CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the award of Bid 20-306, Biosolids Removal Services, to Stewart Spreading Inc. for an amount not to exceed $499,000 for a two-year term
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DEPARTMENT: Water Utilities
SUBMITTED BY: Darrell Blenniss, Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The Water Utilities issued Bid 20-306 to contract with a qualified licensed biosolids (sludge) hauling contractor to remove, transport, and land apply residual solids generated by the wastewater treatment process. The biosolids will be hauled from the Springbrook Water Reclamation Center (SWRC) to agricultural farmland and/or sod farms and applied in accordance with United States Environmental Protection Agency (40 Code of Federal Regulations Part 503) and other federal, state and local regulations.
At the October 20, 2020 Council meeting, the Council directed staff to 1) identify the reason(s) why Stewart's current bid amount increased so significantly from its 2017 bid and 2) provide information as to why other vendors chose not to bid.
DISCUSSION:
Advertisement Date: 9/04/2020 Notices Sent: 21
Opening Date: 9/29/2020 Planholders: 7
Proposals Received: 1
The following bids were received:
Firm Name
Bid Amount
Stewart Spreading Inc.
$509,000
Engineer's Estimate
$411,000
The engineer's estimate is based on current contract pricing. Stewart Spreading, the incumbent vendor, is the sole bidder. For comparison purposes, three bids were received during the previous procurement in 2017: $399,000 (winning bid); $550,000 and $600,000. Although Stewart Spreading's current bid increased, it remains below the other bids received three years ago.
In response to Council direction, staff contacted Stewart Spreading. Stewart responded to the request by providing a letter detailing the factors that contributed to its bid price. The primary fact...
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