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HomeMy WebLinkAbout2010-06-30 Contract Appeal BackupFCO/Fagen Tree's and Chips Wade Fagen, Consulting Arborist 1328 NE Seward Bend, OR 97701 (541) 382-4997 Cell (541 420-6645) June 18, 2010 Attn: Joe Stutler Deschutes County Forester (541) 322-7117 Office (541) 388-2719 Fax 61150 SE 27th Street Bend, OR 97701 Dear Joe Stutler, I have contacted your office and we subsequently have discussed the request for Bid Grinding for the Deschutes & Crook Counties Wildfire Grant bid results emailed 6/11/10. Your letter stated that you would be making recommendations and issuance of contracts pending review and approval of legal counsel and the County Administrators. I feel that our discussion of the results did not give my situation the proper respect and understanding that it truly deserved. I would like to submit a formal appeal and would like to further the discussion of keeping the money here in Central Oregon. I feel that my key points again stated below were not considered. It seems as thought you want the grinding done for free. The material chipped will be made into mulch locally. This is more beneficial at sequestering carbon in three ways: • The material is not burned, keeping carbons out of the air. • Since the material stays local, less forest fuels are used by decreased transportation distance. • All equipment used runs on Bio -diesel, essentially a closed carbon loop fuel, saving yet more carbon output. I am asking for an appeal of your decision and a formal hearing to discuss this issue. Please let our office know of this formal process. Sincerely, Wade Fagen/President Fagen Trees & Chips Certified Arborist # PN0862A CCB#100453 Cc; County Commissioners 4",owee40, Board of Count Commissioners February 11, 2010 Sent via First Class Mail 1300 NW Wall St, Suite 200 • Bend, OR 97701-'" 960 (541) 388-6570 • Fax (541) 385-3202 www.co.deschutes.or.us board@co.deschutes.or.us Tammy Eaney Dennis R. Luke Alan Unger RE: Fuels Treatment Qualified Pool Retainer Agreements NOTICE OF INTENT TO AWARD CONTRACT On January 20, 2010, the Deschutes County Forester considered proposals for selection of a qualified pool of providers for Fuels Treatment Services, pursuant to Deschutes County Code Chapter 2.37.130. Fuels Treatment Services consist of one or more of the following: hand piling, grapple piling, sheering, slash busting, chainsaw thinning, chipping and removal, pruning/ladder fuel reduction, mowing, pile burning, lop and scatter, pine needle removal, crush and masticate, dozer piling, mulching and tub/horizontal grinding. The Forester determined which of the proposers' submittals and the particular services they offered represented the bes4: value to the County. Attached to this Notice on Exhibit A is a summary of the proposers and the particular services that the Forester has recommended be placed in a "qualified pool" for selection within the current calendar year to perform such services on various work sites to be identified by the Forester. The decision to not select a particular proposer or one or more services for which a proposal was submitted shall not be construed as County's determination such proposer(s) were not "qualified" in a general sense. Rather the decision not to select one or more proposers or services being proposed were considered not sufficiently competitive or not in the best interest of the public. This Notice of Intent to Award Contract is issued pursuant to ORS 2796.135 and Oregon Administrative Rule (OAR) 137-047-0610. The Board hereby waives application of Deschutes County Code 2.37.140(c), requiring protests to be filed within three (3) business days. A copy of this Notice is being provided to each firm or person that submitted a proposal for this contract. Any firm or person who believes that they are adversely affected or aggrieved may submit to the Board of County Commissioners of Deschutes County, Oregon, 1300 NW WaII Street, Suite 200, Bend, Oregon 97701, a written protest within seven (7) days after the issuance of this Notice of Intent to Award. The seven (7) day protest period will expire at 5:00 PM on Wednesday, February 20, 2010. De 201O -O/ Enhancing the Lives of Citizens by Delivering Quality Services in a Cost -Effective Manner Any protest must be in writing and specify any grounds upon which the protest is based. If nc protest is filed within the protest period, this Notice of Intent to Award becomes an Award of Contract without further action unless, for good cause, this Notice is rescinded by the County before the expiration of the protest period. The selected proposers will execute a retainer agreement, provided by the County. The Forester is hereby authorized to execute such retainer agreements with the proposers (contractors) and the associated services set forth on Exhibit A. Under the terms of the retainer agreement contractors' names will be placed on a list. At such time as the Forester identifies a Work Site and the need for fuels treatment services for which a contractor has been identified, Forester will negotiate with a contractor from the list for a personal services contract. As part of the execution of such contract, the contractor will be required to provide a certificate of insurance. If you have any questions regarding this Notice of Intent to Award Contract, the selection methodology or the procedures under which the County is proceeding, please contact Joe Stutter, County Forester, Deschutes County Road Department, 61150 SE 27th Street, Bend, Oregon 97702. Telephone (541) 322-7117. Sincerely, Dennis R. Luke, Chair Deschutes County Board of Commissioners Letter sent to: Chip Sweeney, Advanced Tree Service, 335 NE 6th Street, Bend, OR 97701. John Williams, Quicksilver Contracting Co., 64682 Cook Ave. #99, Bend, OR 97701. Steve Lawn, T2, Inc., 44501 Wiley Creek Drive, Sweet Home, OR 97386. Marc Barnes, Integrated Resource Management, PO Box 547, Philomath, OR 97370. David Holmes, Heart of Oregon Corps Inc., PO Box 279, Bend, OR 97709. Scott Nelson, Summitt Forests Inc., PMB 218, 1257 Siskiyou Blvd., Ashland, OR 97520. Robert Otteni, Professional Tree Care, PO Box 65, La Pine, OR 97739. David Vitelle, Bear Mountain Fire, PO Box 145, Sisters, OR 97759. Leroy Dalebout, 1072 Fort Jack Pine Drive, Gilchrist, OR 97737. Mike Shields, La Pine Equipment, PO Box 154, La Pine, OR 97739. Keith Ross, Keith Ross Contracting, 5067 W. Hwy. 126, Redmond OR 97756. Mike Glafka, All Seasons Cleanup Service, 60911 Ashford Drive, Bend, OR 97702. Scott Spaulding, Spaulding Property Maintenance, 400 NE Robin Court, Prineville, OR 97754. Jack Owen, Wildfire Fuels Reduction LLC, PO Box 3823, Sunriver, OR 97707. Eric Metzger, Running Tree, LLC, 19435 Calico Road, Bend, OR 97702 David Elpi, Sisters Forest Products, LLC, 69490 Green Ridge Loop, Sisters, OR 97759. Allan Clark, Allan Clark, LLC, 13661 SE Cayuse Street, Prineville, OR 97754. Ron Paden, Woodland Rehab and Restoration, LLC, PO Box 821, La Pine, OR 97739. Andy Smith, Spring River Tree Service, Inc., PO Box 1987, Sunriver, OR 97707. Chris Vaughan, Arbor 1 Tree Service, 1429 NW 10th Street, Bend, OR 97701 Mike Sellers, Barbwire Fencing Company, 19520 Rudi Road, Bend, OR 97701 Brian Skidgel, Bar 7 A, PO Box 890, Redmond, OR 97756 Eric Evans, Botanical Developments, 409 NW Franklin, Bend, OR 97701 Mark Brink, Brink Bros., Inc., 83938 Enterprise Road, Pleasant Hill, OR 97455 Art Chase, Chase Construction & Trucking, PO Box 908, Bend, OR 97708 Wade Fagen, Fagen Trees & Chips, 1328 NE Seward, Bend, OR 97701. Robert Morris, Long Butte Contracting, 21270 Gift Road, Bend, OR 97701. Jeremy Dice, PatRick Corporation, PO Box 758, Redmond, OR 97756. Tyler Seliger, Seliger Excavation, 8120 NW Oasis Lane, Redmond, OR 97756. Kevin Smalling, Smalling Construction, 3300 NW Helmholtz Way, Redmond, OR 97756. Tim Chain, Timothy Chain Construction, 19500 Buck Canyon Road, Bend, OR 97702. Wystan Brown, Wystan Brown Excavation, 20225 Tumalo Road, Bend, OR 97701 Exhibit A Advanced Tree Service 1. Tub/horizontal grinding 2. Removal & haul treated fuels Quicksilver Contracting Co. 1. Hand piling 2. Grapple piling 3. Sheering 4. Chainsaw thinning 5. Chipping & removal 6. Pruning & ladder fuel reduction 7. Mowing 8. Lop & scatter 9. Pine needle removal 10. Crush & masticate 11. Dozer piling 12. Mulching 13. Tub/horizontal grinding 14. Removal & haul treated fuels T2, Inc. 1. Tub/horizontal grinding Integrated Resource Management 1. Hand piling 2. Grapple piling 3. Sheering 4. Slash busting 5. Chainsaw thinning 6. Pruning & ladder fuel reduction 7. Mowing 8. Pile burning 9. Lop & scatter 10. Pine needle removal 11. Crush & masticate 12. Dozer piling 13. Mulching 14. Removal & haul treated fuels Heart of Oregon Corps Inc. 1. Hand piling 2. Chainsaw thinning 3. Chipping & removal 4. Pruning & ladder fuel reduction 5. Lop & Scatter 6. Pine needle removal 7. Removal & haul treated fuels Summitt Forests Inc. 1. Hand piling 2. Chainsaw thinning 3. Chipping & removal 4. Pruning & ladder fuel reduction 5. Mowing 6. Pile burning 7. Lop & Scatter 8. Pine needle removal 9. Mulching 10. Removal & haul treated fuels Professional Tree Care 1. Hand piling 2. Grapple piling 3. Sheering 4. Chainsaw thinning 5. Chipping & removal 6. Pruning & ladder fuel reduction 7. Mowing 8. Lop & Scatter 9. Pine needle removal 10. Dozer piling 11. Removal & haul treated fuels Bear Mountain Fire 1. Hand piling 2. Grapple piling 3. Sheering 4. Slash busting 5. Chainsaw thinning 6. Chipping & removal 7. Pruning & ladder fuel reduction 8. Mowing 9. Pile burning 10. Lop & scatter 11. Pine needle removal 12. Crush & masticate 13. Dozer piling 14. Mulching 15. Tub/horizontal grinding 16. Removal & haul treated fuels Leroy Dalebout 1. Mowing La Pine Equipment 1. Hand piling 2. Grapple piling 3. Sheering 4. Slash busting 5. Chainsaw thinning 6. Chipping & removal 7. Pruning & ladder fuel reduction 8. Mowing 9. Pile burning 10. Lop & scatter 11. Dozer piling 12. Removal & haul treated fuels Keith Ross Contracting 1. Hand piling 2. Grapple piling 3. Sheering 4. Chainsaw thinning 5. Chipping & removal 6. Pruning & ladder fuel reduction 7. Mowing 8. Pile burning 9. Lop & Scatter 10. Pine needle removal 11. Dozer piling 12. Removal & haul treated fuels All Seasons Cleanup Service 1. Hand piling 2. Grapple piling 3. Chainsaw thinning 4. Chipping & removal 5. Pruning & ladder fuel reduction 6. Mowing 7. Pine needle removal 8. Removal & haul treated fuels Spaulding Property Maintenance 1. Hand piling 2. Chainsaw thinning 3. Chipping & removal 4. Pruning & ladder fuel reduction 5. Mowing 6. Pile burning 7. Pine needle removal 8. Removal & haul treated fuels Wildfire Fuels Reduction LLC 1. Pile burning 2. Crush & masticate 3. Mulching Running Tree, LLC 1. Hand piling 2. Chainsaw thinning 3. Chipping & removal 4. Pruning & ladder fuel reduction 5. Mowing 6. Pile burning 7. Lop & scatter 8. Pine needle removal 9. Removal & haul treated fuels Sisters Forest Products, LLC 1. Hand piling 2. Grapple piling 3. Sheering 4. Slash busting 5. Chainsaw thinning 6. Chipping & removal 7. Pruning & ladder fuel reduction 8. Mowing 9. Pile burning 10. Lop & scatter 11. Pine needle removal 12. Crush & masticate 13. Dozer piling 14. Mulching 15. Removal & haul treated fuels Allan Clark, LLC 1. Hand piling 2. Grapple piling 3. Chainsaw thinning 4. Chipping & removal 5. Pruning & ladder fuel reduction 6. Mowing 7. Dozer piling 8. Removal & haul treated fuels Woodland Rehab and Restoration, LLC, PO Box 821, La Pine, OR 97739. 1. Hand piling 2. Grapple piling 3. Sheering 4. Chipping & removal 5. Pruning & ladder fuel reduction 6. Dozer piling 7. Removal & haul treated fuels Spring River Tree Service, Inc. 1. Chainsaw thinning 2. Chipping & removal 3. Pruning & ladder fuel reduction Arbor 1 Tree Service 1. Hand piling 2. Chainsaw thinning 3. Chipping & removal 4. Pruning & ladder fuel reduction 5. Lop & scatter Barbwire Fencing Company 1. Hand piling 2. Grapple piling 3. Sheering 4. Slash busting 5. Chainsaw thinning 6. Chipping & removal 7. Pruning & ladder fuel reduction 8. Mowing 9. Pile burning 10. Lop & scatter 11. Pine needle removal 12. Crush & masticate 13. Dozer piling 14. Mulching 15. Tub/horizontal grinding 16. Removal & haul treated fuels Bar 7 A 1. Hand piling 2. Grapple piling 3. Sheering 4. Chainsaw thinning 5. Chipping & removal 6. Dozer piling 7. Tub/horizontal grinding 8. Removal & haul treated fuels Botanical Developments 1. Hand piling 2. Sheering 3. Slash busting 4. Chainsaw thinning 5. Chipping & removal 6. Pruning & ladder fuel reduction 7. Mowing 8. Lop& scatter 9. Pine needle removal 10. Dozer piling 11. Mulching 12. Tub/horizontal grinding 13. Removal & haul treated fuels Brink Bros. 1. Grapple piling 2. Slash busting 3. Chipping & removal 4. Pruning & ladder fuel reduction 5. Mowing 6. Dozer piling Chase Construction & Trucking 1. Removal & haul treated fuels Fagen Trees & Chips 1. Hand piling 2. Grapple piling 3. Sheering 4. Slash busting 5. Chainsaw thinning 6. Chipping & removal 7. Pruning & ladder fuel reduction 8. Mowing 9. Pile burning 10. Lop & scatter 11. Pine needle removal 12. Crush & masticate 13. Dozer piling 14. Mulching 15. Tub/horizontal grinding 16. Removal & haul treated fuels Long Butte Contracting 1. Hand piling 2. Slash busting 3. Chainsaw thinning 4. Pruning & ladder fuel reduction 5. Mowing 6. Lop & scatter 7. Pine needle removal 8. Removal & haul treated fuels PatRick Corporation 1. Hand piling 2. Chainsaw thinning 3. Chipping & removal 4. Pruning & ladder fuel reduction 5. Pile burning 6. Lop & scatter 7. Pine needle removal 8. Removal & haul treated fuels Seliger Excavation 1. Grapple piling 2. Chipping & removal 3. Tub/horizontal grinding 4. Removal & haul treated fuels Smalling Construction 1. Hand piling 2. Grapple piling 3. Sheering 4. Slash busting 5. Chainsaw thinning 6. Chipping & removal 7. Pruning & ladder fuel reduction 8. Mowing 9. Lop & scatter 10. Pine needle removal 11. Dozer piling 12. Mulching 13. Tub/horizontal grinding 14. Removal & haul treated fuels Timothy Chain Construction 1. Hand piling 2. Chainsaw thinning 3. Pruning & ladder fuel reduction 4. Mowing 5. Lop & scatter 6. Pine needle removal Wystan Brown Excavation, 20225 Tumalo Road, Bend, OR 97701 1. Hand piling 2. Grapple piling 3. Chainsaw thinning 4. Mowing 5. Lop & scatter 6. Pine needle removal 7. Dozer piling 8. Removal & haul treated fuels REVIEWED LEGAL COUNSEL For Recording Stamp Only RETAINER AGREEMENT FOR FUELS TREATMENT PARTIES: Deschutes County, Oregon (County) Advanced Tree Service (Contractor) 1. TERM: Upon signature by both parties through December 31, 2010. 2. DELIVERABLES: Fuels Treatment consists of one or more of the following services: hand piling, grapple piling, sheering, slash busting, chainsaw thinning, chipping and removal, pruning/ladder fuel reduction, mowing, pile burning, lop and scatter, pine needle removal, crush and masticate, dozer piling mulching, tub/horizontal grinding and hazard fuel removal. More specific descriptions of each Fuels Treatment service can be found on the following web sites or, upon request, in a printed form: http2//www.b1m,govinm/st/en/prog/fire/fuels management/fuel treatments.html http://www.forestencyclopedia.net/pLp285 http://www.nifc.gov/fuels/overview/outsideCommunities.html For purposes of this retainer agreement a list of Services that may be provided by Contractor are identified on Exhibit A, attached hereto and incorporated herein. 3. COMPENSATION: The amount or rate of payment associated with each particular Service that may be provided by Contractor is shown on Exhibit A. Where such compensation is shown as a range, the parties will negotiate a fixed rate or price as part of preparing a service agreement. 4. LOCATION OF SERVICES: Services to be provided by Contractor will occur in Deschutes County at a place or places more specifically described at the time a service contract is executed. The service location may be referred to as Work Site. 5. PROCESS: Contractor and other contractors submitted proposals in response to County's RFP. County analyzed proposals for adequacy of labor, equipment and experience, as well as price. Based upon County's analysis of Contractor's proposal, County has selected Contractor and particular Services identified on Exhibit A to be listed among a pool of contractors to perform one or more of the Fuels Treatment services during the term of this Agreement. Services for which Contractor submitted a proposal, but which are not identified on Exhibit A will not be the subject of a services agreement between Contractor and County. Page 1 of 3 RETAINER AGREEMENT FOR FUELS TREATMENT Doc. No. 2010-074 At such time during the contract term that County identifies a particular Work Site, and required Services for which Contractor has been listed, County will notify Contractor or some other contractor from the pool for purposes of negotiating and preparing a services agreement. Following notification by County the parties shall negotiate specific terms, including the Work Site, Service(s), sequence of Service(s) and compensation. The parties will utilize a standard county personal services contract covering general terms. The Services may include only those identified on Exhibit A. If the parties are unable to reach an agreement on any term, including the amount or rate of compensation for any one or more particular Service(s) to be provided, County may in its sole discretion enter into an agreement with Contractor for performance of those Services on which the parties have successfully negotiated all terms, and separately negotiate with another contractor from County's pool for performance of Service(s) on which County and Contractor have not reached agreement. Notwithstanding any representation or rule to the contrary, the parties understand and agree that the County shall be entitled to determine in its sole discretion what particular Services are required at a Work Site, the appropriate sequence and timeframe in which such Services will be provided by Contractor and that such Services will be provided by a contractor from the pool at a rate or cost which County has determined represents the best value to the public. The parties shall execute a written agreement based upon the agreed terms. Contractor shall promptly furnish required certificates of insurance. Only after a contract is fully executed and acceptable proofs of insurance are furnished will County issue a Notice to Proceed. 6. NOTICE TO PROCEED: Following County issuance of Notice to Proceed but before Contractor begins work under the agreement; Contractor shall meet with the County Forester at the Work Site. The purpose of such meeting will be for the County to give specific instructions to Contractor as to Services to be furnished at the Work Site based upon unique circumstances. Contractor shall follow County's instructions as if set forth in the agreement. Dated this day of _ , 2010 Deschutes County, Oregon County Forester Advanced Tree Service Chip Sweeney, Authorized Signature Page 2 of 3 RETAINER AGREEMENT FOR FUELS TREATMENT Doc. No. 2010-074 Exhibit A Chip Sweeney, Advanced Tree Service 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. Tub/Horizontal Grinding: $475 per hour. 16. Remove & haul treated fuels to designated disposal sites: $80 per hour. Page 3 of 3 RETAINER AGREEMENT FOR FUELS TREATMENT Doc. No. 2010-074 ,Forestryf DESCHUTES COUNTY DOCUMENT SUMMARY (NOTE: This form is required to be submitted with ALL contracts and other agreements, regardless of whether the document Is to be on a Board agenda or can be signed by the County Administrator or Department Director. If the document is to be on a Board agenda, the Agenda Request Forrn is also required. If this form Is not included with the document, the document will be returned to the Department. Please submit documents to the Board Secretary for tracking purposes, and not directly to Legal Counsel, the County Administrator or the Commissioners. In addition to submitting this form with your documents, please submit this form electronically to the Board Secretary.) Date: Please complete all sections above the Official Review line. January 28, 2010 Contractor/Supplier/Consultant Name: Contractor Contact: Department: ,Numerous Qualified Pool Contractors Contractor Phone #: Type of Document: 32 Retainer Agreements for Services for a Qualified Pool. Goods and/or Services: Treat approximately 600 acres of wildland fuels in twelve (12) areas throughout Deschutes County. Some treatment will occur with "sweat equity" where private property owners will place defensible space materials along roads and driveways for pick up and disposal by contractors; other work will entail thinning, chipping and removal of fuels from county owned lands; and some work will entail grinding treated materials to convert either to compost or generate electricity. Background & History: During 2010 Deschutes County plans to treat approximately 600 acres of wildland hazardous fuels in twelve (12) work areas within the county. All work will be accomplished using service contracts and funded by federal and state agency grants Deschutes County has received. In order to minimize administrative work, all work areas and all potential "services" were consolidated in a a single Request for Proposal as per Deschutes County Code2.37.130. The Request for Proposal was issued December 15, 2009 by individually mailings to 63 contractors, additional the Request for Proposal was published in the Bend Bulletin which generated an additional 12 request by contractors. The Request for Proposal closed at 5:00 p.m. on January 20, 2010. A total of 32 proposals were received. By creating a qualified pool from the Request for Proposals, Deschutes County can select the best value contractor for each work area for specific services to be provided with individual service contracts utilizing the successful proposals. The following documents are attached for review; Request for Proposal, Notice of Intent and Retainer Agreement for services. This will be the third year where the Qualified Pool concept has been advertised and utilized to treat fuels in Deschutes County. Agreement Starting Date: 31, 2010 February 10, 2010 Annual Value or Total Payment: $600,000 Ending Date: Insurance Certificate Received check box) Insurance Expiration Date: j1 Check all that apply: December 2/9/2010 RFP, Solicitation or Bid Process ❑ Informal quotes (<$150K) ❑ Exempt from RFP, Solicitation or Bid Process (specify - see DCC §2.37) Funding Source: (Included in current budget? ® Yes ❑ No If No, has budget amendment been submitted? ❑ Yes ❑ No Is this a Grant Agreement providing revenue to the County? ® Yes ❑ No Special conditions attached to this grant: Deadlines for reporting to the grantor: None If a new FTE will be hired with grant funds, confirm that Personnel has been notified that it is a grant -funded position so that this will be noted in the offer letter: ❑ Yes ® No Contact information for the person responsible for grant compliance: Name: Joe Stutter Phone #: 322-7117 Departmental Contact and Title: Phone #: Department Director Approval: Signature ("1 td Date Distribution of Document: Retainer Agreements returned to Joe Stutter for mailing. Official Review: County Signature Required (check one): ❑ BOCC department Director (if <$25K) b'L Administrator (if >$25K but <$150 ; if >$150K, BOCC Order No. Date Z - Legal Review Document Number r20 ) d - 07 4 --[ r 26l0 - /o q n c2-0/ - /0 �P 2/9/2010 MEMORANDUM DATE: June 22, 2010 TO: Deschutes County Board of Commissioners FROM: Joe Stutter, Deschutes County Forester RE: Fagen Protest On May 24, 2010 I sent via email a Request for Proposal (RFP) with a response date and time of 5:00 p.m. (COB) on June 3, 2010. There are ten contractors (providers) of tub/horizontal grinding on the Deschutes County Qualified Pool and each received the request of which six responded. The specific questions asked were as follows: RFP Questions 1. We are required to produce 22,000 Green Tons of biomass, how will the material be utilized and to what source(s) (specifically) will the material be delivered after the grinding? If contracts exist with companies for biomass products, please identify the names and locations. 2. If there is delay in transporting ground material, how long will the material occupy the disposal site? 3. All grinding will be at designated disposal sites with road access, please provide both the daily and monthly production levels in both Green Tons and Chip Truck Loads. 4. How many jobs will either be created or maintained with this job opportunity including your company and others associated with the effort? 5. Please provide total cost of grinding, loading and off-site transportation, please provide that cost in terms of $/hour. 6. Please provide costs of mobilization/re-mobilization from one disposal site to another, please provide that cost in terms of $/hour. On June 11, 20101 reviewed and analyzed the responses and sent my proposed recommendations to the respondents. On June 18, 2010 Mr. Wade Fagen (Fagen Trees and Chips) decided to protest my recommendations to the Deschutes County Board of Commissioners. On the same day (June 18, 2010) and prior to filing a protest, Mr. Fagen and I discussed the process, bids, criteria used for making the recommendation and the merits of economic stimulus before he decided to file a protest. We simply could not reach common ground on his issues. My first response is that Mr. Fagen's protest appears to address "non merit" issues of the RFP, consequently either non-responsive or Mr. Fagen wants to change the process or change his response to the RFP. Mr. Fagen seems to want to address carbon sequestration with his protest which was not a consideration in the RFP. Another consideration is the definition of biomass. In the original RFP I did not specifically quote the commonly used definition of biomass. Based on my professional experience with biomass and after research on the internet there is a wide range of definitions but the most commonly understood definition of biomass is "plant materials and animal waste used as fuel to create power by burning." All of the other respondents seemed to understand the intent of the RFP. Listed below are the key points/issues of Mr. Fagen's protest which I will address individually. 1. I feel that our discussion of the results did not give my situation the proper respect and understanding that it truly deserved. Response: On June 2, 2010 the day before the responses were due, Mr. Fagen submitted a response. After reviewing his response, Item 2 was not adequately addressed from the perspective that I could not sufficiently evaluate his response. I called Mr. Fagen and explained my concern and ask that he re-evaluate that response and gave an explanation of my desired expectations. Later that day (June 2, 2010) Mr. Fagen amended his original bid with the necessary information for Item 2. On June 18, 2010 Mr. Fagen and I discussed my evaluation and proposed recommendations of the responses. Mr. Fagen did have the same definition of biomass as me or the commonly held definition. Additionally, Mr. Fagen wanted to address carbon sequestration and keeping the economic stimulus results local in Deschutes County, which were not considerations of the RFP. Mr. Fagen asked that I discard the entire response and issue another RFP addressing his issues, which I declined. In summary, I worked with Mr. Fagen before and after the responses were due and the results are that I understand Mr. Fagen issues, I simply do not agree. 2. I would like to submit a formal appeal and would like to further the discussion of keeping the money here in Central Oregon. Response: The Biomass Stimulus Grant asked us to look beyond Deschutes County and we are looking at potential biomass opportunities in four counties, thus responsive to the grant received. The grant specifically asks us to consider biomass projects to improve the following scenario: "resulting in loss of jobs both in the field and at biomass energy facilities. Increasing the availability of biomass material will help to fill raw material gaps and allow retention of employees at facilities that produce energy from biomass." Since we have limited biomass energy facilities in Deschutes County, I was looking at job opportunities at those locations with my RFP questions. The reality is both contractors which are recommended to receive contracts employ people who live and work in Deschutes County thus local salaries, fuel, lodging and meals will also contribute to the local economy. The importance of jobs at the co -generations facilities and retaining the biomass energy infrastructure is also an important goal of the Stimulus Grant and was addressed in the RFP. The retention of the biomass energy infrastructure is important in furthering goals of wildland fire hazardous fuels reduction since it is the only industry that can support the long term use of large quantities of biomass materials. The stability of the biomass energy infrastructure also provides the basis for planned co- generation facilities to be built in Central Oregon. 3. It seems as though you want the grinding done for free. Response: Since the RFP asked for cost for grinding and other associated costs for mobilization and trucking this does not seem to fit with the RFP. 4. I feel that my key points again stated below were not considered. Response: Mr. Fagen's key points were not part of the RFP or his initial response and although understood, not considered as part of the RFP. 5. The material chipped will be made into mulch locally. This is more beneficial at sequestering carbon in three ways: Response: Mulch is not biomass by definition (plant material burned to create power). The reality is mulch continues to release both carbon dioxide and methane gas as it breaks down in nature. Methane gas is recognized as an even more powerful greenhouse gas than carbon dioxide by the magnitude of at least 30 times. There is no evidence that mulch itself sequesters carbon in the long term and must be replaced on a regular basis. Again sequestering carbon was not a RFP response requirement. 6. The material is not burned, keeping carbons out of the air. Response: True, the material is not burned (definition of biomass) but false from the perspective that mulch continues to release carbon dioxide as well as methane gas. 7. Since the material stays local, less forest fuels are used by decreased transportation distance. Response: I think Mr. Fagen's' point regarding local use was to imply that less fossil fuel is consumed by local use which is true. However, local use as mulch does not support the biomass energy infrastructure, including transportation, which is a major goal of the grant. 8. All equipment used runs on Bio -diesel, essentially a closed carbon loop fuel, saving yet more carbon output. Response: Although important neither were considerations in the RFP. Bio -diesel is currently not produced locally in volume. The majority of the bio -diesel is produced from soybeans grown in the Midwest using high levels of petroleum based fertilizers and heavy irrigation. The environmental benefits of 100% bio - diesel over the use of super low sulfur diesel, particulate filters, and bio - diesel blends on a per energy unit basis have yet to show that 100% bio - diesel is a superior choice for the environment. In fact, the National Bio - diesel Board reports that burning 100% bio -diesel results in a 10% increase in nitrogen oxides (NOx) when compared to standard diesel. In addition, the American Society of Testing and Materials (ASTM) has only approved bio -diesel blends of 20% or less for transportation use due to concerns regarding "cold flow" properties, material compatibility, maintenance intervals, fuel stability, biological growth, energy content, and emissions influence with higher concentrations. Mr. Fagen may have a personal preference to run 100% bio -diesel in his own trucks, but there is no data supporting the overall lifecycle benefits of this over the 20% or lower blends approved by the ASTM standard. In addition to my specific response to Mr. Fagen's protest issues, I have included Attachments 1&2 for your review and consideration which include the RFP questions, synopsis of response, my analysis and recommendations. Please contact me if you have additional questions. Thank you for scheduling a hearing date of June 30, 2010. /s/ Joe Stutter Joe Stutter Deschutes County Forester Attachments Cc: Dave Kanner, Erik Kropp, Mark Pilliod Attachment 1 2010 Biomass Bids RFP Questions: 1. We are required to produce 22,000 Green Tons of biomass, how will the material be utilized and to what source(s) (specifically) will the material be delivered after the grinding? If contracts exist with companies for biomass products, please identify the names and locations. 2. If there is delay in transporting ground material, how long will the material occupy the disposal site? 3. All grinding will be at designated disposal sites with road access, please provide both the daily and monthly production levels in both Green Tons and Chip Truck Loads. 4. How many jobs will either be created or maintained with this job opportunity including your company and others associated with the effort? 5. Please provide total cost of grinding, loading and off- site transportation, please provide that cost in terms of $/hour. 6. Please provide costs of mobilization/re-mobilization from one disposal site to another, please provide that cost in terms of $/hour. Responses: Bor 7 A: 1. Long history with numerous/diverse companies selling biomass fuels, current agreement/contracts to three companies for biomass products. Delivery of products based on location of raw material and prices at the time. 2. No delay in transportation, grind into trucks. 3. Production rate is 8 loads (256 green tons) per day and 160 Toads (5120 GT) per month. 4. Create/maintain 6 jobs, possibly more with the need for trucking. 5. Costs would be $680 hour inclusive of grinder, trucks and other equipment. 6. Mobilization is $90/hour not including the trucks. T2: 1. Long history with numerous/diverse companies selling biomass fuels, current agreement/contracts to five companies for biomass products. Delivery of products based on location of raw material and prices at the time. 2. No delay in transportation, grind into trucks. 3. Production rate is 10-15 truck loads (300-450 GT) per day and 220- 330 chips truck (7,000-10,000 GT) per month. 4. Create/maintain 25 jobs directly with T2 and retain 12 positions @ Prairie City facility for a total of 37 positions. 5. Costs vary depending on quality of product: $545/hr. for high quality product; $685/hr. for marginal quality product; $400/hr. for dirty material/green waste and $80/hr. to truck to designated facility i.e. Knott Landfill. Charges will be for grinding only with high quality product. 6. Mobilization is $150/hour flat rate. Botanical Development: 1. Approximately 500 GT will be used for local landscape industry and no current contracts exist. 2. Two weeks or less. 3. Production rate is 80 GT/day and 1,760 GT/month. 4. Create/maintain 12 jobs. 5. Costs would be $650/hr. and off site transportation is $100/hr/truck. 6. Mobilization is $100/hr flat rate. Fagen Tree's and Chips: 1. All material will be used for mulch locally, nothing identified for contracts out of area. 2. No delay in transportation, grind into trucks. 3. Production rate is 4-8 trucks/day (100-160 GT) and 80-160 trucks/month (2000-4000 GT). 4. Create/maintain 13 jobs. 5. Costs would be $100/hr and $85/hr/truck. 6. Mobilization is $85/hr. Tyler Seliger Excavation: 1. On going contract with White City and have a quote from Prairie City. 2. The longest delay would be 1 week with hopes to transport daily. 3. Production rate is 6 trucks/day (180 GT) and 120 trucks/month (3600 GT). 4. Create/maintain 15 jobs. 5. Costs would be $350/hr. for grinder, $140/hr. for excavator/operator, $100/hr. for loader for total of $590/hr and $85/hr. for each truck. 6. Mobilization is $120/hr. Quicksilver: 1. Current contract with White City, potential delivery to other facilities. 2. No delay in transportation, grind into trucks. 3. Production rate is 12-14 trucks/day (360-420 GT) and 250-300 trucks/month (7500-8800 GT). 4. Create/maintain 10-15 jobs. 5. Costs would be $424/hr. 6. Mobilization costs would be $110/hr. Selection/Recommendation of best value contractor: After reviewing the response to the Request for Proposal and referring to the existing agreement with Oregon Department of Forestry which is specific to the scope and intent of the Stimulus Grant my recommendation to the County Administrator and County Commissioners is as follows: T2 will receive the primary contract for the work to be performed. Quicksilver will be the primary backup and also receive a contract in the event T2 is unable to keep up with the demand. I will make my recommendation for these contracts based on the following: 1. T2 and Quicksilver can produce the most green tons both daily and monthly of all the bidders. In reality we likely will exceed the 22,000 Green Ton targets thus volume/production is a key component. 2. Best value, both T2 and Quicksilver offer the best value based on grinding/mobilization based on the quantity of the product to be delivered with no additional costs per hour for trucking. 3. Job creation, T2 will create or maintain approximately 37 jobs and Quicksilver can create or maintain 10-15 jobs. 4. One of the primary purposes of the Stimulus Grant is to process biomass for energy production, T2 has the most contracts and diversity of delivery options and able to handle a wide range of product. 5. Fagen and Botanical were not chosen because a majority of the product would be used for mulch locally and no existing contracts for energy production. The daily and monthly production rates of each would likely not keep up with the demands. Additionally over all grind costs and costs for trucking could actually result in over all cost being higher per green ton based on the number of trucks and distances for hauling. T2 and Quicksilver offered flat rates for the same services with much higher production rates. 6. Bar Seven A was not chosen based on higher cost for grinding, lower production rates and approximately six jobs created or maintained although Bar Seven has a diverse delivery potential. 7. Tyler Seliger Excavation was not chosen based on higher overall costs, lower production rates and only one source for product identified. Below are excerpts from the Oregon Department of Forestry Agreement with Deschutes County identifying both scope and purpose of the Stimulus Grant. The purpose of the Grant is to fund work associated with collecting woody biomass that is produced by thinning overstocked stands and processing it for energy production. The marginal economics of creating and transporting biomass especially during the recent downturn in the economy has decreased the utilization of this material for producing renewable energy. The cost of processing and transporting woody biomass using existing techniques currently exceeds the value placed on the biomass as renewable energy. Consequently, the woody biomass from hazardous fuel treatment projects has been burned or the disposal has been postponed resulting in loss of jobs both in the field and at biomass energy facilities. Increasing the availability of biomass material will help to fill raw material gaps and allow retention of employees at facilities that produce energy from biomass. Attachment 2 Synopsis of Responses Contractor Maximum Production Rate Cost/hour Cost/Green Ton Additional Costs Biomass #Jobs Bar 7 A 5,120 GT/Month $680 $21.25 Unspecified costs for trucking Yes 6 T2 10,000 GT/Month $543 * * *average of 3 quotes $8.68 None Yes 37 Botanical Development 1,760 GT/Month $650 $59.09 $100/Hr. and unknown per day. Some/500 GT for Mulch 12 Fagen Tree's and Chips 4,000 GT/Month $100 $4.00 $85/hr. and unknown per day No 13 Tyler Seliger Excavation 3,600 GT/Month $590 $24.8 $85/hr. and unknown per day Yes 15 Quick Silver 8,800 GT/Month $424 $7.70 None Yes 10-15 Green Ton Cost: 160 hrs. /Month X Cost/hr. divided by Monthly Production Rate= Costs/Green Ton We Can Prevent Forest Fires With a Biomass Strategy - Biomass Magazine Page 1 of 2 Southeast hlOyen7i7er 2 BIOMASS HyattRegencyAtta4, nta CONFIROINNCE a a% P O BIOMASS MAGAZINE The Worid of Biomass at Your Fingertips Search Articles Advanced Search .yc ;enelat'.or. Current Issue D RSS Feed Home Current lssue Subscribe Now Search Archive Events Ethanol Producer Biodiesel Magazine Advertising Contact Us Biologue Biomass Radio SUBSCRIBE View current issue here View past issues here From the July 2010 Issue ShareThis s., ,� RSS Feed Print thjs We Can Prevent Forest Fires With a Biomass Strategy By Bob Cleaves After a long, cold winter, the summer is finally here. For most Americans, this is the season of cookouts, bonfires and fireworks. But these warm months also bring a different, dangerous kind of blaze: forest fires. Seemingly every year, forest fires bum through millions of acres across the country, devastating communities and causing billions of dollars in damage. The sad truth is that regular forest maintenance could greatly impede the speed and ferocity with which these fires spread; reducing costs to fight them and protecting homes and lives in harm's way. The climate legislation currently being considered by Congress should take into account that in addition to being a valuable renewable energy source, the biomass industry helps to reduce the spread of forest fires by clearing highly flammable debris from the forest floor. According to the National Interagency Fire Center, in 2009 alone there were nearly 80,000 wildfires buming through almost 6 million acres across the United States. Forest fires are often fueled by excess small trees and brush that choke forests and create fire ladders that direct fires into the crowns of the largest trees. These varying tree densities and the dead, dry brush left behind act as kindling to allow crown fires to move across the landscape in a highly destructive manner. Bob Cleaves Article Continues After Advertisement The biomass power industry is uniquely positioned to improve forest health and reduce the threat of forest fires, while at the same time provide clean, renewable electricity to Americans in every region of the country. Without proper forest maintenance—including managed thinning and prescribed bums—forest waste is left to build up over time and stoke the flames of future fires. The biomass power industry is prepared to work directly with the U.S. Forest Service and other industry partners, as well as environmental groups, to ensure that forest material is carefully removed and converted to produce green electrical power. Some environmental groups fear that the biomass industry will clear-cut forests for fuel. This fear can be put to rest. It is not the practice of the biomass power industry to clear-cut forests and it is simply not economically viable to chop down whole trees to generate electricity. Biomass power uses only waste material such as scrap lumber, forest debris, or agricultural harvest waste to generate clean electricity, material that would otherwise be dumped in landfills, openly burned, or left as fodder for forest fires. http://www.biomassmagazine.com/article.j sp?article_id=3 876 Combustion Technologies for Biomass eDetrolt Stoke! CCompany All technologies. BIOTA S EL L A,oc. Inc. PLANT DESIGN novozymer tette ra Lur.zcw 6/21/2010 We Can Prevent Forest Fires With a Biomass Strategy - Biomass Magazine PERCIVAL L'R ;( Premier Manufacturers of Custom---- Environaf Cha Leant more at ou.PerfN81-ScientifICtcm Currently, the biomass power industry removes more than 68.8 million tons of forest waste annually. The biomass power industry effectively encourages regular forest management by creating a market for the excess small trees, slash and brush that are choking many of our forests. Removing this incentive to clear brush by discouraging biomass power would result in overgrown, unmanaged forests that pose an increased risk for forest fires. Furthermore, generating electricity from biomass actually reduces greenhouse gases. As dead brush decomposes it releases harmful methane gas and carbon dioxide into the atmosphere. During the electricity -generating process, biomass power eliminates methane gas and reduces the carbon dioxide that would have been emitted otherwise. Accounting for displaced fossil fuels, the biomass power industry removes more than 30 million tons of greenhouse gases from the atmosphere annually. The climate legislation introduced by Sens. John Kerry, D -Mass., and Joseph Lieberman, l -Conn., with its focus on stimulating the renewable energy industry, presents an opportunity for the biomass industry to gain the recognition it deserves as a viable and mature renewable energy source. Not only will more aggressive renewable energy mandates reduce greenhouse gas emissions, but these mandates will also spur new investment in biomass power and encourage the maintenance necessary to clear the waste debris responsible for fueling the massive forest fires witnessed around the country in recent years. Reducing the intensity and extent of forest fires by improving forest health will also lower costs for containment and keep firefighters and communities out of harm's way. Sens. Kerry and Lieberman are leading a new national agenda to build a clean energy economy. With the goals of reducing forest fires, creating jobs, and improving the environment, biomass power stands to lead the way in the renewable energy sector. Bob Cleaves is president and CEO of the Biomass Power Association. To leam more about biomass power, please visit www.U$ABiomass.orq. From the July 2010 Issue Search This Article ShareThis r autscr_tg Print this 1111111111 Page 2 of 2 Register by July 6th and receive $200 off conference registration MarxMalr August 4.6, 2010 V4easn Copier Flus °Uh� Home 1 Current Issue! Subscribe Now 1 Search Archive 1 Events 1 Ethanol Producer Magazine 1 Biodiesel Magazine 1 Advertising 1 About Us ( Contact Us 308 2nd Avenue North, Suite 304 Grand Forks, ND 58203 (701)746-8385 Fax:(701)746-5367 Subscription Fax:(701)738-4927 (4) 2010 BBI International Media http://www.biomassmagazine.com/articlejsp?article jd=3876 6/21/2010 Biomass - Wikipedia, the free encyclopedia Biomass From Wikipedia, the free encyclopedia Biomass, a renewable energy source, is biological material derived from living, or recently living organisms,['] such as wood, waste, (hydrogen) gas, and alcohol fuels. Biomass is commonly plant matter grown to generate electricity or produce heat. In this sense, living biomass can also be included, as plants can also generate electricity while still alive.[21 The most conventional way on how biomass is used however, still relies on direct incineration. Forest residues for example (such as dead trees, branches and tree stumps), yard clippings, wood chips and garbage are often used for this. However, biomass also includes plant or animal matter used for production of fibers or chemicals. Biomass may also include biodegradable wastes that can be burnt as fuel. It excludes organic materials such as fossil fuels which have been transformed by geological processes into substances such as coal or petroleum. Page 1 of 5 Renewable energy Biofuel Biomass Geothermal Hydroelectricity Solar energy Tidal power Wave power Wind power Industrial biomass can be grown from numerous types of plants, including miscanthus, switchgrass, hemp, corn, poplar, willow, sorghum, sugarcanel31, and a variety of tree species, ranging from eucalyptus to oil palm (palm oil). The particular plant used is usually not important to the end products, but it does affect the processing of the raw material. Although fossil fuels have their origin in ancient biomass, they are not considered biomass by the generally accepted definition because they contain carbon that has been "out" of the carbon cycle for a very long time. Their combustion therefore disturbs the carbon dioxide content in the atmosphere. Plastics from biomass, like some recently developed to dissolve in seawater, are made the same way as petroleum-based plastics. These plastics are actually cheaper to manufacture and meet or exceed most performance standards, but they lack the same water resistance or longevity as conventional plastics.l41 Contents • 1 Chemical composition • 2 Biomass sources • 3 Biomass conversion process to useful energy • 3.1 Thermal conversion • 3.2 Chemical conversion • 3.2.1 Biochemical conversion • 4 Environmental impact • 5 See also • 6 References • 7 External links • 8 Further reading Chemical composition Biomass is carbon based and is composed of a mixture of organic molecules containing hydrogen, usually including atoms of oxygen, often nitrogen and also small quantities of other atoms, including http://en.wikipedia.org/wiki/Biomass 6/21/201(1 2010 Biomass Bids RFP Questions: 1. We are required to produce 22,000 Green Tons of biomass, how will the material be utilized and to what source(s) (specifically) will the material be delivered after the grinding? If contracts exist with companies for biomass products, please identify the names and locations. 2. If there is delay in transporting ground material, how long will the material occupy the disposal site? 3. All grinding will be at designated disposal sites with road access, please provide both the daily and monthly production levels in both Green Tons and Chip Truck Loads. 4. How many jobs will either be created or maintained with this job opportunity including your company and others associated with the effort? 5. Please provide total cost of grinding, loading and off- site transportation, please provide that cost in terms of $/hour. 6. Please provide costs of mobilization/re-mobilization from one disposal site to another, please provide that cost in terms of $/hour. Responses: Bar 7A: 1. Long history with numerous/diverse companies selling biomass fuels, current agreement/contracts to three companies for biomass products. Delivery of products based on location of raw material and prices at the time. 2. No delay in transportation, grind into trucks. 3. Production rate is 8 loads (256 green tons) per day and 160 loads (5120 GT) per month. 4. Create/maintain 6 jobs, possibly more with the need for trucking. 5. Costs would be $680 hour inclusive of grinder, trucks and other equipment. 6. Mobilization is $90/hour not including the trucks. T2 : 1. Long history with numerous/diverse companies selling biomass fuels, current agreement/contracts to five companies for biomass products. Delivery of products based on location of raw material and prices at the time. 2. No delay in transportation, grind into trucks. 3. Production rate is 10-15 truck loads (300-450 GT) per day and 220-330 chips truck (7,000-10,000 GT) per month. 4. Create/maintain 25 jobs directly with T2 and retain 12 positions @ Prairie City facility for a total of 37 positions. 5. Costs vary depending on quality of product: $545/hr. for high quality product; $685/hr. for marginal quality product; $400/hr. for dirty material/green waste and $80/hr. to truck to designated facility i.e. Knott Landfill. Charges will be for grinding only with high quality product. 6. Mobilization is $150/hour flat rate. Botanical Development: 1. Approximately 500 GT will be used for local landscape industry and no current contracts exist. 2. Two weeks or less. 3. Production rate is 80 GT/day and 1,760 GT/month. 4. Create/maintain 12 jobs. 5. Costs would be $650/hr. and off site transportation is $100/hr/truck. 6. Mobilization is $100/hr flat rate. Fagen Tree's and Chips: 1. All material will be used for mulch locally, nothing identified for contracts out of area. 2. No delay in transportation, grind into trucks. 3. Production rate is 4-8 trucks/day (100-160 GT) and 80-160 trucks/month (2000-4000 GT). 4. Create/maintain 13 jobs. 5. Costs would be $100/hr and $85/hr/truck. 6. Mobilization is $85/hr. Tyler Seliger Excavation: 1. On going contract with White City and have a quote from Prairie City. 2. The longest delay would be 1 week with hopes to transport daily. 3. Production rate is 6 trucks/day (180 GT) and 120 trucks/month (3600 GT). 4. Create/maintain 15 jobs. 5. Costs would be $350/hr. for grinder, $140/hr. for excavator/operator, $100/hr. for loader for total of $590/hr and $85/hr. for each truck. 6. Mobilization is $120/hr. Quicksilver: 1. Current contract with White City, potential delivery to other facilities. 2. No delay in transportation, grind into trucks. 3. Production rate is 12-14 trucks/day (360-420 GT) and 250-300 trucks/month (7500-8800 GT). 4. Create/maintain 10-15 jobs. 5. Costs would be $424/hr. 6. Mobilization costs would be $110/hr. Selection/Recommendation of best value contractor: After reviewing the response to the Request for Proposal and referring to the existing agreement with Oregon Department of Forestry which is specific to the scope and intent of the Stimulus Grant my recommendation to the County Administrator and County Commissioners is as follows: T2 will receive the primary contract for the work to be performed. Quicksilver will be the primary backup and also receive a contract in the event T2 is unable to keep up with the demand. I will make my recommendation for these contracts based on the following: 1. T2 and Quicksilver can produce the most green tons both daily and monthly of all the bidders. In reality we likely will exceed the 22,000 Green Ton targets thus volume/production is a key component. 2. Best value, both T2 and Quicksilver offer the best value based on grinding/mobilization based on the quantity of the product to be delivered with no additional costs per hour for trucking. 3. Job creation, T2 will create or maintain approximately 37 jobs and Quicksilver can create or maintain 10-15 jobs. 4. One of the primary purposes of the Stimulus Grant is to process biomass for energy production, T2 has the most contracts and diversity of delivery options and able to handle a wide range of product. 5. Fagen and Botanical were not chosen because a majority of the product would be used for mulch locally and no existing contracts for energy production. The daily and monthly production rates of each would likely not keep up with the demands. Additionally over all grind costs and costs for trucking could actually result in over all cost being higher per green ton based on the number of trucks and distances for hauling. T2 and Quicksilver offered flat rates for the same services with much higher production rates. 6. Bar Seven A was not chosen based on higher cost for grinding, lower production rates and approximately six jobs created or maintained although Bar Seven has a diverse delivery potential. 7. Tyler Seliger Excavation was not chosen based on higher overall costs, lower production rates and only one source for product identified. Below are excerpts from the Oregon Department of Forestry Agreement with Deschutes County identifying both scope and purpose of the Stimulus Grant. The purpose of the Grant is to fund work associated with collecting woody biomass that is produced by thinning overstocked stands and processing it for energy production. The marginal economics of creating and transporting biomass especially during the recent downturn in the economy has decreased the utilization of this material for producing renewable energy. The cost of processing and transporting woody biomass using existing techniques currently exceeds the value placed on the biomass as renewable energy. Consequently, the woody biomass from hazardous fuel treatment projects has been burned or the disposal has been postponed resulting in loss of jobs both in the field and at biomass energy facilities. Increasing the availability of biomass material will help to fill raw material gaps and allow retention of employees at facilities that produce energy from biomass. 06/03/2010 14:45 FAX 541 317 1465 quicksilver Contracting 0001 64682 Cook Ave. 099 Bond, OR 97701 QUI CK$I LVER CON4.1 TACTI NG CO Logg!ng, Citipping &12'efor"estation •• (541) 382.3653 FAX 517-1965 TO: FAX COVER SHEET • J 5410-4 ORGANIZATION FAX NO: PAGES (INCLUDING COVER) MESSAGE: DATE' • /3156' FROM: —.44 4/1,;;;S-- PHONE: • IF YOU. DO . NOT RECEIVE ALL PAGES., PLEASE CALL AS SOON AS POSSIBLE. NOTXCE TO RECIPIENT: This communication may contain Confidential information that is intended only for -the 'individual or entity named on this cover sheet. If received by you in error, please notify the 'sender as soon as possible. Tank you. 06/03/2010 14:45 FAX 541 317 1465 64682 Cook Ave. #99 Bend, OR 97701 asilver2@bendcable. com Quicksilver Contracting z 002 QUI CKSI LVKR CONTRACTING CO. Logging, Chipping &Reforestation Main Office ( 541) 582-$6+53 Bookkeeping ( 541) 330.1950 Fax (541) 817-14115 Joe Stutter 61150 SE 27th St. Bend, OR 97702 June 3, 2010 RE: Grinding Project Joe; In response to your request for bids on the biomass grinding project, I am submitting this letter to provide answers to your questions as well as prices. 1. We will process material using a Peterson 5400 of 4700B horizontal grinder. Material will be fed to the grinder with a wheel loader and a track mounted shovel. Hogfuel produced by our operation will be delivered to Biomass One in White City, OR to fulfill our existing contract. Fuel may be delivered to other facilities as well. 2. Material will be loaded directly into a chip van as the grinder processes it. There would not normally be any stockpiling of material at the disposal site. 3. Our daily production level usually range is between 360 and 420 green tons or about 12 to 14 truckloads. Monthly production would be approximately 7,500 to 8,800 green tons or about 250 to 300 truckloads. 4. This project would create or maintain about 10 to 15 jobs. 5. Our total cost for processing would be $424.00 per hour based on estimated production of 30 to 40 green tons per hour. 6. Our cost per hour for mobilization/re-mobilization would be #110 per hour for our tractor or tractor/lowboy. 9ankijou, i John Williams President 06/03/2010 13:34 5413671016 Fax Fax. LI (. sea -2.111 T2 INC T2 44501 Wiley Creek Drive Sweet Home, OR 97386 Phone: 541-367-5180 Fax: 541-367-1016 Front' ems: 3 PAGE F'1/03 Phone: Date: Zb / O Rer__.____ Comments: CC: 06/03/2010 13:34 5413671016 T2 June 3, 2010 Joe Stutler County Forester Deschutes County 61150SE27`hSt. Bend, Oregon 97702 RE: Bid for Grinding Dear Joe: T2 INC PAGE E!2/03 T2, Inc. is pleased to submit this bid to perform grinding of forest slash materials and transport of the ground materials to co -generation facilities for the generation of renewable energy. The following numbered responses correspond to your questions forwarded on May 24, 2010: 1. T2, Inc. will deliver the ground biomass materials to several co -generation facilities that we have contractual arrangements and allocations. The final destination of the ground material will be based upon the quality of the material and the number of loads per day generated. Our current allocations range from 2 loads per day for some facilities to 16 loads per day. Facilities that we have current contracts and allocations with that would receive material from this project include Biomass One in White City, Roseburg Forest Products in Dillard, Freres Lumber in Lyons, Co -Gen Co. in Prairie City, and SP Newsprint in Newberg. Our largest daily allocations are at the facility in Prairie City. Between these facilities, T2, Inc. can transport the expected total production of 22,000 green tons. 2. In most cases we will load directly into truck and trailers. However, when we do grind to the ground, we will continue to load out the material until it is gone. Although we would move our grinder to a new location, the front end loader would remain on-site to continue loading out the ground material. In some cases that could take up to a week to move the material. In all cases, T2, Inc. will make an effort to move the ground material as fast as possible. 44501 Wiley Creek Drive, Sweet Home, OR 97386 Phone: (541) 367-5180 Fax: (541) 367-107.6 06/03/2010 13:34 5413671016 T2 INC PAGE 03/03 3. Grinding will be performed at a rate of approximately 300 to 450 green tons per day which is equal to 10 to 15 chip truck loads. Monthly production levels would be based upon the wood being ready to grind. Assuming 22 production days per month, T2, Inc. could grind and transport approximately 7,000 to 10,000 green tons per month, or 220 to 330 chip trailer loads. 4. This project would allow us to bring back 5 laid off jobs at T2, Inc. and retain 4 additional field positions in Central Oregon. In addition, we could bring back up to 16 outside truck drivers. The material going to Prairie City would retain 12 positions at the co -generation facility that are currently threatened. 5. T2, Inc. is providing hourly rates for three different conditions that will be encountered on this project. The conditions are based upon quality of the wood and the rate of production. Due to limited allocations and very high quality standards at some of the facilities, smaller projects with higher quality wood would result in lower hourly costs for the County. The three conditions are: 1)cican, high quality wood materials up to 10 loads per day at an hourly rate of $545/hour; 2)marginal quality of wood and other biomass materials up to 16 loads per day at $685/hour; and 3)dirty materials/green waste which will be rejected by co -generation facilities will be ground at $400/hour and then delivered to Knott Landfill or other location designated by the County at $80 an hour for trucking. It is anticipated that the majority of the wood generated by this project will meet condition #1 and will be similar in nature to the materials that have historically been brought to the Fontana grinding location. The hourly rate includes equipment and personnel to perform grinding, loading, and off-site transportation. The County will be charged for grinding hours only. If wood is ground to piles on the ground and then loaded out later, the loading time will be covered by the original charge for the grinding hours. 6. Equipment mobilization will be charged at $150/hour for movement from one disposal site to another. Thank you for the opportunity to submit this bid. We look forward to providing our services to continue hazardous fuels reduction work in Deschutes County. If you have any questions regarding this submittal, please feel fret to contact me at your convenience at (541) 913-8681, Sincerely, St en Lawn 44501 Wiley Creek Drive, Sweet Home, OR 97386 Phone: (541) 367-5180 Fax: (541) 367-1016 J u 0 1.1 c;.)A() ,.)P, 1. We are required to produce 22,000 Green Tons of biomass, how will the material be utilized and to what source(s) (specifically) will the material be delivered after the grinding? If contracts exist with companies for biomass products, please identify the names and locations. Our plan is to transport the biomass to a co -generation facility where it will be burned for renewable energy. We have an ongoing contract with Biomass One out of White City, Oregon. We have also been quoted an amount with CoGen Inc. (DR Johnson) in Prairie City, Oregon. 2. If there is delay in transporting ground material, how long will the material occupy the disposal site? At this particular time there should be a very short delay, if any at all in transporting the materials off site. The longest it would sit would be around a week. We are hoping to transport the material daily, and be able to keep up with the grinding. 3. All grinding will be at designated disposal sites with road access, please provide both the daily and monthly production levels in both Green Tons and Chip Truck Loads. We are able to grind at the least 180 green tons of materials daily, which would be around 6 truck loads a day. That equates to around 3600 green tons of material a month and 120 truck loads a month. 4. How many jobs will either be created or maintained with this job opportunity including your company and others associated with the effort? If we were to be awarded any part of this contract we believe we could create and maintain around 15 positions. We would need at least 6-8 additional truck drivers daily, a loader operator, a grinder operator, a foreman, and excavator operator. Those positions would be for this job only, which would help maintain the five other full time positions that take care of other contracts we have. 5. Please provide total cost of grinding, loading and off- site transportation, please provide that cost in terms of $/hour. 1. Tub Grinder $350 per hour 2. Grinder Support (Excavator and Operator) $140 per hour 3. Loader $100 per hour 4. Off -Site Transportation $85 per hour for each truck 6. Please provide costs of mobilization/re-mobilization from one disposal site to another, please provide that cost in terms of $/hour. 1. $120 per hour for our Lowboy to move everything from one site to another. FCO/Fagen. Tree's and Chips Wade Fagen, Consulting Arborist 1328 NE Seward Bend, OR 97701 (541) 382-4997 Cell (541 420-6645) June 3, 2010 Attn: Joe Stutter Deschutes County Forester (541) 322-7117 Office (541) 388-2719 Fax 61150 SE 27th Street Bend, OR 97701 juN e 3 210 RE: Request for Bid Grinding Mr. Stutter: Our response to your email of May 24, 2010 at 11:44 a.m. regarding the above reference project are: 1. The material chipped will be made into mulch locally. This is more beneficial at sequestering carbon in three ways: • The material is not burned, keeping carbons out of the air. • Since the material stays local, less forest fuels are used by decreased transportation distance. • All equipment used runs on Bio -diesel, essentially a closed carbon loop fuel, saving yet more carbon output. 2. All material will be transported immediately during the chipping process. It should be able to be transported from site in as reasonable amount of time or at least before site fills to capacity, we see no reason for delay. 3. Daily production can range from 100 to 160 tons or 4 to 8 truck loads per day. That is equal to 80 to 160 chips truckloads a month. 4. (a) Six new jobs will be created and 7 jobs maintained for approximately 1 to 4 years. (b) Each chip truck Toad should produce 50 man hours of work ranging from $25 to $15 per hour to the employee. (c) About $65 to $100 for employer. This equates to approximately $2,860 per truck Toad staying in the community and jobs created through added value of the material at 22 tons per truck that would be $2.86 million staying in the community and zero carbon for the global environment. Page 2 — Request for Bid Grinding 5. Grinding - $100.00 per hour Transportation - $85.00 per hour Loading - Zero Dollars 6. Mobilization and Re -Mobilization - $85.00 per hour Wade Fagen Certified Arborist # PN0862A CCB#100453 President Fagen Trees & Chips 85/30/2010 11:47 5416170443 FAX COVER Date: To: June 3, 2010 BOTANICAL DEVELOPMEN PAGE 0:./03 otra,elical De veiopments Joe Studer @ Deschutes County Fax #/Phone: fax 541-388-2719 From: Eric Evans @ 541-280-7871 Subject: Grinding Estitnate # Pages: 3 page(s), includin_ cover sheet. Please call ifyou do not receive all pages. Hi Joe, Attached is our estimate for the grinding of forest products in Deschutes, Crook, Jefferson and Northern Klamath County projectsM If you have any questions or concerns, please feel free to call me at 541-280- 7871:. Thanks for the opportunity and we look forward to working with you. Physicnl: 303 SE 2",, St. Bend, Oregon 97702 Mailing: 409 NW Franklin Ave. Bend, Oregon 97701 (541) 617 — 5926 Fax (541) 617 — 0443 05/30/2010 11:47 5416170443 June 3, 2010 Deschutes County Road Department Attn.: Joe Stutler, County Forester 61150 S.E. 27`h St. Bend, Or 97702 541-322-7117 BOTANICAL DEVELOPMEN PAGE 02/03 otahica/ De velopmeii ts Re: Estimate for grinding forest products in Deschutes, Crook, Jefferson and Northern Klamath County Dear Joe, Botanical Developments is once again, happy to provide you with a contractors quote for the grinding of forest products in Deschutes, Crook, Jefferson. and Northern Klamath Counties. Having extensive fuel reduction experience, extensive resources, and a professional staff, we feel that we are extremely qualified for implementing safe, efficient andtimely grinding and transportation activities to meet your project needs. Attached are our answers to the Request for Bids questionnaire for your review. If you have any questions or concerns, please feel free to contact me at (541) 280-7871. We look forward to working with you once again on your community protection and habitat enhancement projects. Respectfully, via EVG1 vLs Eric Evans Botanical Developments, LCB# 8140 409 NW FRAr4 (uN FIEND. c OON 97701 (541)617-6926 (541) 617 - 0443 FAX 05/30/2010 11:47 5416170443 BOTANICAL DEVELOPMEN PAGE 0`103 otarrical Developments Questions with Answers for bidding the grinding forest products in Deschutes, Crook, iefferson and Northern Klamath County Project 1. We are required to produce 22,000 Green Tons of biomass, how will the material be utilized and to what source(s) (specifically) will the material be delivered after the grinding? If contracts exist with companies for biomass products, please identify the names and locations. Answer: A portion of the material will be utilized within the Central Oregon Landscape Industry as a mulch product (roughly 500 tons) with the remainder of material to be delivered to hog -fuel processers. No current contracts exist. 2. If there is delay in transporting ground material, how long will the material occupy the disposal site? Answer: Any delays would be within two weeks or Tess. 3. All grinding will be at designated disposal sites with road access, please provide both the daily and monthly production levels in both Green Tons and Chip Truck Loads, Answer: Daily production level is an average of 80 tons per day and 1,760 tons per month. 4. How many jobs will either be created or maintained with this job opportunity including your company and others associated with the effort? Answer: We assume that at least one dozen jobs will be created and or maintained with this job opportunity. 5. Please provide total cost of grinding, loading and off-site transportation, please provide that cost in terms of $/hour. Answer: The total cost for a tub grinder and loading 1s $650/hr. and the off- site transportation cost is $100/hr. 6. Please provide costs of mobilization/re-mobilization from one disposal site to another, please provide that cost in terms of $/hour, Answer The cost for mobilization/re-mobilization is $100/hr. 409 NW FRANKLIN BEND, OTMCON 97701 (541) 617 - 5926 (541) 617 - 0443 Nix Page 2 of 5 Cc: Nicole Taylor Subject: Fw: Request for bids for grinding To: Joe Stutler Re: Deschutes County Qualified Pool Contractors The following is in response to your questions in your Email dated May 24, 2010: 1. Bar Seven A Companies has sold biomass fuel to numerous customers over the years. These customers include SP Newsprint, Newberg OR, Georgia Pacific Paper Mill, Camas, WA, Roseburg Forest Products, Dillard, OR, Warm Springs Forest Products, Warm Springs, OR, Prairie Wood Products, Prairie City, OR, Boise Cascade Paper Mill, Wallula, WA, BioMass One, White City, OR, Freres Lumber, Lyons, OR and Weyerhaeuser, Longview, WA. Bar Seven A presently has agreements to deliver material to Camas, Newberg and White City . The specific customer we deliver to would depend on the location of the raw material and what the various buyers are paying at the time. 2. Normally, we grind into trucks so there is no delay in transportation. 3. Our normal production rates average 8 loads (256 green tons) per day or 160 loads (5120 green tons) per month. 4. This job opportunity would maintain/create at least 6 positions, possibly more depending on the need of trucks to transport the ground material. 5. The total hourly cost of grinding, loading and off-site transportation would depend on the number of pieces of equipment necessary to perform the task. If we consider one grinder and two pieces of support equipment @ $395/hr combined, and three trucks @ $95/hr each, the total hourly cost would be $680 per hour. 6. Mobilization would be charged at the rate of $90/hr for each piece of equipment (not including the trucks). Chris Tolke Bar Seven A Companies Redmond , OR 541-548-4747 6/11/2010 rage J or D --- On Wed, 6/2/10, Nicole Taylor <nicolebsa@yahoo.com> wrote: From: Nicole Taylor <nicolebsa@yahoo.com> Subject: Fw: Request for bids for grinding To: ctolke@yahoo.com Date: Wednesday, June 2, 2010, 1:20 PM Forwarded Message ---- From: Joe Stutter<Joe_Stutler@co.deschutes.or.us> To: stephen lawn <t2_slawn@msn.com>; coatssellers@aol.com; nicolebsa@yahoo.com; Bear Mountain Fire <bearmountainfire@ykwc.net>; Eric Evans <Eric@botanical- developments.com>; tfagen@bendcable.com; qsilver2@bendcable.com; seligerexcavation@q.com; digdevil2@msn.com Cc: BROZNITSKY Brian <brian.broznitsky@state.or.us>; BENTON Kevin <kevin.benton@state.or.us>; john@singletreeconsulting.com; Joe Stutter <Joe_Stutler@co.deschutes.or.us> Sent: Mon, May 24, 2010 11:43:59 AM Subject: Request for bids for grinding To: Deschutes County Qualified Pool Contractors May 24, 2010 This email will serve as an official request from the companies on the Deschutes County Qualified Pool to provide requests for grinding forest products in Deschutes, Crook, Jefferson and Northern Klamath County. Deschutes County is currently the recipient of a stimulus grant, working with Oregon Department of Forestry, to both treat wildland fuels and create biomass, along with creating/maintaining jobs. By June 3, 2010 at the Close of Business I need information/answers to the following questions: 6/11/2010 _Page 4of) 1. We are required to produce 22,000 Green Tons of biomass, how will the material be utilized and to what source(s) (specifically) will the material be delivered after the grinding? If contracts exist with companies for biomass products, please identify the names and locations. 2. If there is delay in transporting ground material, how long will the material occupy the disposal site? 3. All grinding will be at designated disposal sites with road access, please provide both the daily and monthly production levels in both Green Tons and Chip Truck Loads. 4. How many jobs will either be created or maintained with this job opportunity including your company and others associated with the effort? 5. Please provide total cost of grinding, loading and off-site transportation, please provide that cost in terms of $/hour. 6. Please provide costs of mobilization/re-mobilization from one disposal site to another, please provide that cost in terms of $/hour. Please remember that once a contractor(s) are chosen, proof of insurance is required before we proceed with the work. I expect this work to continue thru December, 2011. Thank you in advance for your replies. You may email me the responses, fax or bring by my office before the deadline. Joe Stutter 6/11/2010 ragc 01 J Deschutes County Forester (541) 322-7117 office (541) 388-2719 fax 61150 SE 27th St. Bend, OR 97702 joest@co.deschutes.or.us 6/11/2010