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HomeMy WebLinkAboutSpectrum Care Landscape and Irrigation Management - Sole SouCouncil/Agency Meeting Held: Deferred/Continued to: )kAppr ved ❑ Conditionally Approved ❑ Denied City lerk Signat e Council Meeting Date: February 6, 2012 Department ID Number: PW 12-001 CITY OF HUNTINGTON BEACH REQUEST FOR CITY COUNCIL. ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Travis K. Hopkins, P.E., Director of Public Works SUBJECT: Approve Sole Source Procurement from Spectrum Care Landscape and Irrigation Management for Installation of Calsense Weather -based Irrigation Equipment Statement of Issue: The Department of Public Works requests approval for a sole -source purchase not to exceed $118,000 from Spectrum Care Landscape and Irrigation Management for the installation of Calsense weather -based irrigation equipment at city parks. Administrative Regulation No. 229 requires City Council approval for all sole -source procurements over $50,000. Financial Impact: Funds in the amount of $150,000 are budgeted for this purpose in the Water Use Efficiency account No. 50685806.82100. Recommended Action: Motion to: Approve sole -source purchase from Spectrum Care Landscape and Irrigation Management in an amount not to exceed $118,000. Alternative Action(s): Do not approve the sole -source purchase and direct staff accordingly. Item 4. - 1 HB -110- REQUEST FOR COUNCIL ACTION MEETING DATE: 2/06/2012 DEPARTMENT ID NUMBER: PW 12-001 Analysis: Public Works is currently in the third phase of an approved Capital Improvements Project to upgrade our existing manual control irrigation systems to weather -based, centrally controlled, water and energy conserving irrigation systems manufactured by Calsense. These irrigation upgrades provide substantial savings through water and energy conservation. The project is funded with a combination of Water Conservation funds and with a matching -funds grant from the Federal Bureau of Reclamation of up to $175,000. Public Works has specified, received quotes, and begun purchasing the Calsense equipment for 45 city parks. A contractor is necessary to provide the labor and miscellaneous materials to modify existing irrigation systems to accommodate the new equipment, and to install the new equipment. During the first phase of the project which commenced in 2010, staff utilized two of its existing landscape and irrigation maintenance contractors. Using existing vendors provides a seamless transition from installation to ongoing maintenance and operation of the new systems. The vendors adhere to pricing, terms, and conditions per their existing contracts awarded by formal competitive bidding. Of the two contractors, Spectrum Care has technicians that are certified by Calsense on the proper installation and setup of the equipment specified for the project. Overall, Spectrum Care performed best. In February 2010, staff requested and received administrative approval for sole source procurement from Spectrum Care in the amount of $46,625 for the second phase of installations. This purchase was approved at the administration level because the amount was less than $50,000. The request was based on Spectrum Care's positive performance during the initial phase. For the current phase of the project, City Council approval is necessary to extend the sole - source procurement for an additional amount not to exceed $118,000. Staff recommends that City Council approve the sole -source procurement with Spectrum Care. Spectrum Care is uniquely qualified to provide this service based on their previous performance, competitive prices based on existing contract rates, and their ability to provide a seamless transition to regular operation and maintenance after installation. Public Works Commission Action: Not required. Environmental Status: This project is categorically exempt, pursuant to Section 15301 of CEQA. Strategic Plan Goal: Maintain, improve and obtain funding for infrastructure and equipment. Attachment(s): KB -111- Item 4. - 2 ATTACHMENT #1 Item 4. - 3 xB -112- /�Mr!",o �j CITY OF p NTINGTON BEACH Justification (For use on goods an• services This justification document consists of two (2) pages. All information must be provided and all questions must be answered. The "Required Approvals" section must include a date for each signature, as appropriate for the transaction. �_ `° Request�`n ::Departinent Infor."mation�°-: :�z� . :?`. Date: January 12, Z041r�p)Z, Requestor Name: Debra Jubinsky Division Manager: Denny Bacon (Type names. Do not sign.) Department: Public Works Department Head: Travis Hopkins (Type names. Do not sign. Must be same as signature below.) .us.;D_ epartment Contact Information" Contact Name: Debra Jubins Street Address: 17371 Gothard - City Yard Telephone: 714-374-5321 Fax: 714-375-5099 Shipping Address: same Cellular phone: 714-403-1114 Required Contact Information', Contractor/Supplier Name: Spectrum Care Landscape and Irrigation Management Contractor/Supplier Address: 27181 Burbank Contractor/Supplier City/State/Zip: Foothill Ranch, CA 92610 Original Contract Amount:* Amendment Amount:" (if applicable) New Contract Amount:* $ $ $118,000 not to exceed ("Includes original contract and previously (*Includes original contract and all amendments, approved amendments) 'Current amendment only) including current amendment Provide a brief description of the acquisition, including all goods and/or services the contractor will provide: Vendor will provide labor and miscellaneous materials necessary to modify existing irrigation systems to accommodate Calsense centrally controlled irrigation equipment-, and to install Calsense irrigation controllers, flow meters, valves, hubs, and antennae provided by the city. All work to be done at 45 city arks. "- Contract Type and Term Contract Type: Contract Term: What account number will be used to purchase? Select One: ❑ Goods Begin: Business Unit: 50685806 ❑ Service ® Goods & Services End: Sept. 30, Zo 1 L Object Code: 82100 Re uired�A _provals Department Head `�6pproved Denied Fiscal Services Manager 1,®Mpproved ❑ Denied Di for of FinanceDeputy pproved ❑ Denied City Administrator ,❑ Approved ❑ Denied Signatu ign—at ur Signature Signature ��-9j+_12. ?�-Z-0 ,v Date —� Date Date t Date (Transactions exceeding $50,000 must be approved by City Council) �/��NT�INGTp� CITY OF • BEACH Sole Source Justification (For use on all goods and services acquisitions.) Complete responses must be provided for all of the following items. A. THE GOOD/SERVICE REQUESTED IS RESTRICTED TO ONE SUPPLIER FOR THE REASONS STATED BELOW: 1. Why is the acquisition restricted to this goods/services/supplier? (Explain why the acquisition cannot be competitively bid.) The current project is for the installation and startup of Calsense weather -based "smart" irrigation systems at 45 city park locations. The proposed supplier, Spectrum Care Landscape and Irrigation Management, is currently under contract to Public Works for landscape and irrigation maintenance services at city parks, roadsides, medians, and facilities. This contract was awarded via the city's competitive bidding process. The vendor is contracted to adhere to city irrigation and general work standards. Vendor has several years of knowledge and experience with city irrigation systems and park locations, and this vendor will have to provide ongoing maintenance and operation of the systems after installation under the scope of their existing maintenance contract. The vendor has key personnel that are trained and certified specifically on the proper installation and setup of the Calsense weather -based irrigation equipment specified for this project. 2. Provide the background of events leading to this acquisition. We are currently in the third phase of an approved CIP project to upgrade our existing manual control irrigation systems to weather -based, centrally controlled, water and energy conserving irrigation systems manufactured by Calsense. A Sole Source procurement for the second phase of installations in the amount of $46,625 was approved in February 2010. This continues the project and sole source procurement for an additional amount not to exceed $118,000. 3. Describe the uniqueness of the acquisition (why was the good/service/supplier chosen?). Spectrum Care was chosen based on our experience with them during the first and second phase of installations. During the first phase, two vendors that were already under contract were utilized -- Spectrum Care and Valley Crest. Of the two vendors, Spectrum Care performed best, and their crew was able to install the new equipment and bring the new systems online without delay or issues. The vendor has key personnel that are trained and certified by the manufacturer on the proper installation and setup of the Calsense weather -based irrigation equipment specified for the project. Spectrum Care has an existing maintenance agreement with the city and is already bound by the general terms and conditions of that agreement, which was awarded via the city's competitive bid process. Because Spectrum Care has been our service provider for the past 6 years at more than 20 city parks, the staff is already familiar with the existing site conditions and irrigation layouts, which enables them to provide the most efficient installation. Due to their existing maintenance contract, Spectrum Care will provide a seamless transition from installation to ongoing operation and maintenance. 4. What are the consequences of not purchasing the goods/services or contracting with the proposed supplier? Spectrum Care is able to provide the services under the general conditions and scope of work of their existing contract. Spectrum Care has an existing maintenance contract for most of the project locations. If a new vendor is used solely for the Calsense irrigation, it will be difficult to transition from one vendor to another from installation and initial startup to ongoing operation and maintenance. This is likely to result in operational and warranty issues. 5. What market research was conducted to substantiate no competition, including evaluation of other items considered? 2 (Provide a narrative of your efforts to identify other similar or appropriate goods/services, including a summary of how the department concluded that such alternatives are either inappropriate or unavailable. The names and addresses of suppliers contacted and the reasons for not considering them must be included OR an explanation of why the survey or effort to identify other goods/services was not performed.) Staff researched other area cities that are doing similar irrigation projects with Calsense equipment. Staff found that there is competition for these installation services. Staff researched online and on the phone with other cities that have installed Calsense equipment over the past few years, and found that there is no consensus on installation vendor. Some are performing the installation with city staff, using existing contractors, or using informal or formal bids depending on scope of project and local ordinance. Staff utilized both of our available vendors with existing landscape and irrigation maintenance contracts for the initial phase of the project, Spectrum Care and Valley Crest. Valley Crest provided prices comparable to Spectrum Care but did not perform at the same level as Spectrum Care. B. PRICE ANALYSIS 1. How was the price offered determined to be fair and reasonable? (Explain what the basis was for comparison and include cost analyses as applicable.) The vendor provided proposals per location which were compared to the rates they provided for miscellaneous services in their existing contract, and to the pricing provided by Valley Crest for the Sports Complex. 2. Describe any cost savings realized or costs avoided by acquiring the goods/services from this supplier. The city will avoid the costs of a formal bid, including preparation and duplication of bid documents, job walk, bid opening, and contract preparation. The city will avoid staff costs associated with managing a transition from installation vendor to maintenance and operation vendor, such as job walk verification, and warranty dispute resolution. The city will delay the savings to be realized from energy and water conservation for the amount of time it takes to conclude the formal bid process and contract with a new vendor. Remit completed form to: City of Huntington Beach — Purchasing Division 2000 Main Street, Huntington Beach, CA 92648-2702