Okaloosa County BOCC — March 4, 2014 — Agenda

BOARD OF COUNTY COMMISSIONERS AGENDA REQUEST DATE: June 18, 2013 TO: Honorable Chairman and Members of the Board FROM: John Hofstad SUBJECT: Yard Trash Grinding Operations DEPARTMENT: Public Works BCC DISTRICT: All STATEMENT OF ISSUE: New pricing information for contract grinding at the County's two yard waste facilities suggests re-evaluating the decision to contract grind versus purchasing a replacement grinder. BACKGROUND: A chronology of events and an analysis of the data is attached. In short, based on recent pricing provided for emergency grinding it appears more advantageous to the County's grinding operations to consider replacing the old grinder that was sent to auction (approved by the Board on March 5, 2013). Based on current pricing for contract grinding, we would expend the cost of a new grinder in less than three years. The advantages of the grinding operation are expressed in the attachment mentioned above. Contingent upon Board approval, staff proposes to develop a Request for Proposals (RFP) for the replacement of the in-line grinder which was recently retired and sent to auction. The proposed RFP will be crafted in much the same fashion as the one submitted earlier this year for road graders. In addition to soliciting vendors for a straight purchase, the RFP will also include an option to lease the same piece of equipment for a 36-month lease term. Staff will coordinate the development of a RFP with the Purchasing Department, while also exploring the purchase of a suitable "used/rebuilt" grinder of similar specification. If the Board approves the action outlined above, staff will seek subsequent approval from the Board in the future depending upon on the preferred procurement method: lease, new purchase, or used purchase. Regardless of the procurement method, the use of Solid Waste Fund reserves will be required and reserves are sufficient to cover the expenditure. OPTIONS: Continue contract grinding or purchase a new grinder. RECOMMENDATIONS: Request Board authorization for staff to prepare a Request for Proposals to secure either a lease option, new equipment purchase, or used equipment purchase for an in-line yard debris grinder for use at the County's Wright Yard Waste facility. RECOMMENDED BY: 31) Jo3mn I-I fstad, Director 6/11/2013 ountyAdn inistrator 6/12/2013 APPROVED BY: Ernie Padgett, County Administrator  YARD TRASH OPERATIONS Chronology of events: • Dec '12 - Initial estimate given by Warrior Tractor to repair Morbark 7600 in-line grinder (2001 model) at $32,000. Guidance provided for FY 2014 budget considerations was to contract out grinding services versus buying new grinder (close to $1 million) • Feb '13 - Warrior Tractor picked up grinder for estimate and repairs • Feb '13 - Estimate had grown to $60,000 with the possibility of more repairs needed • Mar '13 - Board approved sending grinder to auction grinder and use proceeds to prepare grinding site for contract grinding, repair existing Morbark 1300 Tub Grinder (1996 model) in- house (estimate $30,000), and apply towards contract grinding • Apr '13 - Began preparation of bid specs for contract grinding • Initial research indicated that contract grinding could be done for $10/ton which is equivalent to our in-house cost to do the same • Began stockpiling material as Tub Grinder went down for Repairs • Early May '13 - Issued emergency P0 for contract grinding as stockpile had exceeded existing site capacity • Early May '13 - Decision made to send out grinder for repairs as it exceeded Fleet's capabilities. Grinder picked up by Warrior Tractor in Montgomery • May '13 - P0 issued to Young's Contracting (only bidder) out of Niceville at a rate of $15.77 per ton • May '13 - Warrior Tractor has responded with a verbal estimate of $80,000 to perform repairs based on a list given them by our department and other items that they have found since receiving the machine Analysis: 1. If Young's pricing is an indication of what we can expect to pay for a one year contract to grind then based on existing tonnages we are looking at in excess of $250,000 to contract grind yard trash at Wright Landfill 2. A new grinder (Morbark 6600) can be purchase off of a government contract for $684,000 3. In less than three years of contract grinding we would pay the equivalent of a new grinder 4. Benefit of maintaining a yard waste operation by the County is: We receive recycling credits (currently 17,000 tons annually) through FDEP toward the State mandated goal of 75% by 2020 We derive revenue for the solid waste fund of $40.70 per ton (approx $691,900 annually) We avoid the cost of fill material for use in compliance issues, erosion control, contour development, etc at a price of $10 per cubic yard delivered (estimated value = 17,000 CV x 5 cy/ton x $10 = $850,000) Issue: Do we contract grind or purchase a new grinder? Regular Meeting (South) Minutes June 18, 2013 a. Request authorization to award a contract for inmate health care services to Corizon Health Inc. District: All. RESULT: ADOPTED [UNANIMOUS] MOVER: Dave Parisot, Commissioner District 2 SECONDER: Nathan Boyles, Commissioner, District 3 AYES: Amunds, Boyles, Harris, Parisot, Windes 3. Richard Brannon/Purchasing a. Request approval of the ranking of Restore Act Consulting Firms submitted by the review committee, and authorize staff to negotiate fees with the top ranked firm. District: All. RESULT: ADOPTED [UNANIMOUS] MOVER: Dave Parisot, Commissioner District 2 SECONDER: Wayne Harris, Commissioner District 1 AYES: Amunds, Boyles, Harris, Parisot, Windes Elliot KampertlGrowth Management a. Request appointment of an Alternate Representative to the Northwest Florida Military Sustainability Partnership. District: All RESULT: ADOPTED [UNANIMOUS] MOVER: Wayne Harris, Commissioner District 1 SECONDER: Dave Parisot, Commissioner District 2 AYES: Amunds, Boyles, Harris, Parisot, Windes Commissioner Windes Alternate b. Request approval of Amendment No. 5, State of Florida Commission for Transportation Disadvantaged (CTD) Medicaid Non-Emergency Transportation Agreement BDN10, and approve Task Order No. 28 Amendment 5, Reimbursement of Operating Costs to Okaloosa County Transit. District: All. RESULT: ADOPTED [UNANIMOUS] MOVER: Kelly Windes, Commissioner District 5 SECONDER: Dave Parisot, Commissioner District 2 AYES: Amunds, Boyles, Harris, Parisot, Windes 5 John Hofstad/Public Works Okaloosa County Board of Commissioners Page 4 Printed 612012013 Regular Meeting (South) Minutes June 18, 2013 a. Request approval and acceptance of a variance condition from Northgate Development Company related to roadway improvements along Martin Luther King Jr. Blvd. District: 4. RESULT: ADOPTED [UNANIMOUS] MOVER: Wayne Harris, Commissioner District 1 SECONDER: Kelly Windes, Commissioner District 5 AYES: Amunds, Boyles, Harris, Parisot, Windes b. Request staff direction concerning yard waste grinding capabilities at Wright Yard Debris Facility. District: All. RESULT: ADOPTED [UNANIMOUS] MOVER: Kelly Windes, Commissioner District 5 SECONDER: Dave Parisot, Commissioner District 2 AYES: Amunds, Boyles, Harris, Parisot, Windes c. Request approval of the Bluewater Bay MSBU 2014 Tax Roll Assessment and authorization for the Chairman to execute the related Resolution, and request approval of the proposed FY 2014 Budget for the same. District: 5 RESULT: ADOPTED [UNANIMOUS] MOVER: Kelly Windes, Commissioner District 5 SECONDER: Dave Parisot, Commissioner District 2 AYES: Amunds, Boyles, Harris, Parisot, Windes VI. Old Business 1. Request consideration of nominees for RESTORE Act Committee from "Environmental" and "Tourism" categories as well as citizens "at large". District: All. 3 Motions for selection: Tourism Representative Martin Owen: Motion Dave Parisot; second Nathan Boyles, approved Environmental Steve Shippee: Motion by Dave Parisot; second Wayne Harris; approved. 2 Citizens at Large: Jonathan Tallman: Nathan Boyles motion; second Wayne Harris James Breitenfeld: Kelly Windes motion; second Dave Parisot; approved. VII. New Business 1. Request consideration of appointments to the Value Adjustment Board. District: All. Okaloosa County Board of Commissioners Page 5 Printed 612012013