HomeMy WebLinkAbout2001-02-13 - AGENDA REPORTS - CITY HALL TENANT IMPROVEMENTS (2)CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR City Manager Approval:
Item to be presented by: Chris Dastd
167.1V 14
February 13, 2001
SUBJECT: SANTA CLARITA CITY HALL THIRD FLOOR TENANT
IMPROVEMENT — APPROVAL FOR PURCHASE OF MODULAR
FURNITURE — PROJECT No. F1003
DEPARTMENT: Field Services
City Council approve an expenditure in an amount not to exceed $90,000 for the City Hall Third
Floor Tenant Improvement Project to Office Depot Business Services. Funds have been
budgeted in Fiscal Year 2000/2001 in Account F1003001. Authorize the City Manager or
designee to execute all documents, subject to City Attorney approval.
BACKGROUND
Phase II of City Hall's Five -Year Space Plan specified the relocation of the Administrative
Services Department from the third floor to the second floor. The plan then detailed the
expansion of the Transportation and Engineering Services Department, as well as the Planning
Division, into the area vacated by the Administrative Services Department. This project
completes the second half of Phase 11.
On January 25, 2000, City Council directed staff to look into the ability of local vendors to
supply modular office furniture, and return to Council with an answer. Following Council's
direction, staff has determined that there are no local vendors within Santa Clarita that provide
Steel Case modular furniture. However, there are vendors that provide other brands. The City
currently utilizes Steel Case modular furniture throughout the majority of its offices. To allow
for the flexibility to reconfigure office space as needed for our ever-growing staff without having
to purchase new furniture, consistency is required within the type of modular office furniture
used. Therefore, staff is proposing Office Depot Business Services in San Fernando, for the
subject purchase.
On July 11, 1995, City Council authorized staff to take advantage of "piggybacking" or volume
discount opportunities when found to be in the best interest of the City. This type of
arrangement allows smaller agencies to realize the economies of scale and cost savings typically
achieved through volume buying. The primary intention of the City's policy of competitive
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CITY HALL THIRD FLOOR TENANT IMPROVEMENT
February 13, 2001— Page 2
bidding is to ensure the City receives the best value for its money. Los Angeles County's
competitively awarded contract, currently in force with Office Depot for modular furniture,
achieves a 54 percent cost savings from the manufacturer on the basis of purchases exceeding
$1 million. By utilizing this Los Angeles County contract, a savings of up to $92,000 is realized
by the City on this purchase. The City's purchase volume alone would not generate such a
significant discount rate.
Once the construction of tenant improvements is complete, the modular furniture will be
installed to define workspaces. Due to the needs of additional staffing, additional modular
furniture is required. The existing furniture on the third floor will eventually be reconfigured to
accommodate the expanding needs of the Transportation and Engineering Services Department
and the Planning Division.
ALTERNATIVE ACTION
Other action as determined by the City Council.
FISCAL IMPACT
Funds for this project have been approved and budgeted in the General Fund for Fiscal
Year 2000-2001. Currently, $163,115 is available in Account No. F1003001/8001, which has
been appropriated for all costs associated with the third floor tenant improvements, including the
future purchase of furniture, all phone and data cabling expenses, and moving expenses. To
date, a total of $228,115 has been encumbered for construction of the project. A balance of
$163,115 remains to cover the modular furniture purchase and the remaining expense.
ATTACHMENT
None.
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