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HomeMy WebLinkAboutAgenda Report - May 3, 2017 C-09TM CITY OF LODI COUNCIL COMMUNICATION AGENDA ITEM C-9 AGENDA TITLE: Adopt Resolution Authorizing Public Works Director to Execute Contract Extension to 2016-2017 Landscape Maintenance Contract with Odyssey Landscaping Company, Inc., of Lodi, Including Consumer Price Index Adjustments ($195,251) MEETING DATE: May 3, 2017 PREPARED BY: Public Works Director RECOMMENDED ACTION: Adopt resolution authorizing Public Works Director to execute contract extension to 2016-2017 Landscape Maintenance Contract with Odyssey Landscaping Company, Inc., of Lodi, including Consumer Price Index adjustments, in the amount of $195,251. BACKGROUND INFORMATION: The Public Works Department manages an annual contract for maintenance of city-wide landscaping (excluding parks). This contract includes approximately 260 sites totaling over 45 acres. The current contract with Odyssey Landscaping Company, Inc. is set to expire on June 30, 2017. The contract, consistent with previous contracts, has included the ability to extend the contract if mutually agreeable to the City and the contractor. The contractor has indicated that it would be difficult to continue the current contract due to the steady increases in the State minimum wage. To address the contractor's concern regarding minimum wage increases, staff recommends extending the contract with the annual Consumer Price Index (CPI) adjustment. The CPI data between February 2016 and February 2017 reflects an increase of 3.035 percent (based on the West Region of the "All Urban Consumers-AII Items" category) increasing the original contract amount of $189,500 by $5,751 to $195,251 for Fiscal Year 2017/18, if approved by Council. By comparison, the bids submitted in June 2016 by the second and third lowest bidders for the current contract were both over $235,000. The level of service provided by Odyssey Landscaping Company, Inc. is superior by comparison to the previous contractors. This has been demonstrated by a significant decrease in citizen complaints; and the City has not needed to withhold contract payments on any invoices due to poor workmanship. The second extension will be considered if the level of service remains good, and both the City and the contractor agree to extend the contract into the 2018/19 Fiscal Year based on the CPI adjustment. This contract extension will be contingent on the Fiscal Year 2017/18 Budget being adopted by Council. The second extension (Fiscal Year 2018/19) would be contingent on adoption of the Fiscal Year 2018/19 Budget. Odyssey Landscape Company, Inc. is agreeable to the terms of the proposed contract extension. FISCAL IMPACT: This contract results in a net increase of approximately $5,751 from the previous contract (Fiscal Year 2017/18). APPROVED: l Schwab -atm , City Manager K:\WP\PROJECTS\STREETS\2016-2017 Landscape Maintenance\CExtensionl7-18.doc 4/21/17 Adopt Resolution Authorizing Public Works Director to Execute Contract Extension to 2016-2017 Landscape Maintenance Contract with Odyssey Landscaping Company. Inc., of Lodi, Including Consumer Price Index Adjustments ($195,251) May 3, 2017 Page 2 FUNDING AVAILABLE: Funding for this contract is contingent upon adoption of the Fiscal Year 2017/18 Budget and comes from a combination of different Operating Budgets (Public Safety, Facilities, Streets, Electric Utility, Water, Wastewater, and Library) and the Assessment Districts as follows: Public Safety - Fire Administration General Government - PW Facility Services Streets - PW Tree Maintenance Electric Utility - Substation Maintenance Wastewater - Plant Maintenance Wastewater - Sanitation System Maintenance Water - Production Library - Library Administration Assessment Districts Andrew Keys Deputy City Manager/Internal Services Director CQ QC -k2 Charles E. Swimley, Jr. Public Works Director Prepared by Sean Nathan, Senior Civil Engineer CES/SN/tdb Attachment cc: Utility Manager Odyssey Landscaping 10040001.72499 10050001.72499 30156004.72499 50064200.72499 53053003.72499 53053004.72499 53052003.72499 12090000.72499 80198200.72499 K:\WP\PROJECTS\STREETS\2016-2017 Landscape Maintenance\CExtensionl7-18.doc 4/21/17 CONTRACT EXTENSION AGREEMENT ODYSSEY LANDSCAPE COMPANY, INC. LANDSCAPE MAINTENANCE OF MISCELLANEOUS AREAS AND LODI CONSOLIDATED LANDSCAPE ASSESSMENT DISTRICT NO. 2003-1 THIS CONTRACT EXTENSION AGREEMENT, made and effective this day of , 2017, by and between the CITY OF LODI, a municipal corporation, hereinafter called "CITY", and ODYSSEY LANDSCAPE COMPANY, INC., a California Corporation, hereinafter called "CONTRACTOR." WITNESSETH: CONTRACT: Contractor and City, entered into a Contract for landscape maintenance of miscellaneous areas and Lodi Consolidated Landscape Assessment District No. 2003-1 on June 30, 2016 (the "Contract"), as set forth in Exhibit 1, attached hereto and made part hereof; and 2. PRICES: The prices set forth in the Contract Agreement may be increased in a percentage amount equal to the Consumer Price Index; and 3. TERM AND TERMS: The term of this Contract Extension Agreement shall commence July 1, 2017 and terminate June 30, 2018. All other terms and conditions will remain as set forth in the Contract. IN WITNESS WHEREOF, CITY and CONTRACTOR have executed this Contract Extension Agreement on the date and year first above written. CITY OF LODI, a municipal corporation hereinabove called "CITY" STEPHEN SCHWABAUER, City Manager Attest: JENNIFER M. FERRAIOLO, City Clerk Approved as to Form: y JANICE D. MAGDICH, City Attorney ODYSSEY LANDSCAPE COMPANY, INC., a California Corporation, hereinabove called "CONTRACTOR" Name: Title: 2016-2017 LANDSCAPE MAINTENANCE OF MISCELLANEOUS AREAS AND LODI CONSOLIDATED LANDSCAPE ASSESSMENT DISTRICT 2003-1 Exhibit 1 CONTRACT CITY OF LODI, CALIFORNIA THIS CONTRACT made by and between the CITY OF LODI, State of California, herein referred to as the "City," and ODYSSEY LANDSCAPING COMPANY, INC., herein referred to as the "Contractor." WITNESSETH That the parties hereto have mutually covenanted and agreed, and by these presents do covenant and agree with each other, as follows: The complete Contract consists of the following documents which are incorporated herein by this reference, to -wit: Notice Inviting Bids Information to Bidders General Provisions Special Provisions Bid Proposal Contract Contract Bonds Plans The July 1992 Edition, Standard Specifications, State of California, Business and Transportation Agency, Department of Transportation All of the above documents, sometimes hereinafter referred to as the "Contract Documents," are intended to cooperate so that any work called for in one and not mentioned in the other is to be executed the same as if mentioned in all said documents. ARTICLE I - That for and in consideration of the payments and agreements hereinafter mentioned, to be made and performed by the City and under the condition expressed in the two bonds bearing even date with these presents and hereunto annexed, the Contractor agrees with the City, at Contractor's cost and expense, to do all the work and furnish all the materials except such as are mentioned in the specifications to be furnished by the City, necessary to construct and complete in a good workmanlike and substantial manner and to the satisfaction of the City the proposed improvements as shown and described in the Contract Documents which are hereby made a part of the Contract. ARTICLE II - The City hereby promises and agrees with the Contractor to employ, and does hereby employ, the Contractor to provide all materials and services not supplied by the City and to do the work according to the terms and conditions for the price herein, and hereby contracts to pay the same as set forth in Section 5.600, "Measurement, Acceptance and Payment," of the General Provisions, in the manner and upon the conditions above set forth; and the said parties for themselves, their heirs, executors, administrators, successors and assigns, do hereby agree to the full performance of the covenants herein contained. CONTRACT doc 4.1 05/25/16 ARTICLE III - The Contractor agrees to conform to the provisions of Chapter 1, Part 7, Division 2 of the Labor Code. The Contractor and any Subcontractor will pay the general prevailing wage rate and other employer payments for health and welfare, pension, vacation, travel time, and subsistence pay, apprenticeship or other training programs. The responsibility for compliance with these Labor Code requirements is on the prime contractor. ARTICLE IV - And the Contractor agrees to receive and accept the following prices as full compensation for furnishing all materials and for doing all the work contemplated and embraced in this agreement; also for all loss or damage arising out of the nature of the work aforesaid or from the action of the elements, or from any unforeseen difficulties or obstructions which may arise or be encountered in the prosecution of the work until its acceptance by the City, and for all risks of every description connected with the work; also for all expenses incurred by or in consequence of the suspension or discontinuance of work and for well and faithfully completing the work, and the whole thereof, in the manner and according to the Plans and Contract Documents and the requirements of the Engineer under them, to -wit: The work consists of maintaining 259 landscaped areas throughout the City of Lodi. The areas are separated into six (6) Groups (A through F) that consist of City Facilities and the Consolidated Landscape Maintenance Assessment District zones. The areas total approximately 1.94 million square feet. All work is as shown on the specifications for the project. See Section 6-07 "Description of Bid Items" and the Exhibits for additional information. CONTRACT ITEMS Item Description Est. Qty Unit Total Monthly Maintenance Price Annual Contract Price (Monthly Price x 12) 1 Group A Landscape Maintenance 491,486 SF $ 3,850 / Month $46,200 2 Group B Landscape Maintenance 995,307 SF $ 7,200 / Month $86,400 3 Group C Landscape Maintenance 124,784 SF $ 735 / Month $8,820 4 Group D Weed Control and Debris Cleanup Only (Sidewalks) 131,210 SF $ 525 / Month $6,300 5 Group E, Zone 1 Landscape Maintenance 21,060 SF $ 190 / Month $2,280 6 7 Group E, Zone 2 Landscape Maintenance 16,200 SF $ 180 / Month $2,160 $7,500 Group E, Zone 5 Landscape Maintenance 33,503 SF $ 625 / Month 8 Group E, Zone 6a Landscape Maintenance 51,101 SF $ 760 / Month $9,120 9 Group E, Zone 8 Landscape Maintenance 5,796 SF $ 85 / Month $1,020 10 Group E, Zone 11 Landscape Maintenance 1,890 SF $ 65 / Month $780 11 Group E, Zone 13 Landscape Maintenance 10,800 SF $ 95 / Month $1,140 CONTRACT.doc 4.2 05/25/16 Item Description Est. Qty Unit Total Monthly Maintenance Price Annual Contract Price (Monthly Price x 12) $420 12 Group E, Zone 14 Landscape Maintenance 3,380 SF $ 35 /Month 13 Group E, Zone 15 Landscape Maintenance 10,800 SF $ 120/ Month $1,440 14 Group E, Zone 16 Landscape Maintenance 6,000 SF $ 125/ Month $1,500 15 Group E, Zone 6b Weed Control and Debris Cleanup Only (Private Driveways) 33,625 SF $ 385/ Month _ $4,620 16 Group F, Downtown 5,000 SF $ 400/ Month $4,800 17 Planting Allowance (only with City authorization) 1 LS N/A $ 5,000.00 TOTAL $189.500 ARTICLE V - By my signature hereunder, as Contractor, I certify that I am aware of the provisions of Section 3700 of the Labor Code, which requires every employer to be insured against liability for workers' compensation or to undertake self-insurance in accordance with the provisions of that code, and I will comply with such provisions before commencing the performance of the work of this contract. ARTICLE VI - It is further expressly agreed by and between the parties hereto that, should there be any conflict between the terms of this instrument and the Bid Proposal of the Contractor, then this instrument shall control and nothing herein shall be considered as an acceptance of the said terms of said proposal conflicting herewith. ARTICLE VII - The City is to furnish the necessary rights-of-way and easements and to establish lines and grades for the work as specified under the Special Provisions. All labor or materials not mentioned specifically as being done by the City will be supplied by the Contractor to accomplish the work as outlined in the specifications. ARTICLE VIII - The length of the contract will be twelve (12) months, starting July 1, 2016 and ending June 30, 2017. The contract may be extended if agreed upon by the Contractor and the City. ARTICLE IX - State of California Senate Bill 854 requires the following: • No contractor or subcontractor may be listed on a bid proposal for a public works project unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5 [with limited exceptions from this requirement for bid purposes only under Labor Code section 1771.1(a)]. • No contractor or subcontractor may be awarded a contract for public work on a public works project unless registered with the Department of Industrial Relations pursuant to Labor Code section 1725.5. • This project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. CONTRACT doc 4.3 05/25/16 WHEN SIGNING THIS CONTRACT, THE CONTRACTOR AGREES THAT THE SCOPE OF WORK IDENTIFIED IN THIS CONTRACT IS CLEAR AND THE CONTRACTOR AGREES TO PAY THE CITY DAMAGES AS SET FORTH IN SECTION 6-04.03 OF THE SPECIAL PROVISIONS. CONTRACTOR AGREES THAT THIS AMOUNT MAY BE DEDUCTED FROM THE AMOUNT DUE TO THE CONTRACTOR UNDER THE CONTRACT. IN WITNESS WHEREOF, the parties to these presents have hereunto set their hands the year and date written below. CONTRACTOR CITY OF LODI, a municipal corporation ilei e By: t.%,.,__.z _ i Title (CORPORATE SEAL) CONTRACT,doc By: STEP EN SCHWABAU R City Manager Date- Attest: i N IIFER M City Clerk -YY1. ERRAIOLO Approved As To Form: L__() .. JANICE ID'. MAGDICH City Attorney 4.4 05/25/16 RESOLUTION NO. 2017-80 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE PUBLIC WORKS DIRECTOR TO EXECUTE THE CONTRACT EXTENSION TO THE 2016-2017 LANDSCAPE MAINTENANCE CONTRACT WITH ODYSSEY LANDSCAPING COMPANY, INC., OF LODI, INCLUDING CONSUMER PRICE INDEX ADJUSTMENTS WHEREAS, on June 15, 2016, the City Council awarded the 2016-2017 Landscape Maintenance Contract to Odyssey Landscaping Company, Inc., of Lodi, in the amount of $189,500; and WHEREAS, the contractor has indicated that it would be difficult to continue the contract at the current amount, due to the steady increase in labor costs (directly related to the increase in the State minimum wage); and WHEREAS, the annual Consumer Price Index (CPI) adjustment currently available is between February 2016 and February 2017, and is an increase of 3.035 percent (based on the West Region of the "All Urban Consumers -All Items" category); and WHEREAS, staff recommends authorizing the Public Works Director to execute a contract extension to the 2016-2017 Landscape Maintenance Contract with Odyssey Landscaping Company, Inc., of Lodi, including Consumer Price Index adjustments, in the amount of $195,251; and WHEREAS, staff further recommends authorizing future extensions to include Consumer Price Index adjustments. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the Public Works Director to execute the contract extension to the 2016-2017 Landscape Maintenance Contract with Odyssey Landscaping Company, Inc., of Lodi, California, including Consumer Price Index adjustments, in the amount of $195,251; and BE IT FURTHER RESOLVED that the Lodi City Council does hereby authorize future contract extensions to include Consumer Price Index adjustments. Dated: May 3, 2017 I hereby certify that Resolution No. 2017-80 was passed and adopted by the City Council of the City of Lodi in a regular meeting held May 3, 2017 by the following vote: AYES: COUNCIL MEMBERS — Chandler, Johnson, Mounce, Nakanishi, and Mayor Kuehne NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None NIFER FERRAIOLO City Clerk 2017-80