HomeMy WebLinkAboutItem 13j - Crossing Guard ServicesDATE: June 15, 2021
TO: Honorable Mayor and City Council
FROM: Roy Nakamura, Chief of Police
By: Dr. Jennifer Brutus, Sr. Management Analyst
SUBJECT: AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT WITH
ALL CITY MANAGEMENT SERVICES FOR CROSSING GUARD
SERVICES IN THE AMOUNT OF $261,003
Recommendation: Approve
SUMMARY
The City has a Professional Services Agreement (“Agreement”) with All City Management
Services (“ACM”) for crossing guard services, which expires on June 30, 2021. It is
recommended that the City Council approve, authorize, and direct the City Manager to
execute an amendment to the Professional Services Agreement with All City
Management for Fiscal Year 2021-22 in the amount of $261,003, which reflects a 7.7%
price increase due to continuing minimum wage increases.
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 the approval of the Agreement, All City Management Services
(“ACM”) has adhered to all conditions, and has proven to be a responsible service
provider.
Prior to contracting for crossing guard services, the Arcadia Police Department (the
“Department”) was continually using other staff members, including Police Officers, to fill
vacant posts that occurred as a result of sickness or injury to in-house crossing guards.
For the past 20 years, the Department has not had to use any staff, nor been required to
provide oversight of crossing guard operations, other than designating a staff member to
monitor Agreement compliance. Further, the City has recognized a cost savings in the
area of worker’s compensation insurance and liability management as a result of
contracting for these services.
Professional Services Agreement
Amendment for Crossing Guard Services
June 15, 2021
Page 2 of 2
ACM 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 Department considers the company to be a sole source
provider for crossing guards.
DISCUSSION
The proposed amendment to the Agreement includes a substantial increase for Fiscal
Year 2021-22. Like many contract services, the cost of labor is increasing to keep up with
California’s mandated minimum wage increases. On January 1, 2022, minimum wage will
increase by one dollar for the fourth consecutive year ($14.00 to $15.00 per hour).
Consequentially, the wage increases result in higher employer taxes, liability insurance,
and worker’s compensation insurance, which range from $0.35 to $0.65 per $1.00 of
wages for ACM. Thus, to extend services for Fiscal Year 2021-22, which is the third of
three allowable extensions, ACM is requesting a 7.7% increase in costs. As proposed,
the total cost of the contract shall not exceed $261,003, compared to the contract price
of $242,367 for Fiscal Year 2020-21. This is viewed as a reasonable cost for this service,
given the change in the minimum wage environment and the scarcity of other viable
alternatives.
ENVIRONMENTAL ANALYSIS
The proposed action does not constitute a project under the California Environmental
Quality Act (“CEQA”), based on Section 15061(b)(3) of the CEQA Guidelines, as it can
be seen with certainty that it will have no impact on the environment. Thus, this matter is
exempt under CEQA.
FISCAL IMPACT
The amendment to the Agreement will cost the City $261,003 for Fiscal Year 2021-22.
This amount has been budgeted in the Police Department’s Fiscal Year 2021-22
Operating Budget.
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 an amendment to the Professional Services Agreement with All City
Management Services for crossing guard services in the amount of $261,003.
Professional Services Agreement
Amendment for Crossing Guard Services
June 15, 2021
Page 2 of 2
Attachment: Proposed Amendment No. 3 to Professional Services Agreement
1
AMENDMENT NO. 3 TO THE PROFESSIONAL SERVICES
AGREEMENT FOR SCHOOL GROSSING GUARD SERVICES WITH
ALL CITY MANAGEMENT SERVICES
This Amendment No. 3 (“Amendment No. 3”) is hereby entered into on this ____ day of
______ 2021, by and between the City of Arcadia, a charter city organized under the
Constitution and laws of the State of California, and All City Management Services, Inc., a
California Corporation, with respect to that certain Professional Services Agreement between
the Parties dated July 21, 2016 (the “Agreement”), as amended by Amendment No. 1, dated
July 20, 2019, and as further amended by Amendment No. 2, dated July 6, 2020.
The Parties agree as follows:
1. Section 3.1.2 of the Agreement, the Term is amended by extending the term from
July 1, 2021 through June 30, 2022 (the “Extended Term”).
2. Section 3.3.1 of the Agreement, the Compensation is amended for the Extended
Term as referenced in the attached Exhibit “C”.
3. All of the remaining terms and provisions of the Agreement are hereby reaffirmed.
In witness whereof the Parties have executed this Amendment No. 3 on the date set
forth below.
CITY OF ARCADIA ALL CITY MANAGEMENT SERVICES, INC.
____________________________ ________________________________
Dominic Lazzaretto Baron Farwell
City Manager President
Date: _______________________ Date: ___________________________
ATTEST:
________________________________
Demetra Farwell
____________________________ Corporate Secretary
City Clerk
APPROVED AS TO FORM: CONCUR
____________________________ ________________________________
Stephen P. Deitsch Roy Nakamura
City Attorney Chief of Police
2
Exhibit "C"
COMPENSATION
The Agreement is amended to provide that the total compensation for the Extended Term from
July 1, 2021, through June 30, 2022, shall not exceed Two Hundred Sixty-One Thousand Two
Dollars and Seventy Cents ($261,002.70), according to the price letter dated February 22,
2021.
All City Management Services Inc.
Billing Rate for 2021/2022: $24.37
KEY:
59.5 180 10710 $24.37 =$261,002.70
17 days/yr X Hourly Billing Rate
10710 $261,002.70
Total Hrs/day X
TOTAL PROJECTED HOURS TOTAL ANNUAL PROJECTED COST
Arcadia, CA 91007
250 W. Huntington Drive
For sites with no regularly scheduled early release days, use 180 regular days
Traditional Calendar:
Sites with traditional calendar:
Sites at 3.5 hrs per day
Client Worksheet 2021 - 2022
7801Department:
City of Arcadia
2/22/2021