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CC - Item 3A - Review and Discuss the Proposed Scope of Serviceds and Schedule for Solid Waste and Recycling Collection Services RFPROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: BEN KIM, CITY MANAGER DATE: NOVEMBER 8, 2022 SUBJECT: REVIEW AND DISCUSS THE PROPOSED SCOPE OF SERVICES AND SCHEDULE FOR THE SOLID WASTE AND RECYCLING COLLECTION SERVICES REQUEST FOR PROPOSAL SUMMARY At the September 13, 2022, City Council Meeting, the City Council awarded a contract for Solid Waste Consulting Services to R3 Consulting Group, Inc (R3) to assist with the procurement of a new solid waste franchise agreement. City staff and R3 have conducted a comprehensive review of existing service levels and potential service enhancements to develop the scope of services for the Solid Waste and Recycling Collection Services Request for Proposal (RFP). The scope includes existing services and proposes new services to be included within the next franchise agreement. In addition, the RFP includes proposed changes to future waste hauler fees and payments to the City. The RFP advertisement is tentatively scheduled on November 14, 2022, with proposals due by January 13, 2023. The proposal evaluations, negotiations, and council consideration are an expected three -to -four-month process. The accelerated procurement schedule would allow for an approximately three-month transition period should a new hauler be selected by the Council. The purpose of this report is to provide the City Council with a summary of the proposed scope of services for inclusion in the City's next solid waste franchise agreement and procurement schedule. It is recommended that the City Council review the proposed scope of services for the Solid Waste Procurement RFP, consider the procurement schedule, and provide direction to staff. BACKGROUND The City of Rosemead's franchise agreement for solid waste and recycling collection services with Consolidated Disposal Services (DBA Republic Services) is set to expire on July 31, 2023. The franchise agreement provides for the collection of waste and recycling services to residential and commercial properties. On January 11, 2022, the City Council approved the Second Amendment to Republic Services' franchise agreement to include organics collection and recycling to meet the City's SB 1383 compliance requirements. AGENDA ITEM 3.A City Council Meeting November 8, 2022 Page 2 of 3 At the July 13, 2021, City Council meeting, Council Member Ly requested to discuss the City's current franchise waste hauler agreement and inquired about the timeline and process to procure a new franchise waste hauler agreement. Based on the City Council discussion, it was determined that due to the highly regulated and specialization of the solid waste collection industry, the use of a solid waste consultant would be beneficial for the City to assist in procuring a new agreement and the procurement process including selection of a solid waste consultant to support the process would take approximately one (1) year. At the September 13, 2022, City Council Meeting, Council awarded a contract for Solid Waste Consulting Services to R3 to assist with the procurement of a new solid waste franchise agreement. City staff and R3 have conducted a comprehensive review of existing service levels and fees and potential service enhancements and fee modifications to develop the scope of services for the Solid Waste and Recycling Collection Services RFP. The scope of services includes existing services and proposes new services to be included within the next franchise agreement. The proposed new services include but are not limited to free compost for city facilities, and organics facility services. In addition, the RFP includes proposed changes to future waste hauler fees and payments to the City. Furthermore, the City's current Food Recovery Program is proposed to be removed from the new franchise agreement and will be managed by City staff to improve program management and implementation. The proposed scope of services and waste hauler fees and payments is included in Attachment A. The RFP advertisement is tentatively scheduled on November 14, 2022, with proposals due by January 13, 2023. The proposal evaluations, negotiations, and council consideration are an expected three -to -four-month process. The accelerated procurement schedule would allow for a three-month transition period should a new hauler be selected by the City Council. Considering the current supply chain obstacles, R3 has informed staff that there is a high likelihood that a potential new hauler will have difficulties procuring the necessary equipment, materials, and vehicles to begin services on August 1, 2023. To mitigate the potential difficulties of procuring waste collection equipment, R3 has recommended to extend Republic Services current waste hauler agreement on a month-to-month basis for up to a total of twelve (12) months. Attachment B includes two proposed schedules: 1) an original procurement schedule and 2) an extended procurement schedule incorporating an extension to Republic Services' current agreement. STAFF RECOMMENDATION It is recommended that the City Council review the proposed scope of services for the Solid Waste Procurement RFP, consider the procurement timeline, and provide direction to staff. FISCAL IMPACT There is no fiscal impact with this item. STRATEGIC PLAN IMPACT City Council Meeting November 8, 2022 Page 3 of 3 None. PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Prepared by: A,d anielle Garcia Public Works Fiscal and Project Manager Submitted by: Michael Chung, P.E. Director of Public Works Attachment A: Scope of Services for New Waste Hauler Agreement Attachment B: Proposed Procurement Schedule Attachment A Scope of Services for New Waste Hauler Agreement 9 r d a V � y _ 9 7 0 u e ° W b e+ 90 y i a p� ypeyp 3 T C E 0W9 Q Y Y Y Y Y Y > > > > > Y Y Y Y Y T T a d O 6 O a` c E d > > > f Y Y Y T > Y >> Y Y Y Y 2 2 C d u = L fr °LN� A 8 o c = o Wn 0> i o u c d> r! 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