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HomeMy WebLinkAboutRepublic ServicesREPUBL IC SERVICES We'II handle it from here. PROPOSAL FOR CITY OF WATERLOO RECYCLING PROCESSING SERVICES 10/12/17 SUBMITTED BY: RAY CARTER GENERAL MANAGER 563-823-1318 SRT. REPUBLIC i 4a SERVICES Summary of Proposal City of Waterloo Recycling Processing Republic Services of Iowa is prepared to process the estimated tons of single stream recyclables generated by the City of Waterloo's curbside program at our Cedar Rapids facility.The Republic Services accounting staff is prepared to provide proper reporting and scale weights as agreed upon by both parties. Our seasoned customer service team is also trained and prepared for communications with our operations team. Republic Services of Iowa, previously City Carton Recycling, has been marketing single -stream materials since 1998. We have established strong relationships with multiple domestic and international outlets due to our consistent material quality and quantity. Republic Services' Material Marketing Group, from our Corporate Headquarters, is able to receive premium pricing from its mills by leveraging large tonnage amounts to secure contracts and consistent purchase orders. This sets us apart from our smaller competitors by offering consistent superior quality and tonnage to domestic and international mills. Our consistent material generation has also allowed us to diversify to multiple outlets to ensure material movement at all times. We coordinate with our end markets to ship via truck, sea container and railcar allowing us to optimize our sales markets. Our team values the relationships we have built with the mills, making a point to have face-to-face contact with each mill multiple times per year. We actively follow material markets, allowing our team to respond quickly to market fluctuations and capitalize on increased pricing opportunities. Our long-lasting relationships have solidified markets and opened the door for new markets both domestically and internationally. Republic Services continues to invest in proven technologies to control costs and to simplify and streamline recycling for our customers. For example, advanced sorting equipment, such as disk screens, magnets and optical sorters, identifies and separates different kinds of paper, metals, plastics and other materials to increase efficiency and maximize our recycling efforts. The processing structure was built in 1998 and is made [Enter Solicitation Number here] Competition Sensitive Page i of iii Q. 00 REPUBLIC SERVICES City of Waterloo Recycling Processing of concrete stand-up sections. The building consists of 43,200 square feet of space. The receiving area is 8,400 square feet, the processing area for single -stream recycling is 19,200 square feet and the storage area is 14,400 square feet. The building has 12 dock height doors and 7 ground level doors. Estimated volume of the area for receiving unprocessed material is 660 tons. In 2015, Republic Services of Iowa installed two new two -ram balers in our Cedar Rapids location. A plastics separating line was completed in October 2017 to increase the recovery of non -fiber materials. Plans are in place to add on to the tipping floor at this location in the future to allow for growth and development of new and existing single -stream contracts. In the event of planned or unanticipated shutdowns, maintenance, or renovation periods, Republic Services has the ability to move materials to our locations in St. Louis and Minneapolis. Past experience has taught us that contingency plans are a necessity, and from time to time we have moved specific customer materials to other Republic Services locations for processing. Customer service is currently, and will remain, a top priority in regards to the movement, storing and processing of recyclable materials. Internally, Republic Services has its own proven and experienced Maintenance Department, which is capable of making timely repairs to equipment as needed. The company also runs an ongoing preventative maintenance program at our Republic Services locations to reduce the amount of downtime as much as possible. Our maintenance staff understands that any unplanned malfunctions must be addressed in a timely manner. The Maintenance Department tracks wear and usage of parts, and has an order processing system in place to ensure all normal wear parts are readily available. [Enter Solicitation Number here] Competition Sensitive Page ii of iii so REPUBLIC / toSERVICES City of Waterloo Recycling Processing References 1.) Company Name: Cedar Rapids Linn County Solid Waste Agency Company Address: 1954 County Home Road, Marion, IA 52302 Company Contact: Ms. Karmen McShane Title of Contact: Executive Director Phone Number: (319)377-5290 Date of Services: 1998 - current 2.) Company Name: City of Iowa City Company Address: 410 E Washington St., Iowa City, IA Company Contact: Ms. Jennifer Jordan Title of Contact: Resource Management Superintendent Phone Number: (319)887-6160 Date of Services: 1995 - current 3.) Company Name: Tama County Company Address: 2872 K Ave, Toledo, IA Company Contact: Dave Sherwood Title of Contact: Tama County Landfill Phone Number: (319)560-9448 Date of Services: 2017 through current [Enter Solicitation Number here] Competition Sensitive Page iii of iii �R� REPUBLIC / �V SERVICES Material Specifications City of Waterloo Recycling Processing Acceptable Items Aluminum Beverage Containers Boxboard / Chipboard / Brown Paper Bags • Cereal Boxes • Food Boxes • Pop/Soda Boxes Cardboard Boxes Cartons (Aseptic and Gable Top) Catalogs Magazines Mixed Paper (Shredded or Unshredded) • All White, Colored, and Coated Papers • Brochures and Pamphlets • Correspondence Papers (Letterhead, Direct Mail Pieces and Advertising) • Envelopes (With Plastic Windows or Labels) • Folders (Manila, Coated, or Colored) Manuals with Glued Bindings • Paper from Legal Pads, Steno Note Pads • Posters / Receipts • Scratch, Message, and Memo Pads / Self - Adhesive Notes • Soft -Covered Books / Paperback Books Newspapers/Advertising Inserts Phone Books Plastic Containers #1 through #7 (Except Styrofoam) • Plastic Bottles (Rinse Out) • Plastic Food Containers (Rinse Out) • Yogurt Containers (Rinse Out) Aluminum/Steel/Tin Beverage & Food Containers • Fruit Cans (Rinse Out) • Soup Cans (Rinse Out) • Any Other Cans (Rinse Out) [Enter Solicitation Number here] Unacceptable Items Plastic Bags Plastic Film Glass (any kind) Shredded Paper Rigid Plastics • 5 Gallon Buckets • Toys • Plastic Trash Cans Motor Oil Bottles Plastic Trash Cans Styrofoam 3 -ring Binders Spiral Notebooks Hoses Bike Helmets Stryrofoam Competition Sensitive Page 1 of 1 lk?REPUBLIC 64 SERVICES City of Waterloo Recycling Processing Republic Services of Iowa, LLC is proposing an alternative pricing structure for the single stream material bidding per the RFP. Attached is a spreadsheet outlining the pricing structure being proposed. Please refer to the "Cost for Service" spreadsheet (see next page) as a guideline for the following statements: 1. Republic Services will generate a breakdown of materials based upon the percentages after processing through the single stream system. These percentages will be used going forward until an audit of material is requested by either party. 2. The grades that will be used for generating the AMV (Average Market Value) are OCC (Cardboard), #8 News, Mix Paper, Commingled Plastic Containers 1-7, Tin, Glass and Residual Garbage. 3. The AMV will be a weighted average based on the percentages. 4. The City of Waterloo will pay Republic Services if the formula calculates the processing fee to exceed the percent of revenue share. There will be no floor on the pricing. 5. An annual pricing increase for the processing fee will be at 3% or the CPI, whichever is greater. 6. Calculations examples are included. [Enter Solicitation Number here] Competition Sensitive Page 1 of 3 „•• REPUBLIC r' �� SERVICES City of Waterloo Recycling Processing City of Waterloo Total Rev Share (charge) a ) $ (1.839 839.33 1 :::.::::::::::::::::::::::.:::::::.......:.......................................................................................... October -17 Product Mix Percent Estimated Weight' Processing Cost/Ton (FY37,FY18) Processing Cast Weighted Avg Allocation'. Finished Commodity Value Commodity Weighted Avg Allocation••• Net Tipping Charge"" Market Indicator Mored Glass 2.00% 0.83 $ 65.00 $ 1.30 5 1550) $ 10.100) $ 1.40 Fixed Rate"•"•" I.7 Commingled 10.00% 4.17 $ 65.00 $ 630 $ 30.00 $ 3.000 $ 350 End Market Price Residual Garbage 7.00% 2.92 $ 65.00 $ 4.55 5 164.001 $ (4.480) $ 9.03 Fixed Rate" •." Tin 4,00% 1.67 $ 65.00 $ 2.60 5 145.00 $ 5.800 $ (3.20) End Market Price OCC 18.00% 730 $ 65.00 $ 11.70 $ 120.00 $ 21.600 $ (9.90) OBM Chicago OCC 311 High Mixed Paper 36.00% 15.00 $ 65.00 $ 23.40 $ 35.00 $ 12.600 $ 10.80 OBM Chicago Mired 92 High ONP 23.00% 9.58 $ 65.00 $ 14.95 $ 55.00 $ 12.650 $ 2.30 OBM Chicago News 98 High Estimated Tons Adjustments Net Tons Comments= " •• ••• •"•" by Net Tons by Processing Cost/Ton by Finished Commodity Value Avg Allocation minus 80% ••••• outlet costs to include .. 100.0% $ 85.00 $ 51.07 $ 13.93 41.67 0.00 Processing Cost Commodity Pay Back @ Net Revenue Share (Charge) Commodity Weighted Avg Allocation IPer Ton 1 Total $ (85.00) $ (3,541.67) $ 40.86 $ 1,702.33 $ (44.14) $ (1,839.33) Determined by end market transportation and handling. 41.67 Percent multiplied Percent multiplied Percent multiplied Processing Cost Weighted [Enter Solicitation Number here] Competition Sensitive Page 2 of 3 C? REPUBLIC t$0.4 SERVICES City of Waterloo Recycling Processing Expectations and Deviations 1. Section II, A. Scope of Work. Materials will be processed at Republic Services Cedar Rapids, IA location. Contamination and Residuals will be properly disposed of at a landfill as determined by Republic Services. 2. Section II, F. Contract Award, #8. Republic Services will not specifically name the City of Waterloo as additional insured; instead we will provide a generic certificate of insured which will be used to cover the scope of work. 3. Section III, A. Recycling Methods. An updated list of acceptable materials is being provided in the proposal. 4. Section III, D. Addendum to Specifications. No addenda were provided by the City of Waterloo. 5. Section III, E. Selection of Firm, #4 Pricing requirements. Alternative pricing structure does not indicate both words and figures. We will only be providing figures on this submission. 6. Section III, F. General Contract Provisions, #7 Contract Period. Extension of contract will be upon mutual decision between Republic Services and the City of Waterloo. 7. Section III, F. General Contract Provisions, #1 1 Indemnity. This section will be negotiated by Republic Services legal team during contract negotiations. 8. Section IV, Pricing and Company Information Form. Alternative Fee structure is provided; Republic Services will not be offering pricing other than the Alternative Fee structure. This structure is based on materials delivered to Republic Services Cedar Rapids location. This structure also does not provide transportation to Cedar Rapids, IA. An agreement may be negotiated by both parties separate of this proposal. [Enter Solicitation Number here] Competition Sensitive Page 3 of 3 6,4/ei &pouf le( icr p'°'1 wvi ccS 5g4nt4!kc( b� R•• REPUBLIC I SERVICES 1 City of Waterloo Recycling Processing 41 Executive Summary 92% of municipalities partnered with Republic Services extend their contracts because ofour partnerships and local expertise offering simple, reliab/e solutions that are environmentally responsible. Best Value We'll handle it from hereTM, our brand's promise, lets customers know they can always rely on us to handle their recycling and waste needs in a way that is easy and effortless for them. There is an undeniable energy of excellence at Republic, and it is surging through everything we do. Excellence is the essence of our Growth through Differentiation strategy. We believe that excellence means being better than competitors at everything we do. Every day. We begin by actively listening to our customers. We seek out thousands of conversations each month, mining for insights Republic Services is your low-risk, best value partner 12 Reliable - 99.9% pickup rate Environmental Responsibility - over 2,400 CNG trucks nationwide Safer - 41 % fewer incidents than industry average Simple Solutions — Customer App, My Resource Only recycling and waste company named to the 2017 Forbes America's Best Employer List Only recycling and waste company on the Dow Jones Sustainability Index North America and World Indicies mi Member of 2017 World's Most Ethichal Company®List by Ethisphere Institute Three fully staffed, US -based, national customer resource centers into customer wants and needs. Those insights lead to innovation. Our innovation brings about simple solutions for our customers. We configure products and services to the individual customer, at the right price. Next, we make it an effortless and enjoyable experience. We enable customers to interact Figure 1. You're Low -Risk, Best Value Partner - Republic Services is proud to lead the industry in many key factors thnt mrrGo uc unur nrPffrrPri nnrtnPr for munirinnl rPrvrlinn and W(KtP SPrlirP' Strep • the of our Com )any 99.9% On-time pickup rate 41% safer than industry average Simple Solutions for your community waste and recycling needs Benefits to Munici alit Happy community; fewer calls to city hall Fewer incidents; safer community streets for children at play Easy access to solutions for the growing number of waste streams Recognized Globally on Dow Jones Sustainability Index Peace of mind that you have a global leader in sustainable initiatives as your partner Most advanced, integrated Customer Resource Centers in the industry Web and Smartphone based apps for easy access by community residents to relevant information Robust community education and outreach Longer customer service hours, with hundreds of trained agents networked together nationwide Stronger communications, and ease of alert and news dissemination Better informed community leads to lower contamination and greater diversion rates [Enter Solicitation Number here] Competition Sensitive Page 1 of 31 . REPUBLIC J dotsSERVICES 1 City of Waterloo Recycling Processing with us on their terms: online, in-person or by phone. Then, the best people deliver a superior product or service, fulfilling and exceeding our promise. Every time. The zeal for our customers has brought forth new and exciting changes. From operations to talent to technology, we are focused on not just meeting the needs of our 14 million customers, but exceeding them. Low cost providers in the industry sacrifice one or more of these elements, translating to risk to your municipality. Republic Services is your best -value partner, through our proven and demonstrated balance of these factors, while serving over 2,700 municipal contracts today. Sustainability Sustainability contributes to a cleaner world, while also providing opportunities to improve brand awareness, to increase customer loyalty, to grow our business, to motivate our employees and to differentiate Republic Services from our competitors. We believe we have a responsibility to regenerate our planet with the materials we are entrusted to handle every day by driving increased recycling, generating renewable energy, and helping our customers be more resourceful. Additionally, we must lead by example, working diligently to improve our relationship with the environment and society through decreased vehicle emissions, innovative landfill technologies, use of renewable energy, community engagement and employee growth opportunities. Operations We exercise the utmost responsibility in our operations. This includes our fleet, our buildings, our landfill technology and the day- to-day activities we conduct in our communities. We are working hard to understand and measure our impact on air, land and water to minimize or eliminate any negative consequences, where possible. Materials Management We recognize the responsibility and opportunity we have in managing the nation's waste stream to provide a source of recovered and renewable materials and energy to the economy. We are innovative and constantly exploring new options to capture value and energy from materials in the waste stream, while ensuring environmental responsibility and sustainability. Figure 2.5 Elements of Sustainability - These commitments are reflected in the way we do business and guided by the five elements of our sustainability platform. Operations 4111 Nah Materials Management Communities Safety People [Enter Solicitation Number here] Competition Sensitive Page 2 of 31 Ralik REPUBLIC SERVICES City of Waterloo Recycling Processing Safety We prioritize safety above all else. When people feel safe, they can fully participate in the opportunities that are available to them every day. Republic has a consistently low and trending lower occurrence of incidents and accidents and is known for its strict focus on safety and corresponding best in industry, multi -faceted, and well organized safety program. Republic's average OSHA scores are lower than the average OSHA scores for the waste industry according to Department of Labor, Bureau and Statistics Data. Employees, the general public, and rate payers all benefit from Republic's dedication to safety. Republic has been and will continue to strive to be the safest waste services company in America. We are 41 percent safer than our competition. Republic also has one of the youngest fleets among waste services providers in the United States. People Engaged employees are the greatest indicator of our success. We provide ongoing job training, growth and development opportunities for our employees at every level. We are invested in our employees and continue to look for meaningful ways to Figure 3. An industry leading safety program that has been 41 % better than the industry average. /t's the Right Thing demonstrate our appreciation for the hard work and dedication they show each and every day. Republic is a local company staffed with a committed team of nearly 150 professionals who take personal responsibility for serving customers with care, and Republic is also an industry leader providing the strength of its national network, decades of experience, diversified capabilities and expertise serving clients of all sizes—including, proudly, the City of Waterloo. Customer First In 2016, Republic Services made a major commitment to further differentiate from our competitors by investing in the enhancement of the quality and reliability of our customer service capabilities. To accomplish this, we consolidated hundreds of small call centers across the country into three state-of-the-art, fully integrated Customer Resource Centers (CRC) located in Phoenix, AZ, Indianapolis, IN, and Charlotte, NC. These facilities were selected for their location to ensure we can deliver call support for 15 hours per day (7:OOam Eastern to 7:OOpm Pacific) on weekdays, and 5 hours on Saturday. [Enter Solicitation Number here] Competition Sensitive Page 3 of 31 4E. aREPUBLIC I �a SERVICES City of Waterloo Recycling Processing Company Overview Republic Services is a leading provider of municipal recycling and waste services in the country, serving over 2,700 communities, with over 14 million customers in 39 states and Puerto Rico. Our Company Republic Services is an industry leader in the non -hazardous solid waste industry with revenues in excess of $9.3 billion and over 33,000 dedicated employees. Figure 5 shows our lineage, which includes three of the industries most recognized brands, who combined in 2008. All of our legacy brands operate today as a part of the Republic Services family. Republic's collection companies, transfer stations, recycling centers and landfills focus on providing effortless solutions for our more than 14 million commercial, industrial, and residential customers. Republic Services responsibly operates 333 collection operations, 204 transfer stations, 192 active solid waste landfills and 64 recycling centers across 39 states and Puerto Rico. We also have 71 landfill gas and renewable energy projects and are adding new facilities every year. In our Energy Services vertical, we have 7 treatment, recover, and disposal facilities as well as 10 salt water disposal wells. Figure 4, We'll Handle It From Here r^'- Our brand promise to you is backed by our three pillars of differentiation, enabling us to be your preferred recycling and waste partner. [Enter Solicitation Number here] Competition Sensitive Page 4 of 31 •My Resource Simple •AII in One Office Recycling •Electronics Recycling Solutions •Universal Recycling • eCommerce •99.9% Pickup Rate •1st Call Resolution Reliability •41% Safer Drivers •Youngest Fleet in the Industry •Digital Operations •Recycle Offerings Environmental •Over 2400 CNG Powered Vehicles ' Landfill e & Renewable ResponsibilityEnergy Projects •Sustalnability Commitments [Enter Solicitation Number here] Competition Sensitive Page 4 of 31 -1k, 7; REPUBLIC SERVICES City of Waterloo Recycling Processing Figure 6. Environmental Responsibility - As stewards of our Blue PlanetTmwe have a responsibility to regenerate our planet with materials we are entrusted to handle every day With over 16,000 vehicles Republic deploys the 8th largest fleet in the U.S. to collect approximately 100 million tons of waste and collect five million tons of recyclables. Vision Republic Services' vision is to be America's preferred recycling and waste services partner. We'll earn this by providing our customers with simple solutions, reliability and environmental responsibility, wrapped with a level of service unmatched anywhere else in our industry. Values We believe that empowered and engaged employees are the greatest indicator of our success. We are guided by the principles we have adopted as our core values — to be Figure S. Key Company Statistics - Republic Services is an industry leader in the U.S. non -hazardous solid waste industry 33K emplayeer. n= includ.nl; plck•ups each day 333 collection operations 71 [Enter Solicitation Number here] 15K drivers 20 operating the 240 markets transfer stations landfill gas & renewable energy projects 6 8th largest v:ratinnrl fleet in the country CfoS] recycling centers 192 active landfills 7 39 states and Puerto Rico treatment, recovery, and disposal facilities 10 salt water disposal wells Competition Sensitive Page 5 of 31 mit . REPUBLIC I �� SERVICES ! City of Waterloo Recycling Processing Respectful, Responsible, Reliable, Resourceful and Relentless in all we do, every day. We are reminded of these principles every time we see the five R's joined together to form the Republic Services' Star. Strategy Our strategy is profitable growth through differentiation. Simply put, we hire the best people that deliver the best products that best meet our customers' needs. Brand We'll handle it from here.TM, our brand's promise, lets customers know they can always rely on us to handle their recycling and waste needs in a way that is easy and effortless for them. Sustainability At Republic Services, we are dedicated environmental stewards entrusted to properly handle materials every day by driving increased recycling, generating renewable energy, and helping our customers be more resourceful. Republic Services leads by example, working diligently to improve our relationship with the environment and society through decreased vehicle emissions, innovative landfill technologies, use of renewable energy, community engagement and employee growth opportunities. Sustainability contributes to a cleaner world, while also providing opportunities to increase customer loyalty, grow our business, motivate our employees and differentiate Republic Services from our competitors. People Our people are the center of our success. Attracting, developing and engaging the best talent is critical to our strategy of profitable growth through differentiation. Whether it's through our dedication to safety, robust IMF learning and talent development programs or expanding our diversity and inclusion initiative, Mosaic, we are committed to making Republic Services an Employer of Choice where the best and brightest come to work. Leadership Republic Services' operations are national in scope, but the physical collection and disposal of waste is very much a local business and the dynamics and opportunities differ in each of our markets. Our national presence allows us to identify and incorporate best practices that drive greater overall operating efficiency across the company while maintaining day-to-day operating decisions at the local level, closest to the customer. We manage our operations through ten geographic operating areas, consisting of multiple divisions that each provides recycling and waste collection, transportation and disposal services. Your municipal contract will be executed locally, by our seasoned team located in Cedar Rapids. This team is fully empowered within our company structure to deliver on our promise to be your preferred recycling and waste provider. This local team is only two levels removed from our corporate staff, which means the backing and support of a national company is accessible on a moment's notice. Ownership Republic Services, Inc. is a publicly traded company on the New York Stock Exchange (NYSE symbol: RSG). Ownership beyond five percent The following table shows certain information as of January 6, 2017 with respect to the ownership of common stock by each shareholder who is known by Republic [Enter Solicitation Number here] Competition Sensitive Page 6 of 31 RirROw REPUBLIC I 6a SERVICES I City of Waterloo Recycling Processing Services to own more than 5% of our outstanding common stock: Credit Rating Republic Services, Inc. has an "investment grade" rating. No creditor is owed a debt greater than 10 percent of the Company's total assets. Associations Republic Services is a member of the following associations and organizations. Republic Services employees are actively engaged in these organizations. In many cases, our employees serve on the Boards of Directors and are elected officers in many of these associations. • National Waste & Recycling Association (NW&RA) • Solid Waste Association of North America (SWANA) • Environmental Research and Education Foundation (EREF) • United States Green Building Council Name of Owner Shares Outstanding Cascade Investment, LLC 32.0% 108.8M The Vanguard Group, Inc. 5.2 % 17.8M (USGBC) • Public Affairs Council • U.S. Conference of Mayors, Solid Waste Advisory Council • National League of Cities (NLC) [Enter Solicitation Number here] • International City Managers Association (ICMA) Figure 7. Republic Services is a proud member of our industry association as well as many other trade associations. 1I National Waste & Recycling Association. Collect. Recycle. Innovate. Competition Sensitive Page 7 of 31 UM R00 REPUBLIC / ivSERVICES City of Waterloo Recycling Processing Facilities Itis our business to help you and your residents to he environmentally responsible at their homes and woi /places. As you would expect, we strive to be exemplary in our own environmental compliance and responsibilitT Our facilities are engineered for safe, environmentally friendly operations. We use sustainable materials that facilitate energy and water conservation, as well as design principles to enhance employee and guest safety and comfort. Providing outstanding recycling and waste services for your community requires the existence of multiple types of facilities, which typically include: • Hauling Company • Transfer Station • Material Recovery Facility (MRF) • Landfill • Customer Resource Center (CRC) Below is a brief description of our most common facility types. One or more of these facility types may reside at the same physical address/location in a city. Figure 8. Hauling Company - Our hauling operations are the core of the collection service to your community, offering the newest truck fleet with the most tenured drivers in the industry [Enter Solicitation Number here] Facilities that work with the environment are basic design elements at Republic • Our newest recycling center uses 75 percent recycled steel and 1,776 solar panels. • More than half of the materials in our new Customer Resource Center is from repurposed materials and has LED and natural lighting throughout. Low -flow water fixtures and xeriscaping in our newest facility in the Southwest reduces water consumption by 20 percent. ❑ Republic Services has operations in 240 markets across the US G Responsibily operate 333 collection operations across the country Hauling Company A hauling company is the location that community recycling and waste collection services are based. These facilities typically serve several important functions that are critical to delivering exceptional service to your residents: • A yard for parking all the trucks that serve the community, including fueling infrastructure if possible • Storage yard for spare containers and containers, used to serve the residential, commercial and industrial customers in the community • An industry leading maintenance facility, which delivers service for the trucks and containers • Training facilities to keep our workforce at the forefront of learning and safety • Administrative offices to interact with your municipal staff It is typical that our largest workforce presence exists at a hauling company, to support the complex operation that goes into serving your community with 99.9% reliable on-time pickups every Competition Sensitive Page 8 of 31 CRTs REPUBLIC eya SERVICES City of Waterloo Recycling Processing Transfer Station A transfer station is frequently used in communities that are located outside the recommended drive time from a landfill or other post -collection facility. The purpose of transfer stations is to enable the efficient transfer of recycling or municipal solid waste from the collection trucks to tractor trailer trucks that can more efficiently transport the material to the appropriate post -collection facility. Typical transfer stations consist of a large concrete tip floor, where collection trucks deposit the material after their trucks reach capacity on a route. Once on the tip floor, material is transferred to larger tractor trailers, where the material is hauled to the MRF, landfill or other post collection facility. At Republic Services, our transfer stations are designed and operated with a focus on safety, environmental responsibility, and being a good neighbor. We invest frequently in Republic operated facilities to ensure they meet appropriate standards for operations and fit well within the areas in which they are located. Figure 9. Transfer Stations - Reduce wear on roads and trucks by offering an efficient and local transfer of material for transport to post collection facilities Material Recovery Facility (MRF) A Material Recovery Facility (MRF) is a very complex facility that is designed to receive process and package the various recyclable commodities that are collected in the community. Material collected on recycling routes is brought to the MRF, where it is deposited on the tip floor. From there, the material is loaded onto a large conveyor belt that progresses through multiple stations in the facility. Each station of a MRF is specifically engineered to separate unique types of material from the recycling stream on the belt, such that all material is uniquely separated by the time it reaches the end of the MRF line. Once each commodity is separated, it is baled to assist in transportation and sale to end market buyers. Examples of the typical commodities separated in a MRF include: • Cardboard • Paper • Plastics • Cartons • Aluminum Figure 10. Material Recovery Facility (MRF) - Republic Services operates some of the most advanced Materia! Recovery Facilities (MRF) in the country [Enter Solicitation Number here] Competition Sensitive Page 9 of 31 SRT REPUBLIC 404111 SERVICES City of Waterloo Recycling Processing Landfill A landfill is where material that cannot be recycled in some manner is processed for disposal. This can be one of the most complex facilities in our portfolio due to the tremendous responsibility we hold to appropriately handle the nation's waste. Each landfill is segmented into cells, which are engineered in sections to handle the waste deposited at the facility. All of our landfill facilities are subject to the Resource Conservation Recovery Act (RCRA) Subtitle D regulations which ensure that the facility contains: • Liner in the bottom of each cell to separate the deposited waste from the environment • Layers of daily waste deposits from the community • A layer of daily cover, such as soil to help reduce odors • An elaborate leachate system, which catches and processes rain water that leaches through the landfill over time • A complex system of pipes and pumps that capture and process the landfill gas (methane) which is a natural byproduct of waste over a period of time. • An engineered cap that is placed over the top of a closed cell Figure 11. Landfill - Our landfill operations are staffed by highly trained environmental and landfill engineers [Enter Solicitation Number here] • A top cover of soil that is placed over the top of a capped cell Our landfills are staffed by trained environmental engineers who monitor the operations daily, as well as monitor closed landfill facilities for years after they have been closed and capped. Customer Resource Center (CRC) In 2016, Republic consolidated hundreds of small call centers into three state-of-the-art, fully integrated Customer Resource Centers (CRC) located in Phoenix AZ, Indianapolis IN, and Charlotte NC. These facilities were selected for their location to ensure we can deliver call support for 15 hours per day (7:OOam Eastern to 7:OOpm Pacific) on weekdays, and 5 hours on Saturday. These facility locations were also selected in markets known for a high population of call center agents, which means they are staffed with a highly trained and carefully selected staff who have each passed a rigorous 5 week training course. Additionally, every agent is equipped with industry-leading technology to ensure a superior customer experience when they call with questions or to request additional service. Figure 12. Customer Resource Centers (CRC) - combine state-of-the-art technology to give customers the best service possible Competition Sensitive Page 10 of 31 SRT REPUBLIC / �4 SERVICES City of Waterloo Recycling Processing Post Collections - Transfer Stations & Landfills Responsible waste disposal requires science, engineering and technology to manage an evolving waste stream in a manner that is protective of the air, land and water upon which our communities depend. Post Collection Process After waste is collected the material will be delivered to one of two places; a transfer station for further consolidation and transportation to a landfill or it will be direct hauled to a landfill for final disposal Transfer Station Republic Services owns or operate 204 transfer stations throughout the United States. In its simplest form, a transfer station is a facility with a designated receiving area where waste collection vehicles empty their loads. The waste is then consolidated and loaded into larger vehicles for more efficient transport to an area landfill. No overnight storage of waste occurs at a transfer station; waste is quickly consolidated and loaded into larger vehicles and moved off-site. A transfer station allows waste to be efficiently transported long distances, driving down costs for businesses and residents and positively impacting the environment through reduced air emissions and energy usage. Benefits of Transfer Stations: • Service customers faster • Reduction of Greenhouse gasses and traffic congestion [Enter Solicitation Number here] A national leader in compliant and sustainable transfer stations and landfills Our transfer stations and landfills are designed, constructed, operated using the latest resources in environmental protection and monitoring technologies 71 landfill gas -to -energy projects have created enough energy to power over 250,000 homes 1.4B gallons of treated water returned to nation's watershed Cedar Falls Transfer Station Profile Republic Services owns and operates the former City Carton material recovery facility located at 1415 Dunkerton Rd, Cedar Falls, IA. Figure 13. Transfer Stations reduce greenhouse gasses and traffic congestion in your community. Competition Sensitive Page 11 of 31 eo REPUBLIC 606 SERVICES City of Waterloo Recycling Processing Regulatory Compliance We have an excellent record of compliance with Federal, State, and local regulatory requirements. In fact, our Environmental Managers (EM) are dedicated to this specific task. Our EMs have significant experience in the environmental and solid waste industry and have dealt with all aspects of Federal, State, and local regulations. Additionally, the EMs use a Compliance Tracking and Reporting System (CTRS), which is an intranet -based software system that assists them with tracking specific compliance tasks. The CTRS provides notification of specific permit conditions so that the conditions are satisfied and documented in an appropriate timeframe. We obtain permits for our facilities and continuously renew these permits before they expire. Our EMs are well -versed with the permitting process for all types of solid waste facilities and have excellent relationships with the staff of the State's Solid Waste Section. Through these relationships, our permit applications are readily reviewed and approved without comment. Elk [Enter Solicitation Number here] Competition Sensitive Page 12 of 31 • REPUBLIC ij 04 SERVICES City of Waterloo Recycling Processing Post Collections - MRF We are committed 10 investing in recycling processing infrastructure where appropriate, with over 512M invested in 2016. We believe we have a responsibility to regenerate our planet with the materials we are entrusted to handle everyday by driving increased recycling, generating renewable energy, and helping our customers be more resourceful. Recycling Overview Republic Services owns or operates 67 recycling centers nationwide. As consumer demand for recycling services has increased, we have met the demand by integrating recycling components to each of our collection service offerings. Based on an industry trade publication, approximately 34% of municipal solid waste is recycled. Communities have increasingly committed to their residents to enhance and expand their recycling programs. We continue to focus on innovative waste disposal processes and programs to help our customers achieve their goals related to sustainability. Marketing Republic's Materials Marketing Group, a regional staff positioned throughout the country, is a team of highly experienced professionals who provide our recycling facility with assistance in the identification of material recovery opportunities and the best markets and marketing opportunities for those materials. Equipment We continue to invest in proven technologies to control costs and to simplify and streamline recycling for our customers. Advanced sorting equipment, such as disk screens, magnets and Er [Enter Solicitation Number here] optical sorters to increase efficiency and maximize our recycling efforts are used. Processing Cycle Recycling trucks collect from curbside or commercial locations, take their loads to the MRF, weigh in and continue to the tipping area. Trucks tip their loads and the loads are pushed by a rubber -tire loader into stockpiles in preparation for processing. The mixed material travels to a quality control station where contaminants and undesirable material are removed. Material goes over an OCC (Old Corrugated Cardboard) triple deck screen that has a series of shafts with discs that remove cardboard from the material stream. Remaining materials travel through ONP (Old Newsprint) screens which pull the lighter newsprint material over the deck while heavier materials (plastic, steel, glass, and aluminum) fall onto a DRS (Debris Roll Screen) and larger plastic and steel containers roll off onto a conveyor. The spacing of the ONP screens allows the glass to fall through and then is conveyed to the glass screening system. An electromagnet pulls any metal cans out of the paper stream and the paper stream continues for further separation. For additional recovery there are more screens and optical scanners to Figure 14. industry Leading Recycling Capabilities - Established screening processes to maximize material recovery Competition Sensitive Page 13 of 31 03 Goal 04 IOW capture and detect material types at the molecular level. Our goal is to reduce fleet emissions from aur direct operational impacts (Scope 1 emissions') by 3% by 2018 Safety Our goal is to reduce our OSHA recordable rates by 7% year -over -year Sustainability We in rest more than S100 million per year in our sustainability initiatives, as a commitment to our BluePlanetrn? We are the only solid waste company selected to the prestigious Dow Jones Index for Sustainability in both North American and International markets: Our industry-leading sustainability platform is focused on increasing recycling, decreasing vehicle emissions, generating renewable energy, and enabling our customers to be more resourceful. In 2016, Republic Services steadily built upon its sustainability achievements, including: • Earning the "gold standard"of corporate sustainability rankings. Republic was listed among the top companies in both the Dow Jones Sustainability Index North America and World indices. Republic is the only Figure 15. Committed to Sustainability - Our state of the art equipment minimizes residual waste. Republic's BluePlanetTM initiative strives for a cleaner, safer and healthier world Named to the Dow Jones Sustainability Index (the only solid waste company listed) Scored 98 out of 100 in the Carbon Disclosure Project S&P 500 Climate Change Assessment More than a quarter of a million homes can be powered by our 70 -plus landfill -gas -to -energy plants 2,200 (and counting) compressed natural gas vehicles recycling and solid waste collection provider in the Commercial Services and Supplies sector included in the World Index • Inclusion on two elite lists bythe Carbon Disclosure Project (CDP), including the Global ClimateA List as well as the Supplier A List. The CDP is an organization based in the United Kingdom which works with shareholders and corporations to disclosethe greenhouse emissions of major corporations. In the last assessment, we scored 98 out of 100 in the S&P 500 Climate Change Assessment • Receiving the industry's top awards for Recycling Facility of the Year. Republic's Southern Nevada Recycling Center, the largest and smartest residential recycling facility in North America, was recognized by the top two industry associations for its excellence • Recognition for landfill gas utilization excellence by the Georgia Chapter of the Solid WasteAssociation of North America. Three Republic facilities in the metro- Atlanta area generate morethan 24 [Enter Solicitation Number here] Competition Sensitive Page 14 of 31 V Pr REPUBLIC 406 SERVICES City of Waterloo Recycling Processing Safety Overview Republic Services has an industry leading safety program that has been 41% better than the industry average for the past nine years, based on OSHA data. In addition, we have been recipients of 75% of industry Driver of the Year awards for the large truck category since 2009. Republic Services and its employees maintain strict compliance with all applicable OSHA and Federal, State, and Local safety requirements while performing all work related functions. We recognize that a safe workforce is not simply a discussion with a new hire, but a dedicated plan to review, educate, and verify employee practices throughout their careers. Republic Services has the lowest occurrence of incidents and accidents in the industry due to its company -wide emphasis on safety, extensive employee training and on-going educational development programs. Republic Services requires all operations personnel to participate in extensive in house (off truck) training and testing as well as on road auditing and policy reinforcement. Republic Services offers full -spectrum safety initiatives and award-winning safety training programs to all employees. We are an industry leader in safety and we are very proud of our safety track record. Think. Choose. Live. Every day, drivers face a multitude of challenges and are required to make decisions that can greatly impact their safety, as well as the safety of those in the communities we serve. We instituted a best -in -class driver training program that drives continual improvement for all of our 15,000 drivers. [Enter Solicitation Number here] Our employees are our greatest asset, and our dedication to every employee's safety is second to none Ei 41% Safer than the Industry Average, while maintaining the 8th largest commercial fleet in the United States "Think, Choose, Live" embodies our company culture Winners of 75% of industry Driver of the Year awards since 2009 Our Think. Choose. Live. philosophy helps navigate these situations by encouraging employees to Think about what they're doing, Choose the safe answer and Live to go home to their families. ReSOP Program The Republic Safety Observation Program (ReSOP) is paramount to decreasing safety incidents throughout the company. Supervisors are required to conduct a minimum of two in- person driver observations per week. The purpose is mutual improvement in safety and service. The driver and their leaders work together towards excellence; improving safety and efficiency throughout the process. Upon completion of each ReSOP, drivers receive corresponding steps for improvement. Safety Recognition Program Figure 18. Republic Services ReSOP Program decreased safety incidents since implementation Competition Sensitive Page 16 of 31