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HomeMy WebLinkAboutAGENDA REPORT 2022 0601 CCSA REG ITEM 10KCITY OF MOORPARK, CALIFORNIA City Council Meeting of June 1, 2022 ACTION APPROVED STAFF RECOMMENDATION. BY A. Hurtado. K. Consider Amendment No. 8 to Yunex LLC for Traffic Signal Maintenance Services, Increasing Rates by 5.00% and Increasing the Annual Not-to-Exceed amount from $65,000 to $70,000. Staff Recommendation: Authorize the City Manager to sign Amendment No. 8 to the Agreement with Yunex LLC., increasing rates for service by 5.00% and increasing the annual not-to-exceed limit from $65,000 to $70,000, subject to final language approval of the City Manager. (Staff: Shaun Kroes, Public Works Manager) Item: 10.K. MOORPARK CITY COUNCIL AGENDA REPORT TO: Honorable City Council FROM: Shaun Kroes, Public Works Manager DATE: 06/01/2022 Regular Meeting SUBJECT: Consider Amendment No. 8 to Yunex LLC for Traffic Signal Maintenance Services, Increasing Rates by 5.00% and Increasing the Annual Not-to-Exceed amount from $65,000 to $70,000 BACKGROUND On November 1, 2004, the City executed an Agreement with Yunex LLC (Yunex) (formerly Siemens Mobility Inc., Siemens Industry, Inc. and Republic Electric, Inc.), for traffic signal maintenance services (Agreement). Since that time, the Agreement has been amended several times; summarized below: Amendment No. Date Executed Summary of Changes 1 January 29, 2013 Name change from Republic Electric, Inc. to Siemens Industry, Inc. 2 October 28, 2016 Established an annual not-to-exceed amount of $65,000 and established an annual rate increase limitation of no more than 5.00%. 3 June 20, 2017 Established an annual conflict monitoring service fee of $1,700 (Agreement’s total not-to-exceed amount of $65,000 remain unchanged). 4 September 10, 2018 Name change from Siemens Industry, Inc. to Siemens Mobility, Inc. 5 October 24, 2018 Permits Siemens to store a bucket truck at the Moorpark Public Services Facility (if needed) and adds a $1.00/month storage fee when storage occurs. 6 June 30, 2021 Adjusted various rates and added prevailing wage language. 7 January 26, 2022 Name change from Siemens Industry, Inc. to Yunex LLC. Item: 10.K. 499 Honorable City Council 06/01/2022 Regular Meeting Page 2 DISCUSSION City Council approved a fee increase of 2.2% for fiscal year (FY) 2021/22. Prior to that, Yunex had not submitted a requested rate increase since 2016. Yunex is permitted to propose rate increases based on the Consumer Price Index (CPI) (All Urban Consumers; Los Angeles-Riverside-Orange County). It should be noted that the U.S. Bureau of Labor Statistics has updated its Geographic Index and replaced the Los Angeles-Riverside- Orange County with Los Angeles-Long Beach-Anaheim. The CPI increased 7.87% (April 2022 compared to April 2021). The current Agreement establishes a not-to-exceed 5.00% limit for rate increases. Anything over 5.00% requires approval of City Council; however, Yunex has requested to limit the rate increase to 5.00% instead of 7.87%, which staff agrees is acceptable. During FY 2021/22, an additional amount of extraordinary service has occurred, due to the need for additional backup batteries and replacement of damaged signal controller parts. Consequently, staff is requesting that the annual not-to-exceed amount of $65,000 be increased to $70,000. FISCAL IMPACT Traffic signal maintenance services are funded with the Gas Tax Fund (2415) through expense line 2415-311-00000-51210. The current Agreement’s not-to-exceed limit of $65,000 per year is requested to be increased to $70,000, effective for the FY 2021/22 Budget and additional fiscal years. There is sufficient funding in the expense line for the increase. COUNCIL GOAL COMPLIANCE This action does not support a current strategic directive. STAFF RECOMMENDATION Authorize the City Manager to sign Amendment No. 8 to the Agreement with Yunex LLC., increasing rates for service by 5.00% and increasing the annual not-to-exceed limit from $65,000 to $70,000, subject to final language approval of the City Manager. Attachment: Draft Amendment No. 8 to Yunex LLC Agreement 500 ATTACHMENT AMENDMENT NO. 8 AGREEMENT FOR TRAFFIC SIGNAL MAINTENANCE SERVICES This Amendment No. 8 to the Agreement between the City of Moorpark, a municipal corporation (“City”), and Yunex LLC, a limited liability company (“Contractor”), for traffic signal maintenance services (“Agreement”), is made and entered into on _______________________. RECITALS WHEREAS, on November 1, 2004, the City and Contractor entered into an Agreement to have the Contractor provide certain traffic signal maintenance services; and WHEREAS, on July 1, 2010, the Agreement was extended to a year to year basis per the Term of the Agreement; and WHEREAS, on January 29, 2013, Amendment No. 1 to the Agreement was executed, changing Contractor’s name from Republic Electric, Inc. to Siemens Industry, Inc.; and WHEREAS, on October 28, 2016, Amendment No. 2 to the Agreement was executed, establishing an annual not-to-exceed amount of sixty-five thousand dollars ($65,000.00), updating the Term of Agreement language to reflect the Agreement continuing until terminated, and updating the annual cost-of-living formula with a lower maximum annual exceedance percentage of five percent (5%); and WHEREAS, on June 20, 2017, Amendment No. 3 to the Agreement was executed, establishing a fee in the amount of one thousand seven hundred dollars ($1,700.00) for annual conflict monitoring testing, updating the Schedule of Rates and Charges, effective July 1, 2017; and WHEREAS, on September 10, 2018, Amendment No. 4 to the Agreement was executed, changing Contractor’s name from Siemens Industry, Inc. to Siemens Mobility, Inc.; and WHEREAS, on October 24, 2018, Amendment No. 5 to the Agreement was executed, permitting Contractor to store one (1) Ford F-450 bucket truck vehicle at the City’s Moorpark Public Services Facility located at 627 Fitch Avenue for a storage payment fee in the amount of one dollar ($1.00) per month; and WHEREAS, on June 30, 2021, Amendment No. 6 to the Agreement was executed, adding references to California Labor Code Section 1720(a)(1) and increasing rates by 2.2%; and WHEREAS, on January 26, 2022, Amendment No. 7 to the Agreement was executed, changing Contractor’s name from Siemens Mobility, Inc. to Yunex LLC; and WHEREAS, the Contractor has presented a request to increase service rates 5.0% effective July 1, 2022, as allowed by the Agreement and the City desires to increase the annual not-to-exceed amount of sixty-five thousand dollars ($65,000.00) by 501 Amendment No. 8 to Agreement between City of Moorpark and Siemens Mobility, Inc. Page 2 an additional five thousand dollars ($5,000.00) for a total annual not-to-exceed amount of $70,000.00, effective for fiscal year (FY) 2021/22 onward; and WHEREAS, in 2018, the U.S. Bureau of Labor Statistics updated the Consumer Price Index (CPI) geographic area, replacing “Los Angeles-Riverside-Orange County, CA” with Los Angeles-Long Beach-Anaheim, CA”; and WHEREAS, the City and Contractor now desire to amend the Agreement to reflect the rate increase, the not-to-exceed increase, and the change in the CPI geographic area and document said agreement to amend by jointly approving Amendment No. 8 to the Agreement. NOW, THEREFORE, it is mutually agreed by and between the parties to the Agreement as follows: I.Section 5.1, Costs, is amended by replacing this section in its entirety as follows: Contractor’s name is hereby changed from Siemens Mobility, Inc. to Yunex LLC, effective July 1, 2021. “Routine and Extraordinary Maintenance services shall be provided at rates established in Exhibit G and Exhibit I. Material costs shall be paid at actual costs plus the “mark-up” specified in Exhibit G and Exhibit I. The cost of providing maintenance services shall not exceed seventy-thousand dollars ($70,000.00) per fiscal year, beginning Fiscal Year 2021/22 without an amendment to the Agreement approved by the City Council. The cost of maintenance of signal controllers accessories and systems shall be dependent upon the type of service performed and not upon the type of signal controller, accessory, or system that is serviced.” II.Section 5.2, Annual Cost of Living Adjustment, is amended by replacing the term “Los Angeles-Riverside-Orange County” with “Los Angeles-Long Beach-Anaheim, CA”. III.Exhibit G (Schedule of Rates and Charges), is hereby replaced in its entirety with Exhibit I (Schedule of Rates and Charges), effective July 1, 2022. IV.Remaining Provisions: Except as revised by this Amendment No. 8, all of the provisions of the Agreement shall remain in full force and effect. 502 Amendment No. 8 to Agreement between City of Moorpark and Siemens Mobility, Inc. Page 3 In Witness Whereof, the parties hereto have caused this Amendment to be executed the day and year first above written. CITY OF MOORPARK YUNEX LLC _______________________________ _______________________________ Troy Brown City Manager Michael Hutchens Operations Manager Attest: _______________________________ _______________________________ Ky Spangler City Clerk Joshua Ferras Service Account Manager 503 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 Traffic Signal 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 (“Traffic Signal Maintenance Agreement between the City of Moorpark and Siemens Mobility, Inc.” Dated June 20th, 2017) between Yunex LLC and the City of Moorpark for an additional year (July 1st 2022 to June 30th 2023). An updated Exhibit E 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 I 504 Exhibit E Schedule of Rates and Charges July 1, 2022 I. Routine Maintenance Description 1) Monthly Service Charge 2) Annual Conflict Monitoring Testing Il. Extraordinary Maintenance A. Labor Charges 1) Operations Superintendent 2) Engineering Technician 3) Leadman 4) Traffic Signal Technician 5) Traffic Signalman 6) Traffic Signal Laborer B. Equipment Use Charges 1) Passenger Vehicle 2) Pick-up Truck 3) Service (Utility) Truck 4) Paint Rig Truck 5) Teista (hydraulic man- lift/bucket) Truck 6) Air Compressor 7) Water Truck 8) Concrete Saw C. Material Mark-up Percent Mark-up Over Supplier’s Invoice D. Loop Installation (per Job) 1) 1 to 4 loops 2) 5 to 12 loops 3) 13 to 20 loops 4) More than 20 loops E. Rental Rates Controller/Cabinet with all appurtenances Amount $96.14 per intersection $1,821.12 for all intersections Straight Time $85.95 $85.95 $67.86 $67.86 $62.21 $62.21 Amount $22.05 per hour $22.05 per hour $29.40 per hour $31.50 per hour $31.50 per hour $10.50 per hour $26.25 per hour $5.25 per hour Amount 15.00% Amount $395.87 per loop $361.93 per loop $339.32 per loop $316.69 per loop Amount $678.64 per month Overtime $128.93 per hour $128.93 per hour $101.80 per hour $101.80 per hour $93.31 per hour $93.31 per hour 505 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.) 506 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  6.6 507