DATE: May 21, 2024
TO: Board of Supervisors
SUBMITTED BY: Edward Hill, Chief Operating Officer/Interim Director of Internal Services/Chief Information Officer
SUBJECT: Agreement with Orkin, LLC
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize the Chairman to execute an Agreement with Orkin, LLC, through a cooperative agreement with Sourcewell, to provide pest management services effective upon execution, including a two-year initial term with one optional one-year extension, total not to exceed $750,000; and
2. Authorize the Director of Internal Services/Chief Information Officer, or their designee, to add and/or remove County service locations and related services from the pest management schedule as necessary, and to adjust the frequency of services pursuant to the methodology described in the recommended Agreement and as operational needs require, with no change to the maximum compensation.
REPORT
There is no additional Net County Cost associated with the recommended actions. The first recommended action will allow the Internal Service Department, Facility Services Division (ISD-Facility Services) to contract with Orkin, LLC (Orkin), through a cooperative agreement, for Orkin to provide scheduled and unscheduled pest management services at properties owned, occupied, leased, or otherwise operated by the County. The second recommended action will allow the Director of Internal Service/Chief Information Officer (CIO), or their designee, to add and remove County service locations and related services as necessary, and to adjust the frequency of services as operational needs require, with no change to the maximum compensation. This item is Countywide.
ALTERNATIVE ACTION(S):
Should your Board not approve the recommended agreement, ISD-Facility Services would be without an efficient method of obtaining pest control services for all County-owned, leased, and operated buildings. Your Board could instruct staff to issue a competitive bid for these services, however that will create a lapse in pest management services, which would not guarantee cost savings for the County, and could require more aggressive pest management treatment when services are able to resume.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended actions. The maximum compensation for the recommended agreement is $750,000 and will be funded by chargebacks to user departments. Sufficient appropriations and estimated revenues are included in the ISD-Facility Services Org 8935 FY 2023-24 Adopted Budget and will be included in subsequent budget requests.
DISCUSSION:
Pursuant to Chapter 4 of the County’s Purchasing Manual, the County is able to join other public entities for collectively preparing specifications, to request and receive quotations or proposals, and to make an award to the lowest responsive and responsible bidder if the source selection method is otherwise in compliance with the requirements of the Purchasing manual. On March 10, 2021, Sourcewell, a Minnesota public procurement unit, issued Request for Proposal (RFP) No. 042821 for pest management services with related products, which was awarded to Orkin in June of 2021. The Internal Services Department, Purchasing Division reviewed Sourcewell’s RFP process and determined its procedures were consistent with the County’s RFP process. Within the RFP, Orkin provided information on their Integrated Pest Management (IPM) program which it created to provide effective, long-term pest suppression which reduces dependence on pesticide use.
The first recommended action approves an agreement, based on the terms set forth in cooperative agreement #042821-ORK through Sourcewell, with a potential two-year initial term with one optional one-year extension. Services include scheduled pest management visits to suppress rats, mice, spiders, ants, roaching, earwigs and pill bugs, along with unscheduled callout services, at almost 200 locations across the County. The second recommended action gives the CIO the authority to add and remove County locations, as well change service levels as necessary, throughout the full potential three-year term. The total compensation for the initial two-year term is $500,000. In the event the contract is extended to Year 3, the total compensation will increase to $750,000. In no event shall the potential three-year cost of this Agreement exceed $750,000.
Approval of the recommended agreement will allow Orkin to provide pest management services at various County-owned, leased, or otherwise operated locations.
REFERENCE MATERIAL:
BAI 43, April 23, 2019
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Agreement with Orkin, LLC
CAO ANALYST:
Ahla Yang