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HomeMy WebLinkAbout02-70 Resolution No . 02-70 RESOLUTION AUTHORIZING EXECUTION OF AMENDMENT NO. 11 TO A SOLID WASTE COLLECTION SERVICES CONTRACT WITH WASTE MANAGEMENT-WEST BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Olufemi Folarin, Interim City Manager, and Dolonna Mecum, City Clerk, be and are hereby authorized and directed to execute Amendment No. 11 to a Solid Waste Collection Services Contract on behalf of the City of Elgin with Waste Management- West for residential solid waste services through June 30, 2002 , a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: February 27, 2002 Adopted: February 27, 2002 Omnibus Vote : Yeas : 7 Nays : 0 Attest : s/ Dolonna Mecum _ Dolonna Mecum, City Clerk Solid Waste Collection Services Contract Amendment No . 11 City of Elgin Collection and Disposal of Garbage and Refuse Curbside Recycling Collection Program This contract amendment (hereafter the "Eleventh Amendment" ) agreement is made and entered into this )?ht day of 6- m fir 2002 by and between the City of Elgin, an Illinoi municipal corporation (hereafter "City" ) and Waste Management West, a Division of Waste Management of Illinois, Inc . , a Delaware corporation formerly known as "Elgin Wayne Disposal" (hereafter "WMW" ) . WHEREAS, the City and WMW previously entered into a Solid Waste Collection Services Contract dated the 14th day of February, 1990 entitled "City of Elgin Collection and Disposal of Garbage and Refuse and Curbside Recycling Collection Program, " (hereafter "the Contract" ) ; and WHEREAS, the terms of the Contract currently extend until 31 March 2002 ; and WHEREAS, the present terms of the Contract do not accurately reflect changed economic conditions and the City' s current municipal refuse needs; and WHEREAS, the City has determined that it is in the best interests of the City to amend the Contract to provide municipal refuse collection on a more cost-effective basis to Elgin residents; and WHEREAS, the City and WMW have determined that it is in the best interests of the respective parties to extend the Contract until 30 June 2002 to enable the City to develop a request for proposal (RFP) reflecting the City' s current municipal refuse needs . NOW THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency and receipt of which are hereby acknowledged, the City and WMW agree that : 1 . The Contract shall remain in full force and effect except to the extent that provisions of the Eleventh Amendment conflict with the terms of the Contract, in which case the provisions of the Eleventh Amendment shall control . 2 . The term of the Contract for the Collection and Disposal of Garbage and Refuse and Curbside Recycling Collection Program shall remain in full force and effect through the 30th day of June 2002 . Therefore, the City and WMW mutually agree to modify the Contract as outlined herein. In witness , whereof, the parties to this Contract have caused this Eleventh Amendment to be executed as of the day and year set forth above . OWNER CONTRACTOR CITY OF ELGIN WASTE MANAGEMENT-WEST By: 11 Cit Manaeer, Attest : Attest : n 7 It arl I r 4/1 City Clerk .�-.c� OF F(C N d`y� D 1 Agenda Item No. City of Elgin ��°,,Blot," E L ',ui flit. 11, February 8 , 2 002 G tail I� L1 I 1 Dili 1 no 1 e TO: Mayor and Members of the City Council N . 111 In V I I FINANCIALLY STABLE CITY GOVERNMENT EFFICIENT SERVICES, FROM: Olufemi Folarin, Acting City Manager AND QUALITY INFRASTRUCTURE SUBJECT: Solid Waste Contract Extension with Waste Management, Inc . PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider a three month contract extension with Waste Management, Inc . to provide residential solid waste services through June 30, 2002 . BACKGROUND The City' s solid waste contract with Waste Management expires March eim 31, 2002 . The current contract term runs from January 1, 1999 to March 31, 2002 and includes two, two-year renewal options that could potentially extend our agreement through March 2006 . Services included in this contract agreement include the weekly collection of garbage, recycling, yard waste, bulky items and appliances from residential households with five or less units, as well as solid waste collection from City owned buildings and parks . Staff entered into contract negotiations with Waste Management in October 2001 . The result of these negotiations, combined with information obtained by staff about solid waste collection programs and related costs in neighboring communities, has led staff to believe that it would be in the City' s best interest to solicit competitive proposals for solid waste service. While Waste Management' s service has generally been good, this contract has not been competitively bid since the City privatized refuse collection services in 1990 . In order to ensure that there is sufficient time to conduct a thorough selection process, award a new contract, and have the successful vendor implement service in a seamless fashion, a three (3) month extension of the current contract agreement through June 30, 2002 is recommended. Waste Management has agreed to this extension request under the terms and conditions of our current contract . F Solid Waste Contract Extension with Waste Management, Inc . February 8, 2002 Page 2 COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None. FINANCIAL IMPACT Under the terms of our current agreement with Waste Management, a 1 . 2% rate increase took effect on January 1, 2002 , bringing the rate per single-family "stop" to $11 . 65/month during yard waste collection season (April - November) , and $10 . 82/month for the remainder of the year. The rate for a curbside multi-family "stop" is $8 . 10/month, which is 75% of the single-family rate. In 2002, $3 . 26 million has been budgeted for refuse services in the General Fund, Public Works Department, account number 010-3331- 754 . 33-02 . It is estimated that $855, 000 is needed for the three month contract extension. LEGAL IMPACT None. ALTERNATIVES City Council could choose to not approve the contract extension. However, this option is not recommended since it would not allow adequate time for a new contract to be awarded plus provide the successful vendor time to prepare for initiation of service . RECOMMENDATION It is recommended that the City Council approve a three month contract extension with Waste Management, Inc. , in an amount not to exceed $855, 000, to provide residential solid waste collection services through June 30, 2002 . Respectfully submitted, %NO \ .rte••. - Oluf emi Fo'.. ' II Actin. City Manager TSP Attachment