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CITY OF WEST CHICAGO
FINANCE COMMITTEE
AGENDA ITEM SUMMARY
ITEM TITLE:
AGENDA ITEM NUMBER: .A.
Residential Solid Waste Collection Contract
FILE NUMBER:
COMMITTEE AGENDA DATE: 8/22/19
COUNCIL AGENDA DATE:
STAFF REVIEW: SIGNATURE
APPROVED BY CITY ADMINISTRATOR: SIGNATURE
ITEM SUMMARY:
Please see the attached memorandum.
STAFF RECOMMENDATION:
Staff recommends that the City continue using Groot Industries as its residential solid waste collection
contractor.
COMMITTEE RECOMMENDATION:

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CITY OF WEST CHICAGO
CITY COUNCIL MEMORANDUM
TO: Honorable Mayor and Members of Council
FROM: Michael Guttman, City Administrator
SUBJ: Solid Waste Contract 2020-2024
DATE: August 7, 2019
At its May meeting, the Finance Committee directed staff to request proposals from West
Chicago solid waste hauling companies to serve as the City’s residential waste hauling contractor
once West Chicago’s current contract expires on December 31, 2019. It was very important to
the Committee that the City support its corporate customers. The Committee also noted that it
was comfortable with the services and benefits contained in the current contract, and wanted
those to continue in any successor contract, wanting also to hopefully achieve cost reductions for
our residents. Finally, the City’s Environmental Commission is interested in some added
services.
Both Groot Industries and Lakeshore Recycling Systems submitted responses to the RFP on July
18". The economic analysis of both proposals is attached, and it clearly shows that it is in the
best interests of the City to remain with Groot Industries for the following primary reasons:
e Groot has reduced the cost of stickers by almost 15%, with the cost of stickers in 2024
being below what customers are paying now.
e Rates for all three categories of toter users are lower in year one than now, with 3%
annual increases (LRS proposed a four percent annual upward adjustment).
e Five Park District facilities are now included in the contract for free hauling, which saves
it money annually.
e Maintaining a local office will remain a contract provision.
Groot also offered to incorporate several of the Environmental Commission’s recommendations
into the Contract including collecting e-waste at the curb (up to six items for $30), pumpkin
recycling once a year and holiday light recycling once a year. Groot would allow food waste to
be recycled with yard waste, but only for those customers who have a subscription service that
costs $200.00 per season. Groot representatives were uncomfortable allowing food waste to be
mixed with yard waste in paper bags because the material would be wetter, resulting in breaking
bags on collection day, plus its experience with foot waste recycling is that less than five percent
of customers participate.
Finally, Groot did not offer a proposal for using RFID Technology where carts would have chips
installed and customers would pay on a per pick up basis. That said, looking at the bottom of the
attached spreadsheet, if LRS’s proposed per pick-up were applied and then compared to Groot’s

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proposed rates, the only customers, excluding seniors, who would save money are those who on
average have only one pick-up per month.
I will review the spreadsheet in more detail at the meeting. In the meantime, please let me know
if you have any questions.

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Sticker
35-gallon Senior
35-gallon Regular
95-gallon
Sticker
35-gallon Senior
35-gallon Regular
95-gallon
Groot
Sticker
35-gallon Senior
35-gallon Regular
95-gallon
LRS
Sticker
35-gallon Senior
35-gallon Regular
95-gallon
LRS RFID Technology
35-gallon Senior per pick up
35-gallon Regular per pick up
95-gallon per pick up
Monthly Base Rate
Monthly if Paper Invoices
Current Groot Difference _ Savings/Year 2021 2022 2023 2024
$2.70 $2.30 -14.81% $2.37 $2.44 $2.51 $2.59
$9.68 $9.00 -7.02% $8.16 $9.27 $9.55 $9.83 $10.13
$16.77 $13.33 -20.51% $41.28 $13.73 $14.14 $14.57 $15.00
$29.70 $18.95 -36.20% $129.00 $19.52 $20.10 $20.71 $21.33
Current LRS Difference Savings 2021 2022 2023 2024
$2.70 $2.75 1.85% $ 286 $ 2.97 $ 3.09 $ 3.22
$9.68 $9.68 0.00% $0.00 $ 10.07 $ 1047 $ 1089 $ 11.32
$16.77 $16.69 -0.48% $0.96 $ 17.36 $ 1805 $ 1877 $ 19.52
$29.70 $29.65 -0.17% $0.60 $ 3084 $ 32.07 $ 3335 $ 34.69
2019 2020 2021 2022 2023 2024
61,460 $165,942 $141,358 $145,599 $149,967 $154,466 $159,100
622 $72,252 $67,176 $69,191 $71,267 $73,405 $75,607
3,809 $766,523 $609,288 $627,566 $646,393 $665,785 $685,759 Value of Contract Over Five Years
1,304 $464,746 $296,530 $305,425 $314,588 $324,026 _ $333,747
$1,469,462 $1,114,351 $1,147,782 $1,182,215 $1,217,682 $1,254,212 $5,916,242
2019 2020 2021 2022 2023 2024
61,460 $165,942 $169,015 $175,776 $182,807 $190,119 $197,724
622 $72,252 $72,252 $75,142 $78,147 $81,273 $84,524
3,809 $766,523 $762,867 $793,381 $825,116 $858,121 $892,446
1,304 $464,746 $463,963 $482,522 $501,823 $521,896 $542,771
$1,469,462 $1,468,096 $1,526,820 $1,587,893 $1,651,409 $1,717,465 $7,951,683
$353,745 $379,038 $405,678 $433,727 $463,253
2020 $2,035,441
Every Week 2x/Month LRS Reg Groot Reg 1x/Month
$4.13 $274.76 $159.12 $116.16 $108.00 $109.56 ($1.56)
$5.50 $346.00 $192.00 $200.28 $159.96 $126.00 $33.96
$8.00 $476.00 $252.00 $355.80 $227.40 $156.00 $71.40
$5.00
$3.00

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RESOLUTION NO. 19-R-0038
A RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE A CERTAIN
CONTRACT WITH GROOT INDUSTRIES INC. — RESIDENTIAL SOLID WASTE,
RECYCLING AND YARD WASTE COLLECTION
BE IT RESOLVED by the City Council of the City of West Chicago, in regular session
assembled, that the Mayor is hereby authorized to execute a certain contract with Groot Industries, Inc.
for residential solid waste, recycling and yard waste collection, a copy of which is attached hereto and
incorporated herein in substantially the same form as Exhibit “A”.
APPROVED this 3™ day of September, 2019.
AYES:
NAYS:
ABSTAIN:
ABSENT:
Mayor
ATTEST:
City Clerk