HomeMy WebLinkAbout2022-4113CONTRACT #2022-4113
City of Columbia Heights Collection and Hauling for Carted Trash and Recycle
Services Contract
Table of Contents:
1. OVERVIEW:
2. DEFINITIONS:
3. GENERAL REQUIREMENTS:
4. OTHER REQUIREMENTS:
S. FAILURE TO PERFORM/TERMINATION INFORMATION:
6. LEGAL AND INSURANCE REQUIREMENTS:
7. PRICE SHEET:
1. OVERVIEW:
1.1. This Agreement is by and between the City of Columbia Heights, Minnesota (the "City) and
Walters Recycling and Refuse, Inc.and Haulstar ("Contractor"). The length of this contract shall
begin January 15L, 2023 and expire on December 31, 2026.
1.2. The City and Contractor may elect to extend the Agreement for a one (1) year extension. The
terms and conditions of this Agreement shall apply to any such Agreement extension. Nothing
in this Agreement shall be interpreted to imply or infer that the City or Contractor is
committing to such extension.
1.3. Either party shall notify the other party at least six (6) months prior to the expiration of this
Agreement or any extension period of its decision to extend the contract for one year and the
other party shall have the right to accept or decline any extension. The Contractor may request
an early decision by the City for an extension of the Agreement by submitting a written
request; the City shall not be obligated to accede to that request.
1.4. As authorized by CITY OF COLUMBIA HEIGHTS, MINNESOTA CODE OF ORDINANCES CHAPTER 4:
MUNICIPAL SERVICES, ARTICLE VII: GARBAGE AND RECYCLING SERVICES and further detailed in
the SOLID WASTE OPERATING POLICY (most recent update).
2. DEFINITIONS:
Refer to: SWOP (Solid Waste Operating Policy), (most recent update).
3. GENERAL REQUIREMENTS:
3.1. Primary trash cart services tasks:
3.1.1.Weekly curbside collection, hauling, and processing of residential trash. Haulers will take
up to three extra -large trash household bags outside the cart for those properties with a
90-gal cart or have "senior rate low income" eligible services with any size cart.
Multifamily buildings should never have any regular household trash on the ground and
the contractor is not required to collect it. Some multifamily property's carts are serviced
more frequently than once/week.
3.1.2.Trash will be collected in the alley if a property places carts there for service, otherwise it
will be collected curbside. Haulers provide "walkup" service to the elderly and disabled.
Additionally, over half of the multifamily buildings have carts that must be emptied at the
refuse spot (i.e., will need walkup service).
3.1.3.Contractor must complete established daily trash routes. Services are to be completed on
scheduled service day(s) for all carts and containers placed out for collection by 6:30am on
service day. Liquidated Damages and Failure to Perform clauses (paragraph 5) may be
enacted for continued failures as outlined in Section 5.1 Liquidated Damages. If Contractor
is properly notified of a legitimate missed pick, it will be picked within one business day.
3.1.4.The hauler should not empty contaminated containers and will need to notify the property
and City why the cart was not emptied.
3.1.5.Contractor shall also pickup material that has fallen out of containers when handling them.
3.2. Other trash tasks:
3.2.1.There are approximately 30 containers at bus stops and other locations along Central
Avenue and 40th Avenue which the hauler must check and empty regularly to keep them
from overflowing.
3.2.2.Contractor must keep track of properties that have 30 gallon every -other -week trash
service if they meet the criteria in our SWOP.
3.3. Primary recycle cart tasks:
3.3.1.Every-other-week curbside collection, hauling, and processing of residential single -sort
recyclables. Although most of our multifamily buildings utilize cart service and will be
emptied weekly and some more often.
3.3.2.Recycling will be collected in the alley if property places carts there for service, otherwise
it will be collected curbside. Provide "walkup" service to the elderly and disabled. Plus,
most of the multifamily buildings utilize recycle carts and they will need to be serviced
from their refuse spot onsite (i.e. requires "walkup").
3.3.3.Properties have unlimited recycling and can utilize more than one cart, plus contractor
must take extra recycling outside of the cart that is properly bagged or boxed as well.
3.3.4.Contractor must complete established daily recycling routes. Services are to be completed
on scheduled service day(s) for all carts and containers placed out for collection by 6:30am
on service day. Liquidated Damages and Failure to Perform clauses (paragraph 5) may be
enacted for continued failures as outlined in Section 5.1 Liquidated Damages. If Contractor
is properly notified of a legitimate missed pick, it will be picked within one business day.
3.3.5.The hauler should not empty overly contaminated containers and will need to notify the
property and City why the recycle cart was not emptied. The City will commit to a public
education campaign with the contactor to improve the quality of the material collected.
3.3.6.Contractor shall also pickup material that has fallen out of containers when handling them.
3.4. Primary cart handling tasks:
3.4.1.Receive new carts from the city's cart supplier, assemble them, and deliver as directed in
city work orders. Ensure carts of the proper size (-90, —60, or —30 gals) and with the
proper lid is delivered based on the order i.e. trash or recycle or compost (if available).
3.4.2.Remove carts from properties as directed in city work orders and either:
3.4.2.1. Set aside undamaged hauler marked carts and the city will make arrangements
for their reuse.
3.4.2.2. Clean undamaged city branded carts and put back into inventory for reuse in
the city.
3.4.2.3. Clean & Repair damaged city branded carts and take pictures of damage for
warranty/hauler liability purposes.
3.4.2.4. Recycle carts beyond repair.
3.4.3.Exchanges or removal of carts must be completed on the same day as they are emptied or
the next calendar day.
3.4.4.If the cart to be exchanged (i.e. the old cart) is not empty, servicer can transfer the
material to the newly delivered cart.
3.4.5.Contractor must be able to store 3,000 carts in a secured yard. The city will have new
carts delivered to this yard.
3.5. Disposal: The City must approve of facilities the contractor uses to dispose or recycle material
and can direct the contractor to use city preferred facilities. The City will pay for any increases
in disposal due to city directions for disposal if costs increase from the contractor's original
plan.
3.6. Billing: Contractor shall bill the City directly for the citywide services monthly.
3.6.1.The City and its residents will only pay the service/disposal charges (as noted on price
sheet) plus any applicable taxes and any other fees or charges outlined on Pricing Schedule
A.
3.6.2.If contractor receives recycling rebates it will be deducted from monthly bills. If recycling
commodity prices are negative and there is a net charge the City will be invoiced for this
amount.
4. OTHER REQUIREMENTS:
4.1.1. Customer Service: Contractor will provide multiple means for the public to contact
customer service. Hauler will notify properties if unable to provide service on scheduled
day. Contractor will also notify the city if unable to complete a service for multiple days or
of any mass delays.
4.1.2. Records: Contractor will maintain service records on each property. Haulers will provide
monthly tonnage and customer service reports, plus any other reports or information as
requested by the City.
4.1.3.Audits. The City will conduct audits of service/billing records regularly. The City may also
schedule a disposal audit, if it deems necessary, to track all materials and disposal
location/processes etc. the contractor will pay for the audit if issues are noted.
4.1.4.Subcontracting. Subject to Section 8 below, it is understood Haul Star Sanitation will be
the contractor for alley cart services. Further subcontracting is generally not allowed, and
it must be pre -approved by the City.
5. FAILURE TO PERFORM/TERMINATION INFORMATION:
5.1. Liquidated Damages:
5.1.1.A "liquidated damage" (financial penalty) process is included for poor performance issues
that may arise and be assessed to the contractor.
5.1.2.Failure to respond to legitimate service complaints, or city requests for information
required to be provided under this agreement within 24 hours in a reasonable and
professional manner - fifty dollars ($50) per incident.
5.1.3.Failure to complete the Collections within the specified timeframes without proper notice
to the City — seventy five dollars ($75} per incident for legitimate misses. A 24-hour grace
period is granted if city and property notified.
5.1.4.Failure to collect services for an entire block on scheduled day, or multiple missed services
at one location - two hundred and fifty dollars ($250) per incident. If City and properties
are notified a 24-hour grace period is granted before taking effect.
5.1.5.Failure to collect multiple blocks of services on daily schedule - seven hundred and fifty
dollars ($750) per incident. If City and properties are notified a 24-hour grace period is
granted before taking effect.
5.1.6.Failure to clean up spills during Collection operations - three hundred fifty dollars ($350}
per incident.
5.1.7.Loss or Damage to City branded carts caused by contractor operations — fifty dollars
($50)/cart
5.2. Failure to Perform. In the event Contractor fails to collect the MSW and Recyclables as required
by this Agreement, the City may, at its option, hire such labor and equipment as may be
necessary to collect and dispose of such MSW, Recyclables, and/or Problem Materials after
Contractor is given two (2) calendar days to remedy the situation. In the event remedy does
not occur, Contractor shall not be paid for services that did not occur and shall reimburse the
City for all reasonable expenses the City incurs above and beyond the amounts the City is
obligated to pay for such service expenses under this Agreement. The City, at its sole discretion,
may invoice Contractor for such reimbursable costs or may utilize the Performance Bond for
such expenses.
5.2.1 Force Majeure - Whenever a period of time is provided for in this Agreement for either the
City or Contractors to do or perform any act or obligation, neither party shall be liable for any delays
or inability to perform due to causes beyond the control of said party such as terrorist act, war, riot,
unavoidable casualty or damage to personnel, materials or equipment, fire, flood, storm,
earthquake, tornado or any act of God, strike or lockout other than their own strike or lockout. The
time period for the performance in question shall be extended for only the actual amount of time
said party is so delayed.
5.3. Termination.
5.3.1.The City can terminate this Agreement if Contractor violates the terms of this Agreement,
if such violation has occurred a second time (after a Failure to Perform notice was sent for
the first offense). The City will notify contractor in writing of the repeating conditions
leading to the termination actions. The City Council must approve ending the contract
early. The contractor can appeal to the council in writing prior to the decision meeting.
5.3.2.When an early end date for the contract is decided by the City, the contractor must still
perform all services in the agreement to the end of the new term. In the event these
services are not performed or are underperformed, the City may invoice the contractor for
all reasonable expenses the City incurs above and beyond the amounts the City is
obligated to pay for such services under this Agreement or, the City may, utilize the
Performance Bond for such expenses until a new contract is executed by the City, but no
longer than the term of current contract.
5.3.3.The City may also terminate this Agreement if Contractor fails to maintain County permits
required to collect and transport MSW and/or Recyclables.
6. LEGAL AND INSURANCE REQUIREMENTS:
6.1. Binding Effect. The terms, covenants, and conditions of this Agreement shall apply to, and shall
bind and inure to the benefit of the parties, their successors, and assigns.
6.2. Waste Handling Responsibilities: Upon collection of the refuse by the Contractor, the solid
waste becomes the property and responsibility of the Contractor. Operations must comply
with MN Statutes concerning solid waste handling regulations, plus the Anoka County Solid
Waste Management Plan, and be acceptable to the City. Proposers must be licensed by Anoka
County and the State of MN before award of contract.
6.3. Insurance: Contractor's insurance must indemnify the City from accidents or problems caused
by contractor operations.
6.4. Bond: Contractor must file a performance bond equal to 1-months' billiing with the City prior to
contract award.
6.5. Data Practices. Contractor agrees to comply with the Minnesota Government Data Practices
Act and all other applicable state and federal laws relating to data privacy or confidentiality.
Contractor must immediately report to the City any requests from third parties for information
relating to this Agreement. Contractor agrees to hold the City, its officers, and employees
harmless from any claims resulting from Contractor's unlawful disclosure or use of data
protected under state and federal laws.
7. PRICE SHEET: See attached.
8. LIMITED LIABILITY. The City, Contractor and Haul Star acknowledge and agree that:
8.1 Contractor is exclusively responsible to: (a) provide all curbside trash and recycling collection
services in the City and is exclusively responsible to pay any liquidated or other damages relating
thereto; (b) provide the services referenced in paragraph 3.2.1; (c) provide the cart storage services
referenced in paragraph 3.4.5; and (d) provide the internal bookkeeping and accounting services
between Contractor and Haul Star;
8.2 Haul Star is exclusively responsible to provide all alley trash and recycling collection services in
the City and is exclusively responsible to pay any liquidated or other damages relating thereto;
8.3 Contractor and Haul Star are not jointly and severally liable for the other's breach of any of the
terms and conditions set forth in this Agreement (including any liquidated damages) but rather
Contractor is exclusively liable for the breach of any of its obligations as set forth in paragraph 9.1
above (including any related liquidate damages) and Haul Star is exclusively liable for any breach of
its obligations as provided in paragraph 9.2 above (including any related liquidate damages);
8.4 The City will pay Contractor directly for all services provided under this Agreement including
services provided by Haul Star;
8.5 In the event of an uncured breach by Haul Star of any of its obligations hereunder, the City may
terminate Haul Star's ongoing right to provide alley collection services in the City but Haul Star's
uncured breach shall not give the City the right to terminate Contractor's rights to provide curbside
collection and other services as set forth in this Agreement. If the City elects to terminate Haul Stars
ongoing right to provide alley collection services, it may reduce the monthly obligation due
Contractor in an amount proportionate to the number of homes that are being provided alley
collection services and thereafter, the City shall pay Contractor directly for its curbside collection
and other services during the remaining term of this Agreement;
8.6 In the event of an uncured breach by Contractor of any of its obligations hereunder, the City
may terminate Contractor's ongoing right to provide curbside collection and other services as set
forth in this Agreement but Contractor's uncured breach shall not give the City the right to
terminate Haul Star's rights to provide alley collection services in the City as set forth in this
Agreement. If the City elects to terminate Contractor's ongoing right to provide curbside collection
and other services as provided hereunder, it may reduce the monthly obligation due Haul Star in an
amount proportionate to the number of homes that are being provided curbside collection services
and thereafter, the City shall pay Haul Star directly for its alley collection services during the
remaining term of this Agreement;
8.7 The City shall not have the right to unilaterally offset any liquidated damages or other damages
arising from or relating to Haul Stars' failure to perform as required hereunder or any uncured
breach of any of the terms and conditions of this Agreement against the monthly service fee
otherwise payable to Contractor. Instead, the City must bring a separate action against Haul Star
unless haul Star agrees to the offset. In the event Haul Star agrees to the offset or the damage
amount is determined by a court or arbitrator, the City may thereafter offset the amount of such
damages or liquidated damages against only that portion of the monthly revenue then being paid to
Contractor m , that represents reimbursement for only the alley collection services then being provided;
and
8.9 The City shall not have the right to unilaterally offset any liquidated damages at athordaimageS
aeWfig from or r4lat!Ag to Ohtraddrs failure to petforM As required hbrgunftt or any uncured
brcioch of any Of th6 terms and t*iidjtjdh§ -ofthis Agreement against the Monthly service fee
otherwise payable to Contractor. Instead; the City must bring seporate-i4al nagainst 0 ontracto.r.
ln.the event Contractor agrieestq'thjipqftsetor.t A determined by t .court he damage amount I nor
arbitrAtOr, the City inay i.hireafter offset the amount of.suph.dartiaget-or liquidated damages
ogOihst only that portion of the monthly reve.hp.e -then Oi.ng paid to Contractor that repreiebts
relepburteMen't for only the curbilde collection services th'60 being prov"!&d.
9. Authorized Signatories;
ies,. Owner and Cqq;rWq.r her6bVqgreo, tq the Terms. stipulated In this
.contract.
Owner.
City of Cbluthbla Heights, Minnescitt
By: Nn4r�L�
!Celli 80 "rS 015, . City MOI%gr
lay. r
Amfida MA-FIque; Sliputo, M4yor
Aftest
Title:
.Contractor
Walt.prs Recy
cling and Refuse
By:
Date: lo'llpfl-201Z.
0 (date
Name: 4 ie Ago$
Title: P,,r w" t �!rD
f If CPSTRACTQR Is a rorpora artners !p, ora joint-nture, attach evidence of authority tosignj
Attest: ff
J iindhriduors signotm)
Title:
-- — (typedarprtnted)
Contractor:
Haulstar Minnesota
By:
(IniRulduors slgnat+,re1
Date;
Name:
Title:
O es-
(if't:ONTRACTQR is o corporation, o parfiersh4 a) a johtt veNur, of och evidence of authority to sign.)
Attest:
Title:
{typed or
ATTACH PRICE SHEET HERE
Schedule A — Pricing Form
Annual Price Increase Assumptions:
The annual rate of increase for all of the bids submitted below are assuming an annual CPI increase of 3% per
year. Actual increase will be based on the actual CPI: Urban Consumer - Garbage and Trash Collection so that all
parties involved have a fair and equal means to calculate annual increases.
Fuel/Energy Surcharge Table
Based on the volatility of fuel markets, Walters has defined a fuel/energy surcharge if Diesel fuel exceeds $5.50 a
gallon. The table below details an example of how fuel/energy surcharges would be applied based on the market
price of fuel Walters purchases. The market price will be determined 5 business days prior to the end of the
month and will be communicated to the City if any surcharge will be applied. Fuel price will be determined by
referencing U.S. Energy Information Associations report for On -Highway Diesel Fuel Prices for the Midwest.
httos://www.eia.gov/peti-oleum/szasdiesel/
Fuel/Energy Surcharge Table
Price of Diesel Fuel Per Gallon Exceeds $5.50 $6.00 $6.50 $7.00 $7.50
Surcharge % Applied to Invoice ** 1% 2% 3% 4% 5%
** Applied to Collection Service Charges on the invoice only, excludes tipping fees.
Cart Services:
Regular household trash collection and hauling services:
YEAR
2023
2024
2025
2026
Trash Carts all sizes Weekly
$13.07
$13.46
$13.87
$14.28
-30 gal Carts EOW
$9.07
$9.34
$9.62
$9.91
RPfuse disnnsal tinainP fee charee:
YEAR
2073
2024
2025 2026
kTip ing Fee
>90.00
'392.70
>95.48 �98.35
Every -other -week single sort recycling cart collection and hauling se
YEAR 1 2023 2024 2025 2026
Recycling carts all sizes 1 $5.60 $5.77 $5.94 $6.12
0 F.. * hftndlinn•
YEAR
2023
2024
2025
2026
Per cart (delivered or
removed) Rate
$20.00
$20.60
$21.21
-521.85
:es :