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HomeMy WebLinkAbout1I OCR CITY COUNCIL STAFF REPORT DATE: JUNE 5, 2023 CONSENT CALENDAR SUBJECT: APPROVE AMENDMENT NO. 1 TO AGREEMENT NO. A9186 WITH NALCO COMPANY, LLC FOR WATER TREATMENT CHEMICALS AND SERVICES FROM: Scott C. Stiles, City Manager BY: Department of Maintenance and Facilities SUMMARY: This action will approve Amendment No. 1 to Agreement No. A9186 with Nalco Company, LLC in the amount of $300,000 for a revised contract amount not to exceed $375,000 for water treatment chemicals and services and extending the agreement term through June 30, 2025. RECOMMENDATION: 1. Approve Amendment No. 1 to Agreement No. A9186 (Attachment A) with Nalco Company, LLC to provide water treatment chemicals and services in an additional amount of $300,000 for a total revised contract amount not to exceed $375,000 and extending the term through June 30, 2025. 2. Authorize the City Manager or designee to execute all necessary documents. BUSINESS PRINCIPAL DISCLOSURE: According to the Public Integrity Disclosure form (Attachment B) Nalco Company, LLC is a limited liability company and registered in the State of Delaware. BACKGROUND: The City required the services of a water treatment chemicals and services company for operations and maintenance of the Municipal Cogeneration Plant, Fire Station No. 2, CVEP, Airport, City Hall, Police Station, Police Training Building, Sunrise Plant, Leisure Center, Pavilion, and Library. By utilizing Palm Springs Municipal Code Section 7.09.010, “Cooperative Purchasing Programs”, the City was allowed to obtain water treatment Item 1I - Page 1 City Council Staff Report June 5, 2023 -- Page 2 Amend Water Treatment Chemicals and Services Agreement chemicals through Nalco Company, LLC (Nalco), under General Services Administration Contract No. GS-07F-0176Y. Therefore, the City entered into a Contract Services Agreement with Nalco on July 1, 2022, in an amount not to exceed $75,000, through June 30, 2023, to meet the Facilities and Maintenance Departments immediate needs. STAFF ANALYSIS: Staff is requesting approval of Amendment No. 1 in the amount of $300,000 for a revised contract amount not to exceed $375,000, and extending the agreement term through June 30, 2025, for water treatment chemicals and services. This Contract Services Agreement operates as an on-call service; as such, staff places chemical orders as each of the eleven facilities requires. Facilities Maintenance estimates the necessary water treatment chemicals and services to be $125,000 annually. Therefore, increasing the contract to a not to exceed amount of $375,000, and extending the term of the contract through June 30, 2025, will allow for current and future water treatment needs to be met. ENVIRONMENTAL ASSESSMENT: The requested City Council action is not a “Project” as defined by the California Environmental Quality Act (CEQA). Pursuant to Section 15378(a), a “Project” means the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment. The requested action is to approve contracts for the above-mentioned services, and is exempt from CEQA pursuant to Section 15378(b), in that a “Project” does not include: (5) Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment. ALIGNMENT WITH STRATEGIC PLANNING: Approval of this action supports City Council priority 2A, Improve City Facilities. FISCAL IMPACT: Sufficient funds are budgeted and available in the current Fiscal Year 2022-23 account 5206570-50115. Item 1I - Page 2 City Council Staff Report June 5, 2023 -- Page 3 Amend Water Treatment Chemicals and Services Agreement REVIEWED BY: Assistant Director of Maintenance & Facilities: Heather MacPherson Procurement and Contracting Manager: Kim Baker Assistant City Manager: Teresa Gallavan City Manager: Scott Stiles ATTACHMENTS: A. Amendment No. 1 B. Public Integrity Disclosure Item 1I - Page 3 ATTACHMENT A Item 1I - Page 4 AMENDMENT NO. 1 TO CONTRACT SERVICES AGREEMENT NO. A9186 FOR WATER TREATMENT CHEMICALS AND SERVICES This Amendment No. 1 to the Contract Services Agreement (A9186), (“Amendment No. 1”), is made and entered into this _____ day of _____________, 2023, by and between the City of Palm Springs, a California charter city and municipal corporation, hereinafter designated as the City, and Nalco Company LLC, a Delaware Limited Liability Company, hereinafter designated as the Contractor. City and Contractor are individually referred to as “Party” and are collectively referred to as the “Parties”. RECITALS A. City requires the services of a licensed contractor for water treatment chemicals and services, (“Project”). B. On May 1, 2022, the City Manager approved A9186, commencing July 1, 2022, and continuing through June 30, 2023, in reference to the competitively solicited contract through General Service Administration (GSA) Contract GS-07F-0176Y, with Contractor, for a total contract amount not to exceed $75,000. C. Parties desire to extend the Term of A9186 two years through June 30, 2025, and add $300,000, for a total contract amount not to exceed $375,000. D. Contractor desires to perform said services on the terms and conditions set forth in this Amendment. In consideration of these promises and mutual obligations, covenants, and conditions, the Parties agree as follows: AGREEMENT SECTION 1. The true and correct recitals above are incorporated by this reference herein as the basis for this Amendment No. 1. SECTION 2. 3.1 Compensation and Payment. Is hereby replaced in its entirety as follows: “3.1 Compensation and Payment. Contract shall be compensated and reimbursed for the services rendered under this Agreement in accordance with the schedule of fees set forth in Exhibit “A”. The total amount of Compensation shall not exceed $375,000.” Item 1I - Page 5 SECTION 3. 4.4 Term. Is hereby replaced in its entirety as follows: “4.4 Term. Unless earlier terminated in accordance with Section 4.5 of this Agreement, this Agreement shall continue in full force and effect for a period of one year, commencing on July 1, 2022, continuing through June 30, 2025, unless extended by mutual written agreement of the Parties.” SECTION 4. Full Force and Effect. All terms, conditions, and provisions of the Contract Services Agreement A9186, unless specifically modified herein, shall continue in full force and effect. In the event of any conflict or inconsistency between the provisions of this Amendment No. 1 and any provisions of the Contract Services Agreement A9186, the provisions of this Amendment No. 1 shall in all respects govern and control. SECTION 5. The persons executing this Amendment No. 1 on behalf of the Parties hereto warrant that (I) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Amendment No. 1 on behalf of said party, (iii) by so executing this Amendment No. 1, such party is formally bound to the provisions of this Amendment No. 1, and (iv) the entering into this Amendment No. 1 does not violate any provision of any other agreement to which said Party is bound. Except as specifically amended by this Amendment No. 1, all terms and provisions of Agreement No. A9186 remain in full force and effect. [SIGNATURES ON FOLLOWING PAGE] Item 1I - Page 6 SIGNATURE PAGE TO AMENDMENT NO. 1 (A9186) BY AND BETWEEN THE CITY OF PALM SPRINGS AND NALCO COMPANY LLC IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates stated below. CONTRACTOR: By:___________________________ By:____________________________________ Signature Signature (2nd signature required for Corporations) Date: Date: CITY OF PALM SPRINGS: APPROVED BY CITY COUNCIL: Date: _______ Item No. APPROVED AS TO FORM: ATTEST: By: ___________________________ By: City Attorney City Clerk APPROVED: By: _______________________________ Date: City Manager – over $50,000 Deputy/Assistant City Manager – up to $50,000 Director – up to $25,000 Manager – up to $5,000 Item 1I - Page 7 ATTACHMENT B Item 1I - Page 8 Item 1I - Page 9PUBLIC INTEGRITY DISCLOSURE APPLICANT DISCLOSURE FORM 1. Name of Entity 2. 3. 4. Nalco Company, LLC Address of Entity (Principle Place of Business) 1601 West Diehl Road Naperville, IL 60563-1198 Local or California Address (if different than #2) State where Entity is Registered with Secretary of State Delaware If other than California, is the Entity also registered in California? n Yes rx7 No 5. Type of Entity D Corporation [i] Limited Liability Company D Partnership D Trust D Other (please specify) 6. Officers, Directors, Members, Managers, Trustees, Other Fiduciaries (please specify) Note: If any response is not a natural person, please identify all officers, directors, members, managers and other fiduciaries for the member, manager, trust or other entity Christophe Beck ___________________ [i] Officer D Director D Member D Manager [name] D General Partner D Limited Partner · •Other ___________ _ Scott Kirkland ___________________ ~ Officer D Director D Member D Manager [name] D General Partner D Limited Partner •Other ____________ _ Angela Busch ___________________ D Officer D Director D Member [i] Manager (Revised 09 13 18) [name] D General Partner D Limited Partner D Other _____________ _ CITY OF PALM SPRINGS -PUBLIC INTEGRITY DISCLOSURE APPLICANT DISCLOSURE FORM Page 1 of 2 Item 1I - Page 107. Owners/Investors with a 5% beneficial interest in the Aoolicant Entity or a related entity EXAMPLE JANEDOE 50%, ABC COMPANY, Inc. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] A. The Vanguard Group, Inc. 7.5% [name of owner/investor] [percentage of beneficial interest in entity and name of entity] B. Blackrock Fund Advisors 4.24% [name of owner/investor] [percentage of beneficial interest in entity and name of entity] C. Wellington Management Co. LLP 3.98% [name of owner/investor] [percentage of beneficial interest in entity and name of entity] D. SSgA Funds Management, Inc. 3.90% [name of owner/investor] [percentage of beneficial interest in entity and name of entity] E. Aristotle Capitol Management LLC 1.86% [name of owner/investor] [percentage of beneficial interest in entity and name of entity] I DECLARE UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT. Signature of Disclosing Party, Printed Name, Title Date (Revised 09 13 18) CITY OF PALM SPRINGS -PUBLIC INTEGRITY DISCLOSURE APPLICANT DISCLOSURE FORM Page 2 of 2 Item 1I - Page 11Signature: ~~.J---:-.1..lqd~a._ __ _ Email: gary.hagler@ecolab.com