Report Prepared by: Jeff Frederick, Public Works Manager - Tax Services
Title
SUBJECT: Approval of Agreement for Landscape Maintenance Services with Elite Maintenance and Tree Service for Maintenance of Various Community Facilities Districts (CFD), in an Annual Amount of $270,240.00 for a Two (2) Year Term Beginning July 1, 2026, Through June 30, 2028, with an Option to Extend the Agreement for Three (3) Additional One (1) Year Term(s)
REPORT IN BRIEF
Considers approving a Services Agreement with Elite Maintenance and Tree Service for maintenance services in an annual amount of $270,240.00 at various Community Facilities Districts (CFD).
RECOMMENDATION
City Council - Adopt a motion:
A. Approving a Services Agreement with Elite Maintenance and Tree Service for maintenance services in an annual amount of $270,240.00 at various Community Facilities Districts (CFD) for two years, with an option to renew for a maximum of (3) three additional one-year periods, effective July 1, 2026; and,
B. Authorizing the City Manager to sign the necessary documents and approval of amendments or change orders up to 10% of the total contract cost.
Body
ALTERNATIVES
1. Approve as recommended by the Public Works Director; or,
2. Refer back to staff for further study; or,
3. Deny.
AUTHORITY
Professional Contractual services with an estimated value greater than $39,000, are made by written contract in accordance with Merced Municipal Code Section 3.04.120.
CITY COUNCIL PRIORITIES
Addresses City Administrative Priority for Community Facilities District Funding.
DISCUSSION
The Public Works Department recently invited proposals to provide landscape maintenance services at various Community Facilities Districts (CFD). The work in general consists of irrigation inspection, maintenance and repairs, weed and pest control, pruning of trees, shrubs, groundcover and other vegetation, turf maintenance, and related tasks.
The results of the Request for Proposals (RFP) are as follows:
Business Name Annual Amount
Elite Maintenance and Tree Service (Clovis) $270,240.00
Yard Masters (Merced) $288,000.00
After careful consideration, staff recommend Elite Maintenance and Tree Service, as the provider that can meet the City’s landscape maintenance requirements at the lowest cost.
The contract will be for a period of two years, commencing on July 1, 2026, and ending on June 30, 2028. The City shall have the option of renewing the agreement for three additional one-year periods, ending on June 30, 2031.
Increases in compensation for the three-year extension period will be determined by the United States Department of Labor, Bureau of Labor Statistics Consumer Price Index-All Urban Consumers West (CPI). At no time will the compensation amount fall below the previous year’s contract amount. The base month and year for calculating CPI adjustments will be January 1, 2028, and ending each succeeding year thereafter. At no time will the CPI increase exceed 3%.
IMPACT ON CITY RESOURCES
Funding is available within the Fiscal Year 2026/2027 adopted budget. Funding for future years will be included as part of the budget process for that fiscal year.
ATTACHMENTS
1. Agreement for Landscape Maintenance Services