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AGENDA ITEM <br />Item No.: 14 <br />Date: June 24, 2019 <br />Item Description: Selection of Residential Recycling Services <br />Presenter: Dustin Rief, Agenda City Administrator <br />City Administrator Section: Report <br />1. Purpose. The purpose of this action item is for Council to select a contractor for Orono's <br />Residential Recycling Services. <br />2. Background. The City's current contract for residential recycling services will expire on <br />September 30, 2019. The City currently receives recycling services for approximately 3138 units <br />bi-weekly on Tuesdays. In early May the City of Orono issued a request for proposals (RFP) for <br />companies that have the resources and ability to provide comprehensive recycling services for the <br />entire City. Those services include collection, processing, marketing and public education. The <br />selected contractor will serve Orono's residents for the period of October 1, 2019 to September <br />30, 2024. <br />All proposals have come in substantially higher than expected. Costs of recycling services have <br />increased nationwide due to the decline in commodity values in the recycling market. <br />3. Proposals Received. The City requested and received proposals from 3 companies for <br />residential recycling services. Staff reviewed the proposals and all three met the parameters laid <br />out in the RFP. Each contractor submitted a proposal for 5 years of services. <br />Contractor <br />Bi -Weekly Pick-up Day <br />Proposal (11t Year) <br />Republic Services <br />'/2 Wednesday &'/2 Thursday (Change) <br />$176,230.08 <br />Waste Management <br />Tuesdays (No Change) <br />$190,162.80 <br />Randy's Sanitation <br />Tuesdays (No Change) <br />$303,883.92 <br />4. Funding. Residential Recycling services will be funded through the Enterprise Fund. <br />5. Staff Recommendation. Staff recommends the selection of Waste Management's cost <br />option shown in Attachment D of their proposal. Staff considers Waste Management to <br />be the lowest risk factor for the City. The cost for Waste Management's services in <br />Attachment D of their proposal does not rely on commodity values and the recycling <br />market. Staff considers Waste Management's firm pricing option to be the best option of <br />the City, for risk, administrative management and oversight, as well as consistency of <br />services already offered to residents today. <br />COUNCIL ACTION REQUESTED <br />Motion to approve Waste Management as the selected Recycling Contractor using Exhibit D found in <br />their proposal and to authorize staff to enter into contract negotiations. <br />Exhibits <br />A. Orono RFP for Residential Recycling Services <br />B. Finance Director Report <br />Prepared By: AMC <br />Reviewed By: -TV <br />Approved By: JS)�2 <br />