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HomeMy WebLinkAboutSR - AGR-5684.A - ELECTRICAL MAINTENANCE SERVICES CITY PARK FACILITIESAGENDAITEM C Novembe 10, 2015 TO: Honorable Mayor and Members of the City Council THRU: Rick Otto "arieg er FROM: Community rvices Di ector F1. SUBJECT Approve Agreement with Magnetic Electric, Inc. for Electrical Preventative Maintenance and Repair of City Park facilities for an amount not to exceed $ 75,000.00. [ 2. SUMMARY This Agreement will ensure that all electrical systems supporting facilities in City parks are in proper and safe working order and any necessary repairs are attended to promptly to minimize impact to services and programming. The agreement shall be for a period of one year with the option for three, one -year extensions. [ 3. RECOMMENDED ACTION 1. Reject the bid received from the apparent low bidder, Baker Electric, Inc., on the basis that the bid was not responsive; and 2. Approve the agreement between the City of Orange and Magnetic Electric, Inc., in the amount of $ 75,000.00 and authorize the Mayor and City Clerk to execute the necessary documents on behalf of the City. [4. FISCAL IMPACT ReviewedNerified City Manager Finance Director To Be Presented By: Marie Knight X Cons Calendar City Mgr Rpts Council Reports Legal Affairs Boards /Cmtes Public Hrgs Admin Reports Plan/Environ Funds are available in the following account for FY 2015 -2016 to cover the cost of the first term of the agreement: 100.7022.51420.00000 (Maintenance Contracts) $55,000.00 291.7026.51700.00000 (Contractual Services) $20,000.00 11 /10 /15 ITEM %- ";* 1 5. STRATEGIC PLAN GOAL(S) ,d. Be a fiscally healthy community -- effectively manage and develop City assets. 1 6. DISCUSSION and BACKGROUND The Community Services Department currently maintains all City Park and Landscape Assessment District (District) Facility electrical systems utilizing contract maintenance. Over the past five years, Magnetic Electric Inc., has been the contractor maintaining the parks infrastructure. The preventative maintenance performed under this contract has proven very effective in prolonging the life of the electrical infrastructure and minimizing down time due to electrical issues. The Department wishes to continue the contract for electrical preventative maintenance and repair services to ensure all systems are regularly serviced and repairs are made promptly and correctly by a licensed electrician. This is similar to how Public Works manages electrical maintenance and repair needs for other City facilities. Contract services for our Park and District electrical systems will protect them from failure resulting from old and poorly maintained components and ensure the safety and dependability of park facilities. Repairs will also be made promptly, avoiding unsafe or poorly lighted public areas or facilities being unavailable for use, resulting in the cancellation of programs and a loss of revenue. As the City neared the end of the five year agreement with Magnetic Electric Inc., a new Request for Bid was drafted and publicly advertised for two weeks. The bids were opened on August 20, 2015. Five (5) bidders responded with a cost for the preventive maintenance program and hourly rates for regular and after -hours repairs. The preventive maintenance program bid amounts are as follows (hourly rates are detailed in the attached Bid Abstract): 1. Baker Electric $21,000 2. Magnetic Electric, Inc. $23,964 3. Academy Electric, Inc. $31,280 4. Global Power Group, Inc. $31,584 5. Electronic Processing Technologies $95,800 Upon review of bids received, staff determined that Baker Electric was not responsive and did not conform in all material respects to the specifications contained in the City's invitation to bid. Section 20 of the Instruction to Bidders included in the Request for Bid required bidders to: 1. The contractor shall provide with this proposal a minimum of three (3) references of commensurate /equal installation/ electrical work with cities and/or municipalities. References shall represent/include: • Work completed within the last three (3) years. • A description and location of said installation/ electrical work. • An approximate cost of said installation/ electrical work. 2 ITEM 11/10/15 • A contact person and phone number to verify installation/ electrical work. Baker Electric failed to provide three (3) verifiable references of commensurate /equal installation/ electrical work with cities and/or municipalities. Magnetic Electric, Inc. is the apparent responsive low bidder. This contractor is the current electrical maintenance contractor for our parks infrastructure and has performed well for the City of Orange. All projects were completed within project specifications and on schedule. Therefore, staff recommends that Magnetic Electric, Inc., be awarded the contract. 'The total contract amount for this Agreement will be $75,000.00. This amount includes $23,964.00 for the annual Preventive Maintenance (PM) program and $51,036.00 for emergency and other repair work. This total amount is divided between accounts for City parks and the Santiago Hills Landscape Assessment District as detailed above in the Fiscal Impact section. Annual extensions of this Agreement will only be authorized if Council has approved a budget containing the appropriate funding to support the Agreement for that fiscal year. By approving this Agreement, Council authorizes the City Manager to approve annual extensions of the Agreement pursuant to budgeted funding being authorized by Council. If this Agreement is executed and extended annually for each of the three extensions, the aggregate dollar amount of the Agreement to include the initial term and three subsequent extension terms could total $300,000.00. The annual dollar amount of the Agreement is intended to allow for major emergency work to be addressed under this Agreement. It is expected that typical expenditures under this Agreement may be far less, understanding that the preventative maintenance aspect of the Agreement is a programed maintenance expense and is established in the Agreement at $23,964.00 for FY 15 -16 Repair costs will be based on the hourly rates stated in the Contractor's proposal and can vary depending on a number of factors, including wire theft and other vandalism. The Agreement shall contain a termination clause that allows for either party to terminate the Agreement upon written notice of no less than 60 days. 7. ATTACHMENTS • Bid Abstract • Draft Agreement 3 ITEM 11/10/15