Title
A resolution approving the Intergovernmental Agreement and Service-Level Agreement between the City of Colorado Springs and El Paso County for facilities maintenance services
Body
From:
Curt Decapite, Procurement Services Manager, Finance Department
Kara Skinner, Chief Financial Officer
Summary:
The City desires to continue its relationship with El Paso County (the County) through this replacement Intergovernmental Agreement (IGA) for facilities maintenance. The attached resolution authorizes the President of Council to execute the IGA between the City and County for facilities building maintenance services. The associated Service Level Agreement (SLA) may be renewed for four (4) additional one-year periods upon mutual agreement of the City and County. The attached resolution authorizes the Mayor to execute the SLA.
Previous Council Action:
City Council approved the original IGA and SLA in November 2009 (Resolution No. 255-09). In January 2011, Council approved renewal of the IGA and SLA (Resolution No. 7-11).
Background:
Prior to 2010 facilities maintenance was provided by Colorado Springs Utilities (Utilities). In 2009, Utilities requested a very substantial increase in fees for services to be provided in 2010 with the total for services costing $1.2 million per year. At that point, procurement felt it was necessary to look at other options. Shared services were a significant strategy at that time, so procurement reached out to the County. When the County submitted its offer at 30+% lower than Utilities' proposed fee for the same level of service, it was determined to be in the City's best interest to enter into an agreement with the County. The 2010 SLA provided for four additional annual term extensions commencing January 1, 2011, and all four extensions were exercised. The County provides an invaluable added value with facility assessments and analysis at no cost. The current amendments to the 2010 IGA and the 2010 SLA both expire on December 31, 2014. With costs still less than a $1 million per year (yet after 5 years), the City and the County desire to continue the strategic partnership relationship and enter into a new IGA and SLA.
Financial Implications:
Under the terms of the SLA, the 2015 cost to the City's General Fund for facilities maintenance services will be $998,850, which is consistent with the amount included in the Preliminary 2015 Budget.
Board/Commission Recommendation:
N/A
Stakeholder Process:
Staff from the City and County met to discuss the County continuing to provide facilities maintenance services to the City.
Alternatives:
If City Council chooses to not approve the attached resolution, the City would need to consider the option of hiring staff and purchasing the necessary equipment to form a new City Facilities Management Division or pursue other possible outsourcing options.
Recommended Action
Proposed Motion:
Move to approve the resolution approving an Intergovernmental Agreement and a Service Level Agreement between the City and El Paso County for facilities building maintenance services.
Ordinance Language
N/A