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HomeMy WebLinkAbout05 - Window Washing and Exterior Cleaning Services - Amendment No. 1Q �EwPpRT CITY OF O � z NEWPORT BEACH <,FORN'P City Council Staff Report January 26, 2021 Agenda Item No. 5 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: David A. Webb, Public Works Director - 949-644-3311, dawebb@newportbeachca.gov PREPARED BY: Kyle Brodowski, Equipment and Facilities Manager kbrodowski@newportbeachca.gov PHONE: 949-718-3464 TITLE: Window Washing and Exterior Cleaning Services — Amendment No. 1 to Maintenance and Repair Agreement with Crown Building Services, Inc. (C-8019-1) ABSTRACT: Staff requests City Council approval to amend a Maintenance and Repair Services Agreement with Crown Building Services, Inc. for window washing and exterior cleaning services. On April 26, 2016, City Council approved the award of a five-year agreement with a not -to -exceed amount of $294,775 for window washing and exterior cleaning services for the Civic Center Complex, Marina Park, and Police Department Headquarters. The initial term of the agreement expires on April 26, 2021. The proposed amendment extends the term of the agreement for three additional years to April 26, 2024 and increases the not -to -exceed amount by $184,000 for a total not -to - exceed amount of $478,775. RECOMMENDATION: a) Determine this 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 this action will not result in a physical change to the environment, directly or indirectly; b) Approve Amendment No. One to Maintenance and Repair Agreement with Crown Building Services, Inc. (C-8019-1) to add $184,000 to the current contract for a total not -to -exceed amount of $478,775 and extend term of the agreement to April 26, 2024; and c) Authorize the Mayor and City Clerk to execute the amendment. FUNDING REQUIREMENTS: The adopted operating budget includes sufficient funding for this amendment. Services will be expensed to the Facility Maintenance and Repair account in the Public Works Department, 0108041-851016. Funding for future years will be included in the development of the proposed budgets. 5-1 Window Washing and Exterior Cleaning Services — Amendment No. 1 to Maintenance and Repair Agreement with Crown Building Services, Inc. (C-8019-1) January 26, 2021 Page 2 DISCUSSION: In April 2016, following a competitive Request for Proposals Process (RFP), Crown Building Services was awarded a five-year Maintenance and Repair Agreement for Window Washing and Exterior Cleaning Services for the Newport Beach Civic Center Complex, Marina Park, and Police Department Headquarters for a total not -to -exceed amount of $294,775. The Public Works, Municipal Operations Division oversees the cleaning of exterior and interior glass of these buildings, in addition to the roof panels, outdoor siding, trellis and the large sail at the Council Chambers. The City of Newport Beach Civic Center Complex contains approximately 100,000 square feet of office space, 600 panels of store front glass, approximately 2,500 panels of exterior glass, and 22 skylights. Exterior glass is a distinctive architectural feature of the Civic Center, Council Chambers, Community Room, and the San Miguel Bridge. The window cleaning schedules for the Civic Center Complex vary between quarterly, and annually depending on the location of the windows. For example, outdoor glass is cleaned quarterly, the large interior windows on the East side of the building are cleaned twice yearly. The interior windows on the West side and the office space and partition glass are cleaned annually. Outdoor cleaning of other surfaces (trellis, louvers, canopies, furniture and so on) vary between quarterly and annually depending on the specific items to be cleaned, and weather events. Window washing services at Marina Park are handled on a quarterly basis for exterior windows and the lighthouse glass, and annually for interior windows. The Police Department Headquarters receives window washing services on a semi-annual basis. While there is a general plan for cleaning frequencies, staff has the ability to adjust the final schedule with the contractor based on need. Staff has postponed or rescheduled cleaning with the contractor based on need. Crown Building Services, Inc. has performed window washing and exterior cleaning above and beyond the expectations of City staff. Staff is pleased that the contractor has agreed to maintain the existing billing rates with an increase based on Consumer price Index (CPI) only for an additional three years. The recommended term extension is within the allowable and recommended limits of City Council Policy F-14 and corresponding Administrative Policy AP -001, establishing terms up to ten years for Maintenance and Repair Agreements. Staff recommends amending the current agreement to increase the not -to -exceed amount by $184,000 for a total not -to -exceed amount of $478,775 and extend the term of the agreement to April 26, 2024. The proposed not -to -exceed amount includes approximately $55,300 for annual fixed services and an on-call allowance of approximately $8,000 per year for services that may arise at other city facilities or in response to storms and fires. 5-2 Window Washing and Exterior Cleaning Services — Amendment No. 1 to Maintenance and Repair Agreement with Crown Building Services, Inc. (C-8019-1) January 26, 2021 Page 3 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. 1 to Crown Building Services Inc. Maintenance and Repair Agreement 5-3 ATTACHMENT A AMENDMENT NO. ONE TO MAINTENANCE/REPAIR SERVICES AGREEMENT WITH CROWN BUILDING SERVICES, INC. FOR WINDOW WASHING AND EXTERIOR CLEANING SERVICES FOR THE NEWPORT BEACH CIVIC CENTER, POLICE DEPARTMENT HEADQUARTERS AND MARINA PARK THIS AMENDMENT NO. ONE TO MAINTENANCE/REPAIR SERVICES AGREEMENT ("Amendment No. One") is made and entered into as of this 26th day of January, 2021 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city ("City"), and CROWN BUILDING SERVICES, INC., a California corporation ("Contractor"), whose address is 548 Malloy Ct, Corona, CA 92880, and is made with reference to the following: RECITALS A. On April 26, 2016, City and Contractor entered into a Maintenance/Repair Services Agreement ("Agreement") for Contractor to perform window washing and exterior cleaning services for the Newport Beach Civic Center, Police Department Headquarters and Marina Park ("Project"). B. The parties desire to enter into this Amendment No. One to extend the term of the Agreement to April 26, 2024, to increase the total compensation, amend the Administration, Prevailing Wage, Conflicts of Interest, Notices, and Claims sections, and update Insurance Requirements. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. TERM Section 1 of the Agreement is amended in its entirety and replaced with the following: "The term of this Agreement shall commence on the Effective Date, and shall terminate on April 26, 2024, unless terminated earlier as set forth herein." 2. COMPENSATION TO CONTRACTOR Section 4.1 of the Agreement is amended in its entirety and replaced with the following: "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, shall not exceed Four Hundred Seventy Eight Thousand Seven Hundred Seventy Five Dollars and 00/100 ($478,775.00), without prior written amendment to the Agreement." 5-4 The total amended compensation reflects Contractor's additional compensation for additional Services to be performed in accordance with this Amendment No. One, including all reimbursable items and subconsultant fees, in an amount not to exceed One Hundred Eighty Four Thousand Dollars and 00/100 ($184,000.00). 3. ADMINISTRATION Section 6 of the Agreement shall be amended in its entirety and replaced with the following: "This Agreement will be administered by the Public Works Department. City's Fleet/Facilities Manager or designee shall be the Project Administrator and shall have the authority to act for City under this Agreement. The Project Administrator shall represent City in all matters pertaining to the Services to be rendered pursuant to this Agreement." 4. PREVAILING WAGES Section 15 of the Agreement shall be amended in its entirety and replaced with the following: "15.1 If any of the Work contemplated under the Agreement is considered a "public work", pursuant to the applicable provisions of the Labor Code of the State of California, including but not limited to Section 1720 et seq., not less than the general prevailing rate of per diem wages including legal holidays and overtime Work for each craft or type of workman shall be paid to all workmen employed on such. In accordance with the California Labor Code (Sections 1770 et seq.), the Director of Industrial Relations has ascertained the general prevailing rate of per diem wages in the locality in which the Work is to be performed for each craft, classification, or type of workman or mechanic needed to execute the Agreement. A copy of said determination is available by calling the prevailing wage hotline number (415) 703-4774, and requesting one from the Department of Industrial Relations. The Contractor is required to obtain the wage determinations from the Department of Industrial Relations and post at the job site the prevailing rate or per diem wages. It shall be the obligation of the Contractor or any subcontractor under him/her to comply with all State of California labor laws, rules and regulations and the parties agree that the City shall not be liable for any violation thereof. 15.2 In such event, unless otherwise exempt by law, Contractor warrants that no contractor or subcontractor was listed on the bid proposal for the Services that it is not currently registered and qualified to perform public work. Contractor further warrants that it is currently registered and qualified to perform "public work" pursuant to California Labor Code section 1725.5 or any successor statute thereto and that no contractor or subcontractor will engage in the performance of the Services unless currently registered and qualified to perform public work." 5. CONFLICTS OF INTEREST Section 23 of the Agreement shall be amended in its entirety and replaced with the following: "23.1 Contractor or its employees may be subject to the provisions of the California Political Reform Act of 1974 (the "Act") and/or Government Code §§ 1090 et seq., which (1) require such persons to disclose any financial interest that may foreseeably be materially affected by the Work performed under this Agreement, and (2) Crown Building Services, Inc. Page 2 5-5 prohibit such persons from making, or participating in making, decisions that will foreseeably financially affect such interest. 23.2 If subject to the Act and/or Government Code §§ 1090 et seq., Contractor shall conform to all requirements therein. Failure to do so constitutes a material breach and is grounds for immediate termination of this Agreement by City. Contractor shall indemnify and hold harmless City for any and all claims for damages resulting from Contractor's violation of this Section." 6. NOTICES Section 24.2 is amended in its entirety and replaced with the following: "24.2 All notices, demands, requests or approvals from Contractor to City shall be addressed to City at: Attn: Fleet/Facilities Manager Public Works Department City of Newport Beach 100 Civic Center Drive PO Box 1768 Newport Beach, CA 92658" 7. CLAIMS Section 25 of the Agreement is amended in its entirety and replaced with the following: "25.1 Unless a shorter time is specified elsewhere in this Agreement, before making its final request for payment under this Agreement, Contractor shall submit to City, in writing, all claims for compensation under or arising out of this Agreement. Contractor's acceptance of the final payment shall constitute a waiver of all claims for compensation under or arising out of this Agreement except those previously made in writing and identified by Contractor in writing as unsettled at the time of its final request for payment. Contractor and City expressly agree that in addition to any claims filing requirements set forth in the Agreement, Contractor shall be required to file any claim Contractor may have against City in strict conformance with the Government Claims Act (Government Code sections 900 et seq.). 25.2 To the extent that Contractor's claim is a "Claim" as defined in Public Contract Code section 9204 or any successor statute thereto, the Parties agree to follow the dispute resolution process set forth therein. Any part of such "Claim" remaining in dispute after completion of the dispute resolution process provided for in Public Contract Code section 9204 or any successor statute thereto shall be subject to the Government Claims Act requirements requiring Contractor/Consultant to file a claim in strict conformance with the Government Claims Act. To the extent that Contractor's claim is not a "Claim" as defined in Public Contract Code section 9204 or any successor statute Crown Building Services, Inc. Page 3 5-6 thereto, Contractor shall be required to file such claim with the City in strict conformance with the Government Claims Act (Government Code sections 900 et seq.)." 8. INSURANCE Exhibit C of the Agreement shall be deleted in its entirety and replaced with Exhibit C, attached hereto and incorporated herein by reference. Any reference to Exhibit C in the Agreement shall hereafter refer to Exhibit C attached hereto. 9. 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] Crown Building Services, Inc. Page 4 5-7 IN WITNESS WHEREOF, the parties have caused this Amendment No. One to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: l./ ! V/ Z a Z' i Aar6n"C. Harp City Attorney ATTEST: Date: By: Leilani 1. Brown City Clerk CITY OF NEWPORT BEACH, a California municipal corporation Date: By: Brad Avery Mayor CONTRACTOR: CROWN BUILDING SERVICES, a California corporation Date: By: Marius Opre Chief Executive Officer Date: AM - Jason Maslach Secretary [END OF SIGNATURES] Attachments: Exhibit C — Insurance Requirements Crown Building Services, Inc. Page 5 5-8 EXHIBIT C INSURANCE REQUIREMENTS — MAINTENANCE/REPAIR/JANITORIAL SERVICES 1. Provision of Insurance. Without limiting Contractor's indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to City. Contractor agrees to provide insurance in accordance with requirements set forth here. If Contractor uses existing coverage to comply and that coverage does not meet these requirements, Contractor agrees to amend, supplement or endorse the existing coverage. 2. Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. 3. Coverage Requirements. A. Workers' Compensation Insurance. Contractor shall maintain Workers' Compensation Insurance, statutory limits, and Employer's Liability Insurance with limits of at least one million dollars ($1,000,000) each accident for bodily injury by accident and each employee for bodily injury by disease in accordance with the laws of the State of California, Section 3700 of the Labor Code. Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its City Council, boards and commissions, officers, agents, volunteers and employees. B. General Liability Insurance. Contractor shall maintain commercial general liability insurance and, if necessary, umbrella liability insurance, with coverage at least as broad as provided by Insurance Services Office form CG 00 01, in an amount not less than one million dollars ($1,000,000) per occurrence, two million dollars ($2,000,000) general aggregate. The policy shall cover liability arising from premises, operations, products -completed operations, personal and advertising injury, and liability assumed under an insured contract (including the tort liability of another assumed in a business contract). C. Automobile Liability Insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of Contractor arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non -owned or rented vehicles, in an amount not less than one million dollars ($1,000,000) combined single limit each accident. Crown Building Services, Inc. Page C-1 5-9 4. Other Insurance Requirements. The policies are to contain, or be endorsed to contain, the following provisions: A. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this Agreement shall be endorsed to waive subrogation against City, its City Council, boards and commissions, officers, agents, volunteers and employees or shall specifically allow Contractor or others providing insurance evidence in compliance with these requirements to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against City, and shall require similar written express waivers from each of its subcontractors. B. Additional Insured Status. All liability policies including general liability, products and completed operations, excess liability, pollution liability, and automobile liability, if required, shall provide or be endorsed to provide that City, its City Council, boards and commissions, officers, agents, volunteers and employees shall be included as insureds under such policies. C. Primary and Non Contributory. All liability coverage shall apply on a primary basis and shall not require contribution from any insurance or self-insurance maintained by City. D. Notice of Cancellation. All policies shall provide City with thirty (30) calendar days notice of cancellation (except for nonpayment for which ten (10) calendar days notice is required) or nonrenewal of coverage for each required coverage. 5. Additional Agreements Between the Parties. The parties hereby agree to the following: A. Evidence of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation and other endorsements as specified herein for each coverage. Insurance certificates and endorsement must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15) days prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or reduced, Contractor shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies. City reserves the right to Crown Building Services, Inc. Page C-2 5-10 require complete, certified copies of all required insurance policies, at any time. B. City's Right to Revise Requirements. City reserves the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving Contractor sixty (60) calendar days advance written notice of such change. If such change results in substantial additional cost to Contractor, City and Contractor may renegotiate Contractor's compensation. C. Right to Review Subcontracts. Contractor agrees that upon request, all agreements with subcontractors or others with whom Contractor enters into contracts with on behalf of City will be submitted to City for review. Failure of City to request copies of such agreements will not impose any liability on City, or its employees. Contractor shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Contractor shall ensure that City is an additional insured on insurance required from subcontractors. For CGL coverage, subcontractors shall provide coverage with a format at least as broad as CG 20 38 04 13. D. Enforcement of Agreement Provisions. Contractor acknowledges and agrees that any actual or alleged failure on the part of City to inform Contractor of non-compliance with any requirement imposes no additional obligations on City nor does it waive any rights hereunder. E. Requirements not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. F. Self-insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self- insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these requirements unless approved by City. G. City Remedies for Non -Compliance. If Contractor or any subcontractor fails to provide and maintain insurance as required herein, then City shall have the right but not the obligation, to purchase such insurance, to terminate this Agreement, or to suspend Contractor's right to proceed Crown Building Services, Inc. Page C-3 5-11 until proper evidence of insurance is provided. Any amounts paid by City shall, at City's sole option, be deducted from amounts payable to Contractor or reimbursed by Contractor upon demand. H. Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor's performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such claim or claims if they are likely to involve City. I. Contractor's Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. Crown Building Services, Inc. Page C-4 5-12 Newport Beach Appointed Position: CITY CLERK Assumptions: 2% COLA Yr 1 & Yr 2 1% City paid Deferred Compensation contrib in Yr 1 & 1.5% in Yr 2 Tier: Classic Base Pay Miscellaneous Supplemental Pay Car Allowance Pension Contribution Employee Normal Cost (10.42%) Employer Normal Cost (7.752%) Employee Pension Pickup (-13.0%) Other City Paid Benefits Medicare Compensated Absences Medical Allowance Cafeteria Allowance Employee Assistance Program (EAP) Cellphone Allowance Life Insurance (policy based on annual base pay with cap of $50,000 ) Tuition Reimbursement (based on calendar year 2020 actual) Retiree Health Savings (Post Employment Healthcare Contribution) Deferred Compensation (2021 - 1%, 2022 - 1.5%) Bonus ATTACHMENT F Total FY 21 Year 1 Year 2 Cost Subtotal 152,679 2,702 5,809 8,511 4,800 - Salary Only 1.77% Subtotal 4,800 Total Comp - - 15,909 282 605 887 11,836 209 450 660 (19,848) (351) (755) (1,106) Subtotal 7,897 140 300 440 2,608 62 119 180 5,344 95 203 298 1,687 - - - 20,700 20 960 105 2,160 60 60 120 - 1,554 2,377 3,931 Subtotal 33,583 2,122 2,759 4,529 Total 198,959 4,963 8,869 13,480 Salary Only 1.77% 3.80% Total Comp 2.49% 4.46% 15-60