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HomeMy WebLinkAbout07 - Approval of Amendment for Landscape Maintenance of Medians and RoadsidesTO: FROM: CITY OF NEWPORT BEACH City Council Staff Report September 11, 2018 Agenda Item No. 7 HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL David A. Webb, Public Works Director - 949-644-3311, dawebb@newportbeachca.gov PREPARED BY: Dan Sereno, Landscape Superintendent dsereno cr7Oewportbeachca.gov PHONE: 949-644-3069 TITLE: Approval of Amendment No. 2 to Maintenance/Repair Services Agreement with Park West Landscape Maintenance, Inc. for Landscape Maintenance of Medians and Roadsides (C-5959) ABSTRACT: Park West Landscape Maintenance, Inc. provides landscape maintenance of City medians and roadsides. The current agreement allows for one-year term extensions through 2020. Staff recommends approval of an amendment to Maintenance/Repair Services Agreement No. 5959 to extend the term and to increase spending authority to allow work to continue through November 2019. RECOMMENDATION: a) Determine that the action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because it will not result in a physical change to the environment, directly or indirectly; and b) Approve Amendment No. 2 to the current Maintenance/Repair Services Agreement with Park West Landscape Maintenance, Inc. for landscape maintenance of medians and roadsides to add $2,247,000 to the agreement for a new total not to exceed value of $9,784,791, extend the contract term to November 30, 2019, and authorize the Mayor and City Clerk to execute Amendment No. 2 to the Agreement. FUNDING REQUIREMENTS: The current adopted budget includes sufficient funding for this service and expenses will be charged to the appropriate accounts in the Public Works Department budget. 7-1 Approval of Amendment No. 2 to Maintenance/Repair Services Agreement with Park West Landscape Maintenance, Inc. for Landscape Maintenance of Medians and Roadsides (C-5959) September 11, 2018 Page 2 DISCUSSION: The current contract for landscape maintenance of medians and roadsides with Park West Landscape was approved by City Council on October 29, 2014 for a three-year term. The agreement covers landscaping services to maintain City medians and roadsides and includes plant replacement, weeding, fertilizing, mowing, and irrigation maintenance. The agreement also includes the option for three additional one-year extensions. Park West Landscape has requested to extend the agreement for its second additional year, changing the expiration date to November 30, 2019. Staff has evaluated their prior work and service and finds it to meet expectations, and now recommends extending this contract an additional year. The agreement includes a fixed annual maintenance cost approximating $1,560,000, which is then subject to a maximum annual CPI increase of 2.5%. Staff is also recommending an additional allowance of $687,000 to provide for increased services related to irrigation repairs, damage from traffic accidents, winter storm preparations and recovery, and planting of new street trees. Where possible, staff seeks reimbursement for costs caused by other parties. To proceed with the second year extension, Public Works requests approval of Amendment No. 2 to Contract No. 5959 to extend the term one year and increase the compensation amount by $2,247,000. This action funds regularly scheduled services and extra work through November 30, 2019 for a total not to exceed value of $9,784,791. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENT: Attachment A — Amendment No. 2 7-2 Attachment A AMENDMENT NO. TWO TO MAINTENANCE/REPAIR SERVICES AGREEMENT WITH PARK WEST LANDSCAPE MAINTENANCE, INC. FOR LANDSCAPE MAINTENANCE OF MEDIANS AND ROADSIDES THIS AMENDMENT NO. TWO TO MAINTENANCE/REPAIR SERVICES AGREEMENT ("Amendment No. Two") is made and entered into as of this 11th day of September, 2018 ("Effective Date't by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city ("City'I and PARK WEST LANDSCAPE MAINTENANCE, INC., a California corporation ("Contractor"), whose address is 22421 Gilberto, Suite A, Rancho Santa Margarita, California 92688, and is made with reference to the following: RECITALS A. On October 29, 2014, City and Contractor entered into a Maintenance/Repair Services Agreement ("Agreement") for Contractor to perform landscape maintenance and/or repair services for City ("Project"). The original term of the Agreement ended on November 30, 2017, subject to three (3) additional one (1) year extensions. For each one year extension to occur, Contractor must submit a written request to extend the Agreement at least one hundred twenty (120) calendar dates prior to the termination date of the current term. B. On or about May 25, 2017, Contractor submitted a written request to extend the Agreement for the first one (1) year extension and have the Agreement extended to November 30, 2018. C. On September 12, 2017, City and Contractor entered into Amendment No. One to the Agreement ("Amendment No. One") to confirm the extension of the term of the Agreement to November 30, 2018, to increase the total compensation of the Agreement to reflect compensation payable through November 30, 2018, update the Contractor's Project Manager information, update the Responsibility for Damages or Injury section of the Agreement, update the contact information for notices to Contractor, update bonding requirements, and update insurance requirements. D. On or about July 16, 2018, Contractor submitted a written request to extend the Agreement for the second one (1) year extension and have the Agreement, as amended, extended to November 30, 2019. E The parties desire to enter into this Amendment No. Two to confirm the extension of the term of the Agreement as amended, to November 30, 2019, and to increase the total compensation of the Agreement, as amended, to reflect compensation payable through November 30, 2019. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 7-3 1. TERM Section 1 of the Agreement is amended in its entirety and replaced with the following: 1.1 The term of this Agreement shall commence on the Effective Date, and shall terminate on November 30, 2019, unless terminated earlier as set forth herein. 1.2 The term of this Agreement may be extended up to one (1) time for an additional one (1) year. Contractor shall submit all requests for extensions or requests for termination of this Agreement to the Project Administrator as defined in Section 6. All requests shall be made in writing one hundred twenty (120) calendar days prior to the termination date of each term or extended term. The failure by Contractor to provide a written request within the one hundred twenty (120) calendar days prior to the termination date of each term or extended term shall result in termination of this Agreement." 2. COMPENSATION TO CONTRACTOR Section 4.1 of the Agreement is amended in its entirety and replaced with the following: "4.1 City shall pay Contractor for the Services on a time and expense not -to - exceed basis in accordance with the provisions of this Section and the Schedule of Billing Rates attached hereto as Exhibit B and incorporated herein by reference. Except as otherwise provided herein, no rate changes shall be made during the term of this Agreement without the prior written approval of City. Contractor's compensation for all Services performed in accordance with this Agreement, including all reimbursable items and subconstrator fees, shall not exceed Nine Million Seven Hundred Eighty Four Thousand Seven Hundred Ninety One Dollars and 001100 ($9,784,791.00), without prior written amendment to the Agreement." The total amended compensation reflects Contractor's additional compensation for additional Services to be performed in accordance with this Amendment No. Two, including all reimbursable items and subcontractor fees, in an amount not to exceed Two Million Two Hundred Forty Seven Thousand Dollars and 001100 ($2,247,000.00). 3. INTEGRATED CONTRACT Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. [SIGNATURES ON NEXT PAGE] Park West Landscape Maintenance, Inc. Page 2 7.4 IN WITNESS WHEREOF, the parties have caused this Amendment No. Two to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: 8I;A 1 By: Karon C. Harp City Attorney ATTEST: Date: Aal CITY OF NEWPORT BEACH, a California municipal corporation Date: By: Marshall "Duffy" Duffield Mayor CONTRACTOR: PARK WEST LANDSCAPE MAINTENANCE, INC., a California corporation Date: By: Leilani I. Brown James Tracy City Clerk Chief Executive Officer/ Secretary [END OF SIGNATURES] Park West Landscape Maintenance, Inc. Page 3 7-5