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Home My WebLink About07 AMEND GF LANDSCAPE MNTNCE 06-03-08 AGENDA REPORT MEETING DATE: JUNE 3, 2008 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: PUBLIC WORKS DEPARTMENT/FIELD SERVICES DIVISION SUBJECT: CONTRACT AMENDMENT FOR LANDSCAPE MAINTENANCE SERVICES FOR THE GENERAL FUND AREAS AND THE TUSTIN LEGACY PARCELS WITH SPECTRUMCARE LANDSCAPE & IRRIGATION MANAGEMENT, INC. SUMMARY Approval of the third contract amendment with SpectrumCare Landscape & Irrigation Management, Inc. will extend the agreement for landscape maintenance services for the General Fund areas and the Tustin Legacy parcels for the period from July 1, 2008 to June 30, 2009 and will provide a price increase of 3.3% for only the General Fund areas. The amendment also provides for the addition of landscape maintenance services for additional landscape areas. RECOMMENDATION It is recommended that the City Council approve the third amendment to the contract agreement between SpectrumCare Landscape & Irrigation Management, Inc. and the City of Tustin for landscape maintenance services for the General Fund areas and the Tustin Legacy parcels, subject to City Attorney approval. FISCAL IMPACT Adequate funds will be requested in the City of Tustin's Field Services and Water Services Operating Budget and the Tustin Legacy Enterprise Fund (through April 30th), and the Marine Base Redevelopment Fund (May 1St through June 30th) for the 2008/2009 Fiscal Year to cover the cost of the contract. DISCUSSION The City has contracted with SpectrumCare Landscape & Irrigation Management, Inc. since January 1, 2007 for maintenance of all of the General Fund areas. The original agreement was fora 6-month period with three 1-year extensions available to City. This contract amendment would extend the agreement for the second year of three 1-year extensions from July 1, 2008 through June 30, 2009, and would grant the Contractor a 3.3% increase in accordance with the adjustment in the Consumer Price Index (CPI) for the General Fund areas. The Contractor did not request an increase for the Tustin Legacy parcels this year. This contract amendment would also add five newly landscaped areas; Tustin Ranch Road medians from Barranca Parkway to Warner Avenue, Edinger Avenue medians from Newport Avenue to Lennar Development, Edinger Avenue median in front of Lennar Development, Moffett Drive medians from Harvard Avenue to Peters Canyon Channel, and Valencia Portal Entry at a total monthly cost of $3,961. The Contractor will be compensated a sum not-to- exceed $364,287 for the General Fund areas and $74,100 for the Tustin Legacy parcels for the period from July 1, 2008 to June 30, 2009. Contract Amendment for Landscape Maintenance Services for the General Fund Areas and the Tustin Legacy Parcels with Spectrumcare Landscape & Irrigation Management, Inc. June 3, 2008 Page 2 Spectrumcare Landscape & Irrigation Management, Inc. has provided consistent service of reasonable quality over the last year and a half and has been very responsive in upgrading the maintenance standards when needed. The implementation of this extension will allow the contractor to continue to provide the same quality and responsiveness to the City. Tim D. Serlet Director of Public Works/City Engineer Wisam Altowaiji Field Services Manager Attachment (1) S:\City Council Items\2008 Council Items\Second Amend Spectrum Contract GF areas LLD.doc THIRD AMENDMENT TO CONTRACT AGREEMENT THIS THIRD AMENDMENT (the "Amendment") is entered into the day of 2008, by and between the City of Tustin, a municipal corporation (herein referred to as "City"), and SpectrumCare Landscape & Irrigation Management, Inc., a California corporation, (herein referred to as "Contractor"). This Amendment is made with reference to the following: RECITALS A. WHEREAS, City and Contractor entered into an Agreement dated November 20, 2006 (the "Agreement"), wherein Contractor agreed to perform landscape maintenance services in accordance with the Agreement and specifications entitled "Annual Landscape Maintenance Services for the General Fund areas." B. WHEREAS, the initial term of the Agreement was 6 months, with the option to be extended for three additional one-year terms by written agreement of the parties; C. WHEREAS, City and Contractor entered into the First Amendment to the Agreement on July 1, 2007 and extended the Agreement until June 30, 2008. D. Whereas, City and Contractor entered into the Second Amendment to the Agreement on July 23, 2007, to add the landscape maintenance of "Tustin Legacy Parcels". E. WHEREAS, City and Contractor desire to exercise the extension clause pursuant to Section D, Item 2-1, paragraph 4, "Length of Contract", to extend the Agreement for a second, consecutive one-year period. F. WHEREAS, City and Contractor desire to adjust Contractor's compensation under this Agreement to reflect a 3.3% increase in all of General Fund areas, but excluding the Tustin Legacy parcels, effective July 1, 2008 for the 2008/2009 fiscal year. This increase will reflect the rise in the Consumer Price Index, for Los Angeles, Orange and Riverside Counties, pursuant to Section D, Item 2-1, "Extension of Term of Contract". G. WHEREAS, City and Contractor also desire to add the landscape maintenance for the newly landscaped areas at Tustin Ranch Road, Warner Avenue, Edinger Avenue, Moffett Drive, and Valencia Avenue to the Agreement and to adjust contractor's compensation under the Agreement to reflect the negotiated price increase for these areas. AGREEMENT The Agreement is hereby amended as follows: A. The areas of landscape maintenance services to be provided by the Contractor under this Agreement is amended to include the following newly added landscaped areas with corresponding negotiated monthly payment: 1. Tustin Ranch Road medians from Barranca Parkway to Warner Avenue, Warner Avenue median at Tustin Ranch Road and Lot K on east side of Tustin Ranch Road for a total monthly payment of $1,560. 2. Valencia Avenue Portal Entry median, north and south parkways for a total monthly payment of $406. 3. Edinger Avenue medians from Newport Avenue to Lennar Development for a total monthly payment of $620. 4. Edinger Avenue median in front of Lennar Development for a total monthly payment of $1,305. 5. Moffett Drive medians from Harvard Avenue to Peters Canyon Channel for a total monthly payment of $70. B. Section D, Item 2-1, Paragraph 4, Length of Contract, is amended to extend the term of the Agreement for an additional one-year period through June 30, 2009, unless sooner terminated pursuant to Section D, Item 6-5 of the Agreement. C. Section C, Article II of the Agreement, as amended, is further amended to increase Contractor's compensation by 3.3% for the 2008/2009 fiscal year. City shall pay the Contractor the following sums for the periods indicated: 1. From July 1, 2008 to June 30, 2009, the City shall pay the Contractor, on a monthly basis, an amount equal to $30,357.25 for the General Fund areas, which includes $3,961 for the newly added areas and an amount equal to $6,175 for the Tustin Legacy parcels. 2. City shall pay the Contractor a sum not to exceed $364,287 annually for the General Fund areas, which includes $47,532 for the newly added areas and $74,100 annually for the Tustin Legacy parcels. D. Except as expressly amended by this Amendment, all other terms and conditions of the Agreement and all attachments and exhibits thereto, shall remain in full force and effect. IN WITNESS WHEREOF, the parties have hereunto set their hands and seals the year and date first above written. THE CITY OF TUSTIN BY: (Seal) Mayor of the City of Tustin ATTEST: City Clerk of the City Tustin APPROVED AS TO FORM City Attorney Date APPROVED AS TO CONTENT: Public Works Director Date CONTRACTOR Firm Name: SpectrumCare Landscape and Irrigation Management, Inc. (Seal) BY: John Hall TITLE: President ATTACH PROPER NOTARY ACKNOWLEDGEMENT FOR SIGNATURES OF AUTHORIZED PERSON (S)