REPORT TO COUNCIL
SUBJECT
Title
Award of Contract for Soccer Instruction Classes and Camps (F18-237)
Report
REPORT IN BRIEF
Approval is requested to award a contract for Recreational Instructed Sports Programs and Camps to Kidz Love Soccer of Corte Madera, CA for a two-year period with an option to renew for one additional one-year period provided pricing and service remain acceptable to the City.
EXISTING POLICY
Pursuant to Chapter 2.08 of the Sunnyvale Municipal Code, contracts for this type of services are awarded pursuant to a Request for Proposals (RFP) best value process unless otherwise exempt from competitive bidding. Further, City Council approval is required for contracts exceeding $100,000.
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
As part of the course of providing recreation services, the City contracts with private firms to teach recreation classes and camps. The revenue generated by the program is shared between the City and the contracting firm. The City has successfully contracted with Kidz Love Soccer for many years and Kidz Love Soccer is familiar with the City’s program requirements.
A minimum of 4 and a maximum of 20 participants per class/camp are required and classes may be cancelled if the minimum is not met before the first class. The instructors are responsible for planning and conducting classes, providing all equipment, and seeking approval from the City on any marketing materials for posting. The City will handle all registration, provide facility space, marketing online, and marketing in the seasonal Activity Guide.
On October 26, 2017, RFQL No. F18-145 was released seeking professional services for Recreational Instructed Sports Programs. Kidz Love Soccer was one of seven vendors that responded. Their response provided information demonstrating their qualifications to teach soccer and the company is currently teaching for the City of Sunnyvale. In addition, they have met all City administration requirements. To supplement the current offerings the City has negotiated a contract with Kidz Love Soccer to provide soccer instruction.
FISCAL IMPACT
Customarily, the City establishes not-to-exceed amounts for the purchase of goods and services. As this is a shared revenue contract with a goal of increasing instructional offerings, a not-to-exceed limit does not apply. Kidz Love Soccer will be paid 68% of the resident registration fee per participant for all classes and camps, less refunds. The remaining 32% (and non-resident differential) will be retained by the City to offset administrative costs of providing facilities and equipment, promoting programs, registering participants, contract management and responding to customer inquiries. The initial contract term is for a two (2) year period, commencing from the date of execution through May of 2020, with an option to renew for an additional one (1) year provided pricing and service remain acceptable to the City.
Over the most recent two-year period for which complete data is available, the total fee revenue was $233,067, with approximately $158,486 going to the contractor and $74,581 retained by the City.
Funding Source
Recreational programs are funded by the General Fund.
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
1) Award a two-year contract to Kidz Love Soccer to provide instructional classes and camps, in substantially the same form as Attachment 1 of the staff report, and authorize the City Manager to execute the contract when all necessary conditions have been met; and 2) Authorize the City Manager to renew the contract for three additional one-year extensions, provided services and pricing remain acceptable to the City.
Staff
Prepared by: Gregory S. Card, Purchasing Officer
Reviewed by: Timothy J. Kirby, Director of Finance
Reviewed by: Cynthia E. Bojorquez, Director, Library & Community Services
Reviewed by: Teri Silva, Assistant City Manager
Approved by: Kent Steffens, City Manager
ATTACHMENTS
1. Draft Service Agreement