Title
Contract No. 2204058
Grounds Maintenance Services
O&M
Body
Agenda of: November 16, 2023
Item No.: 2023-355
Amount: Three Year Contract $4,850,161.50
First Year Renewal Option 1,616,720.50
Second Year Renewal Option 1,616,720.50
Total Contract $8,083,602.50
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Suzanne R. Coffey, P.E.
Chief Executive Officer
Great Lakes Water Authority
DATE: September 29, 2023
RE: Contract No. 2204058
Grounds Maintenance Services
Vendor: Landscape Services, Inc.
MOTION
Upon recommendation of Cheryl Porter, Chief Operating Officer - Water and Field Services, the Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Contract No. 2204058, “Grounds Maintenance Services” with Landscape Services, Inc., in the amount of $4,850,161.50 for a duration of three (3) years, with two (2) one (1) year renewal options at a cost not to exceed $1,616,720.50 respectively for each renewal year for a total contract amount of $8,083,602.50; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
Grounds Maintenance Services Contracts provide weed control, litter and debris removal in planting beds and paved areas, turf maintenance, mowing, edging and trimming, annual spring clean-up, shrub/hedges trimming, fall clean-up and overall beautification of GLWA sites.
GLWA operates facilities throughout southeastern Michigan, within the counties of Genesee, Lapeer, Macomb, Monroe, Oakland, St. Clair, Washtenaw, and Wayne. Since January 1, 2016, GLWA grounds maintenance service has been accomplished by contracting the work through a grounds maintenance services contract.
JUSTIFICATION
Contract No. 2204058 “Grounds Maintenance Services” will replace Contract No. 1900702 and continue to provide services that include landscaping, weeding, shrubbery trimming, tree trimming, seeding, lawn and grounds area cleaning, and miscellaneous associated duties for GLWA locations. The contract will cover 83 GLWA sites across southeast Michigan, up from 71 sites in the previous contract. The sites range from small plots of land to a large 500-plus acre site. Currently, there is lack of dedicated grounds staff and landscape maintenance equipment within GLWA to perform the functions of grounds maintenance services because grounds maintenance is not considered GLWA’s core business.
FINANCIAL PLAN IMPACT
Summary: The proposed contract with Landscape Services, Inc., encompasses Operations & Maintenance expense only. The FY 2024 budget and five-year financial plan was based on the analysis of prior grounds maintenance service over past fiscal years. Should this contract be utilized to its maximum value, the value of the contract will exceed the current financial plan. If a budget amendment is needed, it will first offset positive variances of other contractual services, then from other areas, and finally from the unallocated reserve.
Funding Source: Operations & Maintenance (O&M) Budget
Cost Center(s): Facility Operations…....Centralized Services cost center 882421
Expense Type(s): Contractual Buildings & Grounds Maintenance (617200)
Estimated Cost by Year and Related Forecast Variance: See table below.
Fiscal Year Amount
FY 2024 Budget (Prorated) $ 475,000.00
FY 2025 Financial Plan 1,600,000.00
FY 2026 Financial Plan 1,600,000.00
FY 2027 Financial Plan 1,600,000.00
FY 2028 Financial Plan 1,600,000.00
FY 2029 Financial Plan (Prorated) 800,000.00
Financial Plan Forecast $7,675,000.00
Proposed Contract Amount 8,083,602.50
Variance (positive/ (negative)) ($408,602.50)
COMMITTEE REVIEW
This item was presented to the Operations and Resources Committee at its meeting on October 11, 2023. The Operations and Resources Committee unanimously recommended that the GLWA Board adopt the resolution as presented.
SHARED SERVICES IMPACT
This item impacts the shared services agreement OPS-008 between GLWA and DWSD.