REPORT TO COUNCIL
SUBJECT
Title
Amend an Existing Contract for Janitorial Services (F17-014)
Report
REPORT IN BRIEF
Approval is requested to amend the existing six-year janitorial contract (from February 1, 2012 through March 31, 2018) with Sunnyvale Building Maintenance (SBM), increasing the not to exceed value from $2,093,473 to $2,200,974, and to authorize the City Manager to increase the contract amount if operationally necessary subject to budget appropriation limits.
The increase is necessary due to ongoing fiscal impacts associated with the adoption of the Minimum Wage Ordinance, additional incremental services for the Library, the new Fire Station No. 5 (identified in the FY 2016/17 Budget) and ad hoc events where janitorial services may be necessary.
EXISTING POLICY
Pursuant to Chapter 2.08 of the Sunnyvale Municipal Code, transactions greater than $100,000 require Council approval.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a "project" within the meaning of the California Environmental Quality Act ("CEQA") pursuant to CEQA Guidelines section 15378(a) as it has no potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.
BACKGROUND AND DISCUSSION
In 2014, the City Council adopted a Minimum Wage Ordinance to establish a minimum hourly wage in Sunnyvale of $10.30 beginning on January 1, 2015. In 2016, the Ordinance was amended to increase the minimum wage in phases to $15 per hour by January 1, 2018, with annual cost of living increases beginning in 2019. On July 1, 2016, the minimum wage increased to $11 per hour. On January 1, 2017, the wage increased to $13 and on January 1, 2018, the minimum wage is scheduled to increase to $15 per hour.
The current six-year contract with Sunnyvale Building Maintenance (SBM) for janitorial services was awarded in 2012 and modified in 2013 (RTC Nos. 12-008, 13-007 and 13-057). The cost adjus...
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