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HomeMy WebLinkAboutRecology1 1 9 8 SUBJECT/TITLE:Contract with Recology King County for Garbage, Recyclables, and Compostables Service RECOMMENDED ACTION: Refer to Utilities Committee DEPARTMENT: Public Works STAFF CONTACT: Meara Heubach, Solid Waste Program Manager EXT.: 7389 This contract will be funded by customer solid waste rates. The projected overall increase in customer rates for enhanced services under a new contract with Recology King County is estimated at 15%, which is 11 percentage points greater than projected customer rates under a contract extension with Republic Services. See rate details in the attached issue paper. The City of Renton’s ten-year waste collection contract with Republic Services expires on March 31, 2027. In June 2025, the city issued a request-for-proposals (RFP) to procure a new ten-year solid waste services contract through a competitive process. In response to the RFP, the city received five responsive proposals from potential service providers. Upon conclusion of the proposal evaluation process, city staff selected Recology King County (“Recology”) as the preferred service provider. Staff negotiated with Recology over ten meetings and have finalized a contract. Should the city council 1. Approve the proposed final contract for enhanced garbage, recyclables, and compostables services with Recology and authorize the Mayor to execute the final contract (as recommended by staff)? 2. Extend the current contract with Republic Services by exercising one of the contract’s extensions (not to exceed two years)? 3. Reject all proposals and instruct staff to issue a new RFP? The contract with Recology would provide residential and commercial garbage, recyclables, and compostables collection as well as processing and marketing of collected recyclables and compostables. Recology would start providing waste collection services on April 1, 2027, the day after collection services with Republic Services would end. Recology would provide waste services through March 31, 2027, unless the city extended the contract up to two additional years. Recology would be compensated at the rates set in the contract, which would be adjusted annually based on a consumer price index. The contractor’s total revenue over the 10-year term of the contract is projected to be $241,000,000. Recology was selected following a comprehensive and competitive procurement process. Recology is a West Coast-based waste services provider that provides collection services to over 160,000 residential and 15,000 commercial customers in King County. City Council Regular Meeting FISCAL IMPACT SUMMARY SUMMARY OF ACTION 2 1 9 8 The attached issue paper provides more details about how and why this contract was procured, which services the contract offers, and how the contract would impact customer solid waste rates. Authorize the mayor and city clerk to execute the agreement with Recology King County for the projected amount of $241,000,000 for garbage, recyclables, and compostables services from April 1, 2027, through March 31, 2037. STAFF RECOMMENDATION DATE:February 23, 2026 TO:Ruth Pérez, City Council President Members of the Renton City Council CC:Armondo Pavone, Mayor Ed VanValey, Chief Administrative Officer FROM:Martin Pastucha, Public Works Administrator STAFF CONTACT:Meara Heubach, Solid Waste Program Manager SUBJECT:Approval of Next Garbage, Recyclables, and Compostables Service Contract ISSUE The City of Renton’s ten-year solid waste services contract with Republic Services expires on March 31, 2027. In June 2025, the city issued a request-for-proposals (RFP) to procure a new ten-year solid waste services contract through a competitive process. In response to the RFP, the city received five responsive proposals from potential service providers. Upon conclusion of the proposal evaluation process, city staff selected Recology King County (“Recology”) as the preferred service provider. Staff negotiated with Recology over ten meetings and have finalized a contract that would provide waste services starting on April 1, 2027. Should the city council 1. Approve the proposed final contract for enhanced garbage, recyclables, and compostables service with Recology and authorize the mayor to execute the final contract (as recommended by staff)? 2. Extend the current contract with Republic Services by exercising one of the contract’s extensions (not to exceed two years)? 3. Reject all proposals and instruct staff to issue a new RFP? Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 2 of 16 RECOMMENDATION Staff recommend that Renton City Council approves the garbage, recyclables, and compostables service contract with Recology and authorizes the Mayor to execute the contract. BACKGROUND Upon the conclusion of a competitive RFP contract procurement process in 2016, the city awarded a ten-year comprehensive garbage, recyclables, and compostables services contract to Republic Services. The contract with Republic Services expires on March 31, 2027. The city, at its sole option, may extend the contract twice in increments of up to two years each. City staff and leadership elected to forego extending the contract with Republic Services and proceed with a competitive RFP process due to several factors: The city’s requirement to comply with an unfunded state mandate requiring the standardization of waste cart colors across the state and the separation of food waste from garbage for all commercial customers. An opportunity to procure and offer new state-of-the-art and innovative services to Renton’s residents and businesses coupled with long-term rate affordability, value, and service reliability. An opportunity to integrate new contractual provisions and services to support and implement the goals and strategies in the city’s draft Zero Waste Plan. Republic Services’ failure to substantially meet the city’s contract performance expectations, fully comply with the terms and conditions of its contract, and fulfill commitments made to the city. Performance has been particularly poor in the following areas, as the city’s Solid Waste Program Manager presented to the City Council Committee of the Whole on January 26, 2026: Education and Outreach o Republic Services is required to visit or support 100% of multifamily sites per year and 100% of commercial sites every two years. Republic Services has provided less than 5% of the required multifamily support and less than 8% of the required commercial support. o Republic Services has failed to provide timely and accurate basic education, such as annual residential guidelines. For the past three years, these guidelines have been late, had inaccurate key information, or been sent to the wrong customers. Community Involvement o Republic Services has not fulfilled its commitment to partner with community organizations via cash and in-kind contributions and to work alongside volunteers in Renton. In the first three years of the contract, Republic Services made efforts to follow through on this commitment by sponsoring and providing outreach at four to seven community events per Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 3 of 16 year. However, they have shown almost no such support in the last five years. Communication and Responsiveness to the City o Republic Services has been slow to deliver upon many simple and complicated requests from the city. For instance, when city staff requested Republic Services update incorrect information on their website about the cost of special item recycling, it took six requests from staff and four months for Republic Services to update their website. In another instance, city staff requested (in November 2024) that Republic Services review and approve updates to their inclement weather plan for waste collection. Over a year later, and with seven additional requests from the city, Republic Services approved the 2025 updates to the plan in February 2026. Strike Response and Recovery o The city’s residents and businesses have experienced three driver strikes during the contract. During this period, no other local waste collection providers had any strikes. o During the most recent 12-day strike in July 2025, Renton received disproportionately lower service compared to other cities served by Republic Services. Renton received the fewest waste-collection events of cities of similar size; Renton was the last city to receive customer credits; and the city only recently received a partial payment of $180,000 for the $270,000 in strike-related performance fees that the city assessed to Republic Services. RFP PROCESS Community Survey Summary In advance of releasing the RFP, city staff conducted an online, 17-question community survey of single-family residents about their service preferences for the city’s next waste services contract. The city released the survey in April using the Your Voice Renton platform and received 244 responses. Key responses included residents’ desire for reliable service and affordable rates; general satisfaction with the relative affordability of every-other-week garbage and recycling collection; majority support of EV collection vehicles; significant support of education and cart tagging tactics to reduce recycling contamination; strong support for continuing to offer the Clean Sweep program and the collection of unlimited quantities of recyclables and yard waste; and a general interest in potential new no-cost curbside collection services such as small electronics, expanded polystyrene (Styrofoam™), and textiles. Industry Review Process Once the draft RFP and contract were complete, prospective proposers were given the opportunity to participate in an industry review process. This inclusive process is unique to solid waste contract procurements and offers service providers in the solid waste industry the opportunity to ask questions about, submit comments on, and request changes to the pre-release drafts of the RFP and waste services contract. In response, a city may clarify, revise, add to, or delete contract terms and provisions in advance of the official release of the RFP to ensure the final RFP documents are clear, fair, and Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 4 of 16 attractive to all potential service providers. The city released the draft RFP and contract in May 2025 and received 69 comments from prospective providers. When the RFP was officially released in June 2025, the city included responses to all 69 comments and incorporated feedback from some of the comments into the draft contract. RFP Priorities The following priorities were stated in the final RFP. They were strictly observed and woven into all elements of the contract procurement process: 1. Maintain robust and reliable services 2. Minimize customer rate increases 3. Provide convenient customer interactions 4. Support strategies in the city’s draft Zero Waste Plan 5. Foster a strong city and contractor partnership 6. Conduct a fair, open, transparent, and competitive RFP process RFP Response The full RFP was released on June 18, 2025. Potential proposers were offered two additional opportunities (in July and August) to submit written comments and questions before the due date for submitting proposals. The city received and submitted written responses to 182 questions and comments during that time. The proposal due date was September 4, 2025. On this date, the city received five responsive proposals from the following service providers: FCC Environmental Services Recology King County Republic Services Sound Sustainable WM (Waste Management) PROPOSAL EVALUATION PROCESS As stated in the RFP, proposals were scored on a 100-point system, with up to 45 points for qualitative elements and up to 55 points for the rate proposals. Proposal Evaluation Team The team charged with evaluating and scoring the qualitative elements of the proposals consisted of four city staff from Public Works and Finance. All evaluation team members signed an evaluation committee member statement in which members attested to having no conflicts of interest and committed to objectivity, confidentiality, and diligence to ensure the integrity of the evaluation process. The staff evaluation team was supported by consultant Hans Van Dusen, who provided contract preparation services, advisory support, and a review of wholesale base rate proposals. Another consultant, Sound Resource Management Group, provided preliminary retail rate analyses as well as contract review. The combined local, county, and state government work experience of the six-member team is 99 years, with 139 years of work experience in the solid waste industry, from providing on-the-street operational support to procuring and managing contracts. Qualitative Evaluations (45 points) Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 5 of 16 Proposers could receive up to 45 points for the following elements of their proposals: 20 points for proposed and prior operational and environmental performance; 15 points for proposed and prior customer support and diversion approach; and 10 points for pricing, experience, and innovation of proposed alternatives and variations. Activities of the evaluation team included the following: Individual review and scoring of each proposal. 11 site visits to proposers’ operations centers, recycling processing facilities, and compost processers as well as 1 virtual site visit to one proposer’s operations facility. In-person interviews of all proposer teams. Reference checks with 13 jurisdictions or companies served by the proposers. The rating criteria used by the evaluation team included the following: Operations (base of operations, fleet management, environmental aspects, containers, route management, and missed pick up response). Recycling and Composting Operations (contamination reduction work, recycling and composting facilities, and commodity markets). Local Management and Experience (operational experience, staff qualifications, prior litigation, proposed subcontractors, and support of own staff). Customer and Billing Support (customer support options, call center staffing and performance, billing support, transition operations, and customer outreach). Recycling and Composting Support (special item recycling, recycling diversion performance, outreach staffing, and strategies to support the city’s draft Zero Waste Plan). * It is important to note that evaluation team members were not allowed to view rate proposals before or during their qualitative review process to avoid introducing bias into the qualitative scoring. Rate Proposal Evaluations (55 points) Service providers submitted their proposed wholesale contractor rates in a standardized format. Rate proposals included rates for providing all base collection services identified in the contract as well as pricing on three alternative services for staff to consider adding to the base contract: changing single-family garbage and compostables carts to meet the new state requirements for waste cart colors, purchasing and deploying four battery electric collection vehicles, and shifting to weekly single-family recycling service. During the proposal evaluation process, proposers were offered the opportunity to reduce their initial pricing to further minimize rate impacts to customers. Three proposers submitted lower rate proposals, with Republic Services and WM electing to decline. The proposer with the lowest overall annual revenue requirement, exclusive of the alternatives, received the maximum of 55 points. Points for the other four proposals were adjusted and awarded as a relative percentage of the lowest pricing proposal. Table 1 below summarizes the proposal scores. Rate increases shown in the table were calculated as increases relative to Republic Services’ 2026 wholesale rates in the current waste services contract. Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 6 of 16 Table 1: Proposal Scoring Summary Overall Ranking Proposer Qualitative Points Rates Points, Annual Revenue Requirements (in 2026$), Wholesale Rate Increases (%) Total Score 53.7 points $18.2M*1 Recology 38.2 points 18% 91.9 points 52.3 points $18.7M2Sound Sustainable 35.6 points 22%% 87.9 points 55 points $17.8M3Republic Services 25.4 points 16%% 80.4 points 39.3 points $24.9M4FCC Environmental Services 31.7 points 62%% 71 points 32 points $30.6M5WM (Waste Management) 37.1 points 99% 69.1 points *The Recology rates presented in this table do not reflect the lower final negotiated rates discussed later in this issue paper. While Republic Services’ base rates proposal was the lowest by a slight margin, its low qualitative score (the lowest of all five proposers) was a serious concern of the proposal evaluation team and is considered a key predictor of Republic Services’ future performance under an extension or a new contract. Coupled with Republic Services’ demonstrated past poor performance in Renton, the low qualitative score further validated staff’s recommendation not to extend Republic Services’ contract and to instead recommend award of a new contract to Recology. FINAL CONTRACT NEGOTIATIONS AND RATES Based upon the qualitative evaluation and final rates divulged upon the conclusion of the qualitative evaluation process, all members of the evaluation team recommended Recology as the preferred solid waste services provider. Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 6 of 16 Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 7 of 16 More about Recology Recology is a 100% employee-owned company that provides solid waste services to 12 cities in the region with over 160,000 residential and 15,000 commercial customers. Recology has an operations facility and recycling center in south Seattle and will subcontract with Cedar Grove Composting to process Renton’s organic materials. Over the past 17 years, Recology has successfully conducted 19 contract implementations and renewals. Recology has separated itself from its competition through demonstrated excellence in operations, sustainability, education and outreach, and dedicated involvement in the communities Recology serves. Contract Negotiations After completing the evaluation process, staff briefed the Mayor and informed City Council of the recommended finalist. In November, contract and rates negotiations began with Recology. The negotiation team consisted of the Public Works Administrator, the Solid Waste Program Manager, a Sustainability Specialist, and the city’s contract procurement consultant. Over the course of ten negotiation meetings, the city’s negotiation team and representatives from Recology collaborated to revise, clarify, and add contract terms and services; incorporate into the final contract all commitments made by Recology in its submitted proposal; negotiate terms for the purchase of new residential garbage and compostables carts; develop an option to purchase and deploy two residential battery election collection vehicles by 2031; strengthen work stoppage protections and customer credit protocols; and finalize the wholesale rates. Final Wholesale Contractor Rates During final contract negotiations, Recology’s annual wholesale revenue requirement (shown in Table 1) was reduced by $260,000 per year. Recology’s annual wholesale revenue requirement (projected for 2026) decreased to $17.9M, which is 16% more than Republic Services’ current 2026 wholesale revenue requirement and within 1% of Republic Services’ proposed wholesale revenue requirement under a new contract. Table 2 below shows the average wholesale rate increases resulting from recent municipal contract procurements in local cities that set their own solid waste rates. The final column in the table represents the average wholesale rate increases across all customer sectors. Some cities experienced significant wholesale rate increases, largely linked to inflationary rises in labor costs, goods and services, and fuel. Renton’s final negotiated wholesale rate increase of 16% is the lowest achieved since 2021. It is important to note that a true side-by-side comparison of solid waste rate increases between cities is inherently challenging to achieve due to a variety of factors, most notably the differences in services provided. Table 2: Average Wholesale Rate Increases in Recent King County Procurements City Year Awarded Contractor Average Wholesale Rate Increase (%) City of Renton 2026^Recology 16% City of Auburn 2021 Waste Management 48% City of Kirkland 2022 Waste Management 53% ^ Contract award depends on direction from city council Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 7 of 16 Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 8 of 16 Preliminary 2027 Retail Rates The retail rates billed to Renton’s residents and businesses are adopted on a biannual basis by the Renton City Council and are distinct from the wholesale rates the city pays each month to the contractor for solid waste collection services. Several important factors that will influence the final 2027 retail rates are unknown and have been estimated to calculate the preliminary retail rates. These unknown factors include increases in the 2027 King County per ton disposal fee; the 2027-2028 biennial Sustainability and Solid Waste Section operating and interfund budget; the 2027 annual percentage increase in the consumer price index (CPI-W); and the scale of cross subsides between service sectors. Each of these factors were estimated and included in the projected 2027 retail rate increases shown below in Table 3. The projected 2027 retail rate increases are relative to the 2026 retail rates and are projected and preliminary and subject to change. Staff will calculate the final proposed 2027-2028 retail rates through a detailed rate analysis in fall 2026 and will present a proposed rate ordinance for the city council’s review and adoption in October as part of the 2027-2028 budget adoption. Table 3 shows the difference in the overall projected retail rate increases between extending the city’s current contract with Republic Services or approving a new contract with Recology. Under an extension, 2027 retail rates are projected to increase by 4.0% on average. If new single-family garbage and compostables carts are provided, as recommended, 2027 retail rates are projected to increase by 15.4% on average under a new contract with Recology. Contracting with Recology for enhanced services and replacing the single-family carts that do not match state requirements equates to a 11.4 percentage point increase over extending Republic Services’ contract. Table 3: Projected 2027 Retail Rate Increases (%) Sector 2027 Republic Services (extending current contract) 2027 Recology (new contract) Increase (percentage points [pp]) Single-Family Residential +4.6% +18.7% (+17.0% w/o new carts) +14.1 pp (12.4 pp w/o new carts) Multifamily/Commercial (carts and 1-8 yard containers)+3.5%+11.5%+8.0 pp Drop Box* (10-40 yard containers)+3.4%+17.7%**+14.3 pp AVERAGE +4.0% +15.4% (+14.5% w/o new carts) +11.4 pp (10.5 pp w/o new carts) * Drop box retail rates do not include the cost of garbage disposal. Garbage disposal can be 50-90% of bills for drop box services. ** One of the drivers of the increase in drop box rates is the requirement under the Recology contract for solid covers on all drop boxes. Under the current Republic Services contract, solid covers are optional and cost $102.81 per month (in 2026 $). Table 4 below shows estimates of how much more the average Renton single-family, multifamily, and commercial customer may pay per month under a new contract with Recology. Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 9 of 16 Table 4: Projected 2027 Monthly Retail Rate Increases Sector Service Level 2027 (Republic) 2027 (Recology)Increase (Month)Increase (Year) Single- Family 35-gallon cart (every other week) $33.48 $37.94 $4.46 (13% increase)$53.52 Multifamily 35-gallon cart (weekly)$41.11 $44.31 $3.20 (8% increase)$38.40 Commercial 4-yard container (1x week)$477.75 $515.01 $37.26 (8% increase)$447.12 COLLECTION SERVICES DISCUSSION New Services and Contractual Provisions Through the RFP process and final contract negotiations, city staff were able to secure a package of significant, meaningful, and attractive new services and contract provisions that offer affordability, value, service reliability, and enhanced customer service to the city and its residents and businesses. Below are selected highlights of the over 60 new services and contract provisions that would be in effect on April 1, 2027. Additional new services and provisions are detailed in Attachment A to this issue paper. New service highlights include the following: A new fleet of 21 renewable natural gas-powered (RNG) collection vehicles An all-electric fleet of contractor support and cart delivery vehicles An option to purchase and deploy two electric collection vehicles by 2031 A return to city billing for solid waste services Implementation of a state requirement to standardize garbage and compostables cart colors Two full-time Waste Zero Specialists dedicated to Renton Sunday call center hours Improved strike recovery provisions Retained Services and Contractual Provisions Numerous services and contractual provisions were retained from Renton’s current contract and would continue to be offered, including the following: Every-other-week residential garbage and recycling collection with weekly compostables collection Weekly “premium” residential garbage collection Weekly year-round yard waste collection Unlimited quantities of recyclables and yard waste Variable rates and container sizes Hiring preference to drivers displaced and not retained by Republic Services with the transfer of driver pay and benefit accrual rates Direct payment of disposal fees to King County Clean Sweep Program for residential customers No-cost waste collection services to city facilities and street containers On-call collection of bulky waste and special recyclables Holiday tree collection for single-family and multifamily residents Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 10 of 16 Deleted Services and Contractual Provisions Some curbside recycling services were removed from the new contract to reduce costs and avoid duplication of services already offered to residents for low or no cost at city or Recology store drop-off locations, through the private sector, or through expanded producer responsibility (EPR) programs. These services include curbside collection of compact fluorescent bulbs and tubes, household batteries, and plastic bags and film. There are two other non-essential services that are offered in the current waste services contract but would have added additional costs and were therefore excluded from the new contract: Procuring and installing up to 20 new sidewalk-mounted public garbage or recycling containers. Providing no-cost collection of up to 12 drop-box containers per year to support abatement efforts. CITY COUNCIL COMMUNICATION The city council has been briefed on the contract procurement process throughout all phases of the project. The table below represents all major staff touchpoints with the city council to date. Council Body Action/Task Date Committee of the Whole Introduction to the procurement process June 2, 2025 Utilities Committee Update on the procurement process July 7, 2025 City Council Communication Provided names of five proposers September 8, 2025 City Council Communication Provided summary of proposal evaluation and name of selected finalist (Recology)October 27, 2025 Utilities Committee Proposal evaluation overview December 1, 2025 Committee of the Whole Procurement process summary January 26, 2026 City Council Meeting Introduction of final contract with Recology and referral to Utilities Committee February 23, 2026 Utilities Committee Proposal evaluation overview March 2, 2026 City Council Meeting City council action to award contract to Recology or provide alternative direction to staff March 2, 2026 Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 10 of 16 Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 11 of 16 IMPLEMENTATION AND COMMUNICATIONS PLAN If council approves the proposed contract with Recology, Recology will immediately order Renton’s new fleet of collection vehicles. Manufacturing the collection vehicles will likely take at least eight months, with additional time needed to deliver, test, and install software on the trucks, so ordering the fleet vehicles is the first step in implementing the contract. Within 90 days of executing the contract, Recology will also develop and submit to the city a Transition and Implementation Plan, which will include specific deadlines for tasks such as developing residential routes, ordering new carts, uploading customer data from Republic Services, and mailing welcome packets to customers. At least 120 calendar days before the start of the contract, all Republic Services drivers currently serving city collection routes will be provided the opportunity to apply for driver positions at Recology through Recology’s website. Recology will notify the two Teamsters locals that contract with Republic Services to ensure Republic Services’ drivers are made aware of the hiring opportunity. Driver pay and benefit accrual rates will transfer to drivers’ new positions at Recology. Recology has also committed to informing the city of how many drivers from Republic Services’ Renton routes followed their work to Recology. Throughout the transition and implementation period, city staff from Public Works, Finance, and Communications will work together to develop internal operating plans for city billing of waste services as well as robust plans for communicating the service changes to all customers. City staff will regularly brief city council on the status of customer communications and Recology’s service transition work. Attachment A: New Contract Services and Provisions Category Service/Provision Details Cost Consumer Price Index Annual CPI percentage increase in contractor rates capped at 6% (current Republic Services contract caps CPI increase at 8%) Cost Recycling and Organics Costs Separate unembedded contractor rates for recycling and compostables collection. This lowers state refuse tax obligation and aids in calculating future Recycling Reform Act reimbursements. Customer Service City Billing Customers will be billed monthly by the city for waste collection services Customer Service Call Center Call center hours offered on Sundays, 8:00 AM – 5:00 PM. Call center staff live locally and can connect customers to interpreters and a relay service for hearing-impaired customers. Customer Service Expanded Special Item Recycling Added no-cost recycling collection of textiles and small electronics. Expanded special item recycling to multifamily residents. Customer Service Recology Store Access Residents provided access to Recology’s network of stores to drop off difficult-to-recycle items such as Styrofoam, fluorescent bulbs/tubes, and small propane cylinders at no cost Customer Service Clean Sweep Clean Sweep offered to single-family customers year-round (added January and February service) Customer Service Missed Collections Allows performance fees and customer credits for three or more missed collections at same service address in a six-month period Customer Service Improved Inclement Weather Response To expedite recovery from extensive weather-related service disruptions, Recology may suspend weekly compostables collection and redirect those collection vehicles to collect garbage Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 13 of 16 Attachment A: New Contract Services and Provisions Category Service/Provision Details Customer Service Second Recycling Cart Additional recycling cart available for nominal fee Customer Service Improved Communications App-based messaging allowed. Contractor required to use automated dialing services, app-based alerts, and/or texts to communicate holiday- related service changes. Customer Service Disabled Customer Carry-out Service Single-family customer applications for no-cost disabled carry out service will be managed by city for consistency with other utility discount programs Customer Service Contractor Website Website must be accessible to customers with impaired vision and comply with Website Content Accessibility Guidelines. Time-sensitive alerts must be posted on website within 3 hours. Customer Service Customer Privacy Contractor shall not sell or provide customer information collected on its website, mobile app, or other electronic media to third parties Customer Service Responsiveness to City During office hours, contractor must respond to questions from city within 4 hours of city leaving or sending a message. If after office hours, contractor must respond by noon on following business day. Customer Service Appliance Collection No annual limitation on number of old appliances that may be collected Education Waste Zero Specialist Two full-time contractor Waste Zero Specials dedicated to providing education, outreach, and contamination monitoring services Education Annual Service Guides Contractor required to mail service guides to all residents and commercial customers each year by January 1. Performance fees for each day guides are late. Education Special Events Contractor required to provide outreach at Renton River Days and up to 3 additional community events each year at no additional cost Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 14 of 16 Attachment A: New Contract Services and Provisions Category Service/Provision Details Education Tote Bags Recycling tote bags provided to multifamily customers at no cost Education Outreach Materials Contractor provides flyers, stickers, signage, and door hangers. All translated material required to be transcreated to capture the essence, tone, and cultural nuances of the source content while adapting it to suit the target audience's language, culture, and context. Required translations/transcreations include Spanish and Vietnamese. Education Performance Fee Contractor may be assessed a performance fee for failure to meet at least 50% of multifamily and commercial outreach requirements Education Reporting Reported community engagement activities must be directly related to community education and outreach and should not include attendance at regional forums such as SCA or SWAC Environment All Electric Support and Delivery Vehicle Fleet All electric support vehicles for operations staff, outreach staff, cart deliveries, bulky waste collection, and special recycling collection Environment Electric Route Trucks Option to purchase and deploy two all-electric collection vehicles on routes by 2031. Savings of $60k/year for length of contract by using two older trucks in interim period. Environment Cleaner Burning Gas All collection vehicles will be fueled by natural gas with a low carbon intensity (50% or less of the state low-carbon standard) Environment Recycling Markets Domestic markets prioritized for recyclables. Plastics required to be recycled in North America. Requirement to comply with Basel Convention prohibiting the export of hazardous wastes. Destination countries of recyclables must be reported. Environment Spillage Reporting Contractor required to immediately clean up all spills and notify city spill hotline and the Department of Ecology Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 15 of 16 Attachment A: New Contract Services and Provisions Category Service/Provision Details Environment Contamination Monitoring and Education Contractor required to inspect recycling and compostables containers for contamination each year at all multifamily and commercial properties. Contractor provides corrective support when contamination observed. Environment Recycled Content All educational materials required to be printed on 100% recycled paper Environment Solid Drop Box Lids Requires solid lids on drop box containers (10 to 40-yard containers) Environment Container Lids Added performance fee for container lids that are not closed after service is provided, particularly for lids pinned next to a wall or enclosure Environment Wildlife-Resistant Carts Residential wildlife-resistant carts available for an additional charge Operations Route Collection Vehicles New fleet of 21 side-load residential, front-end load commercial, and drop-box collection vehicles Operations New Garbage and Compostables Carts New or reconditioned garbage carts(gray/black) and compostables carts (green) to harmonize waste container colors within city, region, and state Operations Strikes Includes same-week recovery of missed collections (if possible), defined formulas to calculate customer credits, expedited credit calculation and credit reimbursement to the city, and automatic deductions for performance fees. Operations Operations Plan Requirement to develop an annually updated operations plan Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 15 of 16 Issue Paper - Approval of Next Garbage, Recyclables, and Compostables Service Contract Page 16 of 16 Attachment A: New Contract Services and Provisions Category Service/Provision Details Operations Overweight Collection Vehicles Requires monthly reporting of overweight vehicles and performance fees for each overweight vehicle Operations Slotted Recycling Lids Optional lockable slotted lids for multifamily dumpsters to prevent bagged recyclables and contamination Operations Mini-can Upsized current mini-can size from 13 gallons to 20 gallons to provide additional capacity, reduce inventory challenges, and achieve compatibility with collection equipment Operations Multifamily Countertop Food Scrap Containers Available to all multifamily properties and households Operations Public Garbage Cans Contractor must collect overflow garbage next to public cans. Geolocated map of all public trash containers serviced by contractor to ensure consistent service and ease of collection for substitute drivers Operations City Facilities Quarterly reporting of tonnage collected from dedicated route serving 5 largest waste-generating city facilities to help track waste reduction goals Operations Recycling Reporting Annual recycling composition study of loads collected from single- family, multifamily, and commercial routes Operations Compostables Reporting Monthly reports of multifamily and commercial customers not subscribed to compostables service. Monthly reports of total contaminated containers. Reporting on estimated amount of garbage in collected compostables. Operations Collecting from Suspended Customers Performance fees for collecting from customers who have been suspended for non-payment