ADMINISTRATIVE REPORT
MEETING DATE: July 9, 2025 AGENDA CATEGORY: Consent - Agreements TO: Honorable Mayor and City Council
FROM: Randy McKeegan, Finance Director
DATE: June 12, 2025
SUBJECT: Amendment No. 4 to Agreement No. 2021-171 Kern Turf Supply, Inc. (extend term by one year and increase compensation by $20,000; revised not to exceed $320,000) to continue the supply of irrigation parts and supplies.
RECOMMENDATION:
Staff recommend approval of the amendment.
BACKGROUND:
On July 14, 2021, the City Council approved the annual contract for the supply of irrigation parts and supplies with Kern Turf Supply, Incorporated, in the amount of $300,000; renewable annually thereafter for four consecutive one-year periods.
This contract is primarily utilized by the Recreation and Parks Department. The intent of this contract is to provide a local supplier with stock on hand of common sprinkler parts for pick up by City staff for repairs to irrigation systems and new installations on small projects.
Per the terms of the contract, three amendments increasing the contract and/or extending the contract have been approved as follows:
• Amendment 1 approved June 15, 2022; extended term one year to July 13, 2023. • Amendment 2 approved July 12, 2023; extended term one year to July 13, 2024. • Amendment 3 approved July 24, 2024; extended term one year to July 13, 2025.
The City may exercise the option to extend the term of the agreement with price adjustments based on a combined evaluation of increases in the Producer Price Index (PPI) and extreme economic conditions, as stated in the bid specifications. Kern Turf Supply has offered to extend their bid price with a 10% increase as negotiated and approved by the Office of the Purchasing Division. This increase is allowable per the bid specifications.
Currently, there is $179,500 remaining on the contract. If approved, Amendment No. 4 will Increase compensation by $20,000 and extend the term by one year to allow the continuance of supplying irrigation parts and supplies to the final term date of July 13, 2026.
FISCAL IMPACT:
Funds are budgeted in the Recreation and Parks Department’s operating budget for this contract.
COUNCIL GOAL:
Reliable Infrastructure
ATTACHMENTS:
Amendment No.4