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SG at THE CITY OF NASHUA “The Gate City"

Division of Public Works

Administration
Memorandum
To: Board of Aldermen
From: Lisa M. Fauteux, Director of Public Works
Date: May 26, 2022
RE: Referral from Board of Aldermen — R-22-029

Please be advised that the Board of Public Works met on May 25, 2022 and voted to provide
the Board of Aldermen with a positive recommendation concerning proposed resolution R-22-
029.

9 Riverside Street * Nashua, New Hampshire 03062 « Phone (603) 589-3140 « Fax (603) 589-3169

Jim Donchess

Mayor e City of Nashua
To: Board of Aldermen
From: Mayor Jim Donchess
Date: May 25, 2022
Re: Multi-Year Contract Award — Single Stream Recycling

Pursuant to NRO: § 5-74/B: A contract that extends from the current fiscal year into succeeding
fiscal year(s} in which no funds have been appropriated nor otherwise designated for this purpose
shall be approved by the full Board of Aldermen before the contract shall become binding on the

City.

The Finance Committee has approved and placed on file the notification of the award of the
referenced contract at the June 1, 2022 meeting and as such | am requesting the full Board of
Alderman approve the following contract:

Item: 3-year contract to transport. and process the City’s single stream
recyclables
Value: $400,000 per year for 3-years to total $1,200,000
Vendor: Casella Recycling LLC
Purchasing Memo#: 22-282 dated May 25, 2022
Contract Term: 3 years -7/1/22-6/30/25
Thank you.

229 Main Street * PO Box 2019 * Nashua, New Hampshire 03061-2019
603.589.3260 + fax 603.594.3450 « NashuaMayor@NashuaNH.gov
www.NashuaNH.gov

City of Nashua

Purchasing Department
Administrative Services Division (603) 589-3330
229 Main Street - Nashua, NH 03060 Fax (603) 594-3233

May 25, 2022
Memo #22-282

TO: Mayor Donchess
Finance Committee

SUBJECT: Single Stream Recycling — 3 year contract in the amount not to exceed $1,200,000
funded from 55699 Other Contracted Services/Solid Waste Fund

Please see attached communications from Jeff Lafleur, Superintendent of Solid Waste, dated May 26, 2022
for project specific details related to this purchase, Below please find a summary of the purchase approval
request:

Item: 3-year contract to transport and process the City’s single stream recyclables
Value: $400,000 per year for 3-years to total $1,200,000
Vendor: Casella Recycling LLC

Department: 168 Solid Waste
Source Fund: 55699 Other Contracted Services/ Solid Waste Fund

Ordinance: Pursuant to § 5-78 Major purchases (greater than $25,000) A. All supplies and
contractual services, except as otherwise provided herein, when the estimated
cost thereof shall exceed $25,000 shall be purchased by formal, written contract
from the lowest responsible bidder, after due notice inviting bids.

A competitive bidding RFP for this project was issued on 3/3/2022 and the following proposals were
received:

Vendor Location Amount Note

Ecomaine Portland, ME $90/ton + $800 trip charge 3% annual increase
Casella Boston, MA $150/ton + $310 trip charge

Waste Management | Londonderry, NH | $200/ton + $403.75 trip charge | Adjustable fuel formula

We recommend this to be awarded to the lowest total cost vendor who met the RFP specified
requirements.

The Division of Public Works: Solid Waste, and the Purchasing Department respectfully request your
approval of this contract.

Regards,

Kelly Parkinson
Purchasing Manager

Ce: J Lafleur
Cc O'Connor

To:

From:

Re:

A. Motion:

Attachments:

Discussion:

City of Nashua, Public Works Division

Board of Public Works Meeting Date: May 26, 2022

Jeff Lafleur, Superintendent
Solid Waste Department

Single Stream Recycling Contract

To award a three year contract for the transportation and processing of the City of
Nashua’s single stream recyclables at an annual cost of $400,000 to Casella
Recycling LLC of Charlestown, MA pending approval of the FY23 operating
budget and subject to annual budget approvals. The term of this contract will be
from July 1, 2022 through June 30, 2025. Funding through Department 168 Solid
Waste; Fund: Solid Waste; Account Classification: 55 Other Contracted Services.

Analysis of bids

The City’s current contract for single stream recycling ends on June 30, 2022,
therefore the City of Nashua need’s to secure a vendor for these services.

The Solid Waste Department put out an RFP and solicited bids for Single Stream
Recycling Services from seven potential vendors. We received bids from Casella
Recycling LLC, Waste Management and ecoMaine. All three submitted proposals
that provided for a ceiling price, costs for transportation and a formula for potential
revenue back to the City of Nashua for improving market prices.

After reviewing the bids, Casella had the best cost structure in comparison with the
other bidder’s proposals.

Casella has provided the required certificate of insurance to accomplish these
services.

The Solid Waste Department has worked with Casella Recycling for over eleven
years and they have consistently provided the City of Nashua with excellent service.
Therefore the Solid Waste Department Superintendent and Recycling Administrator
have determined that Casella Recycling LLC of Charlestown, MA should be

awarded the contract.

Proposal Costs Breakdown

Casella Waste Management ecoMaine
$S0.00/ton
Ceiling Price (w/o Adjustable annually
contamination) $150.00/ton $200.00/ton based on May CPI
$00.00/load plus
Transportation $403.75/load plus adjustable fuel
Cost/per load with fuel adjustable fuel formula. | |formula. Annual 3%
surcharges and other Annual 4% increase in increase in years 2
annual increases. $310.00/load years 2 and 3. ard 3.
Commonwealth Waste Troiano Waste
Hauling company Casella Transportation Services

Formula that would
reduce processing
costs.

Casella ACR (Average
Commodity Revenue) less
Threshold of $90.00 per ton
with 50% Revenue Share
when ACR above Threshold.
Dollar to dollar charge when
under Threshold. EX Current
charge based on March 2022
formula is $17.43 per ton.
indexes: PPI- Fiber,
RecycleMarkets.net-Plastics
and actual sale price for
others.

Blended Value Formula with
City's value share being 70%
when the value is greater then
the processing and residual
fees charged and the City
paying the difference between
the charged fees and the
Blended Value when the fees
are higher.

ACR rebate calculated as
dezailed in attached
Appendix 1. With 80%
rebated to municipality at
the end of each quarter on
a cumulative YTD basis.

Cost Breakdowns Based on Avg Tonnage and Number of Loads Per Month and Example Pricing Provided by Bidders from March 2022

Ave Tonnage 420
Avg # Loads 25
Casella Waste Management ecoMaine
Cost per ton $17.43 | $7,320.60 $26.63 | $11,184.60 $4.06 | $1,705.20
Transport Fee/Load $310.00 | $7,750.00 $403.75 | $10,093.75 $800.00 | $20,000.00
$15,070.60 $21,278.35 $21,705.20
Costs With Potential Fuel Surcharges or Credits
Casella Waste Management ecoMaine
Surcharge based on
difference when fuel
charge exceeds $4.50
Baselire of $3.662 per gallon and based
w/Fuel Surcharge agains: difference of on § miles per galton
based on formula index multiplied by fixed over distance of approx
with diesel at $5.00 15 gallan amount per 111 mile from Nashua
per gallon. No Surcharge $0.00 | |load. $501.75 | |to Maine facility. $277.50
$15,070.60 $21,780.10 $21,982.70
Surcharge based on
difference when fuel
charge exceeds $4.50
Baselir e of $3.662 per gallan and based
w/Fuel Surcharge agains: difference of on 5 miles per gallon
based on formula index multiplied by fixed over distance of approx
with diesel at $4.00 15 gallon amount per 111 mile from Nashua
per gallon. No Surcharge $0.00 | jload. $126.75] |to Maine facility. $0.00
$15,070.60 $21,405.10 $21,705.20
Surcharge based on
difference when fuel
charge exceeds $4.50
Baselir e of $3.662 per gallon and based
w/Fuel Surcharge agains: difference of on 5 miles per gallon
based on formula index multiplied by fixed over distance of approx
with diesel at $3.00 15 ga lan amount per 111 mile from Nashua
per gallon. No Surcharge $0.00 | load. -$248.25| |to Maine facility. $0.00
$15,070.60 $21,030.10 $21,705.20

20) THE CITY OF NASHUA The Gate City’

Office of Econamic Development

TO: Board of Aldermen

FROM: Tim Cummings, Economic Development Director
Date: May 17'" 2022

RE: ARPA Funding Framework

Request

I am writing to request a meeting to discuss and approve the enclosed framework for spending
based on the funding that came in through the American Recovery Plan Act (“ARPA”).

Background

Municipalities across the nation are the beneficiaries of a significant influx of federal funds via
the American Rescue Plan Act (“ARPA”). The City ofiNashua will receive $16,138,777 in total
ARPA funds. The first of two installment payments of $8,069,388.50 was received in May of
2021. We anticipate receiving the second installment this month (May 2022). The Board of
Aldermen have already accepted and appropriated these funds through the adoption of R-21-167
at its meeting on November 9, 2021.

Over the past six months, the Office of Economic Development with the assistance of Financial
Services and the Office of the Mayor undertook a community outreach effort to discuss an
appropriate framework. We offered residents an opportunity to provide feedback on the draft
framework for spending ARPA funding and we first presented to the Board of Aldermen in
September of 2021.

Additionally, we brought on iParametrics to help guide our decision-making and to assist in the
compliance reporting.

Financing Mechanics

Based on the advice of our consultant it is their recommendation that the City use “revenue
replacement” for the ARPA funds. Revenue Replacement is a category a local government may
use to expend ARPA money on a board range of general government services. We anticipate that
the City of Nashua through the U.S Treasury guidance will be eligible to spend the entire ARPA
allocation through this method. As noted above, the City of Nashua accepted and appropriated
these funds as a grant. Accordingly, this grant will not lapse and the funds will be available for
the planned expenditures detailed in the enclosed attachment.

Thank you.

229 Main Street, Suite 234 » Nashua, New Hampshire 03060 » Phone (603) 589-3106

ARPA PLAN 5/10/2022
i
FISCALYEAR 2022 eon ven og93 FISCAL YEAR 2024 FISCAL YEAR 2025
PROJECT CATEGORY (01/01/22 - (07/01/22-06/30/23) (07/01/23 - (07/01/24 - 12/31/24} 6 YOTAL
06/30/22} 08/30/24} Mths

REVENUE REPLACEMENT FY ‘22 $ 1,200,000.00 s 1,200,000.00

HOUSING TRUST FUND $ 10,000,000.00 $ 10,000,000.00
MUNICIPAL CAPITAL REQUESTS

BACK-UP SERVER (IT) $ 500,000.00 $ 500,000.00

FIRE EQUIPMENT / ALARM $ 850,000.00 $ 850,000.00

POUCE - RECORD MANAGEMENT & GATE $ 650,000.00 $ 650,000.00

INFRASTRUCTURE PROJECTS
MAIN STREET & WEST HOLUS STREET $ 600,000.00 $ 600,000.00
UBARARY PARK PROJECT $ 1,500,000.00 $ 1,500,000.00
OPITCON SYSTEM $ 600,000.00

ARPA PROGRAM SUPPORT $ 15,000.00 $ 35,000.00 $ 75,000.00 $ 75,000.00 $ 200,000.00

TOTAL $ 1,215,000.00 $ 14,735,000.00 $ 75,000.00 $ 75,000.00 §$ — 16,100,000.00

POTENTIAL ARAPA FUNDS $ 16,138,777.00

PROJECTED SPENDING $ 16,100,000.00

BALANCE $ 38,777.00

APPOINTMENTS BY THE MAYOR

JUNE 14, 2022

Cultural Connections Committee

Nonyem Egbuonu (re-appointment) Term to Expire: April 30, 2025
c/o Interfaith Council

P.O. Box 209
Nashua, NH 03061

| respectfully request that these appointments be confirmed.
Jim Donchess, Mayor

AMENDED
R-22-025

RESOLUTION

AUTHORIZING THE MAYOR TO APPLY FOR AND EXPEND THE COMMUNITY
DEVELOPMENT BLOCK GRANT (“CDBG”) AND HOME INVESTMENT
PARTNERSHIP PROGRAM FUNDS FOR FISCAL YEAR 2023

CITY OF NASHUA

In the Year Two Thousand Twenty-Two
RESOLVED by the Board of Aldermen of the City of Nashua

That the Mayor be, and hereby is, authorized to file an application with the U.S.
Department of Housing and Urban Development (“HUD”) for the annual Community
Development Block Grant (“CDBG”) under the provisions of Title 1 of the Housing and
Community Development Act of 1974, as amended, and the HOME Investment Partnership
Program under the provisions of Title II of the Cranston-Gonzales National Affordable Housing
Act, and to execute all understandings, assurances and agreements as required therein;

That the following CDBG activities shall be carried out with an annual grant of
$664,000; estimated program income of $45,000; and reprogrammed funds in the amount of
$55,000, as described herein, for a total of $764,000. All activities are more fully described and
shall be consistent with the proposals contained in the communication from Deb Chisholm to the
Human Affairs Committee dated February 11, 2022 and further amended by deleting the struck
through language and inserting the italicized language:

Reprogrammed Funds:

FY22 PLUS Co — ADA compliant bathroom $10,000.00
FY22 Nashua Center —- HVAC $45,000.00

Activities to be funded in FY23:

1. Public Services - $99.600
Support of public service programs principally benefiting low-moderate income
beneficiaries of Nashua. This pool of funds shall be applied to CDBG eligible activities
identified through the Citizens Advisory Commission for Community Grants process.
Public Services shall not exceed 15% the cap of $99,600 of the entitlement award plus
prior year program income.