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HomeMy WebLinkAboutC20992 Extension Steven Burt & Assciates - LMA 5 905-CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT STAFF REPORT REQUEST: Approve Extension of Contract No. C20992 with Steven Burt & Associates, Inc. for Landscape Maintenance Area No. 5 for Fiscal Year 2005/2006 (Project No. 905-XX) SUBMITTED BY: H. Spencer Knight, Landscape Manager APPLICANT: Steven Burt & Associates, Inc. 78-755 Darby Road Bermuda Dunes, California 92201 DATE: June 23, 2005 CONTENTS: Letter from Steven Burt & Associates, Inc. Vicinity Map Recommendation: By minute motion, approve the extension of Contract No. C20992 with Steven Burt & Associates, Inc. of Bermuda Dunes, California in the amount of $184,919.48 for landscape maintenance services of Landscape Maintenance Area No. 5 for Fiscal Year 2005/2006. Discussion: The subject contract was awarded by City Council to Steven Burt & Associates, Inc. of Bermuda Dunes, California on June 26, 2003. This contract covers the following areas: the Soccer Park, Olson Field, Cook Street Sports Complex, the Parkview Office Complex and the Civic Center Park. Steven Burt & Associates, Inc. provided excellent services last year. They have asked for a three and a half percent (3.5%) cost of living increase over last year's contract amount. This would amount to a $6,253.32 increase to the existing contract amount of $178,666.16. Based upon their past performance, staff recommends this cost of living increase. Funds are available in the Park Maintenance account numbers 110-4611-453- 3320 and 110-4611-453-3371, Civic Center Park Maintenance account number 110-4610-453-3320 and the Palm Desert Office Complex Maintenance account number 510-4195-495-3371. Approve Extension C20992 Steven Burt & Assoc. for LMA No. 5 Page 2 of 2 June 23, 2005 Therefore, staff recommends that City Council, by minute motion, approve the extension of contract number C20992 with Steven Burt & Associates, Inc. in the amount of $184,919.48 for fiscal year 2005/2006. Submitted By: I Ifl. Sp ncdr fight Lands ape anager Approval: ACfv'ffor Develo ent Services City Manager /hsk/dhl Department Head: Michael Errante Director of Public Works a Finance Director G;IPubWorkslStaHRepoRs12005Vune 231Approve Extension C20992 Steven Burt LMA 5 905-XX.doc 06/05/2005 21:40 7607723674 STEVENBURT PAGE 02 STEv_EN__BuRTTM & ASSOCIATES, INC. A LANDSCAPE COMPANY May 25, 2005 Spencer Knight City of Palm Desert 73-510 Fred Waring Drive Palm Desert, CA 92260-2578 Ri:: Contract No. C22860 — Landscape Maintenance Area No. 4 (Project No. 904-XX) and Contract No. C20990- Landscape Maintenance Area No. 5 (Project No. 906-03) Dear Spencer, We would like to express our thanks and appreciation to the City of Palm Desert Tor your cooperation and support over the last two years. Although, we continue to make Improvements in our operating efficiency, while maintaining our high quality of service, we experience escalating operating expenses. Our labor rates have increased over 5% since last year. The strong economy In the Coachella Valley has created a labor shortage and it has been necessary to pay higher wages to attract and retain good employees. We have partially offset the wage increases through higher productivity, especially from foremen and supervisors. Health insurance has increased 13% over last year. The company provides health insurance to all employees and the company covers 100% of the employee's premium and 600/6 of the dependents. Our worker's compensation expenses are up over 50% since last year. By switching to a self - funded high deductible policy we have been able to significantly reduce our premiums. Our fuel expenses have increased 29% over last year. We are in the process of updating our fleet with newer trucks that have better fuel economy. We appreciate the opportunity to provide landscape maintenance services to the City of Palm Desert and wish to extend the term for another year for the contract period of July 1, 2005 through June 30, 2006. We are requesting a 3.5% increase in accordance with the consumer price index for the Los Angeles -Riverside -Orange County area. ncerely, L ulle y Business Development Manager 78-755 Darby Road • Bermuda Dunes. 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