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August 23, 2022
ITEM TITLE
Agreement: Approve an Agreement with Golden Bell Products, Inc. to Provide Vermin Eradication Services
Report Number: 22-0236
Location: No specific geographic location
Department: Public Works
Environmental Notice : The Project qualifies for a Categorical Exemption pursuant to the California Environmental Quality Act State Guidelines Section 15301 Class 1 (Existing Facilities) and Section 15061(b)(3).
Recommended Action
Adopt a resolution approving an agreement with Golden Bell Products, Inc. to provide sewer collection systems vermin eradication services for a five -year term starting September 1, 2022 with a not -to-exceed contract amount of $260,000 over the five-year term.
SUMMARY
Golden Bell Products, Inc. (GP) has the sole distribution and application rights for a vermin eradication product known as Insecta. GP has provided the service and product that is used in sewer manholes for the control of roaches since October of 1998 when the first test area was treated in the State of California. GP’s use of Insecta for the vermin eradication program has been successful in controlling the spread of roaches.
Staff is recommending that the City waive the formal bid process under Chapter 2.56 of the Chula Vista Municipal Code and enter into an agreement with GP to provide vermin eradication services for a five-year term starting September 1, 2022 with a not not-to-exceed contract amount of $260,000 over the five-year term.
ENVIRONMENTAL REVIEW
The Director of Development Services has reviewed the proposed project for compliance with the California Environmental Quality Act (CEQA) and has determined that the project qualifies for a Categorical Exemption pursuant to State CEQA Guidelines Section 15301 Class 1 (Existing Facilities) and Section 15061(b)(3) because it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. Thus, no further environmental review is required.
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BOARD/COMMISSION/COMMITTEE RECOMMENDATION
Not applicable.
DISCUSSION
Over the course of time, City-owned sewer manholes in certain areas of the City have been inhabited with cockroaches. Roaches multiply due to the moist environment in the sewer collection system. Controlling the spread of roaches reduces the health threat to both maintenance crews and the general public.
Golden Bell Products, Inc. (GP) has the sole source right for the application and distribution of Insecta within the State of California (Attachment 1) . GP has provided the service and product that is used in sewer manholes for the control of cockroaches since October of 1998, when the first test area was trea ted in the State of California.
Insecta is the only registered product of its type and active ingredient labeled for use in sewer manholes.
The product is a formulated product, which is produced in an EPA approved establishment. The product comes ready to use and since it is a polymerized product there is no field mixing required, which is not the case with any additive type product. Insecta is a developed patented method of locking chemical into a non- evaporating latex coating that lasts several times longer than conventional spray applications giving the product the unique ability to kill roaches for two years.
GP has previously provided vermin eradication services for the City and has proven its expertise in applying Insecta 45600-1 and has warranted that it is experienced and staffed in a manner such that it can deliver the required services required in accordance with the timeframes and the terms and conditions of the proposed agreement.
The maximum compensation amount under the proposed agreement is $50,000 for the first fiscal year with an allowable increase of 2% per year to account for an increase in the unit cost as described in the following table:
Fiscal
Year
Cost per Manhole for
Treating more than 1000
Manholes
Cost per Manhole for
Treating less than 1000
Manholes
2023 $25.00 $26.50
2024 $26.25 $27.83
2025 $27.56 $29.22
2026 $28.94 $30.68
2027 $30.39 $32.21
City Council’s a doption of the resolution would approve an agreement between the City and Golden Bell Products, Inc. to provide vermin eradication services for a five -year term with a not -to-exceed amount of $260,000 during the five-year term.
The City retains the right to terminate the agreement at its convenience (Attachment 2).
DECISION-MAKER CONFLICT
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Staff has determined that this decision solely concerns repairs, replacement, or maintenance of existing streets, water, sewer, storm drainage or similar facilities and therefore pursuant to California Code of Regulations Title 2, sections 18700 and 18702. 2(d)(1)) does not present a real property -related conflict of interest under the Political Reform Act (Cal. Gov't Code § 87100, et seq.).
Staff is not independently aware and has not been informed by any City Council member, of any other fact that may constitute a basis for a decision maker conflict of interest in this matter.
CURRENT-YEAR FISCAL IMPACT
Approval of the Resolution will award a five -year agreement to Golden Bell Products, Inc. for providing sewer vermin eradication. Sufficient funds were budgeted in the Sewer Service Operating budget for FY 2023 for this expense, there is no additional fiscal impact anticipated from this item.
ONGOING FISCAL IMPACT
The annual cost for the following four years is $50,000 per year plus an allowable increa se of 2% per year annually to account for an increase in material costs. This expense will be considered as part of the annual budget development process and will be funded by Sewer Fund.
ATTACHMENTS
1. Letter from Manufacturer of Insect.
2. Agreement with Golden Bell, Inc.
Staff Contact: Joseph Burgos, Public Works Supervisor