T P C t ttTree Procurement Contracts - urban-forestry.com · agus N yssa c ulus s trya r astis M alus rotia n thus nolia y llum w ... Long Term Strategic Planning 28 Qu Pr Zel Gymnocl

T P t C t t Tree Procurement Contracts: Setting a New Standard for New York City and Beyond

2Long Term Strategic Planning

New York City’s Tree Canopy

New York City has 24% canopy cover• 44,000 acres of land area

• 50% under Parks jurisdiction• 5.2 million trees- 600,000+ street trees• Valued at $5.2 billion in replacement costs

Relative Area< 10%

15%

20%

25%

30%

35%

40%

45%


45%

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> 50%

1. PlaNYC Overview

On Earth Day 2007, Mayor Bloomberg unveiled a comprehensive plan to improve our urban environment….

Parks’ PlaNYC Components:

8 R i l P k8 Regional Parks

290 Open Schoolyards

36 Field Lighting Sites

25 Synthetic Turf Fields

800 Greenstreets

380,000 Reforestation Trees

220,000 Street Trees 1,000,000 Trees

400,000 Private Trees


October 9, 2007 Press Launch


To Date 379,234 Trees planted!, p

346 Trees Per Day346 Trees Per Day

14 Trees Per Hour14 Trees Per Hour

1 T E 4 Mi t1 Tree Every 4 Minutes


PlaNYC Greening: Street Trees

25,000

15 000

20,000

10,000

15,000

5,000

01998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Fi l Y


Fiscal Year

Planted Planned


Block Planting Prioritization



Initial Questions

Are there 1 million trees out there?

What are the benefits of an informal versusa contractual arrangement?

What will be the long term costs?

Do we pay upfront for trees?Do we pay upfront for trees?

What species of trees should be planted?

Can we grow the trees ourselves?



Initial Research

• Similar NYC contracts

• Industry roundtables

• Planting contractor feedback

• Request for Information


Request for Information

• How long has your firm been in business?

• How many trees do you sell per year?

• What size trees do you currently grow?

• Would your firm be able to commit to growing trees for the next 10 years?

• Would you be interested in growing trees on contract?


contract?


All Nursery and Landscape Supply Companies with One Million Dollars or Greater Annual Sales

Contract Basics

• First Round of Contracts Ad ertising (Tradesho s letters and lots of phone calls)Advertising (Tradeshows, letters, and lots of phone calls) Pre Bid Meeting and follow upBid opening!

Lessons Learned– No clear commitment to buyNo clear commitment to buy– Bonding requirement confusion– Tree specifications too detailed

More price increases– More price increases

• Second Round of Contracts


Second Round of Contracts


Legal Mumbo-Jumbo???


Contract Specifics

• The Contractor must meet the following qualifications:They must have a ten years experience:

– Growing 3,000 or more 2.5-3” caliper trees in the ground per yearG i i i f 60% f th diff t t f i lti th i li t– Growing a minimum of 60% of the different types of species or cultivars on the species list

– Experience digging and delivering at least 500 trees per week• A nursery may be awarded more than one contract if they are found to have the resources and capacity• NYC is obligated to purchase the quantities of trees listed and approved in the Annual Work Plan• NYC shall pay 5% of the bid price for every tree approved in the Annual work plan if they are not purchased• 60% of the trees can be subcontracted years 1-3 and 20% can be subcontracted years 4-9• 3 major types of trees, all species get sorted into a different type and are have a separate bid price • All trees will be tagged in ground (including subcontracted trees) by NYC personnel and all costs associated

with tagging are covered by the nursery• All trees are delivered within 20 miles of NYC• Trees can be rejected on site if they were damaged prior to unloading• Price increase at year 4 based off the Consumer Price Index• Annual work plan to be submitted annually and subsequently checked each year in June

• Contracted for fewer trees that NYC actually needed!!!


Overview

Street Trees• 7 contracts (9 years)• 3 nurseries• 55,324 delivered to date• $26 000 000$26,000,000

Reforestation6 t t (9 )• 6 contracts (9 years)

• 4 nurseries• 53,634 delivered to date• $6,600,000


Paperwork and Ownership Transfer


Benefits of Tree Procurement

• Transparency, Alignment, and ConsolidationB d i li t t hi h lit• Broader species list grown to higher quality standards

• Increased planning potentialIncreased planning potential• Cost and Labor Savings • Insiders view to the secret world of nursery

production


Transparency, Alignment, and Consolidation

Liner Grower

C li T G (15 20 N i )

Wholesale Yard

Caliper Tree Grower (15-20 Nurseries)

Tree Broker

Planting Contractor


NYC Parks and Recreation

Transparency, Alignment, and Consolidation

Liner Grower

Caliper Tree Grower (5-7 Nurseries)

Planting Contractor

NYC Parks and ContractorRecreation


Increased Species Diversity

N b f TNumber of Trees

592,130 (19% increase)

At least 150 species

Dominant Species Citywide

1995 – Norway maple (23%)1995 Norway maple (23%)

2005 – London Plane (15%)


Species Diversity

120

100

80Street Trees

NRG

40

60

* Start of contracts20


0

FY 2001 FY 2002 FY 2003 FY 2004 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 FY 2010

Citywide Street Tree Species Distribution and Future Planning

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Quality Standards


Quality Standards


Quality Standards

BEFORE AFTER



Handling and Unloading


Planning Potential


Cost and Labor Savings

C t f t l ti l t dCost of tree planting versus plant procured – Approximate $10-$20 per tree savings= $200,000

Tree Tagging Time Savings– Core group of foresters visiting 5-7 nurseries per year

instead of 10-15 nurseries– Tagging trees for the entire year at once– Tagging up to 2800 trees per day

Estimated annual labor savings of 600 hours– Estimated annual labor savings of 600 hoursThe equivalent of 18 weeks of work

No substitutions= less confusion and mistakes

Price of tree locked in for 9 years


y

Insiders View toInsiders View to the Secret World ofWorld of Nursery

ProductionProduction






Harvesting techniques• By scraping off the top of the

root ball before digging, more roots are transplanted withroots are transplanted with the tree




WHITMAN NURSERIES


Documents

T P C t ttTree Procurement Contracts - urban-forestry.com · agus N yssa c ulus s trya r astis M alus rotia n thus nolia y llum w ... Long Term Strategic Planning 28 Qu Pr Zel Gymnocl