Contract Services

City of Manhattan Beach

Competitive Procurement (2000)

Project Description

HF&H had assisted the City in competitively procuring its existing exclusive residential and commercial solid waste agreement in 2002.  This agreement was expiring and the City once again retained HF&H to conduct a competitive procurement process for a new collection agreement.

The City established an Environmental Task Force to assist in designing an environmentally sustainable solid waste collection agreement.

As a result of the previous competitive procurement, HF&H obtained a rate reduction and a freeze on disposal cost increases for the term. This resulted in stable rates, with the City’s rates being among the lowest in Los Angeles County. Disposal costs in the region have increased significantly during the prior contract term and are anticipated to continue to do so. The City was therefore seeking to retain rate stability, with protection from large disposal cost increases, under the new agreement.   

HF&H Solution

HF&H worked with the City’s Environmental Task Force to decide upon future solid waste programs to be requested in the City’s request for proposals. HF&H drafted an RFP and agreement to address the City’s concerns, soliciting long term disposal options and innovative diversion programs.

The City received four proposals from solid waste companies. HF&H assisted the City in soliciting best-and-final offers from, and negotiating agreements with, three of the proposers for Council consideration.

Project Results

HF&H secured an agreement increasing hauler diversion from the existing 38% to 62%, to be phased in over the agreement term. Disposal cost increases are capped at the change in CPI or 5% per year, whichever is lower, with guaranteed disposal and processing capacity for the agreement term. All bin refuse is required to be processed to recover recyclables prior to disposal. All residential cart customers will receive on-call, door-to-door HHW collection.

Additionally, significant improvements to public education and outreach to multi-family and commercial customers (and to the school district) are included.