Ann Arbor logo
Share to Facebook Share to Twitter Bookmark and Share
File #: 20-0189    Version: 1 Name: 3/16/20 - Big Belly Connect Rental Agreement
Type: Resolution Status: Passed
File created: 3/16/2020 In control: City Council
On agenda: 3/16/2020 Final action: 3/16/2020
Enactment date: 3/16/2020 Enactment #: R-20-094
Title: Resolution to Approve a Best Source Lease Agreement with Big Belly Solar, Inc. for Lease of Solar Compacting Trash and Recycling Containers ($23,290.08/year 1 and 2; not to exceed $150,000.00 for 5 years)
Attachments: 1. BigBellyPicture.pdf, 2. BBS_CityofAnnArbor_CSA 10176_2-11-20.pdf

Title

Resolution to Approve a Best Source Lease Agreement with Big Belly Solar, Inc. for Lease of Solar Compacting Trash and Recycling Containers ($23,290.08/year 1 and 2; not to exceed $150,000.00 for 5 years)

Memorandum

Attached for your review and action is a resolution approving a best source lease agreement with Big Belly Solar, Inc. for the rental of 10 sets of Big Belly containers.  Each set consists of a high capacity trash compactor and a standard capacity recycling container.  Each set also includes foot pedals and an anti-graffiti wrap. This is a 5 year leasing agreement with pricing guaranteed at $23,290.08 per year for the first 2 years. Thereafter, pricing shall not increase over the amounts charged for the immediately preceding term by more than the rate of inflation as reflected by the Consumer Price Index - Urban for all US Cities, unadjusted (“CPI-U”).

The City maintains pedestrian litter and recycle containers on sidewalks in areas with high pedestrian foot traffic. The City is in the process of replacing all of its pedestrian containers with more aesthetically pleasing containers that are stationary and more efficient to service. The Big Belly containers will be placed strategically on high pedestrian traffic areas and will supplement the new pedestrian containers. The City will evaluate their performance over the 5-year lease agreement.

 

The City currently owns 5 Big Belly trash compacting containers.  Two are located in the downtown area and 3 are in parks.  The containers have wireless technology that allows them to communicate when they are full, malfunctioning, or the door is opened.  This allows for optimization of servicing; whereas servicing will be initialized via mobile device notification.  In addition, the trash containers compact, making them ideal for high usage locations as they can hold more trash than typical containers.  Finally, they can be bolted to the ground to prevent unauthorized movement. Due to the leasing agreement, Big Belly will be responsible for all standard maintenance and repair.  They will also complete annual preventive maintenance and cleaning and provide any software upgrades needed during the lease period.  The City is seeking a Best Source agreement because the City already utilizes Big Belly and it is not practical to operate two different technology platforms.

 

The trash compactors are paired with recycle containers making recycling convenient for pedestrians.  They also have anti-graffiti wraps that allow for easy cleaning and meaningful waste messaging.     

 

Sustainability Framework:  The work completed through this contract is essential to supporting the Healthy Ecosystems and Clean Air and Water goals of the City’s Sustainability Framework in that it will keep trash from entering the environment as the containers hold more trash and keep it secured inside the container.  It also supports the Responsible Resource Use goal of the Framework as the containers are powered with solar panels, thus requiring no electricity.  In addition, the lease program ensures that the manufacturer is responsible for the container at the end of its useful life.  The manufacturer intentionally selects materials and construction techniques that make dismantling and separation of the components easy for recycling purposes.  Finally, the packaging for the containers is 100% recyclable.

 

Budget and Fiscal Impact:  Funding is available in the approved FY20 Solid Waste Operation and Maintenance Budget and will be available in subsequent budgets if so approved by Council.

Staff

Prepared by: Jennifer Petoskey, Solid Waste Outreach & Compliance Specialist, Public Works

Reviewed by: Molly Maciejewski, Public Works Manager

Reviewed by: Craig Hupy, Public Services Area Administrator

Approved by: Howard Lazarus, City Administrator

Body

Whereas, The City needs to maintain trash and recycle containers for use on sidewalks in certain high pedestrian areas; 

 

Whereas, The City owns and maintains pedestrian litter and recycling containers along sidewalks in the downtown and other high volume pedestrian areas;

 

Whereas, The existing containers being replaced with pedestrian containers that are easier to service and more aesthetically pleasing;

 

Whereas, The City currently has 5 Big Belly trash compactors;

 

Whereas, Staff is recommending that competitive bidding requirements be waived and that Big Belly Solar, Inc. be used as a Best Source for this lease agreement.

 

Whereas, This is a 5 year lease agreement with pricing guaranteed at $23,290.08 per year for the first 2 years. Thereafter, price shall not increase over the amounts charged for the immediately preceding term by more than the rate of inflation as reflected by the Consumer Price Index - Urban for all US Cities, unadjusted (“CPI-U”).

 

Whereas, A $3,000 per year contingency amount be established to pay for any unforeseen costs outside of the lease agreement such as, but not limited to, vandalism, vehicular accidents;

 

Whereas, The containers have wireless technology to communicate notifications to service;

 

Whereas, The containers compact trash making them ideal for high usage locations;

 

Whereas, The containers pair a trash compactor with a recycle container allowing for convenient recycling for the pedestrian;

 

Whereas, The containers have anti-graffiti wraps that assist with maintaining cleanliness as well as communicating important waste messaging;

 

Whereas, Funding for the annual lease is available in the approved FY20 Solid Waste Operation and Maintenance Budget and will be available in subsequent budgets if so approved by Council; and

 

Whereas, Big Belly complies with the City’s non-discrimination ordinance;

 

RESOLVED, That upon staff’s recommendation, the City Council authorizes the 5 year lease agreement with Big Belly Solar, Inc. without competitive bidding as it is a best source for the containers;

 

RESOLVED, That City Council approve the issuance of a purchase order to Big Belly, Inc. for the service rental of 10 sets of Big Belly containers and for a total amount not to exceed $150,000.00 over 5 years;

 

RESOLVED, That City Council approves a $3,000.00 per year contingency amount to pay for any unforeseen costs outside of the lease agreement such as, but not limited to, vandalism, vehicular accidents;

 

RESOLVED, That the City Administrator be authorized to renew this agreement with a fee escalation of no more than the CPI-U inflation rate as reflected by the Consumer Price Index - Urban for all US Cities, unadjusted (“CPI-U”) over the amount charged for the immediately preceding term, for up to four additional years, subject to the availability of funding;

 

RESOLVED, That the Mayor and City Clerk be authorized and directed to execute said agreement after approval as to form by the City Attorney and approval as to substance by the City Administrator; and

 

RESOLVED, That the City Administrator be authorized to take the necessary actions to implement this resolution.