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HomeMy WebLinkAboutItem 11h - Extension to the Annual Tree Trimming Services ContractExtension to the Annual Tree Trimming Services Contract November 17, 2020 Page 1 of 3 DATE: November 17, 2020 TO: Honorable Mayor and City Council FROM: Tom Tait, Public Works Services Director By: Jacquelyn Mercado, Senior Management Analyst SUBJECT: EXTENSION TO THE CONTRACT WITH WEST COAST ARBORISTS, INC. FOR ANNUAL TREE TRIMMING SERVICES, AND TREE REMOVAL AND REPLACEMENT SERVICES IN THE AMOUNT OF $349,273.50 Recommendation: Approve SUMMARY On October 15, 2019, the City Council approved a contract to West Coast Arborists, Inc. (“WCA”) in the amount of $304,070 to perform annual tree trimming services, plus an included Capital Improvement Program budgeted amount of $30,000 for the Annual Tree Removal and Replacement Program, for a total contract amount of $334,070. WCA is reaching the end of their initial contract term and has submitted a written offer to extend their contract for three additional years with a 5% or $15,230.50 increase in pricing for the first year and no additional cost increases for the following two years through 2023. Additionally, the City has requested that WCA increase their General Liability insurance policy limit from the existing contract required $1 million per occurrence for bodily injury, personal injury, and property damage to $10 million per occurrence. All other terms and conditions of the contract will remain the same. It is recommended that the City Council approve, authorize and direct the City Manager to execute a contract extension with West Coast Arborists, Inc. for annual tree trimming, removal, and replacement services in the total amount of $349,273.50 for the first year, and two additional annual extensions through 2023. The total amount of the contract includes an amount of $30,000 for the Annual Tree Removal and Replacement Program budgeted in the Fiscal Year 2020-21 Capital Improvement Plan. BACKGROUND The Public Works Services Department (“PWSD”) is responsible for the care and maintenance of approximately 15,300 trees located in City parks, rights-of-way, medians, and public facilities throughout the City. In order to maintain the City’s Urban Forest, an Extension to the Annual Tree Trimming Services Contract November 17, 2020 Page 2 of 3 Annual Tree Trimming Grid Program was created to ensure that all City trees are trimmed once every four years. This preventative maintenance program provides for the general upkeep of the existing tree inventory and allows for tree removal and replacement. Since 1993, the City of Arcadia has been recognized annually by the Arbor Day Foundation as a “Tree City USA”. The Annual Tree Trimming Grid and Tree Removal and Replacement programs allow the City to continue to receive this distinction. It also ensures the safety of residents and others travelling on City streets by minimizing the likelihood of tree limbs falling due to overgrowth and the resulting lawsuits that may occur. DISCUSSION Through a previous piggyback process, PWSD was able to procure a low cost for grid trimming per tree, plus competitive pricing for other contract items such as emergency crew response, various species of Palm tree trimmings, large tree removal, and special service request trimmings that are not in the annual grid trim area. WCA is reaching the end of their initial contract term and has submitted a written offer to extend their contract for three additional years with a 5% increase in pricing for the first year and no additional cost increases for the following two years through 2023. The proposed 5% base contract increase, in the amount of $15,203.50, will offset costs incurred due to an anticipated increase in the State’s minimum wage and additional costs incurred from increasing their General Liability insurance policy limit. The proposed contracted extension includes a base contract amount of $319,273.50 for annual tree trimming services and $30,000 for the Annual Tree Removal and Replacement Program budgeted in the Fiscal Year 2020- 21 Capital Improvement Plan, for a total contract extension amount of $349,273.50. This increase is in line with the current rate of inflation in the region as well as continued increases to the state minimum wage that are putting upward pressure on most City service contracts. Additionally, at the City’s request, WCA will be increasing their General Liability insurance policy limit from the existing contract required $1 million per occurrence for bodily injury, personal injury, and property damage to $10 million per occurrence. All other terms and conditions of the contract will remain the same. WCA is the City’s current tree trimming contractor and has provided excellent service for the past four years. WCA has extensive experience in tree maintenance and management services and has been providing tree trimming services for over 40 years. Some of their current municipal contracts include the Cities of Azusa, Duarte, Rosemead, Glendale, and Walnut. ENVIRONMENTAL ANALYSIS The proposed action does not constitute a project under the California Environmental Quality Act (“CEQA”), and it can be seen with certainty that it will have no impact on the environment. Thus, this matter is exempt under CEQA. Extension to the Annual Tree Trimming Services Contract November 17, 2020 Page 3 of 3 FISCAL IMPACT All work is performed on a time and materials basis and the contractor is only paid for work performed. Since the contract extension is split over two fiscal years, there is sufficient funding in the Fiscal Year 2020-21 Operating Budget for the proposed increase. The Public Works Services Department will conduct a mid-year budget review of the tree trimming services contract and recommend budget adjustments, if needed. Additionally, the 2020-21 Capital Improvement Plan Budget includes $30,000 for the Annual Tree Removal and Replacement Program. RECOMMENDATION It is recommended that the City Council determine that this project is exempt under the California Environmental Quality Act (“CEQA”); and approve, authorize and direct the City Manager to execute a contract extension with West Coast Arborists, Inc. for annual tree trimming services, and tree removal and replacement services in the amount of $349,273.50 for the first year, and two additional annual extensions through 2023. Attachment: Proposed Contract Amendment No. 1 AMENDMENT NO. 1 TO THE ANNUAL TREE TRIMMING MAINTENANCE SERVICES CONTRACT BY AND BETWEEN THE CITY OF ARCADIA AND WEST COAST ARBORISTS, INC. This Amendment No. 1 (“Amendment No. 1”) is hereby entered into this ______ day of ______________, 2020 by and between the City of Arcadia, a municipal corporation of the State of California, and West Coast Arborists, Inc., a California Corporation, with respect to that certain Contract between the parties dated November 21, 2019 (“Contract”). The Parties agree as follows: 1. Article 2, Section.2.1 of the Contract is amended by adding the following at the end thereof: “Notwithstanding any provision in this Contract to the contrary, the Term of this Contract is extended to include the period from November 21, 2020 to and including November 21, 2021 (“Extended Term”).” 2. Article 3 of the Contract is amended to provide that the total compensation due and payable to the Contractor for the Extended Term shall not exceed Three Hundred Thirty-Four Thousand Seventy Dollars and no Cents ($334,070.00). The Contractor shall perform work during the Extended Period in accordance with the pricing schedule set forth in Exhibit “A” attached hereto and incorporated herein by reference. 3. The Contract is amended to delete current Article 10, Indemnification, and to substitute therefor new Article 10, Indemnification, attached hereto as Exhibit “B” and incorporated herein by reference. 4. Article 44, Section A. of the General Conditions of the Contract is amended by deleting therefrom “$1,000,000” and by substituting therefor “$10,000,000”. 5. All terms and provisions of the Contract not amended by this Amendment No. 1 are hereby reaffirmed and shall remain in full force and effect. In witness whereof the Parties have executed this Amendment No. 1 on the date set forth below. CITY OF ARCADIA WEST COAST ARBORISTS, INC. By: By: Dominic Lazzaretto City Manager Title: Dated: Dated: By: ATTEST: Title: Dated: City Clerk APPROVED AS TO FORM CONCUR: Stephen P. Deitsch Tom Tait City Attorney Public Works Services Director (Tree Trimming Maintenance) Exhibit “B” ARTICLE 10. INDEMNIFICATION (a) Defense, Indemnity and Hold Harmless. Consultant shall defend, indemnify and hold harmless the City, its present and former officers, directors, employees, agents, volunteers, mayor, staff, boards, committee and representatives, as broadly interpreted (collectively, the “Indemnified Parties”), of and from all claims, suits, demands, obligations, losses, damages, sums or any other matters, threatened or presently asserted, including but not limited to all legal fees, costs of defense and litigation expenses (including legal fees, expert fees and any other costs or fees, including those of adverse parties imposed on or sought against the indemnified Parties), arising directly or indirectly out of any liability or claims of loss or liability for personal injury, bodily injury to persons, contractual liability, errors or omissions, breach, failure to perform, damage to or loss of property, or any other loss, damage, injury or other claim of any kind or nature arising out of the actions, omissions to act, negligence, intentional conduct or other activities of Consultant and/or Consultant’s officers, agents, independent contractors, subcontractors or affiliated or related entities and/or its or their employees, agents and representatives. (b) Contractual Indemnity. To the fullest extent permitted under California law, Consultant shall indemnify, defend and hold harmless the Indemnified Parties from and against any liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses, amounts for good faith settlement, or costs of any kind, whether actual, alleged or threatened, including attorney’s fees and costs, court costs, interest, defense costs, and expert witness fees and costs), arising out of or related to, in whole or in part, the performance of this Agreement by Consultant or by any individual or entity for which Consultant is legally liable, including but not limited to Consultant’s officers, agents, independent contractors, subcontractors or affiliated or related entities and/or its or their employees, agents and representatives, including any and all actions, omissions to act, negligence, intentional conduct or other activities. Indemnification shall include any claim that Consultant or Consultant’s employees or agents, are or may be considered and treated to be employees of the City or are entitled to any employee benefits from City, including but not limited to those available under Public Employees Retirement Law. The obligation to indemnify, defend and hold harmless the Indemnified Parties shall apply to all liability as defined above regardless of whether the Indemnified Parties were or are alleged to have been actively or passively negligent, except that it shall not apply to claims arising from the sole negligence or willful intentional misconduct of the indemnified Parties. (c) Subcontractors and Indemnification. Consultant agrees to and shall obtain executed indemnity agreements in favor of the Indemnified Parties with provisions identical to those set forth from each and every subcontractor, sub consultant or other person or entity involved by, for, with, or on behalf of Consultant in the performance of any aspect of this Agreement. In the event Consultant fails to obtain such indemnity obligations, (Tree Trimming Maintenance) Consultant shall be fully responsible for each and every subcontractor, sub consultant or other person or entity in terms of defense, indemnity and hold harmless obligations in favor of the Indemnified Parties. This obligation to indemnify and defend the Indemnified Parties is binding on the successors, assigns or heirs of Consultant and shall survive the full performance or termination of this Agreement. These indemnification provisions are independent of and shall not in any way be limited or superseded by the insurance requirements and insurance-related provisions of this Agreement. (d) City Lost or Damaged Property – Theft. Consultant further agrees to pay or cause to be paid for the Indemnified Parties’ benefit for any and all damage, fines or penalties, or loss or theft to the property of the City arising out of or related in any way to the actions, omissions to act, negligence, intentional conduct or other Consultant activities and/or activities of Consultant’s officers, agents, independent contractors, subcontractors or affiliated or related entities and/or its or their employees, agents and representatives, whether such actions, omissions to act, negligence or intentional conduct is or was authorized by this Agreement or not. City assumes no responsibility whatsoever for any property placed on the premises of City. Consultant further agrees to waive all rights of subrogation against the Indemnified Parties. (e) Non-Waiver and Non-Exhaustion of City’s Further Rights and Remedies. No aspect of this provision shall in any way limit or effect the rights of the Indemnified Parties against the Consultant under the terms of this Agreement or otherwise. The indemnification provisions shall apply regardless of whether this Agreement is executed after Consultant begins the work and shall extend to claims arising after this Agreement is performed or terminated, including a dispute as to the termination of Contractor. The indemnity obligations of Contractor shall continue until it is determined by final judgment that the claim against the City and any Indemnified Parties is determined by final judgment and after exhaustion of any rights of appeal. (f) Limitations on Scope of Indemnity. Notwithstanding the foregoing, Consultant shall not be responsible for indemnification for claims or losses caused solely by the negligence or intentional wrongdoing of Indemnified Parties. Further, the indemnity provided shall be interpreted as broadly as permitted under California law and as to agreements between parties, and shall if required be reformed to be consistent with those laws to protect and save this provision for the protection of City and Indemnified Party. (g) Indemnification Independent of Insurance. These indemnification provisions are independent of and shall not in any way be limited by the insurance requirements of this Agreement. City approval of the insurance required by this Agreement does not in any way relieve the Consultant from liability under this section.