TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager
SUBJECT: Service Wear Apparel Uniform Contract
ACTION ITEM
RECOMMENDED ACTION(S):
Title
Consider authorizing a one-year single source contract with Service Wear Apparel for operator and supervisor uniforms with a contract term beginning November 1, 2021 through October 31, 2022.
Body
STRATEGIC IMPORTANCE:
Goal - High-Performing Workforce
Initiative - Financial Efficiency and Revenue Maximization
Awarding the contract to Service Wear Apparel Uniform ensures the continuation of providing high quality uniforms for AC Transit employees. Having a uniform contract aligns with the following Strategic Plan Goals and Initiatives: High Performing Workforce and Financial Efficiency and Revenue Maximization.
BUDGETARY/FISCAL IMPACT:
The cost for the one-year contract would remain the same as the current contract year at $809,670, which is included in the operating budget.
BACKGROUND/RATIONALE:
The District entered into a contract on July 1, 2017, with Service Wear Apparel (SWA) under the Region 4 & National IPA/TCPN (National Intergovernmental Purchasing Alliance/The Cooperative Purchasing Network) Cooperative Agreement for Service Wear Apparel to provide uniforms for AC Transit operators, dispatchers, and supervisors. The term of the contract was for three-years based on the master agreement date of November 2016 with two (2) one (1) year options. The master Cooperative Agreement is scheduled to end on October 31, 2021.
In March 2021, the District conducted a survey to gauge operator, dispatcher, and supervisor uniform satisfaction. Operators, dispatchers, and supervisors were able to participate in the survey via the use of a Quick Response code (QR code) to bring up an online survey through a mobile phone, or through a written survey distributed at each Division. Only 190 responses were received out of approximately 1,250 employees; 150 respondents indicated they were not satisfied. The District, ATU Local 192 Leadership, and the Uniform Committee met with Service Wear Apparel to address concerns raised by operators, dispatchers, and supervisors. Service Wear Apparel acknowledged challenges with their performance and conveyed that the pandemic took its toll on their operation; from plant closures, to a shutdown of the distribution center, and sporadic employee absences due to close contact or COVID itself. Service Wear Apparel is taking steps to address the issues described by the Uniform Committee members.
Pre-pandemic, Service Wear could visit all the Divisions during scheduled events or appointments. Due to the pandemic, this practice did not continue, which hampered some of the communication with employees. Moving forward, Service Wear will be included in virtual Town Hall Meetings with operators, dispatchers, and supervisors as well as scheduled virtual Quarterly meetings with Division Uniform Committee representatives, and Transportation leadership including the Director of Transportation. With improved communication and frequency of opportunities to provide and receive feedback, concerns raised by employees can be tracked and addressed.
Staff has negotiated a single year contract directly with Service Wear Apparel. Terms and Conditions of the District’s current contract (under the Cooperative Agreement) would be reflected in the standalone contract including the current operating cost of $809,670 per year. The contract would be awarded as a single source contract for a term of one (1) year commencing on November 1, 2021 to October 31, 2022. A new Master Cooperative Agreement is being developed; however, this is still in progress and may be finalized before the end of this calendar year.
Staff recommends contracting with Service Wear Apparel for one (1) additional year, doing so will provide staff ample time for the Master Cooperative Agreement process to conclude and to work with Service Wear Apparel on improvements or to explore options to prepare a new solicitation based on the ongoing needs of the District. Staff is making this recommendation based on Service Wear Apparel’s immediate response to the survey concerns raised by the Uniform Committee, and other employees. Service Wear Apparel has taken a proactive approach by modifying their website and researching the uniform sizing issues. Also, Service Wear Apparel is still demonstrating their ability to satisfactorily provide the full uniform services for the needs of the District during the COVID-19 pandemic.
ADVANTAGES/DISADVANTAGES:
An advantage with authorizing the one (1) year contract for Service Wear Apparel is to give the District time to consider piggy-backing onto a new Master Cooperative Agreement without running its own procurement process.
Staff could not identify significant disadvantages in approving Service Wear Apparel’s contract.
ALTERNATIVES ANALYSIS:
A Request for Proposal (RFP) could be developed to solicit for other uniform provider options. However, the RFP process for uniforms requires in-person review of samples and materials, which takes a considerable amount of time to plan, schedule and manage, and is not a good idea to do during a pandemic. Approving the one-year contract with Service Wear Apparel will allow time for restrictions and impacts of the COVID-19 pandemic to subside or be removed and the possibility of utilizing a new Master Cooperative Agreement for this service.
PRIOR RELEVANT BOARD ACTION/POLICIES:
SR 16-057b, Contract Award for Transportation, Supervision, Dispatch, and Customer Service
Employee Uniforms
Board Policy 465 - Procurement Policy
ATTACHMENTS:
None
Prepared by:
Derik Calhoun, Director of Transportation
Approved/Reviewed by:
Salvador Llamas, Chief Operating Officer
Fred Walls, Director of Procurement and Materials
Chris Andrichak, Chief Financial Officer
Richard Oslund, Acting Director of Management & Budget
Jill A. Sprague, General Counsel