19-0514_RINCON_Staff Memo MEMORANDUM
DATE: May 14, 2019
TO: Benjamin Siegel, City Manager
Steve May, Public Works and Utilities Director
FROM: Tom Toman, Asst. Public Works Director
Rod Hamilton, Public Works Managegi
SUBJECT: Request for final approval signatures - Letter Agreement between the City and Rincon,
for Vehicle/Equipment Repair and Maintenance Services.
Currently, the City has an approved PSA (Professional Services Agreement) with Rincon, see attachment
1. However, because of the "evergreen" nature of this PSA, a decision was made to create a similar
agreement that has term limits.
Consequently,with BBK's approval and use of their template Letter Agreement, SJCPW requested Rincon
execute this type of Letter Agreement and provide their updated rate schedule for repairs. Attachment 2 is
the new executed agreement and rate schedule.
Please also note insurance limits have been approved by HR/Sam.
The new term will be for two years (see agreement paragraph two). Additionally, the amount of
compensation associated with this agreement will not exceed the signing authority of the City Manager
(currently$45,000).
ATTACHMENTS:
Attachment 1: Current PSA with Rincon
Attachment 2: Proposed new Letter Agreement with Rincon
Cc: File