Loading...
HomeMy WebLinkAboutE-08 - Award of Contract Caterer and agreement MorrisonCONSENT ITEM E-8 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL VIA: TROY L. BUTZLAFF, ICMA-CM, CITY MANAGER FROM: JOE JACOBS, DIRECTOR OF RECREATION AND FAMILY SERVICES DATE: JULY 18, 2016 SUBJECT: AWARD CONTRACT TO MORRISON MANAGEMENT SPECIALIST FOR ELDERLY NUTRITION PROGRAM CATERING AT THE AZUSA SENIOR CENTER SUMMARY: Since 1978, the City has provided senior meals to elderly residents of the community. The Elderly Nutrition Program is partly funded with federal dollars for the Los Angeles County Area Agency on Aging, which administers the program and requires all agencies to conduct a bid process every four years. On June 6, 2016, the City Council approved a Request for Proposals (RFP) for on-site cooking for the Elderly Nutrition Program. Only one proposal was received. This action awards a four (4) year contract to Morrison Management Specialist for Elderly Nutrition Program Catering at the Azusa Senior Center in the amount of $124,270.00 annually. RECOMMENDATION: Staff recommends that the City Council take the following actions: 1) Award a contract to Morrison Management Specialist for Elderly Nutrition Program Catering at the Azusa Senior Center for a four-year term in the amount of $124,270 annually. 2) Authorize the Mayor to execute the agreement, in a form acceptable to the City Attorney, on behalf of the City. DISCUSSION: The Azusa Senior Center Elderly Nutrition Program currently caters to (400+) unduplicated individuals and serves over (39,000) meals annually to the elderly of the community (approximately 160 per day). The Elderly Nutrition Program is an integral part of the services the Azusa Senior Center offers to residents. The purpose of the Elderly Nutrition Program is to offer a nutritious lunch and to provide a place of socialization and gathering. APPROVED COUNCIL MEETING 7/18/2016 Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 Upon receipt of Federal Older American Act funding, these meals are funded in part by the Los Angeles County Area Agency on Aging, who require all contractors to go out to bid every four years during the County open bid process to award the federal funds. Due to the cost of providing the meals, the Request for Proposals allows the contractor the opportunity to coordinate, prepare, and deliver additional Title IIIC meals to neighboring communities in an effort to make the venture fiscally prudent to all, specifically keeping meal costs as low as possible. This goal can be accomplished by the contractor preparing all meals in the Azusa Senior Center kitchen. . On June 6, 2016, the City Council approved a Request for Proposals for on-site cooking at the Azusa Senior Center for the Elderly Nutrition Program. The RFP was published on June 7 and proposals were due on Wednesday, July 6 2016. Only one company submitted a formal bid, as follows: Company Name Congregate (per meal) Home Delivered Meal (per meal) Morrison Management Specialist, Inc. $3.30 $3.40 Morrison Management Specialist, who is the City’s current cater, has provided excellent service over past 14 years. The company has been a superb partner providing nutritious meals for the elderly and meals for seasonal dances and other special events. Morris Management Specialist’s bid represents a 10% increase over the previous 4 year contract. This increase is due to the mandatory non-styrofoam use that the County has required as part of the grant. FISCAL IMPACT: The City recently received notification of a sub-award for the amount of $107,574.00 per year by Los Angeles County Area Agency on Aging (LACAAA) for fiscal years 2016-2020. The FY 2016-17 budget for food services is $110,150 ($72,255 under 2125541001-6655 and $37,895 under 2125541002-6655). The difference of the $14,120 ($124,270 - $110,150) will be funded with either donation at $2.00 per meal or general fund contributions. The Finance Department will monitor the fiscal impact and amend the fiscal year 2016-17 if necessary. Prepared by: Fiscal Impact Reviewed by: Joe Jacobs Talika M. Johnson Director of Recreation and Family Services Director of Finance Reviewed and Approved: Reviewed and Approved: Louie F. Lacasella Troy L. Butzlaff, ICMA-CM Management Analyst City Manager Attachments: 1. Food Service Agreement Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 FOR AAA USE ONLY County of Los Angeles FOOD SERVICE AGREEMENT THIS AGREEMENT, executed in duplicate at Los Angeles, California, is made by and between the City of Azusa, a California profit/nonprofit corporation, hereinafter referred to as the Contractor, and Morrison Management Specialist, Inc. dba – Morrison Health Care. hereinafter referred to as the Subcontractor. WITNESSETH WHEREAS, the Contractor and the County of Los Angeles, hereinafter referred to as the County, have entered into an Agreement which authorizes the Contractor to provide certain services, said Agreement being Number ENP162001 of County Contracts, dated July 18, 2016 and: WHEREAS, the aforesaid Agreement provides that the Contractor may subcontract for certain professional serviced subject to prior County approval: and WHEREAS, the Contractor desires to engage the Subcontractor to provide professional services as detailed elsewhere in the Agreement: and WHEREAS, the Subcontractor desires to perform and provide such services: NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein, the Contractor and the Subcontractor agree as follows: Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 AGREEMENT Section 1. Statement of Work and Schedule The Subcontractor shall perform and provide the services set forth in the Food Service Specifications, which is attached hereto as Attachment 1 and by this reference incorporated herein. The rights and obligations of the parties to this Agreement shall be subject to and governed by said Food Service Specifications as well as by the general provisions herein. Section 2. Representative of the Parties and Service of Notice The representatives of the respective parties who are authorized to administer this Agreement and to whom formal notices, demands and communications shall be given are as follows: A. The representative of the Contractor shall be, unless otherwise stated in the Agreement: Lenore Gonzales, Recreation Supervisor 740 N. Dalton Ave. Azusa, CA 91702 (626) 812-5220 B. The representative of the Subcontractor shall be: Edward Clark Vice President, Western Region 1727 Aventy Way Redondo Beach CA 90278 Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 Section 3. Compensation to the Subcontractor The Contractor shall pay to the Subcontractor an amount not to exceed $124,270.00 for complete and satisfactory performance of the terms of this Agreement. The Subcontractor shall be paid for providing services set forth in Attachment 1. Payment shall be made on a monthly basis (weekly, bi-weekly, monthly, etc). Prices per meal: C-1 Meals = $3.30 per meal C-2 Meals = $3.40 per meal Frozen = $3.75 per meal Section 4. Time of Performance The term of this Agreement shall commence on July 1, 2016 and end June 30, 2020 provided that said term is subject to the provisions of Section 14. Indemnity, Liability, and Insurance Requirements and Section 18, Termination and availability of Federal funds through the Area Agency on Aging. In the fiscal year 2016-17 there are 248 serving days including the following holidays and special occasions: Month: Holiday: July Fourth of July, (center closed) 7/4/16 August Luau – August 18, 2016 (evening event) September Labor Day, (center closed) 9/5/16 October Columbus Day, (center closed) 10/10/16 November Veteran’s Day, 11/11 & 11/14 & Thanksgiving Holiday, 11/24 & 11/25/16, (center closed) December Volunteer Breakfast, 12/14/16 & Christmas, (center closed) 12/26/16 January New Years, 1/2/17 & Martin Luther King Day, 1/16/17, (center closed) February President’s Day, 2/20/17, (center closed) March St. Patrick’s Day (holiday menu) April Easter (holiday menu) May Memorial Day, 5/22/17, (center closed) & Volunteer Appreciation Dinner, 5/17/17 June n/a Section 5. Notices, Demand, and Communications Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 A. Formal notices, demands, and communications to be given hereunder by either party shall be made in writing and may be effected by personal delivery or by registered or certified mail, return receipt requested and shall be deemed effective as of the date of mailing. B. Such notices, demands, or communications shall be addressed as set forth below: (1) For the Contractor: authorized signatory Lenore Gonzales, Recreation Supervisor Senior Services 740 N. Dalton Ave. Azusa, CA 91702 (2) For the Subcontractor: Edward Clark Vice President, Western Region 1727 Aventy Way Redondo Beach CA 90278 C. If the name of the person designated to receive the notices, demands, or communications or the address of such person is changed, written notice shall be given in accord with this section within five (5) working days of said change. Section 6. Audit Records and Bonding A. The Subcontractor shall maintain financial records and reports related to funds received under this Agreement. B. The Subcontractor shall maintain books, records, documents, and other accounting procedures and practices which reflect all costs of any nature, including cost of raw food and labor costs expended in the performance of the Agreement. C. These records shall be subject to audit or inspection by duly authorized County, State or Federal personnel. D. The Subcontractor shall maintain all books, records, and other documents relative to this Agreement for three (3) years after final payment or audit by the United States Department of Health and Human Services, the California Department of Aging, the County of Los Angeles Area Agency on Aging or five (5) years if no audit has occurred. E. The Subcontractor shall provide to the Contractor, on an annual fiscal year basis, on Insurance Certificate that all persons handling funds received or disbursed by this Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 Agreement are covered by Fidelity Insurance, Liability Insurance, Workman’s Compensation Insurance and applicable Automobile Insurance. F. The Subcontractor shall provide, on an annual basis, an official copy of the Certified Public Accountant audit which shall be conducted following generally accepted audit practices, to determine that there has been a proper accounting for and use of contract funds. All records of the Subcontractor bearing upon food purchases, storage, and food preparation directly related to said program under this Agreement shall be made available to the Contractor upon request. G. The Subcontractor shall furnish reports as required by the Contractor, Los Angeles County Area Agency on Aging, California Department of Aging, and U.S. Administration on Aging. H. The subcontractor shall use standardized recipes which meet HACCP requirements as part of their HACCP Program and which shall be available to Contractor and Los Angeles County Area Agency on Aging for review. I. The Subcontractor shall supply raw food and labor costs to the Contractor as needed J. The Subcontractor shall permit periodic monitoring of contracted activities by Contractor, Dietary Administrative Support Services Contractor, County, State or Federal personnel. Section 7. Amendments to Agreement Any changes in the terms of this Agreement, including changes in the scope of services to be performed by the Subcontractor and any increase or decrease in amount of compensation which are agreed to by the Contractor and the Subcontractor, shall be incorporated into this Agreement by a written amendment properly executed by both parties. Prior written approval shall be received from the Area Agency on Aging. Section 8. Permit and Licenses The Subcontractor shall hold valid permits, licenses, certificates, and other documents as are required by the State, County, City or other governmental or regulatory bodies to legally engage in and perform the services to be provided under this Agreement such as public health license, L.A. County Health Department Inspection Reports, Annual Fire Inspection Certificates, and other documents attached for County’s approval. The Subcontractor shall notify the Contractor of any suspension, termination, lapses, non-renewals, or restrictions of required licenses, certificates, or other documents which may be cause for termination of the Agreement. Section 9. Conflict of Interest A. The Subcontractor, during the period to be covered by this Agreement, shall have no interest, direct or indirect, with respect to the Contractor which would create a conflict of interest. Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 B. No member, officer, or employee of the Contractor and no official, officer, or employee of the County of Los Angles who exercises any responsibilities or functions with r espect to the Contractor during his tenure or for one year thereafter, shall have any interest, direct or indirect, in the Agreement or the proceeds thereof. C. The Subcontractor warrants that no person has been employed to solicit or secure this Agreement upon any agreement for a commission, percentage, brokerage, or contingent fee. Breach of this warranty shall give the Contractor the right to terminate this contract or, at the discretion of the Contractor, to deduct from the Subcontractor’s fees the amount of such commission, percentage, brokerage, or contingent fee. Section 10. Independent Contractor Status of the Subcontractor The parties agree that the performance of the Subcontractor’s services hereunder shall be in the capacity of an Independent Contractor and that no employees of the Subcontractor have been, are, or shall be employees of the Contractor or County by virtue of this Agreement, and the Subcontractor shall so inform each employee organization and each employee who is hired or retain ed under this Agreement. Section 11. Assignment or Transfer of Interest The subcontractor shall not assign or transfer any interest in this Agreement except that claims for monies due or to become due from the Contractor under this Agreement may be assigned to a bank, trust company, or other financial institution, or withheld by the County. Section 12. Applicable Sections of Agreement Between the County of Los Angeles and the Contractor The Contractor and the Subcontractor agree that all conditions set forth in the Agreement between the County and Contractor, as applicable in the performance of this Agreement, are hereby included herein by reference as though set forth herein in full. Referenced sections are available at the Contractor and the Community and Senior Services of Los Angeles County for review during normal business hours. Section 13. Discrimination Prohibited A. The subcontractor shall no discriminate against any employee or person served on account of race, color, sex, religious background, ancestry, national origin, or disability in its performance of this contract, and hereby agrees to comply with all Federal, State, and County laws or regulations pertaining hereto including the American Disability Act and applicable Civil Rights Acts. Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 B. It is expressly understood that upon receipt of evidence of such discrimination, the Contractor shall have the right to terminate said contract. C. Affirmative Action: A written affirmative action plan, embodying both (1) goals and timetables of minority manpower utilization and (2) specific affirmative action steps directed at increasing minority utilization by means of applying good faith efforts to carry out such steps is to be included. Section 14. Indemnity, Liability, and Insurance Requirements A. The Subcontractor agrees to indemnify and hold harmless the Contractor and the County of Los Angeles, their officers, employees and assigns, against any and all claims arising from acts, omissions, or negligence of the Subcontractor, its officers or employees. The Subcontractor shall defend any suit against the Contractor and County alleging personal injury, sickness, or disease arising out of meals served at the project sites (or home delivered) provided food is served one hour after delivery (or eaten immediately after home delivery). B. The Contractor shall promptly notify the Subcontractor in writing of any claims against the Subcontractor or Contractor and, in the event of a suit being filed. The Subcontractor shall promptly forward to the Contractor all papers in connection therewith. The Contractor shall not incur any expenses or make any settlement without the Subcontractor’s consent. However, if Subcontractor refuses or neglects to defend any such suit, the Contractor may defend, adjust, or settle any such claim and the cost of such defense, adjustment, or settlement, including reasonable attorney’s fees shall be charged to the Subcontractor. C. The Subcontractor shall furnish proof on the form of a hand signed certificate of insurance that he/she carries insurance in the minimum amounts listed below prior to commencement of performance under this Agreement. Such coverage shall be maintained currently effective until receipt of final payment under the terms of this Agreement. 1) Comprehensive General Liability (including Product Liability) $500,000 Combined Single (CSL) Minimum 2) Professional Liability $1,000,000 Per Occurrence D. Comprehensive Auto Liability (owned an non-owned) Bodily Injury $100,000 each person $300,000 each accident $300,000 aggregate products Property Damage $ 50,000 each accident $250,000 aggregate operations $250,000 aggregate protection Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 $250,000 aggregate products $250,000 aggregate contractual E. Worker’s Compensation Statutory limit in accordance with Section 3700 and 3800 of the Labor Code of the State of California F. Additional Insured The Contractor (name of contractor) and County of Los Angeles shall be named as additional insured on all policies or certificates. G. Cancellation Notice 30 day Notice of Cancellation shall be mailed to the Contractor and County of Los Angeles Area Agency on Aging at 3175 W. 6th Street Suite 414, Los Angeles, CA 90020 H. In the event any new or additional meal locations are started, the insurance carrier shall name all new or additional sites as insured under the policy. I. Failure on the part of the Subcontractor to procure or maintain require insurance shall constitute a material breach of agreement and Contractor may immediately terminate or suspend this Agreement. Section 15. Compliance with Statutes and Regulations A. In the performance of this Agreement the Subcontractor shall obey all laws of the United States, the State of California , and the ordinances, regulations, policies, codes, and provisions of the County of Los Angeles and Area Agency on Aging. B. The Subcontractor shall conform to the nutrition requirements under Title III-C of the Older Americans Act of 1965, as amended, including providing the minimum Title III-C requirement per person of one third of the Recommended Daily Dietary Allowance (RDA). C. The Subcontractor shall comply with the California Uniform Retail Food Facilities Law (CURFFL), the Hazard Analysis and Critical Control Point (HACCP) requirements and AAA Policies and Procedures for Senior Nutrition Sites, Central Kitchens and Home Delivered Meals. Section 16. Federal, State and Local Taxes Federal, State, and local taxes shall be the responsibility of the Subcontractor as an independent contractor and not as a Contractor employee. Section 17. Renewal Options This agreement is for one year only. It is optional on the part of the Contractor to renew the Agreement if desired. However, all agreements must be put out to bid during the AAA RFP period. Contractors must publicly bid on subsequent project year food contract. Bids will be awarded based on Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 cost, capacity to provide service, proven competency, quality of product, proximity of meal locations or other justifiable reasons subject to review and acceptance by the AAA. Section 18. Termination This Agreement may be terminated by the Contractor at any time within the period of its duration upon not less than thirty (30) days written notice by the Contractor to the Subcontractor or immediately for cause. The Subcontractor may terminate this contract upon not less than thirty (30) days written notice to the Contractor. Notice shall be as provided in Section 5 herein. In addition, the contract may be terminated because of lack of funds, repeated citations by the Area Agency on Aging, and failure to make corrective actions required by the Area Agency on Aging. In the event funds to finance this contract, or part of this contract, become unavailable, the obligations of each party hereunder may be terminated upon no less than ten (10) days written notice to the other party. Said notice shall be delivered by certified mail, telegram or in person. The Area Agency on Aging shall be the final authority as to the availability of Federal or State funds. Waivers of breach of any provision of the contract shall not be construed to be a modification of the terms of the contract. Section 19. Negotiation of Disputes Any disputes of law or fact between the Contractor and the Subcontractor shall be settled between the parties concerned in such a manner that it will not delay or adversely affect the performance of the Contractor. Should any questions still remain unresolved, the dispute will be submitted to the Director of the Area Agency on Aging or his designee to render a decision. Said decision will be binding upon the Contractor and the Subcontractor. Section 20. Prior Approval of Subcontracts The Subcontractor shall not enter into any subcontracts, for all or part of the services contemplated under this Agreement without obtaining prior written approval of the Contractor and the Area Agency on Aging which shall then be made a part of the original Agreement. No subcontracts shall be approved which would incur an obligation higher than the original agreed upon price. Section 21. Fair Labor Standards Compliance Subcontractor agrees to indemnify, defend, and hold harmless the County of Los Angeles and Contractor, its agents, officers, and employees from any and all liability including, but not limited to, wages, overtime pay, liquidated damages, penalties, court costs, and attorney’s fees arising under any wage and hour law including, but not limited to, the Federal Fair Labor Standards Act, for services performed by the Subcontractor’s employees for which the Contractor or County may be found jointly or solely liable. Section 22. Citizenship Laws Subcontractor and Contractor warrants their full compliance with all laws regarding employment of aliens and others, and that all its employees performing services hereunder meet the citizenship or alien status requirements contained in Federal Immigration Reform & Control Act of 1986. Subcontractor and Contractor shall obtain, from all covered employees services hereunder, all verification and other documentation of employment eligibility status required by Federal statutes and regulations as they currently exist and as they may be hereafter amended. Subcontractor and Contractor Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 shall retain such documentation for all covered employees for the period prescribed by law. Subcontractor and Contractor shall indemnify, defend and hold harmless the County, its officers, and employees from employer sanctions and any other liability which may be assessed against Subcontractor and Contractor of County or both in connection with any alleged violation of Federal statutes or regulations pertaining to the eligibility for employment of persons performing services under this contract. Section 23. Subcontractor Staffing Requirements To assure that meals are prepared in a safe, sanitary environment, in compliance with the California Health and Safety Code, the AAA Standard Operating Procedures Manual, the Subcontractor shall comply with the following requirements: The Subcontractor shall hire a part-time Registered Dietitian (minimum 20 hours a week) who possesses a Bachelor’s degree and/or Master’s Degree in Nutrition/Dietetic with an institutional food service management emphasis from an accredited college or university, for supervision of the food services operation within the catering company and/or central kitchen, or The Subcontractor shall hire a qualified Food Service Manager who possess a B.S. degree in Food and Nutrition with emphasis on food service management or restaurant management from an accredited college or university, plus two (2) years professional experience as a food service supervisor; no less than six (6) years of experience in the food service industry at a supervising level can be substituted for the 4 year degree requirements. The Subcontractor must submit, to the Contractor, the registration I.D. number and expiration date of the Registered Dietitian along with complete verifiable resumes of the Registered Dietitian or Food Service Manager for the County’s AAA approval. The County may, at its sole discretion, waive this requirement or for repeated deficiencies or non compliance, require the Subcontractor to fill both positions, and/or to expand the required positions to full time positions. Section 24. Date of Execution The parties hereto agree that the first party to execute this Agreement shall enter the date executed in the blank provided herein on both duplicate originals, which date shall be the date this Agreement is made, provided, however, that the term shall be for the period set forth in Section 4 herein. Section 25. Complete Agreement This Agreement, Appendices, and Addendum if applicable and Attachment 1, contains the full and complete agreement between the two parties and incorporated herein by reference. No verbal agreement or conversation with any officer or employee of either party shall affect or modify any of the terms and conditions of this Agreement. Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2 IN WITNESS WHEREOF, the Contractor and the Subcontractor have caused this Agreement to be executed by their duly authorized representatives. Executed this __18__ day of ____July, 2016______ Executed this ______ day of July, 2016 For: For: ____________City of Azusa___________ _Morrison Management Specialist Inc. dba (Name of Contractor) (Name of Subcontractor) By: _______________________________ By: ________________________________ Joseph R. Rocha, Mayor Social Security Number ____________________________ Attest: _____________________________ City Business Jeffrey Cornejo, City Clerk License _____________________________ Expiration Date ______________________ Award of Contract for Elderly Nutrition Catering July 18, 2016 Page 2