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Collection Service Procurement
Orange County Florida
Caroline MixonProject Manager
(Now Deputy Director, City of Tampa Solid
Waste Department) 4/30/02
Presentation Overview
• Background• Bid Criteria & Special Terms• Evaluation & Recommendations• Summary
Background• 1985 negotiated franchises -mandatory
collection began• High performance standard (less than
8 complaints/1000 hh)• Four franchise haulers operated in
seven franchise areas• Smallest area 2400 hh, largest 85,000
households.• One hauler collected from 120,000 HH
Background• 2-1-1 Collection Service
• Historical MSTU range from $138 for collection and disposal in 1990 to 154.02 in 2001
• Hauler reimbursement rate for collection $111.00
• Florida 2-1-1 programs range $90.14 - $114.92
Background• BCC concerns:
– County citizens pay more for same level service
– Rate not market based
– Difficulty negotiating lower rate due to fuel cost escalation
– No change desired in level or quality of service
– Longer contract term desired
Background• Staff concerns:
– Disposal fee double handled– Flexibility to handle performance– Annual rate adjustment based on
CPI/Fuel Index formula rather than negotiated
– Longer contract with option to re-bid or renew
– Dedicated Fleet (disaster/disposal)– Equitable service areas, reduce
dependency on single hauler– More favorable contract language
Background• Overall desire to use Bid process,
to emphasize low cost; but incorporate flexibility of RFP process to allow scrutiny of qualifications to ensure comfort with outcome
Presentation Overview
• BackgroundBackground• Bid Criteria & Special Terms• Evaluation & RecommendationsEvaluation & Recommendations• SummarySummary
Criteria & Special Terms
• Seven year term, with 2 renewal options
• Five Franchise zones, maximum award 2 zones
• Equitable size and growth rates (approximately 31,000 hh/zone)
• County retains disposal MSTU• Dedicated Fleet• Quality assurances via progressive
financial penalties
Criteria & Special Terms
• Bids to reflect collection costs• Disposal credit based on 8 years of
annual tonnage data• Tonnage allocation initially set at
1.5 tons/hh/year including 1.15 tons for Class I waste and .35 tons for yard waste
• Dedicated fleet helps assure tonnage is from county residents
Criteria & Special Terms
• Service complaint limit equates to about 11 complaints/1000 customers
• Financial penalties are designed to be progressive and are associated with complaints as well as dedicated fleet issues
• Penalties range from $100/incident to $50,000
Criteria & Special Terms
• Hauler preparations included:– Adhering to post award
schedule– Submitting company
transition plans – Attending monthly
meetings– Participating in outreach
events– Submitting readiness
confirmation
Criteria & Special Terms
• Submit a Transition Plan to be added to Countywide Transition plan:– Staff preparations– Contract hauler preparations– Customer notification– Customer service readiness– Staff and hauler coordination and
cooperation
Criteria & Special Terms
• Hauler Post Bid Award Obligations– Order new vehicles– Prepare routes and service days
maps– Affix franchise symbol and
identification number to collection vehicles
– Hire and train employees– Notify customers of collection days– Hire additional staff for December
31 start-up
Criteria & Special Terms
Hauler Door Tags - Notification to Public Required
Presentation Overview
• BackgroundBackground• Bid Criteria and Special TermsBid Criteria and Special Terms• Evaluation & Recommendations• SummarySummary
Evaluation & Recommendations
• Lowest qualified and eligible bid wins
• Bid opening matrix preliminary based on low bid
• Second Matrix approximately 3 weeks later based on qualifications/eligibility
Evaluation & Recommendations
• To qualify for one franchise area– Two existing or past municipal solid
waste and recyclable collection contracts with a minimum of 40,000 households each and a minimum period of five years of successful service. Municipal solid waste collection and recyclable collection may be separate contracts, but each must meet the household minimum
Evaluation & Recommendations
• To qualify for two areas– Four existing or past municipal solid
waste and recyclable collection contracts with a minimum of 40,000 households each and a minimum period of five years of successful service. Two of the 4 contracts must have been serviced concurrently or for an overlapping period of time
Evaluation & Recommendations
QUALIFIED AND ELIGIBLE LOW BIDSHAULER Zone
1Zone
2Zone
3Zone
4Zone
5Onyx 68.88Republic 101.76 100.44WasteMgmt.
99.00(tie)
92.40
LOW BIDSHAULER Zone
1Zone
2Zone
3Zone
4Zone
5Onyx 68.88 76.08Republic 101.76 100.44WasteMgmt.
92.40
Presentation Overview
• BackgroundBackground• Bid Criteria and Special TermsBid Criteria and Special Terms• Evaluation & RecommendationsEvaluation & Recommendations• Summary
Summary
• One existing hauler did not win
• Another existing hauler wanted to qualify for two zones, but only deemed qualified for one
• Performance record and experiences of other counties helped prepare BCC
Summary• Customer calls increased from 5,000
per month to 16,000 – Added temporary customer service staff
• Commissioners received more calls– Staff member assigned to Chairman’s
Office– Solid Waste Hotline open til 7:00 and on
weekend– Refer to website
Summary• Reduced customer charge and hauler
reimbursement rate - largely due to “unknown” competitor
• Specify whether experience needs to be U.S. based
• Compare personnel/equipment/route data to standards and evaluate
• Don’t compromise relationship adhering strictly to fines, but use them up front to make real
• Establish separate and severe fine for commingling
More Information
• Susan Ioder, Orange County Purchasing & Contracts [email protected] 407-836-5898
• Bill Hutchinson, Planning & Economics Group (PEG)[email protected] 305-858-8708
More Information
• Caroline Mixon-Klos, City of Tampa Solid Waste Department
• [email protected] (current email) 321-297-8906 (current phone)
• [email protected] 813-348-1155 or 813-348-1153
The End...