The City of Union City needed to arrange future collection contractor(s) to commence services upon expiration of its two existing franchise agreements and secure long-term disposal capacity upon closure of the nearby landfill. After issuing an RFP that resulted in receipt of only one joint proposal from the existing two collectors, the City wanted to issue a new RFP and make changes to encourage more competition.
HF&H Solution
HF&H assisted the City of Union City with procurement of solid waste and organics materials collection, processing, and disposal services. To address the City’s interest in maximizing competition, the City negotiated a new residential recyclables collection agreement with its existing non-profit service provider, and agreed to contract separately for solid waste and organic materials collection and disposal services. HF&H developed one RFP that solicited separate proposals for the collection and disposal services. The process resulted in receipt of three proposals and the selection of two companies, one company that provides collection services, and a second that provides disposal services. We also assisted the City with negotiations of a separate franchise agreement for recyclable materials collection and processing services with its current service provider, a local non-profit company.
HF&H is currently assisting the City of Union City and the City of Newark in the joint negotiations with the company selected for transfer and disposal services. In addition, HF&H is analyzing various other disposal options.
Results
The process resulted in two new franchise agreements that include:
Improved services such as residential single-stream collection, weekly residential recyclables and organics collection (rather than bi-weekly), residential and commercial food waste collection, and “free” commercial recycling service for solid waste customers;
Use of compressed natural gas for 55% of the solid waste and organics materials collection fleet; and,
Increased City revenues through establishment of a new AB 939 fee and increased administration fee.
City of Union City