sr-042809-1iCity Council Meeting: April 28, 2008
Agenda Item: t ^ -r
To: Mayor and City Council
From: Dean Kubani, Director, Office of Sustainability and the Environment
Subject: Recommendation to Authorize the City Manager to Negotiate and Execute
a Contract with General Environmental Management (GEM), to Provide
Hazardous Waste Transportation, Management and Recycling/Disposal
Services
Recommended Action
Staff recommends the City Council authorize the City Manager to negotiate and execute
a contract with GEM for hazardous waste transportation, management and
recycling/disposal services from July 1, 2009 through June 30, 2011 with a renewal
option through June 30, 2012 in the amount of $250,000 per fiscal year.
Executive Summary
The City requires ongoing hazardous waste transportation, management, recycling and
disposal services to manage waste generated by City operations, emergency response,
and the City's Household Hazardous Waste Collection Center. Following completion of
a competitive bidding process, staff is recommending that the City Council authorize the
City Manager to negotiate and execute a contract with GEM to provide services through
June 30, 2011, with a renewal option through June 30, 2012 in the amount of $250,000
for each fiscal year. GEM will charge an 11.5% surcharge on all services, transportation
and disposal items, during the contract period. GEM is the City's current contractor with
a contract expiration date of June 30, 2009.
Background
The City of Santa Monica generates hazardous waste on a continuous basis from
emergency response, in-house activities, and the Household and Small Business
Hazardous Waste Collection Center. Hazardous waste generation, storage,
transportation and disposal/recycling activities are regulated by state and federal law.
Hazardous waste must be transported by state and federally certified haulers and
recycled or disposed of at state or federally certified and permitted facilities.
The Household Hazardous Waste Center is managed by the Office of Sustainability and
the Environment (OSE), is staffed by two full time hazardous materials technicians, and
is open to the public four days a week. The HHW Center recently celebrated 20 years
of service while processing an average of 160,000 pounds of hazardous waste collected
from 4,000 residents per year. These figures are expected to rise to 5,000 residents
and 200,000 pounds per year within the next two fiscal years. Typical types of
.hazardous waste collected from residents include paints, adhesives, batteries, aerosols,
fluorescent lamps, electronics, used oil, and pesticides.
Discussion
Proposals were originally solicited from seven companies with demonstrated expertise
in the management, transportation, and staffing of Hazardous Waste Centers. A notice
of the Request for Proposal was placed in the Santa Monica Daily Press, Planet Bids
and a posting was placed. on the City's website. A review committee consisting of staff
from the Office of Sustainability and the Environment selected three proposals from the
five received for review.
The Committee determined that GEM submitted the most cost effective and responsive
proposal. GEM acts as an independent waste broker assisting the City in finding the
most cost effective and environmentally preferable waste management alternatives and
providing staffing on an as-needed basis. As the incumbent contractor, GEM has
demonstrated consistent and reliable environmental services, and proper management
and transportation of hazardous waste utilizing well qualified and professional staff.
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Based upon these criteria, the committee unanimously determined that GEM, Inc. is
best qualified to deliver the professional and time sensitive services required by the
City. In recognition of the City's ongoing requirement for this service, staff requests that
the initial contract period extend through June 30, 2011 with renewal allowed for an
additional year at the City's discretion.
Financial Impacts & Budget Actions
Funding to implement the contracted activities in FY 09/10 and FY10/11, estimated to
be $250,000 per fiscal year, will be contingent upon City Council's approval of OSE's
annual operating budget during those years.
Prepared by:
James Conway, Senior Environmental Analyst
Approved: forwarde~to Council:
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~~-,. ~;
Dean Kubahi P. L m EN
Director, Office of Sustainability and the City Manager
Environment
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