Council Meeting: July 20, 1999 Santa Monica, California

TO: Mayor and City Council

FROM: City Staff

This report recommends that the City Council authorize the City Manager to negotiate and execute two-year contracts for custodial and janitorial services with Korean Maintenance Company, Bell Building Maintenance Company and PAA of California, Inc. The custodial services covered by these contracts will replace existing contract custodial services being provided by various vendors at locations throughout the City.

The City currently has temporary contracts or purchase orders for custodial services at the Pier and the Transportation Department building with various vendors. There is no contract currently in place at the Utilities office building as custodial services had previously been provided by the landlord.

These temporary agreements must be converted into long-term contracts with formal guidelines on provision of employer-sponsored health insurance coverage, specified pay scales for contractor employees, training procedures for contractor staff, record-keeping and auditing requirements.

A Request for Proposals (RFP) was created for custodial services at the Pier, Transportation Building and Utilities Offices. The RFP contained a detailed scope of services to be provided plus requirements for quality control programs, training for employees, information on employer-sponsored health insurance coverage and wage scales for vendor employees and status as a Disadvantaged Business Enterprise. The RFP specified that contracts would be awarded based on the unique custodial requirements of each location.

The RFP was sent to 24 vendors identified as currently providing custodial services to the City or as capable of meeting the requirements of the RFP. A pre-proposal tour of the facilities was provided by the managers at each location. Ten vendors submitted proposals.

The five acceptable proposals were analyzed and reviewed by a selection committee comprised of the Maintenance Manager and representatives of the Pier, Transportation Department and Utility Division. The selection committee evaluated the proposals based on vendor experience, ability to meet the specific needs of the City, DBE/WBE status, quality control, training programs, contract employee health insurance terms and the price of services.

Based on the above criteria, the selection committee recommended that the contracts be awarded as follows: Korean Maintenance Company for service to the Pier, PAA of California, Inc. for service to the Carousel Building on the Pier, and Bell Building Maintenance Company for service to the Transportation Building and Utilities Business Office. These selections will provide the City with the best combination of price and quality of custodial service over the two year contract period.

With the new contracts, there will be increased quality control, attention to special custodial needs, and adherence to City policies and requirements. The City will be also be assured that employees of custodial firms contracted by the City are provided opportunities for reasonable health insurance coverage and benefits.

The combined proposed custodial service contracts are for $186,011 a year for a two year period. Funds for these contracts are available in the following accounts: $37,856 in Transportation account number 41651.555010, $3,380 in Utilities account number 25671.544010, $3,380 in Utilities account number 31661.544010, and $141,395 in Pier account number 30625.555010.

Staff recommends that the City Council authorize the City Manager to negotiate and execute contracts with Korean Maintenance Company, Bell Building Maintenance Company, and PAA of California, Inc. for provision of custodial services for a two year period beginning September 1, 1999.

Prepared by:

Craig Perkins, Director of Environmental and Public Works Management

Renee Cowhig, Maintenance Division Manager