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MINUTES Page 9 City of San Leandro City Council and San Leandro Redevelopment Agency Joint Meeting-September 20, 2004 8.E. Resolution Allowing the Use of Sole Source Contract Agreement with AllDura Sustainable Surface Solutions for Application of the "MicroGuard" Propriety Anti- Graffiti Surface Treatment (provides for purchase and application of n1aterials directly frOln AllDura, sole distributor of this product for the Bay Area). (2323) Counciln1en1ber Grant requested a more detailed report on this item. She noted that the staff report does not describe other products the City has tried, does not list any cost infOlmation and does not give adequate information on the AllDura Con1pany or the EP A rating of the product. Councilmember Grant expressed concern that the report is incomplete. Engineering and Transportation Director Uche Udemezue responded that AllDura is a San Leandro company located on Estabrook. He stated that there are several reasons that staff recommends the MicroGuard product. The product currently being used is difficult to apply and very toxic. When graffiti is removed, the product is also removed and Inust be reapplied. MicroGuard has lower toxicity than the current product. Mr. Udemezue indicated that while the initial cost of MicroGuard is higher, it does not need to be reapplied each time graffiti is removed and is also easy to apply. Councilmen1ber Grant inquired about the value of the contract. Mr. Jermanis indicated that the cost is not yet fully defined, and the product will be purchased as it is needed. Counciln1ember Grant asked about the approxin1ate alillual cost and projected savings. Mr. Uden1ezue stated that the projected savings of time and materials is approximately 25-400/0. Mr. Jermanis noted that the agreement will allow the City to purchase the product as needed without a competitive bid, as the vendor is the sole source of the product. He suggested that staff can return to the Council at a future meeting with a fuller explanation of costs and savings. Counciln1ember Nardine stated that she understands Councilmember Grant's concerns, and there is usually a dollar amount listed on the contracts that the Council approves. She inquired about the cost of training and expressed concern that the full budget for the iten1 should be presented to the Council. No action ,vas taken. The item was deferred to a future agenda. 8.1. Resolution No. 2004-146, Resolution Authorizing the City Manager to Execute a Consulting Services Agreement with HdL Software LLC for the Purchase of a New Business License Software Application (replaces the existing business license software application). Cost: Not to exceed $84,000. Funding: General Fund. (2323) Councilmember Grant requested clarification on the contract amount. Ms. Battenberg pointed to a chart in the staff report which gave a summary of costs over five years. Ms. Battenberg noted that funding for the system this year will come from funds remaining from the Win Resources contract and carryover from the Information Services maintenance contract savings, so there is no additional funding required from the General Fund.