Steven A. Preston, City Manager. David A. Lawton, Chief of Police. All City :Management Services Crossing Guard Contract

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1 Date: July 1,2014 STAFF REPORT To: From: Steven A. Preston, City Manager r-- David A. Lawton, Chief of Police By: Rene Hernandez, Police Sergeant " Subject: All City :Management Services Crossing Guard Contract SUMMARY StaffreseardJed the feasibility ifcontracting a private mmpany to provide Crossing Guard services. Staffhas determined that outsourcing this sem:ce would decrease costs and reduce our exposure to liability. Staff is remmmending that the City enter into a Professional Smices agreement with All City Management Sewkes Incorporated. This agreement would be to protide Crossing Guard smites for an amount not to exceed an annual cost if$77, I. FACTS History The City of San Gabriel currently maintains a Crossing Guard Program (CGP). The CGP has been in existence for 35 years. The program's main purpose is to assist children with safely crossing the street on their way to and from school at heavy and/or unsafe traffic locations. When the CGP was originally established it required the City's Traffic Engineer to conduct a study to identify heavy and/or unsafe crossings. As a result of the study seven locations were identified: i ~! fcl'! SdlOOI :-'CI\ nl Mission Drive and Roses Road Coolidge Elementary School Las Tunas Drive and Burton Avenue Jefferson Middle School McKinley Drive and Fisk Avenue McKinley Elementary School Broadway and Delta Avenue Roosevelt Elementarv School San Gabriel Boulevard and Marshall Street Saint Anthony's School Mission Road and lunipero Serra Drive San Gabriel :tvfission Elementary School San Marino Avenue and Hermosa Drive Washington Elementary School

2 All City Management Services Contract jufy Pqge2 CGP Management and Staff Time The CGP is currently managed by the Police Department's Traffic Bureau Sergeant. Management of the program includes the hiring, training, equipping, administrative duties (time sheets, scheduling, evaluations, etc.), site checks and supervision of seven part-time civilian crossing guards. The day to day management of the program conservatively takes four-hours per week. In addition to the day to day management of the program the recruitment/hiring and training of new crossing guards, although sporadic, on average takes thirty hours per crossing guard. Typically in a single year 1.5 crossing guards will need to be replaced and trained due to resignations and/or injury. This recruitment/hiring process equates to approximately 30 hours of staff time per crossing guard. During this replacement time (Generally 30 days) police personnel are used to fill the vacant crossing. 'Ibis equates to approximately 80 hours of staff time. Police staff is used to fill in for a crossing guard when they call in sick or are gone on a planned absence. Since January of 2014, police personnel have manned crossings on fourteen different occasions equating to approximately 56 hours. Although many of the identified costs are "soft costs" they equate to a value and are calculated as follows: Liability According to reports prepared by the California Joint Powers Insurance Authority (C]PIA), which is our City's Workers' Compensation insurance program, the City has three active claims related to crossing guards. The costs to ultimately cover these claims are estimated at $1,315,876. The annual premium specific to the City's crossing guards is not known; however, outsourcing the CGP will limit the City's exposure to future liabilities and lower our annual premium. Salary and Benefits Cost The Crossing Guard hourly pay rate ranges from $11.21 to $13.63 per hour.

3 AllCity ihanagemenl Serum Contract Jufy 1,2014 Page 3 Cost Summary The chart below summarizes the identified costs to manage our city's CGP. * There are three current employees who have elected to stay with Social Security. ** Any new employee hired after January 1, 2012, is automatically enrolled in the Public Employees Retirement System (PARS). II. ANALYSIS Staff researched the feasibility of having a private company provide crossing guard services. The company would be required to assume all of the responsibilities of the program including: hiring, training, administrative duties and covering vacant positions. In addition the company would be required to assume all personnel matters related to their employees including salary and worker compensation matters and coverage. In our research only two companies were identified that provide such services \V-ithin Los Angeles County; All City Management Services Incorporated and American Guard Services Incorporated. The chart below is a general comparison: Competitive Services All City Management Services is a provider for Crossing Guard services and found to be competitively priced.

4 AllCit)' Alanagement SenJices COlttrad JulY 1,2014 Page 4 Staff has identified the cities throughout the San Gabriel Valley (See Addendum A) who are currently contracted with All City Management Services. Since January of 2014, the following cities have renewed their contract with All City Management Services: Bellflower, Buena Park, Downey, Fontana School District, Manhattan Beach, Ontario, Rolling Hills Estates, San Bernardino City and Santa Ana. Staff contacted twelve of the cities that contract with All City Management Services in order to determine their level of satisfaction. The chart below indicates each city's response. Contradcu Cit\ Not S.ltisfkd Satisficd YCf\ S.ltisfil'd i City of Azusa City of Bell Gardens City of El Monte City of Glendale i City of Hennosa Beach City of Montebello City of Pasadena City of Rosemead City of San Marino City of Torrance Citv of Whittier City ofveroon Employee Transition In assuming control of the Crossing Guard Program, All City Management Services (ACMS) will meet with and evaluate our existing crossing guards. Those guards that meet ACMS hiring guidelines will undergo an orientation and training with their company and offered employment. III. FUNDING Funds for crossing guard services are currently budgeted in the Police Department's Fiscal Year contractual expenditure account at $80,000 (police - Contractual Services # ). IV. RECOMMENDATION That the City Council waives compliance with the City's formal purchasing policy and authorize the Chief of Police to enter into a Professional Services agreement \.vith All City Management Services for crossing guard services for an annual amount not to exceed $77, AttadJment: -AllCity Management 5ervit:es ContractualAgreement - AddendumA

5 AGREEMENT BETWEEN THE CITY OF SAN GABRIEL AND ALL CITY MANAGEMENT SERVICES, INC. FOR CROSSING GUARD SERVICES This AGREEMENT made and entered into this July 1, 2014, by and between the CITY OF SAN GABRIEL a municipal corporation, hereinafter called the "City", and ALL CITY MANAGEMENT SERVICES, INC., hereinafter called the "Contractor"; WITNESSETH The parties hereto have mutually covenanted and agreed as follows: 1. This Agreement is for a one school year period which commences August 18,2014 and ends on June 30, 2015 and for such term thereafter as the parties may agree upon. 2. The Contractor will provide personnel equipped and trained in appropriate procedures for crossing pedestrians in marked crosswalks. Such personnel shall be herein referred to as a Crossing Guard. The Contractor is an independent Contractor and the Crossing Guards to be furnished by it shall at all times be its employees and not those ofthe City. 3. The City's representative in dealing with the Contractor shall be the San Gabriel Police Department Traffic Bureau Sergeant. 4. The City shall determine the locations (exhibit 1) where Crossing Guards shall be furnished by the Contractor. The Contractor shall provide at each designated location personnel properly trained as herein specified for the performance of duties as a Crossing Guard. The Contractor shall provide supervisory personnel to see that Crossing Guard activities are taking place at the required places and times, and in accordance with all items of this Agreement. 5. The Contractor shall maintain adequate reserve personnel to be able to furnish alternate Crossing Guards in the event that any person fails to report for work at the assigned time and location and agrees to provide immediate replacement. 6. In the performance oftheir duties the Contractor and all employees of the Contractor shall conduct themselves in accordance with the conditions ofthis Agreement and the laws and codes ofthe State ofcalifornia and the City of San GabrieL 7. Persons provided by the Contractor as Crossing Guards shall be trained in the laws and codes of The State ofcalifornia and the City of San Gabriel pertaining to general pedestrian safety in school crossing areas. 8. Crossing Guard Services shall be provided by the Contractor at the designated locations on all days in which the designated schools in the City of San Gabriel are in session. The Contractor also agrees to maintain communication with the designated school to maintain proper scheduling. 1

6 The Contractor shall provide all Crossing Guards with apparel by which they are readily visible and easily recognized as Crossing Guards. Such apparel shall be unifonn for all persons perfonning the duties of Crossing Guards and shall be worn at all times while perfonning said duties. This apparel must be appropriate for weather conditions. The Contractor shall also provide all Crossing Guards with hand held Stop signs and any other safety equipment which may be necessary. The Contractor shall at all times provide Workers' Compensation Insurance (statutory limits) covering its employees, and shall provide and maintain Employer's Liability Insurance (with limits of at least $1,000,000) for Crossing Guard activities. The Contractor will provide to the City a Certificate of Insurance naming the City and its officials, officers and employees as an additional insured. Such insurance shall include commercial general liability with a combined single limit of not less than $1,000, per occurrence and $2,000,000 in aggregate for property damage, bodily injury and personal injury, including without limitation blanket contractual liability. Such insurance shall be primary with respect to any insurance maintained by the City and shall not calion the City's insurance contributions. Such insurance shall be endorsed for contractual liability and personal injury and shall include the City, its officers, agents and interest of the City. Such insurance shall not be canceled, reduced in coverage or limits or non-renewed except after thirty (30) days written notice by Certified Mail, Return Receipt Requested has been given to the Chief of Police, or designee for the City of San Gabriel. Contractor agrees to indemnify the City, its Officers, employees and agents against, and will hold and save each of them hannless from, any and all actions, claims for damages to persons or property, penalties, obligations or liabilities that may be asserted or claimed by any person, finn, entity, corporation, political subdivision or other organization arising out of the intentional or negligent acts, errors, or omissions of Contractor, its agents, employees, subcontractors, or invitee, provided for herein. a) Contractor will defend any action or actions filed in connection with any of said claims, damages, penalties, obligations or liabilities and will pay all costs and expenses including attorney's fees incurred in connection herewith. b) Contractor will promptly pay any judgment rendered against City, its officers, agents or employees for any such claims, damages, penalties, obligations or liabilities. c) In the event City, its officers, agents or employees is made a party to any action or proceeding filed or prosecuted against Contractor for such damages or other claims arising out of or in connection with the negligence of Contractor hereunder, Contractor agrees to pay City, its officers, agents, or employees, any and all costs and expenses incurred by City, its officers agents or employees in such action or proceeding, including, but not limited to, reasonable attorney's fees. 12. Either party shall have the right to cancel this Agreement by giving sixty (60) days written notice to the other: San Gabriel ACMS Pioneer Blvd. Suite 5 Santa Fe Springs, CA

7 13. The Contractor shall not have the right to assign this Contract to any other person or firm except with the prior written consent ofthe City. 14. The City agrees to pay the Contractor for the services rendered pursuant to this Agreement the sum of Fifteen Dollars and Forty-seven Cents ($15.47) per hour, per guard during the initial contract period which concludes June 30,2015. The pricing is based upon 7 crossing guards billed for a minimum of 4.0 hours per day for 180 school days annually. If Contractor fails to staff a site or if Contractor arrives more than 20 minutes late to an assigned shift, Contractor shall credit the City $25.00 per site and will not bill for missed time. Contractor shall not bill for hours when sites are not staffed. 15. The City of San Gabriel shall have an option to renew this contract for an additional two year term. In the event that this Agreement is extended beyond June 30, 2015, the price per hour shall be subject to a one time 2.5% increase to a rate of$15.86 per hour, per guard through June 30, Pricing is subject to change with the agreement of both parties due to changes in State of California minimum wage law and any applicable State ofcalifornia wage orders. IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and year first above written. City of San Gabriel All City Management Services, Inc. Signature D. Farwell, Corporate Secretary Print Name and Title Date 3

8 All Ci(y Management Services C'ontract JulY 1,2014 Page 5 Addendum l~" 1. City ofanaheim 2. City of Arcadia 3. City of Azusa 4. City of Bell Gardens 5. City of Beverly Hills 6. City of Diamond Bar 7. City of EI Monte 8. City of Glendale 9. City of Hermosa Beach 10. City of Huntington Park 11. City of Lynwood 12. City of Manhattan Beach 13. City of Malibu 14. City of Montebello 15. City of Mission Viejo 16. City of Ne"'l'ort Beach 17. City of Norwalk 18. City of Pasadena 19. City of Rancho Palos Verdes 20. City of Rosemead 21. City of San Marino 22. City of Torrance 23. City of Walnut 24. City of Whittier 25. City ofvemon