Loading...
HomeMy WebLinkAboutItem 3e - Crossing Guard ServicesIo�arpur tci3 Augur S.N190i STAFF REPORT o��7 unity of S;o Police Department DATE: June 3, 2014 TO: Mayor and Members of the City Council FROM: Robert Guthrie, Chief of Police By: Jennifer Brutus, Management Analyst SUBJECT: EXTENSION TO THE PROFESSIONAL SERVICES AGREEMENT WITH ALL CITY MANAGEMENT SERVICES FOR CROSSING GUARD SERVICES IN THE AMOUNT OF $162,750 FOR FISCAL YEAR 2014 -15 AND $170,888 FOR FISCAL YEAR 2015 -16. Recommended Action: Approve SUMMARY The City has a Professional Services Agreement ( "Agreement ") with All City Management Services for crossing guard services, and the current Agreement expires on June 30, 2014. The Police Department administers the Agreement and it is recommended that the City enter into an extension from July 1, 2014, to June 30, 2016, at a cost of $162,750 for Fiscal Year 2014 -15 and $170,888 for Fiscal Year 2015 -16, which reflects a five percent price increase for each year. BACKGROUND In 2000, as a long -term cost savings strategy, the City opted to enter into a Professional Services Agreement with All City Management Services to provide crossing guards for the City of Arcadia. Since approval of the Agreement, All City Management Services has adhered to all conditions and has proven to be a responsible service provider. Prior to acquiring the crossing guard services, the Police Department was continually using staff members, including police officers, to fill vacant posts that occurred as a result of sickness or injury to crossing guards. For the past 14 years, the Police Department has not had to use any staff, nor been required to provide daily oversight to crossing guard operations. Further, the City has recognized a cost savings in the area of workers' compensation insurance and liability management. All City Management Services provides crossing guard services to over 70 cities and school districts throughout the State. They are the only company with proven experience and infrastructure to provide such service. Thus, the Police Department considers the company to be a sole source provider for crossing guards. Extension to All City Management Agreement June 3, 2014 Page 2 of 2 DISCUSSION The price for All City Management has remained constant for the past three years. However, the company has indicated that there will be a five percent price increase for FY 2014 -15 and another five percent increase for FY 2015 -16. These price increases are a result of State mandated increases to California's minimum wage. California's wage rate will increase to $9.00 on July 1, 2014, and then to $10.00 on January 1, 2016. Thus, to extend services for FY 2014 -15 and FY 2015 -16, the fees are $162,750 and $170,888, respectively. FISCAL IMPACT Extension of the Professional Services Agreement will cost the City $162,750 for FY 2014 -15 and $170,888 for FY 2015 -16. The amount for FY 2014 -15 has been budgeted in the City's FY 2014 -15 Operating Budget. RECOMMENDATION It is recommended that the City Council authorize and direct the City Manager to execute an extension to the Professional Services Agreement with All City Management Services for crossing guard services in the amount of $162,750 for Fiscal Year 2014 -15 and $170,888 for Fiscal Year 2015 -16. Approved. Dominic Lazzarett6 City Manager