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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 M,.��d S120i I 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. R ...... f 912a I I P,, 2 f7 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 R,,i,,d 8�01 I P,, 3 of 7 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. R�,N�d M01 I N, 4 �f 7 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 R,,i,,d 812011 P., 5 .17 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: Reviked Brol I Page 7 of 7