DATE: June 12, 2018
SUBJECT:
Title
RESOLUTION AUTHORIZING AMENDMENT NO. 5 TO AGREEMENT WITH NMS MANAGEMENT, INC. FOR JANITORIAL SERVICES, INCREASING THE MAXIMUM AMOUNT PAYABLE UNDER THE AGREEMENT BY $321,306.72 FOR A NEW MAXIMUM AMOUNT OF $3,218,600. FY 2018 EXPENDITURES ARE BUDGETED. ALL FUNDS REQUIRED FOR FUTURE FISCAL YEARS WILL BE BUDGETED IN THE APPROPRIATE FISCAL YEAR, SUBJECT TO BOARD APPROVAL UPON ADOPTION OF EACH FISCAL YEAR’S BUDGET
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EXECUTIVE SUMMARY:
The San Diego Unified Port District (District) contracts for janitorial services at all District facilities and at 20 Public Restroom Facilities located in parks and common public areas throughout tidelands. The current agreement for janitorial services with NMS Management, Inc. (NMS) expires June 30, 2021.
This amendment request is for the addition of a guard shack at Tenth Avenue Marine Terminal, newly implemented quarterly cleaning at the Historic Railcar Plaza in National City, the use of soap in public restrooms, and additional daily public restroom cleaning to support higher usage of public restrooms during summer months.
District General Services staff requests authorization to execute Amendment No. 5 to the agreement with NMS for Janitorial Services, increasing the total amount by $321,306.72 for a new total agreement not-to-exceed amount of $3,218,600.
RECOMMENDATION:
Recommendation
Adopt a Resolution authorizing Amendment No. 5 to the agreement with NMS Management, Inc. for Janitorial Services, increasing the maximum amount payable under the agreement by $321,306.72 for a new maximum amount of $3,218,600.
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FISCAL IMPACT:
Funds for FY 2018 are budgeted in the General Services’ Facilities Maintenance-Outside Services budget. Anticipated funds for FY 2019 are included in the requested General Services’ Facilities Maintenance-Outside Services budget, subject to Board approval; and additional $31,000 will be funded with anticipated favorable variances in other accounts. Staff estimates an annual cash requirement of approximately $560,000, escalating over time to a fifth year total of $603,000 resulting in a 5-year total cash requirement of $3,218,600.
Funds required for future fiscal years will be budgeted for in the appropriate year subject to Board approval upon adoption of each fiscal year’s budget.
Compass Strategic Goals:
This agenda item supports the following Strategic Goal by providing daily janitorial services at District facilities and public restroom locations, ensuring a safe, clean environment for the visiting public and District staff to enjoy.
• A Port that is a safe place to visit, work and play.
DISCUSSION:
On April 14, 2016 the Board of Port Commissioners (Board) adopted a resolution entering the District into an agreement with NMS for Janitorial Services from July 1, 2016 through June 30, 2021 in an amount not to exceed $2,458,640.16. This agreement is used to provide janitorial services at various District buildings, offices and public restrooms located in parks and common public areas throughout the tidelands. Janitorial services include scheduled cleaning of offices, lunchrooms, kitchens, conference rooms, Board rooms, computer labs, training rooms, exercise rooms, locker rooms, restrooms, shower stalls, break spaces, outside patio areas, interior of elevators, entrance ways, lobbies, corridors, hallways, storage spaces, stairways, and other common spaces within buildings, and scheduled cleaning and sanitizing of public restrooms and drinking fountains. Janitorial services may also be requested on an as-needed basis to perform special cleaning requirements associated with public events where normal, scheduled services are not adequate to maintain an acceptable level of cleanliness or sanitation.
Four amendments to the agreement have been issued:
Amendment No. 1 was issued on July 6, 2016 to change the start date of the agreement to June 5, 2016 as a result of termination of the previous janitorial service provider and an imperative to continue daily janitorial services. This amendment increased the maximum expenditure by $33,982.79 to compensate NMS for the additional service dates.
Amendment No. 2 was issued on November 29, 2016 to replace daily cleaning of the District’s Harbor Police Investigations Trailer with the District’s Harbor Police Investigations Building. This amendment increased the maximum expenditure by $35,856.24.
Amendment No. 3 was issued on May 22, 2017 to increase As-Needed funds and to add one month of additional daily public restroom cleaning to support higher usage of public restroom facilities during summer months. This amendment increased the maximum expenditure by $55,160.97.
Amendment No. 4 was issued on October 23, 2017 as part of the District’s response to the Hepatitis A outbreak. Janitorial efforts to reduce the potential spread of Hepatitis A included increasing the frequency of public restroom cleaning to four times daily through June 30, 2018, spraying each public restroom facility with a backpack sprayer containing a bleach solution at the end of each scheduled cleaning through June 30, 2018, and the implementation of stocking soap cartridge refills. This amendment increased the maximum expenditure by $313,653.12.
Staff is requesting Amendment No. 5 to continue the use of soap in the public restroom facilities for the duration of the agreement, to include daily cleaning of a new guard trailer at Tenth Avenue Marine Terminal, to allow for quarterly cleaning of the Historic Railcar Museum in National City, and to add nine (9) months over three (3) years of additional daily public restroom cleaning to support higher usage of public restrooms during summer months.
District General Services staff requests authorization to execute Amendment No. 5 to the agreement with NMS for Janitorial Services, increasing the total amount by $321,306.72 for a new total agreement not-to-exceed amount of $3,218,600.
General Counsel’s Comments:
The Office of the General Counsel has reviewed Amendment No. 5 to the agreement with NMS Management, Inc. for Janitorial Services, and approves as to form and legality.
Environmental Review:
The Board direction or action, including without limitation, a resolution authorizing an amendment to an agreement for janitorial services at all District facilities, does not constitute an “approval” or a “project” under the definitions set forth in California Environmental Quality Act (CEQA) Guidelines Sections 15352 and 15378 because no direct or indirect changes to the physical environment would occur. CEQA requires that the District adequately assess the environmental impacts of projects and reasonably foreseeable activities that may result from projects prior to the approval of the same. Any project developed as a result of Board’s action or direction that requires the District or the Board’s discretionary approval resulting in a physical change to the environment will be analyzed in accordance with CEQA prior to such approval. CEQA review may result in the District, in its sole and absolute discretion, requiring implementation of mitigation measures, adopting an alternative, including without limitation, a “no project alternative” or adopting a Statement of Overriding Consideration, if required. The current Board direction in no way limits the exercise of this discretion. Therefore, no further CEQA review is required.
In addition, the proposed Board action complies with Section 81 of the Port Act which allows for the use of funds for necessary expenses of conducting the District. The Port Act was enacted by the California Legislature and is consistent with the Public Trust Doctrine. Consequently, the proposed Board action is consistent with the Public Trust Doctrine.
The proposed Board direction or action does not allow for “development,” as defined in Section 30106 of the California Coastal Act, or “new development,” pursuant to Section 1.a. of the District’s Coastal Development Permit (CDP) Regulations because they will not result in, without limitation, a physical change, change in use or increase the intensity of uses. Therefore, issuance of a Coastal Development Permit or exclusion is not required. However, development within the District requires processing under the District’s CDP Regulations. Future development, as defined in Section 30106 of the Coastal Act, will remain subject to its own independent review pursuant to the District’s certified CDP Regulations, PMP, and Chapters 3 and 8 of the Coastal Act. The Board’s direction or action in no way limits the exercise of the District’s discretion under the District’s CDP Regulations. Therefore, issuance of a CDP or exclusion is not required at this time.
Equal Opportunity Program:
Due to limited subcontracting opportunities, no SBE goal was established for the agreement.
PREPARED BY:
Amy Tigri
Management Analyst, General Services
Attachments:
Attachment A: Agreement No. 62-2016 with NMS Management, Inc.
Attachment B: Amendment No. 1 to Agreement No. 62-2016
Attachment C: Amendment No. 2 to Agreement No. 62-2016
Attachment D: Amendment No. 3 to Agreement No. 62-2016
Attachment E: Amendment No. 4 to Agreement No. 62-2016
Attachment F: Amendment No. 5 to Agreement No. 62-2016