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HomeMy WebLinkAbout2010-10-26 - AGENDA REPORTS - LMD T 46 T 47 CONTR (2)Agenda Item: 6 CITY OF SANTA CLARITA AGENDA REPORT CONSENT CALENDAR City Manager Approval: Item to be presented by: DATE: October 26, 2010 SUBJECT: AWARD CONTRACTS FOR BID NUMBER LMD-10-11-04, FOR LANDSCAPE MAINTENANCE SERVICES IN LANDSCAPE MAINTENANCE ZONES T-46 AND T-47 DEPARTMENT: Administrative Services RECOMMENDED ACTION City Council: 1. Waive bid minor irregularities, based on the fact they are immaterial to the outcome of the bid. 2. Reject protest submitted by Marina Landscape, Inc. 3. Award a contract to Stay Green, Inc. for landscape maintenance services to LMD Zone T-46 (Northbridge) in the annual amount of $233,112, plus a 20 percent contingency of $46,622, for a two-year contract in the amount not to exceed $559,468. 4. Award a contract to Stay Green, Inc. for landscape maintenance services to LMD Zone T-47 (Northpark) in the annual amount of $151,872, plus a 20 percent contingency of $30,374, for a two-year contract in the amount of $364,492. 5. Authorize the City Manager or designee to execute all contracts and associated documents, or modify the awards in the event issues of impossibility of performance arise, and execute up to three (3) annual renewal options not to exceed the annual bid amounts plus Consumer Price Index (CPI) adjustments, . contingent upon the appropriation of funds by the City Council in the annual budget for such Fiscal Year, and execute all documents subject to City Attorney approval. A"R�VED� BACKGROUND The City administers and operates 40 zones within the Landscape Maintenance Districts (LMD). LMD is comprised of approximately 705 landscaped acres, including medians, parkways, three parks, over 20 miles of paseos, bridges, and 38,000 trees. Landscape maintenance services for the City's LMD operation are provided through contracts with private companies. On two occasions during the. month of August 2010, staff published Notices to Bid on contractual landscape maintenance services for LMD Zones T-46 and T-47. Bid notifications were also sent to the College of the Canyons, the Valley Industrial Association, the Santa Clarita Valley Chamber of Commerce, and 52 known vendors on file with the Purchasing Division. All bid packages were. made available on the City's website and collectively downloaded 42 times. Thirteen sealed bids were received and opened by Purchasing staff on September 22, 2010, identifying Stay Green Landscape as the apparent lowest responsive bidder. The full results of the bid opening are .presented in Attachment "A." Award of new contracts for these two LMD zones will result in lower annual maintenance costs for both landscape zones and enable the City to keep future maintenance cost increases to a minimum. The presence of numerous and qualified vendors within the landscape industry, coupled with existing economic conditions, has created an environment where aggressively priced bids have become the norm during the past two years. As a'result, the City continues to achieve significant cost reductions for landscape maintenance services through the competitive bid process. On October 4, 2010, Marina Landscape submitted a letter of protest stating the apparent low bidder, Stay Green, Inc., did not properly cross out a correction or include copies of professional certificates in their bid proposal. Following an encompassing review by Special Districts, Purchasing, and the City Attorney, Stay Green was found to possess all required licenses and certificates, and the discrepancies were determined to be minor irregularities that could be waived without materially affecting their bid. As background for the City Council, a minor irregularity is defined by staff as a discrepancy that does not make the bid materially different than intended by the bidder or give the bidder an advantage or benefit not allowed to other bidders. An example of where a discrepancy would create an material impact to a bid process is if the discrepancy allowed a bidder to attain lower costs and therefore bid a lower amount. A thorough evaluation of Stay Green's proposal has found their bid to be complete, and a due diligence review of their professional references has found their performance record to satisfactorily meet the City's high standards. Therefore, staff has determined Stay Green's bid to be the lowest and responsive and recommends award of contract by the City Council. Approval of the recommended action completes efforts initiated in 2006 by staff to competitively re -bid landscape maintenance services for each of the City's 40 LMD zones. -2- ALTERNATIVE ACTIONS 1. Do not award contract to Stay Green Landscape. 2. Other action as determined by the City Council. FISCAL IMPACT There is no impact to the General Fund. Sufficient funds were appropriated by the City Council during the Fiscal Year 2010-11 Budget Process. Two-year contract costs for each LMD Zone include a 20 percent contingency amount. The contingency amount represents a standard LMD approach to ensure that adequate funds are available to address minor, non -bid items such as unanticipated repairs, vandalism, disease control, and emergencies that may arise during the contract period. ATTACHMENTS Attachment A -3- Attachment A LMD Zone T-46 Landscape Maintenance Service Contract City Council Meeting October 26, 2010 COMPANY LOCATION AMOUNT Stay Green, Inc. Santa Clarita, CA $ 233,112 Marina Landscape Santa Clarita, CA $ 257,628 Oakridge Landscape North Hills, CA $ 291,282 ISS Grounds Control Santa Clarita, CA $ 301,860 Midori Gardens Santa Ana, CA $ 397,457 Venco Western Oxnard, CA $ 416,400 Parkwood Maintenance Van Nuys, CA $ 449,976 Valley Crest San Fernando, CA $ 452,820 American Heritage Canoga Park, CA $ 454,800 Wurzel Landscape Studio City, CA $ 455,136 Mariposa Landscapes Irwindale, CA $ 466,872 Oak Springs Nursery Santa Clarita, CA $ 468,000 TruGreen Landcare Santa Clarita, CA $ 654,000 Page 1 Attachment A LMD Zone T47 Landscape Maintenance Service Contract City Council Meeting October 26, 2010 COMPANY LOCATION AMOUNT Stay Green, Inc. Santa Clarita, CA $ 151,872 Marina Landscape Santa Clarita, CA $ 185,868 ISS Grounds Control Santa Clarita, CA $ 201,240 Oakridge Landscape North Hills, CA $ 211,536 American Heritage Canoga Park, CA $ 255,600 Parkwood Maintenance Van Nuys, CA $ 278,736 Midori Gardens Santa Ana, CA $ 285,923 Valley Crest San Fernando, CA $ 304,500 Venco Western Oxnard, CA $ 310,404 Oak Springs Nursery Santa Clarita, CA $ 312,000 Wurzel Landscape Studio City, CA $ 327,348 TruGreen Landcare Santa Clarita, CA $ 330,000 Mariposa Landscapes Irwindale, CA $ 334,440 Page 2 s--