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SR-05-27-2014-3FCity Council Meeting: May 27, x2014 Agenda Item: 21 To: Mayor and City Council From: Martin Pastucha, Director of Public Works Subject: Purchase Order Increase for Big Belly /Smart Belly Dual Compactor Recommended Action Staff recommends that the City Council approve a change order to purchase order #22967 OF in the amount of $45,700 with Waxie Sanitary Supply, a California -based company, for purchase and delivery of additional Big Belly /Smart Belly dual compactors. This will result in a three -year amended purchase order with a new total amount not to exceed $345,700, with future year funding contingent on Council budget approval. Executive Summary The City currently has a purchase order with Waxie Sanitary Supply to provide Big Belly /Smart Belly dual compactors in the amount of $300,000 for a three -year term expiring in December 2016. Staff is requesting an increase to the existing purchase order in the amount of $45,700 for additional containers to be purchased and placed at high traffic bus stop locations as determined by the Big Blue Bus (BBB), for a new three -year total not to exceed $345,700. Discussion On December 17 2013 Council awarded Bid #4103 to Waxie Sanitary Supply, for the purchase of Big Belly /Smart Belly dual compactors to replace the concrete pedestrian litter containers throughout the City at high foot traffic areas, business districts, and bus stops. As part of the Bus Shelters Improvement Project that will install bus shelters and amenities along 313 bus stops within the City, the trash containers will be replaced. Although the design for the BBB trash /recycling containers has been completed, Resource Recovery & Recycling staff approached BBB regarding the use of the Big Belly /Smart Belly dual compactors at some of its high traffic locations. BBB staff has agreed to install seven Big Belly dual trash compactors /recycling containers. 1 The additional purchase of the Big Belly /Smart Belly dual compactors will not impact future year replacements of the concrete containers along the Montana, Pico and the Downtown business districts. To date, staff has removed and replaced 16 concrete containers along Main Street and 10 concrete containers along Montana Avenue with the dual compactors. The addition of the seven compactors at BBB stops will result in a total of 59 compactors being installed throughout the City by the end of the three -year term. These installations have been successful in increasing recyclable collections and operational efficiencies enabling the bins to be serviced less often, and only as necessary. Financial Impacts & Budget Actions The change order to be awarded to Waxie Sanitary Supply is for $45,700, for an amended purchase order total of $345,700 over the three -year term. Funds are available in the FY 2013 -14 Capital Improvement Program budget at account C410114.589000 (Bus Stop Amenities). Prepared by: Kim Braun, Resource Recovery and Recycling Manager Approved: Forwarded to Council: Martin Pastucha Rod Gould Director of Public Works City Manager 2