HomeMy WebLinkAboutA001 - Council Action Form dated February 25, 2025ITEM #:12
DATE:02-25-25
DEPT:PW
SUBJECT:APPROVE CHANGE ORDER #2 FOR HAULING SERVICES TO THE BOONE
COUNTY LANDFILL
COUNCIL ACTION FORM
BACKGROUND:
On May 14, 2024, City Council awarded a one-year contract extension to Waste Management of Ames
(WMA) for hauling to Boone County Landfill and related services for the Resource Recovery Plant
(RRP) during FY 2024/25 in the amount of $19.50 per ton, up to a total of $146,958.
This contract includes furnishing equipment and hauling of reject materials that cannot be
processed into refuse derived fuel (RDF) from RRP to the Boone County Landfill. The approved
FY 2024/25 budget includes $146,958 for this work. Compared to prior years, this Purchase Order was
based on a significant reduction in reject tonnage due to power plant reliability and restricted natural
usage gas during the winter months. The current trend indicates that a higher amount of rejects tonnages
will occur in FY 2024/25.
On February 14, 2025 Change Order #1 was approved by staff in the amount of $37,522.05 for January
and February 2025 reject tonnages from the RRP. Based on reject tonnages so far this year, staff
estimates that up to $95,123 may be needed for the remainder of the current fiscal year. The adjusted
FY 2024/25 budget presented to City Council includes $260,500 for reject materials to be hauled
to the Boone County Landfill. If necessary, staff will include additional funding in the final FY
2024/25 Budget Amendments, which will be considered later this spring. Natural gas restrictions will
end on April 1, 2025 which will allow for additional RDF to be utilized at the power plant.
Fiscal Year Price Per Ton Annual Cost Annual
Tonnage
FY 19-20 $14.14 $181,787.35 12,856
FY 20-21 $14.63 $200,381.91 13,697
FY 21-22 $15.15 $209,081.52 13,801
FY 22-23 $15.68 $215,097.67 13,718
FY 23-24 $16.23 $216,598.33 13,346
FY 24-25 (estimated)$19.50 $279,603.05 14,339
(est)
ALTERNATIVES:
1. Approve Change Order #2 to Waste Management of Ames in the amount of $19.50/ton, up to
$95,123.
2. Reject the change order.
1
CITY MANAGER'S RECOMMENDED ACTION:
Landfill hauling and related services are an integral part of RRP operations. This change order is
based on an increase in reject tonnage projections due to more downtime at the Power Plant and
natural gas restrictions. Therefore, it is the recommendation of the City Manager that the City
Council adopt Alternative No. 1 as described above.
2