Regional Solid Waste System
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Gateway Drive Transfer Station; Project No. 401-0644-24; Authorization to Use Competitive Sealed Proposal Procurement Method; Resolution No. 26-23
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SUBJECT
recommendation
Adopt Resolution No. 26-23 authorizing the use of Competitive Sealed Proposal (CSP) procurement method for the construction of the Gateway Drive Transfer Station.
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PURPOSE
The use of the CSP procurement method for construction allows NTMWD staff and its consultant, Weaver Consultants Group, LLC., the flexibility to establish weighted selection criteria that includes price and other non-monetary evaluation criteria. This method is recommended for this project due to the specific nature of constructing a new transfer station and associated components in compliance with city and state permitting requirements. NTMWD staff can review and rate other criteria in addition to the price proposed and can recommend a contractor who provides the best overall value to complete the project for NTMWD.
RECOMMENDATION
The Executive Director and NTMWD staff recommend the Board of Directors adopt Resolution No. 26-23, “A Resolution Authorizing Use of the Competitive Sealed Proposal Procurement Method under Texas Government Code Chapter 2269 for the Gateway Drive Transfer Station, Project No. 401-0644-24.”
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Committee: |
This was a Department Update at the May 13, 2026, Policy Committee meeting |
DRIVER(S) FOR THIS PROJECT
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Strategic Objective: |
1.2 Successfully Deliver Capital Program |
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☒ Regulatory Compliance (Pre-emptive) |
☐ Asset Condition |
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☒ Capacity |
☒ Redundancy/Resiliency |
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☐ Relocation or External Requests |
☒ Operational Efficiency |
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☐ Safety |
☐ Administrative |
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☐ Policy |
☐ Other _____________ |
BACKGROUND
PROJECT PURPOSE
• Construct Gateway Drive Transfer Station (TS) to accommodate the growth the City of Frisco is experiencing that is expected to increase the percentage of Frisco’s solid waste delivered to the Custer Road TS beyond the current 93 percent it receives and reduce the strain on that facility.
• The Custer Road Transfer Station receives waste from Allen, Frisco, McKinney, and Plano. The site also hosts the yard waste processing facility for the compost program that serves all five Regional Solid Waste System (RSWS) Member Cities.
• The Custer Road TS is limited by its Texas Commission on Environmental Quality (TCEQ) municipal solid waste permit to accept a maximum of 1,900 tons of waste per day, including yard waste, and the transfer station is more frequently approaching the maximum daily limit on account of the growth of the RSWS Member Cities.
• The Purchase and Sale Agreement with the Frisco Community Development Corporation (Frisco CDC) for the transfer station property provides terms for the purchase of the property, including:
o NTMWD submitting the TCEQ permit application, the latter of May 31, 2026, or 6 months after receiving all development approvals from the City of Frisco (condition met);
o NTMWD commence construction not later than the earlier of December 31, 2030, or 18 months after NTMWD's receipt of a final and non-appealable permit issued by the TCEQ;
o Property repurchase at 100 percent of the original purchase price if NTMWD fails to commence construction within 90 days of receipt of a construction Commencement Failure Notice by Frisco CDC;
o NTMWD to obtain a permanent certificate of occupancy for the transfer station not later than 30 months from the construction commencement date;
o Temporary Use Restriction restricting the property to be used solely for the transfer station operations for 25 years following the sale closing; and,
o Permanent Use Restriction for certain defined prohibited uses stated in the Purchase and Sale Agreement.
• The Development Agreement with the Frisco CDC provides tasks the City of Frisco will perform in association with the construction of the infrastructure for the transfer station, including:
o Construction of Gateway Drive, Executive Drive, and a portion of Monroe Drive connecting Gateway Drive to Executive Drive;
o Establishment and construction of water and sanitary sewer facilities necessary to serve the property (NTMWD responsibility for electricity and internet fiber);
o Construction of off-site stormwater detention facilities serving the property; and,
o Completion of these construction activities by May 31, 2026.
• Administrative Memorandum No. 24-6044 authorized funding and acquisition of the 14.8-acre tract property from the City of Frisco in the amount of $10,393,377.12.
• Administrative Memorandum No. 24-6063 authorized the adoption of Resolution No. 24-41 to authorize the filing of a permit application for the future Gateway Drive Transfer Station solid waste permit with the TCEQ and the City of Frisco, and funding in the amount of $488,068 to Weaver Consultants Group, LLC., for an engineering services agreement for permitting the future Gateway Drive Transfer Station.
COMPETITIVE SEALED PROPOSAL METHOD
• In 2011, the Texas Legislature enacted legislation that allows public entities such as NTMWD to elect to operate under Chapter 2269 of the Texas Government Code, which authorizes the use of alternate procurement methods for construction projects, including CSP. The advantages of CSP include better value through evaluated contractor selection, discouragement of participation by marginal contractors, the ability to take the best value offer, and the opportunity to negotiate with the best value candidate.
• The CSP procurement method allows NTMWD staff and its consultant, Weaver Consultants Group, to establish weighted selection criteria for contractor selection that includes price, experience, equipment, past performance, safety record, and/or financial stability. Other factors that may be considered include change order history, schedule, tendency for litigation and approach to the project. NTMWD staff will have the ability to score contractors on their demonstrated ability to construct projects similar in scope to the Gateway Drive Transfer Station.
In examining the ability to use this alternative delivery method, legal counsel has advised that the NTMWD Board of Directors should specifically elect to utilize the alternate delivery methods set forth in Chapter 2269 instead of the usual procurement requirements for this particular project. The Executive Director and NTMWD staff recommend that the Board specifically authorize the use of the CSP procurement method for the construction of the Gateway Drive Transfer Station, Project No. 401-0644-24 and to supersede, for this project, the operation of any other applicable law, rule, or regulation governing competitive bidding by the NTMWD.
FUNDING
No funding is requested.