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Rancho Cordova Independent

Republic and Atlas Waste Bids Returned for More Details

Dec 27, 2023 12:38PM ● By Sharon Pearce

RANCHO CORDOVA, CA (MPG) - The December 4, 2023, Rancho Cordova City Council meeting saw it stymied after Staff under direction of Steve Harriman, Public Works Director, made a graphics presentation, then public comments were heard, followed by deliberation over which of the two highest bidders to award the residential solid waste collection and street sweeping contract to for the term beginning January 1, 2025, through December 31, 2034.

The Council split its votes at two for Atlas Disposal Industries LLC (Atlas) and two for Republic Services (Republic) with one council member recusing himself due to a possible perception of a conflict of a link between a member of his family’s employer and one of the bidding companies.

The bids and the report were sent back to city staff and the two highest bidders were asked for more definition in their bids, so that the Council could make a decision at a future meeting. “City staff will bring this item back to the Council with additional information in the February timeframe for Council consideration and additional public discussion,” announced Maria Kniestedt, City of Rancho Cordova Communications Director, on December 20th.

Atlas Industries had barely edged out long-time Rancho-Cordova waste collector Republic Services on points, accruing 87.37 to Republic’s 80.63 but it turned out that some of the numerical data received from Republic was incorrect and was reposted but not carried over to the report to the Council, which adjustment brought a rating for Republic to at-or-better than Atlas’. But Atlas’s bid came in at approximately $1 Million less than Republic’s. Many public comments were made in support of both of the bidders.

The four sections measured were General Qualifications, 19.85 points for Atlas to 21.84 for Republic; Technical Approach, 21.75 for Atlas to 19.65 for Republic; Sustainability, 20.76 for Atlas to 14.38 for Republic, and Total Payments to Company. 25 for Atlas to 24.76 for Republic. Council reportedly was basing its choice on the best combination of services, company qualifications and price. Council considered the evaluations to be very close, discussion on which can be heard online at https://ranchocordovaca.portal.civicclerk.com/event/2391/media.

It was made clear that Republic, as well as Atlas, a newer company, which has no previous experience in residential pickup, were both developing innovative solutions to broader requirements for waste collection and disposal. This includes the need for investment in electric vehicles, organic food recycling and increasing utilization of side loaders for residential pickup.

Supporters of Republic indicated it is a local employer with long-time employees who have provided solid service. A contract loss with the city may have serious impact on some employees. Greg Koontz, a 31-year employee of Republic, indicated the impact on some 130 employees is huge, saying “These should outweigh the negatives on the surveys.” Councilmember Garrett Gatewood referenced this in his summation. Atlas indicated it was willing to hire Republic’s drivers, which would amount to about 14, for their same routes should it ultimately receive the contract.

A number of speakers simply voiced “If it isn’t broke, don’t fix it;” or “Why change?” But as the current contract with Republic ends December 31, 2024, the city needed to initiate the bidding process for the new contract beginning in 2025. Two other bidders were Green Way Recovery, and USA Waste of California.

After discussion with City Attorney, Adam U. Lindgren, and Micah Runner, City Manager, it was approved “to request from the two highest bidders a revision to allow for additional material, and (for them) to resubmit on rate sheet and pros and cons, and provide responses and potential improvements to their bids by a date certain well in advance of the date it would be brought back to council, and that there would be no embellishments thereafter.” The bidders affirmed they would work with Staff on this.