Memorandum

City of Lawrence

City Manager’s Office

TO:	David L. Corliss, City Manager
FROM:	Jonathan Douglass, Assistant to the City Manager
CC:	Charles Soules, Director of Public Works Cynthia Boecker, Assistant City Manager Diane Stoddard, Assistant City Manager
DATE:	June 9, 2009
RE:	Baler Purchase for Wal-Mart Eco Center

Please place this item on the June 16, 2009 City Commission meeting agenda.

Wal-Mart Stores, Inc. operates the Wal-Mart Eco Center at their South Iowa Street location. The Eco Center is one of the larger recycling drop off points in Lawrence. The City of Lawrence has partnered with Wal-Mart and other private recyclers by directing the public to them through the city’s website, outreach events and other materials.

The Eco Center has collected aluminum/steel/tin cans for some time without having a baler to compact them. The materials have been boxed and shipped for sale, but this large volume of materials could not be cost effectively shipped. Due to the downturn in the recyclables market, the Eco Center determined that they could not justify the costs of a baler and were going to have to stop collecting aluminum/steel/tin.

In order to facilitate continued collection of these materials the city and Wal-Mart have reached an agreement for the city to purchase a refurbished baler for use at the Eco Center. Wal-Mart requests the purchase of the baler from a specified manufacturer and has determined a total purchase and installation cost of $4,110 plus shipping. The shipping cost is undetermined at this time but the total cost with shipping is not anticipated to exceed $5,000. The baler would be owned by the City and would be operated and maintained at the expense of Wal-Mart. City staff seeks City Commission approval of the purchase and agreement.

ACTION:      Approve ownership/maintenance agreement, waive bidding requirements and approve the purchase of a refurbished baler from J.V. Manufacturing for the use of the Wal-Mart Eco Center in the amount of $4,110 plus shipping costs.