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HomeMy WebLinkAbout120715_ca13Department of Public Works O Consent Agenda Jefferson County Board of Commissioners Agenda Request To: Board of Commissioners Philip Morley, County Administrator From: Monte Reinders, P.E., Public Works Director/County Engineer Agenda Date: December 7, 2015 Subject: Execution of Contract Amendment 1 with Thermo Fluids, Inc. for automotive fluids recycling services Statement of Issue: The value of collected used oil has decreased in a global oil market to an extent that payments to Jefferson County as detailed in the original contract are no longer supported, but not to an extent that requires payment by the County to recycle collected used oil. Analysis/Strategic Goals/Pro's l3 Con's: This contract provides for used oil recycling opportunity for County residents and represents decreased pollution liabilities of ground water, surface water and of solid waste stream toxicity. Amendment 1 does not alter service pricing for other services. Amendment 1 was a favorable option when compared with an alternative of exiting the contract and issuing a request for bids due to the broader market place that affects all used oil collectors. Fiscal Impact/Cost Benefit Analysis: Based on revenue to date in a fluctuating market, an annual revenue loss is estimated to be $5,536. The Solid Waste Fund is able to cover the reduced revenue. Recommendation: Public Works recommends that the Board execute all three (3) originals of the Amendment 1 and return two (2) originals to Public Works for further processing. Department Contact: Jerry Mingo, MRW Coordinator, 385-9160. Reviewed By: Philip Morl$y, ounty-tdmtnfsfrator Date AMENDMENT 1 TO THE CONTRACT FOR AUTOMOTIVE FLUIDS RECYCLING SERVICES JEFFERSON COUNTY, WASHINGTON THIS AMENDMENT is made and entered into this day of , 2015 by and between the COUNTY OF JEFFERSON ("County"), acting through the Jefferson County Commissioners and the Director of Public Works and by virtue of Title 36, REC, as amended and THERMO FLUIDS, INC of Scottsdale, Arizona ("Contractor"). This Amendment modifies, clarifies and amends the Contract between the County and the Contractor, dated May 12, 2014. RECITALS A. Whereas the value of collected used oil has covered recycling services and provided for payments made to the County based on a percentage of indexed pricing pursuant to the original Contract; and, B. Whereas, the market value of used oil has fallen since the execution of the original Contract to a level that will continue to cover the cost of recycling but no longer provide for payment to the County. AGREEMENT NOW, THEREFORE, it is agreed that the sections titled "Detailed Pricing Chart" appearing on page 9 of the original Contract be replaced with the attached "Detailed Pricing Chart (revision 10.1.2015)" and that the section titled "Price Indexing Procedures" comprising page 10 of the original contract be deleted. Should oil value rebound, Jefferson County reserves the right to request adjusted price -indexed payment. Pagel of 3 IN WITNESS WHEREOF, the parties have executed this Amendment to be effective as of the day and year above written. Executed by the Contractordeteb , Ntj"3 ta/' ?'z' ?fit Contractor Thermo Fluids, Inc. By: (Please CCTHERMF 1966DC State of Washington, Contractor Registration Number COUNTY OF JEFFERSON BOARD OF COMMISSIONERS David W. Sullivan, Chair Phil Johnson, Member Kathleen Kler, Member Approved as orm only this day of ,20_ 0/16 ApfAave-.b David Alvarez A�-6 F 9M Deputy Pros o ey Monte �emers.��Da�t�� Public Works Director/County Engineer Page 2 of 3 THERMOFLUIDS' The Responsible Solution Detailed Pricing Chart (revision 10.1.2015) Item Unit Fee or Payment Spent Antifreeze GA Fee $0.00 Used Oil GA No Charge / No Pay $0.00 Used Oil Filters 55 -gal Drum Fee $12.00 Waste Fuels GA No Charge / No Pay $0.00 Petroleum -bearing sludge GA Fee $1.85* Fuel Charge Per Stop I Fee $20.00 *Sludge collection may require a $235.00 fee per profile test. Response Times Frequency: Frequency varies contingent on volume and location. Currently, our drivers are dispatched to Port Townsend for oil collection every 21 days. This can be adjusted per customer's request. Unscheduled Collection Requests: Unscheduled requests can be serviced within 5-7 business days of the request, if not sooner. Drums: Open -head drums can be supplied and swapped out for used oil filter collection. TFI will collect your full drums; take them to our Sumner facility where the filters will be crushed into 20-1b cubes, load the filters onto a conveyor belt into an oven, which is fueled by the remaining oil left in the crushed filters. We recycle the steel with a local rebar manufacturer. Mountain States Region 3534 West 500 South Salt Lake City, UT 84104 801.433.1114 Main 801.433.1120 Fax Northwest Region 12533 SE Carpenter Dr Clackamas, OR 97015 503.788.4612 Main 503.788.4629 Fax South Central Region 9900 North Crowley Crowley, TX 76036 806.637.9336 Main 806.637.4505 Fax - --P0�9e 3 0 f 3 Southwest Region 4301 West Jefferson St Phoenix, AZ 85043 602.272.2400 Main 602.272.5590 Fax Corporate Office 8925 E Pima Center Pkwy, #105 Scottsdale, AZ 85258 480.302.6221 Main 480.302.6599 Fax