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CC - CONSENT ITEM: Approval of Amendment to the City’s Agreement with UniFirst Corporation for Uniform Rental and Uniform-Related Products and Services to Increase the Annual Not-To-Exceed Amount to $90,000 and Extend the Term to June 30, 2029.
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Meeting Date: January 27, 2025
Contact Person/Dept: Jesse Bobbett/Finance Department
Phone Number: (310) 253-6012
Fiscal Impact: Yes [] No [X] General Fund: Yes [] No [X]
Attachments: Yes [] No [X]
Public Notification: (E-Mail) Meetings and Agendas - City Council (01/22/2025)
Department Approval: Lisa Soghor, Chief Financial Officer (01/21/2025)
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RECOMMENDATION
Staff recommends the City Council approve an amendment to the agreement with UniFirst Corporation to increase the annual not-to-exceed amount to $90,000 and extend the agreement term to June 30, 2029.
BACKGROUND
The City requires employees in designated job classifications across various departments to wear identified uniforms as part of their job duties. This requirement enables customers to easily recognize City employees and serves to promote employee safety. Historically, the City has contracted with a vendor to provide uniforms and related services. The vendor is responsible for conducting fittings with employees, supplying appropriate uniform items, and laundering, repairing, and replacing uniforms as needed. Additionally, the vendor launders mops, bath towels, shop towels, and mats.
On March 18, 2024, the City Council approved a five-year agreement with UniFirst Corporation for these services, which is set to expire on April 8, 2029.
DISCUSSION
Since the agreement was initiated on April 9, 2024, the City has filled several vacancies across departments that utilize uniforms provided by UniFirst. Consequently, the cost of these services has increased.
As the City continues to fill vacancies, the cost of uniforms and related services is anticipated to exceed the current annual not-to-exceed amount of $70,000. To address the increase, staff recommends raising the annual not-to-exceed amount to $90,000. The updated amount would reflect an increase of $20,000 annually or a total increase of $100,000 over the agreement term.
Additionally, the agreement’s expiration date of April 8, 2029, does not align with the City’s fiscal year, which runs from July 1 to June 30. To improve budget monitoring and administrative efficiency, staff recommends amending the agreement term to coincide with the City’s fiscal year.
UniFirst has agreed to continue providing uniforms and related services under the prices specified in the existing agreement. The prices may increase annually based on the consumer price index, minimum wage adjustments, and other factors.
Staff recommends the City Council approve an amendment to the agreement with UniFirst Corporation to provide uniforms and related services to increase the annual not-to-exceed and extend the term to align with the City’s fiscal year.
FISCAL ANALYSIS
The amended agreement with UniFirst Corporation will be utilized by several City departments. The Adopted Budget for Fiscal Year 2024-2025 includes sufficient funding in the various departmental accounts under object code 550110 (Uniform) and 600200 (R&M - Equipment). Funds for future years of the agreement will be included in future fiscal year budgets.
MOTION
That the City Council:
1. Approve Amendment to the Agreement with UniFirst Corporation for uniform and uniform-related products and services to increase the annual not-to-exceed amount to $90,000 and extend the term to June 30, 2029;
2. Authorize the City Attorney to review/prepare the necessary documents; and
3. Authorize the City Manager to execute such documents on behalf of the City.