Subject:
Title
Ranking of firms and agreement with FCC Environmental Services, LLC for waste to energy facility operator.
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Recommended Action:
Recommended Action
Approval of the ranking of firms and agreement with FCC Environmental Services, LLC (FCC) for waste to energy facility operator.
• This contract is to maintain operations at the Waste to Energy facility, which converts municipal solid waste into electrical energy.
• Three firms submitted to Phase I of the Request for Proposal (qualifications). Two firms were shortlisted to Phase II (pricing).
• Negotiations with the number one ranked firm, Reworld, were unsuccessful and terminated after a final and best pricing offer.
• The second ranked firm, FCC, is recommended for award by the Solid Waste Department.
• The recommended contract is effective for a period of ten years. There are optional provisions for two additional five-year extensions beyond the primary contract period.
• The agreement will be effective January 1, 2026. The current operator, Reworld, will operate for remainder of calendar year 2025.
• In the new agreement, the initial service fee is $34.25 per ton of processed waste with an annual adjustment factor plus revenue sharing equal to 10% of the monthly average electricity sales and 50% of recovered metals sales. Reworld is currently being paid $38.49 per ton processed plus revenue sharing.
• As part of this agreement, FCC will donate $50,000.00 each year for community education and outreach relating to the waste diversion, recycling, and Waste-To-Energy.
• Funding for this agreement is available in the Solid Waste Revenue and Operating Fund, Waste-to-Energy Operations Cost Center, Contract Services - Other Account, included in the Fiscal Year 2026 Tentative Operating and Capital Budget, funded by Solid Waste Funds, in the amount of $32,410,800.00. Funding for future fiscal years will be proposed in those future budgets.
Contract No. 24-1082-RFP in the not to exceed contract value of $320,850,000.00 effective for ten years; Authorize the Chairman to sign and the Clerk of the Circuit Court to attest.
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Strategic Priorities:
Resilient Infrastructure and Environment
1.4 Improve environmental quality
Smart Service Delivery
4.1 Optimize County energy use
4.2 Achieve and maintain a high level of customer satisfaction.
4.4 Invest in infrastructure to meet current and future needs
Summary:
Summary
This contract is to maintain the operations at the Waste to Energy (WTE) Facility, which converts municipal solid waste into electrical energy. Three firms submitted to Phase I of the RFP (qualifications). Two firms were shortlisted to Phase II (pricing), after unsuccessful negotiations were terminated with the number one, the second ranked firm FCC Environmental Services, LLC is recommended for award by the Solid Waste Department.
This contract is effective for a period of ten years with a total not-to-exceed contract value of $320,850,000.00. There is provision for two additional five (5) year extensions beyond the primary contract period.
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Background Information:
Phase I Request for Proposal (RFP) was released by the Purchasing Division on November 21, 2024, resulting in three responsive submittals. Evaluations commenced February 18, 2025. Phase II RFP was released to the two shortlisted firms on March 31, 2025. Evaluations commenced on June 24, 2025, resulting in the recommendation to the number one ranked firm, after unsuccessful negotiations were terminated with the number one ranked firm, a recommendation for award to the second ranked firm FCC Environmental Services, LLC.
Fiscal Impact:
Estimated ten (10) year expenditure: $320,850,000.00
Funding for this agreement is available in the Solid Waste Revenue and Operating Fund, Waste-to-Energy Operations Cost Center, Contract Services - Other Account, included in the FY26 Tentative Operating and Capital Budget, funded by Solid Waste Funds, in the amount of $32,410,800.00.
This agreement will be effective January 1, 2026. The agreement with Reworld will remain in effect through December 31, 2025. Under that agreement the County pays $38.49 per ton processed plus revenue sharing. The assumed tons processed is 855,900. The estimated expenditure for Q1 is $8,672,491.25 (per ton rate + revenue sharing). The estimated expenditure for Q2-Q4 under FFC is $24,063,750.00 (based on not to exceed amount). The total estimated expenditure for FY26 is $32,736,241.25.
From the agreement (page 8-15): “Subject to the rights , restrictions and limitations on County payments and other liability to the Contractor recognized under this agreement, the Parties additionally agree that the County shall not be liable for payments of any kind or nature to the Contractor under the terms of this Agreement exceeding the amount budgeted by the Board of County Commissioners each Billing Year relative to the County’s payment obligations under this Agreement without formal authorization by the Board of County Commissioners or by an amendment to this Agreement duly authorized by the Parties.”
Staff Member Responsible:
Paul Sacco, Director, Solid Waste
Merry Celeste, Purchasing Director, Administrative Services
Joe Lauro, Director, Administrative Service.
Partners:
N/A
Attachments:
Agreement
Phase I - Final Rankings
Phase II - Final Rankings