SR-03-19-2013-3HCity Council Meeting: March 19, 2013
Agenda Item: 3 �
To: Mayor and City Council
From: Martin Pastucha, Director of Public Works
Subject: Purchase Order Modification for Refuse /Recycling Containers
Recommended Action
Staff recommends that the City Council approve a modification to purchase order
#343112 OP in the amount of $450,000 with Ball, Bounce and Sports, Inc. (formerly
Superior Rotation Molding), an Ohio -based Company, for purchase and delivery of 2, 3
and 4 yard plastic refuse /recycling containers. This will result in a three -year amended
purchase order with a new total of $960,000.
Executive Summary
The City currently has a purchase order with Ball, Bounce and Sports, Inc. (formerly
Superior Rotation Molding) in the amount of $510,000 for the purchase and delivery of
2, 3 and 4 yard plastic refuse /recycling containers for a three -year term expiring in
February 2014. Staff is requesting an increase to the existing purchase order in the
amount of $450,000 for a new three -year total of $960,000, to allow for additional
containers to be replaced throughout the city.
Background
On July 24, 2008, City Council awarded Bid #2941 to Enviroquip, LLC (formerly US
Transportation), for the purchase of metal refuse /recycling containers. These bins were
necessary for support of the existing operation and for the new commercial customers
that were acquired after the award of citywide commercial collection services to the City.
On February 22, 2011, City Council awarded Bid #3008 to Superior Rotation Molding
Inc., for the purchase of plastic refuse /recycling containers. The plastic containers were
highly desirable due to their lightweight design, durability, and low maintenance. These
containers were also marketed as being able to reduce noise levels as compared to the
metal containers.
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Discussion
The Resource Recovery and Recycling (RRR) Division has implemented a systematic
program for replacing old bins throughout the city. This program would replace all bins
within a five to eight year period. This program also allows for the food waste bins to be
replaced first as they are heavier due to the organic material. The second priority for
bin replacement are the metals bins in areas where noise complaints have been
received, and the third priority for replacement are bins at locations with uneven
pavement, which make it difficult for the bins to be serviced.
Since the initial plastic containers were placed in the field in June 2011, over 550 bins
have been replaced with plastic. Staff has received fewer noise complaints and there
has been a reduction in worker's compensation injuries. The success of these plastic
bin conversions has exceeded expectations. An increase to the existing purchase order
would allow for additional containers to be replaced throughout the city, further reducing
noise and risk of injury to staff.
In August 2012, RRR staff attempted to reach the metal bin vendor without success.
After six weeks of attempting to make contact, it was discovered that the company had
been sold to Myerspower, who notified staff that they would be phasing out the delivery
of containers. In September 2012, their contract was cancelled. RRR staff issued a bid
for a new vendor in December 2012. Bid results were received in January 2013 and are
currently being reviewed.
Since the plastic bins are more desirable due to their design features, staff is evaluating
the need to purchase metal bins. Until such a decision is made, RRR needs to be able
to purchase bins for its continued operation. The funds currently budgeted for metal
containers would be used to purchase plastic bins instead. The amount set aside in the
Container Replacement Capital Improvement Project budget for bins for the remainder
of FY 2012 -13 is $250,000 and $200,000 in FY 2013 -14.
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Since February 2011, staff has expended $467,552 of the original purchase order
amount of $510,000, leaving $42,448 for the remainder of the agreement through
February 2014.
Vendor Selection
In August 2010, the City published Notices Inviting Bids to provide 2- and 3 -yard plastic
refuse containers for Resource Recovery and Recycling in accordance with City
specifications. The bid was posted on the City's on -line bidding site and notices were
advertised in the Santa Monica Daily Press in accordance with City Charter and
Municipal Code provisions. Three bids were received and publicly opened on
September 8, 2010. Bids were evaluated based on the samples received and
performance during field testing. Based on these criteria, Superior Rotation Molding,
LLC was recommended as the best bidder and was awarded Bid #3008 on February
22, 2011.
Financial Impacts & Budget Actions
The purchase order modification to be awarded to Ball, Bounce and Sports, Inc. is
$450,000, for an amended purchase order total of $960,000 over the three -year term.
Funds in the amount of $250,000 are available in the FY2012 -13 Capital Improvement
Program budget at account 0270227.589000. Funds in the amount of $200,000 are
included in the FY2013 -14 Capital Improvement Program budget at account
0270227.589000.
Prepared by: Kim Braun, Resource Recovery & Recycling Manager
Approved: Forwarded to Council:
Martin Pastucha Rod Gould
Director of Public Works City Manager
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