HomeMy WebLinkAbout2014-09-23 - AGENDA REPORTS - BID LMD14-15-07 ZONES T8&28 (6)CONSENT CALENDAR
DATE:
SUBJECT
DEPARTMENT:
Agenda Item: 7
CITY OF SANTA CLARITA
AGENDA REPORT
City Manager Approval:
Item to be presented by:
September 23. 2014
KevinTonoian
AWARD CONTRACTFOR BID NUMBER LMD-1 4-15-07 FOR
LANDSCAPE MAIN VENANCE SERVICES IN LMD ZONES T8
(SUMMIT) AND 28 (NEWHALL)
Administrative Services
RFCOMMENDFI) ACTION
City Council:
1. Awarda two-year maintenance service contract to Stay Green, Inc. to piovide contracand
landscape maintenance for Landscape Maintenance District (LMD) ZoncT8 (SLooluit) in the
,amount ot'S571.200.and authorize all annual contingency in the amount of $99.000. (a total
of $198,000 for two years) for a total two-year contract i . n all amount not to exceed $769,200.
2. Award it two-year maintenance service contract to Oak Springs Nutscry, Inc. to provide
contractual landscape maintenance for Landscape Maintenance District (L -',ID) Zone 28
(Newhall) in the aniount of$99.984. and authorize an annual contingency in the amount of
$7,500, (it total of $15,000 for two years) for a total two-yein contract i . it in amount not to
exceed $1 14�98,L
3. Appropriate funds in the amount o I'S] 05.408 from LM D F und 35 7 to LMD Zone T8
(SLiiniiiit)expeiidittireaccounII2508-5161.010.
4. Authorize the CityiManagerordesignee to execute all contracts and associated documents, or
modify the awards in the event issues of impossibility ol'performance arise. contingent upon
the appropriation of funds by the City Council in the annual budget for such Fiscal Year, an(]
execute all documents subject to City Attorney approval.
5. Direct staff to return to the Council prior to the conclusion of these two -yen contracts to
consider authorizing the City Manager or designee to execute up to three (3) annual renewal
options not to exceed the annual bid mount, plus Consumer Price Index (CPI) adjustments.
BACKGROUND
The City administers 54 zones within the Landscape Maintenance District (LMD). In total, the
LMD maintains approximately 1,200 landscaped acres, including parkways, 9 parks, over 20
miles of paseos, 46 miles of landscaped medians, 30 bridges and tunnels, and 60,000 trees.
Landscape maintenance services for the City's LMD operation we provided through contracts
with private companies.
In 2012, LMD Zones T8 (Summit) and 28 (Newhall) were competitively bid and awarded to the
lowest, responsive, responsible bidder. The length of the contracts was for a two-year term, with
the option to execute up to three, one -yew renewals contingent upon the City Council's
ratification. In the months leading to the completion of the initial two -yew term, staff
determined the best course of action was to place the contracts out to competitive bid.
For LMD Zone T8 (Summit), in July of this yen the City elected to relieve the incumbent
contractor from their maintenance obligations due to performance issues. For LMD Zone 28
(Newhall), as the Downtown Newhall area continues to evolve and transforra into a destination
location, the scope of work associated with this maintenance contract has incrementally changed
to the point where rebidding the contract is appropriate -
The City's Purchasing staff published bid number LMD-14-15-07 for the maintenance of LMD
Zones T8 and 28 on PlanetBids on July 29, 2014, The request for bid was sent to 120 vendors,
including the Santa Clarita Valley Chamber of Commerce and Valley Industrial Association, and
was downloaded by 21 companies.
As a result of the bid process, five bids were received and opened by Purchasing staff on
August 29, 2014. A separate contract is being awarded to the lowest responsible bidder for each
zone. The results of the bid are shown below.
LMD Zone T8 (Summit) Landscape Maintenance Contract
BID
COMPANY
LOCATION
BID AMOUNT
Recommended
Bid I
Stay Green, Inc.
Santa Clarita
$ 285,6WOO
Bid 2
Oak Springs Nursery, Inc.
Santa Clarita
$ 288,000.00
Bid 3
Venco Western, Inc.
Simi Valley
$ 294,048.00
Bid 4
Oakridge Landscape
Santa Clarita
$ 329,100.00
Bid 5
ValleyCrest Landscape
San Fernando
$ 342,999.96
M1
LIVID Zone 28 (Newhall) Landscape Maintenance Contract
BID
COMPANY
LOCATION
BID AMOUNT
Recommended
Bid I
Oak Springs Nursery, Inc.
Santa Clarita
$49,992.00
Bid 2_
Stay Green, Inc.
Santa Clarica
$57,120.00
Bid 3
Vence, Western, Inc.
Simi Valley
$58,800.00
Bid 4
ValleyCrest Landscape
San Fernando
$61,749.96
Bid 5_
Oakridge Landscape
Santa Claritat
$65,940.00
In an effort to improve maintenance standards and enforce contractor accountability, Bid Number
LMD-14-15-07 encompasses an updated scope of work as compared to the existing maintenance
contracts. The updated bid specifications provide staff with the ability to impose liquidated
damages based on contract deficiencies resulting from poor performance and require a minimum
number of staff and hours be dedicated to weekly maintenance. The inclusion of minimum
staffing and weekly hours will be factored in the competitively awarded base bid price and is
intended to mitigate prospective vendors from under -bidding such contracts.
The requirement for minimum staffing and weekly hours we based on benchmark data and
analysis to successfully perform the work required in the zones. 'ne updated contract
requirements have resulted in increased base bid pricing as compared to the previous
"performance based" contracts. As a result, as part of this bid award, staff is requesting an
additional appropriation of $105,408 for Zone T8 (Summit) to provide adequate operational
funding for the remainder of Fiscal Year 2014-15.
Based on benchmark data and expenditure history, staff can also forecast certain maintenance
activities and expenditures beyond what is anticipated as the routine monthly maintenance for
this LMD zone. The non-scheduled expenditures include repair activities due to damage or
vandalism, irrigation, and/or drainage repairs, and plant replacement due to damage, inclement
weather, or end -of -plant life cycle.
In consideration of the non -routine expenditures, staff is requesting authorization to increase the
total potential value of Stay Green, Inc.'s annual contract by a contingency amount of $99,000
for Zone T8 (Summit), and Oak Springs Nursery, Inc.'s annual contract by a contingency amourn
of $7,500 for Zone 28 (Newhall). It is important to note that hourly costs for unscheduled
services are capped and not guaranteed compensation under the terms of the recommended
contract.
By authorizing contract expenditure authority beyond the base bid amounts, the City Council is
taking action to ensure that LMD revenues generated by property owners we utilized in the most
cost-effective manner. Specifically, the City retains the discretion to authorize and compensate
the contractor for additional work once it has been reviewed by field inspectors and approved by
the LMD Administrator.
W
A thorough evaluation of the bids determined the proposal submitted by Stay Green, Inc. to be
the lowest, responsive, responsible bid for Zone T8 (Summit) and Oak Springs Nursery, Inc. to
be the lowest, responsive, responsible bid for Zone 28 (Newhall). Special Districts conducted
due -diligence reviews of professional references of both contractors to ensue their performance
records meet the City's high standards.
ALTERNATIVE ACTIONS
1. Do not award contracts to Stay Green, Inc. and Oak Springs Nursery, Inc.
2. Other action as determined by the City Council.
FISCAL IMPACT
There is no impact to the General Fund. Landscape Maintenance District (LMD) funds in the
amount of $180,192 for LMD Zone T8 (Summit) and $74,127 for LMD Zone 28 (Newhall) were
previously budgeted and included as part of the proposed Fiscal Year 2014-15 budget in the
following accounts.
Zone T8 (Summit) 12508-5161.010, 12508-5141.001
Zone 28 (Newhall) 12551-5161.010, 12551-5141.001
As part of this action, staff is requesting appropriation of additional monies in the arnounts of
$105,408 from LMD Fund 357, to expenditure account 12509-5161.010 to provide adequate
funding to support the maintenance contract for Zone T8 (Summit) through the conclusion of
Fiscal Yew 2014-15. Funding to support the contracts beyond Fiscal Yen 2014-15 are
contingent upon the appropriation of funds by the City Council in the annual budget for such
Fiscal Yea.
ATTACHMENTS
Contract 14-00316 available in the City Clerk's Reading File
Contract 14-00317 available in the City Clerk's Reading File
y
A I I
MAINTENANCE AGREEMENT
BETWEEN
THE CITY OF SANTA CLARITA AND
STAY GREEN, INC.
Contract No. 14-00316
THIS MAINTENANCE AGREEMENT ("Agreement") is made and entered into this — day of
— 20_ by and between the CITY OF SANTA CLARITA, a general law city and
Municipal corporation ("CITY") and STAY GREEN, INC., a California Corporation
("CONTRACTOR").
The Parties agree as follows:
1. CONSIDERATION.
A. As partial consideration, CONTRACTOR agrees to perform the work listed in the
SCOPE OF SERVICES, below; and
B. As additional consideration, CONTRACTOR and CITYagree to abide by the
terms and conditions contained in this Agreement, and
C. As additional consideration. CITY agrees to pay CONTRACTOR on a monthly
basis an amount set torth in the attached Exhibit "B," which is incorporated by
reference, for CONTRACTOR's services. CITY will pay such amount promptly,
but not later than thirty (30) days after receiving CONTRACTOR's invoice.
2. TERM. The term of this Agreement will be from October 1, 2014, to September 30, 2016.
The Agreement may be renewed upon mutual consent of the parties.
3. SCOPE OF SERVICES.
A. CONTRACTOR will perform services listed in the attached Exhibit "A."
B CONTRACTOR will, in a workmanlike manner, furnish all of the labor, technical,
administrative, professional and othei personnel, all supplies and matclials,
equipment, printing, vehicles, transportation, office space and facilities, and all
tests, testing and analyses, calculation. and all other means whatsoever, except as
herein otherwise expressly specified to be ounished by CITY, necessary or proper
to perform and complete the work and provide 0ve probissionaI services required of
CONTRACTOR by this Agreement.
4. PREVAILING WAGES.
A. If required by applicable state law including, without limitation Labor Code
§§ 1720 (as amended by AB 975 (2001)), 1771, 1774, 1775, and 1776,
CONTRACTOR must pay its workers pievailing wages. It is CONTRACTOR's
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No, I F 7
responsibility to interpret and implement any prevailing wage requirements and
CONTRACTOR agrees to pay any penalty or civil damages resulting from a
violation of the prevailing wage laws In accordance with Labor Code § 1773.2,
copies of the prevailing Tate of per dictri wages are available upon request Train
CITY's Engineering Division or the website for State of California Prevailing
Wage Determination at www.dir.ca.,,o�,/DLSR/PWD. A copy of the prevailing
ratcof perchern wages must be posted atthejob site.
B. If this contract is subject to state prevailing wage requirements of the California
Labor Code including Sections 1770 and 1773, and the City's California
Department of Industrial Relations (DIR) approved Labor Compliance Program.
All covered work classifications required in perfornrance of this contract will be
subject to prevailing wage provisions. The C011bactors and its subcontractors shall
pay not less than the state wage rates. Contractor shall further adhere to the
requirements contained in the City of Santa Clarina's Labor Compliance Program.
A copy of the Labor Compliance Piogram is available for review upon ructuest at
the Office of the City Clerk. All pertinent state statues and regulations, including,
but not limited to those referred to in this contract and in the City's Labor
Compliance Program, ire incorporated herein as though set forth in their entirety.
Additionally, the Contractor is responsible for obtaining a current edition of all
applicable state stanies and regulations and adhennIg to the latest editions of such.
C. Protection of Resident Workers
The City of Santa Clarina activetv supports the Immigration and Nationality Act
TNA), which includes provisiong addressing employment eligibility, employment
verification, and nondiscrimination. Under the INA, employers [nay hire only
persons who may legally work in the United States (i.e., citizens and nationals of
the U.S.) and aliens authorized to work in the U.S. The employer must �eriry the
identity and employment eligibility of anyone to be hired, which includes
completing the Employment Eligibility Verification Form (1-9), Tile Contractor
shall establish appropriate procedures, and controls so no services or products under
the Contract Documents will be performed or mantifictured by any worker who is
not legally eligible to perform such services or employment.
5. FAMILIARITYWITH WORK.
A. By executing this Agreement, CONTRACTOR represents that CONTRACTOR
has:
Thoroughly investi,,ated and considered the scope of set vices to be
perfornied: and
ii. Carefully considered how the services slintild be performed; and
iii. Understands the facilities, difficulties, and restrictions attending
performance of the services under this Agreement.
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B. If services involve work upon any site, CONTRACTOR warrants that
CONTRACTOR has or will investigate the site and is or will be fully acquainted
with (he conditions there existing, before commencing the services hereunder.
Should CONTRACTOR discover any latent or unknown conditions that may
materially affect the performance of the services, CONTRACTOR will
immediately inform CITY of such fact and will not proceed except at
CONTRACTOR's own risk until written instructions are received from CITY.
6. INSURANCE.
A. Before commencing performance under this Agreement, and at all other times this
Agreement is effective, CONTRACTOR will procure and maintain the following
types of insurance with coverage limits complying, at a minimum, with the limits
set forth below:
Type of Insurance Limits (combined single)
Commercial general liability: $1,000,000
Business automobile liability $ I'OK000
Workers compensation Statutory requirement
B. Commercial general liability insurance will meet or exceed the requirements of
ISO -CGL Forni No. CG 00 01 11 85 or 88. The amount of insurance set forth
above will be a combined single limit per occurrence for bodily injury, personal
injury, and property damage for the policy coverage. Liability policies will be
endorsed to name City, its officials, and employees as "additional insureds" under
said insurance coverage and to state that such insurance will be deemed "primary"
such that any other insurance that may be carried by City will be excess thereto.
Such insurance will be on an "occurrence," not a "claims made," basis and will not
be cancelable or sub) I ect to reduction except upon thirty (30) days prior written
notice to City.
C. Automobile coverage will be written on ISO Business Auto Coverage Form
CA 00 01 06 92, including symbol I (Any Auto).
D. CONTRACTOR will furnish to City duty authenticated Certificates of Insurance
evidencing maintenance of the insurance required under this Agreement,
endorsements as required herein, and such other evidence of insurance or copies of
policies as may be reasonably required by City from time to time. Insurance must
be placed with insurers with a Current A.M. Best Company Rating equivalent to at
least a Rating of-A:VIL" Certificate(s) must reflect that the insurer will provide
thirty (30) day notice of any cancellation of coverage. CONTRACTOR will
require its insurer to modify such certificates to delete any exculpatory wording
stating that failure of the insurer to mail written notice of cancellation imposes no
obligation, and to delete the word "endeavor" with regard to any notice provisions.
E. Should CONTRACTOR. for any reason. fail to obtain and maintain the insurance
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required by this Agreement, City may obtain such coverage at CONTRACTOR's
expense and deduct the cost of such insurance front payments due to
CONTRACTOR Linder this Agreement or terminate. In the alternative, should
CONTRACTOR fail to meet any of the insurance requirements under (his
agreement. City may cancel the Agreement immediately with no penaltv.
F. Should Contractor's insurance required by this Asureement be cancelled at an
point Orior to expiration of the policy. CONTRACTOR must notifv Citv within 24
hours of receipt of notice of cancellation. Furthermore, CONTRACTOR must
obtai n rep I acenic it t coverage t li at rueets a] I coil tractu al Leg u i renients w i thi n 10 days
of the prior insurer's issuance of notice of' cancellation. CONTRACTOR must
ensure that there is no lapse in coveraze.
7. TIME FOR PERFORMANCE. CONTRACTOR will not perform any work under this
Agreement until:
A. CONTRACTOR furnishes proof of insurance as required under Section 6 of this
Agrccmena� and
B. CITY gives CONTRACTOR a written Notice to Proceed.
C. Should CONTRACTOR begin work in advance of receiving written authorization
to proceed, any such professional services are at CONTRACTOR's own risk.
8. TERMINATION.
A. CITY may terminate this Agreement at any time with or without cause
B. CONTRACTOR may terminate this Agreement upon providing written notice to
CITY at least thirty (30) days before the effective termination dine.
C. Should the Agreement be terminated pursuant to this Section, CITY may procure
on its own terms services similar to those terminated.
D. By executing this document, CONTRACTOR waives any and all claims for
damages that might otherwise arise from CITY's termination under this Section.
9. INDEMNIFICATION.
CONTRACTOR agrees to indemnify and hold CITY harmless from and against any claim, action,
damages, costs (including, without limitation, attorney's fees), injuries, or liabilitv, arising out of
the performance of this agreement by CONTRACTOR. Should CITY be namell in any suit, or
should any claim be brought against it by suit or otherwise. arising out of performance by
CONTRACTOR of services rendered pursuant to this Agreement, CONTRACTOR will defend
CITY (at CITY's request and with counsel satisfactory to CITY) and will indemnify CITY for ally
judgment rendered against it or any sums paid out in settlement or costs incurred in defense
otherwise.
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10. INDEPENDENT CONTRACTOR. CITY and CONTRACTOR agree that CONTRACTOR
will act as all independent contractor and will have control of all work and the manner in which is
it performed. CONTRACTOR will be free to contract tot similar service to be performed for
other employers while under contract with CITY. CONTRACTOR is not an agent or employee of
CITY and is not entitled to participate in any pension plan. insurance, bonus or similar benefits
CITY provides for its employees. Any provision in this Agreement that may appear to give CITY
the riOt to direct CONTRACTOR as to the details of doing the work or to exercise a measure of
control over the work means that CONTRACTOR will follow the direction of the CITY as to end
results of the work only.
11. NOTICES.
A. Ail notices given or required to be given pursuant to this Agreement will be in
7
writing and may be given by personal delivery or by mail. Notice sent by mail will
be addressed as follows
To CITY: City of Santa Clarila
23920 Valencia Boulevard. Suite 300
Santa Clarita, CA 91355
To CONTRACTOR: Stay Green, Inc.
26415 Summit Circle
Santa Clatita, CA 91350
B� When addressed in accordance with this paragraph, notices will be deemed given
upon deposit in the United States mail, postage prepaid. In all other instances,
notices will be deemed given at the nine of actual delivery.
C. Changes may be made in the names or addresses of persons to whom notices are to
be given by giving notice in the manner prescribed in this paragraph.
12.TAXPAYER IDENTIFICATION NUMBER. CONTRACTOR will provide CITY with a
Taxpayer Identification Number.
13. WAIVER. A waiver by CITY of any breach ofany term, covenant, or condition contained in
this Agreement will not be deemed to be a waiver ofany subsequent breach ot the same or any
other term. covenant, or condition contained in this Agreement. whether of the same or different
character.
14. CONSTRUCTION. The language oJ each part ot this Agreement will be construed simply
and according to its fair meaning, and this Agreement will never be construed either for or against
either party.
15. SFVERABLE. If any portion of this Agreement is declared by a court Of Competent
jurisdiction to be invalid or unenforceable, then such portion will be deemed modified to the
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extent necessary in the opinion of the court to render such portion enforceable and, as so
modified, such portion and the balance of this Agreement will continue in full force and effect.
16. CAPTIONS. The captions of the paragraphs of this Agreement are for convenience or
reference only and will not affect the interpretation ofthis Agreement.
17. WAIVER. Waiver of any provision of this Agreement will not be deemed to constitute a
waiver of any other provision, nor will such waiver constitute a continuing waiver.
18. INTERPRETATION. This Agreement was drafted in. and will be construed in accordance
with the laws of the State of California, and exclusive venue for any action involving this
agreement will be in Los Angeles County.
19. AUTHORITY/MODIFICATION. This Agreement may be subject to and conditioned upon
approval and ratification by the Santa Clariti City Council. This Agreement is not binding upon
CITY until executed by the City Manager. The Parties represent and warrant that all necessary
action has been taken by the Parties to authorize the undersigned to execute this Agreement and to
engage in the actions described herein. This Agreement may be modified by written agreement.
CITY's City Manager may execute any such amendment on behalf ol CITY.
20. ACCEPTANCE OF FACSIMILE SIGNATURES. The Parties agree that this Agreement,
agreements ancillary to this Agreement, and related documents to be entered into in connection
with this Agreement will he considered signed when the signature of a party is delivered by
facsimile transmission. Such facsimile signature will be treated in all respects as having the same
effect as an original signature.
2 1. EFFECT OF CONFLICT. In the event of any conflict, inconsistency, or incongruity between
any provision of this Agreement, its attachments, the purchase order, or notice to proceed, the
provisions of this Agreement will govern and control.
22. FORCE MAJEURE. Should performance of this Agreement be prevented due to fire, flood,
explosion, war, terrorist act, embargo, government action. civil or military authority, the natural
elements, or other similar causes beyond the Parties' control, then tile Agreement will
immediately terminate without obligation of either party to the other.
23. ENTIRE AGREEMENT. This Agreement and its one attachment constitates the sole
agreement between CONTRACTOR and CITY respecting landscape maintenance. To tile extent
that there are additional terms and conditions contained in Exhibit "A" that are not in conflict with
this Agreement, those terms are incorporated as if fully set forth above. There are no other
understandings, terms or other agreements expressed or implied, oral or written,
24, CONFLICT OF INTEREST. CONSULTANT will comply With all conflict of interest
laws and regulations including, without limication, CITY's conflict of interest regulations.
RL,,d 8/2011 N, 6 f 7
IN WITNESS WHEREOF, the parties hereto have executed this contract the day and year
first hereinabove written
FOR CONTRACTOR:
By:
Print Name & Title
Date:
FOR CITY OF SANTA CLARITA:
KENNETH W. STRIPLIN, CITY MANAGER
By:
City Manager
Date:
ATTEST:
By:
City Clerk
Date
APPROVED AS TO FORM:
JOSEPH M. MONTES, CITY ATTORNEY
By:
City Attorney
Date:
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