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HomeMy WebLinkAbout09 - Amendment to LSA for Medians and Roadsides Contract No. 8651-1)Q �EwPpRT CITY OF s NEWPORT BEACH `q44:09 City Council Staff Report January 13, 2026 Agenda Item No. 9 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: David A. Webb, Public Works Director - 949-644-3311, dawebb@newportbeachca.gov PREPARED BY: Kevin Pekar, Parks & Trees Superintendent - 949-644-3069 kpekar@newportbeachca.gov TITLE: Amendment to Landscape Services Agreement for Medians and Roadsides with Brightview Landscape Services, Inc. (Contract No. 8651-1) ABSTRACT: The City of Newport Beach (City) utilizes contract services to perform landscape maintenance of City medians and roadsides. As part of the agreement, Brightview Landscape Services, Inc. (Brightview) performs an extensive number of on -call services, such as emergency storm response, irrigation part replacement, plant replacement, landscape enhancements and City street -tree planting. If approved, the amendment will allow up to $2 million in additional on -call services throughout the agreement term which expires November 30, 2027. RECOMMENDATIONS: a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) Approve Amendment No. Two to the Maintenance and Repair Services Agreement with Brightview Landscape Services, Inc. for Landscape Maintenance of Medians and Roadsides to increase the on -call portion of the contract by $2 million for a new on -call not -to -exceed amount of $6,380,068 and a total not -to -exceed amount of $21,249,760 and authorize the Mayor and City Clerk to sign the amendment. DISCUSSION: This agreement encompasses landscape maintenance for over 265 acres of medians and roadside landscape throughout the City. The landscape on medians and roadsides along major arterials, such as Coast Highway, is constantly in public view, as tens of thousands of residents, visitors and commuters travel these streets per day. Other examples of the sites maintained include landscaped slopes in Newport Coast, the landscape and hardscape areas in the Newport Pier and Balboa Pier parking lots, street end landscaping along the beach and bay, the landscape areas around the Newport Coast Community Center and the Oasis Senior Center, the Balboa Village area, and several Utilities Department sites, including Big Canyon Reservoir. Landscape maintenance activities Approval of Amendment Two to Maintenance and Repair Services Agreement for Landscape Maintenance of Medians and Roadsides with Brightview Landscape Services, Inc. (Contract No. 8651-1) January 13, 2026 Page 2 include lawn mowing and care, trimming of groundcover and shrubs; irrigation monitoring, repairs and adjustments; small tree maintenance; refuse policing; weed control; and other related duties. The current seven-year agreement with Brightview was entered into on December 1, 2020, at a total not -to -exceed (NTE) amount of $16,350,000. The on -call portion of the contract was initially set at an NTE of $2,100,068, or approximately $300,000 per year. Typical on - call services include emergency storm response, traffic accident repairs, irrigation part replacements, unforeseen plant replacements, seasonal color change -outs, landscape enhancements, City street -tree plantings, clean-ups, and repairs and plantings due to vandalism. Brightview's on -call services have been utilized throughout the years of the agreement more than anticipated. For example, unprecedented rainfall over several years created rapid weed growth over non -contract streets and sidewalks necessitating extra on - call weed abatement services. Replacement of plant materials and the cost of irrigation parts for repairs have increased due to inflation and supply chain issues. Brightview has also assisted immensely with the City's street tree planting initiative. Staff has relied on the contractor to install up to 20 trees a month, which at times includes restoring parkway irrigation and landscaping. Several landscape projects on the horizon will require Brightview's assistance (e.g. irrigation and landscape enhancements along East Coast Highway, from Seaward to Evening Canyon). These improvement and rehabilitation needs are expected to stay consistent throughout the remainder of the contract term. The table below shows some of the typical on -call expenditures Brightview has made to date and the approximate annual cost associated with each. The table is not inclusive of all types of on -call work performed. Typical Expenditures Average Annual Cost Irrigation Repair Parts $200,000 Traffic Accident Repairs $50,000 Plant Replacements, Seasonal Color, Debris & Weed Abatement $270,000 Tree Replacements (Street Trees) $130,000 Landscape Enhancements (smaller non-CIP type work) $190,000 To maintain high quality and attractive median and roadside areas, staff requests an increase to the on -call portion of the agreement by $2 million for a new on -call NTE amount of $6,380,068 and total overall NTE of $21,249,760 for the seven-year term of the contract. Approval of Amendment Two to Maintenance and Repair Services Agreement for Landscape Maintenance of Medians and Roadsides with Brightview Landscape Services, Inc. (Contract No. 8651-1) January 13, 2026 Page 3 FISCAL IMPACT: The adopted budget includes sufficient funding for the remaining fiscal year. It will be expensed to the following Public Works Department accounts. Account Name Contract Services -Parks Public Landscape Enhancements Contract Services - Trees Maintenance and Repair Damage Maintenance Irrigation Repair Org Number Account Number 0108031 811017 0108031 911008 0108032 811017 0108031 851014 0108031 851038 Additional funding for future years will be programmed during the annual budget process. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENT: Attachment A — Amendment No. Two to the Maintenance and Repair Services Agreement Attachment A AMENDMENT NO. TWO TO MAINTENANCEIREPAIR SERVICES AGREEMENT WITH BRIGHTVIEW LANDSCAPE SERVICES, INC. FOR LANDSCAPE MAINTENANCE OF MEDIANS AND ROADSIDES THIS AMENDMENT NO. TWO TO MAINTENANCE/REPAIR SERVICES AGREEMENT ("Amendment No. Two") is made and entered into as of this 13th day of January, 2026 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city ("City"), and BRIGHTVIEW LANDSCAPE SERVICES, INC., a California corporation ("Contractor'), whose address is California corporation, and is made with reference to the following: RECITALS A. On December 1, 2020, City and Contractor entered into a Maintenance/Repair Services Agreement (Contract No. C-8651-1) ("Agreement") to perform annual landscape maintenance services of City medians and roadsides ("Project"). B. On June 27, 2023, City and Contractor entered into Amendment No. One to the Agreement ("Amendment No. One") to increase the total compensation available for fixed services to reflect the addition of an Enhanced Landscape Maintenance Lead Worker including corresponding fuel sub -charges for a pick-up truck and work equipment, and to increase the total compensation available for on -call services due to an increase in work volume that was not anticipated at the time the parties entered into the Agreement. C. The parties desire to enter into this Amendment No. Two to increase the total compensation available for on -call services to satisfy payment for services to be performed, update the Contractor's project manager, update the Notices section, and update the insurance requirements. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. COMPENSATION TO CONTRACTOR Section 4.1.2 of the Agreement is amended in its entirety and replaced with the following: "4.1.2 Contractor's compensation for all On -Call Services performed in accordance with this Agreement, including all reimbursable items, shall not exceed Six Million Three Hundred Eighty Thousand Sixty Eight Dollars and 001100 ($6,380,O68.00), without prior written amendment to the Agreement." Section 4.1.3 of the Agreement is amended in its entirety and replaced with the following: "4.1.3 Contractor's compensation for all Services performed in accordance with this Agreement, including all fixed and on -call Services and all reimbursable items, shall not exceed a grand total amount of Twenty One Million Two Hundred Forty Nine Thousand Seven Hundred Sixty Dollars and 00/100 ($21,249,760.00), without prior written amendment to the Agreement." The total amended compensation reflects Contractor's compensation for Services to be performed in accordance with this Amendment No. Two, including all reimbursable items and subconsultant fees, in an amount not to exceed Two Million Dollars and 001100 ($2,000,000.00). 2. PROJECT MANAGER Section 5.1 of the Agreement is amended in its entirety and replaced with the following: "5.1 Contractor shall designate a Project Manager, who shall coordinate all phases of the Project. This Project Manager shall be available to City at all reasonable times during the Agreement term. Contractor has designated Adrian Bolanos to be its Project Manager. Contractor shall not remove or reassign the Project Manager or any personnel listed in Exhibit A or assign any new or replacement personnel to the Project without the prior written consent of City. City's approval shall not be unreasonably withheld with respect to the removal or assignment of non -key personnel." 3. NOTICES Section 26.3 of the Agreement is amended in its entirety and replaced with the following: "26.3 All notices, demands, requests or approvals from City to Contractor shall be addressed to Contractor at: Attn: Adrian Bolanos BrightView Landscape Services, Inc. 1960 South Yale Street Santa Ana, CA 92704" 4. INSURANCE As of this Effective Date of this Amendment No. Two, Exhibit H of the Agreement shall be deleted in its entirety and replaced with Exhibit H, attached hereto and incorporated herein by reference. Any reference to Exhibit H in the Agreement shall hereafter refer to Exhibit H attached hereto. BRIGHTVIEW LANDSCAPE SERVICES, INC. Page 2 5. INTEGRATED CONTRACT Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. [SIGNATURES ON NEXT PAGE] BRIGHTVIEW LANDSCAPE SERVICES, INC. Page 3 IN WITNESS WHEREOF, the parties have caused this Amendment No. Two to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTORN Y'S OFFICE Date: By: eyAttorney . Harp 12. fib. 2r rLj ATTEST: Date: By: Lena Shumway City Clerk CITY OF NEWPORT BEACH, a California municipal corporation Date: By: Lauren Kleiman Mayor CONTRACTOR: BRIGHTVIEW LANDSCAPE SERVICES, INC., a California corporation Date: Bv: Rene Rivera Vice President and General Manager [END OF SIGNATURES] Attachments: Exhibit H — Insurance Requirements BRIGHTVIEW LANDSCAPE SERVICES, INC. Page 4 EXHIBIT H INSURANCE REQUIREMENTS — MAINTENANCE/REPAIR/JANITORIAL SERVICES 1. Provision of Insurance. Without limiting Contractor's indemnification of City, and prior to commencement of Work, Contractor shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to City. Contractor agrees to provide insurance in accordance with requirements set forth here. If Contractor uses existing coverage to comply and that coverage does not meet these requirements, Contractor agrees to amend, supplement or endorse the existing coverage. 2. _Acceptable Insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance in the State of California, with an assigned policyholders' Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best's Key Rating Guide, unless otherwise approved by the City's Risk Manager. 3. Coverage Requirements. A. Workers' Compensation Insurance. Contractor shall maintain Workers' Compensation Insurance, statutory limits, and Employer's Liability Insurance with limits of at least one million dollars ($1,000,000) each accident for bodily injury by accident and each employee for bodily injury by disease in accordance with the laws of the State of California, Section 3700 of the Labor Code. Contractor shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its City Council, boards and commissions, officers, agents, volunteers, employees, and any person or entity owning or otherwise in legal control of the property upon which Contractor performs the Project and/or Services contemplated by this Agreement. B. General Liability Insurance. Contractor shall maintain commercial general liability insurance and, if necessary, umbrella liability insurance, with coverage at least as broad as provided by Insurance Services Office form CG 00 01, in an amount not less than two million dollars ($2,000,000) per occurrence, four million dollars ($4,000,000) general aggregate. The policy shall cover liability arising from premises, operations, products -completed operations, personal and advertising injury, and liability assumed under an insured contract (including the tort liability of another assumed in a business contract). C. Automobile Liability Insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of Contractor BRIGHTVIEW LANDSCAPE SERVICES, INC. Page H-1 arising out of or in connection with Work to be performed under this Agreement, including coverage for any owned, hired, non -owned or rented vehicles, in an amount not less than one million dollars ($1,000,000) combined single limit each accident. D. Umbrella or Excess Liability Insurance. Contractor shall obtain and maintain an umbrella or excess liability insurance policy with limits of not less than one million dollars ($1,000,000) that will provide bodily injury, personal injury and property damage liability coverage at least as broad as the primary coverages set forth above. Such policy or policies shall include the following terms and conditions: • A drop down feature requiring the policy to respond in the event that any primary insurance limits are exhausted by paid claims; • Pay on behalf of wording as opposed to reimbursement; • Concurrency of effective dates with primary policies; • Policies shall "follow form" to the underlying primary policies; and • Insureds under primary policies shall also be insureds under the umbrella or excess policies. 4. Other Insurance Requirements. The policies are to contain, or be endorsed to contain, the following provisions: A. Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this Agreement shall be endorsed to waive subrogation against City, its City Council, boards and commissions, officers, agents, volunteers, employees, and any person or entity owning or otherwise in legal control of the property upon which Contractor performs the Project and/or Services contemplated by this Agreement or shall specifically allow Contractor or others providing insurance evidence in compliance with these requirements to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against City, and shall require similar written express waivers from each of its subcontractors. B. Additional Insured Status. All liability policies including general liability, products and completed operations, excess liability, pollution liability, and automobile liability, if required, shall provide or be endorsed to provide that City, its City Council, boards and commissions, officers, agents, volunteers, employees, and any person or entity owning or otherwise in legal control of the property upon which Contractor performs the Project and/or Services contemplated by this Agreement shall be included as insureds under such policies. BRIGHTVIEW LANDSCAPE SERVICES, INC. Page H-2 C. Primary and Non Contributory. All liability coverage shall apply on a primary basis and shall not require contribution from any insurance or self-insurance maintained by City. D. Notice of Cancellation. All policies shall provide City with thirty (30) calendar days notice of cancellation (except for nonpayment for which ten (10) calendar days notice is required) or nonrenewal of coverage for each required coverage. 5. Additional_ Agreements Between the Parties. The parties hereby agree to the following: A. Evidence of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers' compensation and other endorsements as specified herein for each coverage. Insurance certificates and endorsement must be approved by City's Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf. At least fifteen (15) days prior to the expiration of any such policy, evidence of insurance showing that such insurance coverage has been renewed or extended shall be filed with the City. If such coverage is cancelled or reduced, Contractor shall, within ten (10) days after receipt of written notice of such cancellation or reduction of coverage, file with the City evidence of insurance showing that the required insurance has been reinstated or has been provided through another insurance company or companies. City reserves the right to require complete, certified copies of all required insurance policies, at any time. B. City's Right to Revise Requirements. City reserves the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving Contractor sixty (60) calendar days advance written notice of such change. If such change results in substantial additional cost to Contractor, City and Contractor may renegotiate Contractor's compensation. C. Right to Review Subcontracts. Contractor agrees that upon request, all agreements with subcontractors or others with whom Contractor enters into contracts with on behalf of City will be submitted to City for review. Failure of City to request copies of such agreements will not impose any liability on City, or its employees. Contractor shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Contractor shall ensure that City is an additional insured on insurance required from subcontractors. For CGL coverage, subcontractors shall provide coverage with a format at least as broad as CG 20 38 04 13. BRIGHTVIEW LANDSCAPE SERVICES, INC. Page H-3 D. Enforcement of Agreement Provisions. Contractor acknowledges and agrees that any actual or alleged failure on the part of City to inform Contractor of non-compliance with any requirement imposes no additional obligations on City nor does it waive any rights hereunder. E. Requirements not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City. F. Self -insured Retentions. Any self -insured retentions must be declared to and approved by City. City reserves the right to require that self - insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these requirements unless approved by City. G. City Remedies for Non -Compliance. If Contractor or any subcontractor fails to provide and maintain insurance as required herein, then City shall have the right but not the obligation, to purchase such insurance, to terminate this Agreement, or to suspend Contractor's right to proceed until proper evidence of insurance is provided. Any amounts paid by City shall, at City's sole option, be deducted from amounts payable to Contractor or reimbursed by Contractor upon demand. H. Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor's performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. City assumes no obligation or liability by such notice, but has the right (but not the duty) to monitor the handling of any such claim or claims if they are likely to involve City. Contractor's Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the Work. BRIGHTVIEW LANDSCAPE SERVICES, INC. Page H-4