TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary to amend Contract No. 33584 with GSSi, Inc. (formerly General Security Service, Inc.), of Wilmington, CA, for providing security guard services, for a revised annual amount of $482,000, plus a 10 percent contingency of $48,200, for a revised annual contract amount not to exceed $530,200. (Citywide)
DISCUSSION
On November 18, 2014, the City Council awarded a contract to GSSi, Inc., for providing security guard services, in an annual amount not to exceed $357,500 for a period of two years, with the option to renew for two additional one-year periods.
City Council action is requested to amend Contract No. 33584 with GSSi, Inc., to increase the annual contract amount to $482,000, plus a 10 percent contingency of $48,200, for a revised annual contract amount not to exceed $530,200. Since the contract was established, service hours have been increased at several locations throughout the City, and the Michelle Obama Library and Miller Family Health and Education Center have been added as additional service sites. Furthermore, contract pricing has been raised on several occasions due to paid sick leave legislation, minimum wage increases, and CPI adjustments. As such, the contract’s available contingency funds have been exhausted. Additional spending authority is needed to continue services through the end of this term, November 23, 2017, and to sustain security guard services during the second renewal period.
This matter was reviewed by Deputy City Attorney Amy R. Webber on July 24, 2017 and by Assistant Finance Director Lea Eriksen on July 19, 2017.
TIMING CONSIDERATIONS
City Council action is requested on August 15, 2017, to allow for uninterrupted continuation of services.
FISCAL IMPACT
The requested action increases the annual contract authority by $157,000, plus a 10 percent contingency of $48,200, for a revised annual contract amount not to exceed $530,200. Sufficient funds to support the increased authority are budgeted in multiple funds and departments. The approval of this recommendation will provide continued support to our local economy by assisting in the preservation of employment for 14 full-time employees and seven part-time employees residing in Long Beach.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER