Report Prepared by: Mikel Schlessinger, Public Works Supervisor Solid Waste
Title
SUBJECT: Approval of a Services Agreement with Restore Merced, Inc., for Litter Abatement Services for a Total Amount not to Exceed $185,000 per Year for a Two (2) Year Term Ending June 30, 2027, with the Option to Extend for Two (2) Additional One (1) Year Term(s) Ending June 30, 2029
REPORT IN BRIEF
Considers approving a two-year agreement, with option to extend, with Restore Merced, Inc., for litter abatement services of designated areas, in a total amount not to exceed $185,000 per contract year.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving a Services Agreement with Restore Merced, Inc., in the annual amount not to exceed $185,000 for litter abatement services of designated areas for a period of two-years, with an option to renew for a maximum of two (2) additional one-year periods; and,
B. Authorizing the City Manager to execute the necessary documents and approving future contract amendments to exercise the term extensions.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to modifications as conditioned by City Council; or,
3. Refer to staff for reconsideration of specific items; or,
4. Deny.
AUTHORITY
Charter of the City of Merced, Section 200, et seq. and Section 3.04.120 of the Merced Municipal Code.
Services with an estimated value greater than $38,000.00 are made by written contract in accordance with Merced Municipal Code, Title 3 - Revenue and Finance, Chapter 3.04.
CITY COUNCIL PRIORITIES
As provided for in the 2025-26 Proposed Budget.
DISCUSSION
Per the City Council recommendation, a program for a 3rd party litter abatement service was added to the Solid Waste Division’s auxiliary services during the solid, organic and recycling waste 2020 rate study. There has been a successful litter abatement program for the last four years. The Solid Waste Division would like to continue the litter abatement program and have accounted for it in the new rate study. The proposed scope of services targets “hot spots” where additional litter abatement services would be useful throughout the city, with designated areas having monthly or weekly service, and with an option for on-call service when needed.
With approval of the proposed rates for fiscal years 2025-2026, an amount of $185,000 per fiscal year will be allocated for 3rd party litter abatement.
On March 10, 2025, staff solicited proposals from qualified litter abatement service vendors to provide the removal and disposal of litter/trash/debris from specified areas throughout the City of Merced. Three vendors responded to the Request for Proposals (RFP), including:
• Restore Merced, Inc. (Merced) - Not to Exceed $185,000
• Dillard Environmental Services (Byron) - Unit Pricing Only
• Lagestic LLC (Oakland) - Not to Exceed $3,000,000
An evaluation committee consisting of Public Works staff members rated each proposal on criteria including proposal completeness, City administrative compliance issues (contract, insurance, etc), experience and services, project understanding, and pricing proposals. Upon review of the proposals, staff recommends entering into a service agreement with Restore Merced, Inc., in the annual amount of $185,000 for the initial two-year term, with the possibility of two one-year extensions.
IMPACT ON CITY RESOURCES
Funding has been included in the FY2025-26 Proposed Budget in Fund 6002-Refuse.
ATTACHMENTS
1. Restore Merced Services Agreement & Fee Estimate
2. Dillard Environmental Services Pricing Proposal
3. Lagestic LLC Pricing Proposal