DATE:
July 16, 2024
TO:
Paul Buddenhagen, City Manager
FROM:
Rebecca Sermeno, Community Services Director
SUBJECT:
Resolution Of The City Council Of The City Of Emeryville Authorizing The City Manager To Enter Into A Second Amendment To The Professional Services Contract With Patatas, LLC, To Provide Daily Meal Service For FY24/25 For The Children At The Emeryville Child Development Center By Increasing The Contract Amount By $170,000 For A Total Not To Exceed Contract Amount Of $302,000 And Increase 5200-73600 Food Supplies By $88,000 With An Appropriate Amount To Be Transferred From Measure F Fund 267-99650 To Fund 230-69994 Recommendation
Staff recommends that the City Council authorize the City Manager to enter into a Second Amendment to the professional services contract with Patatas, LLC. by increasing the contract amount by $170,000 to provide daily meal service for an additional year for the children at the Emeryville Child Development Center (ECDC).
Background
ECDC has been in operation for over 40 years. The Center is open 10 1/2 hours per day, Monday through Friday, 247 days per year. The program currently has 56 participants. As part of the program offering, and as a requirement of receiving funding from the State of California’s Department of Education for subsidized childcare for low-income families, the City is required to provide meals to the children at ECDC throughout the day under the Child and Adult Food Care Program (CACFP). For many years, ECDC was staffed by an on-site cook to prepare the meals. After an extensive evaluation of the food service at ECDC, the City decided that contracting out the meal program would allow ECDC to provide a more reliable, quality meal program on a consistent basis. The City has been contracting out food services since 2013.
The current provider is a local vendor providing healthy, dietary specific foods based on the needs of the children, including vegan and allergy free options. The contractor sources locally grown, seasonal produce to provide the healthiest lunch options for the children on a daily basis.
Discussion
On September 5, 2023, the City of Emeryville entered a Professional Services Agreement with Patatas, LLC to be ECDC’s food vendor providing lunch and milk service, at $9.90 per child, Monday-Thursday for a total of $115,000. In April 2024, the contract was amended to include Friday meal service for the remainder of the contract, increasing it to $132,000, therefore increasing the Food Supplies FY23/24 budget to $146,500.
For FY 24/25, Patatas, LLC has submitted a proposal to increase the cost per child to $10.90, not to exceed $170,000, a one dollar increase to offset the rising cost of food, and continue to offer a high level of quality and seasonal fresh food to the children.
Staff continue to purchase breakfast and snacks that adhere to the food guidelines set forth by the CACFP to supplement the daily lunch service. Staff plan to go out for a new RFP for food service for FY 25/26 in an effort to reduce the fiscal impact.
Fiscal Impact
To retain the services provided under the contract for an additional year, the contractor is willing to continue to provide services for an additional year for $165,925.03 for FY24/25 including sales tax. The cost per child, not including sales tax, is $10.90 per child. The total contract amendment will not exceed an additional $170,000.
The annual funding required to cover the additional food services provided by ECDC staff for breakfast and snacks in FY 24/25 is $21,000. The current total budgeted amount for FY 24/25 is $103,000 for both food service and food supply and should be increased by $88,000 to a total of $191,000 to include the increased contract amount.
The total additional amount to be transferred from Measure F Fund 267-99650 to 230-69994 and increase 5200-73600 Food Supplies for FY24/25 is $88,000.
Approved and Forwarded to the
City Council of the City of Emeryville:
Paul Buddenhagen, City Manager
Attachments
Professional Service Contract – Executed September 5, 2023 Professional Service Contract First Amendment April 2, 2024 Resolution
Professional Service Contract Second Amendment July 16, 2024 Patatas LLC PSA Scope of Work Exhibit A-1 2024-2025
ECDC Quotation
ECDC Food Program- Patatas LLC PSA Second Amendment
City Council Meeting | July 16, 2024
City of Emeryville
CALIFORNIA
MEMORANDUM