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12-07-2010 - Award of Bid for Citywide Landscape Maintenance of - Item No. 4 (2).docCity of West Covina Memorandum A G E N D A TO: Andrew G. Pasmant, City Manager ITEM NO. 4 DATE December 7, 2010 and City Council FROM: Shannon A. Yauchzee, Director/City Engineer Public Works Department SUBJECT: AWARD OF BID FOR CITYWIDE LANDSCAPE MAINTENANCE OF MEDIANS, RIGHT OF WAYS, COMMERCIAL ZONES, SIDEWALKS, TREE WELLS, AND OTHER AREAS RECOMMENDATION: It is recommended that the City Council accept Option 1 proposal of Mariposa Landscape in the amount of $906,520.00 for a 5-year contract, as submitted at the bid opening on October 19, 2010, and authorize the Public Works Director/City Engineer to execute such contract with Mariposa Landscape of Irwindale, California for Landscape Maintenance of Citywide medians, right-of-ways, commercial zones, sidewalks, tree wells, and other areas. DISCUSSION: The City of West Covina landscape maintenance contract consists of 104 medians and right-of-ways, 21 tree wells, 13 commercial zones, and 15 freeway right-of-ways, overpass, and underpass areas. In November 1999, the City Council awarded Mariposa Landscape with a five-year contract for the landscape maintenance of Citywide medians, right-of-ways, commercial zones, sidewalks, tree wells, and other areas. Then, on February 1, 2005, the City Council extended the five-year contract with no increase in the contract amount. In an effort to reduce costs, on July 12, 2010, City staff re-bid this landscape maintenance contract. During the duration of the bidding process, staff retained the landscape maintenance services of Mariposa Landscape on a month-to-month basis. A legal ad was placed in the San Gabriel Valley Tribune on September 27, 2010, and on the City of West Covina website on September 23, 2010. Requests for Proposals and specifications were mailed to 32 contractors. Seventeen contractors attended the mandatory vendor’s conference on October 5, 2010. On October 19, 2010, six (6) bids were received and opened in the Management Resource Center, at City Hall. The following is a summary of the bids received. Option 1 – Full Scope of Services No. Contractor City Annual Price Total Five-Year Contract Price  1. Mariposa Landscape Irwindale $181,304.00 $906,520.00  2. Merchants Landscape Rancho Cucamonga $210,300.00 $1,051,500.00  3. Marina Landscape Anaheim $212,026.00 $1,060,130.00  4. Midori Gardens Santa Ana $235,733.96 $1,178,669.80  5. Spectrum Companies Foothill Ranch $248,600.00 $1,243,000.00  6. Azteca Landscape Ontario $343,549.32 $1,717,746.60  7. Valley Crest Landscape Irwindale $435,720.00 $2,178,600.00   Option 2 – Itemized Potential Reduced Scope of Service No. Contractor City Annual Price Total Five-Year Contract Price  1. Spectrum Companies Foothill Ranch $207,876.00 $1,039,380.00  2. Midori Landscape Santa Ana $218,562.16 $1,092,810.80  3. Mariposa Landscape Irwindale $225,420.00 $1,127,100.00  4. Marina Landscape Santa Ana $234,438.00 $1,172,190.00  5. Merchants Landscape Rancho Cucamonga $264,300.00 $1,321,500.00  6. Azteca Landscape Ontario $361,157.12 $1,805,785.60  7. Valley Crest Landscape Irwindale $451,000.00 $2,225,000.00   Andrew G. Pasmant, City Manager and City Council Page 2 – December 7, 2010 ALTERNATIVES: The recommended alternative is to accept Option 1 bid of Mariposa Landscape in the amount of $906,520.00 over five-years. This is approximately a 12.78% decrease from the current contract amount of $1,039,380.00. Accept the low bid in Option 2 from Spectrum Companies of Foothill Ranch. Although Option 2 allows for some additional flexibility in reducing service levels, all bids received were much higher than those submitted for Option 1. This Option 2 bid would be an annual increase of $26,572 over the low bid of Mariposa Landscape’s Option 1 bid. Reject all bids and re-advertise. Since numerous bids were received, it is unlikely that seeking new bids would reduce costs any further. FISCAL IMPACT: Staff bid the contract for landscape maintenance of medians, right-of-ways, commercial zones, sidewalks, tree wells, and other areas with two options. Option 1 reflects the current service level and Option 2 itemizes potential service reductions. Itemizing service reductions allows staff to eliminate/change service levels to reduce costs, if necessary, during the duration of the service contract. However, with the option to reduce service levels, most bidders increased their bids from 10% to 20%. The 5-year (60-month) contract with Mariposa Landscape for landscape maintenance services is $906,520.00 ($181,304.00 annually) commencing January 1, 2011. This is a significant decrease from the current Mariposa contract of $1,039,380.00. There are sufficient funds available in the operating budget Account No. 110.41.4144.6135 for this contract. Additionally, since these services are totally funded from General Funds, the new contract with Mariposa Landscape will provide a savings of $132,860 (13%) to this General Funds line item as well as maintain the current level of landscape maintenance services. Prepared by: Carl Blair Reviewed/Approved by: Shannon A. Yauchzee Acting Maintenance Operations Manager Director/City Engineer Reviewed/Approved by: Finance