Placement: Consent Agenda
Action Requested: Motion / Vote
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Requesting Approval to Increase the Purchase Order Limit for Optimum Services Supplemental Yard & Bulk Waste Collection
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Submitted By: Mike Lubeck, Assistant Neighborhood Services Director
Strategic Plan Link: The City’s Mission to provide exceptional municipal services.
Summary Brief (Agreements/Contracts only)
1. Prepared by: Mike Lubeck, Assistant Neighborhood Services Director
2. Parties: City of Port St. Lucie , Neighborhood Services Department & Optimum Services, Inc.
3. Purpose: Optimum Services, Inc is working on multiple sweeps of the entire City to restore and maintain collection of yard waste and bulk waste to acceptable levels.
4. New/Renewal/Modified: Modified
5. Duration: March 28, 2022 thru September 30, 2022
6. Benefits to Port St. Lucie: Yard waste and bulk waste previously uncollected by Waste Pro will be collected by Optimum Services, Inc. upon Waste Pro’s ability/inability to perform.
7. Cost to Port St. Lucie (Annual and Potential): Up to $5,208,885.53 and only as necessary.
Presentation Information: N/A
Staff Recommendation: Move that the Council increase current purchase order #20220458 to $5,208,885.53 to cover any direct expenditures of yard waste and bulk waste collection (not being provided by Waste Pro) until the end of the fiscal year.
Alternate Recommendations:
1. Move that the Council amend the recommendation and increase current purchase order #20220458 to $5,208,885.53 to cover any direct expenditures of yard waste and bulk waste collection (not being provided by Waste Pro) until the end of the fiscal year.
2. Move that the Council not approve the recommendation to increase the current purchase order and provide staff direction.
Background: The City Manager was authorized to hire Optimum Services, Inc., a supplemental contractor, to collect the accruing yard and bulky waste in Port St. Lucie neighborhoods and provided a collection sweep of the entire City to remove the service backlog and restore collection to acceptable service levels that can be sustained by Waste Pro. Due to a recent partial invoice in the amount of $384,572.50, the original Purchase Order limit of $750,000 has been exceeded. This exceeding cost is due in part to adding bulk pick-up collection at the request of City Council and no additional funds for that collection being allocated. In order to not exceed our current PO limit, as of April 23rd, Optimum Services halted their supplemental collection. In order to resume Optimum’s collection services, staff has recommended the increase of the current Purchase Order to $5,208,885.53 in order to cover the estimated $600,000 monthly cost for collection.
Issues/Analysis: Optimum Services is currently averaging around $600,000 per month for supplemental yard waste and bulk waste collection. As a result, the previous purchase order limit has been rapidly exceeded.
Financial Information: The City collects revenue for residential waste collection and disposal via an annual Solid Waste Assessment that is dispersed to Waste Pro in quarterly payments. The proposed purchase order limit would match the final quarterly payment total to cover the cost of emergency collection in the event additional lines of service fail.
Special Consideration: Ahead of hurricane season, staff recommends the City take action in the collection of yard and bulk waste as they pose issues to our stormwater drainage system and citizen safety.
Location of Project: Citywide
Attachments: PO #20220458, Memorandum to the City Council dated April 25, 2022
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: N/A
Legal Sufficiency Review:
Reviewed by Ella M. Gilbert, Senior Deputy City Attorney. Approved as to Legal form and sufficiency by James D. Stokes, City Attorney.