SR - AGR-6267.B - CUSTODIAL SERVICES PARK FACILITIESAGENDAITEM
January 12, 2016
TO: Honorable Mayor and
Members of the City Council
THRU: Rick Otto
City 4an,
FROM: Marie Knigl
Community
Joe DeFrancesco
Public Works D)
ReviewedNerified B
City Marirector
Finance
To Be Presented By:
MaAe Knight
X Cons Calendar
City Mgr Rpts
Council Reports
Legal Affairs
Boards /Cmtes
Public Hrgs
Admin Reports
Plan/Environ
1. SUBJECT
Approve an Agreement with Merchants Building Maintenance Company, LLC, for custodial
services for City park facilities for an amount not to exceed $236,537.42 per year.
�2. SUMMARY
This Agreement provides custodial services for City park facilities from February 1, 2016 to June
30, 2018, with an option to extend the term of the contract for two subsequent fiscal years through
June 30, 2020. The amount for the 29 -month first term of the agreement is $571,632.13. The
agreement locks in the annual contract amount for the two extensions to an amount not to exceed
$236,537.42, which includes $229,648.00 for routine maintenance, plus $6,889.42 for emergency
or unanticipated additional custodial services. An appropriation of $40,100.00 from General Fund
unreserved fund balance is requested to fund the cost of custodial services for overall City and
Park facilities for the remainder of the FY 16.
3. RECOMMENDED ACTION
1. Authorize the appropriation of $40,100.00 from the General Fund unreserved fund balance
to expenditure account 100.5028.51422.00000;
2. Approve the agreement between the City of Orange and Merchants Building Maintenance
Company, LLC.; and
3. Authorize the Mayor and City Clerk to execute the necessary documents on behalf of the
City.
ITEM 2)-- 1/12/16
1 4. FISCAL IMPACT
Upon appropriation, funds will be available in the following account for FYI to cover the cost
of the Agreement:
100.5028.51422.00000 (Contractual Services) $40,100.00
Funding for FY 17 will be included in the annual budget for that fiscal year.
5. STRATEGIC PLAN GOAL(S)
2d. Be a fiscally healthy community -- effectively manage and develop City assets.
6. DISCUSSION and BACKGROUND
Background
Until October of 2015, building maintenance /custodial services for City building, facilities and
Park facilities had operated under one contract agreement. Oversight and management for these
services was provided by staff in both Public Works (PW) and Community Services (CS) with
basically, PW providing the supervision for City building/facilities and CS the supervision for all
Parks and subsequent Park facilities. One building maintenance company provided custodial
services for all. Merchants Building Maintenance (MBM) had been the provider of said services
for our City buildings and park facilities since July of 2011.
The four (4) year contract with MBM for City building maintenance /custodial services was set to
expire in June of 2015. In early 2015 the City advertised a Request for Proposal (RFP) in
open/formal bidding for the described custodial services for all City buildings and park facilities.
Based on cost and positive references, Ultimate Building Maintenance (UBM) was awarded the
contract for the described services that began on July 1, 2015. Three issues became apparent early
in the City's relationship with UBM:
• UBM lacked the ability to facilitate the unique, high use, and often difficult cleaning
required in Park restrooms and facilities.
• UBM was not dedicating the manpower /staffing that was needed to service all Park
restrooms and facilities as required with the daily and supplemental scope of work that
was required.
• UBM greatly underbid the Park facilities portion of work described and specified in
the City's RFP for custodial services, resulting in their being incapable of fulfilling the
required cleaning service and duties.
For the first several months of the agreement with UBM there were continual issues with
substandard performance on the part of UBM in the Park facilities. City staff spent an inordinate
amount of time checking their work, documenting areas of deficiencies, and working with UBM
to fulfill their contract obligations with very little success. Ultimately, due to UBM's failure to
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ITEM 1/12/16
perform their contracted duties within the City's Parks and Park facilities, and increased
complaints from the public, UBM was relieved of their duties related to City Parks. The City and
UBM agreed to remove the parks services section from their contract. As a result, MBM was
rehired on an emergency basis for 45 days for this portion of service. MBM was subsequently
rehired on the basis of a temporary 90 day agreement, to give the CS Department time to
orchestrate two evident needs:
• Separate the maintenance of parks facilities from the City facilities contract. Staff felt
that the cleaning services that are required within park restrooms and park community
buildings are clearly unlike conditions found in general City office and facility
buildings and it was best to operate and manage those services separately.
• Re -bid the maintenance /custodial services that would include all park restroom and
park facilities, including the Hart Park Pool Building, Grijalva Park Sports Center,
numerous community buildings, and the Depot Train Station.
Discussion
Community Services staff advertised an RFP for Custodial Services for City Parks Facilities on
November 5, 2015. The scope of services identified in the RFP was for full /general building
maintenance /custodial cleaning services in City Parks and Park Facilities including, but not limited
to:
• Routine daily cleaning, trash removal and stocking of supplies,
cleaning/disinfecting /power scrubbing of all restroom floors, amenities, fixtures and walls;
• Dusting, polishing, vacuuming, floor stripping /waxing/buffing, carpet shampooing,
window washing, and general cleaning of all Park community rooms and Grijalva Sports
Center,
• Power washing train platform, pedestrian undercrossing, and walkway areas at the Depot
Train Station.
Eleven (11) companies expressed interest at the pre - proposal meeting for the described custodial
services and seven (7) companies responded with proposals. The proposals were evaluated by three
members of the CS Department. Staff considered whether the companies met the evaluation
criteria laid out in the RFP and to what degree their proposals demonstrated their ability to deliver
the required service. The proposals were scored assigning a percentage for each of the criterion
with a maximum value as follows: Staffing Model (25 %), Qualifications (25 %), Client References
(25 %), and Price (25 %). When evaluating the Price component, scores were given based on the
total price proposed in relation to the number of staff that would be assigned to service the parks
and facilities each day. The Staffing Model was evaluated based on whether or not, in staffs'
opinion based on past experience, the proposed staffing model would be adequate to reasonably
accomplish the daily scope of work, along with the weekly /monthly supplemental work outlined
in the RFP. The top two companies with proposals ranked as the most responsive were interviewed
by the committee. The results of the proposal evaluations based on the RFP criteria, as well as
scoring from interviews of the top two ranked companies is included as Attachment B. MBM
was the noticeable overall leader in both proposal and interview evaluations.
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ITEM 1/12/16
MBM scored significantly higher for the following reasons:
• MBM personnel was able to articulate professionalism and the ability to communicate
accurately and clearly between contractor and City personnel which is critical in the daily
interaction and problem solving that occurs within our Parks.
• MBM demonstrated superior experience in all areas of staffing from custodial,
administration, supervision and management.
• MBM nightly staffing model (boots on the ground) is eight workers and two supervisors
and additional workers for the supplemental cleaning such as floor scrubbing, windows,
carpet cleaning etc... This is double what the second ranked company proposed. (This is
also double what the previous contractor UBM was using. UBM had 3 workers and one
supervisor each night, and those workers were also expected to do the supplemental
cleaning.) This realistic approach is impressive and demonstrates a well- defined and
knowledgeable approach of the manpower needed to service the City's Parks.
• MBM utilizes GPS tracking for all company vehicles as well as cell phones to monitor
location/whereabouts of employees. The number two company did not implement any
similar type of tracking system.
• MBM's proposal communicated an established and organized method of problem solving
and subsequent follow up by way of `work order' submittal and `follow up' tracking which
the other company did not.
The annual price for the described routine maintenance services from MBM is $229,648.00, which
reflects a 25% increase from the FY 15 contract with MBM. The majority of this increase is
attributed in large part to higher payroll costs due to the increase in minimum wages, increases to
workers compensation and general liability insurances, and mandated health care insurance for all
employees, all of which have occurred since the last agreement. In addition, specialized cleaning
and increased cleaning frequencies were added to this new contract include weekend cleaning at
the Sports Center at Grijalva Park and monthly cleaning and sealing of all concrete floors in the
parks in response to the need for a higher service level at some of our busier Park facilities. In
comparison, the contracted price for Parks and Facilities for the previous contractor, UBM was
$104,674 a year, again with an inadequate staffing model that was less than half of what is
realistically needed to accomplish the necessary daily scope of work, and no available staff to
accomplish the weekly and monthly work needed on floors, windows, kitchen areas etc...
The initial term of the contract to be awarded will be two (2) years and five (5) months,
commencing February 1, 2016 and expiring on the last day of June 30, 2018 (the "Expiration
Date "); provided, however, that the City will have the right to extend the term of the contract for
the following extensions and upon the following terms:
• Extension (the "First Extension Term ") commencing on July 1, 2018 and terminating on
June 30, 2019;
• Extension (the "Second Extension Term ") commencing on July 1, 2019 and terminating
on June 30, 2020.
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ITEM 1/12/16
The base contract amount is $229,648.00 annually, plus a three percent contingency of $6,889.42
for emergency or unanticipated additional custodial services, for a total not to exceed amount of
$236,537.42 for Parks and Park facilities.
Additional funding in the amount of $40,100.00 for FY 16 is being requested from General Fund
unreserved fund balance to support the overall cost of custodial services for all City facilities
through the previously approved agreement with UBM for City facilities and this agreement with
MBM for Park facilities.
7. ATTACHMENTS
Bid Abstract
Evaluation Matrix
Draft Agreement
ITEM 1/12/16
CITY COUNCIL MINUTES JULY 12, 2016
2. PUBLIC COMMENTS (Continued)
Matt Huddleston — spoke regarding the rent doubling for the Orange Y BMX facility that
is currently on YMCA property.
Shirley Hunt — expressed concerns with the abandoned property at 184 N. Prospect and
thanked staff for their assistance thus far.
Kimberly Bottomley — expressed concerns about Titan Automotive servicing cars on
neighboring residential streets and submitted signatures of other residents with the same
concerns.
Tony C — expressed concerns with Titan Automotive servicing cars on the street.
3A. CONSENT CALENDAR
All items on the Consent Calendar are considered routine and are enacted by one motion
approving the recommended action listed on the Agenda. Any member of the City Council,
staff or the public may request an item be removed from the Consent Calendar for
discussion or separate action. Unless otherwise specified in the request to remove an item
from the Consent Calendar, all items removed shall be considered immediately following
action on the remaining items on the Consent Calendar.
3.1 Confirmation of warrant registers dated, June 9, 16, 23, and 30, 2016. (C2500.J.1.7)
ACTION: Approved.
3.2 City Council Minutes, Regular Meeting of June 14, 2016. (C2500.D.4)
ACTION: Approved.
3.3 Waive reading in full of all ordinances on the Agenda.
ACTION: Approved.
AGREEMENTS
3.4 First Amendment to Contract 6267.B with Merchants Building Maintenance, LLC,
to add custodial services for the Senior Center facility for twenty -three months in an
amount not to exceed $121,739. (A2100.0; Agr- 6267.B)
ACTION: Approved amendment to the contract with Merchants Building Maintenance,
LLC, and authorized the Mayor and City Clerk to execute on behalf of the City.
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