FROM: James D. Herberg, General Manager
Originator: Lan C. Wiborg, Director of Environmental Services
SUBJECT:
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BIOSOLIDS HAULING SERVICE CONTRACT
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GENERAL MANAGER'S RECOMMENDATION
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RECOMMENDATION:
A. Approve a Service Contract to Denali Water Solutions, LLC to collect and haul Orange County Sanitation District's biosolids from Reclamation Plant No. 1 and/or Treatment Plant No. 2 to the Inland Empire Regional Composting Facility and alternative sites if needed for the period beginning May 12, 2021 through December 21, 2022, for the unit price of $15.45 per ton of biosolids, plus fuel surcharges, for a total amount not to exceed $600,000 per contract term, with four (4) one-year renewal options: and
B. Approve a 10% unit price per ton contingency.
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BACKGROUND
The Orange County Sanitation District (Sanitation District) released a Notice Inviting Bids on December 4, 2020 seeking bids from qualified contractors to accept delivery and haul 50 Wet Tons Per Day (WTPD) of biosolids to the Inland Empire Regional Composting Facility (IERCF) located at 12645 Sixth Street in the city of Rancho Cucamonga, and haul biosolids, if needed, to several other alternative management sites.
A non-mandatory pre-bid meeting was conducted on December 16, 2020 via Microsoft Teams. Bids were due on January 12, 2021. Out of 76 prospective vendors that were notified of the invitation to bid, the Sanitation District received one (1) bid.
The bid was evaluated based on pre-defined minimum qualifications and cost in accordance with the Sanitation District's Purchasing Ordinance. The incumbent contractor, Denali Water Solutions (Denali), met the minimum qualifications and offered a competitive bid with a 1% increase over their current rate. The Denali rate to haul IERCF loads in December 2020 was $15.29 plus $0.54 fuel surcharge ($15.83 total), and the new contract will be $15.45 plus the fuel surcharge based on December 2020 fuel ...
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