January 7, 1999 AS-0
The Honorable Board of Supervisors
County of Los Angeles
383 Kenneth Hahn Hall of Administration
500 West Temple Street
Los Angeles, CA 90012
Dear Supervisors:
UNARMED SECURITY SERVICES FOR
THE DEPARTMENT OF PUBLIC WORKS' HEADQUARTERS COMPLEX
SUPERVISORIAL DISTRICT 5
3 VOTES
IT IS RECOMMENDED THAT YOUR BOARD:
1. Find that unarmed security services for the Department of Public Works' Headquarters Complex can be more economically performed by an independent contractor than by County employees.
2. Award the contract for "Unarmed Security Services at the Department of Public Works' Headquarters Complex" to International Services, Inc., located in Torrance, California, effective February 1, 1999, for a one-year period, with two 1-year options not to exceed a total contract period of three years.
3. Instruct the Chairman to sign the contract.
4. Authorize the contractor to proceed with the work in accordance with the contract's specifications, terms, conditions, and requirements.
5. Authorize the Department to encumber an annual amount of $378,564 plus 15 percent for additional, unforseen security services beyond the contemplated scope of this contract. This amount represents the cost of this service based on the annual price submitted by the contractor.
The Honorable Board of Supervisors
January 7, 1999
Page 2
PURPOSE OF RECOMMENDED ACTION
The Department of Public Works requires security services at its Headquarters Complex in order to protect employees and the public and to prevent theft and/or vandalism. The scope of work includes around-the-clock security coverage, 365 days per year.
JUSTIFICATION
In 1989, the Department commenced contracting for Headquarters Complex security services as they can be accomplished more economically by an independent contractor than by County employees. The contractor will provide security personnel for the purpose of securing the Headquarters Complex, controlling egress and ingress, and detecting and preventing individuals or groups from committing illegal acts which are injurious to others or property.
FISCAL IMPACT
The contract's first-year amount is $378,564 plus 15 percent for additional, unforseen security services beyond the contemplated scope of this contract. These additional funds provide for emergency security operations such as national emergencies, threats to Department employees, and as a short term deterrent to occasional criminal activities at the Headquarters Complex. These additional funds will not be expended without the authorization of the Director of Public Works. There will be an annual impact on net County cost of approximately $2,300 with the award of this contract.
The contract allows cost of living adjustments for the two-optional years in accordance with County policy established by the Chief Administrative Office.
The Department has calculated the cost effectiveness of contracting for these security services in accordance with Auditor-Controller contract cost guidelines. Based on the cost
The Honorable Board of Supervisors
January 7, 1999
Page 3
calculations, the Department has determined that these services can be more economically performed by an independent contractor than by County employees. A savings of $199,641 will be realized by the Department during the contract's first year (Enclosure B).
The County's direct labor costs (salaries and employee benefits) are greater than those paid by the contractor. Both the County's and the contractor's material and supply costs are generally equal and cannot be altered.
This contract will commence on February 1, 1999, for a period of one year. If mutually agreeable, this contract may be automatically renewed from year to year without further action by either party for a total contract period not to exceed three years. In any event, this contract may be canceled or terminated at any time by the County without cause upon the giving of at least 30 days' written notice to the contractor. This contract also allows termination should funds not be appropriated for a future fiscal year.
FINANCING
Funds are included in the Department's 1998-99 Internal Service Fund budget to cover the cost of this contract.
FACTS AND PROVISIONS/LEGAL REQUIREMENTS
These security services are being contracted in accordance with procedures authorized under the provisions of County Charter Section 44.7, Part 3, Chapter 2.121.250 through 2.121.420, Title 2, of the Los Angeles County Code.
The mandatory requirements for contracting set forth in Los Angeles County Code Section 2.121.380 have been met.
The contract has been properly executed by the contractor and County Counsel has approved this contract as to form.
The Honorable Board of Supervisors
January 7, 1999
Page 4
The required Comprehensive General and Automobile Liability insurance policies, naming the County as additional insured, evidence of Workers' Compensation insurance, and a performance bond will be obtained from the contractor before work commences.
This contract contains recent Board-ordered contract terms and conditions regarding contract termination for improper considerations and for the contractor to consider GAIN Program participants should the contractor require additional or replacement personnel.
The Department has confirmed that the District Attorney has received the contractor's Principal Owner Information form in compliance with Los Angeles County Code Chapter 2.200 (Child Support Compliance Program).
CONTRACTING PROCESS
On October 15, 1998, the Department solicited proposals from 153 independent contractors and community business organizations. Also, a notice of proposal availability was placed on the Office of Small Business' Internet website and an advertisement was placed in the Los Angeles Times and the L. A. Watts Times.
On November 12, 1998, fourteen proposals were received. An Evaluation Committee consisting of Department staff, with the assistance of the Chief Administrative Office's Office of Security Management, evaluated each proposal. The evaluation was based on criteria outlined in the Request for Proposals which included the proposer's work plan, qualifications of proposer's organization, experience, capability, staffing, references, demonstrated quality, and pricing. Based on this evaluation, it is recommended that this work be awarded to the highest evaluated proposer, International Services, Inc., located in Torrance, California.
Enclosure A summarizes the minority participation of each proposer. The contractor was selected upon final analysis and consideration, without regard to race, creed, gender, or color.
The Honorable Board of Supervisors
January 7, 1999
Page 5
As requested by your Board, the contractor has submitted a safety record which, in our opinion, reflects that activities conducted by this firm have been according to reasonable standards of safety.
As directed by your Board, the contractor is required to provide basic health insurance for all full-time employees who will be performing work for the contractor under this contract (Enclosure C).
IMPACT ON CURRENT SERVICES (OR PROJECTS)
The award of this contract will not result in the displacement of any County employees, as the Department is presently contracting for these services with the private sector.
NEGATIVE DECLARATION/ENVIRONMENTAL IMPACT REPORTS
Not applicable.
CONCLUSION
Please have the original and one copy of this contract signed by the Chairman. Please return the signed copy for the contractor to this office, together with a conformed copy for the Department's files. The fully executed original should be retained for your files.
The Honorable Board of Supervisors
January 7, 1999
Page 6
One approved copy of this letter is requested.
Respectfully submitted,
HARRY W. STONE
Director of Public Works
HH
P:\ASPUB\CONTRACT\HAROLD\SECURITY\1998\BL-HQSEC98
Enc. 6
cc: Chief Administrative Officer
County Counsel