City of Sacramento
City Council - 5PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2023-00950 8/8/2023 Consent Item 16.
Contract: Supplemental Agreement: Mail Preparation and Presorting Services [Published for 10-Day Review 7/27/2023]
File ID: 2023-00950
Location: Citywide
Recommendation: Pass a Motion authorizing the City Manager or the City Manager’s designee to execute Supplemental Agreement No. 10 to City Contract No. 2019-0047 with KP LLC increasing the not-to-exceed amount of the contract to $2.4 million.
Contact: Gary O’Neill, Contracts and Compliance Specialist, (916) 808-7432, [email protected]; Dayana Reyes Zanaska, Procurement Manager, (916) 808-5524, [email protected], Department of Finance Presenter: None.
Attachments:
1-Description/Analysis
2-Supplemental Agreement No. 10 to Contract No. 2019-0047 Description/Analysis
Issue Detail: City departments have an ongoing need for mail preparation and pre-sorting services.
KP LLC was awarded Agreement No. 2019-0047 to provide these services. The amount spent to date on this contract is approaching the authorized not-to-exceed amount of the contract. Additional contract authority is necessary to continue provision of these services.
Policy Considerations: The recommendations in this report are in accordance with the provisions of City Code 3.56 regarding contracts for the purchase of supplies. The Sacramento City Code 4.04.020 and Council Rules of Procedure (Chapter 7, Section E.2.d) mandate that unless waived by a 2/3 vote of the City Council, all labor agreements, and all agreements greater than $1,000,000 shall be made available to the public at least ten (10) days prior to council action. This item was published for 10- day review on July 27, 2023, in compliance with the City Code.
Economic Impacts: None.
File ID: 2023-00950 8/8/2023 Consent Item 16.
Environmental Considerations:
California Environmental Quality Act (CEQA): This report concerns administrative activities and governmental fiscal activities that do not constitute a “project” as defined by the CEQA Guidelines Sections 15378(b)(2) and 15378(b)(4) and are not subject to the provisions of CEQA (CEQA Guidelines Section 15060(c)(3)).
Sustainability: The contractors follow the City’s Sustainable Purchasing Policy. Recycled products meet or exceed City and State requirements for sustainability.
Commission/Committee Action: None.
Rationale for Recommendation: Increasing the not-to-exceed amount of the contract will allow City departments to continue to use this contract through its expiration date of February 24, 2024.
Financial Considerations: Funding for this contract is included in FY2023/24 operating budgets and/or capital improvement program budgets of the departments that require these services.
Local Business Enterprise (LBE): The contractor is not an LBE.
Background: The original contract was awarded to KP LLC, the lowest responsive and responsible bidder, from Request for Bids No. B19061521003, posted August 8, 2014, with a due date of September 26, 2018. The original award was approved by City Council on December 18, 2018, through Motion No. 2018-0401. A previous amendment to the agreement was approved by City Council on August 24, 2021, through Motion No. 2021-0241 extending the agreement to 2024.
The Procurement Division intends to solicit bids for a new contract in the fall of 2023.
Attachment 2