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HomeMy WebLinkAboutExhibit A-SVM Diamond Bar Proposal 2022Proposal to Provide Solid Waste Consulting Services Presented to: City of Diamond Bar, California Submitted by: 3002 Dow Avenue, Suite 116, Tustin, CA 92780 Office: 866.241.4533 info@sloanvazquez.com · www.sloanvazquez.com Contact: Enrique Vazquez enrique@sloanvazquez.com 626-347-3226 May 4, 2022 EXHIBIT A 3002 Dow Avenue, Suite 116, Tustin, CA 92780 866.241.4533 www.sloanvazquez.com May 4, 2022 Mr. David Liu, Public Works Director/City Engineer City of Diamond Bar RE: Technical Assistance to Secure New Solid Waste Collection Services Agreements Dear Mr. Liu, Thank you for the opportunity to submit a proposal to provide consulting services for the City of Diamond Bar. The following proposal describes our qualifications to develop an RFP and draft Franchise Agreement for Solid Waste Collection Services, and conduct exclusive-competitive negotiations with the City’s current franchisees, Waste Management and Valley Vista Services, through a competitive proposal process. Sloan Vazquez McAfee (SVM) is a consulting firm focused exclusively on municipal solid waste planning and management services. Our expertise includes the development of franchise agreements; RFP development and management; expert negotiation; financial reviews; disposal and recycling contract analysis; rate adjustment reviews; collection, transfer and processing operations analysis; waste composition and characterization studies; and, infrastructure and system feasibility studies. Together, the firm’s partners have over 65 years of wide-ranging expertise and experience in municipal waste management and recycling. The adoption of SB 1383 represents the most significant shift in solid waste collection policy in over thirty years. Its impact goes beyond the collection and processing of organics to include rigorous outreach, education and monitoring requirements. SVM brings the City of Diamond Bar our experience in modifying and drafting Franchise Agreements to ensure full compliance with SB 1383. Additionally, SVM understands the economic impacts of these requirements and is well-equipped to assist the City in achieving the best value for the City’s ratepayers through this process. Our proposal is specifically crafted to provide the City of Diamond Bar’s desired scope of work. Our team is equipped to provide the flexibility and customized service necessary to support the City in navigating this process. While we have prepared a proposed approach and timeline for anticipated tasks, we are able to further customize our project plan in coordination with the City upon commencement of the project. We are ready, willing and able to perform the proposed services and prepared to commence a process that will successfully update the franchise agreements and secure the best services and the greatest value for the residents and businesses of Diamond Bar. Sincerely, Enrique Vazquez Sloan Vazquez McAfee Note: SVM acknowledges receipt of RFP Addenda #1, Q & A, posted May 3, 2022. EXHIBIT A Diamond Bar Proposal Table of Contents TABLE OF CONTENTS A.Firm Background ................................................................................................................................... 1 Project Team Members............................................................................................................................. 3 Subcontractors .......................................................................................................................................... 5 B.Relevant Project Experience ................................................................................................................. 5 C.Project Understanding and Approach .................................................................................................. 6 Project Understanding .............................................................................................................................. 6 D.Reference Projects ................................................................................................................................ 8 E.Cost Proposal ........................................................................................................................................ 9 SVM 2022 Standard Rate Sheet ............................................................................................................ 9 Estimated Project Costsl ....................................................................................................................... 9 F.Project Timeline .................................................................................................................................... 9 G.Licenses, Professional Certificates, Memberships and Insurance ...................................................... 11 Exhibit A: Proposed Scope of Services Exhibit B: Professional Resumes EXHIBIT A City of Diamond Bar Proposal Page | 1 A.FIRM BACKGROUND Sloan Vazquez McAfee (SVM) is a municipal solid waste, recycling and organics services consulting firm. Our team works to maximize solid waste and recycling programs, develop and procure high-value franchise services, optimize system design and performance, ensure contract compliance and deliver measurable results for public and private entities. Founded by Joe Sloan in 2000, SVM was joined by Enrique Vazquez in 2005, and Charissa McAfee in 2013. Combined, the firm’s partners have over 60 years of wide-ranging expertise and experience in municipal waste management and recycling. With offices in Tustin, California, SVM provides solid waste and recycling advisory services to both public and private sector solid waste and recycling enterprises throughout the United States. Our firm provides a unique perspective, as all of our staff members have worked in the industry and possess hands-on expertise and working knowledge of solid waste and recycling program management and service delivery. SVM has provided consulting services for numerous municipalities and private organizations evaluating all aspects of solid waste management. Our firm has comprehensive knowledge of Federal, State and local regulations and industry best practices and provides our clients with extensive experience in the development and analysis of Solid Waste Franchise Agreements. SVM offers economic, regulatory and evaluation proficiency we have fine-tuned through our academic and professional experience, as well as keen industry insight developed through many years of direct, bottom- line management of municipal solid waste and recycling contracts, including day-to-day responsibility for delivery of services, ongoing development and implementation of new services, rate negotiation for existing and/or new programs, development and preparation of operational data and service metrics. Professional Services SVM provides a wide array of waste management and recycling consulting services for public and private sector clients throughout the United States. The following is a partial listing of municipalities for whom SVM has conducted work. •City Carson City, NV •City of San Benito, CA •City of Culver City, CA •City of San Jose, CA •City of Dana Point, CA •City of Santa Monica, CA •City of Fresno, CA •City of Yuba City, CA •City of Glendale, CA •County of Orange, CA •City of Mission Viejo, CA •Monterey Regional Waste Management District •City of Palm Springs, CA •Regional Waste Management Authority •City of Pasadena, CA •South Bayside Waste Management Authority SVM Partners Contact Information Address: 3002 Dow Avenue, Suite 116 Tustin, CA 92780 Joe Sloan (714) 348-6350 Joe@sloanvazquez.com Enrique Vazquez (626) 347-3226 Enrique@sloanvazquez.com Charissa McAfee (858) 212-1427 cm@sloanvazquez.com EXHIBIT A City of Diamond Bar Proposal Page | 2 Our principal area of expertise is in the municipal solid waste collection and recycling industry. MUNICIPAL SERVICE MANAGEMENT GENERAL SOLID WASTE SERVICE ANALYSIS •Competitive Procurement Management o Define the Scope of Services o Prepare Request for Proposals o Analysis and Ranking of Proposals o Prepare Operations Proforma o Interview Selected Proposer(s) •Service Contract Negotiation •Contract Compliance Management •Rate Adjustment Negotiation •Comparative Rate Surveys •Rate Reviews & Cost of Service Studies •Operational Reviews & Performance Assessments •Collection Operations o Refuse o Recyclables o Green Waste •Recyclables Processing •Organics Processing •Residential Recycling & Organics •Commercial Recycling & Organics •C&D Recycling •Disposal Options •Solid Waste Transfer •Commodity Market Development OPERATIONS MANAGEMENT FACILITY EVALUATION & OPERATION •Collection Route Analysis o Route Audits o Billing Audits •Re-Routing •Review Customer Service & Billing Functions •Revenue Enhancement Methods •Staffing, Personnel Classification & Job Descriptions •Performance Metrics Development & Management •Training for Management & Operations Personnel •Recycling Processing Systems •(MRF Project Development) •Conveyors, Balers, Screens, Optical sorting systems •Conceptual Facility Design •Bid Analysis & Ranking •Process Capacity and Operating Specifications •Acquisition/Negotiation of systems and/or components •Warranty Management •Start-up Management & Operations & Training •Preventative Maintenance Programs •Operations & Training EXHIBIT A City of Diamond Bar Proposal Page | 3 PROJECT TEAM MEMBERS The SVM team has the skills and available capacity to effectively execute all proposed work in a timely and thorough manner, with the direct involvement and oversight of the company principals. The following team members will be responsible for the successful implementation of this project: Enrique Vazquez – Principal Mr. Vazquez will serve as the Project Manager. Mr. Vazquez will have responsibility for the coordination of quality professional services to the City, overall performance of the personnel, and timely completion of this engagement. He will also coordinate activities with City staff and monitor the progress of the project and all phases of the engagement to ensure satisfactory performance. Mr. Vazquez will participate in all aspects of the project but will focus performing the financial analysis and negotiations. Mr. Vazquez will also be responsible for overseeing the development of the franchise agreement language, RFP documents, and baseline deliverables. Mr. Vazquez has previous experience in the evaluation of both of the City of Diamond Bar’s franchise haulers and is well familiar with their programs and the costs associated with providing those services. Mr. Vazquez also oversaw the audits of Waste Management and Valley Vista for the City of Diamond Bar and is able to apply his in-depth understanding of their financial approach, contract performance, and infrastructure. Mr. Vazquez has vast experience in the management and operations of municipal solid waste collection and has a thorough understanding of all the aspects related to their management including knowledge of cost of service analysis and rate setting and administration concepts and procedures. He has been responsible for the adoption of numerous municipal solid waste and recycling programs from conception and design to implementation. Mr. Vazquez is an expert on the economics related to solid waste programs and specializes in financial modeling and review. Mr. Vazquez has a Bachelor’s of Science in Business Administration from the University of Southern California. His resume is provided in Exhibit B, Professional Resumes. ENRIQUE VAZQUEZ REFERENCE PROJECTS: City of Palm Springs •City of Mission Viejo •City of Pasadena •City of Glendale •City of Dana Point •City of Culver City EXHIBIT A City of Diamond Bar Proposal Page | 4 Joe Sloan – Principal Joe Sloan will participate in the development of the draft franchise agreement, the RFP documents, the evaluation of the proposals and the negotiation with the franchise haulers. Mr. Sloan has extensive knowledge of industry best practices and has demonstrated results in all aspects of solid waste collection, single-family residences recycling, multi-family recycling, commercial recycling, construction and demolition debris recycling, and materials processing. He has overseen the completion of recycling and solid waste processing system commissioning and performance testing projects throughout the United States. Over the course of his career, Mr. Sloan has advised numerous local governmental agencies and municipalities. He has directed residential and commercial recycling, municipal contract development, commercial market development, comprehensive recycling programs, solid waste facility development, efficiency studies, rate adjustment process and public policy analysis. His credentials and experience are more fully delineated in his resume, which is provided in Exhibit B, Professional Resumes. Charissa McAfee – Principal Charissa McAfee will assist in all aspects of the project but will be primarily responsible for review of the current franchise agreements, research, the incorporation of SB 1383 requirements into the new franchise agreement, and the management of the RFP process. In addition, Ms. McAfee will ensure that the services are completed as required in the scope of work and that project is completed on schedule. Charissa McAfee has extensive experience in managing municipal solid waste and recycling contracts, having had direct responsibility for managing numerous solid waste and recycling franchises. Her recent focus has been in assisting municipalities and franchise haulers in adopting and implementing SB 1383 requirements. She has demonstrated success in designing and executing recycling education and outreach programs, developing and implementing organics recycling outreach and education programs, and has led teams at numerous hauling divisions in their development of documentation and reporting systems for submittal to CalRecycle. Ms. McAfee has also authored numerous competitive proposals, applications and comprehensive reports. Her resume is provided in Exhibit B, Professional Resumes. CHARISSA MCAFEE REFERENCE PROJECTS: •City of Palm Springs •City of Mission Viejo •City of Pasadena •City of Glendale JOE SLOAN REFERENCE PROJECTS: •City of Pasadena •City of Glendale •City of Dana Point EXHIBIT A City of Diamond Bar Proposal Page | 5 SUBCONTRACTORS All work will be conducted by SVM team members. No portion of the Diamond Bar project will be subcontracted. B.RELEVANT PROJECT EXPERIENCE Client: City of Palm Springs, CA Project: Municipal Franchise Agreement Modification and Contract Negotiation, 2021-2022 SVM provided technical assistance to City staff throughout the process of reviewing the current franchise agreement, developing a new franchise agreement to incorporate all SB 1383 requirements and to update the language to include innovative services and industry best practices. SVM assisted with the exclusive negotiations with the City’s exclusive hauler, including analysis of the financial proposal. Project: Performance Review of Franchise Hauler, 2018-2020 In 2018, the City of Palm Springs engaged SVM to conduct a performance review of the franchise hauler. SVM completed the performance review and develop several recommendations for the City to addresses in upcoming negotiations. SVM was also engaged to review the 2017/2018 and then the 2019/2020 rate adjustment applications as submitted by the franchise hauler. SVM review resulted in the correction of rates and a significant credit to the ratepayers due to miscalculation of rates. Client: City of Mission Viejo, CA Project: Municipal Franchise Agreement Modification and Contract Negotiation, 2018-2020 SVM provided technical assistance to City staff throughout the process of reviewing the current franchise agreement, developing a new franchise agreement to incorporate all SB 1383 requirements and to update the language to include innovative services and industry best practices. SVM prepared RFP documents, managed a competitive procurement, evaluated proposals and provided recommendations to the City. SVM then assisted with the negotiations with the City’s selected hauler. Client: City of Pasadena, CA Project: Municipal Franchise Compliance Audit, 2006-2009, 2013-present Between 2013 and the present, and previously between 2006 and 2009, the City of Pasadena chose SVM to conduct financial and operational audits of the franchise haulers to ensure contract compliance including the proper reporting of diversion and payment of franchise fees. Financial and operational records and documents are reviewed on-site. The process includes reviewing financial statements, general ledger entries, accounts receivable records, disposal records, routes configurations, route density, allocation methodologies, etc. The findings and recommendations are documented in a draft report submitted to the City for their review and commentary. EXHIBIT A City of Diamond Bar Proposal Page | 6 Client: City of Glendale, CA Project: Regulatory Compliance Review – 2015-2019 In 2015, the City of Glendale selected SVM to conduct regulatory compliance review of their permitted haulers. The first audit was for calendar years 2013 and 2014 and was completed in 2016. SVM subsequently completed reviews of calendar years 2015, 2016, and 2017. SVM has assisted the City in bringing haulers into conformance with permit requirements and compliance with State laws. Client: Dana Point, CA Project: Rate Review – 2018-2019, 2019 - Present Project: Compliance Review – 2016 - 2017 SVM has rate adjustment application reviews for rate years 2017/2018 and 2018/2019. In addition, SVM completed a compliance review for calendar years 2016 and 2017. SVM is currently in the process of completing an expanded review of the 2018/2019 rate adjustment application due to irregularities fo und by our auditors. This involved a combination of site visits and teleconferencing to review and verify the correctness of calculation of rate increases and the accurate reporting of tonnage disposal. This project involves gathering, reviewing, analyzing financial and operational information from the hauler. Financial and operational records and documents are reviewed on-site. The findings and recommendations are documented in a draft report submitted to the City for their review and commentary. C.PROJECT UNDERSTANDING AND APPROACH PROJECT UNDERSTANDING SVM understands that the City of Diamond Bar is seeking to conduct a competitive proposal process with the two existing Franchise haulers, Waste Management and Valley Vista. With the current agreements ending in August of 2023, there is an opportunity to address the recent changes in CalRecycle regulatory requirements and the potential to include new and innovative services through the development of new Franchise Agreement language. SMV is well-equipped to assist the City in this endeavor. We offer a unique combination of skills and expertise that directly aligns with the City’s scope of work, and sets us apart from other consulting firms. •With SVM competitive proposal processes, the principals take the lead. Only principals, with decades of experience in developing Franchise Agreements, managing RFP processes , and effectively negotiating with prospective haulers, are involved in the process. City staff and elected officials will have direct access to SVM principals, and all Diamond Bar project meetings and City Counsel meetings will be attended by SVM principals. •SVM offers the City of Diamond Bar our extensive knowledge of SB 1383 requirements and implications. We have assisted other jurisdictions with updating their Franchise Agreements to include SB 1383 requirements and we have created new Franchise Agreements for jurisdictions EXHIBIT A City of Diamond Bar Proposal Page | 7 taking the opportunity to fully update the Franchise Agreement language and requirements while ensuring compliance with the new regulations. SVM has also consulted with Cities as they have rolled out the implementation of new services to meet the SB 1383 requirements. Additionally, SVM has advised haulers in Northern California as they have worked to design and implement new SB 1383-compliant programs and services. •SVM is familiar with the Diamond Bar hauler financials and compliance activities through our work as the Auditing consultant for the City. This experience equips us to conduct this process in a timely, effective manner. Given the City’s goals for this project and the established parameters limiting the proposal process to existing haulers, SVM anticipates meeting the objective of establishing new Franchise Agreements within the desired time frame, thus eliminating the need to negotiate extensions. SVM will work to assist the City in achieving compliant, cost- effective, services to minimize the impact on rate payers and streamline the rollout of new programs and services. Approach to Personnel An expert level of experience is required to draft a new Franchise Agreement, manage a competitive proposal process and effectively negotiate with selected hauler(s). SVM will dedicate Principal-level team members to the project. Enrique Vazquez will serve as the primary point of contact and the project lead, and City staff will have direct access to all SVM principals throughout the process. Approach to Working with City Council, City Staff and Stakeholders Throughout the project, SVM will maintain regular communication with City staff. SVM staff will be available to participate in regular meetings with City staff at the frequency preferred by City staff. SVM anticipates first meeting with staff to kick-off the project and to confirm the City’s preferred timeline. During this meeting, SVM will also seek additional information from the City to establish an agreed upon approach to the process. SVM will be available to prepare and present recommended changes to the Franchise Agreement to City Council in a workshop or committee-type setting. SVM will also be prepared to participate in two City Council meetings following the completion of the RFP process to present the results of the competitive proposal evaluations and to present the results of negotiations with the selected hauler. SVM team members will be available to advise the City regarding communication with Stakeholders, and can include requirements for City-approved Franchise Hauler communication with rate payers regarding changes to services, rates and requirements as part of the RFP process. Proposed Scope of Services A proposed Scope of Services is provided as Exhibit A, as required in the proposal submittal requirements (page 3 of this RFP). EXHIBIT A City of Diamond Bar Proposal Page | 8 D.REFERENCE PROJECTS Descriptions of these reference projects are provided in Section B, Relevant Project Experience and as a separate submittal as required in Planet Bids. Client: City of Palm Springs, CA Project: Franchise Agreement Modification and Contract Negotiation Tracy Sheldon, Program Coordinator, Office of Sustainability (760)323.8248 tracy.sheldon@palmspringsca.gov Client: City of Mission Viejo, CA Project: Franchise Agreement Modification, Competitive RFP Process and Contract Negotiation Dennis Wilberg, City Manager (949)470.3045 dwilberg@cityofmissionviejo.org Client: City of Pasadena, CA Project: Annual Municipal Franchise Compliance Audit Mayra Ruuizesparza, Program Coordinator (626) 744.7119 mruizesparza@cityofpasadena.net Client: City of Glendale, CA Project: Annual Hauler Fee and Diversion Compliance Reviews Regina Wheeler, Recycling Coordinator (818) 550.3432 rwheeler@glendaleca.gov Client: City of Dana Point, CA Project: Rate Review for 2018-2019 Project: Compliance Review for 2019 – 2020 Jennifer Anderson, Senior Management Analyst Public Works and Engineering (949) 248.3571 janderson@danapoint.org EXHIBIT A City of Diamond Bar Proposal Page | 9 E.COST PROPOSAL The proposed cost includes the specified meetings and activities described above and assumes that data requested from the haulers will be complete and accurate the first time it is submitted and that it will be received in a timely manner. SVM is offering a reduced fee proposal for Diamond Bar, as shown in the Table below. SVM 2022 Standard Rate Sheet The following table sets forth the standard rates that are charged by SVM for projects that are completed on a time-and-materials basis. Principal……………………………………………………………………………………………………………………………….$275 Sr. Associate………………………………………………………………………………………..……………………………….$225 Associate……………………………………………………………………………………………….……………………………..$175 Clerical/Admin……………………………………………………………………………………….………………………………$65 In lieu of applying the Standard Rate Sheet to the completion of the proposed Scope of SVM offers to provide the City of Diamond Bar a reduced hourly rate of $230 as described in the table below. All work on this project will be conducted by an SVM Principal. Cost Proposal Project Task Hours Hourly Rate Total Task A. Technical Assistance 88 $230 $20,240 Task B. Conduct Exclusive-Competitive Negotiations 60 $230 $13,800 Task C. Competitive Proposal Process 280 $230 $64,400 Task D. Extend Agreements up to 2 Additional Years TBD $230 TBD Total 428 $98,440 SVM does not anticipate that this project will require out-of-pocket expenses other than mileage. As part of this proposal, all mileage associated with the proposed Scope of Work will not be submitted for reimbursement. Any additional expenses (printing, etc.) directed by and pre-approved by the City would be submitted for reimbursement. The Fee Proposal includes participation in two (2) City Council meetings. Additional City Council meeting participation requested by the City would be charged on an hourly basis at $230 per hour. F.PROJECT TIMELINE SVM anticipates completing the project in nine (9) months from commencement, which allows for a three (3)month buffer in case of any delays or scheduling challenges. This timeline also allows for a six (6) months of hauler transition in case of any change in service delivery. During the hauler transition, the hauler(s) will have time for ordering any proposed equipment and conducting outreach and education regarding any new programs and services. The proposed timeline, shown in the table on the following page, can be reviewed during the kick-off meeting with City staff and modified as directed by staff. EXHIBIT A City of Diamond Bar Proposal Page | 10 Draft Project Schedule Task Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 14 Month 15 June 2022 July 2022 Aug 2022 Sept 2022 Oct 2022 Nov 2022 Dec 2022 Jan 2023 Feb 2023 Mar 2023 July 2023 Aug 2023 Kick-off Meeting A1. Review Franchise Agreements A2. Research A3. Develop Recommendations A4. Identify new and existing programs C1. Develop RFP and Draft Franchise Agreement C2. Establish requirements for baseline programs C3. Manage and oversee RFP process C4. Evaluate proposals and make recommendations B1. Assist in negotiations Contractor Implementation of Transition Programs / Outreach & Education Start of new Agreement(s) SVM Tasks Selected Hauler(s) Tasks EXHIBIT A City of Diamond Bar Proposal Page 11 G.LICENSES, PROFESSIONAL CERTIFICATES, MEMBERSHIPS AND INSURANCE SVM will meet the City of Diamond Bar’s insurance requirements, and provide proof of insurance prior to the commencement of this project. An example of our Certificate of Insurance, including contact information, has been uploaded into the Planet Bids system as required in the RFP. EXHIBIT A City of Diamond Bar Proposal Exhibit A Exhibit A: Proposed Scope of Services Task A: Technical Assistance Task A.1 Review Franchise Agreements to Analyze Current and Desired Services Immediately upon notice of award of contract, the SVM team will complete thorough reviews of the City’s Franchise Agreements. Enrique Vazquez will manage the team and Charissa McAfee will coordinate the activities and compile the results. A.Current Franchise Agreement between the City of Diamond Bar and Waste Management and Valley Vista. The current agreement will be analyzed by Enrique Vazquez, Joe Sloan and Charissa McAfee. This team will divide the sections according to areas of expertise. This team will identify City -specific components that must be included in any future agreement, and components that require regulatory updates due to changes in the law. Other opportunities or issues will also be identified. Task A.2: Review and Analysis of Possible New Services for Inclusion in the Documents In addition to potential services currently provided under the existing franchise agreement, the SVM team will analyze the following possible new services: A.Separate Collection of Organics Compliance with CalRecycle regulations, including SB 1383 requirements for and AB 1826 for organic materials collection, is a critical component of the new agreements. Joe Sloan and Enrique Vazquez, both of whom have assisted numerous jurisdictions with organics solutions, will advise the City regarding available approaches for organics, including regional processing options, and provide insight regarding the associated costs and service implications. B.SB 1383 Outreach, Education and Monitoring The requirements for outreach, education, data collection, route reviews and waste composition studies will be incorporated into the new Franchise Agreements. Best practices will be identified and included as options for the City’s consideration. Charissa McAfee and Sue Vaccaro will review the current system and provide information and analysis regarding the systems used in jurisdictions throughout the state. C.Other Programs and Services Charissa McAfee will review the current programs and services, and provide information regarding best practices and successful methods used by similar jurisdictions. These programs and services could be included in the RFP as optional services with separate rates for the City’s consideration. Programs might include promotion of edible food donation programs, sustainable purchasing and other SB 1383 requirements outside of collection and processing services. Other EXHIBIT A City of Diamond Bar Proposal Exhibit A services might include community shredding events, collection of cell phones, batteries and Sharps, clean up of illegal dumping, and a number of other anciliary programs offered in jurisdictions throughout the region and the state. Task A.3: Develop Comprehensive Matrix of Recommended Services Charissa McAfee will compile the findings of A.1 and A.2 and prepare a comprehensive matrix of recommended services for the City’s consideration. Task A.4: New and Existing Program Selection Charissa McAfee will take the recommended services selected by the City and combine them with the existing programs and services the City wishes to continue to develop a complete Scope of Required Services for inclusion in the procurement documents and draft Franchise Agreement. Task B: Negotiations and Assistance in Finalizing Franchise Agreement Task B services are provided following the description of Task C. Task C: Prepare Procurement Documents and Draft Franchise Agreement Under the direction of City staff, the SVM team will prepare the procurement documents. The SVM team will prepare a draft Franchise Agreement to include any new programs and services desired by the City and to address all aspects of hauler compliance with CalRecycle regulations. Task C.1: Analyze and Make Recommendations for Baseline Provisions The SVM team, led by Enrique Vazquez, will analyze and prepare recommendations regarding the following elements: A.Minimum Requirements The SVM team prepare baseline service requirements, along with effective methods to monitor compliance. The recommended approach is as follows: •A standard scope of services and requirements is provided to the two Proposers in order to ensure that the proposed rates can be compared. Proposers have the opportunity to submit proposals for residential and/or commercial services. Alternative proposals with additional options for the City’s consideration will be accepted, but are only accepted in addition to a standard proposal. •SVM will prepare a benchmark proforma, which is our best estimate of what the services should cost. We will use our extensive understanding of local infrastructure, personnel and capital equipment needed to provide the required services, the current costs of equipment, fuel, processing and disposal, and other costs. •SVM uses this benchmark proforma, which is not disclosed to haulers during the process, to evaluate the proposed rates on an annual revenue requirement basis. It is critical to EXHIBIT A City of Diamond Bar Proposal Exhibit A evaluate the total revenue requirement, because when rates are compared without the corresponding anticipated service levels and participation rates, a proposal that may appear to be a good value when comparing a few rates might be hiding sources of revenue to make compensate for the select set of lower rates. •SVM evaluates both the competitiveness and reasonableness of the cost proposals. The competitiveness is the straight-forward ranking of lowest to highest proposed annual rate revenue. The evaluation of the reasonableness of the cost proposals is where the benchmark proforma is used. If the lowest rate revenue is significantly lower than the benchmark proforma projected, it is likely that the hauler is not proposing the appropriate number of routes, amount of equipment or level of staffing. In this case, it would be likely that the hauler would either be unable to perform the services as required or would attempt to obtain an unscheduled rate increase in order to maintain services. •There are other components of the rate structure that are policy decisions. For example, some cities require that commercial organics and recyclables services be offered at a rate that is lower than the comparable level and frequency of solid waste services. The purpose of a discounted organics and recycling program is to encourage commercial participation. SVM can provide information and projections regarding this and other types of pricing methodologies after learning more about the City’s diversion and rate goals. B.Annual Rate Adjustment Methodology Enrique Vazquez will evaluate the method described in the City’s Franchise Agreement and advise whether other alternative methods might be considered, and the advantages and disadvantages of each compared to the current method. This might include a different approach to indices, an alternative weighting or separation of rate components (i.e. service vs. processing and disposal), and opportunities associated with capping, or capping with rollover, annual rate adjustments. C.Franchise Fees Enrique Vazquez will analyze the potential impact of the new agreement on franchise fee revenues and provide options to the City for consideration. Fees such as program administration fees to offset the cost of the new requirements associated with SB 1383 and AB 1826, road maintenance fees to offset the impact of collection vehicles on the City’s roadways, and other potential fees can be presented for the City’s consideration. D.Customer Services Charissa McAfee will evaluate the City’s current Franchise Agreement and advise whether other requirements should be considered in response to reports of missed collection services, spillage on private or public property, billing complaints, new accounts, and extra bag pick up. Additionally, the SVM team will provide information regarding recent industry trends such as requiring the use of local call centers or City-specific prompts on call center answering systems. E.Optional Services The SVM team will review regional trends and best practices to identify if any additional services would add value to the City and presented to City staff for consideration. EXHIBIT A City of Diamond Bar Proposal Exhibit A Task C.2: Manage and Oversee the RFP Process SVM has found that our management of the RFP process provides critical support to City staff. The SVM team is prepared to assist the City in the following ways: •SVM will advertise the RFP to meet the City’s procurement requirements. •SVM recommends conducting a mandatory Proposers’ Conference. This helps to ensure the accuracy and quality of the proposals that are submitted. The SVM team is prepared to conduct the Proposers’ Conference, under the direction of City staff. •Due to the complex and dynamic nature of municipal solid waste services procurements, there are typically a large number of technical questions submitted by the Proposers. SVM is available to manage the process of compiling questions, preparing answers and writing the addenda documents(s) for City approval and distribution through the City’s online bidding system. •In coordination with and under the direction of the City’s procurement professionals, SVM can assist in the process of documenting the submitted proposals. Task C.3: Evaluate Proposals The SVM team will provide City staff assistance with the following: a.Evaluate and Rank Proposals SVM will prepare documents evaluating each proposal for review by City staff, provide answers to specific questions or technical issues, and attend meeting(s) with City staff to discuss the proposals, if needed. b.Prepare Additional Information The SVM team will coordinate with City staff, as necessary, to request any additional information from the proposers as needed to effectively evaluate the proposals. c.Prepare Technical Analyses The SVM team will compile technical analyses to verify that the Proposer can comply with the performance specifications and criteria during the contract term. Other criteria will include, at a minimum, evaluation of proposed equipment and equipment maintenance program; operation capabilities; transition plan and experience; customer service plan and systems; implementation timeline and capabilities; safety record and programs; hauler’s SB 1383 compliance plan; and an overall evaluation of the viability of any new services that are proposed. d.Evaluate Service Alternatives and Costs The SVM team will evaluate service alternatives for viability, analyze proposed pricing for reasonableness and competitiveness, and provide recommendations to City staff regarding whether proposed service alternatives offer value and benefits to the City. EXHIBIT A City of Diamond Bar Proposal Exhibit A Task C.4: Complete Evaluation of Proposals The SVM team, as directed by City staff, finalize the evaluation of proposals by including any additional information requested by City, compiling scoring sheets and compiling the scoring results. The SVM team will prepare a summary of the proposal process, proposals received, the evaluation process, and the ranking of the proposals. Task B: Negotiations and Assistance in Finalizing Franchise Agreement The SVM team will provide the following assistance: A.Support during Negotiations The SVM team will prepare a list of any outstanding services or costs issues that require negotiation with the top-ranked Proposer to clarify proposals, complete the final agreement and ensure that the fees and rates are appropriate for the services that will be provided. Typically, SVM principals are active participants throughout the negotiation process, providing assistance and expertise either during negotiation sessions, or through direct consultation with City staff. B.Prepare Final Agreement The SVM team will prepare the service agreement based on negotiations conducted, proposed fees and rates, final work plans and exhibits. C.Attend City Council Meetings The SVM team will assist staff by preparing documents for presentation to the City Council summarizing the negotiations and the recommendation to execute service agreements with the Service Provider selected. The SVM Project Manager and appropriate team members will attend two Council meetings: 1) to present the results of the RFP process; and 2) to present the results of the negotiation process. EXHIBIT A City of Diamond Bar Proposal Exhibit A Scope of Services Summary and Estimated Hours Task Description Estimated Hours A Technical Assistance A.1 Review Franchise Agreements to Analyze Current and Desired Services 24.00 A.2 Review and Analysis of Possible New Services for Inclusion in the Documents 24.00 A.3 Develop Comprehensive Matrix of Recommended Services 24.00 A.4 New and Existing Program Selection 16.00 B Negotiations and Assistance in Finalizing Franchise Agreement B.1 Assist in Negotiations 60.00 C Prepare Procurement Documents and Draft Franchise Agreement C.1 Develop the RFP and draft FA for the Solid Waste Collection Services 140.00 C.2 Establish requirements for a baseline program based on achieving compliance with state mandates and maintaining existing and new specified service levels. 20.00 C.3 Manage and oversee the RFP process, including advertisement 60.00 C.4 Evaluate Proposals & Make Recommendations 60.00 TOTAL 428.00 EXHIBIT A City of Diamond Bar Proposal Exhibit B Exhibit B: Professional Resumes EXHIBIT A JOE SLOAN – PRINCIPAL THE FOUNDER OF SLOAN VAZQUEZ MCAFEE (SVM), JOE SLOAN HAS 30 YEARS OF PROFESSIONAL EXPERIENCE IN THE ENVIRONMENTAL FIELD WORKING FOR THE PRIVATE AND PUBLIC SECTORS. JOE SPECIALIZES IN MANAGEMENT OF SOLID WASTE SYSTEM PLANNING, PROCUREMENT AND OPERATIONAL ASSESSMENTS; ECONOMIC FEASIBILITY AND RATE STUDIES; MUNICIPAL SOLID WASTE PROGRAM PROCUREMENT, STRATEGIC PLANNING AND INFRASTRUCTURE ANALYSIS; MATERIAL RESOURCE FACILITY SYSTEM EVALUATION; MATERIAL RESOURCE FACILITY PROJECT DEVELOPMENT, COMMISSIONING AND PERFORMANCE TESTING; AND, SOLID WASTE AND RECYCLING COMPOSITION STUDIES. JOE IS AN EXPERT IN CONCEPTUAL FACILITY DESIGN AND EQUIPMENT SELECTION FOR MATERIAL RECOVERY FACILITIES (MRF’S) AND TRANSFER STATIONS. HE HAS MANAGED ZONING, BUILDING AND SOLID WASTE PERMITTING, CONSTRUCTION AND START-UP OPERATION AND FACILITIES. JOE HAS ADVISED GOVERNMENTAL AGENCIES AND MUNICIPALITIES AND OVERSEEN THE COMPLETION OF NUMEROUS RECYCLING AND SOLID WASTE PROCESSING SYSTEMS FROM DESIGN AND EQUIPMENT PROCUREMENT TO COMMISSIONING AND PERFORMANCE TESTING. EDUCATION BACHELOR OF SCIENCE IN POLITICAL SCIENCE, WYOMING UNIVERSITY A FFILIATIONS SOUTHERN CALIFORNIA WASTE MANAGEMENT FORUM SOUTHERN CALIFORNIA CONFERENCE ON ENVIRONMENT AND DEVELOPMENT GREATER LOS ANGELES SOLID WASTE MANAGEMENT ASSOCIATION NATIONAL TASK FORCE ON PROGRESSIVE ENVIRONMENTALISM CALIFORNIA POLYTECHNIC UNIVERSITY - LECTURER, WASTE MANAGEMENT CERTIFICATION UNIVERSITY OF SOUTHERN CALIFORNIA – LECTURER, ENVIRONMENTAL ENGINEERING GRADUATE PROGRAM EXHIBIT A ENRIQUE VAZQUEZ – PRINCIPAL ENRIQUE VAZQUEZ HAS OVER 30 YEARS OF EXPERIENCE IN THE MANAGEMENT AND OPERATIONS OF MUNICIPAL SOLID WASTE COLLECTION AND HAS A THOROUGH UNDERSTANDING OF ALL ASPECTS RELATED TO THEIR MANAGEMENT, INCLUDING KNOWLEDGE OF COST-OF-SERVICE ANALYSIS AND RATE SETTING, AS WELL AS ADMINISTRATION CONCEPTS AND PROCEDURES. ENRIQUE IS AN EXPERT ON THE ECONOMICS RELATED TO SOLID WASTE PROGRAMS AND SPECIALIZES IN FINANCIAL MODELING AND REVIEW. HE HAS PROVEN EXPERIENCE IN EXECUTIVE DECISION-MAKING, POLICY DIRECTION, STRATEGIC BUSINESS PLANNING, FINANCIAL MANAGEMENT AND LABOR RELATIONS. HE IS A STRATEGIST EXPERIENCED IN DEVELOPING, PRESENTING, AND GUIDING PROJECTS THROUGH TO CLOSURE. ENRIQUE HAS EVALUATED THE CAPITAL AND OEM COSTS FOR PROJECTS AROUND THE COUNTRY TO HE HAS DEVELOPED A PROPRIETARY BENCHMARKING TOOL THAT PRODUCES HIGH- PRECISION COST PROJECTIONS FOR THE DEVELOPMENT OF RFPS AND THE EVALUATION OF PRICE PROPOSALS. EDUCATION BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION, UNIVERSITY OF SOUTHERN CALIFORNIA EXPERTISE FINANCIAL MODELING AND ANALYSIS COST OF SERVICE AND RATE ANALYSIS RATE ADJUSTMENT REVIEW AND ASSESSMENT EFFICIENCY STUDIES AND ANALYSIS SOLID WASTE FACILITY DEVELOPMENT AND OPERATIONS PROCESSING EQUIPMENT SELECTION AND PROCUREMENT FLEET MAINTENANCE OPERATIONS AND MANAGEMENT EVALUATION EXHIBIT A CHARISSA MCAFEE – PRINCIPAL CHARISSA MCAFEE HAS OVER 20 YEARS OF PROJECT MANAGEMENT EXPERIENCE, INCLUDING 14 YEARS OF EXPERIENCE IN THE MUNICIPAL SOLID WASTE SECTOR. SHE BRINGS HER EXPERIENCE IN OVERSEEING SOLID WASTE CONTRACT MANAGEMENT, DIVERSION PROGRAM DESIGN AND DELIVERY, AND PROGRAMMATIC AND LEGISLATIVE ANALYSIS TO THE FIRM. SHE HAS CONDUCTED NUMEROUS REGIONAL SOLID WASTE ASSESSMENTS, EVALUATING EXISTING AND AVAILABLE INFRASTRUCTURE, PROGRAMS, SERVICES, DIVERSION RESULTS AND FEES. CHARISSA OFFERS EXTENSIVE EXPERIENCE IN CONDUCTING MRF FEASIBILITY STUDIES, PREPARING WASTE COMPOSITION REPORTS, AND PROVIDING COMPREHENSIVE CONTRACT ANALYSIS, INCLUDING THE REVIEW OF INDIVIDUAL CONTRACTS TO IDENTIFY OPPORTUNITIES FOR MODERNIZATION AND OPTIMIZATION. SHE HAS PREPARED NUMEROUS REPORTS COMPARING REGIONAL SERVICE AGREEMENTS TO IDENTIFY BEST PRACTICES, ENSURE OPTIMAL VALUE AND PROVIDE THE ANALYSIS DECISION MAKERS SEEK AS THEY CONSIDER THE COSTS AND BENEFITS OF ENHANCED PROGRAMS AND SERVICES. CHARISSA BRINGS A KEEN UNDERSTANDING OF THE TYPE OF DATA AND COMPARATIVE INFORMATION REQUIRED IN ORDER TO MAKE DECISIONS IN THE BEST INTEREST OF STAKEHOLDERS AND TO PROVIDE RATIONALE TO STAKEHOLDERS REGARDING NEXT STEPS. EDUCATION BACHELOR OF ARTS IN SOCIOLOGY, COVENANT COLLEGE MASTERS IN BUSINESS ADMINISTRATION, CALIFORNIA STATE UNIVERSITY SAN MARCOS EXPERTISE FEASIBILITY STUDY MANAGEMENT COMPETITIVE PROCUREMENT MANAGEMENT SOLE-SOURCE NEGOTIATION MANAGEMENT SCOPE OF SERVICES DEVELOPMENT CONTRACT ANALYSIS LEGISLATIVE PROGRAM REVIEW TECHNICAL REPORT PREPARATION EXHIBIT A