Item 003a - RCA Coversheet — original pdf

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RCA Cover Sheet for ZWAC ORGANICS PROCESSING SERVICES PROGRAM SOLICITATION # (IFB 1500 RGW1023REBID) ZWAC: 08/13/2025 Council: 08/28/2025 OVERVIEW 1. Requested Contract Term, Authorization, and Current Budget Length of contract and total authorization: Authorize contracts for compost processing services for Austin Resource Recovery with Employee Owned Nursery Enterprises Ltd. d/b/a Organics By Gosh, and Texas Disposal Systems Landfill, Inc. d/b/a Texas Disposal Systems Inc., for an initial term of three years with up to two one-year extension options in an amount not to exceed $10,000,000 divided among the contractors. ARR current fiscal year budget: Funding: $333,333 is available in the Operating Budget of Austin Resource Recovery, funding for the remaining contract term is contingent upon available funding in future budgets. 2. Solicitation Information Solicitation No: IFB 1500 RGW1023REBID # of bids received: 2 # of non-responsive bids received: 0 Length of time solicitation was out on the street: 5 weeks Was the time extended? NO Issued date: 05/19/2025 Closed date: 06/23/2025 Major Scope Change(s): Scope changes include adding a preference for vendor to have two processing facilities and to accept more materials such as cotton balls and dryer lint. 3. Previous Contract Information Previous contract: Organics Processing Services Program Contract number: NA200000006 Contract length and authorization: Three years with two 1-year extensions Contract actual spend: $5,013,902.98(as of August 2025) Current status: Active Contract execution date: 10/24/2019 Contract expiration date: 10/1/2025 RCA Cover Sheet for ZWAC 4. Notes/Other The purpose of these contracts are to support the City’s Zero Waste initiatives by providing compost processing services, including processing, sorting, and composting of organics, yard waste, food scraps, and food-/oil-soiled compostable paper, as well as marketing services to include detailed data reporting to support the City’s residential curbside compost materials collection services. The Austin Resource Recovery (ARR) Department’s Comprehensive Plan serves as a guide for the City to achieve its Zero Waste goal of reducing the amount of trash sent to landfills by 90% by the year 2040. Zero Waste is a shift from traditional waste management to materials management, where trash is what remains once we reduce, reuse, recycle, and compost. The compost program is expected to expand from 40,846 tons collected in FY24 towards a potential of up to 60,000 tons of compost materials delivered annually. City vehicles will collect and deliver approximately 50-loads daily from current ARR residential and commercial customers with ARR carts (e.g., small businesses, food permitted businesses, etc.) participating in the services, to the contractors. The contractors shall be responsible for the environmentally sustainable and proper disposal of any waste material, including contaminated materials received by the City, generated under these contracts in accordance with federal, state, and local laws, rules, and regulations. The contracts will replace a contract that expired on August 20, 2025. Requested authorization is based on historical spend and departmental estimates of future needs. One of the recommended contractors is the current provider for these services. If the City is unable to secure a contract, ARR may experience disruptions of mandated curb- side collection services and cause an unnecessary risk to public health and safety within the City, resulting in negative implications to the City’s carbon footprint. Name Date Compiled By: Contract Development August 13, 2025 End-user/Contract Manager: Sam Gilbert