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the project because Redwood City is outside of their service area. Staff found the verbal <br />pricing to be consistent with the proposal from Greg’s Trucking. Staff also compared <br />rates with a recent hauling contract executed by the County of San Mateo and found <br />that Greg’s Trucking quoted comparable rates. <br />Trucking and hauling services may be billed using various rate structures, such as a <br />price per hour or price per ton. The current bid is based on an hourly rate. A cost <br />comparison using per ton rates from a nearby agency showed that a per-ton price <br />structure would be more expensive than paying by the hour. Staff calculated a previous <br />invoice using both methods and found that for that particular 8-hour workday where 288 <br />tons of material were disposed, it would cost the City $856 to pay Greg’s $107 hourly <br />rate, compared to $3,888 to pay $13.50 per ton, the cheapest tonnage price paid by a <br />nearby agency. Staff noticed this pattern develop over multiple invoices, and <br />determined that an hourly rate structure is beneficial for PWS because the department <br />disposes of large volumes of debris with less frequency. <br />To facilitate correct hourly billing, staff will confirm the number of hours reported on <br />each invoice by checking backup documentation, which show arrival and departure <br />times, and requiring drivers to check-in with PWS staff when arriving and departing from <br />the PWS corporation yard. <br />PWS recommends awarding a one-year agreement to Greg’s Trucking, with the option <br />to extend for three additional one-year terms. The tables below summarize the <br />anticipated cost for each year of the contract and the hourly rates for the first year. <br /> <br />Contract Year Yearly Total Contract Total <br />Year 1 $100,000.00 $100,000.00 <br />Year 2 $100,000.00 $200,000.00 <br />Year 3 $100,000.00 $300,000.00 <br />Year 4 $100,000.00 $400,000.00 <br /> <br /> <br />Description <br />Regular <br />Response <br />Price <br />Emergency <br />Response <br />Price <br /> <br />End Dump and driver, Pickup of material from site and <br />delivered as needed <br />$107.00 / hr. $117.70 / hr. <br />Transfer Unit and Driver, Pickup of material from site <br />and delivered as needed $108.00 / hr. $118.80 / hr. <br />6.1.A. - Page 2