CC 2018-02-27_09e Agreements_Engineering On Call ServicesMEMORANDUM
TO: CITY COUNCIL
FROM: TERESA MCCLISH, DIRECTOR OF COMMUNITY DEVELOPMENT
BILL ROBESON, DIRECTOR OF PUBLIC WORKS
BY: ROBIN DICKERSON, CITY ENGINEER
SUBJECT: CONSIDERATION TO APPPROVE AMENDMENT NO. 1 TO
CONSULTANT SERVICE AGREEMENTS FOR CIVIL ENGINEERING,
CONSTRUCTION MANAGEMENT, MATERIALS TESTING, AND LAND
SURVEYING SERVICES
DATE: FEBRUARY 27, 2018
SUMMARY OF ACTION:
Extension of term of existing Agreements for an additional two (2) years for civil
engineering, construction management, materials testing, and land surveying services.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
No costs are associated with the contract amendments. Costs will be incurred for
specific projects and services in compliance with City Council approved budgets. A
savings can be realized by providing the City flexibility and extending City resources,
without the overhead costs of hiring additional employees.
RECOMMENDATION:
It is recommended the City Council approve and authorize the City Manager to execute
Amendment No. 1 to Consultant Services Agreements to extend agreements for an
additional two (2) years to the following firms for specified services: 1) Earth Systems
Pacific; Pavement Engineering Inc.; and Advantage Technical Services Inc. for
materials testing services; 2) Cannon Corporation; Stantec Consulting Services Inc.;
and MNS Engineers Inc. for land surveying services; 3) Filippin Engineering Inc.; MNS
Engineers Inc.; Water Systems Consulting Inc.; Lenhardt Engineering Inc.; Stantec
Consulting Services Inc. for construction management services; 4) Omni Means
Engineering Solutions; Wallace Group; Cannon Corporation; Water Systems
Consulting Inc.; Michael K Nunley and Associates; Eikhof Design Group; Lenhardt
Engineering Inc.; North Coast Engineering Inc. for civil engineering services; and 5)
Authorize staff to issue purchase orders for consultant services if the proposal cost is
within the City Council approved project or service budget.
Item 9.e. - Page 1
CITY COUNCIL
AMEND CONSULTANT SERVICE AGREEMENTS FOR CIVIL ENGINEERING,
CONSTRUCTION MANAGEMENT, MATERIALS TESTING, AND LAND SURVEYING
SERVICES
FEBRUARY 27, 2018
PAGE 2
BACKGROUND:
The use of on-call consultants has been found to be an effective tool in the delivery of
City projects and services. The current list of on-call civil engineering consultants was
established in February 2015 and those agreements will expire on March 1, 2018. The
City Council has the option to extend those agreements for another two years if so
desired. Over the past three years, the consultants have provided services to the City
without issue and it is recommended to extend those services for another two years.
On-Call List Establishment
In order to establish a list of on-call consultants, the first step is to prepare and
publically advertise a Request for Qualifications (RFQ). The request should establish
the means in which the consultant’s qualifications will be measured. The consultants
interested in responding to the City’s request will then prepare a Statement of
Qualifications (SOQ) that describes the consultant’s qualifications and past experience.
Staff then evaluates and ranks the SOQs based on the advertised criteria, and makes
award recommendations to City Council. Award recommendations are based on
numeric rankings. The quantity of contracts awarded are selected to provide
redundancy in available service but at the same time to specify the number of
consultants selected to increase the likelihood that all consultants will complete some
level of work for the City.
On-Call List Use
Once an on-call list of consultants is established, a request for proposal is prepared
and furnished to qualified consultants when the need arises for services. The
consultants will then prepare a proposal of services that outline the tasks that are
necessary to be completed and costs based on billing rates established in the
consultant’s proposal. These proposals are then evaluated and the lowest cost
proposal that completes the necessary work items is selected, a purchase order is
issued, and the consultant then schedules and completes the work. This methodology
works well since the consultant’s qualifications have already been determined, all the
terms and conditions of the contract are in place, and the consultant’s insurance
information is on record.
In December 2014, the City prepared a RFQ for Civil Engineering, Construction
Management, Material Testing and Land Surveying Services. In order to provide the
City with the greatest diversity of consultants and make the process highly competitive,
staff completed outreach work to notify consultants of the City's upcoming RFQ. In
addition to this outreach work, the RFQs were made available on the City's website for
public review. On January 9, 2015, the City received fifty-three (53) separate SOQs
from thirty-two (32) different companies. The number of SOQs received and the
qualifications of the consultants were impressive. Each SOQ was received and ranked
by City staff. On February 10, 2015, Council authorized the award of contracts to the
firms listed in Table 1. On March 1, 2015, the City entered into an agreement with
each of the firms listed in Table 1 to provide on-call engineering services to support
City needs. The original contract agreement term length was established at three (3)
Item 9.e. - Page 2
CITY COUNCIL
AMEND CONSULTANT SERVICE AGREEMENTS FOR CIVIL ENGINEERING,
CONSTRUCTION MANAGEMENT, MATERIALS TESTING, AND LAND SURVEYING
SERVICES
FEBRUARY 27, 2018
PAGE 3
years with a possible extension for up to two years. The current Agreements are set to
expire on March 1, 2018.
TABLE 1
On-Call Consultant List
Civil Engineering Construction Management
Cannon Corporation Filippin Engineering Inc.
Eikhof Design Group Lenhardt Engineering Inc.
Lenhardt Engineering Inc. MNS Engineers Inc.
Michael K Nunley and Associates Stantec Consulting Services
North Coast Engineering, Inc. Water Systems Consulting Inc.
Omni Means Engineering Solutions
Wallace Group
Water Systems Consulting Inc.
Land Surveying Materials Testing
Cannon Corporation Advantage Technical Services Inc.
MNS Engineers Inc. Earth Systems Pacific
Stantec Consulting Services Pavement Engineering Inc.
ANALYSIS OF ISSUES:
The intent of on-call consultant services lists is to provide the depth and breadth of
services needed. Maintaining multiple consultants in a given work area provides
redundancy of services and increases the likelihood of receiving competitive proposals
for a specific project. The quantity of contracts awarded are selected to provide
redundancy in available service, but at the same time to specify the number of
consultants selected to increase the likelihood that all consultants will complete some
level of work for the City. Increasing the number of contracts awarded might decrease
the likelihood that consultants participate in future RFQ processes. The level of effort
to complete this RFQ / SOQ process is large.
On-Call Use and Duration
Once these amendments are in place and a need arises, staff will prepare a project
specific request for proposals from the consultants. The consultants will review the
request and provide a proposal for work activities and associated cost. Staff will
evaluate the proposed work plan, cost and then select the lowest cost proposal that
meets the City’s needs. If the proposal cost is within the City Council approved project
or service budget, the City will issue a purchase order for this work and provide
direction to the consultant to proceed with work. Once the consultant begins work, the
contract period will not expire until the consultant has completed the purchase order
work.
While the term length of these amendments is two (2) years, for example if a purchase
order is issued for work that will take six (6) months to complete and the contract period
Item 9.e. - Page 3
CITY COUNCIL
AMEND CONSULTANT SERVICE AGREEMENTS FOR CIVIL ENGINEERING,
CONSTRUCTION MANAGEMENT, MATERIALS TESTING, AND LAND SURVEYING
SERVICES
FEBRUARY 27, 2018
PAGE 4
expires (3) three months into this purchase order’s work, there is no value to the City to
restart this work with another consultant. The highest value of fund expenditures will
be had by allowing the consultant to complete this work.
The term length of Amendment No. 1 is two (2) years. In February of 2020, the City
will need to establish a new on-call consultant list. This will require repeating the RFQ
process. The work effort for all parties to establish the list of on-call consultants is
considerable and would be started in late 2019.
ALTERNATIVES:
The following alternatives are provided for the Council’s consideration:
1. Approve Amendment No. 1 and extend Agreements for two (2) years;
2. Modify Amendment No. 1 and extend Agreements for a different term not to
exceed two (2) years; or
3. Provide direction to staff.
ADVANTAGES:
Approving Amendment No. 1 to the Consultant Services Agreements will continue to
allow the City to provide high quality services and projects within a reasonable time-
period.
The on-call firms are developing over time a better understanding of the City's
procedures, practices, and expectations ultimately enhancing efficiency and product
delivery. Working with a new firm each time results in lost efficiencies.
Design consistency and speed will be improved potentially resulting in fewer plan
reviews because the on-call firms are familiar with specific City design preferences and
requirements.
Cost savings benefits are generated because staff will not have to produce and
widely distribute Requests for Proposals, evaluate submitted proposals, select firms,
generate Council reports and agreements for multiple projects during the terms of the
on-call services agreements.
Establishment of these on-call service agreements does not preclude the City from
obtaining consultant services through the formal Request for Proposals (RFP) process
for specific project needs, specialty work, or grant requirements.
DISADVANTAGES:
Since the City is not issuing a new RFQ, additional firms are not able to be added to
the current on call list.
Item 9.e. - Page 4
CITY COUNCIL
AMEND CONSULTANT SERVICE AGREEMENTS FOR CIVIL ENGINEERING,
CONSTRUCTION MANAGEMENT, MATERIALS TESTING, AND LAND SURVEYING
SERVICES
FEBRUARY 27, 2018
PAGE 5
ENVIRONMENTAL REVIEW:
Environmental review is not required for this action. Each project will evaluate
environmental impacts on a project-by-project basis.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted at City Hall and on the City’s website in accordance with
Government Code Section 54954.2. At the time of report publication, no comments
have been received.
Attachment:
1. Template for Amendment No. 1
Item 9.e. - Page 5
AGREEMENT FOR CONSULTANT SERVICES
AMENDMENT NO. 1
This First Amendment ("First Amendment") to Agreement for Consultant Services
(“Agreement”) by and between the CITY OF ARROYO GRANDE and
__________________ (“____”) is made and entered into this ___day of ______2018.
WHEREAS, the parties entered into an Agreement dated _______, 2015__ for
____________________________________; and
WHEREAS, the parties desire to modify the Agreement as set forth herein.
NOW THEREFORE, for valuable consideration the receipt and sufficiency of which is
acknowledged, the parties agree as follows:
1.Section 1(" TERM") of the Agreement, shall be modified in its entirety to read as
follows:
This Agreement shall be extended and remain and continue in effect until February
28, 2020, unless sooner terminated pursuant to the provisions of this Agreement.
2.Except as modified herein, all other terms and conditions set forth in the
Agreement, as amended, shall remain unchanged.
IN WITNESS WHEREOF, CITY and CONSULTANT have executed this First
Amendment the day and year first above written.
[CONSULTANT NAME]
By:________________________________
CITY OF ARROYO GRANDE
By:________________________________
James A. Bergman, City Manager
ATTACHMENT 1
Item 9.e. - Page 6