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Home My WebLink About07 LANDSCP MAINT AGMT. 05-06-02 NO. 7 AGENDA REPORT I II I I I I I I II II I MAY 6, 2002 II 400-45 MEETING DATE: TO: FROM: SUBJECT: WILLIAM a. HUSTON, CITY MANAGER PUBLIC WORKS DEPARTMENT/ENGINEERING DIVISION CONTRACT AMENDMENT FOR LANDSCAPE MAINTENANCE SERVICES FOR THE GENERAL FUND AREAS WITH LANCO LANDSCAPE MANAGEMENT, INC. SUMMARY Approval of the second contract amendment with Lanco Landscape Management, Inc. will extend the agreement for landscape maintenance services for the General Fund areas for the period from July 1, 2002 to June 30, 2003, and will provide a price increase of 2.1%. The amendment also provides for the addition of the landscape and custodial maintenance services for the new Tustin Commuter Rail Station to the existing contract. RECOMMENDATION It is recommended that the City Council approve the second amendment to the contract agreement between Lanco Landscape Management and the City of Tustin for landscape maintenance services, subject to City Attorney approval. FISCAL IMPACT Adequate funds will be requested in the 2002/2003 Fiscal Year budget to cover the cost of the proposed 2.1% adjustment, as allowed through the existing contract in accordance with the Consumer Price Index. The proposed price increase of $613 per month for the additional maintenance services at the new Tustin Commuter Rail Station will be paid from the existing landscape maintenance account and reimbursed from the City's share of Motor Vehicle Registration Subvention Funds (AB2766) for the first two years. DISCUSSION The City has contracted with Lanco Landscape Management since July 1, 2000 for maintenance of all General Fund areas, including all center islands and specific City and Water Operations facilities. The original agreement was for a 1-year period with three 1-year extensions available to the City. This contract amendment would add the maintenance of the Tustin Commuter Rail Station to the existing contract agreement. The contractor will be compensated for this additional service by an amount equal to $613 per month for the period from May 1 through June 30, 2002. The contract amendment would also extend the agreement for the second time from July 1, 2002 through June 30, 2003 and would grant the contractor a negotiated 2.1% increase equal to the additional increase in Consumer Price Index effective July 1, 2002. The contractor will be compensated a sum not to exceed $154,772.88 for the period from July 1, 2002 through June 30, 2003 or $12,897.74 per month. Contract Amendment for Landscape Maintenance Services for the General Fund Areas with Lanco Landscape Management, Inc. Page 2 May 6, 2002 The additional landscape and custodial maintenance services are the result of the completion of the Tustin Commuter Rail Station Project. The project has been accepted by the City of Tustin and subsequently the City is now responsible for the overall maintenance including the maintenance of the newly landscaped areas. The new landscaped/hardscaped area is approximately 15,250 sq. ft. Funding for these services will be reimbursed to the General Fund from the City's share of Motor Vehicle Registration Subvention Funds (AB2766) during the first two years. Lanco Landscape Management has provided consistent service of a reasonably high quality over the last two years and has been very responsive in the correction of any service that was not up to City standards. The additional landscape and custodial services will have no effect on the Contractor's ability to continue to provide the quality and responsiveness the City has received previously. The implementation of the extension will allow the City to receive the same level of service. Tim D. Serlet Director of Public Works/City Engineer Wisam Altowaiji Field Services Manager TDS:WAS:ccg:Contract amend Landscape Maint. doc. SECOND AMENDMENT TO CONTRACT AGREEMENT THIS SECOND AMENDMENT is entered into this day of ,2002, by and between the City of Tustin, a Municipal Corporation (herein referred to as "City"), and Lanco Landscape 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 July 3, 2000, 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 one year, 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 August 20, 2001 and extended the Agreement until June 30, 2002; D. WHEREAS, City and Contractor desire to exercise the extension clause pursuant to Section D, Page D-2, Paragraph 4 "Length of Contract", Item B, to extend the Agreement for one year; E. WHEREAS, City and Contractor also desire to adjust Contractor's compensation under this Agreement to reflect a 2.1% increase, effective July 1, 2002 for the 2002/2003 fiscal year. This increase will reflect the rise in the Consumer Price Index for Los Angeles, Orange, and Riverside Counties, pursuant to Section D., Page D-3, Paragraph 2, Extension of the Terms of Contract"; F. WHEREAS, City and Contractor also desire to add the landscape maintenance and custodial services of the new Tustin Commuter Rail Station to the Agreement, and to adjust Contractor's compensation under the Agreement to reflect a negotiated price increase for that area. 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 areas effective May 1, 2002; 1. Tustin Commuter Rail Station B. The term of the Agreement is extended for one year, through June 30, 2003 unless sooner terminated pursuant to Section D, Page D-8, Item 6-5 of the Agreement. C.. City shall pay Contractor the following sums for the periods indicated: 1 1. From May 1, 2002 to June 30, 2002 City shall pay Contractor, on a monthly basis, an additional amount of $613 per month, which will bring the total monthly compensation amount to $12,645.07. 2. City shall pay contractor a sum not to exceed $1,226 for the additional landscape maintenance and custodial services for the period from May 1, 2002 to June 30, 2002. 3. From July 1, 2002 to June 30, 2003 City shall pay Contractor, on a monthly basis, an amount equal to $12,897.74. 4. City shall pay Contractor a sum not to exceed $154,772.88 for the period from July 1, 2002 to June 30, 2003. D. Except as expressly amended by this Second 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 (Seal) BY: Mayor of the City of Tustin , ATTEST: , City Clerk of the City of Tustin APPROVED AS TO FORM: City Attorney APPROVED AS TO CONTENT: Date Public Works Director (Seal) Date CONTRACTOR Firm Name: Lanco Landscape Management, Inc. BY: Marsha Lancaster TITLE: President ATTACH PROPER NOTARY ACKNOWLEDGMENT FOR SIGNATURES OF AUTHORIZED PERSON(S) 2