Report Prepared by: Ken Elwin, Director of Public Works
Title
SUBJECT: Request to Award Landscape Maintenance Services Agreement
REPORT IN BRIEF
Consider approving a professional services agreement with MCE Corporation for landscape maintenance services at City-owned parks.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving a professional services agreement with MCE Corporation, located in Dublin, CA, in the annual amount of $226,782, to provide landscape turf mowing and edging maintenance services at City-owned parks for two years, with an option to renew for a maximum of (3) three additional one-year periods, effective July 1, 2017 (subject to Council’s approval of the Fiscal Year 2017/2018 budget); and,
B. Authorizing the City Manager or Assistant City Manager to sign the necessary documents and execute future contract amendments.
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 $25,000, are made by written contract in accordance with Merced Municipal Code, “Title 3-Revenue and Finance, Chapter 3.04-Purchasing System, Article III-Purchases Over Twenty Five Thousand Dollars, Section 3.04-120-Written Contracts.”
DISCUSSION
The Public Works Department recently invited proposals to provide landscape mowing and edging of turf at City-owned parks throughout the community and the results are as follows:
Business Name Annual Amount
MCE Corporation $226,782
Odyssey Landscape $420,876
Yard Masters, Inc. $423,000
Staff was not complacent in simply accepting the lowest proposal received. Although costs were a high priority, the following criteria were viewed as equally important, just to name a few:
• Experience with providing high quality landscape service to large open park spaces and sensitive work locations;
• Daily on-site supervision of staff with quality control assurance guidelines;
• Knowledge of safety practices in high vehicle traffic areas;
• Previous work history and quality;
• References.
After careful consideration, staff recommends MCE Corporation as the provider that can meet the City’s landscape maintenance requirements at the lowest cost.
Their references were checked and are in good standing with their clients. They have committed to opening a satellite office in Merced with an onsite supervisor on duty. They are an employee owned company and have been in business since 1983.
Currently, they are providing landscape maintenance services for the City of Dublin, City of Pomona, and Town of Atherton.
The contract will be for a period of two-years, commencing on July 1, 2017 and ending on June 30, 2019. The City shall have the option of renewing the agreement for three additional one-year periods, ending on June 30, 2022.
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, 2019 and ending each succeeding year thereafter. At no time will the CIP increase exceed 3%.
This contract is distinct from other standard professional service agreements in the past, due to a 30-Day Notice of Termination clause was included in the language of the contract, as requested by MCE. Their request is recommended based on the size of the work crew that will be committed to the work.
The City Attorney’s office has prepared the necessary Professional Services Agreement for your review and approval (Please see Attachment 3).
IMPACT ON CITY RESOURCES
The City’s Finance Department has confirmed funding is available in the Fiscal Year 2017/2018 budget for this agreement (subject to Council’s approval of the budget).
ATTACHMENTS
1. Scope of Service
2. City Park Descriptions
3. Agreement for Landscape Maintenance Services