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SR 03-08-2022 3H City Council Report City Council Meeting: March 8, 2022 Agenda Item: 3.H 1 of 3 To: Mayor and City Council From: Gigi Decavalles-Hughes, Director, Finance Department Subject: Award Request For Proposal and enter into Agreement with EHS International, Inc. (EHS) for Cal/OSHA Safety Training Recommended Action Staff recommends that the City Council: 1. Award RFP# 8421 to EHS International, Inc. (“EHS”) for required Cal/OSHA safety training; 2. Authorize the City Manager to negotiate and execute an agreement with EHS to provide safety training services, in an amount not to exceed $534,545 over a five-year period, with future year funding contingent on Council budget approval. Summary Staff recently solicited proposals for safety training services to satisfy extensive Cal/OSHA training requirements and City safety policies. These services are critical to maintain a safe workplace for our employees. Staff recommends the City Manager be authorized to negotiate and enter into a five-year agreement with EHS International, Inc. to provide specialized safety training to the City’s workforce. Discussion The Risk Management Division of the Finance Department is responsible for coordinating the City’s Safety Program and providing departments with tools and assistance to comply with various safety regulations and policies. Most of these regulations are set and enforced by the Division of Occupational Safety and Health (DOSH), better known as Cal/OSHA. Under Cal/OSHA regulations, employers must provide job-specific safety training to their employees on a regular basis. Due to the 3.H Packet Pg. 415 2 of 3 breadth of services that the City provides, the mandated training for our workforce is extensive and varied, including confined space training, fall protection, hearing conservation, heat illness prevention, ladder safety training, lock out/tag out training, and other trainings. As such, the City has historically used private safety consultants who possess specialized technical knowledge to deliver the training. EHS International, Inc. has been providing the training to City staff since September 2016. Vendor/Consultant Selection Bidder Recommendation Best Qualified Person/Firm EHS International, Inc. Evaluation Criteria Previous experience; the ability, capacity, and skill of the vendor to deliver services; the quality of training materials; and compliance with City specifications. Municipal Code SMMC 2.24.190 RFP Data Posted On Posted On Advertised In (City Charter & SMMC) Vendors Downloaded Date Publicly Opened 09/05/2021 City's Online Bidding Site Santa Monica Daily Press 12 10/05/2021 Additional Vendor Outreach & Justification to Award Given the breadth of highly specialized safety training that the City has to provide to its workforce, the single vendor response was not surprising. Nonetheless, Procurement conducted additional outreach to vendors who downloaded the bid to see why they did not submit a bid; the effort did not yield any responses. Staff’s review of EHS International, Inc.’s submittal confirmed the proposal met the RFP’s requirements and offered competitive pricing consistent with rates in their previous contract. Further, the firm has a long track record of providing the City with competent and cost-effective safety training service. Based on these criteria, EHS International, Inc. is recommended as the best bidder. Financial Impacts and Budget Actions Staff seeks authority to approve funding from the Self-Insurance, Workers’ Compensation Fund to award an agreement to EHS International, Inc. for Cal/OSHA safety training service. Costs for the first three years of the agreement will not exceed 3.H Packet Pg. 416 3 of 3 $105,000; each year thereafter contains an annual increase based on the Consumer Price Index Capped at 3%. Future year funding is contingent on Council budget approval. Agreement Request FY 2021-22 Budget Request Amount Department/CIP Account # Total Contract Amount $35,545 74800002.552010 $535,545 Prepared By: Gigi Decavalles-Hughes, Director Approved Forwarded to Council Attachments: A. ehsInc OAKS INITIATIVE 2.17.22 3.H Packet Pg. 417 CITY OF SANTA MONICA OAKS INITIATIVE DISCLOSURE FORM In order to facilitate compliance with the requirements of the Oaks Initiative, the City compiles and maintains certain information. That information includes the name of any person or persons who is seeking a “public benefit.” If the “public benefit” is sought by an entity, rather than an individual person, the information includes the name of every person who is: (a) trustee, (b) director, (c) partner, (d) officer, or has (e) more than a ten percent interest in the entity. Public benefits include: 1. Personal services contracts in excess of $25,000 over any 12-month period; 2. Sale of material, equipment or supplies to the City in excess of $25,000 over a 12- month period; 3. Purchase, sale or lease of real property to or from the City in excess of $25,000 over a 12- month period; 4. Non-competitive franchise awards with gross revenue of $50,000 or more in any 12-month period; 5. Land use variance, special use permit, or other exception to an established land use plan, where the decision has a value in excess of $25,000; 6. Tax “abatement, exception, or benefit” of a value in excess of $5,000 in any 12- month period; or 7. Payment of “cash or specie” of a net value to the recipient of $10,000 in any 12- month period. Name(s) of persons or entities receiving public benefit: Name(s) of trustees, directors, partners, and officers: Name(s) of persons with more than a 10% equity, participation, or revenue interest: Prepared by: ____________________________Title: __________________________ Signature: ______________________________________ Date: ________________ Email: ____________________________________ Phone: ____________________ FOR CITY USE ONLY: Bid/PO/Contract # ____________________________ Permit # ___________________________ 3.H.a Packet Pg. 418 Attachment: ehsInc OAKS INITIATIVE 2.17.22 (4965 : Cal/OSHA Safety Training)