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HomeMy WebLinkAboutCC AG PKT 2011-06-13 #MAGENDA STAFF REPORT DATE: June 13, 2011 TO: Honorable Mayor and City Council THRU: Jill R. Ingram, Acting City Manager FROM: Sean P. Crumby, PE Director of Public Works SUBJECT: APPROVE PROFESSIONAL SERVICES AGREEMENT WITH DIAMOND STAFFING SERVICES, INC. FOR PART TIME STAFFING SERVICES SUMMARY OF REQUEST: It is requested that the City Council adopt Resolution No. 6142 approving a professional services agreement with Diamond Staffing Services Inc., to provide ongoing staffing services. BACKGROUND AND ANALYSIS: The Public Works Department provides vehicle maintenance for over 100 vehicles and equipment. The Department maintains vehicles for the Police Department, Lifeguards, Public Works, and City Hall pool cars. The fleet includes 90 vehicles, 2 motorcycles, 3 all- terrain vehicles, 5 trailers, over 30 tractors and heavy equipment, numerous portable generators, and several emergency backup power facilities. Historically, the Department provided this service with three maintenance personnel. The maintenance division was comprised of one full time Equipment Services Supervisor and two lead mechanics. Since the mid 90's the City began contracting out more of the services provided (eg. landscape maintenance and traffic signal maintenance) and invested to upgrade the fleet. This investment reduced the amount of maintenance necessary and allowed the department to reduce to two and then one mechanic. On December 20, 2010 the City's Equipment Services Supervisor retired. On December 13, 2010 the City Council authorized beginning recruitment for a replacement Equipment Services Supervisor. The City was fortunate that the retired person agreed to come back and assist the City during the recruitment for a replacement. During the budget session that followed, this full -time position was removed from the budget and replaced with a temporary mechanic budgeted at 30 hours per week. The annual budget is being presented for Council approval on June 13, 2011. Agenda Item M Page 2 In April, the retired Equipment Services Supervisor left notice that he will be moving in May and no longer able to assist the City. City staff immediately contacted three staffing agencies to assess availability for providing the City with a temporary mechanic. Interviews were set up with the three firms. The firm of Diamond Staffing Services Inc. was determined to be the most qualified and has provided staffing for other agencies similar to Seal Beach. Two of the three agencies submitted fee schedules to the City. Diamond Staffing Services, Inc. submitted a fee schedule of $33 per hour. The other bid was $40 per hour. The third company declined to submit a fee schedule. The hourly rate of $33 per hour is in line with the hourly billing rate for the Equipment Services Supervisor. There are several advantages of having this position staffed with an agency, including the City has added flexibility if the workload changes, and there may be access to specialized personnel. Some of the disadvantages of not having a permanent employee includes institutional knowledge built with an employee that personally knows the vehicles, knowledge of internal staff, and relationships with local vendors to provide service. FINANCIAL IMPACT: The adopted FY 2009 -10 budget has funds budgeted for this position in account 001 - 050 - 40001. This position will be budgeted in the fiscal year 2011 -12 budget. RECOMMENDATION: It is recommended that the City Council adopt Resolution No. 6142 approving a professional services agreement with Diamond Staffing Services Inc. to provide ongoing staffing services. SUBMITTED BY: Sean P. Crumby, PE Director of Public Works NOTED AND APPROVED: % I , R - a wzu - rl ill . Ingram, Acting City Manager Attachments: A. Resolution No. 6142 B. Professional Services Agreement RESOLUTION NUMBER 6142 A RESOLUTION OF THE SEAL BEACH CITY COUNCIL APPROVING A PROFESSIONAL SERVICES AGREEMENT WITH DIAMOND STAFFING SERVICES, INC. FOR PART -TIME VEHICLE MAINTENANCE STAFFING SERVICES THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE: Section 1. The City Council hereby approves the professional services agreement ( "Agreement ") between the City of Seal Beach and Diamond Staffing Services, Inc. for vehicle maintenance services at a rate of $33 per hour, 30 hours a week. Section 2. The Council hereby directs the Acting City Manager to execute the Agreement. PASSED, APPROVED and ADOPTED by the Seal Beach City Council at a regular meeting held on the 13th day of June 2011 by the following vote: AYES: Council Members: NOES: Council Members: ABSENT: Council Members: ABSTAIN: Council Members: Mayor ATTEST: City Clerk STATE OF CALIFORNIA } COUNTY OF ORANGE } SS CITY OF SEAL BEACH } I, Linda Devine, City Clerk of the City of Seal Beach, do hereby certify that the foregoing resolution is the original copy of Resolution Number 6142 on file in the office of the City Clerk, passed, approved, and adopted by the Seal Beach City Council at a regular meeting held on the 13th day of June , 2011. City Clerk PROFESSIONAL SERVICES AGREEMENT PART -TIME MECHANIC SERVICES Between City of Seal Beach 211 - 8th Street Seal Beach, CA 90740 Diamond Staffing Services, Inc. Loretta Steenwyk 7941 Beach Blvd., Unit E Buena Park, CA 90620 (714) 452 -3171 This Professional Service Agreement ( "the Agreement ") is made as of April 21. 2011, by and between Diamond Staffing Services Inc. ( "Consultant "), a staffing provider, and the City of Seal Beach ( "City "), a California charter city, (collectively, "the Parties "). 1 of 9 S7296 -0001 \1236808v1.doc RECITALS A. City desires certain professional services. B. Consultant represents that it is qualified and able to provide City with such services. NOW THEREFORE, in consideration of the Parties' performance of the promises, covenants, and conditions stated herein, the Parties hereto agree as follows. AGREEMENT 1.0 Scope of Services 1.1. Consultant shall provide those services ( "Services ") set forth in the attached Exhibit A, which is hereby incorporated by this reference. To the extent that there is any conflict between Exhibit A and this Agreement, this Agreement shall control. 1.2. Consultant shall perform all Services under this Agreement in accordance with the standard of care generally exercised by like professionals under similar circumstances and in a manner reasonably satisfactory to City. 1.3. In performing this Agreement, Consultant shall comply with all applicable provisions of federal, state, and local law. 1.4. Consultant will not be compensated for any work performed not specified in the Scope of Services unless the City authorizes such work in advance and in writing. The City Manager may authorize payment for such work up to a cumulative maximum of $10,000. Payment for additional work in excess of $10,000 requires prior City Council authorization. 2.0 Term 2.1 This term of this Agreement shall commence as of the Effective Date and shall continue for a term of 2 years unless previously terminated as provided by this Agreement. 3.0 Consultant's Compensation 3.1 City will pay Consultant in accordance with the hourly rates shown on the fee schedule set forth in Exhibit A for Services but in no event will the City pay more than $33 per hour. Any additional work authorized by the City pursuant to Section 1.4 will be compensated in accordance with the fee schedule set forth in Exhibit A. 2of9 S7296- 0001 \1236808v1.doc 4.0 Method of Payment 4.1. Consultant shall submit to City monthly invoices for all services rendered pursuant to this Agreement. Such invoices shall be submitted within 15 days of the end of the month during which the services were rendered and shall describe in detail the services rendered during the period, the days worked, number of hours worked, the hourly rates charged, and the services performed for each day in the period. City will pay Consultant within 30 days of receiving Consultant's invoice. City will not withhold any applicable federal or state payroll and other required taxes, or other authorized deductions from payments made to Consultant. 4.2. Upon 24 -hour notice from agents or representatives to inspect business hours all records, invoices, tl records maintained by Consultant in rights under this Section 4.2 shall survi of this Agreement. City, Consultant shall allow City or City's : Consultant's offices during reasonable ne cards, cost control sheets and other :onnection with this Agreement. City's , e for two years following the termination 5.0 Termination 5.1. This Agreement may be terminated by City, without cause, or by Consultant based on reasonable cause, upon giving the other party written notice thereof not less than 30 days prior to the date of termination. 5.2. This Agreement may be terminated by City upon 10 days' notice to Consultant if Consultant fails to provide satisfactory evidence of renewal or replacement of comprehensive general liability insurance as required by this Agreement at least 20 days before the expiration date of the previous policy. 6.0 Party Representatives 6.1. The City Manager is the City's representative for purposes of this Agreement. 6.2. Loretta Steenwyk/Rosa Arvizu will be the Consultant's primary representative for purposes of this Agreement. 7.0 Notices 7.1. All notices permitted or required under this Agreement shall be deemed made when personally delivered or when mailed 48 hours after deposit in the United States Mail, first class postage prepaid and addressed to the party at the following addresses: 3 of 9 S7296-0001\1 236808vl.doc To City: City of Seal Beach 211 -8th Street Seal Beach, California 90740 Attn: City Manager To Consultant: Diamond Staffing Services Inc. 7941 Beach Blvd., Unit E Buena Park, CA. 90620 Attn: Loretta Steenwyk 7.2. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 8.0 Independent Contractor 8.1. Consultant is an independent contractor and not an employee of the City. All services provided pursuant to this Agreement shall be performed by Consultant or under its supervision. Consultant will determine the means, methods, and details of performing the services. Any additional personnel performing services under this Agreement on behalf of Consultant shall also not be employees of City and shall at all times be under Consultant's exclusive direction and control. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of services under this Agreement and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. 8.2. Consultant shall indemnify and hold harmless City and its elected officials, officers, employees, servants, designated volunteers, and agents serving as independent contractors in the role of City officials, from any and all liability, damages, claims, costs and expenses of any nature to the extent arising from Consultant's personnel practices. City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant's failure to promptly pay to City any reimbursement or indemnification arising under this Section. 9.0 Subcontractors 9.1 No portion of this Agreement shall be subcontracted without the prior written approval of the City. Consultant is fully responsible to City for the performance of any and all subcontractors. 10.0 Assignment 10.1 Consultant shall not assign or transfer any interest in this Agreement whether by assignment or novation, without the prior written consent 4of9 S7296- 0001 \1236808v1.doc of City. Any purported assignment without such consent shall be void and without effect. 11.0 Insurance 11.1. Consultant shall not commence work under this Agreement until it has provided evidence satisfactory to the City that Consultant has secured all insurance required under this Section. Consultant shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Agreement on forms satisfactory to the City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms provided by the City if requested. All certificates and endorsements shall be received and approved by the City before work commences. The City reserves the right to require complete, certified copies of all required insurance policies, at any time. 11.2. Consultant shall, at its expense, procure and maintain for the duration of the Agreement, insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of this Agreement. Insurance is to be placed with insurers with a current A.M. Best's rating no less than A:VIII, licensed to do business in California, and satisfactory to the City. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001); (2) Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto); and, if required by the City, (3) Professional Liability. Consultant shall maintain limits no less than: (1) General Liability: $2,000,000 per occurrence for bodily injury, personal injury and property damage and if Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit; (2) Automobile Liability: $1,000,000 per accident for bodily injury and property damage; and (3) Professional Liability: $1,000,000 per claim /aggregate. 11.3. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by the City to state: (1) coverage shall not be suspended, voided, reduced or canceled except after 30 days prior written notice by certified mail, return receipt requested, has been given to the City; (2) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to the City, its directors, officials, officers, (3) coverage shall be primary insurance as respects the City, its directors, officials, officers, employees, agents and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant's scheduled underlying coverage and that any insurance or self- insurance maintained by the City, its directors, officials, officers, employees, agents and volunteers shall be excess of the Consultant's 5 of 9 S 7296 -0001 \1236808v 1. doc insurance and shall not be called upon to contribute with it; (4) for general liability insurance, that the City, its directors, officials, officers, employees, agents and volunteers shall be covered as additional insureds with respect to the services or operations performed by or on behalf of the Consultant, including materials, parts or equipment furnished in connection with such work; and (5) for automobile liability, that the City, its directors, officials, officers, employees, agents and volunteers shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Consultant or for which the Consultant is responsible. 11.4. All insurance required by this Section shall contain standard separation of insureds provisions and shall not contain any special limitations on the scope of protection afforded to the City, its directors, officials, officers, employees, agents, and volunteers. 11.5. Any deductibles or self- insured retentions shall be declared to and approved by the City. Consultant guarantees that, at the option of the City, either: (1) the insurer shall reduce or eliminate such deductibles or self- insured retentions as respects the City, its directors, officials, officers, employees, agents, and volunteers; or (2) the Consultant shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 12.0 Indemnification, Hold Harmless, and Duty to Defend 12.1 Consultant shall defend, indemnify, and hold the City, its officials, officers, employees, volunteers and agents serving as independent contractors in the role of city officials (collectively "Indemnitees ") free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner arising out of or incident to any acts or omissions of Consultant, its employees, or its agents in connection with the performance of this Agreement, including without limitation the payment of all consequential damages and attorneys' fees and other related costs and expenses, except for such loss or damage arising from the negligence and /or willful misconduct of the City, and its employees. With respect to any and all such aforesaid suits, actions, or other legal proceedings of every kind that may be brought or instituted against Indemnitees, Consultant shall defend Indemnitees, at Consultant's own cost, expense, and risk, and shall pay and satisfy any judgment, award, or decree that may be rendered against Indemnitees. Consultant shall reimburse City and its directors, officials, officers, employees, agents and /or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by Consultant, the City, its directors, officials, officers, employees, agents or volunteers. All duties of Consultant under this Section shall survive termination of this Agreement. 6 of 9 S7296 -0001 \1236808v1.doc 13.0 Equal Opportunity 13.1 Consultant affirmatively represents that it is an equal opportunity employer. Consultant shall not discriminate against any subcontractor, employee, or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex, sexual orientation, or age. Such non- discrimination includes, but is not limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff, or termination. 14.0 Labor Certification 14.1 By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code that require every employer to be insured against liability for Workers' Compensation or to undertake self- insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services. 15.0 Entire Agreement 15.1 This Agreement contains the entire agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings, or agreements. This Agreement may only be modified by a writing signed by both parties. 16.0 Severability 16.1 The invalidity in whole or in part of any provisions of this Agreement shall not void or affect the validity of the other provisions of this Agreement. 17.0 Governing Law 17.1 This Agreement shall be governed by and construed in accordance with the laws of the State of California. 18.0 No Third Party Rights 18.1 No third party shall be deemed to have any rights hereunder against either party as a result of this Agreement. 19.0 Waiver 19.1 No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a party shall give the other party any contractual rights by custom, estoppel, or otherwise. 7 of 9 S7296 -0001 \1236808v1.doc 20.0 Prohibited Interests; Conflict of Interest 20.1. Consultant covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which may be affected by the Services, or which would conflict in any manner with the performance of the Services. Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services. Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant "financially interested" (as provided in California Government Code § §1090 and 87100) in any decision made by City on any matter in connection with which Consultant has been retained. 20.2. Consultant further warrants and maintains that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Nor has Consultant paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, any fee, commission, gift, percentage, or any other consideration contingent upon the execution of this Agreement. Upon any breach or violation of this warranty, City shall have the right, at its sole and absolute discretion, to terminate this Agreement without further liability, or to deduct from any sums payable to Consultant hereunder the full amount or value of any such fee, commission, percentage or gift. 20.3. Consultant warrants and maintains that it has no knowledge that any officer or employee of City has any interest, whether contractual, non - contractual, financial, proprietary, or otherwise, in this transaction or in the business of Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant shall immediately make a complete, written disclosure of such interest to City, even if such interest would not be deemed a prohibited "conflict of interest" under applicable laws as described in this subsection. 21.0 Attorneys' Fees 21.1 If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party all of its attorneys' fees and other costs incurred in connection therewith. S7296 -0001 \1236808v1.doc 22.0 Exhibits All exhibits referenced in this Agreement are hereby incorporated into the Agreement as if set forth in full herein. In the event of any material discrepancy between the terms of any exhibit so incorporated and the terms of this Agreement, the terms of this Agreement shall control. 23.0 Wear and Tear of City Shop Equipment and Tools Consultant shall not be responsible for replacing City -owned shop equipment and tools rendered ineffective through normal wear and tear. 24.0 Corporate Authority The person executing this Agreement on behalf of Consultant warrants that he or she is duly authorized to execute this Agreement on behalf of said Party and that by his or her execution, the Consultant is formally bound to the provisions of this Agreement. IN WITNESS WHEREOF, the Parties hereto, through their respective authorized representatives have executed this Agreement as of the date and year first above written. CITY OF SEAL BEACH In Attest: , City Manager CONSULTANT By: Loretta Steenwyk Vice President, West Coast Name: Loretta Steenwyk Its: By: Linda Devine, City Clerk By: Approved as to Form: Nam( Its: M Quinn Barrow, City Attorney S7296- 000111362702v2.doc