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Agreement Award for Graffiti Removal Services December 20, 2010 Page 2 A Request for Proposals was advertised on August 12 and 14, 2009, and proposals were solicited. A summary of the proposals requested and received is as follows: 11 Request for Proposals mailed 0 Request for Proposals mailed to Santa Ana vendors 2 Proposals received 0 Proposals received from Santa Ana vendors On August 26, 2009, two proposals were received and were evaluated by a City team comprised of representatives from the Public Works Agency, Police Department, and Community Development Agency using the following criteria: organizational credentials, experience, work plan, and pricing. The maximum obtainable score is 750. The ratings for the two respondents are as follows: FIRM LOCATION PRICE PER MONTH RATING Graffiti Protective Coatings, Inc. Los Angeles, CA $50,000 709 Urban Graffiti Enterprises Inc. Azusa, CA $37,500 507 Staff performed reference checks on both proposers and was informed by several cities that Urban Graffiti Enterprises Inc. did not perform and therefore their contract was not renewed. The proposal from Graffiti Protective Coatings, Inc., (GPC) received the highest overall rating, is responsive to the specifications, and meets the City's requirements. The GPC proposal included an extensive work plan and demonstrated the organizational credentials and staff experience necessary for removing graffiti. They have consistently demonstrated the ability to provide a high standard of service. Additionally, GPC provided staff with a written statement indicating the rate of pay for their employees exceeds the living wage standards for the Santa Ana and Orange County area. Thus staff recommends an agreement with GPC for an annual amount of $600,000 with no cost increases over the five-year term per Exhibit 1. There will be no layoffs of City employees as a result of this contract. City staff assigned to the graffiti removal program will be reassigned to the right-of-way maintenance program in the sanitation fund with no changes to their current salary rate. Current estimates are that up to 80 percent of the staff in the Maintenance Services Division are eligible to retire within the next five years. With a conservative assumption of one employee retiring per year, the Sanitation Fund will then realize a gradual cost savings. This reduction in personnel costs is an important long-term strategy to balance the sanitation fund given that any increase in this fund is subject to voter approval per Proposition 218. 25D-2