(213) 240-8101
September 7, 2000
Honorable Board of Supervisors
County of Los Angeles
383 Kenneth Hahn Hall of Administration
500 West Temple Street
Los Angeles, California 90012
Dear Supervisors:
AGREEMENT AMENDMENT WITH PEDUS BUILDING SERVICES, INC. FOR HOUSEKEEPING SERVICES AT DEPARTMENT OF HEALTH SERVICES ADMINISTRATIVE OFFICES - COMMERCE (1st District) (3 Votes)
IT IS RECOMMENDED THAT YOUR BOARD:
Approve and instruct the Director of Health Services, or his designee, to sign an amendment substantially similar to the attached Amendment No. 1 to Agreement No. 68092 with Pedus Building Services, Inc., to extend the term on a month-to-month basis, for up to four months for the continued provision of housekeeping services at Department of Health Services Administrative Offices - Commerce, and to provide additional time to complete the Request for Proposals process to include implementation of the County=s Living Wage Program, effective October 1, 2000 through January 31, 2001. The estimated net County cost for the contract is $135,944, which includes funds for the contractor to pay its employees a living wage in accordance with the County=s adopted Living Wage Program.
PURPOSE OF RECOMMENDED ACTION:
In approving this action, the Board is authorizing the Director of Health Services, or his designee, to sign an amendment with Pedus Building Services, Inc. (Pedus) with an estimated contract cost of $135,944, for the continued provision of housekeeping services at Department of Health Services (DHS) Administrative Offices - Commerce.
Approval of the recommended amendment will assure the continued provision of housekeeping services at DHS Administrative Offices - Commerce on a month-to-month basis for up to four additional months.
Honorable Board of Supervisors
September 7, 2000
Page 2
JUSTIFICATION:
The County has been contracting out housekeeping services under the provisions of County Code 2.121.250, et. seq., "Contracting with Private Businesses" (Proposition A) since February 1989.
Contracting under Proposition A guidelines continues to be cost-effective and operationally feasible for the provision of housekeeping services at DHS Administrative Offices - Commerce (AOC). The continued provision of these services is essential to maintain the continuity of housekeeping services provided by Pedus Building Services, Inc. (Pedus) and provide DHS with additional time required to complete the resolicitation process. Approval of the extension amendment is required to ensure that these contract services continue.
The current agreement is scheduled to expire on September 30, 2000.
FISCAL IMPACT:
The total cost of housekeeping services under Amendment No. 1, which will cover the four-month period, commencing on October 1, 2000 and continuing through January 31, 2001, is $135,944.
FINANCING:
Sufficient funds are included in the Fiscal Year (FY) 2000-2001 Adopted County Budget to cover the cost of the extension.
FACTS AND PROVISIONS/LEGAL REQUIREMENTS:
Housekeeping services include, for example: custodial cleaning, window washing, light fixture cleaning, trash removal, and parking lot sweeping.
On April 4, 1995, the Board approved an agreement with Pedus Building Services for the provision of housekeeping services at AOC, effective April 4, 1995 through March 31, 2000, with provisions for an extension of up to six months. The agreement was subsequently extended through September 30, 2000, under the authority delegated to the Director of Health Services in the agreement.
The agreement includes indemnification and insurance provisions approved by the Chief Administrative Office, Risk Management Operations; provisions for the consideration of GAIN program participants for employment by contractor in the event additional or replacement personnel are required by the contractor during the term of the agreement; standard provisions covering the County's Child Support Compliance Program requirements; the County=s Living Wage Program requirements, and the contractor debarment provisions.
Honorable Board of Supervisors
September 7, 2000
Page 3
The agreement may be terminated at any time by the County by providing the contractor with 30 days advance written notice.
The contractor will continue to provide basic health coverage to its full-time employees who provide services under the agreement. The contractor will also accept referrals of County employees from the County=s Human Resources staff throughout the term of the agreement.
The recommended amendment will extend the term of the existing agreement; therefore, there is no employee impact.
Contract monitoring functions are performed by the AOC staff and the DHS Inspection and Audit Division.
Attachment 1 provides additional information.
County Counsel has reviewed and approved the amendment (Exhibit I) as to use and form.
CONTRACTING PROCESS:
DHS plans to release a new RFP incorporating all of the Living Wage requirements and contractor debarment provisions on or about November 13, 2000, and advertise the RFP on the Office of Small Business= Countywide Web Site and in local newspapers.
This amendment will extend the term of the current agreement on a month-to-month basis, pending completion of the new RFP process and implementation of the Living Wage Program.
IMPACT ON CURRENT SERVICES (OR PROJECTS):
The recommended amendment will continue provision of housekeeping services at AOC pending completion of the Department=s RFP solicitation process.
Honorable Board of Supervisors
September 7, 2000
Page 4
When approved, this Department requires three signed copies of the Board=s action.
Respectfully submitted,
Mark Finucane
Director of Health Services
MF:rdt
Attachments
c: Chief Administrative Officer
County Counsel
Executive Officer, Board of Supervisors
BLETACD1.LB
08/31/2000
ATTACHMENT 1
SUMMARY OF AGREEMENT
1. TYPE OF SERVICE:
Housekeeping services at the Department of Health Services Administrative Offices in the City of Commerce (AOC).
2. AGENCY ADDRESS AND CONTACT PERSON:
Pedus Building Services, Inc.
601 Potrero Grande, 3rd Floor
Monterey Park, California 91754
Attention: Don Tucker
Telephone: (213) 386-8480
3. TERM:
The term of the agreement commenced on April 4, 1995 and continued through March 31, 2000, with provisions for an extension of up to six months upon the mutual agreement of the parties, through September 30, 2000. Amendment No. 1 will incorporate the County=s Living Wage Program requirements into the current agreement on a month-to-month basis for up to four additional months, from October 1, 2000 through January 31, 2001.
4. FINANCIAL INFORMATION:
The total cost of the services for Amendment No. 1, effective October 1, 2000 through January 31, 2001 is $135,944.
5. PROGRAM INFORMATION:
6. APPROVALS:
Health Services/Operations: Fred Leaf, Chief of Staff
Contracts and Grants Division: John H. Ricks, Chief
County Counsel (approval as to form): Elizabeth Friedman, Deputy
ATTACHMENT 2
Position County Contractor
Custodian $10.89/hour $6.03/hour
Custodian Working Supervisor $8.64/hour $6.64/hour
Custodian Supervisor $13.41/hour $9.71/hour
Contractor Employee Benefits
Benefit Contractor
Health Plan Yes
Retirement Plan 401K for non-union personnel
Dental Plan Yes
Holiday 10 days/year
Sick Leave 6 days/year
Vacation 5-20 days/year
Life Insurance Offered
Bereavement Leave 5 days/year
Jury Duty Up to 30 days
Contractor Health Plan Information
Contractor provides all employees health coverage under Maxicare, a national HMO. The rates for a single employee premium with no dependents is $105.42. For employee plus one dependent, the rate is $244.26 per month, and employee=s entire family, the premium is $348.09.
