SUBJECT:     APPROVAL OF AN AMENDMENT TO THE AGREEMENT WITH MILLAR ELEVATOR SERVICE COMPANY

 

 

RECOMMENDATION

 

Adopt a resolution authorizing the Director of General Services to amend the contract with Millar Elevator Service Company to increase the compensation for supplemental services for unexpected repairs from ten thousand dollars ($10,000) to twenty thousand dollars ($20,000) for the option period of December 1, 2000 through November 30, 2001, for a total contract amount during the option period not to exceed $162,266.

 

BACKGROUND

 

On November 25, 1997, Item 6e(5), City Council approved an agreement for elevator and escalator maintenance in various City facilities (Resolution #67767).  The initial agreement was approved for one-year with three one-year option periods for renewal.  A CPI adjustment is included in each option year.  In addition to the base cost, the agreement also includes $10,000 in supplemental monies for unexpected repairs.

 

ANALYSIS

 

The current agreement term is authorized up to $152,266.  However, there have been several unanticipated incidents of elevator mechanical system failures that have required immediate attention and the use of supplemental monies.  After careful analysis, it was determined that due to the increased occurrences of these unanticipated repairs, there needs to be an increase in the supplemental monies in order to continue to respond to the emergencies immediately.  The anticipated supplemental need is an additional $10,000 for a total allocation of $20,000.

 

PUBLIC OUTREACH

 

Not applicable

 

COORDINATION

 

This memorandum has been coordinated with the City Attorney’s Office and the Budget Office.

 

COST IMPLICATIONS

 

The City will make available an additional $10,000 for unanticipated elevator repairs.

 

BUDGET REFERENCE

 

                     Fund:          General Fund - 001

   Budget Amount:            $11,454,758 - non-personal

Budget Document:           2000-2001 Proposed Operating Budget - page 863

 

 

Francis B. McVey

Acting Director of General Services