Title
A Resolution accepting the recommendation of the Chief Procurement Officer to authorize a one (1) year renewable option for the citywide tree trimming contract with Trees Acquisitions, Inc. in the amount of $818,521.60 per year pursuant to Section 2-825 of the Procurement Code entitled “Multi-Year Contracts” and Request for Proposal (RFP) 2011.05.27.
Body
On October 1, 2011, the City entered into an agreement with Trees Acquisition, Inc., after the RFP process for citywide tree trimming services including but, not limited to furnishing equipment, machinery, tools, labor and supervision for the maintenance of trees and selected shrubbery, vines, and brushes in the public rights-of-way, parks, City parking lots and around City buildings.
The initial contract was for a five (5) years term with the option of five (5) one (1) year extensions. The City wishes to exercise a renewal for a one (1) year period with the option to extend, at the City’s sole discretion, for four (4) additional one (1) year periods at a negotiated price. Procurement is requesting authorization from the Commission to exercise this five (5) years option with Trees, Inc.
Under the proposed contract extension, the cost for services for FY 2016/2017 is $818,521.50, an increase of $118,622.40 over last year. This increase can primarily be attributed to bringing wages up to competitive industry market wages to provide for the hiring of more qualified employees for the contractor, which benefits the City by having better caliber employees working under City contracts and decreasing the employee turnover.
The Public Service Department concurs with the recommendation of the Chief Procurement Officer to exercise the five (5) years contract renewal option.