HomeMy WebLinkAbout2012-08-28 - AGENDA REPORTS - LMD MAINT T2 T3 T4 T5 T6 T17 (2)Agenda Item: 12
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR City Manager Approval:
Item to be presented by: Kevin Tonoian
DATE: August 28, 2012
SUBJECT: AWARD CONTRACT FOR BID NUMBER LMD 11-1243 FOR
LANDSCAPE MAINTENANCE SERVICES IN LMD ZONES T2,
T3, T4, T5, T6, AND T7
DEPARTMENT: Administrative Services
RECOMMENDED ACTION
City Council:
1. Award a two-year maintenance service contract to Staygreen Inc., to provide contractual
landscape maintenance for Landscape Maintenance Districts (LMD) Zones T2, T3, T4, T5,
T6, and T7 in the annual amount of $216,000, and $149,000 for unforeseen repairs and
maintenance that are not part of scheduled services for a two-year contract in an amount not
to exceed $730,000.
2. Authorize the City Manager or designee to execute all contracts and associated documents,
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.
BACKGROUND
The City administers and operates 40 zones within the Landscape Maintenance Districts (LMD).
LMD is comprised of approximately 1,000 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.
Purchasing staff advertised LMD Bid 11-12-43 for the maintenance of LMD Zones T2, T3, T4,
T5, T6, and T7 on two occasions during June. The zones comprise areas in the Valencia area
between Lyons Avenue and Valencia Boulevard. Staff recommends the maintenance of the
zones be combined into one contract because of their close proximity to each other. Combining
the maintenance of the zones into one contract would also ensure a consistent level of service
throughout the paseo system.
The landscape contacts for the aforementioned zones are concluding their final option year and
therefore were competitively re -bid in anticipation of their scheduled expiration date of
September 30, 2012. As Landscape contracts for LMD Zones T8 and T17 are also scheduled to
expire on the same date, a competitive bid process was facilitated in parallel by staff to award
new maintenance contracts and appears as a separate item on the August 28, 2012 City Council
agenda. Staff chose to bid services for these zones separately to maximize the competitive
environment among potential vendors in order to realize and deliver the best overall contract
pricing for our residents.
Bid notifications were also provided to the Santa Clarity Valley Chamber of Commerce, Valley
Industrial Association, and 157 known vendors on file with the Purchasing Division. All bid
documents were also made available on the City's website. As a result, six sealed bids in
response to LMD 11-12-43 were received and opened by Purchasing staff on July 24, 2012. The
results of the bids are shown in Attachment "A."
Santa Clarita Municipal Code (S.C.M.C.) § 3.12.205 Support of Santa Clarity Businesses states
that the lowest bid or quote submitted by a Santa Clarita business that is within ten percent (10%)
of the lowest bid or quote, whether or not that bidder is the second lowest bidder, may be deemed
to be the lowest bidder if the bidder agrees to reduce its bid to match the bid or quote of the
lowest bidder. A local company, Staygreen, Inc., is the low bidder on the contract for LMD
Zones T2, T3, T4, T5, T6, and T7.
Based on actual expenditure history during previous years, staff can forecast certain reoccurring
maintenance activities and expenditures which are not a part of the routine monthly maintenance
for these LMD zones. In consideration of these cost centers, an additional $149,000 is
recommended to be added to the bid amount.
This amount is not guaranteed compensation under the terms of a proposed contract but provides
the City with the ability to use the successful contractor to address unanticipated landscape
activities which may arise but are not a part of routine monthly maintenance services. These
activities include vandalism and accidents, irrigation and/or drainage repairs, and plant
replacement due to damage, inclement weather, or end of plant life cycle.
A thorough evaluation of the bids determined the proposal submitted by Staygreen Inc. to be the
lowest and responsive bid. Special Districts staff conducted a due -diligence review of
Staygreen's professional references and determined their performance record meets the City's
high standards. Hourly costs for unscheduled services are capped and not guaranteed
compensation through this recommended contract award.
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 few years. As a result, the City continues to achieve significant
cost reductions for landscape maintenance services through the competitive bid process, securing
lower annual maintenance costs and enabling the City to minimize future maintenance cost
increases.
ALTERNATIVE ACTIONS
Other action as determined by the City Council.
FISCAL IMPACT
There is no impact to the General Fund. Sufficient LMD funds were appropriated by the City
Council as part of the Fiscal Year 2012-2013 budget in the following accounts:
T2 - 12502-5161.010, 12502-5141.001
T3-12503-5161.010,12503-5141.001
T4 - 12504-5161.010,12504-5141.001
T5 - 12505-5161.010, 12505-5141.001
T6 - 12506-5161.010, 12506-5141.001
T7 - 12507-5161.010, 12507-5141.001
ATTACHMENTS
Attachment A
-3-
Attachment A
Landscape Maintenance Service Contracts
City Council Meeting
August 28, 2012
LMD 11-12-43 (LMD Zones T2, T3, T4, T5, T6 and T7)
Landscape Engineers Estimate - $400,000 annually
COMPANY LOCATION BID AMOUNT
Stay Green Inc.
Oakridge Landscape
Venco Western
Marina Landscape Inc.
Oak Springs Nursery
Parkwood Maintenance
Santa Clarita, CA
$216,000
North Hills, CA
$313,716
Oxnard, CA
$316,620
Anaheim, CA
$338,052
Santa Clarita, CA
$360,000
Van Nuys, CA
$378,567
-f—