A2362.SR.JD
C
ITY OF SIMI VALLEY
MEMORANDUM
J
une 12, 2023
TO: City Council
F
ROM: Department of Public Works
S
UBJECT: APPROVAL OF THIRD CONTRACT AMENDMENT TO THE CONTRACT BETWEEN THE CITY OF SIMI VALLEY AND STAY GREEN, INC. FOR LANDSCAPE DISTRICT NO. 1 MAINTENANCE SERVICES, CONTRACT E, SPECIFICATION NO. SV 20-18
STAFF RECOMMENDATION
I
t is recommended that the City Council:
1. A
pprove the Third Contract Amendment to the contract between the City of Simi Valley and Stay Green Inc. for Landscape District No. 1 M aintenance Services, Contract E, Specification No. SV 20- 18, extending the term from July 1, 2023 to June 30, 2024 and increasing the not -to-exceed amount by $500,292, for a total not -to-exceed Contract amount of $1,756,169.
2. A
uthorize the City Manager to approve any subsequent contract amendments to incorporate future budgeted funds into the contract amount and extend the contract by up to (1) one additional (1) one-year term in accordance with the contract term.
BACKGROUND AND OVERVIEW
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n July 15, 2020, the Public Works Department solicited landscape tree maintenance bids for Simi Valley Landscape District No. 1, Contract E, Specification No. SV 20 -18. A notice inviting bids was published in local newspapers, submitted to various publications and plan rooms, emailed to contractors on the City’s contractor’s list, and posted on the City’s website. Five bids were received on August 12, 2020. On September 21, 2020, Stay G reen, Inc. was awarded the contract for a two -year term ending on June 30, 2022 with three (3) additional one-year extension options.
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n August 8, 2022, the City Council exercised its option to extend the contract for one (1) additional one (1) year term from J uly 1, 2022 to June 30, 2023 and increasing the not-to-exceed amount by $350,292. On October 24, 2022, the City Council entered into a Second Contract Amendment adding a one- time amount of $175,000 to the Contract for the removal of eucalyptus trees depicted in Schedule III below.
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n the proposed FY 23- 24 budget, a new capital improvement project, Tree Removal / Stump Grinding Funding, CP60000044 is being requested in the amount of $150,000 for FY 23-24. This project will enhance the City’s response to removing trees in poor health and removing stumps after trees have been removed. The project will provide funding to assist City staff if needed. This option is available if the project is approved by City Council AGENDA ITEM NO.
Consent (7)
A2362.SR.JD
as part of the FY 23-24 budget. The amount of $150,000 is being included in this contract amendment depicted in Schedule IV below.
FINDINGS AND ALTERNATIVES
The City now desires to exercise its option to extend the contract term with Stay Green, Inc. for one (1) additional year from Jul y 1, 2023, to June 30, 2024, which is reflected in the attached Third Contract Amendment.
This contract, specifically for tree maintenance services, includes routine maintenance, as identified in Schedule I, $320,292, and extra work that would be completed under Schedule II up to $30,000. Schedule II represents potential additional work for sit e upgrades and repairs, repair work due to traffic collisions or wind damage, or other such work not included in Schedule I. The amount provided for Schedule II reflects estimated costs based on previous expenditures, and actual expenditures may vary but will stay within the budgetary limits. Schedule III represents the one time increase of $175,000 for the removal of eucalyptus trees that was included in the Second Contract Amendment .
Schedule IV represents the new capital improvement project, Tree Removal / Stump Grinding Funding in the amount of $150,000.
The cost breakdown for Contract E is as follows:
Schedule I Schedule II Schedule III Schedule IV Total Cost Monthly Cost $26,691 As Needed One Time One Time 12 Months
Total $320,292 Up To
$30,000
Total $320,292 $30,000 $175,000* $150,000 $675,292
*Approved with Second Contract Amendment
This Third Contract Amendment extends the contract term from July 1, 2023 to June 30, 2024 and includes the not-to-exceed amount of Schedule I , Schedule II, and described in Schedule IV in the amount of $500,292.
The following alternatives are available to the City Council:
1. Approve the Third Contract Amendment between the City of Simi Valley and Stay Green Inc. for Landscape District No. 1 Maintenance Services, Contract E, Specification No. SV 20- 18 extending the term and increasing the not-to-exceed amount by $500,292 for a one -year period From July 1, 2023 to June 30, 2024;
2. Authorize the City Manager to approve any subsequent contract amendments to incorporate future budgeted funds into the contract amount and extend the contract by up to (1) one additional (1) one-year term in accordance with the contract term;
3. Provide staff with other direction.
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Staff recommends Alternative No. 1 and 2
SUGGESTED CITY COUNCIL MOTION
I move to approve the Third Contract Amendment to the contract between the City of Simi Valley and Stay Green Inc. for Landscape District No. 1 Maintenance Services, Contract E, Specification No. SV 20- 18 extending the term and increasing the not-to-exceed amount by $500,292 for a one- year period ending June 30, 2024 and authorize the City Manager to approve any subsequent contract amendments to incorporate future budget funds into the contract amount and extend the c ontract by up to (1) one additional (1) one-year term in accordance with the contract term.
SUMMARY
The City’s Landscape Maintenance Contract with Stay Green (Contract E, Specification No. SV 20-18) expires on June 30, 2023. Staff recommends that the City Council approve the attached Third Contract Amendment extending the term for an additional one (1) year to June 30, 2024, for an not -to-exceed amount by $500,292 , for a total not -to-exceed amount of $1,756,169, for a one-year period ending June 30, 2024.
____________________________________
Ronald K. Fuchiwaki
Public Works Director
Prepared by: Dylan Gunning, Senior Management Analyst
INDEX Page
Third Contract Amendment .............................................................. 4
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Specification No. SV 20-18
Third Amendment
THIRD AMENDMENT TO CONTRACT BETWEEN THE CITY
OF SIMI VALLEY AND STAY GREEN, INC. FOR SIMI VALLEY
LANDSCAPE DISTRICT NO. 1, MAINTENANCE SERVICES,
CONTRACT “E”, SPECIFICATION NO. SV 20-18
THIS THIRD AMENDMENT TO CONTRACT is made and entered into in the City of Simi Valley on this 12
th day of June 2023, by and between the CITY OF SIMI VALLEY, a municipal corporation, hereinafter referred to as CITY, and STAY GREEN, INC. , hereinafter referred to as CONTRACTOR each a “Party” and collectively, “Parties”.
I. Recitals
A. CITY and CONTRACTOR entered into a written contract ("CONTRACT") executed by the Parties on September 20, 2020, for the performance of the Simi Valley Landscape District No. 1 Tree Maintenance Services, Contract “ E”, Specification No. SV 20 -18, which is incorporated herein by reference.
B. On August 8, 2022, the P arties executed a REINSTATEMENT AND FIRST AMENDMENT to the CONTRACT (“First Amendment”) retroactively effective to July 1, 2022, which reinstated and extended the term of the CONTRACT to June 30, 2023. The First Amendment also increased the CONTRACT amount by a combined total of $350,292 for Services to be performed. The First Amendment is incorporated herein by reference.
C. On October 24, 202 2, the P arties executed a SECOND AMENDEMENT to the CONTRACT (“Second Amendment”) increasing the CONTRACT amount by $175,000 for the removal of eucalyptus trees increasing the combined total contract amount to $525,292.The Second Amendment is incorporated herein by reference.
D. In accordance with paragraph nine of the CONTRACT, the P arties now desire to amend the CONTRACT as set forth below:
NOW, THEREFORE, in consideration of their mutual promises, obligations and covenants hereinafter contained, the parties hereto agree as follows:
II. Amendment
1. Section 2. Term
, is amended to read as follows:
In accordance with this Section 2, the term of the CONTRACT shall be extended for one (1) year from July 1, 2023 to June 30 2024 (“Extended Term”).
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Specification No. SV 20-18
Third Amendment
2. Section 5. Obligations of the CITY, is being amended to read as follows:
D. Not-to-Exceed Amount for Extended Term. In no event shall the total amount paid, for the (1) year term extension of this Third Amendment to the CONTRACT exceed the amount of $320,292 for schedule I work , $30,000 for Schedule II work , and $150,000 for Tree Removal / Stump Grinding services for a combined total of $500,292,contained in Exhibit “A-1”, Scope of Work attached hereto and incorporated herein Unless otherwise agreed to by the parties in writing , the total not- to-exceed CONTRACT amount is $1,756,169. The CONTRACTOR shall keep a tally of the cost for the work ordered by the CITY. The CONTRACTOR shall not accept work orders from the CITY if the cost for the work will exceed the amount indicated above unless otherwise agreed to by the parties in writing.
3. Mailing Address
. The mailing address of each party to this CONTRACT
AMENDMENT is as follows:
CITY Ronald K. Fuchiwaki, Director
Department of Public Works
2929 Tapo Canyon Road
Simi Valley, CA 93063
Staff Contact: Michael Sandoval
Maintenance Superintendent
(805) 583-6437
CONTRACTOR Stay Green, Inc.
26415 Summit Circle
Valencia, CA 91350
Staff Contract: Steve Seely
(661) 510-9536
4. Except as herein amended, all other terms and conditions of the CONTRACT shall remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed the day and year first above written.
Attest: City of Simi Valley, A Municipal Corporation
By:
Lucy Blanco, City Clerk Fred D. Thomas, Mayor of the City of Simi Valley, California
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Specification No. SV 20-18
Third Amendment
Approved as to Form: Stay Green, Inc.
By:
David L. Caceres, City Attorney
Print Name:
Approved as to Content: Title:
By:
Brian Paul Gabler, City Manager
Print Name:
Title:
Johanna Medrano,
Deputy Administrative Services Director/
Budget & Purchasing
Ronald K. Fuchiwaki
Public Works Director
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Specification No. SV 20-18
Third Amendment
Exhibit “A-1”
SCOPE OF WORK
THIRD AMENDMENT TO CONTRACT BETWEEN THE
CITY OF SIMI VALLEY AND STAY GREEN, INC. FOR
SIMI VALLEY LANDSCAPE DISTRICT NO. 1,
MAINTENANCE SERVICES, CONTRACT “E”,
SPECIFICATION NO. SV 20-18
Schedule I:
The Complete Tree Maintenance Care (Trimming, Removal, Replacement, Stump Grinding, Emergency Work and Pest Control), for the Simi Valley Landscape District No. 1 Tree Maintenance Services Contract (A total of approximately 8,132 trees, 15 feet in height and above located in the public rights-of-way, including certain landscape easements in areas throughout the City.): Tree pruning, tree removal, tree emergency response, pest and disease control and work as designated in the specifications.
Schedule II:
Unit Prices for Additional/Potential Site Upgrade Work and Change Orders for Contract: to establish unit prices for site upgrades work, repair work due to traffic collisions, or other such work not included in Schedule I, in accordance with the specifications.
Additional Services during Extended Term: Tree Removal and Stump Grinding in the not to exceed amount of $150,000.
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