HomeMy WebLinkAboutItem 32 - Approve Fourth Amendment to the Agreement with LAZ Parking for Parking Enforcement Services Police Department
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Item # 32
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
June 21, 2022
TOPIC: Approve Fourth Amendment to the Agreement with LAZ Parking for Parking
Enforcement Services
AGENDA TITLE:
Approve Fourth Amendment to the Agreement with LAZ Parking in the amount of
$826,255 for Parking Enforcement Services (General Fund)
RECOMMENDED ACTION
Authorize the City Manager to execute the fourth amendment to the agreement with LAZ
Karp Associates, LLC, for parking enforcement services for the period of July 1, 2022
through June 30, 2023, in an amount not to exceed $826,255, including a 10%
contingency ($75,114), subject to non-substantive changes approved by the City
Manager and City Attorney.
DISCUSSION
On June 19, 2018, the City Council approved agreement A-2018-158 with Serco, Inc. to
provide parking enforcement services for the Police Department. The City consented to
LAZ Karp Associates’ (LAZ) acquisition of Serco’s parking business in January 2021. LAZ
performs the enforcement of street sweeping violations and enforcement of other
designated sections of the Santa Ana Municipal Code and California Vehicle Code, as
authorized by the Chief of Police. Under this agreement, LAZ provides Parking
Ambassadors, a Parking Enforcement Supervisor, vehicles, fuel, uniforms, and other
miscellaneous supplies. Before they are deployed, LAZ employees must complete
training related to Police Department parking procedures, equipment, vehicle operations,
and traffic control. In addition, LAZ employees receive training in basic customer service,
including conflict resolution, handling difficult customers, and cultural diversity.
The original term of the agreement covered the two-year period of July 1, 2018, through
June 30, 2020. The first one-year extension included an amount of $705,553, including
a 10% contingency ($64,141), to fund these services for the period of July 1, 2020,
through June 30, 2021. The second one-year extension remained the same as the first
one-year extension at $705,553, included a 10% contingency ($64,141) that funded these
services for the period of July 1, 2021 through June 30, 2022. The Department is electing
Approve Fourth Amendment to the Agreement with LAZ Parking for Parking Enforcement
Services
June 21, 2022
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2
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to exercise the third and final one-year extension for the period of July 1, 2022 through
June 30, 2023.
During this contract extension, LAZ will include the purchase of an additional enforcement
vehicle. In addition, one additional Parking Ambassador (PA) will be hired to increase
existing staff ratios. The existing PAs will receive a modest increase to their salaries. This
will allow LAZ to remain competitive in their respective market in regards to hiring and
retaining employees. LAZ has been accommodating, professional and consistent in its
provision of parking enforcement services, and staff recommends approval of this
agreement amendment.
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
Funds in the amount of $826,255 will be available in the Police Department’s Traffic
Division, Contract Services account no. (01114405-62300) upon City Council adoption of
the FY 2023-23 annual budget.
EXHIBIT(S)
1. Amendment to Agreement with LAZ Parking
Submitted By: David Valentin, Police Chief
Approved By: Kristine Ridge, City Manager
Exhibit 1
FOUTH AMENDMENT TO ENFORCEMENT SERVICES
AGREEMENT WITH LAZ PARKING
THIS FOURTH AMENDMENT to the above-referenced agreement is entered into on June 21,
2022, by and between LAZ Karp Associates, LLC, a Connecticut limited liability company
(“Consultant”) and the City of Santa Ana, a charter city and municipal corporation organized and
existing under the Constitution and laws of the State of California (“City”).
RECITALS
A. On June 19, 2018, the City entered into Agreement No. A-2018-158 (“Agreement”) with
SERCO, Inc., to provide parking control enforcement services for the City.
B. The Agreement was subsequently amended on August 21, 2018 (A-2018-222) to amend
selected terms and conditions to the Agreement. This was followed up by a Second
Amendment to the Agreement dated August 18, 2020 to increase the overall compensation and
clarify terms and conditions within the Agreement and the Scope of Work.
C. On June 10, 2020, SERCO and the City exercised the first of three one (1) year options to
extend the Agreement on June 10, 2020 (#A-2018-158-01) until June 30, 2021.
D. On January 21, 2021, the City consented to a request from LAZ Karp Associates, LLC
(“Consultant”) to be assigned the duties and responsibilities related to the above referenced
Agreement, as amended (A-2020-169-01). Effective January 21, 2021, Consultant became a
party to this Agreement, as amended.
E. On June 1, 2021, the parties entered into a Third Amendment to the Agreement (#A-2021-083)
to increase the overall compensation reflective of Consumer Price Index (“CPI”) increases,
and exercised the second option to extend the Agreement, as previously allowed under the
terms of the Agreement, as amended, through June 30, 2022. The Agreement is current and in
effect.
F. The parties now wish to further amend the agreement to increase the overall compensation to
cover increased services provided by the Agreement, as amended, and exercise the third and
final option to extend the Agreement.
The Parties therefore agree:
1. Section 2, Compensation, is amended to increase the overall compensation of the Agreement.
Compensation provided for the third and final extension to the Agreement, as detailed below,
includes costs to cover this final extension of the Agreement, and includes additional costs and
services detailed in Exhibit A to this Fourth Amendment. The total amount to be expended
during this final one-year term of the Agreement, as detailed in this Fourth Amendment, shall
not exceed $826,255, including a 10% contingency ($75,114) for services to be provided at
the sole discretion of the City. The compensation detailed for this Fourth Amendment,
shall be added to the not-to-exceed amount for the Agreement, as amended.
Page 1 of 2
2. Section 3, Term. The parties agree to extend the term of the Agreement for an additional one
(1) year period from July 1, 2022 through June 30, 2023. The parties agree and understand
that no further term extensions are available to exercise. No other changes are contemplated
to this section.
3. Except as modified by this Fourth Amendment, all terms and conditions of the Agreement, as
amended, shall remain in full force and effect.
IN WITNESS WHEREOF, the parties hereto have executed this Fourth Amendment to the
Agreement on the date and year first written above.
ATTEST CITY OF SANTA ANA
_______________________________
DAISY GOMEZ
______________________________
KRISTINE RIDGE
Clerk of the Council City Manager
APPROVED AS TO FORM LAZ KARP ASSOCIATES, LLC
SO ney
By _
TAMARA BOGOSIAN
Senior Assistant City Attorney
Jared Svendsen
Title: Regional Vice President
RECOMMENDED FOR APPROVAL
________________________________
David Valentin
Chief of Police
Page 2 of 2
EXHIBIT A to 4th Amendment
Included in the proposed budget will be one (1) additional Parking Enforcement Ambassador and one (1) additional vehicle.
We respectfully submit our request to increase the annual budget and subsequent hourly billing rate as follows:
1 Supervisor
1 Lead Enforcement Checker
5 Enforcement Checkers (Day Time, Street Sweeping Detail)
2 Enforcement Checkers (PM Shift, Downtown Meter and General Enforcement Detail)
Proposed Hourly Rate:
Checker (PA) Rate - $38.00
Supervisor Rate - $52.80
Not to Exceed Budget of $826,255, this includes a 10% contingency.
FY 2023
December JanuaryRatesJulyAugustSeptemberOctoberNovember February March April May June Total
Hourly Rate Income - SUP
Hourly Rate Income - CHK
TOTAL GROSS REVENUE
53.80
38.00
8,651 8,651 8,651 8,651 8,651 8,651 8,651 8,651 8,651 8,651 8,651 8,651 103,818
53,944 53,944 53,944 53,944 53,944 53,944 53,944 53,944 53,944 53,944 53,944 53,944 647,323
751,14162,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595
TOTAL NET REVENUE 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 62,595 751,141
TOTAL PAYROLL AND BENEFITS
Labor
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
49,832
36,459
1,823
3,637
1,531
383
597,988
437,503
21,875
4,361
Vacation/Sick 5.00%
9.50%
4.00%
1.00%
Payroll Taxes
Worker's Compensation
401k Company Match
Health Insurance
18,375
4,594
6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 6,000 72,000
ADMINISTRATIVE COSTS
Audit Fees
908
292
83
908
292
83
908
292
83
908
292
83
908
292
83
908
292
83
908
292
83
908
292
83
908
292
83
908
292
83
908
292
83
908
292
83
10,894
3,500
1,000
1,800
4,594
$ 292
$ 83IT Fees
Employee Hiring Costs, Background Checks
Payroll Processing
$150
1.00%
150
383
150
383
150
383
150
383
150
383
150
383
150
383
150
383
150
383
150
383
150
383
150
383
CAPITAL EXPENDITURES
Transportation
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
3,000
2,000
1,000
36,000
24,000
12,000
$2,000
$1,000New Vehicle
CONTRACTED THIRD PARTY SERVICES
LIABILITY INSURANCE
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
200
2,557
0
0
2,400
30,683
0
$200
PROFIT + OVERHEAD $2,557
REPAIRS AND MAINTENANCE
UNIFORMS $250 250 250 250 250 250 250 250 250 250 250 250 250 3,000
SUPPLIES 4,918
70
4,918
70
4,918
70
4,918
70
4,918
70
4,918
70
4,918
70
4,918
70
4,918
70
4,918
70
4,918
70
4,918
70
59,016
840Computers$70
$20Time Clock 20 20 20 20 20 20 20 20 20 20 20 20 240
Fuel $1,500
$250
$2,428
$350
$100
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
1,500
250
2,428
350
100
0
18,000
3,000
29,136
4,200
1,200
0
Vehicle R&M
Vehicle Insurance
Radios- GPS
Office Supplies
Body Cam
Communication/Cellular $200 200 200 200 200 200 200 200 200 200 200 200 200 2,400
OFFICE EXPENSE
Rent
930
810
120
930
810
120
930
810
120
930
810
120
930
810
120
930
810
120
930
810
120
930
810
120
930
810
120
930
810
120
930
810
120
930
810
120
11,160
9,720
1,440
$810
$120Telephone/Internet
TOTAL OTHER EXPENSES 12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
12,763
62,595
153,153
751,141TOTAL OPERATING EXPENSES