14-246.00 CB & I: Solid Waste Collection Procurement Svcs 1 I-2- (o
CB&I
1607 East Main Street, Suite E
St. Charles, Illinois 60174
Tel: +1 630 762 1400
Fax: +1 630 762 1402
www.CBl.com
November 6,2013
Mr.Mike Jackson
City Manager
City of Spokane Valley
11707 E. Sprague Avenue, Suite 106
Spokane Valley,WA 99206
Subject: Proposal to Provide Procurement Assistance
Dear Mike:
Shaw Environmental,Inc., a CB&I company, is pleased to provide this proposal for procurement assistance to the
City of Spokane Valley. The work is proposed as a change order to our current contract with the City. CB&I has
again teamed with WIH Resource Group,an expert in solid waste logistics,to provide comprehensive services to
the City.
CB&I has represented both public and private sector clients on procurement-related issues, including: contracts
for transfer, transport and disposal capacity at privately-owned transfer stations and landfills; contracts for
collection of solid waste,recyclables and landscape waste; contracts for private operation of publicly-owned solid
waste facilities; contracts for construction of solid waste facilities; and contracts for solid waste processing
equipment. Contract values have ranged from$500,000 to$50,000,000 annually, and durations have ranged from
3 years to "life of site" contracts extending more than 50 years. Our subcontractor, WIH Resource Group, was
instrumental in setting up many of the long-haul transport and disposal systems and contracts in the Pacific
Northwest.
The draft transfer station feasibility report that CB&I prepared for the City outlined an approach for procuring
private solid waste transfer,transport and disposal services to initially include a negotiation process involving the
City's two current WUTC haulers. A proposed scope of services and budget to implement that approach are
provided below.
Scope of Services. The consultant team will assist City staff to negotiate a contract for solid waste transfer and
disposal services, including ancillary recycling and household hazardous waste services. We understand the City
has initiated negotiations with the two WUTC haulers concerning the City's intent to transition to a contract-
system for solid waste collection. We also understand the City wishes to have separate contracts for collection
services and transfer/transport/disposal services; however, it is likely that there will be some overlap between the
two contracts.
With respect to negotiating the transfer and disposal contract, we recommend a series of three (3) meetings
initially, to be conducted consecutively during a one-week period. The purpose of these meetings would be to
discuss the capabilities of the haulers;their interest in negotiating a services agreement with the City;preliminary
scope of services and contract provisions (e.g.,term); ability to develop a transfer station facility and the required
time to site/permit/construct a facility; ability to provide services during any interim period while a transfer
station is under construction; and coordination of transfer/disposal services with hauling services. The first
meeting would be conducted with the City, followed by subsequent meetings with the two haulers on consecutive
days as outlined below:
1. Meeting with City staff to prepare for vendor meetings. The purpose of this meeting will be to review
City priorities, establish negotiating parameters, and discuss the interrelationship between the collection
City of Spokane Valley
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November 6,2013
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contract and the transfer/disposal contract. It is anticipated that this meeting will be an all-day work
session between City staff and the consultant team.
2. Negotiating session with Sunshine Disposal for transfer/disposal services and coordination of collection
services with transfer/disposal services.
3. Negotiating session with Waste Management for transfer/disposal services and coordination of collection
services with transfer/disposal services.
The initial meetings are proposed to be conducted during a one-week period. Thereafter, the consultant team's
participation in additional meetings will be at the City's request, allowing the City to specify the services and
support it desires on an as-needed basis.
The consultant team also recommends two additional work items under this approach. The first item will include
a due diligence review of Sunshine Disposal's transfer facility expansion, including design and operational plan
review for the expanded recycling and household hazardous waste services to be incorporated into the facility.
The second item will be research of hauling contract rates in comparable communities, with findings compiled
into tabular format for the City's use during negotiations with the WUTC haulers.
Budget. The budget for this option will depend on the number of meetings and level of support and assistance the
City requests from the consultant team. Based on the initial meetings and other work tasks identified above, we
propose the following preliminary budget:
• Initial three(3)meetings = $19,500
• Each additional meeting = $5,600-$9,345/meeting(depending on consultant team attendance)
• Due diligence review = $2,580
• Hauling contract research = $5,160
All fees will be billed on a time and materials, not-to-exceed-basis in accordance with the PSA and fee schedule
previously agreed to.The City will only be billed for the services requested and provided.
Summary. Thank you for considering CB&I for this additional work, and we look forward to working with the
City on this important project. In addition to the procurement assistance presented herein, we can also assist the
City with the development of its solid waste management plan, if desired, and we would be happy to provide a
separate proposal at your request.
If this proposal is acceptable to you,please countersign below to acknowledge your acceptance.Please contact me
at(630)762-3325 if you have any questions regarding this proposal.
Sincerely, Accepted by:
Shaw Environmental, Inc., a CB&I company City of Spokane Valley
c?. 14.,..1.4451„
Phillip P.Kowalski Mike Jac -••
Client Program Manager City Manager
I 1
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CITY OF SPOKANE VALLEY
ATTN:MIKE JACKSON
11707 E SPRAGUE AVE.
SPOKANE VALLEY WA
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