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Home My WebLink AboutAGENDA REPORT 2020 0603 REG CCSA ITEM 10DCITY OF MOORPARK,  CALIFORNIA City Council Meeting of June 03, 2020 ACTION Approved staff recommendation. BY B.Garza. D. Consider Amendment No. 1 to Siemens Mobility Inc., for Streetlight Maintenance Services. Staff Recommendation: 1) Authorize the City Manager to sign Amendment No. 1 to the Agreement with Siemens Mobility, Inc., extending the term of the Agreement from June 30, 2020 to June 30, 2021, increasing the not- to-exceed amount of $50,000 to $100,000, subject to final language approval of the City Manager; and 2) Authorize the City Manager to amend the Agreement by $5,000 upon City Manager’s discretion. (Staff: Shaun Kroes) Item: 10.D. MOORPARK CITY COUNCIL AGENDA REPORT TO: Honorable City Council FROM: Shaun Kroes, Program Manager DATE: 06/03/2020 Regular Meeting SUBJECT: Consider Amendment No. 1 to Siemens Mobility Inc., for Streetlight Maintenance Services BACKGROUND AND DISCUSSION On July 16, 2019, the City executed an Agreement with Siemens Mobility Inc. (Siemens), for maintenance services of approximately 2,229 streetlights that the City was in the process of acquiring from Southern California Edison. Acquisition of the majority of the poles occurred September 19, 2019, and Siemens’ service began on that day. Siemens provides the necessary equipment, personnel and infrastructure to maintain the City-owned streetlights. Some of the services/features of the Agreement include providing a 24/7 call center, bucket trucks and crane lift. Siemens also stocks necessary equipment and replacement parts to ensure the timely repair of streetlights that may experience technical problems or are damaged by vehicles, such as knockdowns. When Siemens responds to knockdowns, their initial response is to secure the area, de- energize the street light and remove any fallen debris and clean the area. Siemens then provides City staff with a quote for pole repair and provides repair services upon City approval. Since execution of the Agreement, Siemens has performed one pole knockdown replacement as of the time of this staff report. Siemens’ Agreement expires June 30, 2020, but includes the option of two, one-year extensions if approved by City Council. Siemens has the ability to propose new pricing during the Agreement renewal but has determined to keep its 2019 pricing schedule. The per fixture/pole/month rate for routine maintenance will remain $1.55 per month for high pressure sodium (HPS) lights and $0.79 per month for light-emitting diode (LED) lights. For fiscal year (FY) 2019/20, the monthly rate for routine maintenance has been $3,454.95 based on 2,229 light poles with HPS lights. Routine maintenance also includes quarterly streetlight operation review (performed at night) at a cost of $795.00 per quarter. Item: 10.D. 608 Honorable City Council 06/03/2020 Regular Meeting Page 2 Staff originally expected the conversion of HPS to LED lights to occur within the first two months of acquisition of the streetlights; however, selection of the LED fixture took longer than expected as the City extended the length of time that sample LED fixtures were under display for evaluation. An additional fixture was added (increasing the total number of models from 3 to 4). A fixture comparison document was provided to the City January 13, 2020, and after a follow-up meeting with Siemens staff, a revised fixture selection was submitted on January 22, 2020. During February 2020 the City worked with Siemens to select a pole tag design. During the last two weeks of February, Siemens updated their supplier quotes and prepared the fixture selection document as well as initiated pole tag orders. The final fixture design agreement was signed by the City on March 5, 2020, which laid out the final fixture selection for procurement. During Siemens’ purchase order process, suppliers began to warn Siemens of potential delivery delays due to COVID-19 and ultimately Siemens’ supplier confirmed lead times were running longer than expected due to closures at manufacturing plants. During the first week of April, Siemens was informed that the Leotek facility (fixture manufacturer) had been shut down. At the time of the drafting of this staff report, Siemens reported the majority of the required materials will be ready for shipping May 26, with delivery in Moorpark May 27. Conversion of the majority of the streetlights to LED is expected to take place beginning the week of June 8, 2020. The City is also in the process of evaluating a specialized LED fixture for the decorative lights on High Street. After a model fixture is demonstrated, those fixtures will be ordered and installed as well. FISCAL IMPACT Streetlight maintenance services are funded with the Citywide Lighting and Landscaping Fund (2300), through expense line 2300-312-P0006-51210. The original Agreement has a not-to-exceed limit of $50,000. Staff is projecting a FY 2019/20 expenditure of approximately $43,000. This is due to HPS lights remaining in place during the term of the first year of service and a pole knockdown. Staff is proposing to increase Siemens’ total not-to-exceed Agreement amount by an additional $50,000; for a total not-to-exceed of $100,000. The Agreement also included a clause stating that the City Manager can amend the Agreement to increase the not-to- exceed amount by 10% (or $5,000) if authorized by the City Council. Staff is proposing to adjust the language to authorize the City Manager to amend the Agreement by an additional $5,000 (instead of 10%). COUNCIL GOAL COMPLIANCE This action does not support a current strategic directive. 609 Honorable City Council 06/03/2020 Regular Meeting Page 3 STAFF RECOMMENDATION 1. Authorize the City Manager to sign Amendment No. 1 to the Agreement with Siemens Mobility, Inc., extending the term of the Agreement from June 30, 2020 to June 30, 2021, increasing the not-to-exceed amount of $50,000 to $100,000, subject to final language approval of the City Manager; and 2. Authorize the City Manager to amend the Agreement by $5,000 upon City Manager’s discretion. Attachment: Siemens Mobility Inc Amendment No. 1 610 ATTACHMENT AMENDMENT NO. 1 AGREEMENT BETWEEN THE CITY OF MOORPARK AND SIEMENS MOBILITY, INC., FOR STREETLIGHT MAINTENANCE SERVICES This Amendment No. 1 to the Agreement between the City of Moorpark, a municipal corporation (“City”), and Siemens Mobility, Inc., a corporation (“Contractor”), for streetlight maintenance services (“Agreement”), is made and entered into on this ___ day of ____________________, 202__. RECITALS WHEREAS, on July 16, 2019, the City and Contractor entered into an Agreement to have the Contractor provide streetlight maintenance services; and WHEREAS, the City and Contractor now desire to amend the Agreement for an additional period; and WHEREAS, the City and Contractor now desire to amend the Agreement to increase the compensation for services to be performed by Contractor from fifty thousand dollars ($50,000.00) by a value of fifty thousand dollars ($50,000.00) for a total contract value of one hundred thousand dollars ($100,000.00), and document said agreement to amend by jointly approving Amendment No. 1 to the Agreement. NOW, THEREFORE, it is mutually agreed by and between the parties to the Agreement as follows: I.Section 1, TERM, is amended by replacing this section in its entirety as follows: “The term of this Agreement shall be from the date of execution to June 30, 2021. The Agreement may be extended for an additional one- year extension option upon mutual agreement. City shall provide a minimum of ninety (90) days written notice in advance of current Agreement expiration date of intent to exercise the option. Rates and terms of extension shall be negotiated and approved by City Council.” II.Section 2, SCOPE OF SERVICES, is amended by replacing paragraph three (3) of the section in its entirety as follows: “Compensation for the services to be performed by Contractor shall be in accordance with Exhibit C. Compensation shall not exceed the rates or total contract value of one hundred thousand dollars ($100,000.00) as stated in Exhibit C, without a written amendment to the agreement executed by both parties. Payment by City to Contractor shall be in accordance with the provisions of this Agreement.” III.Section 5, PAYMENT, is amended by replacing paragraphs two (2) and three (3) of the section in their entirety as follows: “The City agrees to pay Contractor monthly, in accordance with the payment rates and terms and schedule of payment as set forth in Exhibit 611 Amendment No. 1 to Agreement between City of Moorpark and Siemens Mobility, Inc. Page 2 C, based upon actual time spent on the above tasks. This amount shall not exceed one hundred thousand dollars ($100,000.00) for the total term of the Agreement unless additional payment is approved as provided in this Agreement. Contractor shall not be compensated for any services rendered in connection with its performance of this Agreement, unless such additional services and compensation are authorized, in advance, in a written amendment to the agreement executed by both parties. The City Manager, if authorized by City Council, may approve additional work not to exceed five thousand dollars ($5,000.00).” IV. Remaining Provisions: Except as revised by this Amendment No. 1, all of the provisions of the Agreement shall remain in full force and effect. In Witness Whereof, the parties hereto have caused this Amendment to be executed the day and year first above written. CITY OF MOORPARK SIEMENS MOBILITY, INC. _______________________________ _______________________________ Troy Brown City Manager Steven Teal Director of Services _______________________________ Michael Hutchens Operations Manager Attest: _______________________________ Ky Spangler City Clerk 612