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Agenda Item - 2002-05-21 - Number 4.2.2 - 4.2.2 CITY OF LAKE OSWEGO 05/21/02 AGENDA REPORT SUMMARY MEETING DATE: May 21, 2002 SUBJECT: Temporary Labor Services Contract Award RECOMMENDED MOTION: Award Temporary Labor Services Contract to Contractors Temporary Employment Service and St. Vincent DePaul Enterprises in the shared amount of$196,000.00 for the period of one year with four possible one year extensions. EST. FISCAL ATTACHMENTS: NOTICED (Date): IMPACT: $196,000.00 Kinyon memorandum dated May 13, 2002 STAFF COST: Ordinance no.: BUDGETED: Yes Resolution no. FUNDING SOURCE: Park Fund Previous Council Golf Course Fund consideration: Street Fund D PT. DIRECTOR ASST. CITY MANAGER CITY MA AGER .i LS 0 Z /2 /h.t v� signoff date signoff/date signoff/date l[ - 15 OF .KEGS V% OREGON MAINTENANCE SERVICES DEPARTMENT To: Stephan Lashbrook, Community Development Director From: Kay Kinyon, Parks Superintendent Date: May 14, 2002 Subject: Recommendation For Temporary Labor Services Contract Bid Award Action The Council is requested to award a standard public maintenance contract to Contractors Temporary Employment Service, 2700 SE Harrison, Suite D, Milwaukie, OR 97222-3300 and St. Vincent DePaul Enterprises, 4950 NE Martin Luther King Jr. Blvd. Portland, OR 97211, in the shared amount of approximately $196,000.00 for the City's annual temporary labor services contract. Introduction This Contract requires Council award in order to comply with City and State contracting and purchasing procedures. Background/Discussion The contract provides workers for routine maintenance for parks grounds and Golf Course maintenance, and temporary utility workers. On Monday, May 6, 2002 interviews were held in response to a request for proposals for temporary labor services with Contractors Temporary Employment Service (C.T.E.S.), the current provider, is still the best choice to meet the City's needs. C.T.E.S. has the highest cost per hour at $16.00. However, the company specializes in construction trades including grading and excavating, carpentry and landscaping. C.T.E.S. has no problem providing workers for City utility type work. Twenty to twenty five percent of all annual placements are landscape/grounds types. The company recruits from landscape programs at high schools and junior colleges as well as other trade specific areas. C.T.E.S. 1-7 5705 Jean Road • Post Office Box 369 • Lake Oswego,Oregon 97034 • (503)635-0280 • FAX(503)697-7411 Council Report— page 2 5/14/02 provides rainwear and personal safety equipment with each worker assigned. C.T.E.S. has been providing workers for the past three years with very good results. Labor service contracts are on the City's July through June fiscal year cycle. Unfortunately, the fiscal year change falls in the middle of the temporary worker employment period for Parks Maintenance. Changing laborers at mid- season would require retraining eleven workers that are providing essential daily services. A change of that magnitude would seriously impact both efficiency and service standards. St. Vincent DePaul offered a lower labor rate at $14.93 per hour. However, 60% of their placements are clerical in nature and 40% are light industrial. Of the 40% light industrial 7% to 10% are in landscape/grounds type jobs. They do not provide workers to do street, sewer or water department type work. St. Vincent DePaul provides no rainwear or personal safety equipment such as hard hats or gloves. St. Vincent DePaul's policy provides personal time off to its employees which can be used for illness, time off or holidays. The policy could reduce time available from workers placed in City sites in short term seasonal positions where attendance is important. The City tried using St. Vincent DePaul's service three years ago. At the time, the company could not meet the City's need for temporary grounds and landscape workers. Alternatives The alternatives are to 1) award the bid, 2) do not award the bid, or 3) remove from the consent agenda and discuss. Conclusion/Recommendations Staff recommends that the Council award the bid for the Temporary Labor Services Contract to Contractors Temporary Employment Service and also recommends that a separate contract be negotiated with St. Vincent DePaul Enterprises under ORS 279.015 and 279.835-855 for nonprofit qualified rehabilitation facilities. The total dollar amount of two combined contracts would be for approximately $196,000 Funds to cover the cost of the contract have been included in the Sewer Fund, Street Fund, Park Fund and the Water Fund in the City's FY 2002-03 budget. 2 18