Title
Resolution to Approve Interim Operations Services Agreement with Recycle Ann Arbor for Ann Arbor Material Recovery Facility (MRF) (Estimated $873,909.24 to $1,135,114.44/Year in First Year)
Memorandum
Attached for your review and consideration is a resolution to award an Interim Operations Services Agreement to Recycle Ann Arbor (RAA) to operate the City's Material Recovery Facility beginning July 1, 2017 until June 30, 2018, with the potential of two six-month extensions if desired by the City. This interim operating period will allow staff to evaluate options and determine the approach for locally processing and returning the community's recyclables to market. If City Council approves this resolution, it will not need to consider the next resolution on the agenda, which would be to award an Interim Operations Services Agreement to Waste Management of Michigan, Inc.
On March 6, 2017, City Council approved Resolution R-17-070 directing the City Administrator to negotiate with RAA to reach an agreement on an interim services contract to operate the MRF, and set a March 31, 2017, deadline. Resolution R-17-070 specified that the contact terms include (1) loose loading of recycling materials at the City's MRF, (2) performance measures to determine the benefits of loose loading, (3) an option to change to baling of recyclable material if loose loading is not shown to be beneficial, (4) with a performance bond, and (5) at a cost that is competitive with the cost of Waste Management of Michigan, Inc. (WMM)'s proposal in response to City Request for Proposal (RFP) No. 980. The resolution stated that if such an agreement was reached by March 31, 2017, the City Administrator and staff were to bring the interim operations services agreement to City Council for its review and approval no later than the second meeting in April 2017; and, that if an agreement was not reached by March 31, 2017, then an interim operations service agreement with WMM was to be brought ...
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