REPORT TO COUNCIL
SUBJECT
Title
Modify an Existing Contract for Street Tree Maintenance Services
Report
REPORT IN BRIEF
Approval is requested to amend an existing 30-month contract with West Coast Arborists by increasing the maximum dollar amount by $438,000, from $1,221,175 to $1,659,175. Available funding for this amendment is budgeted in operating program 219 (Street Tree Services).
BACKGROUND AND DISCUSSION
Starting in 2001, tree trimming cycles had been growing, reaching a high of twelve and a half years in 2010. The FY 2012/13 Adopted Budget included restoration of a seven-year cycle for structural pruning of the City's 37,000 street trees. In January 2013, Council awarded a 30-month contract in the amount of $1,221,175 to West Coast Arborists (RTC 13-011), to provide for contracted street tree maintenance services. The contract encompasses two and one-half fiscal years, through FY 2014/15, and was set based on estimates at the time to restore the seven-year structural pruning cycle.
In FY 2013/14, the City was able to utilize the contractor to provide preventive maintenance pruning to over 12,000 street trees. This set a pace that, if continued, will allow the City to restore pruning back to a seven year cycle. As the work done under this contract was completed at an accelerated pace, expenditures exceeded the contract limit. While within the program's budget, the contract amount needs to be amended to reflect the current work. Staff recommends that the contract maximum be increased by $438,000 through the term ending June 30, 2015, which will cover pruning work already incurred of $187,873, as well as work anticipated through the end of FY 2014/15. To avoid any future expenditures outside of approved contract funds, Parks staff is implementing an internal process that requires closely monitoring each encumbrance and comparing expenses to the budget and contract amount.
ENVIRONMENTAL REVIEW
N/A
FISCAL IMPACT
The proposed contract amendment will utilize available FY 2014/15 budgeted funding in operating program 219 (Street Tree Services) for street tree and related pruning work.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, at the Sunnyvale Senior Center, Community Center and Department of Public Safety; and by making the agenda and report available at the Sunnyvale Public Library, the Office of the City Clerk and on the City's website.
RECOMMENDATION
Recommendation
Approve a modification to the existing Blanket Purchase Order with West Coast Arborists Contract for Street Tree Maintenance Services, in substantially the same form as the Draft Change Order attached to the report, by increasing the not-to-exceed value from $1,221,175 to $1,659,175.
Staff
Prepared by: Pete Gonda, Purchasing Officer
Reviewed by: Grace K. Leung, Director, Finance
Reviewed by: Manuel Pineda, Director, Public Works
Reviewed by: Robert A. Walker, Assistant City Manager
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Draft Change Order to Blanket Purchase Order