SR 10-25-2022 5N
City Council
Report
City Council Meeting: October 25, 2022
Agenda Item: 5.N
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To: Mayor and City Council
From: Rick Valte, Public Works Director, Public Works, Resource Recovery &
Recycling
Subject: Award Bid to Arakelian Enterprises, Inc., dba Athens Services, for
Construction and Demolition Materials Processing
Recommended Action
Staff recommends that the City Council:
1. Award RFP# 312 to Arakelian Enterprises, Inc., dba Athens Services for
construction and demolition material processing and recycling services for the
Public Works Department; and
2. Authorize the City Manager to negotiate and execute an agreement with
Arakelian Enterprises, Inc., dba Athens Services, in an amount not to exceed
$617,000 (including a 15% contingency) for two years, with three additional one-
year renewal options in the amount of $1,020,000 on the same terms and
conditions for a total amount not to exceed $1,637,000 over a five-year period,
with future year funding contingent on Council budget approval.
Summary
The City’s Capital Improvement Program (CIP) projects generate several thousand tons
of construction and demolition (C&D) materials annually. These materials need to be
sent to an approved C&D recycling facility for recycling, processing, and proper
disposal. Following a competitive Request for Proposals process, staff recommends
Arakelian Enterprises, Inc., dba Athens Services as the best contractor to provide C&D
material processing and recycling services for the City.
Discussion
The City’s CIP projects, such as street paving and water infrastructure improvements,
generate thousands of tons of C&D debris annually. These materials, such as concrete,
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wood, metal, and glass need to be processed and recycled in an effort to reduce landfill
disposal and work towards the City’s zero waste goals. Pursuant to the Santa Monica
Municipal Code (SMMC Section 8.108.150), all public or private residential and
commercial C&D projects in the City must recycle a minimum of 70% of the C&D
materials generated by sending the materials to an approved C&D recycling facility.
Historically, the City’s CIP projects generated an average of 3,283 tons per year. In
March 2022, the City sought proposals from permitted and experienced C&D recycling
facilities to assist with the construction generated waste. The actual cost of this contract
is dependent upon the amount of C&D materials generated and collected from City CIP
projects. The contract budget is estimated based on an analysis of the City’s average
historical C&D tonnage plus a 15% contingency.
Vendor Selection
Pre-Qualified Vendors
Arakelian Enterprises, Inc., dba Athens Services
Selection Criteria
Evaluation Criteria
The training, credentials and experience of the person or firm; the
demonstrated competence, ability, capacity and skill of the person or firm
to perform the contract or provide the service promptly, within the time
specified, and without delay; the capacity of the person or firm to perform
the contract or provide the service promptly, within the time specified, and
without delay; the sufficiency of the person’s or firm’s financial and other
resources; and the character, integrity, reputation and judgment of the
person or firm; the ability of the person or firm to provide such future
service as may be needed; and the price which the person or firm
proposes to charge, including whether the price is fair, reasonable and
competitive. The City shall have absolute discretion in determining the
applicability and weight of the criteria listed above.
The City is not required to select the proposal with the lowest price.
Municipal Code SMMC 2.24.190
RFQ Data
Date Posted
Posted On
Advertise In
(City Charter & SMMC)
Vendors
Downloaded
Date Publicly
Opened
3/30/22 City's Online
Bidding Site
Santa Monica Daily Press 4 5/4/22
Justification to Short-List
Staff recommends Arakelian Enterprises, Inc., dba Athens Services, as the best
proposer based on the company’s price, experience, and satisfactory customer
service and performance as the City’s current organics material processor.
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Athens’ proposal offers the lowest price per ton. Athens will utilize one of its own
facilities, Crown Recycling, to accept, receive, process, and recycle C&D materials.
Finally, Crown Recycling had the highest reported recycling rate for C&D materials in
Los Angeles County as of 2020, at 89.4%. Based on these criteria, the vendors are
recommended as best qualified persons or firms.
Financial Impacts and Budget Actions
Staff seeks authority to approve available funding from the Resource Recovery and
Recycling Fund to award a contractual services agreement with Arakelian Enterprises,
Inc., dba Athens Services for C&D processing and recycling services as follows:
Contract Request
FY 2022-23
Request Amount
Future Years Amount Department Account # Total Contract
Amount
$226,500 $1,410,500 54500002.523010 $1,637,000
Future year funding is contingent on Council budget approval.
Prepared By: Ryan Kraemer, Senior Administrative Analyst
Approved
Forwarded to Council
Attachments:
A. Athens Services Oaks Form
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CITY OF SANTA MONICA
OAKS INITIATIVE DISCLOSURE FORM
In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles
and maintains certain information. That information includes the name of any person or
persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather
than an individual person, the information includes the name of every person who is: (a)
trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the
entity.
Public benefits include:
1.Personal services contracts in excess of $25,000 over any 12-month period;
2.Sale of material, equipment or supplies to the City in excess of $25,000 over a 12-month
period;
3.Purchase, sale or lease of real property to or from the City in excess of $25,000 over a
12- month period;
4.Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-
month period;
5. Land use variance, special use permit, or other exception to an established land use plan,
where the decision has a value in excess of $25,000;
6.Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12-month
period; or
7.Payment of “cash or specie” of a net value to the recipient of $10,000 in any 12-month
period.
Name(s) of persons or entities receiving public benefit:
Name(s) of trustees, directors, partners, and officers:
Name(s) of persons with more than a 10% equity, participation, or revenue interest:
Prepared by: ____________________________Title: __________________________
Signature: ______________________________________ Date: ________________
Email: ____________________________________ Phone: ____________________
FOR CITY USE ONLY:
Bid/PO/Contract # ____________________________ Permit # ___________________________
Arakelian Enterprises, Inc. dba Athens Services
Ron J. Arakelian, Jr. - President & CEO
Michael R. Arakelian - Secretary
Ron J. Arakelian, III - Executive OfficerAdam Arakelian - Executive Officer
Greg Loughnane - Executive Director
Cord Laule - Chief Financial OfficerGary Clifford - Executive Vice President
Ron Arakelian, Jr., Owner/OfficerMichael Arakelian, Owner/Officer
Ron Arakelian III, Owner/Officer
Greg Loughnane Executive Director
gloughnane@athensservices.com (626) 336-3636
Jan. 6, 2022
5.N.a
Packet Pg. 688 Attachment: Athens Services Oaks Form (5306 : Award Bid for Construction & Demolition Materials Processing)