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HomeMy WebLinkAboutAGENDA REPORT 2022 0601 CCSA REG ITEM 10JCITY OF MOORPARK, CALIFORNIA City Council Meeting of June 1, 2022 ACTION APPROVED STAFF RECOMMENDATION. BY A. Hurtado. J. Consider Waiving the Informal Request for Approval Process and Approve Amendment No. 4 to Yunex LLC, for Streetlight Maintenance Services, Extending the Agreement to June 30, 2023, and Increasing the Not-to-Exceed Amount by $50,000. Staff Recommendation: Waive the informal RFP process and approve Amendment No. 4 with Yunex LLC, extending the Agreement to June 30, 2023, and increasing the not-to-exceed amount of $150,000 to $200,000, subject to final language approval of the City Manager. (Staff: Shaun Kroes, Public Works Manager) Item: 10.J. MOORPARK CITY COUNCIL AGENDA REPORT TO: Honorable City Council FROM: Shaun Kroes, Public Works Manager DATE: 06/01/2022 Regular Meeting SUBJECT: Consider Waiving the Informal Request for Approval Process and Approve Amendment No. 4 to Yunex LLC, for Streetlight Maintenance Services, Extending the Agreement to June 30, 2023, and Increasing the Not-to-Exceed Amount by $50,000 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. 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 streetlight 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 three pole knockdown replacements as of the time of this staff report. The initial Agreement with Siemens was for a one-year term (expiring June 30, 2020) and included two, one-year extension options upon mutual agreement. The City executed the first one-year renewal on June 12, 2020, with Amendment No. 1, and executed the second one-year renewal on June 30, 2021, which expires June 30, 2022. The Agreement was amended a third time (executed January 26, 2022) changing Siemens’ name to Yunex LLC (Yunex). Yunex’s second one-year extension increased the Agreement’s total not-to-exceed amount to $150,000. As of March 30, 2022, (the last processing of invoices at the time of writing of this staff report) total expenditures have been $114,356.46, with $35,643.54 remaining. Item: 10.J. 490 Honorable City Council 06/01/2022 Regular Meeting Page 2 The Yunex Agreement does not include additional built-in extensions; however, staff is requesting that City Council consider extending the Agreement by an additional year (to June 30, 2023) and increase the total not-to-exceed amount an additional $50,000. The total proposed not-to-exceed amount for the Agreement would be $200,000, which is within the limit to waive informal bidding or proposal/qualification process per Resolution No. 2019-3829. Yunex has performed well for the past three years and City staff is recommending to continue Yunex’s service for an additional year. The additional year of service will also provide staff time to put together a formal Request for Proposal (RFP) for combined streetlight maintenance and traffic signal maintenance services during FY 2022/23. City staff inquired with Yunex to confirm if they were interested in continuing services. Yunex was amenable to continue to provide their service and submitted a proposed rate increase of 5.00%. Based upon the Consumer Price Index (CPI) increase of 7.87% (comparing April 2022 to April 2021), City staff finds the 5.00% rate increase to be fair. 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 had a not-to-exceed limit of $50,000. Amendment No. 1 and Amendment No. 2 increased the total not-to-exceed limit by an additional $50,000 each year for a total not-to-exceed amount of $150,000. Amendment No. 1 also enabled the City Manager to authorize an additional $5,000 in work if necessary. Staff is proposing to eliminate the $5,000 of additional work in order to maintain a total not-to-exceed limit of $200,000. Based on prior and current year expenditures, staff anticipates that the $200,000 limit will be more than sufficient. COUNCIL GOAL COMPLIANCE This action does not support a current strategic directive. STAFF RECOMMENDATION Waive the informal RFP process and approve Amendment No. 4 with Yunex LLC, extending the Agreement to June 30, 2023, and increasing the not-to-exceed amount of $150,000 to $200,000, subject to final language approval of the City Manager. Attachment: Draft Amendment No. 4 to Yunex LLC Agreement 491 ATTACHMENT AMENDMENT NO. 4 AGREEMENT FOR STREETLIGHT MAINTENANCE SERVICES This Amendment No. 4 to the Agreement between the City of Moorpark, a municipal corporation (“City”), and Yunex LLC, a limited liability company (“Contractor”), for streetlight maintenance services (“Agreement”), is made and entered into on ___________________________. RECITALS WHEREAS, on July 16, 2019, the City and Contractor entered into an Agreement to have the Contractor provide streetlight maintenance services; and WHEREAS, on June 12, 2020, the City and Contractor executed Amendment No. 1 to the Agreement, extending the term of the Agreement from June 30, 2020 to June 30, 2021 and increased the compensation for services to be performed by Contractor from fifty thousand dollars ($50,000.00) to one hundred thousand dollars ($100,000.00); and WHEREAS, on June 30, 2021, the City and Contractor executed Amendment No.2 to the Agreement, extending the term of the Agreement from June 30, 2021 to June 30, 2022 and increased the compensation for services to be performed by Contractor from one hundred thousand dollars ($100,000) to one hundred fifty thousand dollars ($150,000); and WHEREAS, January 26, 2022, the City and Contractor executed Amendment No. 3 to the Agreement, changing Contractor’s name from Siemens Mobility, Inc. to Yunex LLC; and WHEREAS, the City and Contractor now desire to amend the Agreement for an additional period; and WHEREAS, Contractor has submitted revised pricing, dated May 17, 2022 (Exhibit F); and WHEREAS, the City and Contractor now desire to amend the Agreement to increase the compensation for services to be performed by Contractor from one hundred fifty thousand dollars ($150,000.00) by a value of fifty thousand dollars ($50,000.00) for a total contract value of two hundred thousand dollars ($200,000.00), and document said agreement to amend by jointly approving Amendment No. 4 to the Agreement; and 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: 492 Amendment No. 4 to Agreement between City of Moorpark and Yunex LLC. Page 2 “The term of this Agreement shall be from the date of execution to June 30, 2023.” 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, Exhibit D, and Exhibit F. Compensation shall not exceed the rates or total contract value of two hundred thousand dollars ($200,000.00) as stated in Exhibit C, Exhibit D, and Exhibit F, 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 C, Exhibit D, and Exhibit F, based upon actual time spent on the above tasks. This amount shall not exceed two hundred thousand dollars ($200,000.00) 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.” IV.Remaining Provisions: Except as revised by this Amendment No. 4, 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. 493 Amendment No. 4 to Agreement between City of Moorpark and Yunex LLC. Page 3 CITY OF MOORPARK YUNEX LLC. _______________________________ _______________________________ Troy Brown, City Manager Michael Hutchens, Operations Manager Attest: _______________________________ _______________________________ Ky Spangler, City Clerk Joshua Ferras, Service Account Manager 494 Page 1 of 1 Yunex LLC 1026 E. Lacy Ave Anaheim, CA 92805 714.284.0206 714.284.1150 Fax https://yunextraffic.com May 17, 2022 Shaun Kroes Public Works Manager City of Moorpark 799 Moorpark Ave Moorpark, CA 93021 Subject: FY2022/2023 Streetlight Maintenance Contract Extension Dear Mr. Kroes, This letter shall serve as our official request for a contract rate increase of 5% pursuant to the Consumer Price Index for the Los Angeles/Long Beach/Anaheim area. A copy of the report is attached for reference. With this increase, Yunex LLC will continue providing Traffic Signal maintenance services as per the terms and conditions of the existing agreement (“Agreement between the City of Moorpark and Siemens Mobility, Inc. for Streetlight Maintenance Services” Dated July 19th, 2019) between Yunex LLC and the City of Moorpark for an additional year (July 1st 2022 to June 30th 2023). An updated rate sheet is also attached for your reference. We feel we have completed another successful and mutually beneficial year with the City of Moorpark. We thank you for your business and we are looking forward to continuing servicing your needs. Please feel free to contact me if you have any questions or concerns. Sincerely, Yunex LLC Joshua Ferras Joshua Ferras Service Account Manager EXHIBIT E 495 Pricing UNITS COST TOTAL PER FIXTURE/MO $0.85 $2,057.49 PER FIXTURE/MO $1.66 TBD LUMP SUM/MO $0.00 $0.00 PER FIXTURE $112.68 LUMP SUM/QTRLY $853.11 $3,412.44 Hourly Rate - Normal $126.63 Hourly Rate - Normal $134.14 Hourly Rate - Normal $106.24 Hourly Rate - Overtime $160.97 Hourly Rate - Overtime $171.69 Hourly Rate - Overtime $151.31 Hourly Rate - Premium Time $195.30 Hourly Rate - Premium Time $209.25 Hourly Rate - Premium Time $151.31 DESCRIPTION UNITS TOTAL Hourly Rate $26.83 Hourly Rate $32.19 Hourly Rate $59.02 DESCRIPTION Percent Mark-Up over Suppliers Invoice Material Mark-Up 15% % Quarterly Streetlight Operation Review (night check) Maintenance -(outside contractor's 1 year warranty) not regular maintenance Streetlight Maintenance Worker Foreman Laborer OPERATIONS AND MAINTENANCE DESCRIPTION Routine Maintenance (LED) Call center Install House Side Shields (material & labor) Routine Maintenance (HPS) Maintenance -(outside contractor's 1 year warranty) not regular maintenance Streetlight Maintenance Worker Foreman Laborer Maintenance -(outside contractor's 1 year warranty) not regular maintenance Streetlight Maintenance Worker Foreman Laborer Maintenance -(outside contractor's 1 year warranty) not regular maintenance Service Truck Bucket Truck Crane Truck Additional Pricing 496 For Release: Wednesday, May 11, 2022 22-868-SAN WESTERN INFORMATION OFFICE: San Francisco, Calif. Technical information:(415) 625-2270 BLSinfoSF@bls.gov www.bls.gov/regions/west Media contact:(415) 625-2270 Consumer Price Index, Los Angeles area — April 2022 Area prices were up 0.5 percent over the past month, up 7.9 percent from a year ago Prices in the Los Angeles area, as measured by the Consumer Price Index for All Urban Consumers (CPI-U), advanced 0.5 percent in April, the U.S. Bureau of Labor Statistics reported today. (See table A.) Regional Commissioner Chris Rosenlund noted that the April increase was influenced by higher prices for shelter and new and used motor vehicles. (Data in this report are not seasonally adjusted. Accordingly, month-to-month changes may reflect seasonal influences.) Over the last 12 months, the CPI-U rose 7.9 percent. (See chart 1 and table A.) Food prices advanced 7.5 percent. Energy prices jumped 34.2 percent, largely the result of an increase in the price of gasoline. The index for all items less food and energy increased 5.8 percent over the year. (See table 1.) 497 2 Food Food prices rose 0.4 percent for the month of April. (See table 1.) Prices for food at home edged up 0.1 percent over the month as three categories rose, and three categories declined. Food away from home advanced 0.6 percent. Over the year, food prices advanced 7.5 percent. Prices for food at home increased 9.5 percent since a year ago, led by an 11.7 percent increase for fruits and vegetables. Prices for food away from home increased 5.2 percent. Energy The energy index was unchanged over the month. Decreases in electricity prices (-2.7 percent) and natural gas prices (-1.7 percent) were countered by higher gasoline prices (1.2 percent). Energy prices jumped 34.2 percent over the year, largely due to higher prices for gasoline (46.2 percent). Prices paid for natural gas service rose 25.1 percent, and prices for electricity advanced 14.0 percent during the past year. All items less food and energy The index for all items less food and energy rose 0.6 percent in April. Higher prices for new and used motor vehicles (2.3 percent), medical care (0.7 percent), and shelter (0.6 percent) were partially offset by lower prices for household furnishings and operations (-3.4 percent) and apparel (-2.9 percent). Over the year, the index for all items less food and energy increased 5.8 percent. Components contributing to the increase were new and used motor vehicles (15.1 percent), medical care (6.5 percent), and shelter (4.4 percent). The May 2022 Consumer Price Index for the Los Angeles area is scheduled to be released on June 10, 2022. Table A. Los Angeles-Long Beach-Anaheim, CA, CPI-U 1-month and 12-month percent changes, all items index, not seasonally adjusted Month 2018 2019 2020 2021 2022 1-month 12- month 1-month 12- month 1-month 12- month 1-month 12- month 1-month 12- month January .................................................... 0.8  3.5  0.7  3.2  0.8  3.1  0.2  0.9  1.1  7.5 February .................................................. 0.7  3.6  0.1  2.5  0.3  3.4  0.4  1.0  0.3  7.4 March ...................................................... 0.4  3.8  0.6  2.7  0.7  1.9  0.5  2.2  1.5  8.5 April ......................................................... 0.4  4.0  1.0  3.3 -0.3  0.7  1.1  3.6  0.5  7.9 May .......................................................... 0.4  4.1  0.2  3.1 0.4  0.9  0.6  3.9 June .........................................................-0.2  4.0  0.0  3.3 0.5  1.4  0.6  4.0 July ..........................................................0.2  3.9  0.1  3.3 0.6  1.9  0.6  3.9 August .....................................................0.2  3.9  0.0  3.0 0.1  2.0  0.2  4.0 September ...............................................0.5  3.9  0.5  3.0 -0.3  1.2  0.3  4.6 October ....................................................0.5  4.1  0.7  3.2 0.2  0.7  0.9  5.4 November ................................................-0.3  3.6 -0.3  3.2 0.1  1.0  0.6  6.0 December ................................................-0.3  3.2 -0.6  3.0 -0.2  1.5  0.4  6.6 498