B). For this transaction the percentage is: 0% D.Total Cost before any other applicable Charges,Trade-Ins,Allowances,Discounts,Etc.(A+B+C) Quantity Ordered: 1 X Subtotal of A+B+C: 230880 = Subtotal D: 230880 E.Trade-Ins/Special Discounts/Other Allowances/Freight/Installation/Miscellaneous Charges Description Cost Description Cost Subtotal E: 0 Delivery Date: F. Total Purchase Price (D+E): 230880