Title
Report regarding a resolution approving and authorizing the City Manager to execute a purchasing contract to procure play structure equipment for the Centennial Trail Improvements Project. (Jacob Gilchrist, Director of Capital Projects).
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RECOMMENDATION
Recommendation
Staff recommends that City Council adopt a resolution approving the procurement of play structure equipment and authorizing the City Manager to execute a purchasing contract with vendor Landscape Structures Inc. of Delano, MN for the Centennial Trail Improvements Project (pk 2302), in the amount not to exceed $240,730.99.
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BACKGROUND/DISCUSSION
The new Centennial Trail Improvements project will create a new park along Centennial Trail between Spruce Avenue and South San Francisco city limits near Huntington Avenue. The new park includes an outdoor learning space, a pollinator themed garden and playground, nature play space, green space and picnic tables, and a skate park and bike park with new lighting and improvements to the paved trail. The project is funded by a Clean CA grant and matching funds from the City.
The pollinate themed garden and playground includes play structure equipment coordinated with the pollinator theme. The City was recently advised of a change in the lead time for the selected play structure equipment: lead time changed from twelve weeks to nine months to receive the play structure equipment, which exceeds the construction period. The project is committed to a construction completion deadline of June 2024 related to the Clean CA grant award. Staff is targeting a bid period in August 2023, and is working on the final construction documents.
Staff plans to purchase this play structure equipment using a cooperative purchase program now to account for production lead times and keep the project on schedule. Identical to the procurement strategy utilized for the new Police Operations and 9-1-1 Dispatch Center and the new Library, Park and Recreation and Community Theater/Council Chamber, these cooperative purchase programs allow the City to “piggyback” on other public agencies’ bid processes and take advantage of already contracted low prices. Use of cooperative purchasing programs is a way of obtaining goods and services by aggregating volume, securing value pricing, and reducing administrative overhead. Use of purchasing cooperatives significantly reduces the time and resources needed to competitively bid goods and services contracts, resulting in better overall value. When compared to standard retail prices, the project team estimates that the City will save in excess of 10% overall by using this procurement strategy.
The City may enter into piggyback contracts, under SSF Municipal Code section 4.04.040(b), if the contract terms are valid and have been negotiated by another governmental agency using a quote or bid process that substantially conforms to the procedures established by state law and the City purchasing ordinance. Further, the City’s purchasing policy requires the bid process on the piggybacked contract to have been completed within the last year.
Staff is recommending the use of the Sourcewell cooperative purchasing program for the play structure equipment provided by Landscape Structures Inc. that make up the “pollinator hedra design” to complement the pollinator garden theme of the playground. The total amount of the proposal is $240,730.99.
Landscape Structures Inc. is a member of Sourcewell, a service cooperative created by the Minnesota legislature as a local unit of government. Sourcewell is explicitly authorized to provide cooperative purchasing services and follows the competitive contracting law process to solicit, evaluate, and award cooperative purchasing contracts for goods and services.
FISCAL IMPACT
The play structure equipment cost of $240,730.99 is included as part of the construction budget in the current total project budget of $4,818,478 for pk2302. No additional funding appropriation is required.
RELATIONSHIP TO STRATEGIC PLAN
This effort is included in the City’s Strategic Plan. It aligns with Priority #2, which is focused on enhancing quality of life, and Priority #4, which is focused on enhancing public safety.
CONCLUSION
Staff recommends the City Council adopt a resolution authorizing the City Manager to execute a purchase agreement with Landscape Structures Inc.
Attachments:
1. Landscape Structures Quote
2. Centennial Way Trail Presentation