Subject:
Title
Award of bid to United Scrap Metal FL Inc. for the sale of scrap metal.
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Recommended Action:
Recommended Action
Approval of the award of bid to United Scrap Metal FL Inc. for the sale of scrap metal.
• This agreement provides a mechanism to generate revenue resulting from the sale of scrap metal from various County locations.
• Revenues are based on a percentage of the Daily American Metal Market Index.
• Contract award for an estimated 60-month revenue of $2,101,904.75 with an annual estimated revenue of $420,380.95.
• Revenue is deposited into the Solid Waste Operating Fund, the General Fund, or any other appropriate fund based on the department that collects the scrap metal.
• Two bids were received, with Pinellas Iron & Metal LLC (acquired by United Scrap Metal FL Inc.) recommended for award as the highest responsive, responsible bidder.
• This new contract provides greater revenue as compared to the prior contract; the percentage paid to the County per the Daily American Metal Market Index for iron and steel was 29.73% on the prior contract compared to the new contract rate of 52%.
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Strategic Plan:
Deliver First Class Services to the Public and Our Customers
5.2 Be responsible stewards of the public’s resources
Summary:
Summary
This agreement provides a mechanism to generate revenue resulting from the sale of scrap metal from various County locations. The Contractor will pay County to purchase Material per the agreed percentage paid per the daily index. Contractor pricing is a percentage of the current American Metals Market (“AMM”) index based on the day of pickup and converted to a per pound or per gross ton price paid to County.
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Background Information:
The Purchasing and Risk Division, on behalf of Solid Waste advertised a revenue bid contract for the sale of scrap metal on November 18, 2022, with bid submittals due December 13, 2022. Recommendation of award is to United Scrap Metal FL Inc. as the highest revenue bidder. The time between bid opening and final negotiated contract was due to legal review between vendor and Legal, and United Scrap Metal had acquired Pinellas Iron & Metal during the agreement process.
The County is currently piggybacking pricing from the City of Ocala Contract #COO/210916 Agreement for Sale of Scrap Metal - Citywide with Trademark Metals Recycling Inc. Pinellas County Utilities Department requested a revenue contract for the sale and recycling of old brass water meters and back flows as pricing is not included in the City of Ocala’s agreement. The Purchasing and Risk Division received requirements from Solid Waste and Utilities for a new County competitive solicitation to be awarded to the vendor who provides the highest percentage of revenue to be paid to the County.
Fiscal Impact:
Estimated annual revenue $ 420,380.95
Estimated sixty (60) month revenue $2,101,904.75
Revenue is deposited into the Solid Waste Operating Fund, the General Fund, or any other appropriate fund based on the department that collects the scrap metal.
Staff Member Responsible:
Paul Sacco, Director, Solid Waste
Merry Celeste, Division Director, Purchasing & Risk, Administrative Services
Joe Lauro, Director, Administrative Services
Partners:
N/A
Attachments:
Agreement
Bid Tabulation