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HomeMy WebLinkAboutAgenda - 09-03-2002 - 8j � r ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: September 3, 2002 Action Agenda s Item No. _ SUBJECT: Bid Award: Landfill Compactor for Orange County Landfill DEPARTMENT: Purchasing/Solid Waste PUBLIC HEARING: (Y/N) No Management ATTACHMENT(S): INFORMATION CONTACT: Bid Tabulation Pam Jones, 245-2652 8/27/02 Landfill Manager Memo re: Gayle Wilson, 968-2885 Estimated Replacement Equipment Needs TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To consider awarding a bid for a Landfill Compactor for the Orange County Landfill. BACKGROUND: Landfill compactors are replaced every six years per the landfill equipment schedule. The unit due for replacement during the 2002-2003 fiscal year is a 1994 REX 3-70-A. The proposed replacement equipment will be needed throughout the period leading up to the recently revised anticipated 2009 closure date of the mixed solid waste (MSW) landfill. For information purposes only, staff have prepared the accompanying list of other major equipment replacement purchases that will likely be needed at the MSW landfill through its anticipated 2009 closure date and the 30 year post-closure maintenance period required by federal and state regulations. The bid specifications, produced collaboratively by the Purchasing and Solid Waste Departments, included an option for vendors to consider trade in of the 1994 unit. The bid. was advertised and bids were solicited from eleven vendors, three of whom attended a pre- bid conference on August 20, 2002. Of the two bids that were received, Road Machinery Inc of Statesville, North Carolina was determined to have submitted the lowest responsible bid that was responsive, bidding a CMI Trashmaster 3-75E at a net delivered cost of $317,000. The bid price includes a five-year power train warranty and allows $55,500 in trade in for the 1994 REX 3-70-A. FINANCIAL IMPACT: Staff recommends that instead of outright purchase, that the equipment be acquired through installment purchase. This equipment can be added to the financing arrangement with Central Carolina Bank (CCB) that the Board approved several months ago for equipment associated with implementation of the Regulated Recyclable Materials Ordinance. At a very attractive rate of 3.75% annual interest for a 59-month term, the County in the near term can preserve several hundreds of thousands of dollars in cash in 2 the Solid Waste/Landfill Operations Enterprise Fund. With estimated total interest payments of roughly $23,375, the total cost of this action over five years, if approved by the Board, would be approximately $340,375. Sufficient funds are and will be available in the Solid Waste/Landfill Operations fund to cover installment purchase payments. RECOMMENDATION(S): The Manager recommends that the Board: 1) award a bid for a CMI Trashmaster 3-75E to Road Machinery Inc. of Statesville North Carolina in the amount of$317,000.00; 2) authorize the Purchasing Director to execute the necessary paperwork; and 3) authorize the Finance Director and Attorney to execute appropriate documents to include the financing of this equipment with the previously approved solid waste equipment being financed through Central Carolina Bank. a 3 BID TABULATION BID # 240 BID FOR: LANDFILL COMPACTOR BID AWARDED TO: CLOSING DATE 8-20-2002 BID PRICE: CLOSING TIME: 11:00 AM BUDGETED AMOUNT: VENDOR BID BOND UNIT COST TRADE IN NET BID ALLOWANCE ROAD MACHINERY YES $372,500.00 -$55,500.00 STATESVILLE, NC $317,000.00 GREGORY POOLE NO $492,771.00 -$40,000.00 RALEIGH, NC NON RESPONSIVE $452,771.00 AL-JON UTTUMWA, IA NO BID 4 MEMORANDUM To: Rod Visser,Assistant County Manager From: Paul Spire, Landfill Manager Subject: Estimated Replacement Equipment Needs for Life of Landfill Date: August 27, 2002 Equipment for the landfill is on a designated replacement list that has been in use since the commencing of the landfill as one of its reserve accounts. This schedule lists all the current equipment and anticipates the need for replacement on a set schedule. In the current year of 02-03 there were two things that were up for replacement, one a compactor, which was let out for bid and is suggested for replacement at a cost of$317,000. This compactor has a life expectancy of six(6)years but is expected to be in use till the landfill closes in 2009. The other is a large dump/service type truck that will be purchased off of the state contract, for an anticipated cost of$48,000. The life expectancy of this item is ten(10)years. In 03-04,there is a replacement of a Bulldozer at an anticipated cost of$418,500 with a life expectancy of 6 years,which means that it is to be replaced in the year 09-10. At that time it will be used to put the final cap on the lined landfill and when the cap is completed it will be shitted to the Construction and Demolition Landfill in 11-12. In year 05-06 a wheel loader is to be replaced at an anticipated cost of$119,000 with a life of eight (8)years. This equipment is used in the white goods and tire area of the MSW landfill. In year 06-07 the leachate truck,which is used to haul the landfill's leachate to the processing plant, is up for replacement. It will be replaced on a ten(10)year basis and is to be replaced for the complete monitoring time of the landfill,which is currently for thirty(30)years. The anticipated cost for this replacement is$110,800. It will be replaced three more times before the estimated landfill monitoring time is complete. Also in 06-07 is the motor grader. It is used in the upkeep of the roads and in construction. It is estimated to cost$20,000 (we expect to buy it used off of State surplus equipment) with a life expectancy of eight(8)years and will also change over to the C&D landfill at its next replacement in the year of 13-14. In the year of 09-10 a dozer is replaced which is already listed in the current years (02-03) replacement. Also in that year a hydraulic excavator is replaced. This is used in the white goods,tire, and mulch area of the MSW landfill. It will also be used as a backup to loading the transfer trucks when the transfer station starts. It has an eight(8)year life expectancy and is anticipated to cost $164,000. It should be noted that all estimated replacement cost are true anticipated cost since they are inflated at 3%per year on the previous acquisition cost for each piece of equipment. At current post closure operations the staff will have to monitor and maintain the closed landfill for a minimum of thirty years. This includes all gas monitoring, water monitoring, upkeep of all access roads, maintenance of all erosion control areas, and maintenance of the cap. Maintenance of the cap will consist of checking and repairing of settlement;repairing of seeding and washed out areas, vector control, leachate control,mowing, and general upkeep of the closed landfill. If heavy equipment is necessary to maintain the closed landfill, it will have to come from the Construction and Demolition landfill. Since some of the heavy equipment such as the compactor will not be replaced, other pieces will have to be kept on the replacement list for several years or until such time as the state no longer requires Orange County to monitor its landfill. If you have any other questions please give me a call.