DATE: December 4, 2017
TO: Board of Mayor and Aldermen
FROM: Eric Stuckey, City Administrator
Mark Hilty, Assistant City Administrator / Public Works
Kristine Tallent, Assistant City Administrator / CFO
Jack Tucker, Interim Director of Sanitation and Environmental Services
Brian Wilcox, Purchasing Manager
SUBJECT:
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*Consideration Of Procurement Award To Franklin Disposal, LLC, Of Franklin, Tennessee In The Amount Of $3.25 Per Container Per Day For The Purchase Of Servicing Of Public Refuse Collection Containers Located In Downtown Franklin For A Term Of Service For The Sanitation And Environmental Services Department (Purchasing Office Procurement Solicitation No. 2018-010; Contract No. 2017-0331) (12-12-17 WS)
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Purpose
The purpose of this procurement is to purchase servicing the approximately 44 public refuse collection containers located in areas of downtown Franklin as specified, with services as specified to be rendered either three (3) days per week (Friday through Sunday only) or seven (7) days per week (Monday through Sunday), for a term of service of approximately one (1) year with four (4) options to extend the term of service, each time for up to one (1) additional year, for a maximum possible term of service of five (5) years total.
Background
The areas of downtown Franklin with public refuse collection containers to be serviced include, but are not limited to, East Main Street between 1st Ave. and 3rd Ave., Main Street between 3rd Ave. and 5th Ave., West Main Street between 5th Ave. and 6th Ave., 5th Ave. North between Main Street and Del Rio Pike, Columbia Ave. between Main Street and Fowlkes Street, and, possibly, Franklin Rd. between 1st Ave. and Liberty Pike.
The services to be rendered are to include emptying the container daily (regardless of how full the container is), cleaning the container at least weekly but as often as needed in order to maintain an attractive appearance and be odor free when empty of refuse, and disposal of the waste collected by the service provider pursuant to this procurement at a permitted facility capable of receiving and appropriately handling Class I solid waste at the service provider’s own expense and at no additional charge to the City. The emptying and cleaning services are to be rendered between the hours of 6:00 a.m. and 8:00 a.m. Central Time. Pricing was to be quoted on a per-container-per-day basis, and is to be held and remain constant throughout the one-year term of service and any extensions thereto, if exercised.
The City sought bids for services to be rendered either three (3) days per week (Friday through Sunday only) or seven (7) days per week (Monday through Sunday), and specified that the City would determine which frequency-per-week after all bids received had been evaluated by the City.
The City published on November 16, 2017 a Notice to Bidders in the Williamson Herald for servicing downtown public refuse collection containers (Purchasing Office Solicitation No. 2018-010). In addition, bid documents were sent on or about the same date directly to three (3) potential bidders known or thought to be interested in this solicitation. One (1) bid was received and publicly opened at the bid opening held on November 30, 2017. A tabulation of the bids received for this solicitation is attached.
Financial Impact
The apparent lowest, most responsive and responsible bid, from Franklin Disposal, LLC, of Franklin, Tennessee, is in the amount of $3.25 per container per day for the purchase of servicing of public refuse collection containers located in downtown Franklin for a term of service. This bid was identified because it is the lowest bid that meets or exceeds the City’s intention as expressed and implied by the City’s specifications as well as the instructions, terms and conditions pertaining to this procurement solicitation. The quoted bid amount of $3.25 per container per day is the same as the amount bid in 2016 for service during calendar year 2017.
In the bid documents, the City specified an estimated 44 public refuse collection containers located in the service area so, at this unit price and for services to be rendered three (3) days per week (Friday through Sunday only), the total value of the purchase is estimated to be $22,308 per year, while for services to be rendered seven (7) days per week (Monday through Sunday) the total value of the purchase is estimated to be $52,052 per year. The City’s budget for fiscal year 2018 does not allocate funding specifically for this purchase. Note however that the purchase could be offset at least in part by a reduction in operating (labor and equipment) expenses since the containers in question may not need to be serviced by City crews as often as they are now. Staff will, as soon as possible, prepare and present a budget amendment for consideration by the Board.
Options
In accordance with the bid documents, the City reserves the right to reject any and all bids.
As noted above, the City sought bids for services to be rendered either three (3) days per week (Friday through Sunday only) or seven (7) days per week (Monday through Sunday). Currently, service is being provided three (3) days per week (Friday through Sunday only), with City crews servicing the containers the other four (4) days per week (Monday through Thursday).
Recommendation
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Staff recommends:
1. that the City outsource this service for seven (7) days per week (Monday through Sunday) and discontinue using City crews to service the containers, thus freeing City crews to focus on other duties, with funding to be budgeted pursuant to a forthcoming budget amendment that staff will prepare and present for consideration by the Board; and
2. that the City accept, contingent upon Law Department and City Administrator approval of City Contract No. 2017-0331, the apparent lowest best bid, from Franklin Disposal, LLC, of Franklin, Tennessee, in the amount of $3.25 per container per day for the purchase of servicing of public refuse collection containers located in downtown Franklin for a term of service, and award this procurement to this bidder.
For services to be rendered seven (7) days per week (Monday through Sunday), the estimated value of the purchase would be $52,052 per year. Purchasing Manager Brian Wilcox believes the prepared specifications as distributed allowed for competition among multiple vendors, and that the staff recommendation appears to be made in a fair and impartial manner based upon the bids received. Contract No. 2017-0331 is not yet in final form and therefore is not attached. When it is in final form, and if the staff recommendation to accept the bid from and award the procurement to Franklin Disposal, LLC is approved by the Board of Mayor and Aldermen, then, pursuant to authority previously granted by the Board of Mayor and Aldermen, Contract No. 2017-0331 will be executed by the City Administrator and reported to the Board of Mayor and Aldermen.