Agenda Item No: P.8
AGENDA REPORT
DATE: June 16, 2026
TO: Acting Mayor and Council
FROM: David Gassaway, City Manager
SUBJECT: Resolution 2026 -125 PW Amendment No. 2 to LLMD District No. 2023 -11 Agreement
Approving Amendment No. 2 to the Existing Contractor Service Agreement with TerraCare Associates for Landscape Maintenance Services in the Landscaping and Lighting Maintenance District No. 2023-11 – Paradise Valley
Funding Source: $732,520; Paradise Valley Maintenance District Fund Contact: Daniel Camara, (707) 428-7052
RECOMMENDED ACTION
Adopt resolution.
STATEMENT OF ISSUE
Approval of the attached resolution will authorize the city manager to execute Amendment No. 2 to the Contractor Services Agreement with TerraCare Associates (TerraCare) for landscape maintenance services in Landscaping and Lighting Maintenance District No. 2023 -11 – Paradise Valley (LLMD No. 2023-11). Amendment No. 2 will extend the agreement for the final 24-month term, effective July 1, 2026, through June 30, 2028, and increase the contract amount by $732,519.42 to include additional landscape maintenance services.
DISCUSSION
On September 5, 2023, the City Council adopted Resolution No. 2023 -11 approving t he initial Contractor Services Agreement for landscape maintenance services in LLMD No. 2023 -11 with TerraCare for an amount not to exceed $344,125.97 annually during the initial 15 -month term, effective October 1, 2023, through December 31, 2024. The agreement i ncluded an option to extend the contract for up to two additional terms of up to 24 months each.
Amendment No. 1 extended the agreement for an additional six months, effective January 1, 2026, through June 30, 2026, for an amount not to exceed $176,708.69 . The amendment
included a 2.7% adjustment based on the February San Francisco -Oakland-Hayward Consumer Price Index for Urban Wage Earners and Clerical Workers, applied to the previous annual contract amount of $344,125.97.
Approval of the attached resolution will authorize the city manager to execute Amendment No. 2 to extend the Contractor Services Agreement with TerraCare for the final 24 -month term, effective July 1, 2026, through June 30, 2028. Amendment No. 2 will increase the contract amount by $732,519.42 for landscape maintenance services in LLMD No. 2023 -11. The increase includes a 1.7% adjustment based on the February San Francisco -Oakland-Hayward Consumer Price Index for Urban Wage Earners and Clerical Workers, applied to the Amendment No. 1 contract amount, as well as an additional annual amount of $6,834.24 for the inclusion of landscape maintenance services at Tassajara Court.
FINANCIAL IMPACT
Approval of Amendment No. 2 will authorize an additional $732,519.42 for the final term of the agreement. Funding is available in the Paradise Valley Maintenance District Fund (Organization Code 18860107).
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION
N/A
ALTERNATIVE ACTION
The council may choose not to approve the attached resolution. In that event, TerraCare may continue to provide landscape maintenance services under the existing open services agreement on a month-to-month basis, subject to mutual agreement.
STAFF CONTACT
Valerie Standfill, Management Analyst
(707) 428-7055
[email protected]
ATTACHMENTS
Attachment 2: Proposed Resolution
Attachment 3: Amendment No. 2
Attachment 3: Resolution No. 2023-226 and Amendment No. 1