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HomeMy WebLinkAbout30- Public Services CITY OF SAN BERNA RDINO - REQUEST FOP COUNCIL ACTION From: James Howell, Acting Director Subject: A resolution of the City of San Bernardino authorizing the execution Dept: Public Services of an agreement with T.Y.R.E.S., Date: September 27, 1995 INC. to process the City's waste tires Synopsis of Previous Council Action: 03/09/94 Resolution 94-51 approving application for Tire Grant 06/20/95 MC-946 amending Chapter 8.24 of the San Bernardino Municipal Code relating to the disposal of scrap tires Recommended Motion: Adopt Resolution Signature ` Contact person: Lynn Merrill, Recycling Coordinator Phone ` 3140 Supporting data attached:Staff Report, Resolution Agreement Ward: ALL FUNDING REQUIREMENTS: Amount: Approximately $50,000 - $60,000 Source:(Acct. No.) 127-413-5179 (Acct. Description) Per approved budget Finance:{� c Council Notes: /0 /k Agenda Item No. 30 CITY OF SAN BERNA R DINO - REQUEST FOF COUNCIL ACTION STAFF REPORT The State of California estimates that 29 million used waste tires were generated during 1993. Of this 29 million waste tires, 18.6 million were diverted to various uses and 10.4 million were disposed of. It is estimated that 258,000 waste tires may be generated within the City of San Bernardino. On an annual basis, the Refuse Disposal Division collects and disposes of approximately 114 tons or 10,300 tires. The majority of these tires are from illegal tire dumping within the City. Under the proposed commercial tire collection program, staff estimates that up to 85,000 tires or approximately 935 tons per year may be collected through the new program. In October, 1994, staff developed and released a request for proposal for the pick-up and recycling of waste tires to be collected through the City's planned commercial waste tire collection service, residential pick-up and special clean-up programs. Three options were set forth in the RFP. Option 1 required the vendor to provide all labor, equipment and materials to load, transport and process waste tires from the Corporate Yard. Option 2 required the vendor to provide bins or trailers at the Corporate Yard, while City crews furnished the labor to load tires into the bins. Option 3 required the vendor to provide a location within 15 miles of the Corporate Yard at which the City may unload. Three companies responded to the solicitation. The three companies include T.Y.R.E.S., Inc. of Fontana; BAS Recycling, Inc. of San Bernardino; and, Oxford Tire Recycling of Northern California, Inc. of Union City. Of the three companies, Oxford Tire did not bid on Option 3. Based on the costs submitted by each vender for Option 1 and Option 2, current capabilities of the commercial refuse operation and available storage space in the City Yard, staff has determined that Option 3 is the most appropriate arrangement. Staff conducted on-site visits with both local vendors submitting bids, and have determined that both are capable of providing the services desired as set forth in the Request for Proposal. Staff requested best and finals from all proposers in February, 1995, as reflected in the attached table. Based on these costs, staff prepared the attached agreement with T.Y.R.E.S., Inc. This agreement is part of a new commercial tire collection program currently under development by the Public Services Department, Refuse Division. This collection program complements the enforcement program being developed to support Ordinance MC-946, adopted by the Council on June 20th, 1995. It provides a method for smaller sellers of new and used tires within the City to properly dispose of waste tires they generate. There will be no impact on the current rates, since this will be a new collection program. At present, the City is charged $70.00 per ton for tire processing. This agreement will result in a net savings of $27.50 per ton, with an estimated savings of $25,712.50 per year. Revenues from the collection program will offset the cost of this agreement. A separate rate resolution is forwarded separately to Council for action at this meeting. The agreement includes a right of cancellation by either party upon 90-day written notice. RECOMMENDATION Council adopt the resolution authorizing the Mayor to execute the agreement with T.Y.R.E.S., Inc. to process the City's waste tires for a two year period, with three one- year options for a maximum of five years. 1 es R. Howel ting Director of Public Services T.Y.R.E.S Inc. BAS Recycling, Oxford Tires Inc. Option 3 Processing Fee per ton $42.50 $65.00 No Bid Passenger Car Tires Miles to Facility from Corporate 15.1 3.9 N/A Yard 935 tons Qa Processing Fee $39,737.50 $60,775.00 N/A Travel Cost to Facility (253 loads $10,120.00 $2,530.00 N/A per year) TOTAL COST $49,857.50 $63,305.00