Title
Downtown Custodial Services Agreement (Ordinance S-48108)
Description
Request to authorize the City Manager, or his designee, to enter into an agreement with 3H Service System, Inc., for custodial services in City-owned downtown facilities. Further request to authorize the City Controller to disburse all funds related to this item. The total aggregate amount is $6,003,785 over the life of the agreement.
Report
Summary
The Public Works Department is responsible for maintaining the cleanliness of City-owned facilities located in the downtown area. These facilities require daily custodial services including cleaning of the restrooms, public areas, conference rooms, floors, and other areas of the buildings. Ancillary services will be conducted on an as-needed basis including carpet cleaning, floor waxing, and top scrubbing. These services help maintain clean, sanitary, and safe work and public spaces within these facilities.
Procurement Information
Invitation for Bid 22-FMD-022 was conducted in accordance with Administrative Regulation 3.10. Seven offers were received by the Public Works Department Procurement Services Division on Aug. 25, 2021. The offers were evaluated based on price, responsiveness to all specifications, terms and conditions, and responsibility to provide the required services. The offer submitted by 3H Service System, Inc. was deemed fair and reasonable.
3H Service System, Inc.: $1,200,757 estimated annual price for regular custodial and ancillary services of all 10 City-owned downtown facilities covered under this agreement.
Contract Term
The one-year term of the agreement will begin on or about Jan. 1, 2022. The agreement contains four, one-year options to extend the term, for a total agreement term of up to five years if all options are exercised.
Financial Impact
The aggregate value of the agreement, including all option years, is $6,003,785, including all applicable taxes, with an estimated annual expenditure of $1,200,757.
Funding is available in the Public Works Department's budget.
Location
Downtown Phoenix
Council District: 7
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Public Works Department.