Board of Directors Regular Meeting Agenda


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Meeting Date: 12/05/2018  

Receive, consider and act upon a draft Invitation for Bids for Solid Waste Collection Disposal and Recycling Services (C-2018- 0627); 
Per the current terms of the service agreement with Waste Management, the unit rate is $10.46 per month per residential household which includes the following services:
  • Collection of 96 gallon Poly Cart for once per week solid waste collection
  • Collection of 96 gallon Poly Cart for once per week recycling collection
  • Brush collection once per week (unlimited volume)
  • Bulk item collection once per week (unlimited volume)
  • Bulk cardboard collection once per month (unlimited volume)
  • Operate the Township-owned Recycling Drop-Off Center weekly on Wednesdays (4 p.m.. to 7p.m.) and Saturdays (9 a.m.. to 2 p.m.)
  • Collections at multi-family residential complexes utilizing front end loaders (FEL’s), compactors, and/or 96-gallon Poly Carts (for recycling only)
    The budgeted amount for contracted waste removal and recycling services in 2019 is $5,160,900. This amount reflects a projected addition of 342 single family homes and a 3% annual CPI unit cost adjustment per the terms of the agreement. 
    A new Solid Waste Contract will begin February 1, 2020 and is proposed to extend through January 31, 2028 for  eight (8) years. Assuming no increase in the residential household rate, a 3% annual CPI unit cost adjustment, and an additional 2,060 single family homes to be constructed between 2020 and 2025, the total cumulative estimated value of a new agreement over the eight year period is $49,489,283 (Attachment A).
On April 19, 2018, the Board of Directors was presented with information regarding contracted solid waste collection disposal and recycling services which is currently provided by Waste Management of Texas, Inc.  The Initial Term of this contract began on February 1, 2012 and ends on January 31, 2020.  The Agreement provides that on or before 180 days preceding the expiration of the Initial Term the Township may give written notice to the Contractor of its desire to renew the term of the Contract ("Extension Notice") for an additional five-year term up to two (2) such successive extensions of a minimum of one (1) year to a maximum of five (5) years extensions (the Renewal Term). The Board approved the release of a Request for Proposals for Solid Waste and Recycling Consulting Services and to return to the Board with submitted proposals for consideration.
On July 25, 2018, the Board of Directors considered the submitted proposals and selected Solid Waste Specialists (SWS) to assist:  Option 1 - have the Consultant work with Township staff to negotiate  a renewed service agreement with Waste Management. If negotiations result in satisfactory changes and terms for services, then The Township could move forward with an extended contract with Waste Management; and Option 2 - have the Consultant draft specifications and an Invitation for Bids for residential waste collection and disposal services (single family and multi-family), provide bidding assistance, evaluate bids, present bid and recommendation to the Board, and negotiate.
The Township delivered an Extension Notice to Waste Management on August 1, 2018, at which time the Township and Waste Management entered into a thirty (30) day negotiation period. Waste Management submitted their Renewal Proposal to the Township August 31, 2018. SWS presented a report and recommendation on the contract renewal negotiations to the Board on September 20, 2018. The Board determined that the negotiated changes were not satisfactory and directed SWS to proceed with developing necessary bid documents for a new solid waste and recycling services.

SWS and Township staff have prepared a draft Invitation for Bids (IFB) (Attachment B) that continues the same level and scope of services as is currently being provided and includes options for potential additional services.

The optional additional services included in the draft IFB for Board of Directors consideration may result in additional costs to the Township.  Therefore the draft IFB is structured so that the potential vendors are to submit such pricing separately providing the Board the flexibility to determine if any additional services are to be provides.  

The optional additional services include:
  • Door-to-Door Collection of Household Hazardous Waste (HHW) - HHW may consist of garden chemicals, automotive products, household chemicals, paint and other items including electronics, batteries, and lamps. Contractor would collect an unlimited amount of these items directly from homes on a call-in basis.
    • The purpose of this option for consideration is to increase the removal of HHW in the community  by 1) providing uniform services to all residents of the Township; 2) allowing HHW to be removed from street curb vs residents having to go to Montgomery County Precinct 3 on Budde Road or Harris County residents having to drive 40 minutes to the nearest site provide for Harris County residents. The mroe convenient for residents, the more HHW will be removed from the community as opposed to be being  placed in the landfill (Attachment C).
  • Emergency Debris Removal/Management Plan – Contractor will detail their response to any instance where the Township declares a disaster including major wind, flood, ice storm, fire, hurricane, tornado or other disaster that results in excessive and abnormal quantities of solid waste and debris.
    • This option will provide the Township the ability to engage the contractor for emergency debris removal services when the Township deems necessary at a pre-determined established rate.  This option does not guarantee complaince with state or federal regulations that may be required for reimbursement.  The Board may elect to secure specfic debris removal services through the federal procurement process as a separate contract.    
  • Food Waste Collection – Should the Township decide to implement a food waste collection program for single family homes, either on a limited (pilot) basis or Township-wide, the contractor would be required to provide a 32-gallon cart to each home and to collect and transport the waste on a weekly basis (following the normal solid waste service schedule) to a local composting facility.
    • This option is an  evolution in  best practices and methods in the removal of products that have the potential to be recycled from the overall waste stream and ending in a landfill.
  • Expanded Drop-Off Center Hours - To expand on limited accessibility, Contractor would operate the Recycling Drop-Off Facility each Monday from 4 to 7 p.m. in addition to the current schedule: Wednesdays from 4 to 7 p.m. and Saturdays from 9 a.m. to 2 p.m.
    • This optional service might address the accessibility of recycling centers which is a primary determinant is whether residents choose to recycle. Less than 10% of apartment dwellers in The Woodlands have access to recycling at their complex, leaving the Tiownship's Recycling Drop-Off Facility and the Montgomery County Pct 3 Facility (which is only available to Precinct 3 residents) as the only options. Increasing the number of hours available at the Township's Recycling Drop-Off Center from 8 hours to 11 hours per week will enhance accessibility and increase recycling participation.
  • Green Tag Reporting - Currently, green tags are dispensed for solid waste and recycling set out violations but are not tracked or reported. This option would require the Contractor to track all green tags  dispensed and provide a summary and detail of green tags monthly and upon request.
    • The option for the contractor to provide Green Tag Reports will provide the Township  better understanding of  and ability to address resident challenges in following solid waste guidelines, especially recycling contamination. Contaminated loads increase waste and recycling disposal costs.
  • Expanded Recycling Audits - Contractor would perform four (4) audits of residential curbside recycling monthly. The current level of service is two (2) audits. Audits will detail the weight and percentage of total weight of each recyclable material type including residue and non-recoverables.  A detail of each audit will be included in the monthly report to the Township and upon request.
    • This optional service will provide the Township better data for contract managment, resident eductation and potential modifications to future service delivery standards and services.
  • Recycling Collection without Glass -  Currently glass is collected as an acceptable recyclable material. The Township is aware of the recent changes in the recycling materials resale market and seeks a price to provide once-per-week recycling collection with glass being removed from the list of acceptable materials.
    • Even though glass recycling saves landfill space, requires 40% less energy than making glass from virgin material, cuts CO2 emissions and saves raw materials, due to contamination from improper recycling habits and a shortage of end markets, the value of recycled glass  has declined in recent years, with processing costs often outweighing revenue for the hauler. This option will provide the Township a deduct price option which may reduce coss to the hauler resulting in an anticiapted lower cost to the Township
Key components of the IFB include but are not limited to:
  • Contractors shall have no less than ten (10) years of continuous experience within the last decade and within the United States providing residential solid waste, recycling and bulky/brush collection services.
  • Contractor shall have experience in communities with a customer count similar in size to the Township’s customer base.
  • Consistent with the current contract, an option for two (2) five-year term renewals beginning February 1, 2028 and February 1, 2033 is provided.
  • As the Township owns all 96-gallon recycling carts and Waste Management owns all 96-gallon trash carts, the IFB requires the Contractor to continue to collect from Township-owned recycling carts.
  • A new contractor must ensure trash carts continue the established color scheme and are in place no less than one week prior to the new contract start date of February 1, 2019.       
  • The IFB states that the Contractor shall have the exclusive right to provide all Residential (single family homes and multi-family facilities) solid waste collection services called for in the Contract within the boundaries of the Township.
  • The Township retains the right to award contracts for environmental service(s) not contained in this Bid or resultant contract.
  • The Contractor must provide vehicles fueled by compressed natural gas (CNG).
  • The new contract will retain the current  annual rate adjustment clause with one change. Since the vehicles were converted to the use of compressed natural gas (CNG) fuel, the new clause will use an index to capture price changes year-over-year instead of using a diesel fuel index. The maximum increase can be 3% in the new contract, but the rate will not be adjusted below the current year’s rate, regardless of what occurs with the CPI + Fuel formula.
Upon the Board of Directors approval to release, the IFB would be scheduled for advertisement beginning  January 17, 2019 with bids due April 18, 2019. Consideration by the Board of Directors to award a bid would be first presented to the Board in May 2019 with final consideration and award of bid scheduled for June, 2019.  Six (6) months has been allowed between award of bid and the contract start date to allow for contract executiion and implementation should a new contractor be selected.
Approve the release of the Invitation for Bids for Solid Waste Collection, Disposal and Recycling  Services as presented herein.
Attachment A - Waste Collection Cost Projections 2020-2028
Attachment B - Draft IFB Waste Collection Disposal and Recycling Services
Attachment C - Household Hazardous Waste Report


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