Title
Resolution to Approve a Service Agreement with Synagro Central, LLC for Land Application of Wastewater Biosolids, RFP No. 962 ($0.033 Per Gallon, Approximately $528,000.00 Per Year)
Memorandum
Your approval is requested to award a service agreement to Synagro Central, LLC (Synagro) for hauling and land application of municipal wastewater biosolids from the City’s Wastewater Treatment Plant (WWTP) at a cost of $0.033 per gallon.
Biosolids are organic material, rich in nutrients, which are removed from wastewater through various treatment processes. During the months of approximately April through December, the WWTP utilizes contracted services for the application of stabilized biosolids to farmland as an agricultural soil supplement. These services enable the WWTP to achieve beneficial reuse of stabilized biosolids in a managed program that benefits the environment. The yearly amount of biosolids currently land applied is approximately 16 million gallons. During the balance of the year, the WWTP processes and disposes biosolids in a landfill.
Through RFP No. 962, WWTP staff solicited proposals for providing biosolids land application services. Proposals were received from Biotech Agronomics, Inc. and Synagro. Based on the selection criteria listed in RFP No. 962, Synagro was determined to be the most qualified and cost effective to provide the requested services.
Synagro complies with the City’s Non-Discrimination and the City’s living wage requirements. The standard agreement for services without modification will be used for this contract between the City and Synagro.
You are requested to approve a service agreement with Synagro for three years with the option for two, one-year renewals. Projecting production of approximately 16 million gallons of biosolids per season at the $0.033 per gallon land application fee, the estimated first year cost is about $528,000.00. After the first year, the agreement allows for annual cost adjustments based on the Consumer Price Index determined by the Bureau of Labor.
Funds to finance the FY16 services are included in the approved WWTP Operations and Maintenance (O&M) budget for the Sewage Disposal System and are included in the requested FY17 O&M budget for the Sewage Disposal System. Approval for subsequent years is subject to the availability of funding.
Staff
Prepared by: Keith Sanders, Assistant Manager, WWTSU
Reviewed by: Craig Hupy, Public Services Area Administrator
Approved by: Tom Crawford, Interim City Administrator
Body
Whereas, During the months of April through December, the City’s Wastewater Treatment Plant (WWTP) utilizes contracted services for the application of stabilized biosolids to farmland as an agricultural soil supplement and during the balance of the year processes and disposes biosolids in a landfill;
Whereas, WWTP staff issued RFP No. 962 for the land application of wastewater biosolids to continue this beneficial reuse of biosolids;
Whereas, Based on WWTP staff review of proposals from Synagro Central, LLC and BioTech Agronomics, Inc. (BioTech), Synagro was determined to have the most qualified and cost effective proposal to provide the requested services;
Whereas, Synagro complies with the City’s Non-Discrimination and living wage requirements; and
Whereas, Funds have been budgeted in the Public Services Sewage Disposal Fund WWTP Operation and Maintenance budget for FY16 and proposed FY17 and approval for subsequent years is subject to the availability of funding;
RESOLVED, That Council approve the service agreement with Synagro in the amount of $0.033 per gallon for land application of wastewater biosolids with annual cost adjustments commencing after the first year based on the Consumer Price Index determined by the Bureau of Labor in accordance with RFP No. 962;
Resolved, That the City Administrator be directed to enter into an agreement in accordance with this resolution at a projected cost of approximately $528,000.00 for the first year; and
RESOLVED, That the City Administrator be authorized to renew the agreement for up to two one-year periods after the initial three-year period provided both parties agree to an extension.