2026-002-solid-waste-specifications.pdf

NOTICE TO BID

(RFP # 2026-002)

Posted: 08/05/2026

The City of Mercedes is requesting sealed proposals (RFP) from qualified individuals/firms interested in providing MUNICIPAL SOLID WASTE SERVICES. Qualified applicants are invited to submit qualifications and proposals for the provision of these services. In order to be considered, proposals must address each of the requests for information included in this document.

All addenda, notices, additional information, etc. will be posted on the City of Mercedes website at www.cityofmercedes.com.

One (1) original one (1) electronic copy must be sealed and returned to the City of Mercedes, City

Hall, no later than 3:00 P.M. CST on Wednesday, August 19, 2026, to the attention of:

City Secretary

Mercedes City Hall

400 S. Ohio Ave.

Mercedes, TX 78570

All proposals must be clearly marked with “RFP 2026-002 – SOLID WASTE.” Proposer is responsible for delivery of response by the date and time set for the closing of the proposal acceptance. Responses received after the date and time set for the closing will not be considered.

Proposals will be publicly opened and acknowledged after the submission deadline. The contract award is anticipated to be made on Tuesday, September 1, 2026, during the regular meeting of the

Mercedes City Commission.

All bidders must be bonded in accordance with state and local requirements.

All questions regarding the specifications or scope of work must be submitted in writing no later than August 14, 2026 at 5:00 P.M. to the City of Mercedes at:

Joselynn Castillo, City Secretary

Mercedes, TX 78570

Phone: (956) 565-3114 jcastillo@cityofmercedes.com

The City of Mercedes reserves the right to reject any and all proposals and waive informalities in proposals received.

Joselynn Castillo

City Secretary http://www.cityofmercedes.com/ mailto:jcastillo@cityofmercedes.com

Proposal Packet to Provide Municipal Solid Waste Services

TABLE OF CONTENTS Page Number

1. Introduction and Sequence of Proposal 2

2. Glossary of Terms and Definitions 2

3. Scope of Services Narrative 4

4. Periodic Term of Contract, Optional Term Period and Compensation adjustment 9

5. Interruption of Service 10

6. Termination of Contract 10

7. Bid Security and Performance Bond 11

8. Proposal Requirements 14

9. Contract Document and Amendments to RFP 16

10. Submission of Proposals 16

11. Restrictions on Communication 17

12. Evaluation Criteria 18

13. Award of Contract, Reservation of Rights, Conflicts of Interest, and Independent CONTRACTOR Status

14. Schedule of Events 22

15. Assignment and Use of Subcontractors 22

16. Exclusive Contract 23

17. Records Retention 23

18. Venue 24

Out-Of-Cycle and Bulky Items Collection – Attachment A 25

Map of Contract Area showing days of collection – Attachment B 26

Summary of Services to be provided by CONTRACTOR – Attachment C1-C2 28

Garbage and Recycling Collection Holiday – Attachment D 29

Proponent Qualifications General Questionnaire – Attachment E 30

Discretionary Contracts Disclosure – Attachment F 32

Regulatory Compliance and Criminal History Warranty – Attachment G 34

Pricing Schedule – Attachment H-1, H-2 36-37

Insurance Requirements - Attachment I 38

Indemnity Requirements Acknowledging Understanding – Attachment J 41

Signature Page for Corporation – Attachment K 43

Proposal Checklist – Attachment L 44

Proposed Rates – Attachment M 45

Statutory Requirements Certification and Acknowledgement – Attachment N 46

Ethics Statement and Acknowledgement – Attachment O 47

Certification Regarding Debarment, Suspension, And Other Responsibility Matters

– Attachment P

Completed Conflict of Interest Questionnaire (Form CIQ) – Attachment Q 49

1) INTRODUCTION AND SEQUENCE OF PROPOSAL

The City of Mercedes (“CITY”) seeks Proposals from qualified proponents interested in providing municipal solid waste services as described in this Request for Proposals (RFP).

The successful proposer will be granted an exclusive franchise, license and privilege within the territorial jurisdiction of the CITY and shall furnish all personnel, labor, equipment, trucks, and all other items necessary to collect waste materials during the term of this Contract. This includes waste containers no greater than 10 cubic yards for construction debris removal.

Municipal solid waste services include refuse collection, disposal and bulk pick up services for the City of Mercedes. Selection shall be made on the basis of the proposals most advantageous to the CITY, as determined by the CITY based on evaluation of proposal requirements. This solicitation process is governed by law and rules pertaining to

“discretionary contracts.” It is not a statutory competitive solicitation. The CITY reserves the right not to award the contract and to amend or negotiate terms of the contract after reviewing proposals that were submitted or at any time thereafter while proposals are pending.

CONTRACTORS (Proponents) interested in performing these services must submit a proposal in accordance with the following minimum requirements contained in this document.

Responses must follow the order and sequence of this Request.

The area of the CITY to be serviced by this Agreement is that area commonly known as the

City of Mercedes. It is detailed in the map, Attachment B, which attachment is incorporated herein verbatim for all purposes. The attached map represents the approximate boundaries of the service area. This contract expects growth through additional development and monthly increases in service units as noted below. The CITY reserves the option to extend the physical boundaries of the City of Mercedes shown on the attached map at any time during the contract period.

2) GLOSSARY OF TERMS AND DEFINITIONS

Whenever used in this Request the following terms shall have (unless otherwise expressly indicated) the meaning defined and obligations attendant as follows:

a. Bulky Items and White Goods: Household items consisting of large appliances, commonly referred to as white goods, along with discarded bathroom fixtures, such as sinks and toilets, furniture, and mattresses shall be picked up. The items have no size or weight limitations but are limited to residential items. Before Refrigerators, freezers, and air conditioners are picked up, the owner shall provide documentation to substantiate the Freon has been properly removed by a certified Freon Remover

Technician.

b. CITY: THE CITY OF MERCEDES, TEXAS.

c. Commercial Units: A commercial unit is a non-residential unit receiving CITY services. The CONTRACTOR shall be required to service such participating commercial units generating waste that qualifies as municipal solid waste. Commercial units, shall receive service from the CONTRACTOR on a predetermined scheduled based on number of days of service and each such commercial location (unit) shall count as one house for purposes of payment from the CITY to the CONTRACTOR.

d. Construction Debris: Waste building materials resulting from construction, remodeling, repair or demolition operations at a Residential Unit, Municipal Facility or Large Commercial and Industrial Unit.

e. CONTRACTOR: The person, corporation, partnership, or legal entity performing municipal solid waste collection and disposal service and the recycling/marketing program under this proposal and the resulting contract.

f. Director: The Public Works Director

g. DISPOSAL SITE AND TONNAGE OBLIGATIONS: The disposal site must be a legally permitted municipal solid waste depository including, but not limited to, sanitary landfills permitted or approved by all appropriate governmental agencies having jurisdiction and requiring such licenses, franchises, permits or approvals to receive for processing or final disposal municipal solid waste and dead animals.

Committed proposal prices are to include the disposal cost utilizing a legally permitted disposal facility. Under this contract, waste delivered to CONTRACTOR’s landfill or any legally permissible landfill approved by the CITY shall be credited toward the

CITY’s guaranteed tonnage requirement under respective current disposal contracts, if any such contract is already held by the successful Proponent.

h. Hazardous Waste and Industrial Waste: Hazardous Waste shall mean any liquid or solid waste identified or listed as a hazardous waste by the administrator of the United

States Environmental Protection Agency (EPA) pursuant to the Federal Solid Waste

Disposal Act, as amended by the Resource Conservation and Recovery Act of 1976 and as may be identified by any state or federal agency as hazardous or toxic and requiring special handling or special disposal treatment. Industrial waste is waste so defined by the Texas Commission on Environmental Quality (TCEQ) and is not included in the definition of municipal solid waste. In keeping with the CITY’S long-established policies and practices of servicing only the needs of customers and citizens whose generation and disposal needs fall within the regulatory definition of municipal solid waste, this contract does not include curbside service for any class of industrial waste. Only benign volumes of household hazardous waste, meeting the regulatory definition of municipal solid waste, shall be serviced under this contract.

i. Monthly Solid Waste Fees: Monthly fees charged by the CITY to all single-family residential units receiving solid waste services authorized by CITY Council.

j. Out-Of-Cycle Service: Request there is no limitation on the number of yards of bulky items and white goods the customer request and pays for the removal. Is available outside of the three (3) times a year bulky item collection schedule. A free estimate on the cost is provided to residents. A fee is charged based on the size of the load and prices fixed in an ordinance passed by the CITY Council (See Attachment A for Out-of-Cycle fee schedule summary). Charges shall be collected directly by the

CONTRACTOR. Within 48 hours of payment, the CONTRACTOR shall collect the

Out-of-Cycle request. There is no limit on the number of yards of bulky and white goods the customer requests and pays to remove.

k. Producer – (Generator): A producer is an occupant of a residential unit who generates municipal solid waste, primarily waste commonly regarded as residential to dispose of municipal solid waste.

l. Request for Proposal and Contract Documents: Request for Proposal refers to this request for proposal document and all attachments and amendments that may be made hereto. Also, it is the Agreement and Contract, when supplemented with a fully executed Agreement form.

m. Residential Garbage and Refuse: All cans, bottles, rags, dry trash, paper, kitchen and household wastes, food containers, lawn trimmings, leaves and other materials typically generated by a residential dwelling unit, which material is regulated as domestic municipal solid waste.

n. Residential Unit: Garbage collection and recyclable material collection services to single-family, residential units will be billed directly by the CITY. These types of residences include, but may not be limited to, single family residences on one electric meter or duplex dwelling units on one or more meters.

3) SCOPE OF SERVICES NARRATIVE

The CONTRACTOR agrees to perform at least the following basic services and such other optional services as CONTRACTOR may tender in the enhanced proposal opportunity presented under Attachment L, provided such proposed optional services are found to be acceptable by the CITY for the public benefit, if any. CONTRACTOR will be providing proposals for once-a-week residential pickup.

Solid waste services shall be equivalent to the service level provided to other CITY residents of Mercedes. Such service levels to which the CONTRACTOR must perform are described in detail below and are summarized in the schedule in the Table I (Attachment C). Costs of all services and disposal are the responsibility of the CONTRACTOR and are to be included in the CONTRACTOR’S proposed price.

a. CONTRACTOR shall provide one curbside residential garbage collection and disposal service per week for each of the residential units located in the City of Mercedes. The

CITY prefers that the CONTRACTOR retain the current day of garbage collection

(Thursday). These services are more thoroughly detailed in the Table contained in

Attachment C-1 and C-2 attached and incorporated herein verbatim for all purposes.

b. CONTRACTOR shall provide commercial services on a pre-determined schedule as per attachment C-2.

c. CONTRACTOR will provide new, and replacement Carts to residents at no cost to the

CITY within a reasonable timeframe following notice from CITY of the need for

Cart(s). The CONTRACTOR will charge a $75.00 replacement fee per Cart if a replacement Cart is needed more than once every 12 months per home, unless the

CONTRACTOR is negligent. The CONTRACTOR will bill the CITY on the monthly statement and the CITY may pass the fee on to the resident at its discretion.

d. CONTRACTOR will provide the following containers and service at no charge to the

CITY each year: If any haul or service is not utilized within the year they will not carry over to the next.

i. 120 hauls per year (10 hauls per month) for 40-yard roll-off containers

ii. (10) 40-yard roll-off containers for CITY use at the Citizen Collection Station.

1 Container will be specifically for tires. Other containers will be for brush and bulky items.

iii. 12 Hauls per year for (3) 40-yard roll-off containers the City-Wide Clean-up events held quarterly.

e. The CONTRACTOR shall render the following solid waste services pertaining to scheduled bulky items curbside pickups and illegal dump conditions:

i. The City of Mercedes will provide a yearly calendar of the dates that bulk and white goods will be picked up based on the current sectional map. This will be available on the CITY Webpage and at CITY Hall. Bulky and White Goods will be collected three (3) times per year in March, July, and November. Up to ten

(10) yards per household.

ii. The CONTRACTOR shall organize and divide the area for bulky and white goods pickup so that the area targeted is collected in a one-week period.

CONTRACTOR shall notify the CITY of any modification to White Goods and

Bulky Item Collection and notification schedules at least a week in advance of such modifications to notice and performance. In addition, the CONTRACTOR shall notify the CITY, if CONTRACTOR is unable to complete collection in the targeted area within a one-week period. If a second delay occurs so that the

CONTRACTOR is unable to finish the area within a second one-week period, the CITY reserves the right to use CITY personnel and equipment to complete collection within the target area and shall charge the CONTRACTOR for the

CITY’S cost to address this lapse in service. The CITY will take into consideration delays due to inclement weather conditions.

f. CONTRACTOR must abate violations of CITY’s Solid Waste Ordinance, within a 48-hour period. Cost of this service is to be included in CONTRACTOR’s proposal price.

This requirement is underscored in Section 18 (y).

g. The CONTRACTOR shall support four (4) Citywide clean-up events per year

(scheduled quarterly by the CITY.) The CONTRACTOR shall deliver three (3) 40-yard roll-off containers per event to designated locations upon 30 days’ advance notice.

h. CONTRACTOR shall provide a customer service office to facilitate service to the contracted service area. The CONTRACTOR shall provide the CITY with an emergency telephone number available for response on a 7 day, 24-hour basis.

i. Material and Equipment: CONTRACTOR shall furnish all material and equipment necessary, at its own cost and at no cost to the CITY, to effectively serve the contracted area with solid waste collection and disposal. Such materials and equipment shall include, but are not limited to:

i. collection vehicles for residential garbage and refuse pick up;

ii. bulky item collection vehicles.

j. Natural Disasters & Emergency Response: In the event of a declared local, state, or federal disaster, tropical storm, hurricane, flood, or severe weather event, CONTRACTOR shall provide emergency solid waste and disaster generated debris collection, haulage, and disposal services.

i. Baseline Allocation: CONTRACTOR shall provide 15 emergency containers as part of disaster relief support free of charge or billed at a fixed per-haul rental rate listed in Attachment M (Proposed Rates)

Within twelve (12) hours of an official storm warning or emergency notice issued by the CITY, CONTRACTOR shall activate its Emergency Management Plan and initiate pre-event mobilization:

i. Temporary Debris Staging and Processing Sites: CONTRACTOR shall assist the CITY in placing, servicing, and transporting waste from designated municipal temporary debris staging areas or transfer sites.

ii. Priority Route Clearance: Immediately following a disaster event (or once winds subside below tropical storm force), CONTRACTOR shall prioritize collection along designated CITY Priority Routes, including arterial roadways, emergency access corridors, hospitals, fire stations, police facilities, water/wastewater plants, and critical public utility infrastructure, prior to resuming standard residential routes.

iii. Dedicated Emergency Liaison: CONTRACTOR shall appoint an Emergency

Operations Coordinator available 24/7/365 to serve as the direct operational point-of-contact for the CITY’s Emergency Management Director or Solid Waste Manager.

iv. Daily Incident Reporting: During an emergency operational period, CONTRACTOR shall participate in daily operational briefings at the CITY's Emergency Operations

Center (EOC) and provide daily status logs detailing fleet availability, route completion percentages, truck counts, and daily tonnage/yardage hauled.

k. Labor: In addition to the materials and equipment set out in Sec. 2(n) above, CONTRACTOR shall supply all labor for all solid waste services required under this contract.

l. Transportation and Storage: CONTRACTOR shall supply all necessary transportation and storage facilities for all materials and equipment necessary to perform all services described in this contract.

m. Taxes and Governmental Fees and Charges: The CONTRACTOR hereby agrees to pay all applicable local, state and federal taxes and charges, including the state solid waste levy fee in effect, and as such state fee may be modified during the life of this contract. In the event of the creation of a new tax subsequent to the date of commencement of service, the CONTRACTOR and CITY shall mutually agree upon compensation or adjustment for any new tax.

n. Deliverables to Accompany Proposal Response: The CONTRACTOR hereby agrees to submit to the CITY, with its proposal response an Operation Plan for Service

Delivery that consists of the following:

i. A description of methodology that will be used for all solid waste services, i.e., garbage and white goods and bulky collection services. The proponent should outline how each service will be accomplished and performed by providing information, such as:

1. Proposed days of service;

2. Times and hours of daily operation;

3. Collection equipment capacity dedicated to the Contract area;

4. Number of crews dedicated to service the contract area;

5. Crew size.

ii. A customer service operation and telephone numbers to facilitate service to the contract area.

a. CONTRACTOR must outline their customer complaint resolution procedures.

b. CONTRACTOR must provide evidence of the ability to respond to service calls by the end of the business day of initial call. Proponent’s past performance, if under an existing contract with the CITY, will provide some evidence of ability to respond.

iii. Emergency telephone numbers and contacts for response on a 7-day, 24-hour basis.

o. Landfill Approval and Tonnage Obligations, if any: The CONTRACTOR shall identify which landfills and disposal sites that the CONTRACTOR intends to utilize prior to commencement of service. The CITY shall provide written approval of the landfill and disposal sites selected prior to the Commencement of Services. The contract price is to include the cost of disposal. Under this contract, waste delivered to

CONTRACTOR’S landfill shall be credited toward the CITY’s guaranteed tonnage requirement under existing current disposal contracts, if such a contract is held by the

CONTRACTOR.

Failure to comply with all requisites of this section may result in the Proponent failing to qualify as a responsible proponent. A number of Attachments to facilitate some of these submissions are appended to this RFP. See also Table of Contents and Proposal

Checklist, Attachment P.

p. Holiday Schedules: The CONTRACTOR shall provide to the CITY a garbage collection holiday schedule (Attachment D, incorporated herein verbatim for all purposes). Such schedule may be adjusted or modified during respective performance periods.

q. Compliance: The CONTRACTOR shall follow all applicable local, state, and federal laws and regulations pertaining to the provision of the services detailed herein, including but not limited to those related to safety. CONTRACTOR shall avoid those practices that create a perception of nuisance such as odors and litter.

Proponents’/CONTRACTOR’S attention is called to the Regulatory and Criminal

History Warranty contained in Attachment G.

r. Billing Protocols: The CITY shall bill and collect from the residential and commercial units, within the contracted service area, that are receiving the solid waste collection services set out in this Contract proposal. The CITY shall bill in accordance with the monthly fee schedule established by the City Council of the City of Mercedes.

CONTRACTOR and the CITY will mutually agree on the number of units to be serviced at the start of the contract period. Thereafter, a residential unit count will occur at the end of each month. Mutual consent on the number of residential units to be served will be required from both parties in writing. The new house count will be effective at the start of each month. Count criteria:

i. The CITY shall remit payment for services provided under this Agreement within thirty (30) days following the end of the month. No payment shall be provided for non-pickups.

s. Discontinuing Collection: The CONTRACTOR shall, within 24 hours, discontinue garbage collection at any Residential or Commercial Unit identified in a written notice sent to the CONTRACTOR by the CITY. Upon further notification by the CITY, the

CONTRACTOR shall resume collection on the next regularly scheduled collection day.

t. Records and Audit: CONTRACTOR shall maintain books and financial records in accordance with generally accepted accounting principles. Such books and financial records, together with any documentation necessary for verification of

CONTRACTOR’s compliance with the terms of this contract, shall be made available to the CITY upon request. The CITY shall have the authority to audit, examine and make excerpts or transcripts from said books and records. Please see Section 16, Records Retention for retention periods.

u. Records Content: For the CONTRACTOR’S monthly statement to the CITY for performance and progress payments, CONTRACTOR shall maintain records in a manner acceptable to the CITY, on tonnage collected, disposed, and marketed to properly reflect a measurement of curbside residential garbage collection and recycling material collected and marketed. Both the CONTRACTOR and the CITY acknowledge and agree that such information is necessary to document the success of the garbage collection program. The CONTRACTOR shall submit the completed Monthly Waste

Collection Report within ten (10) working days following the end of the month. This report shall accompany the invoice to the CITY.

3.1) Baseline Account Counts and Volume Metrics

To assist the CONTRACTOR in estimating equipment, labor, fuel, and routing requirements, the

CITY provides the following current customer account estimates and historical service metrics. These counts represent approximate baseline figures as of June 2026 and are subject to monthly adjustments based on actual active utility accounts pursuant to the Billing Protocols in this RFP.

a. Residential Garbage Accounts: The service area currently consists of approximately 3,233 active single-family residential utility accounts receiving once-per-week curbside collection via

96-gallon cart(s). 1,704 single family residential utility accounts with two (2) 96-gallon cans. 81 residential three (3) 96-gallon cans. 17 residential four (4) 96-gallon cans and 3 residential five

(5) 96-gallon cans. The CONTRACTOR shall account for ongoing residential growth and development across the service area map (Attachment B) during the contract term.

b. Commercial Accounts: There are currently approximately 169 commercial accounts serviced on schedules ranging from one (1) to five (5) pickups per week utilizing commercial containers/dumpsters (96-gallon containers) or commercial carts. 93 Commercial accounts with one (1) 96-gallon containers, 57 Commercial accounts with two (2) 96 -gallon containers, 13 commercial accounts with three (3) 96-gallon containers, 6 commercial accounts with four (4)

96-gallon containers and 0 commercial five (5) 96-gallon containers.

c. Curbside Brush and Bulky Item Service Accounts & Estimated Volume:

i. Eligible Accounts: Curbside bulky item and white goods collection services apply to all 8,979 active residential accounts and 388 commercial accounts. Collection occurs twelve (12) times per year with a limit of up to four (4) cubic yards per household per event.

3.2) Extra-Territorial Jurisdiction (ETJ) and Out-of-City Limit Services

a. Obligation to Serve Existing Out-of-City Accounts: The CONTRACTOR shall continue to provide solid waste collection and disposal services to all existing active residential utility accounts located outside the corporate city limits of the CITY (including ETJ areas) that are currently billed and serviced under the CITY’s solid waste program as of the effective date of this Contract. The current estimated count for out-of-city residential accounts is 442.

b. Rate Structure for Out-of-City Services: Due to extended collection routes, lower density, and additional operational costs associated with servicing accounts outside the corporate city limits, rates for out-of-city accounts shall be established at a higher differential rate than standard in-city residential accounts. The CONTRACTOR shall submit its proposed monthly out-of-city rate on Attachment M (Proposed Rates).

c. Billing and Administration: City-Billed: The CITY shall continue to bill and collect from all out-of-city residential accounts on the CITY’s utility billing system, applying the out-of-city rate ordinance adopted by City Council, and shall remit payment to the CONTRACTOR based on the monthly out-of-city contract rate agreed upon in Attachment M.

d. Future Out-of-City Customers: New requests for service outside the corporate city limits during the contract term shall be subject to review and approval by the CITY Administrator (or

Director) and CONTRACTOR to ensure routing feasibility prior to initiating service.

4) PERIODIC TERM OF CONTRACT, OPTIONAL TERM PERIODS and

COMPENSATION ADJUSTMENT

The day ordained by CITY Council for commencing residential solid waste collection and disposal service for the area known as the City of Mercedes Contract 2026 shall be October

1, 2026.

The term of this Contract shall be for a five (5) year period beginning on the date of commencement of service approximately October 1, 2026 and the first term shall end September 30, 2031. All optional terms, if any, shall commence on October 1st.

The CITY shall have the option to renew this Contract for five (5) additional one-(1) year terms. There is no guarantee to the CONTRACTOR that the CITY will exercise this option to continue this contract beyond the initial 60-month period.

CONTRACTOR understands and agrees that if the CITY exercises its renewal option under this Agreement for additional one (1) year terms, the only adjustments to terms may be the

CONTRACTOR’S compensation amount, as per the formula below, and adjustment for decrease, increase or enlargement of the contract area. Modification of compensation for any renewal term shall be subject to a Consumer Price Index (CPI). The CPI adjustment used will be based on the US Department of Labor, Bureau of Labor Statistics, Consumer Price

Index-Urban Wage Earners and Clerical Workers South Urban (all items) adjustment. This adjustment shall not vary more than five percent (5%) from the base compensation amount for each respective term year, and over the potential life of the contract (includes 5 optional term years) shall not exceed 15% of the original contract price fixed for the 2026 term year.

During the contract term, if the current level of CITY services as described in Table of

Attachment C, is modified, the CITY reserves the right to renegotiate contract prices based on the level of services provided.

5) INTERRUPTION OF SERVICE

In the event that service is interrupted for any reason for more than forty-eight (48) hours, the CITY shall have the right to make temporary independent arrangements for the purposes of continuing this necessary sanitation service to customers in order to secure and protect the public health and safety. Any costs that the CITY incurs for addressing interruption or disruption of service shall be assessed to the CONTRACTOR. If the interruption in service mentioned herein continues for a period of seventy-two (72) hours, the CITY shall have the right to terminate the contract.

6) TERMINATION OF CONTRACT

a. Independent of termination for material breach or cause recited elsewhere, this Contract or any portion of it may be terminated by the CITY by giving thirty (30) days written notice to the CONTRACTOR. The CITY retains this termination option without liability for default.

b. If the CONTRACTOR terminates this Contract or any portion of it, the

CONTRACTOR must notify the CITY in writing not less than ninety (90) days prior to termination. CONTRACTOR’s termination, in absence of default by the CITY, shall subject CONTRACTOR’s Performance Bond or Performance Deposit to CITY’S right to “call” or draw, according to the terms of this contract.

c. In the event of termination by the CITY, and in absence of fault by CONTRACTOR, the CONTRACTOR shall be paid in full for all services performed up to termination date, subject to off-sets or adjustments, if any, as may be necessary to continue customer services.

7) SECURITY AND PERFORMANCE BOND OR PERFORMANCE DEPOSIT IN

LIEU OF PERFORMANCE BOND:

a. Proposal Deposit: All Proponents must furnish the CITY with a proposal deposit in the amount set forth in this Request for Proposal, being $5,000.00. This deposit is submitted with the proposal response. No proposal is complete without the deposit which must be a cashier’s check payable to the City of Mercedes. At conclusion of the solicitation and award process, this deposit will be returned to all Proponents. The deposits shall be retained by the CITY until a final contract is signed and all conditions necessary to the award are satisfied to vest the award in the successful Proponent.

Deposits are intended to hold Proponents to the full execution of their respective proposals until conclusion of the award process.

b. Performance Bond: If selected, the successful Proponent shall provide a performance bond made payable to the City of Mercedes, executed by a corporate surety, acceptable to the CITY, who is licensed pursuant to the Texas Insurance Code, in the full amount of the contract price as estimated by projection of the CITY. Said bond must be in a form acceptable to CITY and as required by statute governing public works contracts.

Said bond must have attached thereto a Power of Attorney as evidence of the authority of the person executing the bond to bind the surety. This bond must be furnished in compliance with the statutory requirements of the Texas Government Code, chapter

2253. The bond must be executed and delivered to CITY prior to The Performance

Bond, and / or any alternative security for performance (as described below), must be current and in place for each respective term of the contract.

c. In lieu of a statutory Performance Bond, a performance deposit shall be tendered in the form of a certified check in the full amount of the contract price upon a state or national bank or trust company signed by a duly authorized officer thereof (check to be drawn payable to the City of Mercedes), or a Certificate of Deposit from such bank or trust company assigned to the CITY or irrevocable letter of credit from a state or national bank or trust company in favor of the CITY.

d. If a performance deposit is made, instead of a Performance Bond, it will be returned to the CONTRACTOR upon completion of the contract to the CITY’S satisfaction.

e. Material Breach: Subject to other provisions in this contract that may define specific termination options, failure of CONTRACTOR to perform any of the services required by this Contract within thirty days of receipt of the CITY'S written demand for performance, or failure of Proponent to correct or replace defective equipment, goods, or products within ten days from the receipt of written demand therefor, shall constitute a material breach of contract, and shall enable the CITY to cause this contract to terminate at the CITY’S option and discretion for protection of the public health, safety, and welfare. Due to the public health and safety implications of this contract dealing with matters exigent to sanitation, the CITY may deem a material breach of contract to occur because of CONTRACTOR’S failure to perform or cure within 10 days from date of notice demand to CONTRACTOR where and when any exigent health or sanitation condition or risk is deemed by the CITY to exist or is so deemed by the

Director or Manager of the CITY’S Solid Waste Services Division. In the event of such termination the Performance Bond shall be “called”; or, in the case of deposit, the performance deposit shall be retained in its entirety by the City of Mercedes as liquidated damages, based upon mutual agreement and understanding here between the

CONTRACTOR and the CITY at the time the Contract is solicited, submitted and accepted, that the CITY is a governmental entity, engaged in public projects, and that the measurement of damages which is likely to result from a breach of the terms and specifications herein is difficult to determine and that such liquidated damages are reasonable and necessary to enable the governmental entity to carry out its governmental functions, subject of this contract.

f. In addition to and not in lieu of the general breach and termination provisions set forth herein, the CITY and CONTRACTOR agree that failure to perform specific operational duties causes administrative burden, public frustration, and potential health and sanitation hazards. Because the exact financial damages resulting from such operational failures are difficult to ascertain, the following schedule represents a reasonable and agreed-upon pre-estimate of the CITY'S administrative and oversight costs.

The CITY may assess, and CONTRACTOR shall pay (or have deducted from its monthly invoice), liquidated damages according to the following schedule:

Performance Failure /

Deficiency Timeframe to Cure / Respond

Liquidated Damages

Assessment

Missed Residential

Route / Block

Failure to collect a missed street or entire route within 24 hours of notification.

$250.00 per uncollected street/block per day until collected.

Missed Individual

Residential Collection

Failure to collect a reported missed container by

5:00 PM next business day.

$50.00 per container / address per day.

Missed Commercial

Collection

Failure to service commercial account within 12 hours of notification or scheduled time.

$200.00 per account per day until serviced.

Failure to Replace / Failure to repair or replace a reported damaged $50.00 per cart per day beyond

Performance Failure /

Deficiency Timeframe to Cure / Respond

Liquidated Damages

Assessment

Repair Damaged Cart or missing cart within 48 hours. the 48-hour cure window.

Failure to Respond to /

Resolve Complaints

Failure to log, investigate, and resolve a customer complaint forwarded by the City within 24 hours.

$100.00 per complaint / incident per day.

Missed Bulky Item /

Brush Collection

Failure to collect scheduled bulky items/brush on designated collection day or within 24 hours of notice.

$150.00 per address per day until removed.

Failure to Clean Spills /

Litter

Failure to clean up litter, hydraulic fluids, or trash spilled during collection within 4 hours of notice.

$100.00 per incident, plus actual

City cleanup costs if City crews respond.

Failure to Provide

Required Reports

Failure to submit monthly, quarterly, or annual operational/tonnage reports by the specified due date.

$100.00 per calendar day per report until submitted.

Unauthorized

Collection Hours

Commencing collection prior to allowed contract hours or operating past permitted cut-off times.

$250.00 per truck / incident per day.

Administrative Implementation Terms

Notice & Assessment Procedure: The Solid Waste Director/Manager (or designee) shall provide written or electronic notice (email/work order system) of any observed or reported failure. If the

CONTRACTOR fails to cure the deficiency within the specified timeframe, the liquidated damage assessment will automatically apply.

Deduction from Monthly Invoice: Assessments will be itemized monthly and directly withheld/deducted from the CITY’S monthly service payment to the CONTRACTOR.

Non-Exclusivity: Assessment of liquidated damages does not waive the CITY'S right to declare a material breach or pursue contract termination under Section (a) if operational failures become persistent, pervasive, or create an immediate threat to public health and safety.

8) PROPOSAL REQUIREMENTS

Proponent’s Proposal shall include the following items in the sequence listed:

a. Plan for Service Delivery: The summary shall include a statement of the work to be accomplished, how Proponent proposes to accomplish and perform each specific service and unique problems perceived by Proponent and their solutions. (See section

2(s) for more details).

i. Collection Methodology

ii. Identification of Landfills and Tonnage Obligation

iii. Customer Service Office

iv. Emergency Contacts and Telephone Numbers

b. Proponent Qualification General Questionnaire: Completed Proponent

Qualification General Questionnaire. (Attachment E)

c. Discretionary Contracts Disclosure: Completed Discretionary Contracts Disclosure

Form. (Attachment F) If Proponent is proposing as a team or joint venture, then all parties to that team or joint venture shall complete and return this form with the proposal.

d. Regulatory Compliance and Criminal History Warranty: (Attachment G) This is a part of the CONTRACTOR's assurance to the CITY. If Proponent is proposing as a team or joint venture, then all parties to that team or joint venture shall also be bound by this warranty and obligated to make disclosures, if any, as required by the warranty.

e. Pricing Schedules: List all fees associated with the provision of services by Proponent, if selected. (Attachment H-1, H-2)

f. Brochures: Include brochures and other relevant information about Proponent that you wish the CITY to consider in its selection.

g. References and Qualifications:

i. Background of Proponent and support personnel, including professional qualifications and length of time working in Proponent’s employment.

ii. Relevant experience of Proponent as it relates to the scope of services contemplated by the RFP.

iii. Specific experience with public entity clients, especially small municipalities.

If Proponent has provided services for the CITY in the past, for how long. If

Proponent is proposing as a team or joint venture, provide the same information for each member of the team or joint venture.

iv. Other resources, including total number of employees, number and location of offices, number and types of equipment available to support this project.

v. Proponent shall provide three (3) references, preferably from municipalities, for whom Proponent has provided services.

h. Insurance Requirements: Signed statement indicating Proponent’s willingness and ability to provide insurance coverage in amounts stated herein, if selected. (Attachment

I)

i. Indemnity Requirements with Acknowledged Understanding: Signed statement indicating Proponent’s willingness to accept and comply with the indemnification provisions described herein, if selected. (Attachment J)

j. Signature Page for Corporation: Proponent must sign the proposal on the appropriate form. The proposal must be signed by a person authorized to bind the firm submitting the proposal. Proposals signed by a person other than an officer of the company or partner of the firm are to be accompanied by evidence of authority. Signed statement indicates Proponent’s willingness and ability to comply with and execute the final

Contracts, if selected. (Attachment K)

k. Proposal Checklist: Completed proposal checklist. (Attachment L)

l. Proposed Rates: Completed Proposed Rates Form (Attachment M)

m. Statutory Requirements Certification and Acknowledgement: Signed statement indicating Proponent’s acceptance of and compliance with the statutory provisions described herein, if selected. (Attachment N)

n. Ethics Statement and Acknowledgement: Signed statement certifying that Proponent has not offered, conferred, or agreed to confer any pecuniary benefit as consideration for any special treatment relating to this proposal. (Attachment O)

o. Certification Regarding Debarment, Suspension, And Other Responsibility

Matters: Signed statement certifying responsibility of Proponent. (Attachment P)

p. Completed Conflict of Interest Questionnaire (Form CIQ): If CONTRACTOR certifies that there are no Conflicts of Interest, CONTRACTOR shall indicate so by writing name of CONTRACTOR’S firm and “No Conflicts” on the TEC Form CIQ.

(Attachment Q)

q. Annual Financial Statement: Respondent shall submit the most recent annual financial statement and must sign it as an attachment to the proposal.

r. Copy of State Comptroller’s Certificate of Franchise Status: A copy reproduced from the Comptroller’s website will satisfy this requirement. Proponents must attach and label this certificate copy as Attachment to the Proposal.

Proponent is expected to examine this RFP carefully, understand the terms and conditions for providing the services listed herein and respond completely. FAILURE TO

COMPLETE AND PROVIDE ANY OF THESE DOCUMENTS MAY RESULT IN

THE PROPONENT’S PROPOSAL BEING DEEMED NON-RESPONSIVE AND

THEREFORE DISQUALIFIED FROM CONSIDERATION.

9) CONTRACT DOCUMENTS AND AMENDMENTS TO RFP

This RFP, addenda, and amendments to it constitute the Contract Documents when integrated by a final cover document (Integration Agreement) which will contain appropriate signatories for both the CITY and the successful Proponent (CONTRACTOR). The

Integration Agreement, bringing together all the Contract Documents, will be signed after the CITY Council acts to accept the Proposal to the RFP and approves the award.

Changes or amendments to this RFP may be posted on the CITY’s website at www.cityofmercedes.com. It is Proponent’s responsibility to review this site and ascertain whether any amendments have been made prior to submission of a proposal. A Proponent who does not have access to the Internet, must notify CITY in accordance with Section 11, Restrictions on Communication, that Proponent wishes to receive copies of amendments to this RFP by mail.

10) SUBMISSION OF PROPOSALS

Proponent shall submit one (1) copy of the Proposal and one (1) electronic copy by USB, the original signed in ink, in a sealed package, clearly marked on the front of the package RFP

2026-002 Solid Waste. All Proposals must be received in the City Secretary’s office no later than 3:00 p.m., central time, August 19, 2026 at the address below. Any Proposal received after this time shall not be considered.

Mailing Address:

City Secretary’s Office

Attn: Joselynn Castillo

Mercedes, Texas 78570

Proposals sent by facsimile or e-mail will not be accepted.

Public Acknowledgement. The City shall receive, publicly open, and read aloud all properly submitted sealed Proposals at 400 S. Ohio Ave., Mercedes, Texas 78570.

Proposals will be opened on August 19, 2026 at 3:01 p.m.

Proposal Format: Each proposal shall be typewritten and submitted on 8 ½” x 11” white paper inside a three- ring binder with its spine at least an inch thick. Font size shall be no less than 12-point type. All pages shall be double spaced and printed on one side only. Margins shall be no less than ¾” around the perimeter of each page. Each page shall be numbered.

Electronic files shall not be included as part of the proposal. Each proposal must include the sections and attachments in the sequence listed in the Proposal Requirements Section, and each section and attachment must be indexed and divided by tabs and indexed in a Table of

Contents page. Failure to meet the above conditions may result in disqualification of the http://www.cityofmercedes.com/ proposal.

Proponents who submit responses to this RFP shall correctly reveal, disclose, and state the true and correct name of the individual, proprietorship, corporation, and /or partnership

(clearly identifying the responsible general partner and all other partners who would be associated with the contract, if any). No nick-names, abbreviations (unless part of the legal title), shortened or short-hand, or local "handles" will be accepted in lieu of the full, true and correct legal name of the entity. These names shall comport exactly with the corporate and franchise records of the Texas Secretary of State and Texas Comptroller of Public Accounts.

Individuals and proprietorships, if operating under other than an individual name, shall match with exact Assumed Name filings. Corporate Proponents and limited liability company

Proponents shall include the 11-digit Comptroller's Taxpayer Number on the signature page of the Proposal.

If an entity is found to have incorrectly or incompletely stated its name or failed to fully reveal its identity on the signature page of its proposal, the City of Mercedes shall have the discretion, at any point in the contracting process, to suspend consideration of the proposal or to terminate this contract. Termination for reason that Proponent misrepresented its identity shall not be subject to a curative grace period. Said termination, if invoked, shall be effective at a date of the CITY's discretion upon notice to CONTRACTOR.

All provisions in Proponent’s proposal, including any estimated or projected costs, shall remain valid for ninety (90) days following the deadline date for submissions or, if a proposal is accepted, throughout the entire term of the contract.

All proposals become the property of the CITY upon receipt and will not be returned. Any information deemed to be confidential by Proponent should be clearly noted on the page(s) where confidential information is contained; however, the CITY cannot guarantee that it will not be compelled to disclose all or part of any public record under the Texas Public

Information Act, since information deemed to be confidential by Proponent may not be considered confidential under Texas law, under an Attorney General's Opinion, or pursuant to a Court order.

Any cost or expense incurred by the Proponent that is associated with the preparation of the

Proposal, the Pre-Proposal conference, if any, or during any phase of the selection process, shall be borne solely by Proponent.

11) RESTRICTIONS ON COMMUNICATION

Once the RFP has been released, Proponents are prohibited from communicating with CITY staff regarding the RFP or Proposals, with the following exceptions:

Questions concerning this RFP shall be directed, in writing only, to the City Secretary Attn:

Joselynn Castillo, at 400 S. Ohio Ave., Mercedes, Texas 78570. Verbal questions and explanations are not permitted other than as described by this section. It is suggested that all questions be sent by e-mail to jcastillo@cityofmercedes.com. No inquiries or questions will be answered if received after 5:00 P.M. on August 14, 2026, to allow ample time for distribution of answers and/or amendments to this RFP. Proponents wishing to receive copies of the questions and their responses must notify the CITY’s Contact Person in writing prior mailto:jcastillo@cityofmercedes.com to the date and time the questions are due.

Proponent shall not contact CITY employees or Officers before an award has been made, except as set out herein. Violation of this provision by Proponent may lead to disqualification of its proposal from consideration.

The CITY reserves the right to contact any Proponent for clarification after responses are opened and/or to further negotiate with any Proponent if such is deemed desirable by CITY.

12) EVALUATION CRITERIA

The CITY will conduct a duly diligent evaluation of all Proposals received in response to this RFP, with a view to being as comprehensive, fair, and impartial as possible. Each

Proposal will be analyzed to determine overall responsiveness and qualifications under the

RFP. Criteria to be evaluated may include the items listed below. The CITY Council may select all, some or none of the Proponents for interviews. If the CITY elects to conduct interviews, Proponents may be interviewed and re-scored based upon this same criterion, or other criteria to be determined by the CITY Council. The CITY may also request additional information from Proponents at any time prior to final approval of a selected Proponent. The

CITY reserves the right to select one, or more than one, or none of the Proponents to provide services. Final approval of a selected Proponent is subject to the action of the City of

Mercedes CITY Council. The criteria listed below is not conclusive of meeting the CITY's needs for a proposal that may be deemed most advantageous to the CITY.