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Outsourcing Solid Waste Collection

Explore the successful outsourcing of solid waste collection in a smaller town, balancing service quality, cost-effectiveness, and stakeholder satisfaction. Discover the RFQ and RFP processes, benefits, drawbacks, and outcomes of this strategic decision.

jamesvelazquez
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Outsourcing Solid Waste Collection

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  1. Outsourcing Solid Waste Collection

  2. Outsourcing Solid Waste Collection

  3. Outsourcing Solid Waste Collection • Smaller town outside of major metropolitan area • 31,000 people • 9,000 houses • 150 Small business • Public Works has 33 people and $6M budget. Roughly $1.6M of that is for solid waste • Had successfully contracted with Republic for 20 years on a 5-year renewal basis • Happy with service • Calls were overwhelming Town staff • Wanted to be good fiscal stewards of the public’s money • Smaller town outside of major metropolitan area • 31,000 people • 9,000 houses • 150 Small business • Public Works has 33 people and $6M budget. Roughly $1.6M of that is for solid waste Background

  4. Outsourcing Solid Waste Collection • What was important? • Service • Contractor had to take load off of staff • Cost • Intangibles • Who were the Stakeholders? • Citizens • Elected officials • Environmental Advisory Committee • Staff Process • Process • Request for Qualifications (RFQ) • Shortlist for Request for Proposal (RFP)- task or performance based • Presentations for top candidates • Negotiation

  5. Outsourcing Solid Waste Collection • Sent out RFQ to 20 vendors • Sent RFP to top four • Weekly pick up of trash, yard waste and bulky items (call-in) • Bi-weekly pick up of recyclables • Call center to receive customer calls • Level of service • Cost breakdown • Asked top two for presentations to committee • Sent out RFQ to 20 vendors • Sent RFP to top four • Weekly pick up of trash, yard waste and bulky items (call-in) • Bi-weekly pick up of recyclables • Call center to receive customer calls • Level of service • Cost breakdown • Asked top two for presentations to committee • Based on proposals and presentation, brought recommendation to Board • Sent out RFQ to 20 vendors • Sent RFP to top four • Weekly pick up of trash, yard waste and bulky items (call-in) • Bi-weekly pick up of recyclables • Call center to receive customer calls • Level of service • Cost breakdown • Sent out RFQ to 20 vendors RFP Process

  6. Outsourcing Solid Waste Collection • What was important? • Service • Contractor had to take load off of staff • Cost • Intangibles Results

  7. Outsourcing Solid Waste Collection • Pros • Don’t have to have additional staff • Don’t need equipment and associated maintenance • Don’t have to directly handle issues (hydraulic leak cleanups, customer service, employee issues) • Cons • Aren’t as intimate with the daily operations. Not the first to hear about issues. Only hear once it becomes a major problem • Residents sometimes given incorrect information • Sometimes poor communication • Don’t have direct control of drivers • Don’t have the profit center • Pros • Don’t have to have additional staff • Don’t need equipment and associated maintenance • Don’t have to directly handle issues (hydraulic leak cleanups, customer service, employee issues) Pros and Cons of Outsourcing

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