Agenda Item: 7
CITY OF SANTA CLARITA
AGENDA REPORT
CONSENT CALENDAR
CITY MANAGER APPROVAL:
DATE: July 12, 2022
SUBJECT: LANDSCAPE MAINTENANCE CONTRACTS FOR LMD ZONE 18 (TOWN CENTER)
DEPARTMENT: Administrative Services
PRESENTER: Keith Miller
RECOMMENDED ACTION
City Council:
1. Award a two-year contract to American Heritage Landscape, Inc., to provide landscape maintenance services for Landscape Maintenance District Zone 18, Valencia Town Center, for an annual base amount of $187,200, and approve up to an additional $94,783 annually in contract expenditure authority to allow the contractor to perform as-needed repairs and/or replacements for a total contract amount not to exceed $563,966.
2. Authorize ongoing appropriations in the amount of $49,908 from Landscape Maintenance District Fund 357 to Account 3572439-516110, to support recurring landscape maintenance services expenditures associated with the recommended contract award.
3. Authorize the City Manager or designee to execute up to three additional, one-year renewal options beginning in year three, not to exceed the annual contract amount, inclusive of as- needed expenditure authority, plus an adjustment in compensation consistent with the appropriate Consumer Price Index, upon request of the contractor, and contingent upon the appropriation of funds by the City Council in the annual budget for such fiscal year.
4. Authorize the City Manager or designee to execute all contracts and associated documents, and modify the awards in the event impossibility of performance arises, and execute all documents subject to City Attorney approval.
BACKGROUND
The City of Santa Clarita (City) administers 61 financially independent zones within the Landscape Maintenance District (LMD), providing landscape maintenance services through
contracts with private companies. Request for Proposal (RFP) number LMD-21-22-39, for the maintenance of LMD Zone 18 (Town Center) was published and circulated via the City’s BidNet system on May 25, 2022.
Unlike a bid procurement, where the recommended contract award is based upon the lowest, most responsive bid, this procurement utilizes multiple weighted criteria to evaluate and score proposals. While the price for services is a component constituting 25 percent of the weighted evaluation criteria, the remaining 75 percent of the evaluation criteria focuses on the overall value provided including composition and structure of the contractor’s crew, their schedule to rotate through the maintenance areas, understanding of the specifications and references. The following categories comprised the weighted criteria used to evaluate proposals:
• Value Provided - Team Composition/Crew Structure/Rotation Schedule (50%) • Proposal Amount (25%)
• Acknowledgement and Understanding of Specifications (20%) • References & Certifications (5%)
A multiple weighted criteria procurement reinforces performance expectations and works to ensure that vendors dedicate adequate employees to service the contract. To improve maintenance standards and enforce accountability, the solicitation also includes provisions to impose payment reductions for poor performance should the contractor fail to meet their maintenance schedule.
The City transmitted the solicitation to 314 vendors, of which 13 vendors downloaded the RFP.
Two companies provided proposals for consideration with the results below.
PROPOSAL COMPANY LOCATION BID
AMOUNT
POINTS
AWARDED
Proposal 1 American Heritage Landscape, Inc. Canoga Park, CA $163,200 148.00 Proposal 2 Oakridge Landscape, Inc. Santa Clarita, CA $211,200 137.67
American Heritage Landscape, Inc. (American Heritage) achieved the highest score with the evaluation team determining their proposal offered the best overall value. While both companies dedicated comparable crew manhours for the recurring maintenance, American Heritage’s proposal represents the greater value as their base operational cost is considerably lower than the number two rated proposal.
Further, American Heritage’s proposal encompasses an operational schedule which provides weekly servicing of all maintenance areas throughout the zone. This is especially important as the areas serviced within LMD Zone 18 encompass focal entry gateways into the City.
Additionally, staff is also requesting ongoing appropriations of an additional $49,908 in base budget. This ongoing base adjustment encompasses an increase of $25,908 which is reflective of rising fuel and industry labor costs. Staff also recommends approval of an additional ongoing appropriation of $24,000 to provide the necessary increase of maintenance and irrigation technician crew support dedicated to this LMD Zone beyond the scope of American Heritage’s original proposal.
Finally, staff recommends increasing the annual contract expenditure authority by an additional $94,783. The recommended amount aligns with the authorized base budget to perform as-needed maintenance and repairs, maximize operational efficiencies, and ensure such work is completed in a timely manner. As-needed work includes, but is not limited to, responding to emergencies, repairs or replacement of irrigation systems which are damaged or have reached the end of their useful service life, replacement of dead plant material, addressing vandalism, and one-time beautification enhancement projects.
The increase in expenditure authority granted by the City Council does not represent any guarantee of additional compensation under the terms of the recommended contract. Beyond retaining the discretion to utilize alternative contractors as deemed necessary, all unscheduled repair work or one-time enhancement projects performed by American Heritage will continue to require staff review and advanced authorization by the City’s Special Districts Division.
Staff has completed a due-diligence review of the recommended contractor professional references and determined their work history meets the City's standards and performance expectations. Based on the above, staff recommends awarding this landscape maintenance contract to American Heritage.
ALTERNATIVE ACTION
1. Do not award contract to American Heritage Landscape Inc.
2. Other action as determined by the City Council.
FISCAL IMPACT
There is no impact to the General Fund associated with this action. The recommended action requires an appropriation of $49,908 in additional ongoing base budget from LMD Fund 357 to sufficiently fund recurring landscape maintenance costs associated with the award of this contract.
ATTACHMENTS
RFP#LMD-21-22-39 (available in the City Clerk's Reading File) American Heritage Proposal LMD Zone 18 (available in the City Clerk's Reading File)