VI(B) Privatization of Residential Solid Waste Collection and Disposal (Option A) and Award of the Contract to a Private Hauler Agenda 04-06-2004
Item VI B
Center of Good Liv
Mayor �b - Commissioners
S. Scott Vandergrift ''''r Danny Howell, District 1
Scott Anderson, District 2
Acting City Manager Rusty Johnson, District 3
V. Eugene Williford, III Nancy J. Parker, District 4
STAFF REPORT
TO: The Honorable Mayor and City Commissioners
FROM: Robert B. Zaitooni, P.E., Deputy Public Works Director/City Engineer
DATE: April 6, 2004
RE: Privatization of Residential Solid Waste Collection & Disposal (Option A)
Award of the Contract to a Private Hauler
ISSUE:
Should the Honorable Mayor and City Commissioners approve privatization of the collection and
disposal of the residential solid waste (Option A); and award a 5-year contract with an optional
2-year extension to a private hauler from the list of respondents as recommended by the
selection committee?
BACKGROUND AND DISCUSSION:
On March 2, 2004, the City Commission continued the Public Hearing for adoption of Resolution
2004-05 to increase the residential solid waste rate from$16.00 to$18.25; and requested staff
to advertise a Public Hearing to award a contract to a private hauler(Option A)from the list of
the respondents to Request for Proposals (RFP)#03-001.
The City RFP was advertised in August 2003 and six (6)formal proposals were received on
October 14, 2003. In summary, the RFP contained the following:
• A seamless transition from the current in-house to private hauler will take place with
minimum impact to customer.
• A weekly service consisting of two (2) Garbage and one (1) Recycling collection and
disposal, to be phased in over a 3-year period.
• The phase-in period would enable the City to relocate the staff within other Departments
without displacement.
• The current City 96-Gallon garbage carts are used.
• The City retained the option of shortening the phase-in period depending on speed of
the employee relocation process.
• Yard waste and bulky waste collection and disposal are not included in the RFP since a
separate contract currently exists for this service.
• Container management as well as contract administration, complaint resolution and
inspection service will remain with City staff.
City of Ocoee Public Works•301 Maguire Road•Ocoee,Florida 34761
phone: (407)905-3170•fax:(407)905-3176•www.ci.ocoee.fl.us
• Substantial penalties are incorporated for missed service and unresolved customer
issues.
• Residential solid waste rates will not be increased
The actual rates as proposed by the private haulers are summarized in the table below.
Advance Republic *Waste Onyx Florida *Waste
Disposal Services Pro Base&Alt. 1 Recycling Management
13.99 12.35 14.23 13.78 11.63 10.98 13.60
*Proposed graduated rate. Year 4 rates are shown.
On January 20, 2004, the City's selection committee met and ranked the proposals based on
the lowest responsive bid. The lowest responsive bid is defined as the lowest cost hauler with
demonstrated capability, experience, and financial means to execute the requirements of the
RFP as determined by the Selection Committee and approved by the City Commission. The
Ranking by the selection committee were as follows:
Rank 1. Onyx Waste Services, Alternate# 1
Rank 2. Florida Recycling
Rank 3. Republic Services
Rank 4. Waste Management
Rank 5. Advanced Disposal
Rank 6. Waste Pro
It should be noted that the selection committee ranked Alternative#1 proposed by Onyx Waste
Management as number one. This action was due to the fact that the proposed services could
begin at once rather than a 3-year phased-in service. The#2 ranked hauler, Florida Recycling
Services, Inc. can provide the services at a lower rate. Both firms have stated that they can
start the full service within 30 days of the award if the City temporarily lifts the 5-year age
restriction. The actual per customer, per month rate is shown in the table below:
Rate Option A Option C
Component Private Hauler City
City RFP Operation
Onyx,Alt.1 Florida
Recycling
Base rate 11.63 10.98 18.25
Yard waste 1.68 1.68 0
Admin. 2.69 2.69 0
Total 16.00 15.35 18.25
In summary, Option A allows the City to hire a private hauler to perform the services using the
96-gallon carts without loss of employment for current City employees. This option will also
guarantee the Residential Garbage and Recycling Rates will not increase beyond the current
$16.00 for the next 5 years. The container management and contract administration will remain
with City staff with the goal of minimum customer dissatisfaction.
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RECOMMENDATION:
Staff respectfully recommends the Honorable Mayor and City Commissioners to:
1. Select one of the two top ranked haulers as the successful hauler.
2. Approve and award a 5-year contract with an optional 2-year extension to the selected
hauler.
3. Approve lifting of the RFP's age requirement(less than 5 years old)for the equipment
used within the City for 120 days from the notice to proceed to the selected hauler.
Attachments: February 17, 2004 Staff Report
RFP#03-001 Agreement
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Mayor Abe Center of Good LIPCommissioners
S. Scott Vandergrift '""r 41-111.‘'"1"116. Danny Howell, District 1
Scott Anderson, District 2
Acting City Manager :4-4/1 Rusty Johnson, District 3
V. Eugene Williford, III -_ Nancy J. Parker, District 4
CITY OF OCOEE, FLORIDA
RFP # 03-001
AGREEMENT
RESIDENTIAL
GARBAGE & RECYCLING
COLLECTION AND DISPOSAL
Month: Day: , 2004
City of Ocoee• 150 N Lakeshore Drive•Ocoee,Florida 34761
phone: (407)905-3100•fax: (407)656-8504-www.ci.ocoee.fl.us
TABLE OF CONTENTS
PAGE
SECTION 1. DEFINITIONS 3
SECTION 2. TERMS 4
SECTION 3. SERVICES TO BE PERFORMED BY THE CONTRACTOR 5
SECTION 4. ROUTES AND SCHEDULES 7
SECTION 5. QUALITY OF SERVICE 7
SECTION 6. CONTRACTOR'S OFFICE 8
SECTION 7. PAYMENT&BILLING 8
SECTION 8. PERFORMANCE OF AGREEMENT 9
SECTION 9. COOPERATION/COORDINATION 10
SECTION 10. COMPLAINTS&COMPLAINT RESOLUTION 10
SECTION 11. SUBCONTRACTORS 11
SECTION 12. INSURANCE 11
SECTION 13. DEFAULT 12
SECTION 14. PERFORMANCE BOND CONDITIONS 13
SECTION 15. BOOKS&RECORDS 14
SECTION 16. ASSIGNMENT 14
SECTION 17. INDEMNIFICATION 14
SECTION 18. SEVERABILITY 15
SECTION 19. ATTORNEYS' FEES 15
SECTION 20. NOTICES 15
SECTION 21. REQUEST FOR PROPOSALS 16
SECTION 22. MISCELLANEOUS 16
SECTION 23. RATE SCHEDULE 17
EXHIBIT A. ROUTES 19
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PROPOSED RESIDENTIAL GARBAGE&RECYCLING
COLLECTION AND DISPOSAL AGREEMENT
THIS RESIDENTIAL GARBAGE AND RECYCLING COLLECTION AND DISPOSAL
AGREEMENT ("this Agreement")is made and entered into this day of , 2004
between the CITY OF OCOEE,a Florida municipal corporation(hereinafter referred to as the"City")
and a corporation(hereinafter referred to as the
"Contractor").
WHEREAS,the City solicited proposals for the award of a contract for the collection and disposal of
residential garbage and recycling within the corporate limits of the City, said solicitation being entitled
Request for Proposals#03-001;and
WHEREAS,the Contractor submitted a proposal in response to the Request for Proposals which
complied with all of the requirements established by the City;and
WHEREAS,the City Commission of the City awarded the contract for residential garbage and recycling
waste collection and disposal to Contractor,subject to the execution of this Agreement;and
WHEREAS,the parties hereto desire to enter into this Agreement.
NOW,THEREFORE,in consideration of the premises and other valuable considerations exchanged
between the parties hereto,the receipt and sufficiency of which is hereby acknowledged, City and
Contractor hereby agree as follows:
SECTION 1. DEFINITIONS
For purposes of this Agreement the following terms have the following meanings:
Authorized Representative: The Public Works Director or employees designated by the City
Manager to represent the City in the administration and supervision of this Contract.
City: City of Ocoee, Florida,and its authorized representatives.
Contract or Agreement: The contract executed by the City and the Contractor for the performance of
the work. The Contract shall contain substantially the terms provided herein.
Contractor or Vendor: The person, firm, corporation, or entity with whom the City has executed a
contract for performance of the work and it's duly authorized representative.
Disposal Costs: The "tipping fees" charged to the Contractor for disposal of the residential garbage
and recycling collected by the Contractor.
Garbage: Waste from domestic residential consumption, excluding yard waste, recycling, bulky
waste,and residential construction and demolition.
Landfill: Any solid waste land disposal area for which a permit, other than a general permit, is
required by S.403.707, Florida Statutes, that receives solid waste for disposal in or upon land other
than a land-spreading site,injection well,or a surface impoundment.
Mechanical Container: Any detachable metal container designed or intended to be mechanically
dumped into a loader/packer type of garbage truck used by the Contractor.
Multiple Dwelling Units: Any building containing two (2) but not more than four (4) permanent
living units, not including motels and hotels. Buildings containing over four (4) living units are
classified as commercial accounts.
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Performance Bond: The form of security approved by the City and furnished by the Contractor as
required by the Contract as a guarantee that the Contractor will execute the work in accordance with
the terms of the Contract and will pay all lawful claims.
Proposer: Any person, firm, corporation, organization, or entity submitting a proposal for the work
performed.
Request for Proposals: City of Ocoee Request for Proposals (RFP)No. 03-001, Residential Garbage
and Recycling Collection and Disposal.
Residential Dwelling: (Single Family) A detached building designed for or occupied exclusively by
one family.
Residential Service: The waste collection service provided to persons occupying residential dwelling
units who are not receiving commercial service. Residential construction and demolition is not
included in these services.
Recycling: Material and containers from domestic residential consumption deemed appropriate for
recycling including news paper,glass and plastic containers.
Solid Waste Disposal Facility: Any solid waste management facility which is the final resting place
for solid waste, including landfills and incineration facilities that produce ash from the process of
incinerating municipal solid waste.
Special Waste: Solid wastes that can require special handling and management including, but not
limited to,asbestos,whole tires,used tires,used oil, lead-acid batteries,and biological wastes.
Specifications: Directions, provisions, and requirements contained in the Request for Proposals,
together with any written contract made or to be made setting out or relating to the methods and
manner for the work to be carried out.
Waste Regulations: Regulations prescribed by the City together with such administrative rules,
regulations, and procedures as may be established for the purpose of carrying out or making effective
the provisions of the Contract. The City will negotiate or discuss any new rule or regulation adopted
by the City which adversely and materially impacts the Contractor's cost of performing the Contract.
SECTION 2. TERMS
The term of the Contract shall be for the period beginning the date of execution of the contract and
ending September 30, 2008 subject to the option to extend as set forth below. The city at its sole
discretion, may extend this Contract for one additional two-year term by giving written notice of
extension at least sixty (60) days prior to the end of the initial term. Furthermore, City at its own
discretion may adjust (longer or shorter) the length of the extension in order to consolidate
franchises of different type and customer.
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SECTION 3. SERVICES TO BE PERFORMED BY THE CONTRACTOR
A. Required Services
1. Weekly service shall include two (2) Qarbage and one (1) recycling collection per week
per household. Collections are not made on Christmas Day, 4th of July, Labor Day, and
Thanksgiving Day.
2. The Contractor shall collect and dispose of all garbage and recycling at all City buildings,
parks,recreation centers,community centers,etc. at no additional charge.
3. The Contractor shall collect and dispose of all garbage and recycling at special events
including,but not limited to, Founder's Day, parades, races, and other events sponsored by
the City Commission at no additional charge.
4. Existing City of Ocoee garbage containers and recycling bins shall be used for the
operations.
5. Each route shall be completed within the same day between the hours of 7:00 a.m.to 5:00
p.m. In the event of an emergency or unforeseen circumstances, collection may be
permitted at a time not allowed by this paragraph, following approval by the City's
Authorized Representative.
6. Yard waste and bulky waste, commercial collection and disposal, and residential
construction and demolition debris are excluded from this contract.
7. Collection of all garbage and recycling shall be at curbside.
8. Contractor shall provide "Special Care" service for up to twenty-five (25) elderly and
medically challenged citizens at no additional costs. The "Special Care" service involves
garbage and recycling pick-up at the door or where containers and bins are stored. The City
shall solely determine the conditions and criteria for eligibility for the "Special Care"
program.
9. The Contractor shall make collections with a minimum of noise and disturbance to the
residents.
10. Any material spilled by the Contractor shall be completely removed immediately by the
Contractor.
11. Garbage receptacles shall be handled carefully by the Contractor and shall not be bent or
otherwise abused. Containers shall be thoroughly emptied and then left at the proper point
of collection. Plastic cans shall be inverted with covers placed topside up on the ground
next to the container. Any type receptacle found in a rack, cart, or enclosure of any kind
shall be turned upright to such rack, cart, or enclosure with lids placed securely and
properly on the top of said receptacles.
12. Carts and bins shall not be returned in the middle of the driveway, in front of the mailbox,
or in the street.
B. Vehicles&Equipment
1. All vehicles and equipment used for the life of this contract shall be less than five(5)years
of age. The Contractor shall certify that all equipment proposed shall meet or exceed these
requirements now and throughout life of the contract.
2. Equipment shall be obtained from nationally known and recognized manufacturers of
garbage collection and disposal equipment. The equipment shall be kept in good repair,
appearance,and in a sanitary and clean condition at all times.
2. An adequate number of vehicles and equipment to service all assigned routes. An adequate
number of back up vehicles and equipment shall also be kept on hand to meet the demand.
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3. All vehicles and equipment used within the City of Ocoee corporate limits shall be clearly
marked on each side with the vendor's legal business name and a customer service
telephone number(s), and equipment number. The characters shall be at least 5"
letters/numbers.
4. All back-up, replacement, and additional vehicles shall also meet be the age requirements
as specified here unless otherwise agreed by the City. The Contractor shall have available
reserve equipment which can be put into service within two (2) hours of any breakdown.
Such reserve equipment shall correspond in size and capacity to the equipment used by the
Contractor to perform the contractual duties.
5. A list of the Contractor's equipment shall be provided to the City at the time of each
annual audit or within 15 calendar days of a written request by the City.
6. Each vehicle operator shall, at all times, carry a valid driver's license for the type of
vehicle that is being driven.
C. Customer Service
1. The Contractor shall provide a live customer service representative between the hours of
8:00 a.m. to 5:00 p.m. Monday through Friday at a minimum. Automated phone
answering machines, recordings, and voice mail are not acceptable alternatives during the
business hours(8:00 AM-5:00 PM Monday through Friday).
2. The Contractor shall keep record of all complaints received by the date/time, person
reporting, address, telephone number, action taken, date/time of the resolution of the
problem. The Contractor shall fax a copy of the complaint for to the Division of Public
Works as soon as practical but no later than 24 hours from the receipt of the complaint.
The Contractor shall also submit a monthly list of all complaints received to the City's
Authorized Representative with their invoice or by the 10`°of each month.
3. The Contractor shall provide 24-hour emergency cell phone number for a qualified field
representative to the City's representative for the life of the contracts. All calls shall be
returned within 2-hours of receipt.
B. Service Penalties
1. The Contractor shall not have more than three(3)verifiable complaints per month. These
shall include but not be limited to missed pick-ups, spillage on-site or in route, hydraulic
leaks, non-responsive customer service, non-responsive emergency contact, etc. The
Contractor shall pay a $100 penalty for every occurrence over three (3) verifiable
complaints as determined by the City's Authorized Representative or designated officers.
The penalty amount shall be deducted from the contractor's total invoice on a monthly
basis.
2. If a collection is missed and not recovered on a same day by 5:00 p.m.,the City shall make
the collection and assess the costs (labor, equipment, disposal cost, etc.) of the collection
to the contractor. The amounts charged by the City shall be deducted from the
Contractor's monthly invoice.
3. The costs of replacement of damaged containers and bins, as determined by the City, as a
direct or indirect action of the Contractor's employees or collection procedures shall be
deducted from the contractor's monthly invoice.
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C. Emergency Response
1. It shall be the Contractor's responsibility to clean up hazardous material spills
as a result of their operations. The vendor shall have a formal plan to clean up
hazardous material (including hydraulic oil) spills from their vehicles,
equipment, and containers. If the vendor does not respond to reported spills
within the specified time period,the City shall seek other alternatives for clean
up with the entire cost charged to the vendor.
2. A two (2) hour response time is required for spills less than one-half gallon.
For spillage quantity of more than one-half gallon, the response time shall be
within one(1)hour.
3. The Contractor shall provide sufficient labor, equipment, and material within
the specified response time to minimize disruption of traffic.
4. The Contractor shall attend and actively participate a monthly critique meeting
with the City staff for the life of the contract to discuss various issues and
operations. The selected vendor shall record and distribute the minutes of the
meeting to all participants within a 48-hour immediately after each meeting.
5. Contractor's staff shall obey the instructions given by the incident manager,
Fire Department, Police Officers,and City representatives.
6. The Contractor shall attend and actively participate in a post-event critique
session with the City staff and emergency response agencies and discuss the
events and methods to improve the emergency operation. The selected
Contractor shall record and distribute the minutes of the meeting to all
participants within a 48-hour window immediately after each meeting.
SECTION 4. ROUTES AND SCHEDULES
Contractor shall provide the City with schedules and collection routes and shall keep such information
current at all times. The collection schedule shall not be changed or modified without the approval of the
City,which approval may be granted or withheld in the City's sole discretion. Contractor shall notify the
City at least thirty(30)days prior to any change in collection schedules or routes;provided,however,that
the City's Authorized Representative may agree to any such changes on shorter notice. The City shall
then be responsible, at City's expense,to notify each customer prior to any change in collection schedule
which alters the day of collection.
SECTION 5. QUALITY OF SERVICE
1) Contractor's Officer(s): The Contractor shall assign a qualified person or persons to be
in charge of the operations within the City. The Contractor shall give the name(s)of the
person(s) to the City. Information regarding the person's experience and qualifications
shall also be furnished. Supervisory personnel must be available for consultation with
City staff within a reasonable and practicable time after notification of a request for such
consultation. The supervisor (s) shall operate a vehicle which provides mobile
communication for immediate contact with City Staff.
2) Conduct of Employees:The Contractor shall require its employees to serve the public in
a courteous, helpful, and impartial manner. Contractor's collection employees will be
required to follow regular walkways while on private property. Trespassing by
employees will not be permitted. Employees will not cross the property of neighboring
premises unless residents or owners of both such properties shall have given permission.
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Care shall be taken to prevent damage to property including cans, carts, racks, trees,
shrubs, flowers,and other plants.
3) Employee Uniform Regulations: The Contractor's collection employees shall wear a
uniform or shirt bearing the company's name. Lettering stitched on or identifying
patches permanently attached to uniform shirts and jackets will be acceptable. The
Contractor shall keep a record of employees'names and numbers assigned.
4) Compliance with State. Federal. and Municipal Law: The Contractor shall comply
with all applicable City, State, and Federal laws now or hereafter in effect relating to
wages, hours, and all other applicable laws relating to the employment or protection of
employees. The Contractor hall provide operating and safety training for all personnel.
5) Fair Labor Standards Act: The Contractor is required and hereby agrees by execution
of this Contract to pay all employees not less than the Federal minimum wage and to
abide by other applicable requirements as established by the Congress of the United
States in the Fair Labor Standards Act,as amended from time to time.No person shall be
denied employment by the Contractor for reasons of race, sex, national origin, sexual
orientation,creed,age,physical handicap,or religion.
SECTION 6. CONTRACTOR'S OFFICE
The Contractor shall provide, at its expense, a suitable office located within Orange County or within 30
miles of the City of Ocoee City hall. This office shall remain open between 8:00 AM to 5:00 PM,
Monday through Friday, with a local telephone number(s)available for the City where complaints shall
be received, logged,and handled during normal working hours of each week and shall provide for prompt
handling of emergency complaints and all other special or emergency complaints or calls that are referred
by the City. The Contractor shall provide an after hours emergency telephone number.
SECTION 7. PAYMENT AND BILLING
A. PAYMENT AND BILLING
1) Notification to Customers: The City shall be responsible for billing and direct contact
with the citizens.
2) Compensation: The City shall pay the Contractor for the performance of this contract
the sums due based on the unit prices as listed on the Rate Proposal Form multiplied by
the number of units as determined by the City on a month to month basis, subject to any
conditions or deductions as provided under the executed contract. Contractor's Unit Price
Schedule for collections shall include disposal costs. Contractor shall submit an invoice
by the 10th of each month for services rendered during the preceding month which should
include monthly tonnage identified by category or type. Upon approval of invoice,
payment will be made to the Contractor within thirty days of receipt.
3) Billing Procedures: On the first day of each month, the Contract payment(s) for
Collection shall be adjusted to correspond with the occupancy of existing or new
buildings and the demolition of old buildings. The adjustment made on the first day of
each month shall be for buildings either occupied or demolished during the second month
preceding the adjustment;for example,any change which is made on June l'of any year
will be for buildings occupied or demolished in April of the subject year. Any existing
unit shall be considered unoccupied whenever the City has temporarily terminated water
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service, at the customer's request only. Any new unit shall be considered to be occupied
when a certificate of occupancy has been issued and water service has been provided to
the unit's occupant(s). Proof of demolition shall be demolition permits issued by the
Building Department (Protective Inspections). The Contract adjustments will be based
on unit costs included in the Contractor's original bid. The City will notify the
Contractor of any existing unit that is considered unoccupied and of any new unit that is
considered to be occupied.
B. RATE ADJUSTMENTS
1) Adjustments in Disposal Cost: The parties acknowledge that the contract price is based
on the current Tipping Fee schedule of Orange County Landfill at time of award;
however,it is recognized that,from time to time,the actual cost charged to the Contractor
by a disposal agency for disposal of waste at the disposal site may change. In the event
of a change in the tipping fee at the Orange County Landfill,the Contractor may request,
and the City,upon submission of sufficient proof of such change and an adverse financial
impact on the Contractor's operations under this contract, shall grant such increase in
contract price for the disposal cost as will compensate for the actual change of disposal
cost to the Contractor.
2) Annual Rate Adjustments: The rates provided by the contractor shall remain constant
for the first 2 years (year 1 and year 2) of the contract. For the years 3 through 5, the
contractor may be entitled to an annual COLA adjustment as published by the US
Department of Labor but not to exceed 3% annually. The contractor shall submit a
written request to the City's Authorized Representative indicating the request adjustment
and provide the back-up justification for the increase. Upon the final negotiations, the
City's Authorized Representative shall request a formal approval by the City
Commission of the adjusted rates.
3) Changes to Waste Regulations: The City will advise the Contractor in the event it
adopts any new Waste Regulations. In the event the City adopts any new Waste
Regulation which the Contractor believes will adversely and materially impact the
Contractor's cost of performance under this Agreement, then the Contractor shall so
notify the City regarding such new Waste Regulation and document the impact on
Contractor. The City shall consider any such request in good faith and in response
thereto may, in the City's discretion reasonably exercised, elect to(i)repeal or amend the
new Waste Regulation, (ii) adjust the Rate Schedule or other charges hereunder to
eliminate the adverse and material impact, or(iii)advise Contractor that it has reviewed
the information submitted and determined that there is no adverse and material impact
sufficiently documented to the City.
SECTION 8. PERFORMANCE OF AGREEMENT
1. The Contractor's performance of this Agreement shall be supervised by the City's Authorized
Representative. If at any time during the term of this Agreement, performance is considered
unsatisfactory to the City's Authorized Representative,the Contractor shall increase the work
force,tools,and equipment as needed to properly perform this Agreement. The failure of the
City's
Authorized Representative to give such notification shall not relieve the Contractor of his
obligation to perform the work at the time and in the manner specified by this Agreement.
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2. The Contractor shall furnish the City's Authorized Representative with every reasonable
opportunity for ascertaining whether or not the work, as performed, is in accordance with the
requirements of this Agreement.
3. The City's Authorized Representative may appoint qualified persons to inspect the
Contractor's operation and equipment at any reasonable time and the Contractor shall admit
authorized representatives of the City to make such inspections at any reasonable time and
place.
4. The failure of the City at any time to require performance by the Contractor of any provision
hereof shall in no way affect the right of the City thereafter to enforce same; nor shall waiver
by the City of any breach of provisions hereof be taken or held to be a waiver of any
succeeding breach of such provision or as a waiver of any provision itself
SECTION 9. COOPERATION/COORDINATION
1. The City and its authorized representatives shall be permitted free access for the inspection of
all work, equipment, and facilities of Contractor.
2. The Contractor shall cooperate with authorized representatives of the City in every
reasonable way in order to facilitate the progress of the work contemplated under this
Agreement.
SECTION 10. COMPLAINTS AND COMPLAINT RESOLUTION
1. Complaints: All citizen complaints shall be directed or referred to the City who will contact
the Contractor for resolution of the situation. The Contractor shall prepare, in accordance
with the format approved by the City, and maintain a register of all complaints forwarded by
the City and indicate the disposition of each complaint. Such record shall be available for
City inspection at all times during business hours. The form shall indicate the day and time
the complaint was received and the day and time it was resolved. All complaints shall be
resolved within a 24 hour period, except when a complaint is received after 12:00 noon on
the day preceding a holiday or on a Saturday, in which cases the complaint shall be resolved
no later than the next working day. A monthly listing of all the complaints filed and their
disposition shall be provided to the City Manger or his authorized representative on a
monthly basis. Legitimacy of challenged complaints shall be determined on the basis of a
joint inspection by the City's Authorized Representative and representative of the Contractor.
Disputes that cannot be resolved by the City's Authorized Representative shall be referred to
the City Manager whose decision shall be final and binding on the Contractor and the City.
2. Disputes about Collection of Certain Items: It is recognized that disputes may arise
between the City and Contractor with regard to the collection of certain items due to disputes
over the specific language of this Agreement. The City's Authorized Representative may
from time to time notify the Contractor by telephone to remove all such waste. Should the
Contractor fail to remove the waste within twenty-four (24) hours from the time of
notification, the City may do so, and all costs incurred by the City shall be deducted from
compensation due the Contractor. If it is subsequently determined that disputed waste did not
conform to Agreement specifications,the Contractor shall be entitled to reimbursement of the
deduction.
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SECTION 11. SUBCONTRACTORS
Subcontractors will not be permitted under the terms of this Agreement.
SECTION 12. INSURANCE
The Contractor shall not commence any work in connection with an Agreement until all of the
following types of insurance have been obtained and such insurance has been approved by the
City, nor shall the Contractor allow any Subcontractor to commence work on a subcontract until
all similar insurance required of the subcontractor has been so obtained and approved. Policies
other than Workers' Compensation shall be issued only by companies authorized by subsisting
certificates of authority issued to the companies by the Department of Insurance of Florida which
maintain a Best's Rating of "A" or better and a Financial Size Category of "VII" or better
according to the A.M. Best Company. Policies for Workers' Compensation may be issued by
companies authorized as a group self-insurer by F.S. 440.57,Florida Statutes.
• a) Loss Deductible Clause: The City shall be exempt from, and in no way liable
for, any sums of money which may represent a deductible in any insurance
policy. The payment of such deductible shall be the sole responsibility of the
General Contractor and/or subcontractor providing such insurance.
b) Workers' Compensation Insurance: The Contractor shall obtain during the life
of this Agreement,Worker's Compensation Insurance with Employer's Liability
Limits of $500,000/$500,000/$500,000 for all the Contractor's employees
connected with the work of this project and, in the event any work is sublet,the
Contractor shall require the subcontractor similarly to provide Workers'
Compensation Insurance for all of the latter's employees unless such employees
are covered by the protection afforded by the Contractor. Such insurance shall
comply fully with the Florida Workers' Compensation Law. In case any class of
employees engaged in hazardous work under this contract for the City is not
protected under the Workers' Compensation statute, the Contractor shall
provide, and cause each subcontractor to provide adequate insurance,
satisfactory to the City, for the protection of the Contractor's employees not
otherwise protected.
• Include Waiver of Subrogation in favor of the City of Ocoee
c) Contractor's Public Liability and Property Damage Insurance: The Contractor
shall obtain during the life of this Agreement COMMERCIAL AUTOMOBILE
COVERAGE, this policy should name the City of Ocoee as an additional
insured, and shall protect the Contractor from claims for damage for personal
injury, including accidental death, as well as claims for property damages which
may arise from operations under this Agreement whether such operations be by
the Contractor or by anyone directly or indirectly employed by the Contractor,
and the amounts of such insurance shall be the minimum limits as follows:
1) Automobile Bodily Injury Liability&Property Damage Liability
• $1,000,000 Combined single limit per occurrence(each person,each accident)
• All covered automobile will be covered via symbol 1
• Liability coverage will include hired&non-owned automobile liability
• Include Waiver of Subrogation in favor of The City of Ocoee
11
2) Comprehensive General Liability (Occurrence Form) - this policy should name the City of
Ocoee as an additional insured and should indicate that the insurance of the Contractor is
primary and not contributory over the insurance of the City of Ocoee.
• $2,000,000.GENERAL AGGREGATE
• $2,000,000.PRODUCTS-COMPLETED OPERATIONS AGGREGATE
• $1,000,000. PER OCCURRENCE
• $1,000,000 PERSONAL&ADVERTISING INJURY
• Include Waiver of Subrogation in favor of the City of Ocoee
1) Subcontractor's Comprehensive General Liability, Automobile Liability and Worker's
Compensation Insurance: The Contractor shall require each subcontractor to procure and
maintain during the life of this subcontract, insurance of the type specified above or insure
the activities of these subcontractors in the Contractor's policy,as specified above.
2) Owner's Protective Liability Insurance: The Contractor shall procure and furnish an Owner's
Protective Liability Insurance Policy with the following limits: $1,000,000, and per
occurrence, $2,000,000.Aggregate and naming the City of Ocoee as the Named Insured.
3) Contractual Liability - Work Contract: The Contractor's insurance shall also include
contractual liability coverage. NOTE: PUBLIC LIABILITY INSURANCE AND
AUTOMOBILE LIABILITY INSURANCE, THE CITY SHALL BE NAMED AS
ADDITIONAL INSURED.
• $1,000,000.PER OCCURRENCE
• $2,000,000.AGGREGATE
4) Commercial Umbrella:
• $5,000,000.PER OCCURRENCE
• $5,000,000.Aggregate
• Including Employer's Liability and Contractual Liability
5) Certificates of Insurance: Certificate of Insurance Form, naming the City of Ocoee as an
additional insured will be furnished by the Contractor upon notice of award. These shall be
completed by the authorized Resident Agent and returned to the Office of the Buyer. This
certificate shall be dated and show:
A. The name of the Insured contractor,the specific job by name and job number, the name of
the insurer,the number of the policy,its effective date,its termination date.
B. Statement that the Insurer shall mail notice to the Owner at least thirty (30) days prior to
any material changes in provisions or cancellation of the policy.
SECTION 13. DEFAULT
1. In the event that:
a) The Contractor shall fail to keep,perform and observe each and every promise,covenant
and agreement set forth in this Agreement applicable to the Contractor,and such failure
shall continue for a period of more than five(5)days after delivery by the City to the
Contractor of a written notice of such breach or default;
b) The Contractor's occupational or business licenses shall terminate for any reason;
c) The Contractor shall become insolvent,or shall take the benefit of any present or future
insolvencies statutes,or shall make a general assignment for the benefit of creditors,or
file a voluntary petition in bankruptcy or petition or answer seeking an arrangement for
its reorganization,or the readjustment of its indebtedness under the Federal Bankruptcy
12
Laws,or under any other law or statute of the United States or any state thereof,or shall
consent to the appointment of a receiver,trustee,or liquidator of all or substantially all of
its property;
d) The Contractor shall have a petition under any part of the Federal Bankruptcy Laws,or
an action under any present or future insolvency laws or statute,filed against it,which
petition is not dismissed within three(3)days after the filing thereof; or
e) Any information contained in the Contractor's response to the Request for Proposal shall
prove to be incorrect or false in any material respect.
f) Then in any of such events, the City, in its discretion, shall have the right to: (I) Seek
specific performance of this Agreement, or (II) Terminate this Agreement for default,
which termination may be effective twenty-four (24) hours after written notice of such
termination is given to the Contractor,and/or(III)Pursue each other actions and remedies
as may be permitted by law, including an action for actual damages incurred or suffered
by the City. In the event the City elects to terminate this Agreement,then the City may,
at its option, delay the effective date of termination for default until the first day of the
month following the date on which written notice of such termination is given the
Contractor. The City shall specify the termination date on its written notice of
termination. In the event of a default by the Contractor, the City may reasonably
withhold payment to the Contractor for the purposes of a set-off until such time as the
exact amount of damages due the City from the Contractor is determined.
2. In the event that the City shall fail to keep, perform, and observe each and every promise,
covenant and agreement set forth in this Agreement applicable to the City, and such failure
shall continue for a period of more than thirty(30)days after delivery to the City of a written
notice of such breach or default, then the Contractor may, as its sole and exclusive remedy,
seek specific performance of this Agreement. It is expressly agreed that the Contractor shall
not be entitled to terminate this Agreement or seek damages against the City in the event of a
default by the City.
3. In the event that a dispute arises between the City and the Contractor, or any interested party,
in any way relating to this Agreement,the Contractor shall continue to render service in full
compliance with all terms and conditions of this Agreement regardless of the nature of the
dispute. The Contractor shall be liable to the City for all costs reasonably incurred in
providing collection and disposal service should the Contractor fail to provide such services.
4. Upon termination of this Agreement or the expiration of the term hereof,the Contractor shall
cooperate with the City in order to insure an orderly transition of all Residential Garbage and
Recycling accounts to such new contractor(s)as may be designated by the City.
SECTION 14. PERFORMANCE BOND CONDITIONS
1. The Contractor shall, without expense to the City, furnish a performance bond in the form
acceptable to the City as security for the performance of this Agreement. Said performance
bond shall be$500,000 as calculated at award and adjusted yearly on the anniversary date of
this Agreement. All premiums for the performance bond described above shall be paid by the
Contractor. This performance bond shall be written by a surety company licensed to do
business in the State of Florida.
2. The Surety shall be a company or companies satisfactory to the City. Any surety shall be
required to have a resident agent in the State of Florida and shall be duly licensed to conduct
business therein. The requirements of Florida resident agent may be waived by the City if
evidence satisfactory to the City is provided that applicable requirements have been met to
permit service of process on a State official under State law.
13
SECTION 15. BOOKS AND RECORDS
1. The Contractor shall keep complete books and records at its place of business, setting forth a
true and accurate account of all business transactions arising out of or in connection with this
Agreement, including but not limited to a complete customer account listing and a record of
all amounts received for services performed under this Agreement, all in accordance with
good business practices and generally accepted accounting principles. The City shall have
the right to have access to and inspect and copy the contents of said books and records during
normal business hours. Upon thirty (30) days written request from the City, the Contractor
shall provide the City with a complete customer account listing and a record of all amounts
received during the prior twelve(12)months.
2. The Contractor shall annually submit to the City an audited financial statement with respect
to all business transactions arising out of or in connection with this Agreement, which shall
have been prepared by an independent certified public accountant reasonably acceptable to
the City. Each such audited financial statement shall be based on the City's fiscal year of
October 1 to September 30 and shall be submitted to the City on or before November 15 of
each year except that the last such audit shall be submitted within sixty (60) days after the
termination of this Agreement.
SECTION 16. ASSIGNMENT
This Agreement and the rights and privileges thereunder shall not be assigned or otherwise transferred by
Contractor except with the express written approval of the City. The City reserves the right in its sole and
absolute discretion to approve or disapprove any such requested assignment or transfer of this Agreement.
The City may require that any proposed assignee submit similar documentation to that provided by the
Contractor at the time of award of this Agreement. No assignment or transfer shall be effective until the
assignee or transferee has executed with the City an"Agreement of Acceptance,"subject to approval by
the City, evidencing that the assignee or transferee accepts the assignment or transfer subject to all of the
terms, conditions and limitations imposed herein. Any such assignment or transfer shall be in form and
content subject to the approval of the City.
SECTION 17. INDEMNIFICATION
The Contractor shall indemnify,defend and hold completely harmless the City,its elected representatives,
officers, employees and agents of each, from and against any and all liabilities, losses, suits, claims,
demands,judgments,fines,damages,costs and expenses(including all costs for investigation and defense
thereof, including, but not limited to court costs, expert fees and reasonable attorneys fees and paralegal
fees and attorneys and paralegal fees on appeal)which may be incurred by,charged to or recovered from
any of the foregoing(i)by reason or on account of damage to or destruction of any property of the City,
or any property of,injury to or death of any person resulting from or arising out of the performance under
this Agreement, or the acts or omissions of Contractor, its officers, agents, employees, licensees or
invitees, regardless of where the damage, destruction, injury or death occurred,unless such liability, loss,
suit, claim, demand,judgment, fine, damage, cost or expense was proximately caused solely by City's
negligence or by the joint negligence of City and any person other than Contractor or Contractor's
officers, agents, employees, licensees or invitees, or(ii) arising out of the failure of Contractor to keep,
observe or perform any of the covenants or agreements herein to be kept, observed or performed by
Contractor. City agrees to give Contractor reasonable notice of any suit or claim for which
indemnification will be sought hereunder,to allow Contractor or its insurer to compromise and defend the
same to the extent of its interests and to reasonably cooperate with the defense of any such suit or claim.
The provisions of this section shall survive the expiration or earlier termination of the term of this
Agreement with respect to any acts or omissions occurring during the term of this Agreement.
14
SECTION 18. SEVERABILITY
If any part, section, subsection, or other portion of this Agreement is declared void, unconstitutional,
invalid for any reason, such part, section, subsection or other portion, or the prescribed applications
thereof, shall be severable, and the remaining provisions of this Agreement, and all applications thereof
not having been declared void, unconstitutional or invalid shall remain in full force and effect. The City
and the Contractor declare that no invalid or prescribed provision or application was an inducement at the
execution of this Agreement,and that they would have executed this Agreement, regardless of the invalid
or prescribed provision or application.
SECTION 19. ATTORNEYS' FEES
In the event that either party finds it necessary to commence an action against the other party to enforce
any provisions of this Agreement or because of a breach by the other party of any of the terms hereof,the
prevailing party shall be entitled to recover from the other party its reasonable attorneys' fees, paralegal
fees and costs incurred in connection therewith, at both trial and appellate levels, including bankruptcy
proceedings and the right to such reasonable attorneys' fees, paralegal fees, and costs shall be deemed to
have accrued from the commencement of such action and shall be enforceable whether or not such action
is prosecuted to judgment.
SECTION 20. NOTICES
All notices and approvals which any party shall be required or shall desire to make or give under this
Agreement shall be in writing and shall be made or given (i) by certified mail, postage prepaid, return
receipt required,(ii)by hand delivery to named individuals representing the party to be notified,or(iii)by
private parcel,next day(delivery service). Notices, including notice of a change of address or telephone
number, shall be addressed or transmitted to the addressees set forth below, or that a party may otherwise
designate in the manner prescribed herein:
As to the City: City Manager, City of Ocoee
150 North Lakeshore Drive
Ocoee, Florida 34761
Phone: (407)905-3100, ext. 1500
With a copy to: Director of Public Works
City of Ocoee
150 North Lakeshore Drive
Ocoee,Florida 34761
Phone: (407)905-3100 ext. 1505
As to Contractor:
Notices and approvals given or made as aforesaid shall be deemed to have been given and received on the
date of actual receipt.
15
SECTION 21. REQUEST FOR PROPOSALS
Warranty: The City has been induced by the Contractor to award this Agreement to Contractor and to
enter into this Agreement by the Contractor's submittal of that certain response to the Request for
Proposals said response being dated October 14, 2003 and being incorporated herein by reference and
made a part of this Agreement. The Contractor warrants and represents to the City that the information
submitted in said response to Request for Proposals remains true and correct as of the date hereof and
acknowledges that the City is materially relying on the information submitted in said response.
SECTION 22. MISCELLANEOUS
1. Time of the Essence: Time is of the essence with respect to all matters set forth in this
Agreement.
2. Contractor Not an Agent: The Contractor is not,and shall not for any purpose be,the agent
of the City and shall have no power or authority to bind the City in any manner whatsoever.
The Contractor is and shall at all times be an independent contractor.
3. Compliance with Laws: The Contractor shall, at Contractor's expense, comply with all
laws, statutes, ordinances, rules and regulations which may from time-to-time be adopted by
governmental authority which affect the Contractor's performance under this Agreement;
provided,however,that the Contractor may request an adjustment to the Rate Schedule based
upon changes in the City's Waste Regulations as provided in Section 7.6 hereof.
4. Entire Agreement: This Agreement embodies and constitutes the entire understandings of
the parties with respect to the matters contemplated herein, and all prior or contemporaneous
agreements, understandings, representations, and statements; oral or written are merged into
this Agreement. Neither this Agreement nor any provisions hereof may be waived, modified,
amended, discharged, or terminated except by an instrument in writing signed by the party
against whom the enforcement of such waiver, modification, amendment, discharge, or
termination is sought,and then only to the extent set forth in such instrument.
5. Governing Law: It is stipulated and agreed between the parties that this Agreement shall be
interpreted and construed in accordance with the laws of the State of Florida and any trial or
other proceeding with respect to this Agreement shall take place in the State of Florida with a
venue in Orange County,Florida.
6. Captions: Captions of the section and subsections of this Agreement are for the convenience
and reference only, and the words contained therein shall in no way be held to explain,
modify,amplify or aid in the interpretation, construction or meaning of the provisions of this
Agreement.
7. Counterparts: This Agreement may be executed in one or more counterparts,each of which
shall be deemed to be an original,but all of which together shall constitute one and the same
instrument.
16
SECTION 23. RATE SCHEDULE
The following table includes all rate schedules for collection and disposal of residential garbage and
recycling at curbside:
GARBAGE&RECYCLING RATES AT CURBSIDE PER HOUSEHOLD:
Plan Year Total
Year 1 $10.98
Year 2 $10.98
*Year 3 $10.98
*Year 4 $10.98
*Year 5 $10.98
*Rate subject to an increase as defined in Section 7, sub-section B, item 2
PRICES SET FORTH ABOVE ARE FIRM AND ARE NOT SUBJECT TO ADJUSTMENT
EXCEPT AS DEFINED IN THE CONTRACT.
17
IN WITNESS WHEREOF, the CITY OF OCOEE has caused this Agreement to be executed by its
Mayor and attested by its City Clerk, and caused its seal to be hereto affixed; and the said Contractor has
caused this Agreement to be executed in its name by , its
, and caused the seal of said corporation to be hereunto affixed, all as
of the day and year first above written.
Signed, sealed and delivered
in the presence of: CITY OF OCOEE,
a Florida municipal corporation
Print Name: By:
S. Scott Vandergrift,Mayor
Print Name: Attest:
Jean Grafton, City Clerk
(SEAL)
CONTRACTOR:
,a corporation
By:
Print Name: Name:
Title:
Print Name: (SEAL)
FOR USE AND RELIANCE ONLY BY
THE CITY OF OCOEE,FLORIDA.
APPROVED BY THE OCOEE CITY
APPROVED AS TO FORM AND LEGALITY COMMISSION AT A MEETING HELD ON
this day of ,2004. UNDER AGENDA
ITEM NO.
FOLEY&LARDNER
By:
City Attorney
18
EXHIBIT A
SOLID WASTE CURRENT ROUTES
19
GENERAL INFORMATION
Ouantities& Routes
Current number of households= 8,570 Homes
Approximate annual new home addition=400 Homes
Current(July/2002-June/2003) Tonnage information:
Garbage= 10,007 tons
Recycling= 1,090 tons
Current number of garbage routes= 5 Routes
Current garbage pickup days=Monday& Thursday, Tuesday&Friday
Current number of recycling routes=2 Routes
Current recycling pickup days=Monday, Tuesday, Thursday, Friday
20
Garbage Route#1
Monday&Thursday/Truck #716
1. Pioneer Key Park#2 131
2. Pine St., Sanders Dr.,Palm Dr. 15
3. Roberts Rise 35
4. West ,Spring ,Hill ,Orange ay. 48
5. From West street to Ocoee Hills Rd. on 155
Center street, Stark Lake cr., Woodson
1 d, 2nd, 3`d off Center street, Jay& Cardinal
6. From Jay on Flewelling to S, of tracks to Ocoee 117
Hills RD
7. Sliver Glen Off Sliver Star and Clark Rd. 242
8. From Roberts Rise East to 161, 10
1d off Sliver Star to the South, and one
on the right to the North of Silver Star
401 —back door pickup
9. Reserve 104
Total: 857
Tuesday & Friday/Truck# 716
1. Brook Stone #1 & #2 202
#3 89*
2. Windermere Groves 126
3. Blackwood,Brick RD , Geneva ST 25
4. Prima Vista 155
5. Orlando AVE 5
6. Sleepy Harbour 155
7. Harbour Highlands 69
8. Shoal Creek 86
9. East&West Harbour CT 26
Total : 938
Garbage Route#2
Monday&Thursday/Truck#723
1. S of Wurst Rd., Little Spring Hill to Russell 130
2. Caballero CT. and Caballero, Baranova 148
3. All of Russell, Kimball W to Russell 87
4. Twin Lakes 63
5. Prairie Lake Village(N Clark Rd) 372*
6. Fire Department(N Clark Rd) 3
7. Remington Oaks 41*
8. Orchard Park 79*
Total: 923
Tuesday& Friday/Truck#723
1. Twin Lake Wood 37
2. Peach Lake 231
3. Peach Lake Hills and cul-de-sac 357
21
4. Hidden Glen 77
5. Park Side/Dovetail 50
6. Weston 72
7. Coventry 109
Total: 933
Back door pickup, 1911 Leslie Ann
Garbage Route#3
Monday& Thursday/Truck#708
1. Little Spring Hill N of Wurst Rd 160
2. Amber Ridge 138
3. Adair ST 18
4. Wurst Rd 87
5. 3 ST. N of the tracks, S of Wurst RD, E of Russell, 94
Kimball DR. , Sabrina DR. , & Jamela DR.
6. Fox Fire 104
7. Spring Lake 88
8. Sandy Cove 7
Total: 696
Note: Spring Lake CIR Becomes a ONE WAY during School taking in and letting out.
Tuesday & Friday/Truck# 708
1. Temple Groves 132
387 Candy CIR. Has 2 Carts
2. Sliver Bend 182
3. Wedgewood 99
4. White Hill 55
5. Village Of West Oaks 63
6. The Hammocks 121
7. The Highlands 58
8. Veronica Place 61
9. Admiral Point# 1 109
10. Admiral Point#2 48
Total: 928
Garbage Route#4
Monday& Thursday/Truck# 714
1. Lake Olympia 115
2. Lake Olympia Club 65
3. Willows On The Lake 52 *
4. Waterside 146
5. Reflections #1 /#2 164
6. Brentwood 294
708 Snowden-Garbage at Carport
650 Apricot-Garbage in front of house
22
7. Lakeview Village 26
Total: 862
Tuesday& Friday/Truck# 714
1. 821 Marshall Farms Rd , pick up at 7 am 1
2. Cross Creek 322
3. Fire Department on Maguire Rd. 1
4. Wesmere Village 598
5. Club House 1
6. Windsor Landing 91*
Total: 1,014
Garbage Route#5
Monday&Thursday/Truck#706
1. Rewis, Christine, Mac, Melva 41
2. Security Circle 50
3. Mobile Lane, Burnt Tree 77
4. Joe's Shop on left past Burnt Tree 1
5. North Lakewood 15
6. Lyman Av. 25
7. Roberts Rise W to 437 23
8. Sliver Star from Robert Rise to 437 W, 284
to the South to Geneva ST.
9. Off Silver Star on Kissimmee to the N 1
10. North Cumberland off Silver Star 4
11. From Bluford on Silver Star to the West 5
to-437 only on the N side
12. Pioneer Key Park#1 146
13. Fire Department 1
14. Community Center 3
15. Police Department 1
16. Boat Dock 4
Total: 681
Note: Pick up cans on Lake Shore Drive
Tuesday&Friday/Truck#706
1. Sawmil 408
5046 Log Wagon Back Door Pickup
2. Star Rd. 1
3. Carriage Oaks 28
4. Forest Oaks 293
5. Prairie Oaks 6
6. Fire Chief 1
7. Johio Bay&Johio Shores Rd. 14
8. Richfield 73
Total: 824
23
RECYCLING ROUTES
MONDAY
Truck#713
1. Little Spring Hill N of Wurst Rd 160
2. Wurst Rd 87
3. Fox Fire 104
4. Spring Lake 88
5. Sandy Cove 7
6. From Bluford on Sliver Star to the 5
west to 437 only on the N side.
7. Off Sliver Star to the N on Kissimmee Ave. 1
8. Pioneer Key Park#1 and Park#2 249
9. Pine, Palm and Sanders Dr. 15
10. Silver Glen off Silver Star and off Clark RD#1 188
#2 54
11. Fire Department Clark Rd. 1
12. Orchard Park 79 *
Total: 984
Truck#722
1. Amber Ridge 138
2. Adair ST. 18
3. Twin Lakes 63
4. S of Wurst Rd., Little Spring Hill 130
to Russell
5. Caballero CT.and Caballero,Baranova 148
6. All of Russell, Kimball W to Russell 87
and all Streets joining Russell N of tracks
7. 3 streets N of tracks, S of Wurst Rd, 94
E of Russell,Kimball DR, Sabrina DR
and Jamima DR
8. Reflections 151
9. Reserve 104 *
10. Prairie Lake Village 372
11. Remington Oaks/Hargate 41
Total: 1,346
24
TUESDAY
Truck: #713
1. 821 Marshall Farms Road 1
2. Brook Stone#  202
#3 89*
3. Club House(In Wesmere) 1
4. Wesmere 598
5. Cross Creek 322
Total 1,211
Truck: #722
1. Orlando Ave 5
2. Prima Vista 155
3. Sleepy Harbour 155
4. Shoal Creek 86
5. Harbour Highlands 69
6. East and West Harbour Courts 26
7. Veronica Place 51*
8. Admiral Point#1 109
9. Admiral Point#2 38*
10. Highlands 58
11. The Hammocks 121
12. Geneva,Brick Road and Blackwood 25
13. Windermere Groves 126
14. Windsor Landing 111*
15. Fire Department on South Maguire Rd 1
Total: 1,136
THURSDAY
Truck: #713
1. 801 on Silver Star Rd/and 1ST 10
2. All of Center ST. ,Woodson, 1ST,2nd, 3rd 330
off Center.West, Spring,Hill, Orange,
Cardinal and Jay ST. Stark Lake Circle,
On Flewelling from Spring E to Ocoee
Hills Rd N to Tracks.
3. Lakeview Village 26
4. Brentwood 294
5. N Kissimmee of Sliver Star 1
6. N Cumberland of Sliver Star 4
7. Lake Olympia 115
8. Lake Olympia Club 65
Total: 845
Truck: #722
1. Roberts Rise 35
2. Rewis, Christine, Mac,Melva 41
3. Security Circle 50
4. Mobile Lane and Burnt Tree 77
5. Joe's Auto Shop North of Burnt Tree 1
25
6. North Lakewood 15
7. Lyman Av. 25
8. From Lyman to Sliver Star 23
and Silver Star from Roberts Rise W to 437
9. From Sliver Star to the S to Geneva ST. 284
From Lake Shore Dr.to the W to Bay ST.
and Lyle ST
10. Willows On The Lake 52*
11. Waterside 146
12. Police Department 1
13. City Hall 6
Total: 756
FRIDAY
Truck#713
1. White Hill 55
2. Wedgewood 99
3. Village of West Oaks 63*
4. Johio Bay 10
5. Johio Shores Rd 4
6. Silver Bend 182
7. Temple Grove 132
8. Weston Park 72
9. Prairie Oaks 6
10. Carriage Oaks 28
11. Sawmill 408
Total: 1,059
Truck#722
1. Peach Lake 231
2. Twin Lake Woods 37
3. Peach Lake Hills 357
4. Fire Chiefs House 1
5. Forest Oaks 293
6. Richfield 73
7. Hidden Glen 77
8. Parkside 50
9. Coventry 109
Total: 1,228
26
e Center of Good Llv
Mayor �b It1 Commissioners
S. Scott Vandergrift ''',r Danny Howell, District 1
Scott Anderson, District 2
City Manager_ Rusty Johnson, District 3
Jim Gleason _ Nancy J. Parker,District 4
STAFF REPORT
TO: The Honorable Mayor and Board of City Commissioners
FROM: Bob Zaitooni, Deputy Public Works Director
DATE: February 17, 2004
RE: Residential Solid Waste Collection & Disposal Options
ISSUE:
Should the Honorable Mayor and Board of City Commissioners consider the available options
for the collection and disposal of residential garbage and recycling in the City of Ocoee; and
select and approve one of the available options?
BACKGROUND AND DISCUSSION:
The current rate charged for the residential solid waste(garbage and recycling)collection and
disposal is$16.00 per customer per month. Staff previously requested the City Commission to
increase the current rate to sustain the in-house residential garbage and recycling operation,
and plan for the future growth and replacement of the rolling stock. The City Commission, on
June 17, 2003, instructed staff to evaluate privatization of the residential waste collection and
disposal within the City limits while ensuring relocation of the current City sanitation employees
without loss of jobs. Staff conducted a comprehensive evaluation of the available options and
has narrowed the choices to the options listed below for consideration by the City Commission.
Option A. Privatization of residential garbage and recycling through a City RFP process.
An RFP was advertised in August 2003 and six(6)formal proposals were received on October
14, 2003. In summary, the RFP contained the following:
• A seamless transition from the current in-house to private hauler will take place with
minimum impact to customer.
• A weekly service consisting of two(2) Garbage and one(1) Recycling collection and
disposal, to be phased in over a 3-year period.
• The phase-in period would enable the City to relocate the staff within other Departments
without displacement.
• The current City 96-Gallon garbage carts are used.
City of Ocoee Public Works•301 Maguire Road•Ocoee,Florida 34761
phone:(407)905-3170•fax:(407)905-3176•www.ci.ocoee.fl.us
• The City retained the option of shortening the phase-in period depending on speed of
the employee relocation process.
• Yard waste and bulky waste collection and disposal are not included in the RFP since a
separate contract currently exists for this service.
• Container management as well as contract administration, complaint resolution and
inspection service will remain with City staff.
• Substantial penalties are incorporated for missed service and unresolved customer
issues.
• Residential solid waste rates will not be increased
Two (2) of the six (6) haulers have proposed a graduated rate, increasing every year through
the life of the contract. The remaining haulers proposed a constant rate for the five (5) year
contract. It should be noted that the rates shown in Table 1 are not adjusted to cover the in-
house (City) administrative costs. The rates as proposed by the private haulers are summarized
in the table below.
Table 1. Proposed Rates by RFP Haulers
Advance Republic *Waste Onyx Florida *Waste
Disposal Services Pro Base&Alt 1 Recycling Management
13.99 12.35 14.23 13.78 11.63 10.98 13.60
*Proposed graduated rate. Year 4 rates are shown.
The City's selection committee met on January 20, 2004 and ranked the submitted RFP's based
on the lowest responsive bid. The lowest responsive bid is defined as the lowest cost hauler
with demonstrated capability, experience, and financial means to execute the requirements of
the RFP as determined by the Selection Committee and approved by the City Commission.
The Ranking by the selection committee were as follows:
Rank 1. Onyx Waste Services, Alternate# 1
Rank 2. Florida Recycling
Rank 3. Republic Services
Rank 4. Waste Management
Rank 5. Advanced Disposal
Rank 6. Waste Pro
In summary, Option A allows the City to hire a private hauler to perform the services using the
96-gallon carts without loss of employment for current City employees. This option will also
guarantee the Residential Garbage and Recycling Rates will not increase beyond the current
$16.00 for the next 5 years. The container management and contract administration will remain
with City staff with the goal of minimum customer dissatisfaction.
Option B. Orange County to provide the services through an Interlocal Agreement.
Orange County Utilities, through use of their franchise agreement with various haulers, has
submitted an Interlocal Agreement for the collection and disposal of residential solid waste
within the City limits. Orange County has proposed 2 methods of collection, one that includes
the use of the City's 96-gallon carts and a second that requires no carts. A summary of the
highlights include the following:
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• Services will include 2 Garbage,.1 Recycling, and 1 Yard Waste per week.
• Curbside garbage service will include an unlimited number of containers and 2
containers of material from repairs and remodeling, at no additional charge.
• Weekly curbside yard waste service of 3 cubic yards versus City's limit of 2 cubic yards.
• Orange County will assign a hauler for services within the City of Ocoee.
• City will maintain customer service for responding to Ocoee citizens.
• Orange County will administer the contract with the hauler and will be responsible for
enforcing the terms of the contract.
• Orange County will be billing the City on a monthly basis with the option of annual
assessments on the tax roll.
• City of Ocoee will continue to bill the customers for services within the City, but may
elect to become part of the County-wide assessment for residential solid waste.
• Termination clause will be based on Orange County's contract with the assigned hauler.
• The City will not have a franchise or contract with a private hauler.
Orange County's current hauler collection plan includes five(5) service areas or zones. Each
service area has been competitively bid and negotiated with a hauler. The current haulers for
the service areas are as follows:
Service Area Vendor
Zone 1 Onyx Waste Services of Florida, Inc.
Zone 2 Waste Management Inc. of Florida
Zone 3 Republic Services of Florida LP
Zone 4 Waste Management Inc. of Florida
Zone 5 Republic Services of Florida LP
Although each zone has been negotiated at a different annual compensation rate, using a
compensation adjustment methodology, Orange County has equalized the annual rate for all
customers through a MSTU program. The City of Ocoee falls within Zone 1 of the Orange
County's current plan. However, Orange County reserves the right to assign the City to another
hauler.
Without the use of the 96-gallon carts and using only bags or 32-gallon cans, the current
assessment rate as adopted by the Board of County Commissioners (BCC) is$146.06 per year,
which is assessed on residential customers tax bills in unincorporated Orange County. The
current annual rate translates to$12.17 per customer per month. This rate is set annually by
the County Commission and may be increased or decreased.
With the use of the 96-gallon carts, which requires the private haulers to modify their current
collection rolling stock with mechanical arms, the rate will be$15.24 per customer per month.
This rate includes collection of yard waste on Wednesdays only throughout the City. If yard
waste is collected throughout the week, the rate is$16.24 per customer per year. The rates
shown here for Option B do not include the additional administrative costs, which will be
incurred by the City.
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Option C. City Continues with the current in-house operations
In order to stay in business, City must consider the actual cost of the in-house operation while
providing for the future growth (new routes)as well as replacement of the existing fleet and
supporting equipment.
It is anticipated that a new route is required for approximately every 2 years. Therefore, a new
truck($150,000) and a new driver($55,000) are required every 2 years. The current fleet of 9
trucks (7 garbage trucks and 2 recycling trucks) should also be systematically replaced after the
fifth year of service but no more than 7 years to ensure delivery of the expected level-of-service,
maximizing salvage value, and minimizing repair costs.
A financial analysis of the historical costs versus revenues was conducted to provide the basis
for formulating a true customer rate. This analysis identified the various cost components
(personnel, operating, and capital)for the proceeding fiscal years. Adjustments for capitalization
of new routes and replacement rolling stock were made where necessary for inclusion within the
rates. The true cost of the in-house operation is calculated at$18.25 per customer per month
through the end of fiscal year 2008-09. If Option C is chosen, the following actions and
expenditures are recommended:
• Complete purchase of the truck currently on hold at nearly$146,000
• Replace 2 truck in the current fiscal year$300,000 from R & R funds
• In FY 2004-05 budget, replace 1 truck at$150,000 and add 1 new truck($150,000)
and 1 new driver($55,000), for the total cost of$355,000.
The City currently receives a 20% Franchise Fees from Commercial Franchise for the collection
of commercial waste within the City limits. For the fiscal year 2002-2003, a total of$139.768.21
was collected and deposited in General Funds. In addition to the Franchise Fees, the City
receives revenues generally referred to as the"Delta"which is deposited into the Solid Waste
Funds. The revenue is the difference between the rates established by Ordinance for the
commercial customers versus the contract fees for the current franchisee. In FY 2002-03, City
received $153,579.38 from this revenue source.
ECONOMIC ANALYSIS:
For Options A and B, in addition to the base rate, there are other cost components that consist
of the administrative costs associated with the program and the costs of the current City's Yard
and Bulky Waste Collection and Disposal. Table 2 includes a summary of the calculations with
the addition of the other cost components. The calculation shown in Table 2 is for FY 2004-05
rates.
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Table 2. FY2003-04 Rate Comparisons
Rate Option A Option B Option C
Component Private Hauler Orange County City
City RFP Interlocal Operation
Onyx,Alt.1 Florida 32-gallon 96-gallon
Recycling
Base rate 11.63 10.98 12.17 15.24 18.25
Yard waste 1.68 1.68 0 0 0
Admin. 2.69 2.69 1.30 1.30 0
Total 16.00 15.35 13.47 16.54 18.25
The rate for the Interlocal Agreement with Orange County is established by the Board of County
Commissioners and may increase or decrease. Historically, the rate has declined in the recent
years. The current City's Yard& Bulky waste contract will expire in the end of August 2006,
with an option to extend for an additional 2 years. The City may evaluate its options for this
service as the expiration date nears.
If Option B is chosen, City may chose to negotiate the immediate termination of the current Yard
& Bulky Waste contract since the services are included. The calculations shown in Table 4
assume termination of the contract for Option B. Table 3 is a summary of projected rates for the
current fiscal year and as projected for the next 5 years.
Table 3. Comparison of Rates per Customer per Month
Options FY FY FY FY FY FY
03-04 04-05 05-06 06-07 07-08 08-09
Option A Onyx,Alt. 1 $16.00 $16.00 $16.00 $16.00 $16.00 $16.00
Florida Recycling $15.35 $15.35 $15.35 $15.35 $15.35 $15.35
*Option B 32-gallon $13.47 $13.47 $13.74 $14.01 $14.29 $14.58
96-gallon $16.54 $16.54 $16.87 $17.20 $17.55 $17.90
Option C Projected rate $18.25 $18.25 $18.25 $18.25 $18.25 $18.25
*Assumes a 2%increase per year after FY 2004-05
Administrative Costs
The administrative costs associated with the options differ for the Orange County Interlocal
versus the private hauler option. This is primarily due to the costs to the City for the
management of the program including staff, equipment, and containers. The cost of customer
billing remains similar for both options at this time.
Option A will require one (1) Manager, one(1) Inspector, and one (1) customer service member
for the management of the program. Considering all other costs such as vehicle, fuel&
maintenance, communication, insurance, billing, and auditing, the in-house administrative cost
is estimated at$2.69 per customer per month.
Option B will require less in-house staffing which will include one-half(1/2) of an Inspector and
one (1) customer service member will be needed for the management of the program.
Considering all other costs such as vehicle, fuel &maintenance, communication, insurance,
billing, and auditing, the in-house administrative cost is estimated at$1.30 per customer per
month.
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Method of Payment
Under all 3 options, the City will continue monthly customer billing as currently exists. Under
Option B, the current Orange County plan is designed for the customer charges to be assessed
on their annual tax bill. This option will also be available to the City, at City's option, provided
sufficient notice is served to the Orange County Property Appraiser and Tax Collector.
PROGRAM COMPARISON:
In addition to the actual costs of each program as discussed under economic analysis, each
option presents a set of unique characteristics to be evaluated. These characteristics are
sometime not readily quantifiable as the actual costs or rates as summarized below.
Option Advantages Disadvantages
• Same service as in-house now • Less City control
• Rate is not increased • Lower level-of-service expectations
A • 96-gallon carts are used • Less customer friendly than in-house option
• City administers contract • Anticipate contractual issues
• No reoccurring capital costs
• Minimum worker's compensation issues
• Strong contractual requirements
• Same service frequency • City does not administer contract
• Higher waste volumes allowed • Less control by City
g • Have option to use of 96-gallon carts • Not designed for 96-gallon cart operation
• Lower City administrative costs • Collection routes and/or days may change
• No reoccurring capital costs • W/96-gallon cart, rate is higher than Option A
• Minimum worker's compensation issues
• Strong contractual requirements
• City retains complete control • Higher costs and rates
• 96-gallon carts are used • Reoccurring capital costs
C • Better customer care by City staff • Addition of new routes
• Response is faster to customer issues • High worker's compensation
• If subsidized, impacts other vital programs
RECOMMENDATION:
Based on staff evaluation of the available options as presented in this report, the following
conclusions are made:
1. If the current method of collection using the 96-gallon carts is desired, the most
economical option is Option A, which entails contracting a private hauler through the
RFP process. This option guarantees"no increase" in the current rate for the next 5
years with City providing the containers as in the current in-house operation; and City
retains control of the contract.
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The selection committee has short-listed the top 2 haulers for the consideration by the
City Commission as described earlier in this report. If this option is selected, staff
requests that the RFP equipment age requirements be lifted for a period of 90 days
from the award to allow the haulers to begin operation within 30-days of the award date.
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2. If there is no preference for the 96-gallon carts, then the most economical option is
Option B, which entails executing an Interlocal Agreement with Orange County to
provide the services. Under this option, there are substantial cost savings to the City as
described earlier in this report. It should be noted that under this option, the
administration and enforcement of the contract provisions with the hauler would remain
with Orange County.
3. If continued in-house operation is desired, a rate increase and implementation of the
rolling stock replacement program as described earlier are required. From a level-of-
service standpoint, this option will probably yield the best and most responsive
customer care.
Attachments: Orange County Interlocal
Fleet Report
Administrative Cost Calculations
RFP Evaluation Form
RFP Bid Tabulation
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