TO: Margate CRA Chair and Members of the Board
FROM: Cale Curtis, CRA Executive Director
DATE: October 11, 2023
Title
APPROVING THE THIRD AMENDMENT TO THE AGREEMENT BETWEEN THE MARGATE COMMUNITY REDEVELOPMENT AGENCY AND LANDSCAPE SERVICE PROFESSIONALS, INC, FOR A ONE-YEAR EXTENSION TO THE AGREEMENT, AND APPROVING A FIVE PERCENT RATE INCREASE
BACKGROUND: On December 11, 2018, the MCRA approved the award of RFP No. 2018-05 for Landscaping and Irrigation Services to Landscape Service Professionals, Inc. (LSP), and it entered into a four (4) year Agreement with the option to renew the terms of the Agreement for two (2) additional one-year increments. The initial term of the Agreement was from January 14, 2019 to January 13, 2023. This Agreement was approved for an amount not to exceed $261,510.50 annually for base services.
A First Amendment to the Agreement was approved April 10, 2019 via Resolution 595, which provided for a five-percent Contingency ($13,076); Landscape Refurbishments ($40,000); and Repairs due to Vehicular Accidents ($25,000).
A Second Amendment to the Agreement was approved December 13, 2022 via Resolution 696, which provided for an extension of the Agreement for an additional year, commencing January 14, 2023 to January 13, 2024 (the first of the two one-year renewal options). It also provided for a five percent increase of approximately $945 per month, or $11,400 annually.
LSP has submitted a letter to the MCRA requesting consideration of a five-percent (5%) increase in their monthly base rate plus labor rates listed under the Additional Services section of their Agreement, effective January 14, 2024. The five-percent base increase would be approximately $11,900 annually. The hourly labor rates would be as follows:
• Labor - Foreman from $35.00 to $36.75
• Labor - Laborer from $25.00 to $26.25
• Labor - Irrigation tech from $45.00 to $47.25
• Labor - Backhoe operator from $65.00 to $68.25
As a point of information, the annual base rate includes the cost of landscape maintenance services along the Atlantic Boulevard median (west of State Road 7 to City limits), that would be billed following completion of the installation of new and enhanced landscaping as part of the Atlantic Boulevard Median Improvement Project ($30,489 annually). LSP advised they would be unable to provide maintenance services to the western portion of the Atlantic median at the bid price provided in 2018. The MCRA has decided to continue to utilize City services to maintain that section of the median through the end of LSP’s contract (January 2025).
Note: The MCRA and LSP agreed to extend the end date from January 13, 2025 to January 31, 2025 for administrative purposes.
RECOMMENDATION: Requesting Board approval of the contract extension for one-year and direction on the rate increase.
FISCAL IMPACT: $11,900 annually based on current service levels; funds are available in Property Maintenance accounts: 140-0510-512.31-70 (Chevy Chase Plaza); 140-0510-512.31-71 (Ace Plaza); and 140-0510-512.31-38 (Professional Property Maintenance (Common Areas)
CONTACT PERSON: Cale Curtis, CRA Executive Director