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HomeMy WebLinkAbout09 CONTRACT LANCO 05-21-01 NO. 9 AGENDA REPORT --- ........ .,/.i." / ". 400-45 ~ MEETING DATE: MAY 21, 2001 ~ TO: WILLIAM A. HUSTON, CITY MANAGER FROM: PUBLIC WORKS DEPARTMENT/FIELD SERVICES DIVISION SUBJECT: CONTRACT RENEWAL FOR LANDSCAPE MAINTENANCE SERVICES FOR GENERAL FUND AREAS WITH LANCO LANDSCAPE MANAGEMENT, INC. SUMMARY Approval of the first contract amendment with Lanco Landscape Management, Inc. extending the Agreement for Landscape Maintenance Services for General Fund areas for the period from July 1,2001 to June 30, 2002 and providing a price increase of 3%. RECOMMENDATION It is recommended that the City Council approve the first amendment to the contract Agreement between Lanco Landscape Management, Inc, and the City of Tustin for landscape maintenance services subject to City Attorney approval. FISCAL IMPACT The proposed 3% adjustment will increase the monthly contract price by $350.45 per month and increase the annual 12-month contract total amount to $144,384.84. This increase will be incorporated into the 2001-2002 Fiscal Year Budget. DISCUSSION The City has contracted with Lanco Landscape Management, Inc., since July 3, 2001 for the maintenance of all General Fund areas. The original agreement was for a 1-year period with three 1-year term extensions available to the City. This contract amendment would extend the agreement for the first time from July 1, 2001 to June 30, 2002, and would grant the contractor a 3% increase in monthly base price of the contract effective July 1, 2001. The Agreement allows for an adjustment of compensation based on the Consumer Price Index for Los Angeles, Riverside and Orange counties. The Consumer Price Index is at 3.6%. Lanco Landscape Management, Inc. has requested a 3% increase as a result of the mandatory increase in the California minimum wage. Lanco Landscape Management, Inc., has provided consistent service of a reasonably high quality over the last year and has been very responsive to the correction of maintenance issues when not up to City standards. The implementation of this extension will allow the Lanco Landscape Management, Inc. to continue to provide the quality and responsiveness the City has previously received.,.-,. Tim D. Serlet ~ Wisam AltowaJji Director of Public Works/City Engineer Field Services Manger TDS:WA:ccg:Contract renewal Lanco doc Attachment FIRST AMENDMENT TO CONTRACT AGREEMENT THIS FIRS'r AMENDMENT is entered into this da3: of__ __ __. 2001, by and between the City ofTustin, a Municipal Corporation (herein referred to as "City"), and I..anco Landscape Management, Inc., a Calitbrnia corporation, (herein referred to as "Contractor"). This Arnendment 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 "l.andscapc Maintenance Services for General Fund Areas"; B. WIIEREAS, the initial term of the Agreement was {)ne year, with the option to be extended for three additional one-year terms by xx. Titten agreement of the parties; C. 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 thc Agreement for one year; D. WHER.EAS, City and Contractor also desire to adjust Contractor's compensation under thc Agreement to reflect a negotiated 3% increase, which is less than the consumer price index for the counties of l,os Angeles, Orange and Riverside, pursuant to Section D, Page D-3, paragraph 6, "Extension of Terms of Contract". AGREEMENT The Agreernent is hereby amended as follows: A. The term of the Agreement is extended t'br one year, through June 30, 2002, unless sooner terminated pursuant to Section D, Page D-8, Item 6-5 of the Agreement. B. City shall pay the Contractor the lbllowing sums for the periods indicated: 1. From July 1,2001 to June 30, 2002, the City shall pay thc Contractor, on a monthly basis, an amount equal to S12,032.07. 2. City shall pay the Contractor a sum not to exceed S144,384.84, for the period from July 1, 2001 to June 30, 2002. C. Except as expressly amended by this First Amendment, all other terms and conditions of' the Agreement and all attachments and exhibits thereto, shall remain in full force and ef.fect. 1 1N 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 of Tustin APPI>~OVED AS TO FORM: City Attorney Date ,M~PROVED AS 1'O CONTENT: Public Works Director Date CONTIL. qc'roR Firm Name: Lanco Landscape Management, Inc (Seal) BY: Marsha L Lancaster TITI. E: President AriTACI[ PROPER NOT,M~.Y ACKNOWLEDGMENT FOR SIGNATURItS OF AUTHORIZED PERSON (S) 2