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Committee approves short extension for city-facility refuse contract while OCA finishes negotiations
Summary
The committee recommended forwarding a sixth amendment to extend the city's refuse collection contract for city facilities with Recology through Dec. 31, 2024, and to add $1.5 million in authority so services continue while further negotiations and Board consideration occur.
The Budget and Finance Committee on Oct. 2 recommended the Board of Supervisors approve a sixth amendment to the city's refuse collection services contract for city facilities with Recology (and related Recology entities), increasing the not-to-exceed amount by $1.5 million to $45.3 million and extending the contract through Dec. 31, 2024.
Selah Jacarela, director of the Office of Contract Administration, reviewed recent procurement history: OCA's 2022 solicitation produced two proposals, Allied Waste Services and Recology; Allied later withdrew its proposal in March 2024 after committee presentation and OCA began negotiating with the next-highest-ranked proposer, Recology. Jacarela said the amendment extends the interim contract to allow OCA to finish negotiations and anticipated bringing a negotiated contract to the Board in December.
Jacarela said outstanding negotiation points include terms on a recovery discount program, equipment lease terms and ancillary services. The amendment does not change scope but includes a 3.77% CPI rate increase for two months of extension. The BLA recommended approval, noting that the contract pertains only to city facilities and not residential or commercial collection.
Chair Chan moved the item to the full Board with a positive recommendation; the roll call recorded three "Aye" votes and the item will go to the Board for final action.
