RFP For Solid Waste, Recycling and Organics Collection Services 05-07-13

CITY OF CARMEL-BY-THE-SEA
STAFF REPORT

TO: MAYOR BURNETT AND COUNCIL MEMBERS

THROUGH: JASON STILWELL, CITY ADMINISTRATOR

DATE: 7 MAY 2013

SUBJECT: RECEIVE THE DRAFT REQUEST FOR PROPOSALS (RFP)
FOR SOLID WASTE, RECYCLING AND ORGANICS
COLLECTION SERVICES AND PROVIDE COMMENTS ON
THE RFP TO THE MONTEREY REGIONAL WASTE
MANAGEMENT DISTRICT

RECOMMENDED MOTION
Receive the Draft Request for Proposals (RFP) for Solid Waste, Recycling and Organics
Collection Services and provide comments on the RFP to the Monterey Regional Waste
Management District.

BACKGROUND
On October 2, 2012, the City Council authorized the City Administrator to sign a letter of
agreement to engage in a competitive Waste and Recycling Franchise Agreement
procurement process with the Monterey Regional Waste Management District
(MRWMD). MRWMD has been working with a consultant and staff from the nine
member agencies to coordinate the model franchise procurement process, resulting in the
attached draft Request for Proposals (RFP) and a draft model franchise agreement
(Attachment A of the RFP). The RFP will be used to solicit proposals from companies
interested in providing solid waste, recyclable materials and organic materials collections
to participating jurisdictions. A fact sheet on the RFP Process is attached for reference.

This item is on the Councils agenda to provide comments on the draft RFP to MRWMD.
MRWMD will review the draft RFP and member agencies comments on May 17, 2013
and then release the RFP on May 31, 2013. Proposals will be due on August 16, 2013
and City Council would approve a new franchise agreement in J anuary-March 2014. The
Citys current franchise agreement expires on J une 30, 2015.

The RFP will request that proposers submit a Base Proposal for collection services and
programs that are similar to the current scope of services provided to jurisdictions such as
residential trash, recycling and green waste collection and commercial trash and recycling
collection (pages 14-17) and curbside battery collection. In addition, proposers will
submit Alternative Proposals for new programs that include food scrap/organics
collection, expanded bulky residential pickup and public education and outreach (pages
17-20). Proposers will submit separate cost proposals for each participating jurisdiction
that reflect services, community profile and other factors. The City will be able to
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consider the cost proposals associated with these various services as part of a new
franchise agreement.

Proposers shall provide new collection vehicles and will have the opportunity to propose
the use of alternative fuel technology and shall also provide new containers using color-
coding of dark neutral for solid waste, blue for recycling and green for organics and
labeling of acceptable and prohibited items for various service types. Proposers have the
option of using either MRWMDs or their own recycling processing facility.

FISCAL IMPACT
The RFP is intended to assist jurisdictions in achieving high quality services at the lowest
price, including possible discounts for regional services. The Citys current franchise
agreement is about $2 million annually.

ATTACHMENTS
RFP Process Fact Sheet Prepared by MRWMD
Draft RFP

62
63
Fact Sheet on MRWMD Partici pating Agency RFP Process
Ql: What is the purpose of the RFP process?
Al: The RFP process is intended to identify t he best value (high quality service at the lowest price) Franchise
Waste and Recycling service provider for each of the participating agencies. These services, for which a
monopoly right is granted, have not been subjected to competition in over 30 years. The RFP process was
developed by both the District and all participating agencies.
Q2: What services are being requested through the RFP process and how are they different from the current
services provided by the current franchised hauler?
A2: The RFP is soliciting proposal s for the services that each participating agency currently receives as a
" base proposal". In general, these services include trash, recycling, and green waste collection from residents
and trash and recycling collection from businesses and institutions. The base proposal also provides for
numerous public services (e.g., at large events) and services to agency facilities at no charge to the agency.
In addition, the RFP is requesting pricing and service approaches for additional services that will improve
recycling and waste diversion in the community. Those services include collecting food scraps from residents for
recycling, converting the current pilot program for business food waste recycling into an ongoing program,
creating a bulky-item re-use collection program in cooperation with the District's "Last Chance Mercantile", and
expanding recycling education and outreach to the public. Each agency will be able to consider the cost and
effectiveness of these programs before making any commitment regarding implementing them.
Q3: How long is the proposed contract going to last once a contractor is selected?
A3: The term of the contract is 10 years with an option to extend the agreement up to 5 more years.
Q4: What facilities are the proposers expected to use for handling the collected material?
A4: Proposers are invited to offer the use of their own recycling processing facility (known as a single-stream
M RF) to process and market recyclables. In addition, the District is offering its MRF to any proposer (e.g., if a
proposer does not have a cost-effective local processing facility of their own) . This public option is intended to
create a more competitive environment where companies who have not made significant capital investments in
a MRF can compete with those who have. Proposers are directed to use District facilities for all other material
handling (i.e., composting, salvage/ re-use, landfill, etc.).
QS: How will the proposers provide separate costs that reflect the unique cost of service in each of the
participating agencies to prevent one agency from subsidizing another?
AS: The proposers are required t o submit separate cost proposals for each of the participating agencies that
reflect the services, community profile, distance from facilities, and other factors that influence cost of service.
These proposals will be stand-alone offers that any one agency could act on regardless of the actions of other
agencies.
QG: How will the cost proposals reflect the economies of scale if more than one agency contracts with the
same company?
A6: In addition, the proposers are asked to propose a discount for the award of multiple contracts. This
discount (expressed as a percentage savings compared to the stand-alone pricing) would reasonably increase as
the number of agencies contracting with that proposer increases. This savings reflects the proposer's ability to
spread overhead (e.g., management, administration, vehicle parking facilities, offices, etc.) to more customers.
64
Fact Sheet on MRWMD Participating Agency RFP Process
Q7: How does the RFP process and/or new contract impact franchise or other fees paid to each of the
participating agencies?
A7: The RFP does not include any changes to the fees charged by each of the agencies currently. However,
this process offers each agency the opportunity to consider their fee amounts and basis and make changes, if
they would like. Such changes can be made any time up to the final negotiation of the franchise agreement. This
may allow agencies to receive proposals on the basis of their current fees and delay decisions about changes
until the cost of new services and impact on customer rates is known.
QS: What is the District's role i n the RFP process and how does it impact each agency?
A8: As mentioned in Ql above, the District and each of the participating agencies worked together to
develop the RFP process. The District is facilitating the regional RFP process, contracting with a consultant who
specializes in these types of solid waste RFPs, and providing subject matter expertise to the participating
agencies. Each participating agency will continue to have their own separate franchise agreement and each
agency will make its own decision regarding the selection of a contractor, establishment of rates to customers,
establishment or revision of agency fees, and will retain ultimate authority for the contract.
Q9: What is the schedule for the RFP process and at what points will each agency's elected body be engaged
in the process?
A9: The process and schedule are outlined in the table below with participating agency decision points
bolded for emphasis.
ACTIVITY COMPLETION DATE*
Board Reviews/Approves Draft RFP to Member Agencies March 15, 2013
Member Agency Elected Bodies Consider/Comment on Draft RFP March -April 2013
TAC Meeting to Receive Member Agency Input April17, 2013
Final Member Agency Input Received on Draft RFP May3, 2013
District Board Approves RFP for Issuance May 17, 2013
District releases RFP for Collection and Processing Services May 31, 2013
Deadline for submittal of written questions before the pre-proposal meeting June 14, 2013
Mandatory pre-proposal meeting June 20, 2013
Deadline to submit additional written questions June 28, 2013
District will issue: response to written questions, summary of responses provided July 12, 2013
at the pre-proposal meeting, and RFP addendum if necessary.
Proposers submit proposals August 16, 2013
Evaluation Panel conducts interviews with one or more proposers October 20, 2013
Evaluation Panel recommends contractor(s) November 8, 2013
Evaluation Panel recommendation presented to Participating Agencies November- December 2013
Participating Agencies complete negotiations with contractor(s) December 18, 2013
Participating Agency elected bodies approve franchise agreements January- March 2014
Contractor commences services April - August 2015
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Fact Sheet on MRWMD Participating Agency RFP Process
QlO: Must each agency execute a contract with the proposer recommended through this process?
A10: No. The ultimate decision regarding the selection of a contractor will be left to each agency; each agency
is free to select from among all proposals received which may be a different service provider from their
neighboring agencies. The RFP is clear with the proposers that the issuance of the RFP does not bind any of the
participating agencies to a selection and that each agency may act in their own best interest at any time during
the process.
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DRAFT
For Participating Agency Review
March 20, 2013
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MONTEREY PENINSULA COMMUNITIES
REQUEST FOR PROPOSALS FOR
SOLID WASTE, RECYCLING, AND ORGANICS COLLECTION SERVICES
Proposal Information: The Monterey Regional Waste Management District (District), on behalf of the
cities of Carmel-by-the-Sea, Del Rey Oaks, Marina, Pacific Grove, Sand City, Seaside, and the Pebble
Beach Community Services District (hereinafter "Participating Agencies"), is requesting proposals for the
collection of solid waste, recyclable materials, and organic materials. Copies of this Request for Proposal
(RFP) may be obtained upon request from the District's consultant:
Attn: Rob Hilton
HF&H Consultants, LLC
201 North Civic Drive, Suite 230
Walnut Creek, CA 94596
(925) 977-6959
(925) 977-6955 fax
rchilton@hfh-consultants.com
All questions regarding the RFP should be directed to the District's consultant. In order to preserve the
integrity of the RFP process and to ensure that all proposers are provided consistent information,
interested parties are asked to refrain from contacting staff or elected officials representing the District
or Participating Agencies. The District reserves the right to reject proposals from proposers who contact
Participating Agency staff or elected officials after the date this RFP is issued.
Pre-Proposal Meeting: All proposers should attend a mandatory pre-proposal meeting on June 20, 2013
at 10:00 a.m. at the District's offices. Interested parties should R.S.V.P. by phone or e-mail to the
District's consultant, by June 7, 2013, if attending the pre-proposal meeting. The District reserves the
right to reject proposals received from proposers that do not attend the pre-proposal meeting.
Proposal Submittal: All proposals must be received by 3:00 p.m. on August 16, 2013. Proposals
received after this time and date may be rejected. Postmarks will not be accepted as proof of receipt.
Proposers shall mail or hand-deliver proposal packages to the District's consultant at the address above.
Register to Receive Future Correspondence and Announcements: If you are interested in receiving
future correspondence or announcements related to the RFP process, please contact the District's
consultant (see phone number and e-mail address above) and request that your name be placed on the
list of interested parties. If you do not register as an interested party by June 25, 2013, any future
correspondence or announcements related to this RFP may not be transmitted to you.
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Monterey Regional Waste Management District
Table of Contents
RFP for Collection Services
Draft for Participating Agency Review
TABLE OF CONTENTS
SECT\ON 1: \NTRODUCTION ....................................................................................... 1
1.1 RFP Process Goals and Objectives ................................................................ 1
1.2 RFP Overview ................................................................................................. 2
1.3 Organization of RFP ........................................................................................ 3
1.4 RFP Schedule ................................................................................................. 3
1.5 Community Background Information ............................................................... 5
SECTION 2: BACKGROUND ........................................................................................ 6
2.1 Description of Current Services ....................................................................... 6
2.2 Demographic and Commercial Information .. ................................................... 9
2.3 Current Tonnage and Account Data ................................................................ 9
2.4 Historical Operating Information .................................................................... 10
2.5 Current Diversion Information ....................................................................... 10
2.6 Billing Process ............................................................................................... 11
2.7 Current Rates and Rate Revenues ............................................................... 12
2.8 Participating Agency Fees ............................................................................. 12
SECTION 3: REQUESTED SERVICES & POLICIES .................................................. 13
3.1 Scope of Services for Base Proposals .......................................................... 14
3.2 Scope of Services for Alternative Proposals ................................................. 17
3.3 Collection Equipment .................................................................................... 20
3.4 Local Office and Corporation Yard ................................................................ 21
3.5 Subcontractors .............................................................................................. 22
3.6 Municipal Code Revisions ............................................................................. 22
3.7 Reimbursement of Procurement Costs ............ Error! Bookmark not defined.
SECTION 4: RFP CONDITIONS & SUBMITTAL PROCESS ...................................... 23
4.1 Rights Reserved by the District and Participating Agency ............................ 23
4.2 General RFP Agreements ............................................................................. 24
4.3 Proposal Submittal Process .......................................................................... 25
SECTION 5: SUBMITTAL REQUIREMENTS .............................................................. 28
5.1 Proposal Outline ............................................................................................ 28
5.2 Cover Letter .................................................................................................. 29
5.3 Executive Summary ...................................................................................... 29
5.4 Company Description .................................................................................... 29
5.5 Technical Proposal for Base Proposal .......................................................... 32
5.6 Technical Proposal for Alternative Services .................................................. 37
5.7 Technical Proposal for Innovative and/or Cost-Saving Services ................... 38
5.8 Environmental Considerations ...................................................................... 39
5.9 Acceptance of RFP and Franchise Agreement ............................................. 40
5.10 Cost Proposal. ............................................................................................... 41
5.11 Other Proposal Forms ........ ........................................................................... 45
5.12 Additional Information (Optional) ................................................................... 45
March 8, 2013
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Monterey Regional Waste Management District Table of Contents
RFP for Collection Services Draft for Participating Agency Review
SECTION 6: PROPOSAL EVALUATION PROCESS ................................................. 46
6.1 Proposal Evaluation Process ......... ., ............................................................. 46
6.2 Evaluation Criteria .... ..................................................................................... 46
ATTACHMENTS
A. Model Franchise Agreement for Collection Services
B. Current Participating Agency Franchise Agreements
1. Carmel
2. Del Rey Oaks
3. Marina
4. Pacific Grove
5. Pebble Beach
6. Sand City
7. Seaside
c. Agency Service Profiles
1. Carmel
2. Del Rey Oaks
3. Marina
4. Pacific Grove
5. Pebble Beach
6. Sand City
7. Seaside
D. Current Participating Agency Rates Sheets
1. Carmel
2. Del Rey Oaks
3. Marina
4. Pacific Grove
5. Pebble Beach
6. Sand City
7. Seaside
E. Cost Proposal Forms
1. Base Cost Proposal
2. Alternate Cost Proposal
3. Discount for Award of Multiple Franchises
F. Secretary's Certificate
G. Anti-Collusion Affidavit
H. District Facility Tonnage Data (Excel spreadsheet, provided upon request)
I. AMBAG 2012 Preliminary Regional Growth Forecast
March 8, 2013
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Table of Contents
LIST OF TABLES
Table 1: Commencement Date of Participating Agency Franchise Agreements .......................................... 2
Table 2: RFP Schedule ................................................................................................................................... 4
Table 3: Readily Available Background Information ................................................ ..................................... 5
Table 4: Current Single-Family Collection Services ............................................ ........................................... 7
Table 5: Current Multi-Family Collection Services ........................................................................................ 8
Table 6: Current Commercial Collection Services ......................................................................................... 8
Table 7: Demographic Data ................ ....................................................................................... .................. .. 9
Table 8: Tonnage Information .................................................................................................................... 10
Table 9: WM Reported Routes by Agency and line of Service (October 2012) ......................................... 10
Table 10: Historical Diversion Rate Percentages ................................................ ............. ........................... 11
Table 11: Billing Arrangements ......... ..... ..................................................................................................... 11
Table 12: Annual Revenue .. ........................................................................................................................ 12
Table 13: Agency Fees ................................................................................................................................. 12
Table 14: Proposal Outline .......................................................................................................................... 28
March 8, 2013
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Section 1: Introduction
SECTION 1: INTRODUCTION
The Participating Agencies are seeking proposals for the collection of solid waste, recyclable materials,
and organic materials through this Request for Proposals {RFP) process coordinated by the District.
The District was formed in 1951 and its boundaries include the following Member Agencies: Carmel-by-
the-Sea; Del Rey Oaks; Marina; Monterey; Pacific Grove; Sand City; Seaside; and the unincorporated
areas of Big Sur; Carmel Highlands; Carmel Valley; Castroville; Corral De Tierra; Laguna Seca; Moss
Landing; Pebble Beach; San Benancio; and, Toro Park. NOTE: The City of Monterey and unincorporated
portions of the County of Monterey are not participating in this process.
Each Participating Agency will have a separate f ranchise agreement with the selected service
provider{s). The current agreements between each Participating Agency and Waste Management
{"WM", the current franchisee) will remain in effect until each reaches the expiration date. The selected
service provider{s) will be expected to phase in service to each community upon the expiration of their
current agreements {Table 1 lists the commencement date for each Participating Agency). The term of
each new f ranchise agreement will be for a period of 10 years. The agreement may be extended for a
period of no less than 1 year and no more than 5 years for a maximum term of 15 years.
1.1 RFP Process Goals and Objectives
This RFP process is intended to solicit proposals from companies that have demonstrated experience
initiating and providing solid waste, recyclable materials, and organic materials collection services
comparable to those described in this RFP, including Attachments. The District and Participating
Agencies seek proposers who place a high priority on customer service and the diversion of waste from
landfill disposal, and have demonstrated significant innovation and results through their program
development, implementation, public education, and operations. The Participating Agencies' goals for
future collection services include:
Maximizing the quality and consistency of services provided to customers;
Providing service at rates comparable to or less than t hose currently paid by residents and
businesses;
Meeting the State's 75% recycling goal, locally, by 2020 and supporting the State's goal of resource
conservation, which prioritizes management of the waste stream using the following hierarchy:
waste reduction, reuse, recycling, composting, transformation, and landfilling;
Providing state-of-the-industry services to residents and businesses that maximize the value of
recovered resources and opportunities for customers to participate in recycling; and,
Receive a franchise fee from contractor(s).
March 8, 2013
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75
1.2 RFP Overview
This RFP process is intended to solicit proposals for the future programs and services and select a future
contractor(s) for the collection services provided to the Participating Agencies. The contractor selection
process will result in new contracts in each of the Participating Agencies for solid waste, recyclables, and
organics collection services. The procurement process involves soliciting and evaluating proposals,
selecting the future contractor(s), executing a contract with the selected contractor(s), and establishing
an implementation process leading to commencement of services. The new franchise agreements in
each Participating Agency will have different commencement dates, based on the expiration of the
current franchise agreements in each Participating Agency. Table 1 below shows the commencement
dates for each new franchise agreement, in chronological order.
Table 1: Commencement Date of Participating Agency Franchise Agreements
4/1/2015
5/1/2015
5/1/2015
5/1/2015
7/1/2015
7/1/2015
8/1/2015
Through this RFP, each Participating Agency is requesting that proposers submit a "Base Proposal" that
covers collection services and programs that are very similar to the current scope of services. In
addition, the RFP requests severai"Aiternative Proposals" that address new programs for residents and
businesses. The technical and cost proposals for the Alternative Proposals will be evaluated and used by
the Participating Agencies to determine if one or more ofthe alternative services will be included in the
final scope of the agreement. Proposers are required to submit a response for both the Base Proposal
and all Alternative Proposals. Lastly, proposers are invited to present proposal(s) for other innovative or
cost-savings approaches that may not be specifically identified here. Requested services are summarized
in Section 3 of this RFP and described in detail in the Model Franchise Agreement (Attachment A).
The Participating Agencies, separately, all currently franchise these services to one company. The results
of this RFP process may include awarding contracts to one company for all of the Participating Agencies'
franchise agreements or awarding contracts to different companies for different agencies. In addition,
each Participating Agency has an interest in ensuring that the rates charged in their community reflect
their specific cost of service and are not subsidizing (or being subsidized by) other communities. As such,
the Part_icipating Agencies request that each proposer provide separate proposal cost forms, by agency,
along wrth a p r o p ~ s e d cost _savings resulting from the award of multiple agreements to one company.
The proposal submrttal requrrements are described in more detail in Section 4.
March 8, 2013
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1.3 Organization of RFP
This Request for Proposals (RFP) is organized into the following sections:
Section 1 summarizes the Participating Agencies' goals and objectives, describes the Participating
Agencies' rights concerning the procurement process, and presents the procurement schedule.
Section 2 provides a description of the Participating Agencies' and a summary of the current services
provided to each.
Section 3 presents the scope of requested collection, processing, and disposal services.
Section 4 describes the proposal submittal process.
Section 5 outlines the proposal submittal requirements.
Section 6 describes the type of criteria that may be used to evaluate proposals.
The attachments include the Model Franchise Agreement, current Participating Agency franchise
agreements, current Participating Agency service profiles, current Participating Agency rate sheets, cost
proposal forms, secretary's certificate, and anti-collusion affidavit, Participating Agency customer
account data, and the discount for multiple service areas.
1.4 RFP Schedule
The key activities and completion dates for the RFP process are provided in Table 2. The RFP process is
described in detail in Section 4. All questions regarding the RFP must be submitted in accordance with
guidelines specified in Section 4.3.
March 8, 2013
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Draft: for Participating Agency Review
Table 2: RFP Schedule
ACTIVITY COMPLETION DATE*
District releases RFP for Collection and Processing Services May 31,2013
R.S.V.P deadline for mandatory pre-proposal meeting June 7, 2013, 5:00 p.m.
Deadline for submittal of written questions before the pre-proposal June 14, 2013, 4:00p.m.
meeting
Mandatory pre-proposal meeting June 20, 2013, 10:00 a.m.
Deadline for registering to receive future correspondence and June 25, 2013
announcements (note company registering must have had a
representative at the mandatory pre-proposal meeting)
Deadline to submit additional written questions June 28, 2013, 5:00p.m.
District will issue: response to written questions, summary of July 12, 2013
responses provided at the pre-proposal meeting, and RFP
addendum if necessary.
Proposers submit proposals August 16, 2013, 3:00p.m.
Evaluation Panel conducts interviews with one or more proposers October 20, 2013
Evaluation Panel recommends contractor(s) November 8, 2013
Participating Agencies complete negotiations with contractor(s) December 18, 2013
Participating Agency elected bodies approve franchise agreements January- March 2014
Contractor commences services:
Sand City April 1, 2015
Seaside May 1, 2015
Del Rey Oaks May 1, 2015
Marina May 1, 2015
Carmel July 1, 2015
Pebble Beach July 1, 2015
Pacific Grove August 1, 2015
. .
*Note that the D1stnct or Part1c1patmg Agency(1es) may mod1fy th1s schedule as needed .
March 8, 2013
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1.5 Community Background Information
Below is a list of readily-available websites that provide background information on the Participating
Agencies and the District. More detailed background information documenting the performance of the
current services is provided in Section 2 and in the attachments to this RFP.
Table 3: Readily Available Background Information
R e ~ o u r c e Location
-
City web sites www.ci.carmel .ca.us
www .delreyoaks.org
www.ci.marina.ca.us
www.ci.Qg.ca.us
www.p_bcsd.org
www.sandcity.org
www.ci.seaside.ca.us
Waste Management Websites http_:Llwww. wm .comLJocationL californ iaLmonterey-
countyLunincorp_oratedLindex.jsQ
http_:Llwww.wm.comLiocationLcaliforniaLmonterey-coun'f:Y..Ldel-rey-
oaksLindex.jsp_
httg_:Llwww.wm.comLiocationLcaliforniaLmonterey-
coun'f:Y..LmarinaLindex.jsQ
httQ :Llwww. wm.comLiocationL cal iforn iaLmonterey-cou ntv I Qacific-
groveLindex.jsp_
www.wm.comLiocationLcaliforniaLmonterey-coun!Y_LQebble-
beachLindex.jsQ
httQ:Llwww.wm.comLiocationLcaliforniaLmonterey-coun!Y_Lsand-
seasideLindex.jsp_
Monterey Regional Waste www.mrwmd.org
Management District (District)
March 8, 2013
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Section 2: Background
SECTION 2: BACKGROUND
The information presented in this section was obtained from the Participating Agencies and WM and is
presented for informational purposes only. By the submission of a proposal, the proposer agrees to
indemnify and hold the District and each Participating Agency harmless from any claims of damages
incurred by the proposer for its reliance on this data. Each proposer should take whatever steps it
believes are necessary to reasonably determine the actual service requirements of each Participating
Agency and understand service conditions in each Participating Agency when preparing its proposal.
2.1 Description of Current Services
WM collects solid waste, recyclable materials, and organic materials from residents at Participating
Agency-approved rates. WM provides collection of solid waste and recyclable materials from
commercial customers. WM also provides collection from certain Participating Agency facilities and
events at no charge to the Participating Agency. WM delivers all solid waste and all organic materials to
the District-owned and operated Monterey Peninsula Landfill and Compost Facility. Commercial food
waste collection service is currently a pilot program and provided to select large and institutional food
waste generators (e.g., CSU Monterey Bay, Costco, etc.). Recyclable materials are currently processed at
WM's Castroville Materials Recovery Facility.
Tables 4 through 6 summarize the Participating Agencies' current collection services provided to single-
family, multi-family, and commercial customers. A more detailed description of the services provided to
each Participating Agency is described in their current franchise agreement (Attachment B) and agency
service profile (Attachment C). Other services include: collection from Agency facilities, public litter and
recycling containers, and special events; public education; billing; customer service; and abandoned
solid waste collection. Agency service profiles (Attachment C) also describe the collection services that
are provided at Participating Agency facilities and special events.
For the purposes of this RFP, single-family means "each unit used for, or designated as, a single family
premises, including each unit of a duplex, triplex, townhouse or condominium that receives individual
solid waste, recyclable materials, and/or organic materials collection services". Multi-family means "any
residential complex, other than a single-family premise, used for residential purposes, which normally
has centralized solid waste and recyclable materials collection service for all residential units in the
building and may be billed as one address."
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Table 4: Current Single-Family Collection Services
Solid Waste Collection
Additional Solid Waste Containers

Recyclable Collect{on ...........
Recycling Containers I
LGreen Waste Collection $ $ j
1 Additional Organics Containers $
Waste Overages . .
Scrap Collection = .
. ?=3-=--- T--; '
Bulky Item Collection Events per Customer per Year __ 1 __ . 2 ___ __ 2 ___ 4 __ 1 __
/ - ________ $ ___
71
$ _
1 Events
; ::-:;
Note 1: All programs included in the customers' base rates for service (i.e., programs offered at no
additional charge to customers) are noted with a check mark ( Programs offered for an additional
charge are noted with a dollar sign($).
Note 2: Pebble Beach offers one-direction back-/side-yard collection service at no additional charge to
Residential customers and charges an additional fee to customers for two-direction back-/side-yard
collection service.
March 8, 2013
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Table 5: Current Multi-Family Collection Services

Additional Solid Waste Contain. ers
clable Materials Collection
../ ../ ../
I
../ ../ ../ ../
I
$ 'l
Additional Recycling Containers
I Universai96-Gal Cart
../ ../
$
../ ../ ../

Green Waste Collection
Additional Org_anics Containers
Food Scraps Collection
I Curbside Motor Oil & Filter Collection
-,
Curbside Holiday Tree Collection l
Bulky Item Collection Events per Customer per Year
:
I
Curbside Household Battery Collection

Curbside E-Waste Collection
I
E-Woste Events
---
Annual HHW Community Collection
l_HHW [)oor !_o_ f?._q[?r
_ .. --.;...;.-. ..----
- -'-'-'W- -. "
Table 6: Current Commercial Collection Services
../
Recyclable Materials Collection ../ ../ ../ ../ ../ ../
--
; Green Waste Collection
Food Scrap Collection
$ $ $ $ $ $ $
Bulky Item Collection Events per Customer per Year
1
March 8, 2013
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2.2 Demographic and Commercial Information
Table 7 presents general residential demographic information to provide proposers with background
information on each of the Participating Agencies.
1
The Association of Bay Area Governments
{AMBAG) has provided the District with its Preliminary 2012 Regional Growth Forecast {included as
Attachment 1). The forecast is for planning purposes only and adjustments may be made as more data
becomes available.
Table 7: Demographic Data
/', /' '
HPe,rsons
,,,
,;''
Population
House- Single 2-4 5+ Mobile per Commercial
holds Unit Units Units Homes House- Containers*
hold
Carmel 3,763
3,417 2,806 376 235 0 1.1
494
Del ReyOaks 1,642
741 586 44 111 0 2.2
34
Marina 19,996
7,201 3,295 1,746 1,908 252 2.7
629
Pacific Grove 15,219
8,178 4,736 1,609 1,682 151 1.8
985
Pebble Beach 2,795 2,705 0 90 0 1.6
77
Sand City 337
145 71 41 30 3 2.3
137
Seaside
33,160 10,899 6,806 2,142 1,368 583 3.0
822
Total
74,117 30,581 18,300 5,958 5,334 989 2.4
3,178
*Per WM, Number of Commercial Solid Waste Containers in service, not accounts
2.3 Current Tonnage and Account Data
Table 8 summarizes tonnage information provided by the District and WM for all of the Participating
Agencies combined. More detailed information is also provided for each Participating Agency in their
agency service profile {Attachment C) and in the District Facility Tonnage Data {Attachment H) provided
for each agency, by vehicle type and material type for 2010 through 2012.
As stated in the beginning of this Section, the District believes this information to be reasonable, but
does not warrant or accept responsibility for its accuracy. It is the responsibility of each proposer to
undertake, at its sole cost, any verification of this information necessary for it to submit a response to
this RFP.
1
Residential housing data was obtained from the California Department of Finance, Demographic Research Unit,
Table 2: E-5 City/County Population and Housing Estimates, 1/1/2012.
March 8, 2013
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83
Table 8: Tonnage Information
8,069.44
14,862.08
110,919.8
2.4 Historical Operating Information
85,256.15
9,572.85
15,586.21
110,415.20
81,920.20
Not Available
15,741.60
WM provided route data for its operations in the Participating Agencies. WM reported the number of
regular routes, and that information is presented in Table 9 below. The route estimate is approximate
as some routes operate in one or more other jurisdictions and it does not appear that adjustments have
been made to the reported data to reflect partial or shared routes. Note that accuracy of this
information has not been verified by the District or Participating Agencies.
Source: Waste Management
2.5 Current Diversion Information
Table 10 shows the Participating Agencies' AB 939/SB 1016 diversion rates from 2005 through 2011.
Diversion for Pebble Beach is not reported to Cal Recycle, but is periodically calculated by the District.
March 8, 2013 Page 10 HF&H Consultants, LLC
84
Monterey Regional Waste Management District Section 2: Background
Table 10: Historical Diversion Rate Percentages
2005 2006 2007 2008 2009 2010 2011
Carmel 56% 62% 63.5% 66.7% 74.8% 73.0% 76.4%
Del ReyOaks 64% 71% 59.6% 64.0% 67.5% 66.7% 64.9%
Marina 47% 55% 58.0% 66.7% 67.4% 71.0% 72.5%
Pacific Grove 61% 63% 63.1% 64.8% 69.7% 65.6% 70.5%
Pebble Beach 58% N/A 62.0% 65.0% 68.0% 69.0% 73.0%
Sand City 58% 53% 58.8% 64.7% 72.9% 78.2% 77.7%
Seaside 57% 57% 57.7% 61.5% 62.5% 62.5% 62.5%
Source: AB 939 reports from Agency
2.6 Billing Process
Billing arrangements for the provision of service to residential and commercial customers vary by
location. Table 11 shows the party responsible for billing in each Agency.
Pebble Beach has a very high vacancy rate of 40% due to its unique demographics. Residential collection
services are mandatory throughout Pebble Beach. The existing hauler is paid for 100% of service
provided. All customers are billed on the property tax roll with the exception of the one 90 unit
condominium complex and the current hauler bills the HOA. Pebble Beach pays the company the full
amount on a quarterly basis. Any additional services received by customers (i.e., larger or extra
containers) are billed by the garbage company directly to the receiving customers.
March 8, 2013
Table 11: Billing Arrangements
Contractor bills all customers
Property Tax Billing for lowest
residential service;
Contractor bills multi-family,
commercial and extra residential
service.
Page 11
85
Monterey Regional Waste Management District Section 2: Background
2.7 Current Rates and Rate Revenues
The rates for collection services vary among the Participating Agencies. The rates that are currently
effective in each Participating Agency are shown in Attachment D.
To provide a perspective on the potential value of the franchises, the current franchise hauler reports
annual revenue of approximately $17.9M for all seven agencies. Table 12 below lists the estimated rate
revenue resulting from each franchise. Please note that the date range represented by these values
varies slightly from agency to agency, but generally represent either calendar year 2011 or fiscal year
2011/12 revenues.
Table 12: Annual Revenue
Carmel -
_Del Rey Oaks
' Marina
Pacific Grove
2.8 Participating Agency Fees
$423,200
'$Dw9;44G
$2,500,000
.
.$;, -;_ .. __ , ..:_- ,_-;._,_ ... .. _, .
$4,881,525

Each of the Participating Agencies collect certain fees through their solid waste franchise agreement. The
current fees, for each Participating Agency, are listed in Table 13 below. Percentages listed are the
percent of the contractor's gross receipts paid to the agency. Simultaneous with this RFP process, each
Participating Agency may consider adjustments to their franchise or other fees and may choose to adopt
new fees. Each Participating Agency reserves the right to adjust these fees after proposals are received
and prior to establishing rates.
Table 13: Agency Fees
10% Commercial
March 8, 2013 Page 12
86
Section 3: Requested Services & Policies
SECTION 3: REQUESTED SERVICES & POLICIES
This section provides a description of the services solicited through this RFP. The services are divided by
service sector (i.e., single-family, multi-family, commercial, and roll-off). In addition, this section
discusses the RFP policies or preferences related to: diversion; offering of employment; collection
vehicles; containers; alternative fuel vehicles; facilities; and subcontractors.
The Participating Agencies are requesting proposals to provide customers with solid waste, recyclable
materials, and organic materials collection service. As mentioned in Section 1.2, the first franchise
agreement will commence on April 1, 2015 and the last on August 1, 2015, each lasting a period of ten
years, ending between March 31, 2025 and July 31, 2025. Table 1 lists the commencement dates for
each of the future franchise agreements. Each franchise may be extended, at the sole discretion of the
Participating Agency, on one or more occasions for a maximum term of 15 years, as described in the
Model Franchise Agreement.
The Participating Agencies are requesting that proposers submit a "Base Proposal" as well as an
"Alternative Proposal" documenting the incremental cost of certain new programs which are outlined in
Section 3.2. The proposals for the Alternative Proposals will be evaluated and used by each Participating
Agency to determine if one or more of the alternative services will be included in the final scope of the
franchise agreement. The scope of services for the Base Proposal and Alternative Proposals are
summarized in Sections 3.1 and 3.2, respectively. Proposers are required to submit a response for both
the Base Proposal and Alternative Proposals for all Participating Agencies. Lastly, proposers are invited
to present proposal(s) for other innovative or cost-savings approaches, at their discretion.
The model franchise agreement presents all of the contract terms and conditions including a complete
description of the services requested. It also describes contractor's compensation and rate-setting
methods, dispute resolution, indemnification, insurance, performance assurances, defaults and remedy
provisions, termination rights, performance standards and consequences for non-compliance, reporting
obligations, and other provisions. If there are differences between the summary of services described in
this RFP and the franchise agreement, the terms and conditions in the franchise agreement prevail. Note
that the Model Franchise Agreement (Attachment A) represents a "model" that each agency will use to
customize the programs, service requirements, and other elements of the franchise to their local needs.
Using this model, each Participating Agency will negotiate a final franchise agreement with their
selected contractor that documents the choices made by that Agency.
The contractor shall have the exclusive right to collect solid waste, recyclable materials, and organic
materials, with the exception of those materials described in Section 1.2 of the Model Franchise
Agreement. These exclusive rights are consistent with current practice and local ordinances.
The Participating Agencies welcome proposals that include the use of the proposer's recyclable
materials processing facility. In addition, the District is willing to arrange for the use of its facilities for
the processing, if proposers do not have their own facility, and/or transfer, if proposer's facility is not in
the service area, of recyclables. Under the terms of the franchise agreement, the contractor will be
March 8, 2013
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87
required to deliver all collected materials (excepting recyclable materials, if processed by the proposer)
to the District's Facilities (including its Compost Facility, Last Chance Mercantile, Anaerobic Digester,
Landfill, and if applicable MRF).
3.1 Scope of Services for Base Proposals
Base Proposals - General
The scope of services for the "Base Proposal" submitted by each proposer shall be for the services
currently received by each Participating Agency. These services are summarized in Section 2.1 and
described in more detail in each Participating Agency's current franchise agreement (Attachment B) and
agency service profile (Attachment C). This approach will allow each Participating Agency to understand
and compare proposed costs relative to the current system, separate from each Participating Agency's
decision to implement changes to the system (as described in Section 3.2 below). Furthermore, when
rates are developed for each Participating Agency, they shall be in a structure that is identical to the rate
structure currently in place, in order to ensure that any change in rates is applied to all customers in the
same percentage (i.e., if residential 35-gallon customers are experiencing a 3.4% rate reduction, a
commercial 6 cubic yard customer with three days of service per week should also experience a 3.4%
rate reduction).
Base Proposals - Single-Family Residential Services
Solid Waste: The base proposal shall include weekly residential solid waste collection, in contractor-
provided containers, for all Participating Agencies. Specific service levels available in each agency are
described in the agency service profiles (Attachment C).
Recyclable Materials: The base proposal shall include weekly residential single-stream recyclable
materials collection, in contractor-provided containers, for all Participating Agencies. The default
recycling container size is 64-gallons and contractor shall make smaller recycling containers available on
an as-needed basis for customers who have space constraints (e.g., townhomes) or are physically unable
to move a larger container (e.g., senior and disabled). Single-family residential customers in Sand City
can receive an additional recycling container, upon request, at no additional charge.
Green Waste: The base proposal shall include weekly residential green waste collection, in contractor-
provided containers, for all Participating Agencies. The green waste collection program in Marina and
Seaside are voluntary, subscription-based programs. The default green waste container size is 96-gallons
and contractor shall make smaller green waste containers available on an as-needed basis for customers
who have space constraints (e.g., townhomes) or are physically unable to move a larger container (e.g.,
senior and disabled). Single-family residential customers in Pacific Grove can receive an additional green
waste container, upon request, at no additional charge. Single-family residential customers in Sand City
receive an additional green waste container, upon request, for an additional charge.
88
Side-yard/Back-yard Service: The base proposal shall provide single family residential customers with
side- or back-yard service for solid waste, recyclable materials, and green waste at no additional charge
to the customer in Carmel. In Pebble Beach, the base proposal shall provide single family residential
customers with one-direction side-/back-yard service for solid waste at no charge to the customer and a
rate shall be established for two-direction side-/back-yard service. Side-/back-yard service shall be
provided for an additional charge in Pacific Grove.
Holiday Tree Collection: The base proposal shall include single-family residential curbside holiday tree
collection during the first two weeks of each year for all Participating Agencies. Customers shall be
allowed to place whole, unflocked, and undecorated trees at the curb and may not be required to place
the tree in their green waste cart.
Used Motor Oil and Filter Collection: The base proposal shall include single-family residential curbside
used motor oil and filter collection, using contractor-provided oil jugs and filter bags, for customers in all
seven Participating Agencies.
On-Call Bulky Item Reuse Collection Events: The base proposal shall include on-call curbside single-
family residential bulky-item reuse collection, consistent with the program requirements described in
the Model Franchise Agreement (Attachment A). For the purposes of the base proposal, the number of
collection events available to each customer each year in each Participating Agency is listed in Table 4 in
Section 2.1.
Base Proposals - Multi-Family Residential Services
Solid Waste: The base proposal shall include at least once weekly but up to six times per week solid
waste collection, in contractor-provided containers, for all Participating Agencies. Service levels available
shall include 32-, 64- or, 96-, gallon carts or 1 to 8 cubic yard bins.
Recyclable Materials: The base proposal shall include at least once weekly but up to six times per week
multi-family single-stream recyclable materials collection, in contractor-provided containers, for all
Participating Agencies. Service levels available shall include 64- or, 96-, gallon carts or 1 to 8 cubic yard
bins. The default recycling container size is 64-gallons.
Green Waste: The base proposal shall include at least once weekly but up to six times per week multi-
family green waste collection, in contractor-provided carts only, for all Participating Agencies. There is
currently no bin service for green waste provided to multi-family customers. The multi-family green
waste collection program in Marina and Seaside are voluntary, subscription-based programs. The
default green waste container size is 96-gallons and contractor shall make 35- or 64-, gallon green waste
carts available on an as-needed basis for customers who have space constraints (e.g., townhomes) or
are physically unable to move a larger container (e.g., senior and disabled).
March 8, 2013
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89
Base Proposals - Commercial Services
shall include 64- or 96-, gallon carts or 1- to 6- cubic yard bins.
Recyclable Materials: The base proposal shall include at least once weekly but up to six times per week
commercial single-stream recyclable materials collection, in contractor-provided containers, for all
Participating Agencies and at no additional charge to the customer. Service levels available based on
customer request shall include 64- or, 96-, gallon carts or 1- to 6- cubic yard bins.
Organic Materials: The base proposal shall include weekly commercial organic materials collection, in
contractor-provided containers, for all Participating Agencies. This service shall be an additional charge
to participating customers. Service levels available based on customer request shall include 64-gallon
carts or 1- to 2- cubic yard bins.
Base Proposals - Roll-Off Services
shall include 10-, 15-, 20-, 25-, 30-, 35-, and 40- cubic yard Drop Boxes or Compactors as requested by
the customer.
Recyclable Materials: The base proposal shall include at least once monthly but up to six times per
week recyclable materials collection, in contractor-provided containers, for all Participating Agencies.
Customers will have the option to choose source-separated collection of homogeneous material types
(e.g., all cardboard, all metals, all wood waste, etc.) or mixed recycling with all recyclable materials
commingled. Service levels available shall include 10-, 15-, 20-, 25-, 30-, 35-, and 40- cubic yard Drop
Boxes or Compactors as requested by Customer.
Organic Materials: The base proposal shall include once weekly but up to six times per week organic
materials collection, in contractor-provided containers, for all Participating Agencies. Service levels
available shall include 10-, 15-, 20-, 25-, 30-, 35-, and 40- cubic yard Drop Boxes or Compactors as
requested by Customer.
Source-Separated or Mixed C&D Materials: The base proposal shall include at least once monthly but
up to six times per week construction and demolition (C&D) debris collection, in contractor-provided
containers, for all Participating Agencies. Customers will have the option to choose source-separated
collection of homogeneous material types (e.g., all metals, all inert materials, all wood waste, etc.) or
mixed C&D debris with all materials commingled. Service levels available shall include 10-, 15-, 20-, 25-,
30-, 35-, and 40- cubic yard Drop Boxes as requested by Customer.
March 8, 2013
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Monterey Regional Waste Management District Section 3: Requested Services & Policies
3.2 Scope of Services for Alternative Proposals
The Participating Agencies wish to consider the addition of certain new programs to support community
goals and the State's 75% recycling goal. Prior to committing to these new programs and their costs,
each Participating Agency wishes to evaluate the potential benefits and costs of these services. For this
reason, the proposer is required to propose on each of the new services, documenting the incremental
additional cost of each relative to the "Base Proposal", and present its approach to providing the
service. Each service is generally described below. Article 4 of the Model Franchise Agreement includes
a detailed description of the services.
Alternative Proposals - Recycling Strategy
The communities of the Monterey Peninsula are regarded as environmental leaders. Through this RFP
process and improvements to programs and recycling services available to the community, the
Participating Agencies wish to reaffirm their leadership in the area of sustainable recycling, organics, and
waste management through a partnership(s) with firms who have a similar ethic. The Participating
Agencies are supportive of the State's new 75% recycling goal and would like to see that goal achieved
locally.
The recycling strategy established by the Participating Agencies in their collection system focuses on
source separation to maximize the educational, commodity, and energy value potential that exists if
customers are directly informed about and participating in the recycling system. As such, the
Participating Agencies are requesting programs and services that engage the customer in minimizing
their waste stream and separating their recyclables and organics.
In addition and as a complement to the source-separation services provided through the collection
franchises, the District is in the process of significantly upgrading its MRF to allow for processing of all
commercial and multi-family waste material delivered to the District's site. This strategy of processing all
waste material prior to disposal is known as "MRF First". The District has a fifteen year history of
applying this "MRF First" strategy to the non-franchised, public loads that are delivered to the District's
Landfill. The District expects that it will be able to recover in excess of 50% of all commercial and multi-
family solid waste collected and delivered by the selected contractor(s).
This combined strategy seeks to maximize the value potential of the source separation system while
providing a "safety net" for those customers who either cannot or will not fully participate in source
separation.
Required Alternative Proposal #1: Single-Family Universal Green Waste Collection
Currently, the cities of Marina and Seaside do not include green waste collection in their standard
residential service. Instead, customers wishing to participate in this program must pay an additional
$ X . X ~ per month in Marina and $6.40 per month in Seaside. Proposers are asked to submit their
operational and cost proposal documenting the incremental additional routing, labor, equipment, and
expenses to include this program in the standard residential service for these communities.
March 8, 2013
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NOTE: Operational and cost data should only appear in the proposal forms for Marina and Seaside. This
column should be left blank in the proposal forms for all other agencies.
Required Alternative Proposal #2: Single-Family Mixed Organics Collection
Currently, single-family collection services include green waste, but not food scraps or food soiled paper.
These organic materials constitute the largest remaining portion of the single-family residential disposal
stream and programs targeting this material are critical to the achievement of the State's 75% recycling
goal. To encourage diversion of residential food scraps and food soiled paper, the Participating Agencies
wish to consider adding this material to the residential green waste program to create a mixed
residential organics collection program.
The District is working with its compost operator to develop operational and marketing plans for this
blended green waste/food scraps compost product. At a minimum, the selected contractor(s) will be
responsible for ensuring that the organics delivered under this program contain no more than 1%, by
weight, of non-compostable materials (contaminants).
The District currently charges $23.50 per ton for green waste and $38.00 per ton for food waste. For the
purposes of the pricing proposal, proposers should assume that the food waste tipping rate would be
charged for mixed organics. In the event that a different tipping fee is required to be charged for this
service, the District and Participating Agencies will work with the selected proposer to adjust the pricing
proposal to "pass-through" any difference in the t ipping fee prior to establishing rates.
Proposers are required to document their plans for operating this program, including their approach to
maximizing customer participation and diversion while mitigating contamination. The proposer shall
document the incremental additional costs and operating requirements of this program in the proposal
forms for each PartiCipating Agency.
Required Alternative Proposal #3: Commercial Organics Collection
The District and Participating Agencies wish to consider expanding the food scrap collection pilot
program within the Participating Agencies to allow for greater program participation. The contractor
shall collect organics from each customer at least weekly and up to five days per week, as required by
the customer. The contractor shall offer commercial organics service in containers including: 64-gallon
carts; 1- through 4-cubic yard bins; and, roll-off compactors. If proposers have alternative cart and/or
bin sizes that optimize collection, they are welcome to propose them.
The District currently charges $38.00 per ton for food waste. For the purposes of the pricing proposal,
proposers should assume that this tipping rate would be valid for commercial organics. In the event that
a different tipping fee is required to be charged for this service, the District and Participating Agencies
will work with the select ed proposer to adjust the pricing proposal to
11
pass-through" any difference in
the tipping fee prior to establishing rates.
March 8, 2013
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92
Monterey Regional Waste Management District Section 3: Requested Services & Policies
The District is in the process of establishing a pilot scale (approximately 4,000 tons per year) anaerobic
digestion facility that will be operational prior to the commencement of services. Based on the results of
this pilot program, the District (in cooperation with its Member Agencies) will determine whether
anaerobic digestion is an appropriate technology for the community and whether a more significant
investment in that technology is warranted. At that time, it is possible that the anaerobic digestion
approach may continue or that it may be cancelled and replaced with another technology for handling
organic materials (including com posting).
The Participating Agencies anticipate establishing separate rates for commercial organics collection
service, if that program is selected. The District and Participating Agencies will work with the selected
contractor(s) to establish a pricing structure for these services {based on the proposed costs) that
balances the need to create customer incentives with the need to mitigate significant revenue risks
associated with customer migration from paid to subsidized services.
Proposers are required to document their plans for operating this program, including specifically
describing their approach, timelines, and performance targets (i.e., participating customer count and
tonnage) for this program. Proposers are asked to document the incremental additional operating
requirements and costs for this program in the proposal forms for each Participating Agency.
Required Alternative Proposal #4: Expanded Residential Bulky Item Reuse Events
Each of the Participating Agencies currently have different approaches to providing on-call clean-ups for
bulky items or extra waste that customers may periodically generate (e.g., spring cleaning, leaf season,
move-in/out, etc.). The Participating Agencies are interested in expanding this program to offer
residential (single- and multi-family) customers up to three on-call collection events per calendar year at
no additional charge to the customer. The program requirements including acceptable and prohibited
items, quantities, and other requirements are described in the Model Franchise Agreement {Exhibit B-1,
#5 (single-family) and Exhibit B-2, #4 (multi-family)). The Participating Agencies wish to utilize the
District MRF and last Chance Mercantile as a key element of this program to maximize the diversion and
re-use of materials collected from customers.
Proposers are required to document their plans for operating this program, including their approach to
preserving the quality of materials during the collection process to maximize reuse and recyclability. The
proposer shall document the incremental additional costs and operating requirements of this program
in the proposal forms for each Participating Agency.
Required Alternative Proposal #5: Public Education & Outreach
Currently, public education and outreach activities surrounding solid waste, recycling, and organics are
performed by multiple parties. WM provides quarterly newsletters to customers, uses corrective action
notices to educate customers about incorrect set-outs, provides on-site assistance upon request from
customers, attends certain community events to provide education, and performs other miscellaneous
education and outreach activities. The District operates its award-winning "Small Planet" education
93
Monterey Regional waste Management District
program, works with event operators to coordinate recycling at large events, provides occasional
recycling technical assistance to businesses, and attends certain community events to disseminate
information. Finally, each Participating Agency periodically supplements the education and outreach
provided by the current hauler and the District. This approach to the education system has not been as
effective as it should be in educating customers about the availability of programs and services and has
occasionally lead to inconsistent messaging.
Under the new franchises, the District and Participating Agencies wish to significantly improve the
quality, consistency, frequency, and overall effectiveness of the public education and outreach
surrounding waste and recycling issues. The desired scope of public education and outreach activities
are documented in Exhibit C of the Model Franchise Agreement. As part of this RFP process, the
Participating Agencies will be considering whether to include this more significant education and
outreach effort in the scope of the franchise agreement. Alternatively, the Participating Agencies may
assign primary education and outreach responsibility to the District and only require the franchisee to
perform a supporting role (e.g., corrective action notices during collection, facilitating bill-inserts,
receiving and processing work orders for service level changes, etc.)
Proposers are required to document their plans for operating the public education and outreach
program, consistent with the scope described in Exhibit C of the Model Franchise Agreement. The
proposer shall document the incremental additional costs and operating requirements of this program
in the proposal forms for each Participating Agency.
3.3 Collection Equipment
3.3.1 Collection Vehicles
Proposers shall plan on providing new collection vehicles on the commencement date of the franchise
agreement. If the proposer wishes to provide service with used collection vehicles, proposer shall
submit alternative pricing proposal forms that document the cost of service. Any proposal that assumes
used collection vehicles in the Base Proposal may be deemed non-responsive at the discretion of the
District and Participating Agencies.
When making a decision about the collection fleet, the proposer should consider that the Participating
Agencies expressed an interest in a fleet of collection vehicles that supports their community
commitment to reduce environmental impacts. At a minimum, collection vehicles shall meet State of
California Air Resources Control Board regulations for "Diesel Particulate Matter Control Measure for
On-Road Heavy-Duty Residential and Commercial Solid Waste Collection Vehicle Diesel Engines." In
developing a proposal and associated costs, proposers shall assume that collection vehicles will need to
comply with the proposed legislation not only at commencement but also throughout the term of the
franchise agreement. For example, the proposer will need to include costs associated with equipping
those vehicles with best available control technology to meet state and federal regulations.
March 8, 2013
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94
Collection vehicles shall be equipped with sign board holders or other hardware to allow
interchangeable public education signage of no less than thirty-six (36) by forty-eight (48) inches to be
displayed on both sides of the vehicle.
Proposers shall assume an average vehicle life of 10 or more years and plan to depreciate vehicles over
a 10-year period for the purposes of determining depreciation and interest expenses in their cost
proposal. Proposer will need to identify vehicle replacement plans and costs over the term of the
franchise agreement (including possible extensions). At the end of the franchise agreement, the
contractor will retain ownership of the collection vehicles.
In the event that a proposer wishes to use an alternative fuel technology, proposers are invited to select
the type of fuel and number and type of vehicles they recommend running on the alternative fuel. If the
alternative fuel technology results in higher costs than conventional diesel fuel, it is recommended that
the proposer present their alternative fuel proposal as an "Alternative Proposal" per Section 3.2.
3.3.2 Collection Containers
Proposers shall plan on providing new collection containers on the commencement date of the franchise
agreement. If the proposer wishes to provide service with used collection containers, proposer shall
submit alternative pricing proposal forms that document the cost of service. Any proposal that assumes
used collection containers in the Base Proposal may be deemed non-responsive at the discretion of the
District and Participating Agencies.
In order to provide for consistency in educational messaging with programs in other parts of the County
and state, the District and Participating Agencies wish to implement a consistent color-coding approach
for containers. All solid waste containers shall be coded with a consistent dark neutral color (black, grey,
brown, or tan), all recycling containers shall be coded blue, and all organics containers shall be coded
green. The contractor may meet the color coding requirements for carts by the use of different colored
lids on common colored cart bodies. The color coding requirement for bins shall be met by either:
painting the whole body of the bin in the coded color; or, by painting the bin white and encircling the
bin with a color coded stripe no less than 12 inches tall. All containers shall be hot-stamped (cart lids) or
labeled (bins, boxes, and compactors) with a list of acceptable and prohibited items for that service
type. The specific color selections and labels shall be approved prior to ordering.
3.4 Local Office and Corporation Yard
Each Participating Agency requires that all proposers identify a site or potential sites within the County
to be used for the local office, staging of equipment and personnel, and performing equipment
maintenance.
The District has identified a space of approximately XX acres within the landfill buffer zone that is owned
by the District and could be developed into a corporation yard. The District currently estimates that the
cost to grade, pave, and fence the area is $ X X X , X X ~ and the construction will take D<X months from the
95
time a decision is made to improve the site. The District is offering that space for lease for $XX,XXX per
month for a term of 120 months. If a proposer wishes to make use of this space, they will be required to
pay all costs of improvement beyond grading, paving, and fencing.
3.5 Subcontractors
The future contractor may enter into agreements with subcontractors to provide services requested in
the RFP subject to the prior written consent of the Participating Agency. Subcontractor arrangements
are to be disclosed in the proposal. Agreements with the subcontractor(s) must meet the requirements
of the level and type of insurance specified in Section 9.2 of the Model Franchise Agreement.
3.6 Municipal Code Revisions
The changes to the existing collection arrangements proposed by the Participating Agency may require
revisions to Municipal Code(s) of some or all of the Participating Agencies. If any changes to the
Municipal Code are necessary, it is anticipated that they will be revised prior to the effective date of the
franchise agreement.
96
Section 4: RFP Conditions & Submittal Process
SECTION 4: RFP CONDITIONS 8t SUBMITTAL PROCESS
4.1 Rights Reserved by the District and Participating Agency
The District and each of the Participating Agencies individually reserve the right, in the sole discretion of
that party, to pursue any or all of the following actions in regard to this RFP process:
Issue addenda and amend the RFP and franchise agreement;
Request additional information and/or clarification from proposers;
Extend the deadline for submitting proposals;
Allow for the timely correction of errors and waive minor deviations;
Withdraw this RFP;
Reject any or all proposals;
Reject proposals that do not fully comply with the requirements detailed in this RFP, its
attachments, addenda, or clarifications;
Reject incomplete proposals; proposals containing errors, inconsistencies, false, inaccurate or
misleading information; proposals not submitted with the proper quantity of copies; proposals not
submitted with the proper deposit; proposals submitted after the deadline; and/or, proposals with
other process or content errors or deficiencies;
Reject a proposal that is given the highest quantitative scoring in the evaluation process if it is not in
the best interest of the Participating Agency and its residents and businesses;
Select the proposal(s) that might not offer the lowest cost, but in the judgment of the District and/or
Participating Agency, are nevertheless deemed to offer the best value for the public and the
Participating Agency;
Solicit subsequent requests for best and final offers;
Award the franchise agreement to proposer(s) based on a combination of its qualitative and
quantitative attributes;
Award the franchise agreement to proposer(s) without further discussion or negotiation;
Re-advertise for proposals or issue subsequent requests for proposals for the same, similar, or
related services;
Negotiate changes in the services proposed and/or described in the RFP or to incorporate programs
proposed by others; and negotiate changes to the franchise agreement;
Negotiate with selected contractor(s) for a later commencement date;
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Amend the Model Franchise Agreement;
Amend General Plan policies;
Amend Municipal Code, Planning and Zoning Code, and Design Standards and Guidelines; and,
Take other actions the District and/or Participating Agency deems is in the best interest of its
residents and businesses.
4.2 General RFP Agreements
This RFP shall not be construed by any party as an agreement of any kind between the District,
Participating Agencies, contractor(s), and/or other parties.
This RFP does not obligate the Participating Agencies, separately or jointly, to accept any proposal,
negotiate with any proposer, award a franchise agreement, or proceed with the development of any
project or service described in response to this RFP. Neither the District nor any of the Participating
Agencies have any obligation to compensate any proposer for any expense incurred preparing its
proposal and participating in this procurement process.
Submission of a proposal shall constitute acknowledgment and acceptance of all the terms and
conditions contained in this RFP and Model Franchise Agreement, including all addenda or amendments
issued by the Participating Agency as per the schedule provided in this RFP with the exception that
proposers may take exceptions to the RFP and Model Franchise Agreement in accordance with Section
5.9 of this RFP. Submittal of a proposal signifies proposer's commitment to provide the proposed
services, if selected. In addition, all aspects, conditions and components of proposals submitted shall be
valid for one year. Proposals may not be altered after submittal, except in response to the Participating
Agency's request for clarification.
The District and Participating Agencies shall have the right (but not the obligation) to perform a review
of any one, or each, proposer's ability to perform the work required. Each proposer must agree to
cooperate with such a review. Such cooperation by proposer shall apply to the verification of the
proposer's capability and experience in the provision of services and any other component of work that
may be required under this procurement.
The District, Participating Agencies, and their consultants or legal counsel may be conducting reference
checks on proposers that will involve contacting municipalities currently or previously served by
proposer, as well as contacting regulatory agencies involved in the oversight of proposers' facilities and
operations. In addition, the review may include proposers' litigation history, regulatory actions, highway
driving records, and recycling history. The proposer's submission of a proposal shall constitute an
agreement to cooperate with such a review.
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4.3 Proposal Submittal Process
Companies submitting proposals to the Participating Agency shall follow the procedures described in
this Section 4.3 and the procedures included in subsequent clarifications or addendums to this RFP,
which are issued by the District or its consultant.
4.3.1 Step One - Register for Correspondence, RFP, and Announcements
Each proposer must request that it be placed on the list of interested parties in order to receive the RFP,
future correspondence, and announcements related to this RFP. The deadline for submitting a request
to be included in this RFP process is June 25, 2013 (provided that the party attended the pre-proposal
meeting described in Section 4.3.3). Proposers that fail to register by the specified deadline may not
receive RFP related correspondence, addenda, or other communications. Proposers are asked to email
said request to the District's consultant at the email address below, receipt confirmation requested.
ATTN: Mr. Rob Hilton, Vice President
Phone: 925-977-6959
Email: rchilton@hfh-consultants.com
4.3.2 Step Two - Submission of Written Questions
The District directs proposers to submit all questions and requests for information in writing directly to
its consultant and refrain from contacting District or Participating Agency employees or elected officials.
Therefore, any questions, requests for clarification, or requests for additional information regarding this
RFP must be submitted in writing via email to HF&H Consultants at the email address listed in Section
4.3.1 on or before 4:00 p.m., June 14, 2013. Proposers may also contact the District's consultant by
telephone prior to the question deadline; however, proposers should not rely on any verbal responses
or clarifications unless and until provided in a written response.
Written requests for clarifications will be responded to in writing and shared with all interested
proposers of record.
4.3.3 Step Three - Mandatory Pre-Proposal Meeting
The mandatory pre-proposal meeting will be held at 10:00 a.m., on Thursday, June 20, 2013 in the
District's Board Room located in the Administration Building at the District's site, located at 14201 Del
Monte Boulevard, Marina, California. Proposer must R.S.V.P. in writing to the District's consultant by
June 7, 2013. Attendance at this meeting is mandatory. The District and/or Participating Agencies may,
but are not obligated to, reject proposals received from proposers that do not attend the pre-proposal
meeting. Proposers are encouraged to submit questions in advance of the meeting (in accordance with
Section 4.3.2) or prepare and pose questions at the pre-proposal meeting. Preliminary oral responses to
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questions will be provided at the discretion of the District's consultant and legal counsel at the pre-
proposal meeting.
Written responses to questions will be provided by July 12, 2013 to all registered interested parties. In
the event of any inconsistencies between oral responses provided at the pre-proposal meeting and
written responses subsequently issued, the written responses must be used for the purpose of
preparing proposals.
Additional questions may be submitted up to June 28, 2013. Written requests for clarifications will be
responded to in writing and shared with all interested proposers of record.
4.3.4 Step Four - Proposal Submittal
Proposer shall submit five {Agencies- Please let us know if ou have any specific reguirements for the
number of copies you must receive/retain.} bound double-sided copies of the complete proposal. In
addition, proposers are required to submit a flash drive containing:
1) An electronic copy of all completed cost proposal forms (i.e., those provided in Attachment E of
the RFP) formatted for Microsoft Excel;
2) An electronic copy of the Model Franchise Agreement, noting all requested changes in
redline/strikeout, in Microsoft Word format; and,
3) A complete PDF ofthe proposal (excluding financial statements, if confidential) .
These items shall be placed and submitted in a sealed package. Proposals must be printed on 8>'2 inch by
11 inch paper with 100% post-consumer recycled-content paper. All pages shall be consecutively
numbered; although, each section may start with a new page number if proceeded with the section
number (e.g., Page 2-1 for the first page of Section 2).
The package shall be clearly labeled:
PROPOSAL FOR MONTEREY PENINSULA COMMUNITIES SOLID WASTE, RECYCLING, AND
ORGANICS COLLECTION SERVICES
Name of Proposer:
Address:
Contact Person:
Telephone Number:
Fax Number:
E-mail:
The proposal may be mailed or hand delivered to:
100
201 North Civic Drive, Suite 230
Walnut Creek, CA 94596
Attn: Rob Hilton
(925) 977-6959
(925) 977-6955 fax
rchilton@hfh-consultants.com
All proposals must be received by 3:00 p.m. on Friday, August 16, 2013. Proposals received after this
time and date may be rejected. Postmarks will not be accepted as proof of receipt.
Each proposal must be accompanied by surety made payable to the "Monterey Regional Waste
Management District" in the amount of $25,000 and in the form of a certified check, cashier's check, or
bid bond. The surety shall be submitted with the proposal in a separate, clearly labeled envelope. The
purpose of the surety is to guarantee that the successful contractor will execute a franchise agreement
with the Participating Agency(ies). If the selected contractor does not execute the franchise agreement
within 30 calendar days after receiving notice of the award of franchise agreement, the District shall
keep the surety to offset the potential cost associated with identification of an alternate service
provider and schedule delays and both the District and each Participating Agency have the right to
pursue additional and reasonable costs incurred in this event. Checks and bonds will be returned to all
proposers no later than ten calendar days after the last Participating Agency has executed the franchise
agreement with the successful contractor. In the event that no selection is made within one year of the
submission of proposals, each proposer may demand their proposal surety be returned; however, the
District reserves the right to eliminate proposals from such companies from further consideration.
4.3.5 Step Five - Clarification of Proposal Information
Proposer may be asked to clarify information through written communications, and interviews or during
site visits of each proposer's: offices; customer service center; corporation yard and maintenance
facilities; and, transfer and processing facilities. This clarification process may involve requesting that
the proposer demonstrates how financial, customer service, and management information systems can
provide reports required by the franchise agreement. The clarification process may be performed by
the District, Participating Agency(ies), and/or their consultants.
4.3.6 Schedule
The timeline for evaluation of proposals, contractor selection, and contract negotiations is summarized
in Section 1, Table 2. Proposers are advised that the selection of a contractor(s) is subject to the due
diligence, public education and input process, and elected official deliberations of each of the
Participating Agencies. These processes may delay the RFP schedule. The District and its consultant will
make reasonable efforts to keep interested parties informed about the schedule and any delays.
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Section 5: Submittal Requirements
SECTION 5: SUBMITTAL REQUIREMENTS
Section 5 includes the required proposal outline and a description of the specific information proposers
must include. Proposer must provide the information identified in this section as part of its proposal.
Failure to provide all the required information may be grounds for rejection of a proposal.
5.1 Proposal Outline
Proposer shall present its proposals in accordance with the outline provided in Table 14. Items that are
not required elements of the proposal are noted as "Optional." At proposer's option, the proposer may
include additional information or data on other relevant topics or more detail on the information
requested herein that is relevant to the proposal. Any additional information shall be included as
attachments to the proposal.
Table 14: Proposal Outline
i. Title Page
ii. Cover letter
iii. Table of Contents
ES Executive Summary
1. Company Description
A. Business Structure
B. Collection Experience
C. Service Initiation Experience
D. Key Personnel
E. Labor Agreements and Wages
F. Past Performance Record
G. Financiallnformation
2. Technical Proposal for Base Proposal
A. Solid Waste, Recyclable Materials, Organic Materials, and C&D Collection
B. Bulky Item Reuse Collections
C. Public Education and Outreach
D. Customer Service
E. Billing
F. Implementation Plan
G. Subcontractors
H. Existing Management and Customer Service Systems
I. Performance Measures and Diversion Incentives
J. Corporation Yard and Maintenance Facilities
3. Technical Proposal for Alternative Services
4. Technical Proposal for Innovative or Cost-Saving Services
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5. Environmental Considerations
A. Vehicle Air Emission Impacts and Fueling Proposal
6.
7.
B. Facility Environmental Compliance
C. Environmental Enhancements
Acceptance of RFP and franchise agreement
Cost Proposals
A. Base Cost Proposal
B. Cost Proposal for Alternative Services
c. Cost Proposals for Innovative or Cost-Saving Services (Optional)
8. Other Proposal Forms
A. Secretary's Certificate
B. Anti-Collusion Affidavit
Other Additional material may be included at proposer's discretion (Optional)
5.2 Cover Letter
The cover letter shall clearly identify the legal entity(ies) submitting the proposal and state whether
each entity is a sole proprietorship, partnership, corporation, or joint venture. The cover letter shall
acknowledge the proposer's understanding of the RFP requirements, terms, and conditions and be
signed by the designated representative authorized to bind proposer as documented on the Secretary's
Certificate to be submitted in accordance with Section 5.11.1.
5.3 Executive Summary
Proposer shall provide an executive summary to introduce its proposal; present its strategy; and
highlight unique aspects of its approach to servicing the Participating Agencies. The executive summary
can be used to highlight any additional programs, service enhancements, or other innovations proposed.
5.4 Company Description
5.4.1 Business Structure
In its proposal, proposer shall:
1. Confirm that proposer is authorized to do business in California;
2. Identify the legal entity that would execute the franchise agreement. State whether
each entity is a sole proprietorship, partnership, corporation, or joint venture. Describe
in detail the relationship of the proposer to the executing entity. If the proposer is a
joint venture, describe where the entities have collaborated before;
3. State the number of years the entities have been organized and doing business under
this legal structure. Proposal must include all the names of company's (and executing
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entities' if different than company's) owners/stockholders with greater than a 10%
holding and creditors owed a debt greater than 10% of the company's total assets;
4. Identify other businesses with ownership by principals and/or management; and,
5. Describe all services to be performed by subcontractors, and identify each
subcontractor by name. Proposer shall describe any current or past working relationship
with the subcontractor(s) in the past five years.
5.4.2 Collection Experience
Proposer must describe its experience serving jurisdictions in California (preferably serving jurisdictions
of similar or larger size and similar demographics to the Participating Agencies). Proposer's description
for each comparable jurisdiction shall include:
1. The name of the jurisdiction where the services were provided, commencement date of
services, and term of the agreement;
2. The service provided (e.g., solid waste collection, recyclable materials collection, organic
materials collection, processing, disposal, and other unique collection programs such as
those for household hazardous waste);
3. The name, address, and telephone number of the jurisdiction's representative
responsible for administering the agreement; and,
4. The number of residential (i.e., specify single-family premises and multi-family
complexes) and commercial (i.e., specify cart, bin, roll-off and other) customers served.
5.4.3 Service Initiation Experience
The Participating Agency is interested in learning about each proposer's experience with
implementation of new franchise agreements and new programs. Include a minimum of three
reference projects for which the proposer has initiated a new collection contract and/or new collection
services. For each reference program, the description shall include:
1. The name of the jurisdiction where the services were provided and commencement
date and term of the agreement;
2. The service initiation performed (i.e., initiation of a new franchise agreement, universal
roll-out/distribution of recycling service to all multi-family and commercial accounts,
etc.);
3. The name, address, and telephone number of the jurisdiction's representative
responsible for administering the agreement;
4. The number of residential and commercial customers served;
5. Description of how the company handled the specific requirements for the procurement
of vehicles and personnel; training of personnel; billing and fee collection services;
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Monterey Regional Waste Management District Section 5: Submittal Requirements
determination of routes and operating procedures; delivery of containers; public
education; and the preparation of procedures to ensure a smooth transition from one
company to another and one type of service to another, use of recycled-content carts;
and,
6. Identification of problems that occurred during the initiation of the new contract and
solutions implemented to solve the problem(s).
5.4.4 Key Personnel
Provide an organization chart for key personnel as well as job descriptions indicating the qualifications
and experience of key personnel the proposer would assign to: (1) the t ransition team; and, (2) the
ongoing management of the services provided under the franchise agreement. Specify the amount of
time each individual will be dedicated to provide the services specified in the franchise agreement.
Provide resumes, names, and phone numbers of municipal references that have worked with the key
proposed management team members. At a minimum, key personnel shall include the chief executive
officer (CEO), chief financial officer {CFO), president, vice president(s), general manager, operations
manager, customer service manager, maintenance manager, and public education specialist or other
personnel with similar titles. If specific individuals have not been identified for one or more positions,
provide the job description and hiring criteria that will be used to select the individual.
5.4.5 Past Performance Record
1. litigation and Regulatory Actions. Describe past and pending civil, legal, regulatory, and
criminal actions (including arrests, indictments, litigation, grand jury investigations, etc.)
now pending or that have occurred in the past five years against key personnel (as
identified by the proposer in Section 5.4.4), proposing entity, its parent company, and
all subsidiaries owned by proposing entity. Each proposer shall also disclose all civil
litigation, whether past or pending, with any public agency.
2. Payment of Fines, Penalties, Settlements, or Damages. Provide a statement disclosing
any and all fines, penalties (including liquidated damages or administrative fees),
settlements, or damages of any kind paid by proposer, its parent company and
subsidiaries, to public agencies in the past five years. For each payment, list the amount
the company has paid, the name of the jurisdiction to which damages were paid, and
the event(s) that t riggered the damages. Identify what personnel and/or policy changes
the company made in response to such incidents (e.g., terminated or reassigned
employees involved, new process protocols, etc.).
3. Compliance Records. Submit copies of all notices of violations, corrective action notices,
enforcement actions or orders, warning notices, or other forms of permit violation/non-
compliance documentation that the proposer received in the past five years from public
agencies for vehicles and other equipment, and vehicle staging, maintenance,
processing, composting, transfer, and disposal facilities in California, which are owned
or operated by the proposer, its parent company, and subsidiaries.
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4. Safety Metric. Proposer must report its safety metric for collection contracts used as
references in its RFP submittal and how such metric compares to industry standards.
5. Insurance Mod Rate. Proposer must report its experience modification factor, "mod
rate," that is applied to its workers' compensation insurance policies.
5.4.6 Financial Information
1. Financial Statements. Submit audited financial statements for the most-recently
completed fiscal year for the legal entity(ies) that would execute the franchise
agreement. All such statements are to be prepared in accordance with Generally
Accepted Accounting Principles applied on a consistent basis and shall be audited in
accordance with Generally Accepted Auditing Standards by an Accountant certified in
the State of California and shall include a statement by the chief financial officer {CFO)
of the entity(ies) that there has been no material adverse change in such condition or
operations as reflected in the submitted balance sheet and income statements since the
date on which they were prepared.
In the event that any proposer believes that their financial statement constitutes
"confidential information", the proposer shall submit their financial statement in a
separate, sealed envelope to the District's consultant and shall note "CONFIDENTIAL" on
each page of the confidential documents. The District's consultant will maintain the
confidentiality of such and will only report financial ratios (e.g., debt to equity ratio,
quick ratio, etc.) to the Participating Agencies. In the event that such financial
statements are ordered by a court to be produced, the District's consultant will notify
any affected proposer and such proposer(s) shall be responsible for defending the
confidentiality of such information to the court. Upon selection of contractor(s) in
response to this RFP, the District's consultant will return all confidential documents to
each of the proposers.
2. Financing Plan. Describe the plan for financing all capital requirements (i.e., those listed
on Cost Proposal Form 4) in a "Sources and Uses of Funds" format, which describes the
sources of required capital (e.g., banks, leasing companies, cash reserves, etc.) and uses
(e.g., property, trucks, equipment, containers, reserves, etc.). Attach supporting
documents (e.g., letters from banks or leasing companies) that demonstrate your ability
to implement the financing plan.
5.5 Technical Proposal for Base Proposal
Proposer shall describe how it plans to perform the collection services requested in Section 3 of this RFP
and described in the franchise agreement. When presenting information requested herein, proposer
shall explain the method of delivering the services, equipment selected, routing strategies, and
collection methods. The description shall also note differences (for different customer types) in terms of
routing strategies, collection methods, vehicles, collection crew size, etc. In addition, proposer must
describe in detail why its technical approach to the services was chosen and its advantages to the
Participating Agencies.
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If a proposer has presented information for one type of service that is the same for another type of
service, proposer can refer to its previous description rather than reiterating the discussion in its
proposal.
5.5.1 Solid Waste, Recyclable Materials, Organic Materials, and C&.D Collection
Proposer shall describe how it plans to perform the solid waste, recyclable materials, and organic
materials collection services requested in the RFP and described in the franchise agreement.
Specifically, information should separately address each material type (solid waste, recyclable materials,
organic materials, and construction and demolition debris) and sector (single-family, multi-family,
commercial, and roll-off). Include at a minimum:
Collection methodology, including discussion of special methods for collecting in hard-to-
service areas such as narrow streets, courts, high-density multi-story mixed-use
development, small-lot historic commercial streets with limited access, and alleys
particularly in the downtown areas;
Equipment to be utilized (e.g., equipment/vehicle description, number, types, cost, capacity,
age, etc.); describe the emission control technology and how vehicles will comply with state
and federal regulations. Describe plans for equipment replacements through the maximum
term of the franchise agreement;
Provisions for collection of overages (e.g., extra yard waste, cardboard, etc.) including
methods for informing customers;
Operational plan for identifying and communicating with customers about prohibited
materials and recycling opportunities in collection containers;
Standard crew size; and,
Number, types, sizes, costs, and manufacturer's specifications of containers to be utilized.
If the proposed methodology or equipment relies on co-collection vehicles, split containers, or an
uncommon method, proposer must provide the names of jurisdictions where the proposed
equipment/method is currently being used as it is proposed. Also, describe in detail how this collection
technology will work, why it was chosen for the Participating Agencies, and how it will benefit and work
in the Participating Agencies specifically.
Proposer shall describe how they will provide disaster relief assistance services to the Participating
Agencies. In particular, document the services that would be provided in the event of a disaster, (e.g., an
earthquake, tsunami, wind storm, etc.) that could result in a significant volume of disaster debris.
5.5.2 Bulky Item Reuse Collection Events
Describe the proposer's plan for operating bulky item reuse collection events in each Participating
Agency. In particular, each proposer should describe thei r approach to scheduling collections,
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characterizing materials prior to collection, and operating the program to maximize the reusability and
recyclability. Each proposal must describe the number of collection events provided (events per
customer per year) in the base proposal. The base proposal should assume the same number of
collection events as are currently provided (see Table 4 in Section 2.1).
5.5.3 Public Education and Outreach
Each proposer shall describe their public education and outreach activities under the base proposal.
Proposers should note that the scope of public education and outreach services described in Exhibit C of
the Model Franchise Agreement is the scope of services for "Required Alternate Proposal #5". The Base
Proposal includes a more limited scope of education and outreach services, as described below:
Developing, producing, and distributing an initial multi-media campaign (print, radio,
television, internet, and social media should all be included) to educate the community
about the new services (and new provider, if applicable) and recycling opportunities;
Developing, producing, and distributing quarterly newsletters to all customers;
Coordinate messaging with Participating Agency and/or District staff, produce, and
distribute customer bill inserts;
Coordinate with District and/or Participating Agency staff to make presentations to
community groups, homeowners associations, business organizations, and service
organizations;
Community outreach through Participating Agency events, such as booths, displays,
sponsorship, parade floats, Farmers Markets, etc., upon request of the Participating Agency;
Receiving service level change work orders (i.e., changing solid waste, recycling, and
organics service levels following site audits and right-sizing) from District or Participating
Agency staff and implementing the new service within five business days; and,
Monitoring customer set-outs (i.e., to identify contamination in recycling or organics, to
identify hazardous materials, to identify recycling opportunities in waste, etc.) and providing
feedback to the customer.
5.5.4 Customer Service
To ensure that customers in the Participating Agencies obtain competent, professional and courteous
customer service, proposer shall:
Identify the number and title of personnel whose function is dedicated to customer service;
Describe procedures to satisfactorily respond to, record, and report common customer
complaints such as: missed pick-ups; spills and litter resulting from collection; collection
schedule changes; broken or missing containers; improperly prepared set-outs; noise
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complaints; traffic and sidewalk obstruction during collection; and, safety around collection
vehicles during operations;
Identify if the company has a website that customers may access to obtain customer rates,
service information, pay bills, and to submit inquiries or complaints and provide website
address, if applicable. Confirm that customers can email their queries and specify the
maximum turn-around time for responses; and,
Describe how Agency contract manager (as defined in the franchise agreement) may access
the company's customer service system to view (in a read-only format) customer service
related information by customer type, including information such as the number of missed
pick-ups, number and type of complaints received, level of service, collection day(s), etc.
The Participating Agencies have a strong preference for the selected contractor's customer service to be
located within the service area or, at least, within the County. In the event that the proposer wishes to
utilize a customer service call center that is outside of Monterey County, the proposer must describe
their plans for providing some level of local customer service (e.g., through a local customer liaison or
customer service representative in a local office) and ensuring that customer service representatives are
familiar with the communities, the franchise provisions, and the services and rates available.
5.5.5 Billing
The selected contractor shall be responsible for performing billing, as described in Section 4.8 of the
Model Franchise Agreement, to all customers in the Participating Agencies, with the following
exceptions:
The Pebble Beach Community Services District bills residential customers for the basic level of
service through the property tax rolls and remits payment to the contractor on a quarterly basis.
The contractor bills for any additional residential service beyond the basic service level and bills
for all commercial and multi-family services.
To insure that customers in the Participating Agencies obtain competent, professional, and courteous
service with regard to billing matters, proposer shall:
Provide sample customer billings and a listing. of jurisdictions where proposer currently
provides billing services, including a contact name and phone number; and,
Describe its procedures for dealing with customer service, with regard to customer billing
demands, during the transition and throughout the term of the franchise agreement.
5.5.6 Implementation Plan
Provide a detailed implementation plan describing the proposer's approach to facilitating a smooth
transition to all services. The proposal must clearly describe the proposer's ability to implement the
109
services in accordance with the schedule shown in Table 2 of this RFP. This should include how the
proposer will meet equipment, personnel, administration, maintenance, and public education
requirements. The proposer should describe its assumptions regarding the District's and Participating
Agencies' staff participation and the current service provider's participation. Provide a schedule listing
key events (i.e., equipment procurement, public education, container distribution, employee hiring and
training, etc.), duration, and expected completion date of each event. Discuss contingency plans that
will be in place for various aspects of the implementation process.
5.5.7 Subcontractors
Identify by name and describe all services to be performed by any subcontractors.
5.5.8 Existing Management and Customer Service Systems
Proposer shall describe the management systems and customer service systems its company plans to
use to manage inquiries and complaints received from residential and commercial customers. The
description of the management systems and customer service systems shall include:
1. Name, type of equipment, software used to maintain routing and customer service information,
and period of time the company has operated this system;
2. Management procedures for managing inquiries and complaints and procedures used to
minimize complaints (e.g., missed pick-ups, noise, spills, etc.);
3. Description of system capability and/or procedures to ensure timely accessibility of information
by jurisdictions served;
4. Description of whether individual call centers are established for each service area or if
customer calls are handled by a centralized call center;
5. Identification of whether the system is used company-wide or for select jurisdictions (listing
which jurisdictions);
6. Description of how the customer service information interfaces with route and billing data and
provision of examples of reports that summarize single-family and commercial customer
information (name, address, service location, level of service, complaints, etc.);
7. Description of procedures used to satisfactorily respond to, record, and report common
customer complaints such as: missed pick-ups; spills and litter resulting from collection;
collection schedule changes; broken or missing containers; improperly prepared set-outs; noise
complaints; traffic and sidewalk obstruction during collection; and, safety around collection
vehicles during operations;
8. Description of how the company measures customer service with regard to the call center's
responsiveness and accuracy of responses, as well as the quality of collection service.
Identification of specific performance metrics or targets your company tracks. Provision of
copies of actual reports for at least three jurisdictions that document the actual performance
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level against your targets including, at a minimum, average hold times of the customer service
call center and missed pick-ups;
9. Provision of copies of monthly or quarterly reports submitt ed to at least two jurisdictions that
document monthly tonnage, customer account, and complaint information;
10. Demonstration of the ability to report the information required in Sections 6.1 and 6.2 of the
Model Franchise Agreement if not demonstrated through the presentation of information
required above; and,
11. Description of any other management information systems that the proposer uses to monitor its
operations and activities and how they could make that information available to the
Participating Agencies.
5.5.9 Performance Measures and Diversion Incentives
Proposer is to identify the performance measures the company uses to monitor quality of service (such
as missed pick-ups, number of complaints); responsiveness of its call center; and contract compliance.
Include a sample report that identifies these performance measures and benchmarks for high
performance ratings. Proposers are to identify which of these performance measures (plus any
additional measures) it proposes be incorporated into the franchise agreement.
In addition, proposer shall present a strategy that will incentivize the contractor to promote customer
participation in the recycling and organics collection programs and diversion of materials from disposal.
5.5.10 Corporation Yard and Maintenance Facilities
Describe the proposed location(s) of the corporation yard for collection vehicles parking, collection
container storage, employee parking, vehicle and equipment maintenance facilities, and offices. Provide
an aerial photo and site plan schematic showing the property and how the facility will accommodate the
company's collection operations, maintenance activities, vehicle and employee parking, container
storage and repair, and/or administrative offices. If the facility(ies) are currently operational and owned
or leased by the proposer, describe plans, if any, to modify or expand the facility(ies) and the permitting
process associated with the modification or expansion activities. If the facility(ies) need to be
purchased, leased, and/or developed by the proposer, describe the acquisition and development plans;
describe contingency plans in the event the proposed site is not available (or suitable) or in the event
the acquisition and development timeline is delayed; and indicate willingness to stand by the proposed
costs and rates if proposer has to secure a site other than described herein.
5.6 Technical Proposal for Alternative Services
For the alternative services described in Section 3.2, provide a description of the proposer's approach to
providing each service. Note that a response to this Section 5.6 is a required element of the proposal; it
is not optional. Cost proposal information for Alternative Services must be provided in the proposal
forms. At a minimum, include for each service the following:
111
The type and number of customers that would be targeted and basis for estimated tonnage levels
and customer participation levels, noting the proposer's experience with comparable programs in
other communities;
Collection methodology, including discussion of special methods for collecting in hard-to-service
areas such as narrow streets, courts, and alleys;
Equipment to be utilized (e.g., equipment/vehicle description, number, types, cost, capacity, age,
etc.);
The benefits of the proposed service, and potential challenges related to the service and strategies
for managing such challenges; and,
A description of the proposer's approach to allocating the cost of the service among the
Participating Agencies and the impact on costs, if any, resulting from some, but not all, Participating
Agencies selecting the program for implementation.
5.7 Technical Proposal for Innovative and/or Cost-Saving Services
Proposer may present one or more proposals for innovative and/or cost-saving services beyond those
required by this RFP and Model Franchise Agreement. Examples of potentially innovative or cost-saving
services include, but are not limited to: collection of some universal wastes; separate collection of wet
and/or dry waste; use of used collection vehicles; collection of commercial organic materials three days
per week (rather than five days), etc.
Proposer must clearly describe the proposed service(s) and the operational and financial impacts that
the inclusion ofthe service(s) would have on the other services. For each proposal for innovative and/or
cost-saving services, proposer shall provide a thorough description of its plans for the program,
including, but not limited to, the following:
The type and number of customers that would be targeted and basis for estimated tonnage
levels and customer participation levels;
Collection methodology, including discussion of special methods for collecting in hard-to-service
areas such as narrow streets, courts, and alleys;
Equipment to be utilized (e.g., equipment/vehicle description, number, types, cost, capacity,
age, etc.). Describe plans for equipment replacements through the maximum term of the
franchise agreement;
The benefits of the proposed service, and potential challenges related to the service and
strategies for managing such challenges; and,
Communities where this program has been successfully implemented by proposer or others.
If innovative or cost-saving proposals are presented, proposer shall submit a separate set of proposal
forms that document the cost of service under their alternate proposal. The Participating Agencies are
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not obligated to select these proposals. Innovative or cost-saving proposals will be considered by the
Participating Agencies if it concludes that they warrant evaluation and analysis.
5.8 Environmental Considerations
5.8.1 Vehicle Air Emissions Impacts and Fueling Proposal
1. Air Emissions. Describe how the vehicles will comply with current and emerging local air district,
state, and federal regulations related to vehicle emissions including a description of the specific
control measures to be used and schedule for compliance. Proposer shall describe how it plans
to minimize costs for compliance over the term of the franchise agreement.
2. Alternative Fuel. Proposer may propose to use alternative fuel at its option. If alternative fuel is
proposed, describe the type of fuel proposed; specify if all or a portion of the collection and
transfer vehicles will run on the alternative fuel; identify the location of the fueling station
and/or plans for developing such station if it is not an existing facility; and describe any other
relevant information.
5.8.2 Facility Environmental Compliance
If a proposer plans to develop a new corporation yard or maintenance facility, or significantly modify an
existing facility, the proposer should describe its ability to respond to issues identified during the
environmental review, compliance, and permitting process associated with the development of the new
facility(ies).
5.8.3 Environmental Enhancements
Proposer is encouraged to identify environmental enhancements it can incorporate into its operations
and/or describe its company's environmental policies that support the State and District's goals and
objectives related to:
Minimizing environmental impacts (e.g., air, water, depletion of natural resources) associated
with collection, transfer, processing, and disposal services;
Encouraging the highest and best use of recycled materials; and,
Supporting, where practical, local and regional end markets for recyclables.
Examples of environmental enhancements, aside from alternative fuels, include:
Obtaining certification as a "Green Business" through the State's Green Business Program;
Incorporating green building best practices and standards into facilities used by proposer;
Adopting environmentally preferable purchasing policies for the company's operations; and,
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Monterey Regional waste Management District
Achieving certification to national or international standards (e.g., ISO certification for
environmental or quality management).
The above examples are intended as guidance for what may be considered environmental
enhancements. Proposer is not obligated to address any of these elements, and may present other
programs or policies of its own.
5.9 Acceptance of RFP and Franchise Agreement
To provide the proposer with a clear understanding of the roles, responsibilities, rights, and obligations
of the contractor, the District, and the Participating Agencies, a Model Franchise Agreement has been
prepared and is included as Attachment A. Proposer is required to review the franchise agreement prior
to submittal of its proposal. The Participating Agencies expect the franchise agreement will be executed
by the selected contractor in substantially the same form as presented in Attachment A. This review
process allows the proposer to prepare the proposal and costs for services with full consideration of its
rights and obligations.
Proposer must document any proposed exceptions to the Model Franchise Agreement. For each
exception, proposer shall identify the exception, explain its concern, and provide alternative language
for consideration by the Participating Agency. To document the proposer's exceptions to the Model
Franchise Agreement and propose alternative language, proposer shall record its exceptions and
proposed alternative l a n g u ~ g e directly in an electronic version of the Model Franchise Agreement and
include a Microsoft Word copy, in redline and strikeout, of the Model Franchise Agreement on the
electronic media included in its proposal. Proposer shall also complete any information in the Model
Franchise Agreement that needs to be tailored to the company's proposal such as, but not limited to,
the contractor's name, guarantor's name, and certain technical information identified in the Model
Franchise Agreement. Each location in the Model Franchise Agreement where proposer-specific
information is to be inserted is identified with a note to the proposer that provides instructions.
The Participating Agencies, individually, reserve the right to determine if the exceptions are reasonable.
Proposer will be deemed to have accepted and agreed to any provisions of the RFP and/or proposed
terms and conditions of the franchise agreement that have not been noted as exceptions in the
proposal. If any Participating Agency chooses to enter into negotiations with a proposer, the noted
comments and recommended alternative franchise agreement language will serve as a starting point for
discussion. With this understanding, the selected contractor may not initiate discussion related to
franchise agreement language for which no exceptions were noted. The Participating Agency may
request the proposer to sign the franchise agreement before their elected body makes the final
contractor selection.
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5.10 Cost Proposal
It is the intent of this RFP process to receive proposals that will allow each Participating Agency to make
their own, individual, selection of a collection service contractor, but to allow for communities who
select the same service provider to benefit from the economies of scale in both operations (e.g., routing
efficiencies achieved by routing across jurisdictional boundaries) and overhead (e.g., customer service,
billing, management, etc.). As such, each proposer is required to submit a separate set of cost proposal
forms for each Participating Agency. Proposers are invited to offer discounts for the award of multiple
Participating Agency contracts using the provided form entitled Discount for Multiple Service Areas
(Attachment 1).
The cost proposal to be prepared by proposer includes several components such as the Proposer's
assumptions regarding operating statistics, detailed costs, and customer service levels. Proposer shall
submit the cost proposal using the forms provided in Attachment E. Proposer must carefully review the
instructions provided in this section and comply fully with the requirements set forth herein. The cost
proposal includes two components:
1. Base cost proposal that reflects the current services provided; and,
2. Cost proposal for alternative services that are being considered by the Participating Agencies.
Proposer shall follow the instructions provided below for preparation of the cost proposal components.
A complete set of cost proposal forms shall be submitted in a separate, sealed, envelope marked "COST
PROPOSAL" and an electronic copy of the forms is required in Microsoft Excel format pursuant to
Section 4.3.4.
The proposal assumptions, operating statistics, and cost proposal information submitted by proposer
will be evaluated to determine the reasonableness of the contractor's proposal. Due to the complexity
created by multiple jurisdictions, each with a unique rate structure, and the potential for discounts
resulting from the award of multiple agreements, proposals will be evaluated on the basis of costs.
Specific rates will be established for each Participating Agency to meet the selected contractor's
proposed revenue requirement based on the current rate structure and the contractor's assumed
service levels.
Each proposer shall affirm in their proposal that the cost proposal shall be firm and valid for a period of
one year from the submittal date of the proposal.
5.10.1 Guidelines
The proposer shall prepare its cost proposals in accordance with the following guidelines:
1. Terms based on Agreement. Contractor shall be governed by the terms and conditions of
the franchise agreement;
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2. Scope per RFP and Agreement. Costs shall encompass all base collection services, which
are identified in Section 3.1 and further described in the Model Franchise Agreement;
3. Valid for Rate Period One. Costs shall be effective for the first twelve months of operations
for each Participating Agency;
4. Depreciation and Interest. Depreciation and interest expenses related to purchase of
vehicles and containers during the term of the franchise agreement (including possible
extensions) need to be anticipated and an average annual amount included for Rate Period
One. Note that the average annual amount shall reflect the projected depreciation costs for
the initial 10-year term. To document the timing of equipment acquisition, related
depreciation expenses, and calculation of the average annual depreciation amount,
contractor shall use Form 7 of the cost proposals. Proposer shall assume an average vehicle
and container life of ten or more years and plan to depreciate the vehicles and containers
over a ten year period for the purposes of determining depreciation and interest expenses.
5. Tipping Fees. All materials collected under the agreements shall be delivered to the
MRWMD facilities, except for any recyclable materials processed at the proposer's facility.
The cost of disposal shall be included in the cost proposal forms assuming a tipping fee of
$48.25 per ton. The cost of organic materials processing shall be included in the proposal
forms assuming a tipping fee of $23.50 per ton for clean green waste and $38.00 per ton for
food waste or mixed green waste/food scraps. The cost of mixed C&D processing shall be
included in the cost proposal forms assuming a tipping fee of $48.25 per ton. Residue
disposal costs for all processing services are included in the tipping fee. If the proposer
intends to use their own facility for the processing of recyclable materials, each proposer
shall document the per-ton charge or rebate included in customer rates for the processing
ofthis material.
6. Start-Up Costs Annualized. Start-up costs related to implementation of the agreement shall
be itemized listed on Form 6F and annualized over a ten-year period.
7. Compactor Service. Costs for servicing roll-off compactors shall be included with drop-box
costs on the cost proposal forms. Cost for bin-type compactors shall be included with bin
costs on the cost proposal forms.
8. Rates. Rate proposals are not required in the initial proposals. Rates will be established in
each of the Participating Agencies based on proposed costs (revenue requirement), the
current rate structure, and the service level assumptions presented.
9. Non-Allowable Costs. Costs identified in Model Franchise Agreement (Exhibit E3, Section
A.2.) shall not be included in the cost proposal.
10. Agency Fees. Table 13 (Section 2.8) lists the fees collected by each of the Participating
Agencies that are to be included in the cost proposal. Each Participating Agency individually
reserves the right to modify or eliminate these fees and/or add new fees before
commencement ofthe franchise agreement.
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11. Service Level Assumptions. To assist in the preparation of the cost proposal, each
Participating Agency requested the current service level information from Waste
Management. The data provided by Waste Management is included in each of the Agency
Service Profiles (Attachment C). The proposer shall develop its cost proposal based on its
assumptions with regard to the future customer service level needs. The proposer's
assumptions shall be presented on Forms 2 and 11 of the base cost proposal. For the
alternative and innovative/cost-saving proposals, proposer shall input its service level
assumptions on Form 2. If the actual level of service is more than that assumed for the
purposes of preparing the proposal, the contractor shall receive and retain more revenues
from customer rates. Alternatively, if the actual service levels are less than assumed for
proposal purposes, the contractor shall receive less rate revenue from customers.
12. Tonnage Assumptions. The Participating Agencies and District have provided historical
tonnage information by sector, material type, and Participating Agency, based on
information submitted by Waste Management. Neither the Participating Agencies nor the
District has independently verified this tonnage. Each proposer should undertake whatever
due diligence measures they deem appropriate to estimate the amount of tonnage available
from each of the agencies and sectors. The proposer's assumed tonnages shall be shown on
Form 2 in the base cost proposal and proposer shall allocate the tonnage to the different
service categories based on its own assumptions with regard to historical tonnage collected
and future participation in programs. The proposer shall develop its cost and rate proposal
using its estimated tonnage levels specified on Form 2. If actual tonnage levels are
different, no retroactive adjustment will be made to contractor's compensation; however,
as described in the franchise agreement, changes in tonnage levels will be reflected in the
annual rate adjustment process. During each rate adjustment, disposal and processing costs
will be calculated annually based on the tonnage collected during the most-recently
completed 12-month period.
5.10.2 Base Cost Proposal
Proposer is required to submit a separate base cost proposal for each of the seven Participating
Agencies using Forms 1 through 8 provided for this purpose in Attachment E. On the base cost proposal
forms, the proposer is required to present operating statistics, its annual cost proposal, and its assumed
service levels. The proposer shall also include the Discount for Multiple Service Areas form (Attachment
I) to indicate the potential discounts to the cost proposals based on number of customers awarded.
5.10.3 Cost Proposal for Alternative Services
The Participating Agencies have identified several alternative services that some or all of the agencies
may choose to include in the scope of their franchise agreements. These alternative services are
presented in Section 3.2. The Participating Agencies selected these programs as alternative services
because they want to evaluate the cost impact and diversion potential before deciding to include the
program in the scope of collection services. Proposers are required to submit separate operating
statistics and costs for each alternative service reflecting the incremental increases (if any) to operating
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statistics (such as labor, route hours, tonnage, etc.) and incremental costs increases for the alternative
service above costs reflected in the base cost proposal.
If the proposer anticipates some cost reductions to the base cost proposal, these reductions shall be
provided on the designated line item ("Cost Reductions to Base Services") on the alternative cost
proposal forms. For example, for source separated commercial organics, the alternative proposal shall
reflect the additional costs associated with operating the collection routes, providing commercial
organics containers, performing the outreach and coordination with additional customers, etc. If as a
result of increased commercial organics collection efforts, proposer anticipates a reduction in the
commercial solid waste service levels and disposal tonnages resulting in a reduction to solid waste
collection and disposal costs, these reduced costs should be reflected in the line item titled "Cost
Reductions to Base Services."
If the Participating Agency chooses an alternative service, the annual costs presented in the base cost
proposal will be adjusted to reflect the selected alternative services. Proposer is required to complete
alternative cost proposal Forms 1 through 7 in Attachment E documenting its proposed costs for the
alternative services.
Note that the total tonnage collected for the alternative services shall balance out to zero because the
proposer shall show increased recyclables and organics tonnage collected through higher diversion
efforts and show the corresponding decrease in the solid waste collected (as a negative value).
5.10.4 Cost Proposals for Innovative or Cost-Saving Services
The innovative or cost-saving cost proposals shall be based on the technical description provided by the
proposer pursuant to Section 5.7.
1. Innovative Services. If proposer chooses, at its option, to present an innovative proposal for
a collection strategy other than that discussed in the RFP or franchise agreement, then
proposer shall submit an additional set of the base proposal forms if the innovation impacts
the entire system or shall submit a set of the alternative cost proposal forms to present one
or more innovative programs.
2. Cost-Savings Approach. Proposers are invited, but not required, to submit alternative
proposals that are not entirely consistent with the requirements of the RFP, but reflect an
alternative approach that will save significantly on the cost of service. For example,
proposer may propose reducing the level of service provided to customers (e.g., use of used
collection vehicles; use of a facility other than required by the RFP, etc.) In such case,
proposer is to specify all cost reductions. Proposer shall submit an additional set of the base
proposal forms if the cost-savings approach impacts the entire system or shall submit a
modified set of the alternative cost proposal forms to present one or more cost-saving
programs.
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If the Participating Agency(ies) choose(s) an innovative and/or cost-saving service, the annual costs
presented in the base cost proposal will be adjusted or the base cost proposal will be replaced
completely (if the innovative and/or cost-saving services impact the whole collection system).
5.11 Other Proposal Forms
5.11.1 Secretary's Certificate
Each proposer shall complete and submit the Secretary's Certificate, Attachment F, documenting the
designated representative authorized to bind the proposing company.
5.11.2 Anti-Collusion Affidavit
Each proposer shall complete and submit the Anti-Collusion Affidavit, Attachment G. The Anti-Collusion
Affidavit shall be signed by the designated representative authorized to bind the proposing company as
documented on the Secretary's Certificate.
5.12 Additional Information (Optional)
Additional information or data relevant to the proposal is optional and may be included by a proposer as
an attachment(s) to the proposal.
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Monterey Regional Waste Management District Section 6: Proposal Evaluation Process
SECTION 6: PROPOSAL EVALUATION PROCESS
This section describes the proposed process for evaluating proposals and selecting the collection
contractor. Section 6.1 describes the parties that will be involved in the evaluation process including
those that will make contract award recommendations for final approval by the Participating Agencies.
Section 6.2 presents the evaluation criteria. Note that the Participating Agencies reserve the right to
modify this process in any way and at any time during the RFP and contractor selection process.
6.1 Proposal Evaluation Process
An evaluation team will be assembled by the District and the Participating Agencies, which may include
District and Participating Agency staff, legal counsel, and consultant(s). The evaluation team will conduct
a detailed evaluation of the proposals, rank proposals, and provide comparative descriptions of the
proposals. The evaluation team will prepare a formal recommendation for the award of contracts to one
or more service providers and will indicate their recommendation regarding the adoption of alternative
services.
The elected bodies in each Participating Agency will review the evaluation team's evaluation report and
select the future contractor. Participating Agency staff will then negotiate the franchise agreement and
rates with the selected contractor. To the extent that Participating Agencies select the same contractor,
these negotiations may be done as a group. Ultimately, each Participating Agency's elected body would
approve a franchise agreement, subject to successful negotiation of the final terms.
6.2 Evaluation Criteria
Proposals will be evaluated using the criteria described in this section. The evaluations will reflect the
extent to which criteria is fulfilled relative to other proposals.
The Participating Agencies individually reserve the right to act in the best interest of their Agency, its
residents and businesses, including the right to reject a proposal if the proposal is not in the best
interest of its residents and businesses.
The potential factors that may be considered by the evaluation team when evaluating each criterion
include, but are not limited to, the items below. Some or all of these factors may be considered by the
evaluation team, and other factors not listed below may also be considered.
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6.2.1 Responsiveness
Proposer must be fully compliant with the RFP and procurement procedures as demonstrated by
submittal of all elements required by Section 5; full completion of all cost proposal forms required in
Section 5.10; and, compliance with process guidelines presented in Section 4.
6.2.2 Company's Qualifications
The following aspects will be considered when evaluating the proposer's qualifications:
1. Collection Experience.
a} Demonstrated experience of company providing the requested or similar
services to other jurisdictions.
b) Demonstrated experience of company's ability to implement new collection
services and new franchise agreements and obligations that are similar to the
Participating Agencies' services in comparable sized communities.
c) If the proposer is a joint venture, demonstrated experience of parties working
together.
d) Satisfaction of company's references with the services received in the past ten
years (including, but not limited to, implementation, customer service, call
center, billing, payment of fees, reporting, and the handling of contractual
issues}.
2. Key Personnel Qualifications. Extent and relevance of the qualifications and experience
of key personnel proposed for the transition team and on-going management of the
Participating Agencies' collection operations.
3. Performance Record. Review of company's history with litigation (e.g., nature of past
and pending civil, legal, regulatory, and criminal actions; history and nature of
payments of liquidated damages, penalties, damages, etc.} and regulatory compliance
(related to equipment and facilities including compliance with land use permits, storm
water discharge permits, state highway requirements, etc.}.
4. Financial Stability. Financial strength and ability of company to acquire equipment and
provide financial assurance of performance based on review of its audited financial
statements and its proposed financing plan and the relationship of the Participating
Agency's contract to the company's total annual revenues.
6.2.3 Technical Proposal for Base Collection Services
The following technical aspects will be considered:
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1. Collection Approach - Reasonableness and reliability of the proposed collection
methods, technology, equipment, containers; productivity and operating assumptions
(i.e., number of routes, route drivers, route hours, stops per route, and other operating
statistics).
2. Diversion Ability - The nature and reliability of proposed diversion programs and
potential of such programs to divert solid waste from landfill disposal.
3. Public Education and Outreach Program- Compatibility (relative to other proposers) of
the proposed education program, staffing levels, and program ideas with the needs of
the Participating Agencies and the requirements of the franchise agreement; and, the
quality of public education samples relative to other proposers.
4. Customer Service - Compatibility (relative to other proposers) of customer service
approach and staffing levels with the needs of the Participating Agencies and the
requirements of the franchise agreement.
5. Billing System - Compatibility (relative to other proposers) of billing approach,
procedures for handling customers, and coordination plan with the Participating
Agencies.
6. Implementation Plan - Reasonableness of implementation schedule and ability to meet
deadlines (e.g., reasonableness of equipment procurement schedules, implementation
staffing levels, new corporation or maintenance yard development, and contingency
plans).
7. Facilities for Equipment, Maintenance, and Administration- Compatibility (relative to
other proposers) of plan for providing the facilities needed for equipment storage;
parking, maintenance, and administration. level of assurance provided, if any, with
regard to site acquisition and timely development of necessary facilities.
8. Proposal Enhancements - Value provided to the Participating Agency(ies), their
residents, or businesses for additional proposal enhancements offered by a proposer
that are not required by this RFP.
9. Other - Other technical considerations to be determined such as collection container
acquisition plans.
6.2.4 Technical Proposals for Alternative Services
For each of the alternative services, the following technical aspects will be considered, at a minimum:
1. Collection Approach - Reasonableness and reliability of the proposed collection
methods, technology, equipment, containers; productivity and operating assumptions
(i.e., number of routes, route drivers, route hours, stops per route, and other operating
statistics).
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2. Diversion Ability - The nature and reliability of proposed diversion programs and
potential of such programs to divert solid waste from landfill disposal.
Other technical considerations may be evaluated in addition to the collection approach and diversion
ability.
6.2.5 Acceptance of RFP and Franchise Terms
The District and the Participating Agencies will evaluate the number and nature of exceptions to the RFP
and franchise agreement relative to other proposers. The evaluation team may reject a proposal in its
entirety if they determine, in their sole discretion, that the number and nature of changes to the
franchise agreement makes the proposal incomparable to the value provided in other proposals.
6.2.6 Environmental Considerations
The following aspects will be evaluated when evaluating environmental considerations and, in most
cases, the environmental considerations will be evaluated relative to other proposers:
1. Vehicle air emission impacts
2. Fueling proposal
3. Estimated vehicle miles and fuel consumption
4. Facility environmental compliance
5. Proposer's corporate/company environmental policies and practices
6. Environmental enhancements
6.2.8 Cost and Rate Proposals
Evalua ion of cost proposals will include, but is not limited to, examination of annual costs for Rate
Period , and estimated 10-year and 15-year net present value of the contract (to forecast sensitivity to
cost in ices). The reasonableness of the costs, operating assumptions, service level assumptions, and
rates ill be evaluated and any concerns will be identified.
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