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SR-12-17-2013-3Brw City of City Council, Report Santa Monica City Council Meeting: December 17, 2013 Agenda Item: 3- t3 To: Mayor and City Council From: Martin Pastucha, Director of Public Works Subject: Bid Award for Big Belly /Smart Belly Dual Compactor Recommended Action Staff recommends that the City Council award Bid #4103 for the purchase of Big Belly/ Smart Belly dual compactors to Waxie Sanitary Supply, a California -based company, in an amount not to exceed $100,000 for FY 2013 -14, with two one -year options to renew at a 5% increase in price each year, for a total award amount not to exceed $300,000 over a three -year period, with future year funding contingent on Council budget approval. Executive Summary In September 2013, the City solicited bids for the purchase of Big Belly /Smart Belly dual compactors. After reviewing the only bid received, staff recommends Waxie Sanitary Supply to provide Big Belly dual compactors for a total not to exceed amount of $300,000 over a three -year period. Discussion There are over 400 concrete pedestrian litter containers throughout the City. The containers are located at high foot traffic areas, business districts, and bus stops. As part of the FY 2011 -13 budget process staff proposed the gradual change of the existing open top concrete containers to new enclosed solar powered dual compactor containers. In FY 2012 -13, staff removed 13 concrete containers along Main Street and replaced these containers with 13 Big Belly /Smart Belly dual compactor containers. The compactor containers are collected two times per week rather than daily as required to service the concrete containers. It is anticipated that with a significant replacement of existing concrete containers with the compactor containers, a reduction in route hours could be achieved. In addition, the dual compactor containers offer the public the 1 opportunity to recycle many materials which assists the City in achieving a higher diversion rate and future zero waste goals. The funds proposed over the next three years would be used to complete the Main Street project, and initiate replacement of the concrete containers along the Montana, Pico and the Downtown business districts. Vendor Selection In September 2013, the City published Notices Inviting Bids to provide Big Belly /Smart Belly dual compactors as required by Resource Recovery & 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. There were 487 vendors notified and 14 downloaded the bid. One bid was received and publicly opened on October 11, 2013 per Attachment A. The City's Purchasing Section conducted additional outreach to vendors who downloaded the bid to see why they did not submit a bid; no responses were received. The bid was evaluated on price, references, experience, proximity to the City and compliance with City specifications. The proposed price of the new Big Belly /Smart Belly dual compactors was compared against the price paid for the 13 compactors installed on Main Street in early 2013, and the pricing was found to be comparable. The 13 compactor containers that were installed along Main Street were supplied by Waxie Sanitary Supply. The vendor has been very responsive to staffs request to promote zero waste by participating in outreach efforts. Based upon these criteria, Waxie Sanitary Supply is recommended as the best bidder for the purchase of Big Belly /Smart Belly dual compactors. PAI Financial Impacts & Budget Actions The purchase order to be awarded to Waxie Sanitary Supply is for an amount not to exceed $100,000 for the first year. Funds are included in the FY 2013 -2014 Capital Improvement Program budget in account 0270227.589000. Budget authority for subsequent years will be requested in each budget cycle for Council approval. Future funding is contingent upon Council approval. Prepared by: Kim Braun, Resource Recovery and Recycling Manager Approved: Attachments: A —Bid Summary Forwarded to Council: _7 ��:2 Rod Gould �' City Manager K? Bid No. 4103 Bid Description: Big Belly Dual Compactor Rid Close Date: 10 /11/13 ATTACHMENT A WAHIE Sanitary Supply Ontario, CA Item Pricing - Response 1 Pricing per unit $4,118.78 2 If bulk pricing is available indicate how many units qualify as bulk. N/A 3 Additional charges /comments (if any) Pricing above includes 1 -year license and 1 -year service pack. Please see extended software licenses below. 4 Delivery per unit $295.15 5 Total per unit $4,414.93 Item Options 1Response Indicate the cost per hour to install bolting the Cost Per Hour: $50.00 /hr 6 Installation containers to the concrete sidewalk and estimate time to install 13 units Estimated total installation hour per unit: 1,5 /hr (19.5 hours total for 13 units) Indicate cost per hour for ongoing Maintenance cost per hour (either system): $72.00 /hr Estimated annual maintenance for 13 units: 10 /hrs 7 Maintenance maintenance of the mechanism and monitoring system as well as estimated hours Discount off manufacturers list price for parts as necessary: per year for maintenance N/A % $817.18 (1 logo per station) $1634.36 (2 logos per station, one on the end of each unit 8 City Logo Addition Total to customize 13 units with the City Logo $2451.54 (2 logos per station plus Recycling and trash stickers added to the front of each unit) *Lifetime Software License: $1310.46/unit -5-Year Software License Pre -Pay: 4885.94 /unit (48 months 9 Extended software License per unit: additional software at Pre -Paid rate) *Monthly Software License Pre -Pay: $18.46 /unit (per month) Item - Description -" Response 10 Do you come Into the City of Santa Monica to conduct business? Yes 11 Do you deliver parts and /or products in your own company vehicle? Yes 12 If awarded, vendors must comply with proper and complete insurance requirements. Please indicate if you can /cannot comply. Can Comply 13 A City of Santa Monica business license is required. Please indicate If you can /cannot comply. Can Comply 14 Payment Terms Net 30 Renewal option available. Pricing subject to manufacturer's Period 2 price increase of up to 5% or decrease. Proof will be provided 15 Renewal Options upon request. Renewal option available. Pricing subject to manufacturer's Period 3 price increase of up to 5% or decrease. Proof will be provided upon request.