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Page 2 of 4 That same year, the City conducted a public procurement process to secure a provider for recyclable materials processing. However, due to the implementation of China’s “National Sword” policy, which imposed strict contamination standards for recyclable materials and restricted the import of solid waste, the City did not receive any proposals. As a result, PGS agreed to continue providing recyclable materials processing services until the City identified an alternative provider. In the interim, PGS secured third-party organics processing capacity at rates and terms acceptable to the City, addressing the need for that service. By 2024, with the introduction of a new statewide recycling policy (SB 54) that mandates higher levels of material recovery and an improved market for recycling services, the City determined it was appropriate to seek a new recyclable materials processing service provider. On September 16, 2024, the City issued an RFP for recyclable materials processing and diversion services. Three qualified proposals were received, and the City undertook a comprehensive evaluation process to determine the most suitable provider. DISCUSSION The City conducted a competitive procurement process to secure a new recyclable materials processing and diversion service provider. The key milestones in the RFP process were as follows: Three proposals were received from Cal-Waste Industries (Cal-Waste), Republic Services, Inc (Republic), and GreenWaste. Staff performed a preliminary review of all proposals to ensure they adhered to the requirements specified in the RFP. Following a compliance check, a shortlist was developed based on presented costs: Republic and GreenWaste. Staff then conducted a detailed evaluation based on proposal evaluation criteria. To gain a deeper understanding of the proposers, the City conducted interviews and facility tours with Republic and GreenWaste. Based on the city’s due diligence review and evaluation of the proposals received, consistent with the evaluation criteria established in the RFP, staff determined that GreenWaste is the most favorable option for the City based on various factors, including cost-effectiveness, processing capabilities, compliance with SB 54 requirements, and overall service quality. Evaluation Considerations In March, City staff and the City Council Waste and Recycling Subcommittee met to review the final proposal and agreement terms and to make a recommendation to the City Council for the selection of a contractor. Staff and the Waste and Recycling Subcommittee find that GreenWaste offers the City the best overall value among the proposals received and recommend the City Council award the Agreement to GreenWaste. Page 67 of 223