Title
Consider approving Resolution No. 2013-072 awarding the bid for the purchase of the annual supply of refuse sacks to Graphic Packaging and take appropriate action.
Body
BACKGROUND:
The City’s Public Works Department delivers eighty-four (84) paper refuse sacks to each single family household once per year at no charge to the resident. Deliveries are typically made in January or February.
DISCUSSION:
Bid requests for the purchase of the annual supply of refuse sacks were mailed to four (4) vendors. The bid requests included paper refuse sack specifications of 50 pound Natural Kraft paper meeting the Technical Association of Pulp and Paper Industry (TAPPI) standards.
Two (2) bids were received and opened on November 5, 2013. The lowest bidder meeting specifications and TAPPI standards is Graphic Packaging at $0.305 per sack for a total of 665,000 sacks. The amount of sacks being purchased has increased by 10,000 from last year as the need has increased. This contract will be for a one-year period with the option for an additional one-year period, if agreeable to both parties.
The total bid for the refuse sacks is $202,825. Funds in the amount of $225,900 are budgeted in the Fiscal Year 2013-2014 Public Works operating budget for this annual purchase of refuse sacks. The budgeted amount is based upon an estimated purchase price of $0.34 per sack. The estimated price was based on historical pricing and an inflationary estimate.
This item is consistent with Core Value #3 to provide strong, thriving commercial and residential neighborhoods through planning, land use, development, code enforcement, revitalization activities and programs.
RECOMMENDATION:
City Administration recommends adopting Resolution No. 2013-072 awarding the bid for the purchase of the annual supply of refuse sacks.
ACTIONS:
1) Motion to approve Resolution No. 2013-072 awarding the bid for the purchase of the annual supply of refuse sacks to Graphic Packaging.
2) Motion to deny Resolution No. 2013-072 awarding the bid for the purchase of the annual supply of refuse sacks to Graphic Packaging.
3) Motion to modify to meet the needs of the Council.
4) Motion to table the issue for further study or take no action.
ATTACHMENTS:
1. Bid Tab
2. Resolution No. 2013-072