REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
February 8, 2022
FROM
PETE MENDOZA, Interim Director, Purchasing Department
SUBJECT
Title
Amendment to Agreement with Shred-IT USA LLC for Assignment to Stericycle, Inc.
End
RECOMMENDATION(S)
Recommendation
Approve Amendment No. 2 to Agreement No. 18-887 with Shred-IT USA LLC for assignment of the Agreement to Stericycle, Inc., effective February 8, 2022, with no changes to existing rates or contract terms.
(Presenter: Pete Mendoza, Interim Director, 387-2073)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Improve County Government Operations.
Operate in a Fiscally-Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this item will not result in the use of additional Discretionary General Funding (Net County Cost). Departments that require paper shredding and recycling services are responsible for ensuring there is adequate funding in their current and future budgets. The impact on each departments’ budget is dependent upon the need for shredding and recycling services. The County is estimated to spent approximately $50,000 in 2021-22 for these services.
BACKGROUND INFORMATION
On April 1, 2019, the state of Delaware confirmed receipt of a Certificate of Merger and certified that the merger between Shred-IT and Stericycle, Inc. (Stericycle) would be effective June 30, 2019. Stericycle is maintaining the same place of business as Shred-IT. Section C.3. of the Agreement states that the Agreement is non-assignable without the prior written consent of the County. The item is being presented to the Board of Supervisors (Board) at this time as Purchasing was never formally notified of Stericycle’s acquisition of Shred-IT. Approval of Amendment No. 2 will allow for the assignment of the current countywide Agreement to Stericycle, the surviving merged corporation, thereby ensuring continued services for the County’s shredding, destruction, and recycling needs.
On December 18, 2018 (Item No. 51), the Board approved Agreement No. 18-887 to provide countywide media destruction, paper shredding, and recycling services from January 1, 2019 through December 31, 2023.
On June 11, 2019 (Item No. 55), the Board approved Amendment No. 1 to Agreement No. 18-887 to increase rates for on-site paper shredding and remove the requirement to provide no-cost recycling services.
PROCUREMENT
Riverside County and San Bernardino County released a joint Request for Proposals on July 26, 2018. Following review of the baseline requirements and cost evaluation, Shred-It USA LLC (Shred-It) was recommended for the award of a five-year contract, from January 1, 2019 through December 31, 2023.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (John Tubbs II, Deputy County Counsel, 387-5455) on January 12, 2022; Finance (Sofia Almeida, Administrative Analyst, 387-4378) on January 21, 2022; and County Finance and Administration (Paloma Hernandez-Barker, Deputy Executive Officer, 387-5423) on January 24, 2022.