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Council approves convention-center custodial contract amid protest from incumbent minority firm
Summary
The council awarded custodial services at the Los Angeles Convention Center to Pettus Building Services after a contested evaluation process; opposition from the incumbent minority contractor raised procurement, experience and living-wage concerns.
The Los Angeles City Council voted 11-2 to award the convention-center custodial contract to Pettus Building Services after a contested evaluation and a public hearing that drew the incumbent contractor and union supporters.
Incumbent Expert Development Service, a certified minority business that has provided custodial services at the center since 1991, asked the council to overturn the recommendation and raised multiple objections to the procurement process. David Cunningham, representing Expert Development Service, said the selection process was "not done on a fair and level playing field" and said the recommended contractor offered added risk-management services that effectively increased the city's annual cost by approximately $120,000 per year over three years.
Pettus and its supporters, including SEIU Local 1877, said Pettus would comply with the city's living-wage requirements and provide health and pension benefits to workers. Pettus president Charles ("Charlie") Chung told the council Pettus operates in large high-traffic facilities including airport terminals and county hospitals and said the company is prepared to meet the city's labor standards.
Council reaction: Personnel Committee Chair and council members noted the process was reviewed in committee and by staff. Several councilmembers said cost alone is not the only factor; evaluating committees weigh experience, technical approach and references. Councilmember Eric Garcetti (note: council roster names vary in transcript) and others emphasized contractual compliance and labor standards; the council adopted the personnel committee recommendation to award to Pettus and directed the convention center to develop a protocol with unions to avoid similar disputes going forward.
Why it matters: The Convention Center custodial contract covers daily cleaning and maintenance of one of the city's major public venues. The award raises questions about procurement transparency, minority-business participation and living-wage enforcement. The department and city attorney—oncluded their review found no legal irregularities in the selection process; staff said Pettus submitted a stronger overall proposal for the current contract evaluation.
Vote and immediate instructions: The personnel committee recommendation to award the contract to Pettus passed 11-2. The committee report also asked the convention center and the union to create a protocol to prevent future bidding disputes and to ensure contractors are informed about living-wage requirements and compliance procedures.
Quote: "Pettus prides itself in providing superior service at a fair price, while adhering to the highest ethical and legal standards," Pettus president Charles Chung said in testimony.
Ending: The contract award was approved and made forthwith; councilmembers asked the convention center to work with the CAO and unions on clearer procurement outreach and living-wage compliance checks for incumbent and prospective vendors.
