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Item 8C v AGENDA ITEM # SC NOVEMBER 13, 2006 aw CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Waste Services Request for Yard Waste Pickup Change SUBMITTED BY: Rick Carper, P.E., Public Works Director ~G DATE: October 31, 2006 BACKGROUND: Waste Services of Florida (WSF), the City's franchise agent for garbage, yard waste and recyclable collection, has requested a change in the scheduled yard ~" waste collection day from Monday to Wednesday effective January 1St, 2007. If approved, they are proposing a yard waste rate reduction of $0.30 per household per month. That would provide a total reduction of $7465.50 over the remaining term of the ~. WSF contract. WSF would be responsible for all resident notification of the proposed change. In January, when Clay County changes haulers to Advanced Disposal Systems to implement county wide mandatory collection, Atlantic Beach will be WSF's only municipal client in North Florida. At that time, under the current schedule in Atlantic Beach, WSF would have nine collection routes on Monday, four routes Tuesday, ~" Thursday and Friday and no routes on Wednesday. In meetings between Staff and WSF management, WSF has stated the current schedule would require the use of substantial temporary labor to man Monday routes. This proposed change would `level-load' their ~„ work effort at five routes on Wednesday and four routes every other weekday. In November 2005, the City and WSF agreed to a one-year extension of the original contract. A major factor in Staff's recommendation for extending the contract ~' was the excellent level of service being provided at the time by WSF. In late spring / early summer 2006, WSF experienced severe staffing issues as a competitor stood up operations in Neptune Beach and hired numerous experienced operators from WSF. ~* The use of temporary labor to complete required routes led to a significant decline in operational performance, resulting in substantially increased complaints and assessed liquidated damages (April to June monthly average of $2250). In July, WSF reported .they had regained full permanent staffing and following training of all new hires, expected to restore the performance standards previously maintained. Over the last three months, performance has continuously improved, with average liquidated damages of $833. When the City contracted with Browning Ferris Industries (BFI) (WSF's predecessor), the option of Wednesday yard waste pickup at a slightly cheaper rate was proposed as an alternative by one of the unsuccessful bidders (Southland - $1.71 per *~ household per month vs. $1.86 for BFI). However, BFI's total monthly residential rate was $0.22 per household per month less than Southland's. The overall BFI bid was higher than Southland because of higher Commercial rates. Review of Commission meeting minutes indicated there was concern that the Wednesday alternative was not acceptable because it was not covered in the City Bid Specifications and Southland was the only company to bid that alternative. The commission approved BFI's bid, which included Monday yard waste pickup, as the lowest submittal meeting the Bid "~' Specifications. November 13, 2006 Regular Meeting AGENDA ITEM # 8C NOVEMBER 13, 2006 BUDGET: Garbage, yard waste and recyclable collection is funded from account ~" 420-4201-534-3401 (Pick-up and Haul Contract). Approval of this request will reduce account expenditures by $7465.50. ~. RECOMMENDATION: Staff recommends approving the WSF request to change the yard waste pickup day from Monday to Wednesday throughout the City. The Contractor's ability to staff City routes with full time, experienced employees will provide a substantially higher level of service to Atlantic Beach residents. ATTACHMENTS: 1. Waste Services of Florida Letter dated October 18, 2006 2. Excerpt from December 18, 2000 Special Commission Meeting Minutes REVIEWED BY CITY MANAGER: ........._....._.___. ~~ f November 13, 2006 Regular Meeting AGENDA ITEM # 8C W ~ ' NOVEMBER 13, 2006 WASTE SERVICES INC. City of Atlantic Beach October 18, 2006 "" City of Atlantic Beach Mr. Jim Hanson City Manager '"' 800 Seminole Road Atlantic Beach, Florida 32233 Dear Jim: It was my pleasure meeting with you and Rick today. Following our discussion this morning, I would like to propose the following service changes for your consideration and recommendation to the City Council. ~' Effective January 1, 2007, we would like to move all Monday yard-trash routes to Wednesdays. This route balancing will reduce or eliminate the use of temp labor. With approval of this change we would like to offer each household a rate reduction of .30 cents. Also at no cost to the City, WSI will be responsible for informing all residents of the changes via flyers and a newspaper ad of all changes. We look forward to your favorable decision regarding this offer which will help improve our service and consequently allow the city some savings for the remaining 5 months of ,~, our contract period. I can be reached at 904-509-1784 should you have any questions. Sincerely, ~~ ~~ Steve Wright ~"' General Manager Cc: Rick Carper 7580 Philips Hwy., Jacksonville, FL 32256 Tel: (904) 731-3440 Fax: (904) 731-8952 ~+. AGENDA ITEM # 8C NOVEMBER 13, 2006 MINUTES OF THE SPECIAL CALLED MEETITIG OF THE ATLANTIC BEACH CITY COMMISSION HELD IN CITY HALL, 800 SEMINOLE ROAD AT 5:00 P.M. ON MONDAY, DECEMBER 18, 2000 PRESENT: John Meserve, Mayor Richard Beaver, Mayor Pro Tem Mike Borno Theo Mitchelson Dezmond Waters, Commissioners AND: James Hanson, City Manager Alan C. Jensen, City Attorney ABSENT: Maureen King, City Clerk e meeting was c e to or er y ayor eserve at p.m. n p ace of the Invocation, Mayor Meserve called for a moment of silent prayer for Utility Director Kaluzniak's father who is facing major surgery. The silent prayer was followed by the Pledge of Allegiance to.the Flag. 1. Axvard Contract for Solid Waste Collection Pursuant to the Specifications of Bid No. 0001-02 ~~ Mayor Meserve stated that he would like to receive public comments before awarding the bid. Madeline Gray of 1829 Seiva Grande Drive, owner of Seafood Kitchen, requested an explanation of the rate formula used for commercial garbage pick up. She stated that her garbage bill was very high and she would appreciate a reduction. City Manager Hanson stated he would be happy to assist her, and requested that Mrs. Gray contact him the following morning. Kay Friedemann of 1898 Selva Marina Drive favored one day per week yard trash pick up if pick up could be guaranteed. Mrs. Friedemann ~ stated that the current hauler rarely picked up any yard trash on the second day, and if her yard trash was put out and missed, she had to carry it back into her yard due to the lack of pazking spaces on her block of Selva Marina Drive . „~, i Mary Williams of Southland Waste distributed copies of the results of a residential survey she conducted which favored her company's proposed Wednesday yazd trash pick up if it saved the city money. Ms. Williams indicated that their low alternate bid was based on Wednesday ~'! ~~~ pick up, and would save the city $18,827 over the next.lowest bid. V V 0 0 r T E E s s M S O E T C I O Y 0 N E N N D S O COMMISSIONERS ~. AGENDA ITEM # 8C NOVEMBER 13, 2006 Minutes Page -2- December 18, 2000 -°°""~. Mayor Meserve indicated that issues concerning awarding the contract which came up at the December 11, 2000 were being addressed. City Manager Hanson indicated that the following three areas needed to be addressed: (1) a choice of level of service, (2} savings realized if service was reduced to once a week pick up, and (3) the options associated with the once a week service. City Manager Hanson indicated that if the Commission decided on once a week service, it must determine whether the collection would be on Monday or Wednesday. He further stated that the essential difference between the BFI and Southland Waste bids was the collection day, and indicated that if Monday was morc important, then a decision must be made to determine if it was worth the additional $19,0.00 per year, and if it was worth it, then the low bid would be $749,041.46 from BFI. However, if it was not worth the additional expenditure, then the Southland Waste bid should be considered, which was for Wednesday collection. He further stated that the legality of the Wednesday collection day also needed to be addressed, since the question arose as to whether Southland Waste could offer an alternate bid which was discussed during the pre-bid conference, but was not specified in the bid specifications or included in the written bid addendum distributed after the pre-bid ,.^~, • conference. Commissioner Mitchelson felt the city should look at the low bid based , on the b` id s~cxfica___ €i±~ns and choose Monday pick up. ,~„ Commissioner Beaver requested an opinion from City Attorney Jensen on Southland Waste's alternate bid for Wednesday pick up. City Attorney Jensen stated that Wednesday pick up was not included in the original bid specifications or the addendum distributed after the mandatory pre-bid meeting. He further stated that Southland Waste was the only company to bid the Wednesday pick up. Commissioner Beaver state the had conducted his own i ormal survey and everyone he had spoken with favored Monday pick up. He felt the city should stay with Monday pick up. Commissioner Bomo also favored Monday and stated that several citizens who contacted him either favored Monday or had no preference. Motion: Award the contract to BFI based on a once a week pickup on Monday (Alternate 1). Amendment to the motion: Add Kin the amount of ~.. • $749,041.56". OMMISSIONERS N1 O T I O N S E C 0 N D Y E S N O BEAVER X X BORNO g MITCHELSON X X WATERS X MESERVE X BEAVER X g BORNO X MITCHELSON X X WATERS X MESERVE X ~. Minutes Page -3- December 18; 2000 '""""' Mayor Meserve felt the city had only two choices, to either rebid the service or accept the low bid for Monday pick up (Alternate 1). There being no further discussion, the amendment to the motion and the main motion carried unanimously. 2. Discussion and Possible Action Regarding the Sewer Master Plan City Manager Hanson indicated that the concerns expressed during the December 11, 2000 Commission Meeting would be addressed, as well as those presented in writing by Commissioner Mitchelson. He then introduced Doug Layton, Vice President of Smith and Gillespie Engineers, Inc., and Scott Lee, Project Manager, who were instrumental in preparing the Sewer Master Plan. Public Works Director Kosoy provided background information and responded to several concerns raised at the previous meeting as follows: Infiltration ~.. ' Public Works Director Kosoy stated that the tests for infiltration performed in 1993 were completed in two days, whereas, those completed by Smith and Gillespie Engineers covered a period of one year beginning in April 1999. He noted an 18% increase in infiltration during the seven years between tests (1993 to 2000), but this was not considered an unusual amount and was expected over the seven year time span. Public Works Director Kosoy reported that twelve streets were surveyed for evidence of heat pumps during this year's Insituform project, and only one was found and heat pumps were not found to be major cause of infiltration problems far the sewer system. Piping of Sewage from North Atlantic Beach Back to the Buccaneer Wastewater Treatment Plant Public Works Director Kosoy reported that the piping began in 1993, with the endorsement of the Water and Sewer Committee, because there was no capacity at the Buccaneer plant. At that time, it was recommended that a lift station be built at Sea Gardens to divert the flow back to the Atlantic Beach plant. It was pointed out that only 7.8% of the flow to Lift Station B came from the Sea Gardens and Oceanwalk ,,,,,.,,~ Iift stations. AGENDA ITEM # 8C NOVEMBER 13.2006 OMMISSIONERS M O T I O N S E C 0 N D Y E S N 0