Title
Consider/Discuss/Act on a Resolution Authorizing the City Manager to Execute a Contract with Frontier Texas Ventures I, LLC dba Frontier Waste Solutions for the Collection of Solid Waste and Recycling
Summary
COUNCIL GOAL: Operational Excellence
(2B: Balance Available Resources to Accommodate the Growth and Maintenance Needs of the City);
Enhance the Quality of Life on McKinney
(5E: Develop sustainable quality of life improvements in the City of McKinney)
MEETING DATE: August 15, 2023
DEPARTMENT: Public Works
CONTACT: Steve Tilton, Assistant City Manager
Ryan Gillingham, Public Works Director
Eric Hopes, Environmental Services Manager
RECOMMENDED CITY COUNCIL ACTION: Approval of Resolution
ITEM SUMMARY:
This resolution authorizes the City Manager to enter into a contract with Frontier Texas Ventures I, LLC dba Frontier Waste Solutions (Frontier) for the collection of solid waste and recycling.
BACKGROUND INFORMATION:
• The City issued solicitation (23-11RFP) Solid Waste & Recycling Collection and Recycling Processing Services. Out of 114 supplier notifications, six proposals were received on Thursday, February 16, 2023.
• Of the six proposals received and evaluated, Frontier was identified as the highest ranked respondent for trash and recycling collection services.
• The City Council approved a resolution at the May 23rd, 2023, Special Meeting that allowed for the City to begin negotiations Frontier.
• Staff from the City Manager’s Office, Public Works, City Attorney’s Office, and Procurement Services worked in collaboration with the City’s consultant, Burns & McDonnell Engineering Company, Inc., to negotiate with and form a contract with the finalist.
• Through negotiations, staff has formed a contract and is seeking Council’s approval to authorize the City Manager to execute the contract.
• Frontier’s contract for solid waste and recycling collection services initial term will begin on October 1st, 2024, and continue through September 30th, 2031, with one optional eight (8) year renewal term at the City’s discretion. After the first renewal term, the City and Frontier may mutually agree to renew the contract for successive five (5) year terms. The total term of the agreement, including all renewal terms, shall not exceed 25 years.
• The contract has been executed by Frontier and is available upon request.
FINANCIAL SUMMARY:
• Contract Rates for Residential and Commercial Collection shall remain effective from the execution of this Agreement through September 30, 2025.
• CPI cost adjustments shall be made automatically on October 1 of each year thereafter for the term of the agreement.
• The annual CPI cost adjustment shall not exceed five percent (5%) in any single year.
• Franchise Fee is an amount equal to five percent (5%) based on the Contract Rates that cover the Contractor’s use of public facilities and improvements of Services under this Agreement.
BOARD OR COMMISSION RECOMMENDATION: N/A