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2021-22 PWLC II, Inc Change Order 4 - L&L AD 89-1 Lands Maint Project 2018-30MEMORANDUM DATE: TO: FROM: RE: Please list the Contracting Party / Vendor Name, type of agreement to be executed, including any change orders or amendments, and the type of services to be provided. Make sure to list any related Project No. and Project Name. Authority to execute this agreement is based upon: ___ Approved by City Council on ___________________________________________ ___ City Manager’s signing authority provided under the City’s Purchasing Police [Resolution No. 2019-021] for budget expenditures of $50,000 or less. ___ Department Director’s or Manager’s signing authority provided under the City’s Purchasing Policy [Resolution No. 2019-021] for budget expenditures of $15,000 and $5,000, respectively, or less. Procurement Method (one must apply): ___ Bid ___ RFP ___ RFQ ___ 3 written informal bids ___ Sole Source ___ Select Source ___ Cooperative Procurement Requesting department shall check and attach the items below as appropriate: ___ ___ Agreement payment will be charged to Account No.: _____________________ Agreement term: Start Date ________________ End Date ________________ ___ Amount of Agreement, Amendment, Change Order, etc.: $____________________ REMINDER: Signing authorities listed above are applicable on the aggregate Agreement amount, not individual Amendments or Change Orders! ___ Insurance certificates as required by the Agreement for Risk Manager approval Approved by: ______________________________ Date: _______________ ___ Bonds (originals)as required by the Agreement (Performance, Payment, etc.) ___ Conflict of Interest Form 700 Statement of Economic Interests from Consultant(s) NOTE: Review the “Form 700 Disclosure for Consultants” guidance to determine if a Form 700 is required pursuant FPPC regulation 18701(2) ___ Business License No. __________________; Expires: __________________ ___ Requisition for a Purchase Order has been prepared (Agreements over $5,000) April 1, 2021 Jon McMillen, City Manager Dianne Hansen, Management Analyst Project No 2018-30; Citywide Landscape Maintenance Services, Landscape &Lighting District 89-1; PWLC II, Inc. May 18, 2021  215-7004-60189; 101-2002- 07/01/2021 06/30/2022 672,556  Monika Radeva 5/24/2021 0103876 4/30/2022  Jon McMillen, City Manager May 24, 2021 May 24, 2021 City of La Quinta CITY COUNCIL MEETING: May 18, 2021 STAFF REPORT AGENDA TITLE: APPROVE CHANGE ORDER NO. 4 TO CONTRACT WITH PWLC II, INC. FOR CITYWIDE LANDSCAPE MAINTENANCE SERVICES PROJECT NO. 2018-30 FOR A ONE-YEAR TERM EXTENSION AND RELATED COMPENSATION RECOMMENDATION Approve Contract Change Order No. 4 with PWLC II, Inc. for a one-year term extension through June 30, 2022 and a 5% increase in compensation, in an amount not to exceed $672,556 for fiscal year 2021/22, to provide Citywide Landscape Maintenance Services Project No. 2018-30; and authorize the City Manager to execute the change order. EXECUTIVE SUMMARY x The City contracts landscape maintenance services for all public medians, parkways and retention areas throughout the City. x On May 21, 2019, City Council awarded the Citywide Landscape Maintenance Services Contract for the Landscape and Lighting Assessment District 89-1 (L&L) to PWLC II, Inc. (PWLC). x On February 26, 2020, Change Order No. 1 (CCO#1) was executed and included additional maintenance areas, and removal of areas. x On June 3, 2020, City Council approved Change Order No. 2 (CCO#2) included a one-year term extension and a 15% compensation decrease. x On December 1, 2020, City Council approved Change Order No. 3 (CCO#3) which included additional maintenance areas. x Change Order No. 4 (CCO#4) (Attachment 1) requests a one-year term extension, a 5% increase in compensation, and additional service areas. FISCAL IMPACT The total contract cost for Fiscal Year 2021/22 would be $672,556, this includes the balance of $14,094 for the cost for annual maintenance of additional areas in CCO#3 ($28,188 total), a 5% increase of $31,226 from the 2020/21 Fiscal CONSENT CALENDAR ITEM NO. 181 Year contract, and an increase for additional service area on Jefferson Street at $16,800. The annual cost is allocated between L&L (215-7004-60112) and Fire Station funds (101-2002-60112). These costs are currently included within the draft 2021/22 City operating budget. Total Contract 2019/20 Contract Amount: $ 687,059 Change Order No 1: $ (4.00) Change Order No 2: $ (90,713) Change Order No 3: $ 14,094 Change Order No 4: $ 62,120 2021/22 Contract Amount: $ 672,556 The L&L operates in a deficit and is annually subsidized by the General Fund. The current subsidy projected for the 2021/22 budget is $1,108.688. BACKGROUND/ANALYSIS The L&L provides landscape and lighting maintenance services citywide. This includes all public medians, parkways, and retention areas. These services are necessary for roadway safety, water retention, and visual aesthetics. On May 21, 2019, Council awarded the Citywide Landscape Maintenance Services contract to PWLC to provide maintenance of all City medians in the L&L for fiscal year 2021/22, for a total not to exceed amount of $687,059. On February 26, 2020, CCO#1 was executed and included removal of maintenance areas on Dunes Palms and Avenue 47 and added maintenance areas on Monroe Street and Seely Drive, and reduced the compensation amount by ($4), for a total not to exceed amount of $687,055. On June 3, 2020, Council approved CCO#2 which included a one-year term extension, additional landscape maintenance area on Calle Tampico for $12,960, a 15% compensation reduction of ($103,058), and removal of a maintenance area on Monroe ($615), for a total not to exceed amount of $596,342. On December 1, 2020, Council approved CCO#3 which included additional services areas on Dune Palms, Calle Tampico, and Avenida Bermudas at an annual cost of $28,188; of which $14,094 was included in the 2020/21 FY Budget. Total contract amount $610,436. CCO#4 proposes a one-year term extension, the remaining balance on CCO#3 of $14,094, a 5% increase in compensation of $31,226, and $16,800 for 182 additional service area located on Jefferson Street south of Avenue 50, for a total not to exceed amount of $672,556. ALTERNATIVES Direct staff to prepare new bid documents and specifications to advertise the Citywide Landscape Maintenance Service Contract for 2021/22. Prepared by: Dianne Hansen, Management Analyst, Parks/Landscape Approved by: Bryan McKinney, Public Works Director, City Engineer Attachment: 1. Contract Change Order No.4 183