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HomeMy WebLinkAboutContract 61715-A161715-A1 City Secretary Contract Number FIRST AMENDMENT TO CITY SECRETARY CONTRACT NO. 61715 A NON-EXCLUSIVE VENDOR SERVICES AGREEMENT BETWEEN THE CITY OF FORT WORTH AND THE LETCO GROUP, LLC This First Amendment to City Secretary Contract Number 61715 ("First Amendment") is entered into by and between the City of Fort Worth (hereafter 'Buyer"), a home rule municipality and The LETCO Group, LLC dba Living Earth ("Vendor"), a Delaware limited liability company. Buyer and Vendor may be referred to individually as a Party and collectively as the Parties. WHEREAS, on July 17, 2024, the Parties entered into City Secretary Contract 61715 for Vendor to provide the City with organic waste processing services ("Agreement"); WHEREAS, the Parties desire to update the price schedule for the Agreement. NOW THEREFORE, City and Vendor acting herein by and through their duly authorized representatives agree to amend the Agreement as follows: 1. AMENDMENT Exhibit B of the Agreement is hereby repealed and replaced with Attachment 1 to this First Amendment, which is attached hereto and incorporated herein by reference. 2. ALL OTHER TERMS SHALL REMAIN THE SAME All other provisions of the Agreement which are not expressly amended herein shall remain in full force and effect. 3. ELECTRONIC SIGNATURE This Amendment may be executed in multiple counterparts, each of which shall be an original and all of which shall constitute one and the same instrument. A facsimile copy or computer image, such as a PDF or tiff image, or a signature, shall be treated as and shall have the same effect as anoriginal. (signatures on next page) OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX ACCEPTED AND AGREED: CITY OF FORT WORTH By: Valerie Washington (Aug 18, 2025 10:16:17 CDT) Name: Valerie Washington Title: Assistant City Manager August 18, 2025 APPROVAL RECOMMENDED: (?am-4� /q Z By: Name: James Keezell Title: Assistant Environmental Service Director ATTEST: (\7I ��y ovonnb /\\ p O� FORT'�d By: ,,a °°°°p°od Name: Jannette S. Goodall Title: City Secretary ��4 TEXAS a �bnnooa 6p The LETCO Group, LLC DBA Living Earth, mAnny Po-dY'i4 w z By: Mannv Rodrlpuer(AUp 13, 202518:13-16 CDT) Name: Manny Rodriguez Title: Chief Executive Officer City Secretary Contract Number CONTRACT COMPLIANCE MANAGER: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. By: Christian Harper (Aug 15, 2025 13:53:02'CDT) Name: Christian Harper Title: Contract Service Administrator APPROVED AS TO FORM AND LEGALITY: M. Kevin Anders, 11 By: M. Kevin Anders, II (Aug 17, 2025 16:49:39 CDT) Name: M. Kevin Anders, II Title: Assistant City Attorney CONTRACT AUTHORIZATION: M&C: 24-0406 Date Approved: May 14, 2024 Form 1295 Certification No.: OFFICIAL RECORD CITY SECRETARY FT. WORTH, TX City Secretary Contract Number ATTACHMENT 1 EXHIBIT B PAYMENT SCHEDULE Unit Pricing For Brush and Yard Waste Per Ton or Per Vehicle Unit Pricing Unit Pricing (Vehicles) Amended Tons Contract Rate 0 — 5,000 tons 0 — 850 vehicles $30.75 5,001 — 10,000 tons 851 — 1,700 vehicles $30.75 10,001 — 15,000 1,701 — 2,550 vehicles $30.75 15,001 — 20,000 2,551 — 3,400 vehicles $30.75 Over 20,000 tons Over 3,400 vehicles $29.72 Unit Pricing for Optional Additional Materials (Excluding Biosolids) Unit Pricing (Tons) Unit Pricine (Per Amended Unit Price Vehicle) (Per Cubic Yard) 0 — 5,000 tons 0 — 850 vehicles $8.20 5,001 —10,000 tons 851 — 1,700 vehicles $8.20 10,001 —15,000 tons 1,701 — 2,550 vehicles $8.20 15,001 — 20,000 tons 2,551 — 3,400 vehicles $8.20 Over 20,000 tons Over 3,400 vehicles $8.20 CITY PURCHASE PRICING FOR MARKET -READY PRODUCTS Finished Proiect Twe Mulch (Additional to the mulch provided to the City at no additional cost in accordance with Section 8.19) Texas Hardwood Mulch Fine Shredded Hardwood Premium Colored Mulches Organic Compost, STA Amended Unit Price (Per Cubic Yard) N/A $19.47 $29.72 $27.67 $27.67 City Secretary Contract Number Landscaper's Mix $30.75 Tree and Shrub Mix $35.87 Mixed Soil with Compost $37.92 Kiddie Cushion Play Surface $37.92 City of Fort Worth, Texas Mayor and Council Communication DATE: 05/14/24 M&C FILE NUMBER: M&C 24-0406 LOG NAME: 22ORGANIC WASTE PROCESSING SERVICES SUBJECT (ALL) Authorize the Execution of a Service Agreement with Five -Year Term With The LETCO Group, LLC d/b/a Living Earth for Organic Waste Processing Services in an Estimated Amount of $825,000.00 for the First Year for the Environmental Services Department (Continued from a Previous Meeting) RECOMMENDATION: It is recommended that the City Council authorize the execution of a service agreement with five-year term with The LETCO Group, LLC d/b/a Living Earth for organic waste processing services in an estimated amount of $825,000.00 for the first year and authorize two, five-year renewal options for the Environmental Services Department. DISCUSSION: The Environmental Services Department issued a Request for Proposal (RFP) to procure an agreement for organic waste processing services. The City of Fort Worth (City) will utilize this agreement to process acceptable organic materials into usable products, improve services, and divert specific material from the Southeast Landfill (SELF). These processing services are essential to preserving and protecting the long-term public health and safety of the City's residents. The awarded vendor will receive and process brush and yard waste collected and delivered by the City's residential collection service in addition to the City's drop-off stations. The Transportation and Public Works and Park and Recreation Departments may also utilize this agreement to deliver loads of clean brush and yard waste directly to the composting facility as long as the material meets the quality standards of the current residential program. In order to procure these services, the Environmental Services Department purchasing staff issued Request for Proposal (RFP) No. 24-0133. The RFP consisted of detailed specifications describing the project background, vendor requirements, and other requirements to perform the services. The RFP was advertised in the Fort Worth Star -Telegram on February 14, 2024, February 21, 2024, February 28, 2024, March 6, 2024, and March 13, 2024. Two responses were received. An evaluation panel consisting of representatives from the Environmental Services, Diversity and Inclusion, Park and Recreation, and FWLAB Departments evaluated and scored the responses using Best Value criteria. After evaluations were concluded, the vendor with the highest score was The LETCO Group, LLC d/b/a Living Earth (Living Earth). Staff reviewed the pricing and determined it to be fair and reasonable. After evaluation, the panel concluded that The LETCO Group, LLC d/b/a Living Earth presents the best value and the necessary coverage for the City. No guarantee was made that a specific amount of services would be purchased. Staff certifies that the recommended vendor proposal meets specifications. Evaluation Criteria: • A) Minimum Requirements • B) Experience and Qualifications • C) Proposed Approach • D) Exceptions • E) Financial & Litigation History • F) Cost FUNDING: Charges will be assessed on a per -ton basis with the annual cost depending on the amount of materials delivered to be processed and with the per -ton rate in each of the first five (5) years outlined in the chart below and subject to market -based cost adjustments starting with the first 5-year renewal. The total estimated cost for the first year of organic waste processing services is $825,000.00. The estimated value of this contract over the potential 15-year lifetime (first 5-year term and the up to two 5-year renewal periods) is $20,825,000.00. The estimated contract amount does not constitute a not -to -exceed limit on the contract, as the unit prices paid to The LETCO Group, LLC d/b/a Living Earth are impacted annually by the cost adjustment, growth of the City, and organics contamination. Funding is budgeted in the General Oper & Maint category within the Solid Waste Fund. Contract Initial 5-Year Average Per Years 1- Year 1 Year 2 Year 3 Year 4 Year 5 Contract Term Year 5 Annual 25,000 26,638 26,291 26,962 27,649 131,540 26,308 Tons Average Cost $33.00 $33.00 $34.65 $36.38 $38.20 $4,619,208.00 $923,842.00 Per Ton BUSINESS EQUITY: A waiver of the goal for Business Equity subcontracting requirements was requested and approved by DVIN, in accordance with the applicable Ordinance, because the purchase of goods or services is from sources where subcontracting or supplier opportunities are negligible. AGREEMENT TERMS: Upon City Council approval, this agreement will begin upon execution and expire five years from that date (initial term). The agreement may be renewed for up to two (2) additional five (5) year terms following the expiration of the initial term. ADMINISTRATIVE CHANGE ORDER: An administrative change order or increase may be made by the City Manager up to the amount allowed by relevant law and the Fort Worth City Code and does not require specific City Council approval as long as sufficient funds have been appropriated. EXEMPT PROCUREMENT: The City Attorney's Office has determined that solid waste services may be exempt from competitive bidding under the provisions of Chapter 252 of the Texas Local Government Code as necessary to preserve or protect the public health or safety of the municipality's residents. Nevertheless, the City chose to voluntarily procure this agreement through the competitive process, as allowed, to ensure the City receives a fair and equitable contract. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that upon approval of the recommendation, funds are available in the current operating budget, as previously appropriated, in the Solid Waste Fund. Prior to an expenditure being incurred, the Environmental Services Department has the responsibility to validate the availability of funds. Submitted for Citv Manaaer's Office bv: Valerie Washington 6199 Oriainatina Business Unit Head: Cody Whittenburg 5455 Additional Information Contact: Sarah Czechowicz 5164