Item Coversheet

Competitive Bid Reports - C2  G




COMMISSION MEMORANDUM

TO:Honorable Mayor and Members of the City Commission 
FROM:Jimmy L. Morales, City Manager 
DATE:June  7, 2017
 



SUBJECT:A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, APPROVING AND AUTHORIZING THE MAYOR AND CITY CLERK TO EXECUTE, SUBSTANTIALLY IN THE FORM ATTACHED TO THIS RESOLUTION, AMENDMENT NO. 1 TO THE AGREEMENT, DATED FEBRUARY 24, 2014, BETWEEN THE CITY AND UNITED SERVICES, INC. FOR JANITORIAL SERVICES, CITY-WIDE; SAID AMENDMENT, IN MATERIAL PART, RETROACTIVELY APPROVING THE ADDITION OF CERTAIN SITES AND SERVICES, INCLUDING THE PAYMENT OF OUTSTANDING INVOICES, IN THE AMOUNT OF $37,325.62; ADDING NEW SITES AND SERVICES; CLARIFYING THAT THE CITY MANAGER MAY AMEND THE AGREEMENT, INCLUDING THE REDUCTION OR ADDITION OF SITES OR SERVICES COVERED BY THE AGREEMENT; AND INCREASING THE CONTRACT AMOUNT, BY AN AMOUNT NOT TO EXCEED $544,163.20.

RECOMMENDATION

Approve and authorize execution of Amendment No. 1

ANALYSIS

On February 12, 2014, Invitation to Bid (“ITB”) No. 269-2013-ME for janitorial services, citywide was awarded to United Services, Inc. (“Contractor”) in an estimated annual amount of $1,879,139.  On February 24, 2014, the City and Contractor executed an agreement pursuant to Invitation to Bid No. 269-2013-ME, for an initial term of three (3) years with two (2) one-year renewal options, at the City’s discretion (the “Agreement”). The City has exercised the first renewal option, for one year, extending the term of the agreement to February 23, 2018. The City is currently in the process of going out to bid for a new agreement for these janitorial services.

 

In order to improve and maintain sanitary conditions in the City, per the request of the Administration, additional facilities needed to be added, and janitorial personnel, and service days and hours needed to be increased. Therefore, pursuant to Section 1.0, Special Conditions, 1.11 Additions/Deletions of Facilities or Locations the Agreement was amended by the execution of two (2) City Manager approvals on July 16, 2014 and August 13, 2014 (the “City Manager Approvals”).  Accordingly, services were and are being rendered. However, Section 1.0, Special Conditions, 1.11 Additions/Deletions of Facilities or Locations does not allow for the amendment of the Agreement or the addition of facilities by the City Manager.  Hence, authority is needed to retroactively pay for invoices, in the amount of $37,325.62, dating from October 1, 2016 to May 31st, 2017. The Administration recommends the approval of Amendment No. 1 to the agreement, attached hereto as Exhibit A, which memorializes the additional sites and services approved through the City Manager Approvals.

 

The additional facilities, and increase in personnel, and service days and hours resulted in improved sanitary conditions and increased customer satisfaction.  As a result, the Department of Property Management is seeking not only to maintain the changes to the janitorial service (memorialized in the previous City Manager Approvals), but to further increase the number of facilities and hours of service. Section O. of the Agreement, entitled Amendments, states that “no modification, amendment, or alteration in terms or conditions contained herein, or in the Contract Documents, shall be effective unless contained in a written document prepared with the same or similar formality as this Contract and executed by the City and Contractor.”  As a result, Amendment No. 1 to the Agreement is necessary to reflect the authority of the City Manager to adjust sites and/or services, and the agreed upon additional facilities, increase of personnel, service days, and hours.

 

The Contractor proposed and the Property Management Department agreed to the following costs in accordance with the changes:

 

ADDITIONAL FACILITIES

Location

Quantity

U/M

Unit Cost

Total Cost

North Shore Open Space Park

12

Month

$10,517.17

$126,206.08

Unidad Building

12

Month

$4,300.88

$51,610.56

Subtotal for Additional Facilities

$177,816.64

FACILITIES AMENDED DUE TO INCREASE OF PERSONNEL AND SERVICE

Location

Original Annual Cost

Increased Annual Cost

Updated Annual Total Cost

City Hall

$101,845.68

$90,147.20

$191,992.88

Police Station and Parking Garage

$129,280.08

$45,073.60

$174,353.68

Subtotals

$231,125.76

$135,220.80

$366,346.56

Total Annual Maintenance Cost (Additional and Amended Facilities)

$544,163.20

 

Additional, temporary, janitorial services defined as support services and service calls will be compensated at $21.67 per hour. 

CONCLUSION

After considering the need to maintain the City’s current sanitary conditions and after reviewing the related Amendment and costs associated therewith, the Administration recommends that the Mayor and City Commission approve and authorize the execution of Amendment No. 1 to the Agreement between the City and United Services, Inc. for janitorial services, citywide, said amendment, in material part, retroactively approving the addition of certain sites and services (previously approved pursuant to City Manager Approvals); and further clarifying that the City Manager may amend the Agreement, including the reduction or addition of sites or services covered by the Agreement including the payment of pending invoices, in an amount not to exceed $37,325.62.

Legislative Tracking
Property Management

ATTACHMENTS:
Description
United Services Inc Agreement
Amendment No. 1
CM Approval 1
CM Approval 2
Resolution