Detroit Water and Sewerage Department
File #: 21-0585    Version: 1 Name:
Type: Contract Amendment Status: Unfinished Business
In control: Financial Services
On agenda: 9/15/2021 Final action: 9/15/2021
Title: The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 2 to DWSD Contract 6001970 with Waste Management of Michigan, Inc., for non-Hazardous solid waste & garbage removal services. This amendment adds $45,000 in funds for a total amended contract not-to-exceed amount of $145,000 and extends the term through 9/30/22. Pricing is based on MiDeal Cooperative Contract #071B7700169. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Indexes: Board of Water Commissioners, Finance Committee

Title

The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 2 to DWSD Contract 6001970 with Waste Management of Michigan, Inc., for non-Hazardous solid waste & garbage removal services. This amendment adds $45,000 in funds for a total amended contract not-to-exceed amount of $145,000 and extends the term through 9/30/22.  Pricing is based on MiDeal Cooperative Contract #071B7700169. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.

 

Body

Agenda of September 15, 2021

Item No.:  21-0585

Proposed Amendment No. 2

Contract No. 6001970

Contractor: Waste Management of Michigan, Inc.

Address: 12001 Mack Ave, Detroit, Michigan, 48215

Current Contract Amount: $100,000

Proposed Amendment No. 2 Amount: $45,000

Proposed New Total Contract Amount: $145,000

Current Contract Term: 03/08/2019 - 03/09/2022

Proposed New Contract Term: 03/08/2019 - 09/30/2022

MiDeal Cooperative Contract: 071B7700169

 

TO:                                          The Honorable

                                          Board of Water Commissioners

                                          City of Detroit, Michigan

 

FROM:                     Gary Brown, Director

                                          Water and Sewerage Department

 

RE:                                          Proposed Amendment 2 to DWSD Contract 6001970

Non-Hazardous Solid Waste& Garbage Removal Services

Waste Management of Michigan, Inc.

 

MOTION

 

Upon recommendation of Mamata Burgi, Operations Resource Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 2 to DWSD Contract 6001970 with Waste Management of Michigan, Inc., for non-Hazardous solid waste & garbage removal services. This amendment adds $45,000 in funds for a total amended contract not-to-exceed amount of $145,000 and extends the term through 9/30/22.   Pricing is based on MiDeal Cooperative Contract #071B7700169. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.

 

 

BACKGROUND / JUSTIFICATION

 

The Facilities Department ensures the health and welfare of our employees by providing safe, timely and compliant removal of waste materials. This helps the organization maintain safe work practices while reducing the harmful effects of solid waste such as infestations, fire hazards and noxious fumes.

 

The DWSD Facilities Department began utilizing MiDeal Cooperative Contract #071B7700169 with Waste Management on 3/8/19, to provide non-hazardous solid waste, rubbish & garbage removal services for all five DWSD locations and this contract currently was set to expire on 3/9/22.

 

The State of Michigan MiDeal Cooperative Program extended the term of their Contract # 071B7700169 for an additional 7 months, through 9/30/22.  Therefore, DWSD is requesting approval to utilize the contract through 9/30/22 and additional funds to cover the extended period.

 

PROCUREMENT METHOD

 

The DWSD Procurement Policy allows for participation in competitively solicited cooperative purchasing agreements as long as Prior to utilizing a cooperative contract, the DWSD Procurement Policy requires Detroit Based Businesses (DBB) and Detroit Resident Businesses (DRB) be provided an exclusive opportunity to submit a bid that is equal to or less than the price of the cooperative purchase agreement, provided the DBB or DRB will meet or exceed all terms and conditions of the cooperative agreement. To ensure compliance, DWSD Procurement issued an Invitation to Respond (ITR) on the MITN website on February 25, 2019 and required an intent to respond due on March 1, 2019 and the timeline included a final close date for qualified responses of March 8, 2019. The ITR was viewed by 17 companies and yielded zero responses.

 

Amendment 1 to add $37,000 for a new NTE of $100,000 was approved by the DWSD Director, on 1/14/21.

 

DWSD’s Facilities Department submitted requisition #489639 for Amendment No. 2 which was approved on 7/12/21. This contract utilizes the State of Michigan MiDeal Cooperative Contract #071B7700169.

 

Proposed Amendment No. 2 will add $45,000 for a new NTE of $145,000.

 

Waste Management of Michigan Inc. clearances expire 11/20/21 and a formal contract amendment document is not required. Waste Management of Michigan Inc. is not DBB or DRB certified.

 

SUMMARY

 

A.                      Contract No.:                                                                                                          6001970

B.                     Initial Contract Term:                                                                                    03/08/19 - 03/09/22

C.                     Proposed Amendment 2 Extension:                                          03/09/22 - 09/30/22 (7-month extension)

D.                     Original Contract Amount:                                                               $63,000

E.                      Amendment No. 1 Amount:                                                                $37,000

F.                      Proposed Amendment No. 2 Amount:                                           $45,000

G.                      Proposed New Total Contract Amount:                                           $145,000

H.                      Funding Source:                                                                                     O&M Funds

I.                     GL String:

5720-20167-482421-617900-000209-10731-0000-000000 - 30% (Water)

5820-20178-492421-617900-000230-15956-0000-000000 - 70% (Sewer)

 

These proposed contracts were presented to the BOWC Finance Committee on September 1, 2021.  Per DWSD procurement protocol, no other approvals are needed.