ADMINISTRATIVE REPORT
MEETING DATE: February 12, 2025 AGENDA CATEGORY: Consent - Agreements TO: Honorable Mayor and City Council
FROM: Zachary Meyer, Public Works Director
DATE: January 15, 2025
SUBJECT: Amendment No. 6 to Agreement No. 2021-032
(increasing compensation by $200,000; revised not to exceed $1,245,000; and extending term by one year) to continue electrical services at the Mount Vernon Recycling and Composting Facility and City Materials Recovery Facility. (Ward 1)
RECOMMENDATION:
Staff recommends approval of this Amendment.
BACKGROUND:
The Mount Vernon Recycling and Composting Facility (Facility) uses an annual contractor to perform work on high voltage electrical systems powering the Facility’s heavy machinery. Due to the wind, heat, and dusty conditions at the Facility, the electric motors, relays, and controls require frequent maintenance.
This maintenance requires specially trained certified electrical technicians and other divisions do not have available electrical staff with the expertise to safely maintain these systems.
On February 17, 2021, the City entered into Agreement No. 2021 -032 with Telstar Instruments (Telstar) for a one -year term with a not to exceed amount of $200,000. Telstar was originally selected through a Request for Qualifications (RFQ) selection process . Telstar performed all the necessary electrical work for the grinder replacement, which depleted half of the funds allocated for electrical maintenance.
On September 15, 2021, Council approved Amendment No. 1 to the agreement adding an additional $120,000, revised not to exceed $320,000, for replacing a grinder in Area 2 of the Facility.
On February 2, 2022, Council approved Amendment No. 2 to the agreement for an additional one- year term, expiring February 17, 2023, and increased the compensation by $200,000, revised not to exceed $520,000.
On February 8, 2023, Council approved Amendment No. 3 to the agreement for an additional one- year term, expiring February 17, 2024, and increased the compensation by $200,000, revised not to exceed $720,000.
On November 29, 2023, Council approved Amendment No. 4 to the agreement to increase the compensation by $125,00 0, for a revised not to exceed amount of $845,000. The shortfall was due to fires and multiple break -ins, vandalism, and theft of the electrical components at the Facility and at the Material Recycling Facility.
On February 28, 2024, Council approved Amend ment No. 5 to the agreement increasing the compensation by $200,000, for a revised not to exceed amount of $1,045,000 and extended the term by one-year, expiring February 17, 2025, continuing electrical services at the Mount Vernon Recycling and Composting Facility and at the Materials Recovery Facility.
Currently, staff recommends amending Agreement No. 2021-032 for an additional one-year term, expiring
February 17, 2026, and to increase the compensation by $200,000, for a revised not to exceed amount of $1,245,000 to continue performing electrical services at the Mount Vernon Recycling and Composting Facility and at the Materials Recovery Facility. Currently, this agreement is used at both locations.
FISCAL IMPACT:
This agreement is funded by the Refuse Enterprise Fund; therefore, it has no impact on the City General Fund. In addition, approximately 60 percent of site operational costs are reimbursed by Kern County per the Facility Cost Sharing Agreement when these services are used at the Mt. Vernon Recycling and Compositing Facility.
COUNCIL GOAL:
Reliable Infrastructure
ATTACHMENTS:
Agreement with Exhibit