TITLE
Recommendation to authorize City Manager, or designee, to execute amendments to Contract No. 33071 with Azteca Landscape, Inc., of Ontario, CA, and Contract No. 33259 with Merchants Landscape Services, Inc., of Santa Ana, CA, for grounds maintenance services; extend the term to February 28, 2018; and, increase the aggregate contract amount by $2,635,454, with a 10 percent contingency of $263,545, for a total aggregate contract amount not to exceed $6,764,331. (Citywide)
DISCUSSION
Currently, the City of Long Beach (City) has contracts for grounds maintenance services with Azteca Landscape, Inc. (Azteca), and Merchants Landscape Services, Inc. (Merchants), for a combined aggregate annual amount not to exceed $3,865,332, which includes a 10 percent contingency in the amount of $351,394. The City Council last amended these contracts on April 5, 2016, and has already exercised both renewal options. The contracts will expire on May 31, 2017.
The Department of Parks, Recreation and Marine, working in conjunction with the Department of Financial Management and the City’s Purchasing Agent, has been actively working since June 2016, to develop an updated scope of work and specifications for a citywide Request for Proposals (RFP) for these services. The RFP is expected to be released in June 2017. The extension of the current contracts through February 28, 2018, will allow for a continuation of services through the award of the new contracts, and for an appropriate transition period.
City Council approval is hereby requested to extend and amend the foregoing contracts with Azteca and Merchants, and increase the aggregate contract amount by $2,635,454, with a 10 percent contingency of $263,545, for a total contract amount not to exceed $6,764,331. Together, these contracts provide services to 1,463.39 acres of the City’s places and spaces.
This matter was reviewed by Deputy City Attorney Linda T. Vu on May 2, 2017 and by Budget Management Officer Rhutu Amin Gharib on May 4, 2017.
TIMING CONSIDERATIONS
City Council action is requested on May 23, 2017, to allow for an uninterrupted continuation of services.
FISCAL IMPACT
Costs for the current term of the contracts, expiring May 31, 2017, may not exceed $3,865,332. The recommendation will increase total contract costs by $2,635,454, with a 10 percent contingency of $263,545, for the nine-month period spanning June 2017 through February 2018, for a revised total aggregate contract amount of $6,764,331. Sufficient funds for the contracts are budgeted in the General Fund (GF), Tidelands Operations Fund (TF 401), Marina Fund (TF 403), and Transportation Fund (SR 182) in the Parks, Recreation and Marine Department (PR). As new areas of service are authorized, funding for additional ongoing maintenance expenses will be addressed as part of the annual budget development process. This recommendation will result in a positive impact on jobs, although the exact number is unknown at this time.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
MARIE KNIGHT
DIRECTOR OF PARKS, RECREATION AND MARINE
JOHN GROSS
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
PATRICK H. WEST
CITY MANAGER