SR - AGR-5885.4 - FOURTH AMENDMENT LANDSCAPE MAINTENANCE SANTIAGO HILLS LMDpP "
*...�* AGENDA ITEM
e� d ad'
October 13, 2015
TO: Honorable Mayor and
Members of the City Council
THRU: Rick Otto
City anager
FROM: Marie Kni--
Community S rv' es Dire o
l
ReviewedNerified B
City Manager
Finance Direc or ,
To Be Presented By: Marie Knight
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1. SUBJECT
Fourth Amendment to Agreement with Nieves Landscape, Inc. for landscape maintenance services
for the Santiago Hills Landscape Assessment District to increase the amount for FY 15 -16 from
$290,628.00 to $370,928.00.
2. SUMMARY
This Amendment provides for an increased level of landscape maintenance and repair services in
the Santiago Hill Assessment District (District) as a result of revenue generated by the passage of
a ballot measure approved in July 2015 by a majority of property owners in the District.
13. RECOMMENDED ACTION I
1. Approve the Fourth Amendment to Agreement 5885 with Nieves Landscape, Inc.; and
2. Authorize the Mayor and City Clerk to execute on behalf of the City.
4. FISCAL IMPACT
Upon the appropriation of funds considered in a separate Council action, funds will be available
to cover the cost of the Fourth Amendment as follows:
291.7026.51431.00000 (Contractual Services)
$370,928.00
15. STRATEGIC PLAN GOAL(S)
3a. Enhance and promote quality of life in the community — Refurbish, maintain, develop and/or
expand public use places and spaces.
ITEM 10/13/15
6. GENERAL PLAN IMPLEMENTATION
GOAL 5 - Provide recreational facilities and programs that adequately serve the needs of residents.
5.1 - Maintain existing City parks at levels that provide maximum recreational benefit to City
Residents.
7. DISCUSSION and BACKGROUND
Background: A ballot measure approved by the property owners in the Santiago Hills Landscape
Maintenance Assessment District 86 -2 (District), and approved by the City Council at the July 14,
2015 Council meeting, formed a new Landscape Assessment District (LMD 15 -1) which exactly
overlaid the existing LMD 86 -2. The revenue generated from LMD 15 -1 provides funding for the
increased costs for maintenance of the District landscape and infrastructure. As such, efforts to
restore services to appropriate levels in the District can now be implemented and City staff can
begin planning for future landscape renovations.
Nieves Landscape, Inc. currently provides landscape maintenance services for the District through
a five year Agreement executed in 2012. The Agreement provides for annual increases based on
the Consumer Price Index and was further amended in 2013 to reduce the scope of work and related
costs in order to keep expenditures in line with existing revenues. This change, along with other
expenditure reductions, such as reductions in the amount of tree maintenance services and water
consumption, have resulted in a severely degraded landscape. With the formation of LMD 15 -1
and the resultant increased revenue, landscape maintenance services can now begin to be returned
to the levels prior to 2007.
Discussion: Restoration of landscape maintenance services begins with restoring some of the
scope reductions which had been included in 2013 as part of the First Amendment of the Nieves
Landscape Agreement. Upon execution of this Fourth Amendment, some improved maintenance
service levels can begin immediately however, though efforts are beginning, many of the landscape
repairs in the District will take time. Replacement of dead and dying landscape with more drought
tolerant plant materials in some areas can be expedited through repair efforts under the existing
maintenance and repair Agreement. Larger restoration and landscape renovation projects will take
place as capital funds are accumulated from annual revenue and will likely require a separate
bidding process for these public works projects.
In order to begin repairs to the landscape as soon as possible, this Fourth Amendment increases
the contract amount by $80,300.00 for the current fiscal year. The total not to exceed amount of
Agreement 5585 with Nieves Landscape, Inc. for FY 15 -16 is $370,928.00. This amount is well
within the new budget established as a result of the additional revenues derived from LMD 15 -1,
which is described and will be considered for appropriation by the City Council in a separate
Council action at this meeting.
After FY 15 -16, one final year remains on the five year agreement. During FY 16 -17, an RFP will
be circulated for long term landscape maintenance services for FY 17 -18 and beyond.
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ITEM 10/13/15
8. ATTACHMENTS
• Draft Fourth Amendment
ITEM 10/13/15