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HomeMy WebLinkAbout2022-06-21; City Council; ; Amendment No. 1 to the Professional Services Agreement with Michael Baker International, Inc. for Engineering Plan Check Services CA Review _RK__ Meeting Date: June 21, 2022 To: Mayor and City Council From: Scott Chadwick, City Manager Staff Contact: Jason Geldert, Engineering Manager jason.Geldert@carlsbadca.gov, 442-339-2758 Subject: Amendment No. 1 to the Professional Services Agreement with Michael Baker International, Inc. for Engineering Plan Check Services District: All Recommended Action Adopt a resolution approving Amendment No. 1 to the Professional Services Agreement with Michael Baker International, Inc. for engineering plan check services. Executive Summary For several decades, the City of Carlsbad has contracted with outside professional plan checking firms to review submittals for engineering permits processed by the city. Outsourcing a portion of the plan checking service gives the city access to specialized technical expertise and allows the city to provide more consistent response times to customers, despite fluctuating workload. There has been a recent increase in number of projects that require specialized technical review along with an increase in overall demand, which resulted in an increase in the workload for these consultants. One of them, Michael Baker International, Inc., has the experience and expertise to work on more complex projects. The other two firms do not have the capacity to provide this service. Staff have concluded the city needs to shift some of the workload and plan check services from the other consultants to Michael Baker International. On Aug. 27, 2021, the city awarded Michael Baker International a three-year contract to provide engineering plan check services for $90,000 per contract year. Staff are requesting a $60,000 increase in the total fee paid per contract year, for a not-to-exceed total fee payable of $150,000 per contract year. Procurement of professional services that will cost the city more than $100,000 per agreement year requires the City Council’s approval under Carlsbad Municipal Code Section 3.28.060(D)(5). Sufficient funds to cover the costs related to this amendment are available, so no additional fund appropriations are requested. June 21, 2022 Item #3 Page 1 of 8 Discussion The city is under contract with three firms that review construction plans and the supporting design calculations to ensure land development in Carlsbad complies with the requirements of the city’s design and construction standards: • Michael Baker International, Inc. • Hunsaker and Associates San Diego Inc. • O’Day Consultants Inc. Billing under the three contracts is based on the actual hours worked to meet the demand. The number of actual hours worked by each consultant varies from month to month due to normal fluctuations in the workload and in the number and complexity of the development submitted for review. All costs related to the review of engineering plans are paid for by project applicants. Staff anticipated the initial contract amounts for each of the three firms would cover all plan check service needs of the city, but the scope of services required varies, depending on the number and type of land development and capital projects requiring consultant services. As noted above, the number of projects that require more specialized and technical review has increased, along with the overall demand for plan check services. To meet these demands, staff would like to shift some of the workload to Michael Baker International. As an example, Michael Baker International provides on-going engineering services for the Aviara Apartments and Marja Acres land development projects. The city assigned these projects to the firm because it has the capability to successfully handle more complex projects, such as those that require excavation shoring with support walls or other earth retention systems. The Community Development Department estimates what budget will be needed for engineering plan check services each year. However, these costs are not entirely predictable, because of the number and complexity of special projects submitted in any given year. The current contract with Michael Baker International, Inc. has a not-to-exceed fee amount of $90,000 per year that will be insufficient if the current workload trends continue. Staff are requesting $60,000 in additional funding for this first amendment to the consulting agreement with Michael Baker International. This request does not change the budget’s total line-item allocation for engineering plan check services. The overall plan check budget for the three firms would remain the same, but the amount allowed to be paid to Michael Baker International would increase to accommodate as-needed services. Options Staff provide the following options for the City Council’s consideration: 1. Adopt the resolution and approve the amendment as presented. Pros • Responds to the increase in business and development trends for engineering plan check services and gives the city access to specialized technical engineering expertise. • Provides uninterrupted plan check services to allow high level of customer service. • Provides needed specialized technical support from Michael Baker International, Inc. June 21, 2022 Item #3 Page 2 of 8 •Will not result in any additional cost to the city, as all costs are developer-funded. Cons •None identified. 2.Do not authorize the agreement as presented Pros •None identified Cons •Shifts burden of workload to other consultants that do not have additional capacity, experience or expertise •Without this agreement amendment, engineering plan check services would be delayed, impacting the processing time of development projects •Eliminates the ability to utilize Michael Baker International as a resource for specialized technical support for any services that exceed $90,000 Staff recommend Option 1, that the City Council adopt a resolution approving Amendment No. 1 to the Professional Services Agreement. Fiscal Analysis The amended agreement amount for Michael Baker International, Inc. shall not exceed $150,000 per contract year. The contractor is paid based on the progress of work they perform, the type of permit and the negotiated rate for the permit type. As development submittals are received by the city, developers pay review fees based on the city’s Development Fee Schedule. Any contractor fees paid for under this agreement are covered by these revenues. The funding for the initial year of this agreement amendment is included in fiscal year 2022-23 City Operating Budget. Future years will be forecast and included in subsequent budgets. Next Steps With the City Council’s approval. Staff will execute the amendment and Michael Baker International will continue to provide plan check review services. Environmental Evaluation In keeping with Public Resources Code Section 21065, the amendment of a contract for engineering plan check services does not qualify as a project within the meaning of the California Environmental Quality Act in that it has no potential to cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, and therefore does not require environmental review. Public Notification This item was noticed in keeping with the state's Ralph M. Brown Act and it was available for public viewing and review at least 72 hours before the scheduled meeting date. Exhibits 1.City Council resolution 2.Original agreement for Engineering Plancheck Services with Michael Baker International, Inc. June 21, 2022 Item #3 Page 3 of 8 RESOLUTION NO. 2022-146 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, APPROVING AMENDMENT NO. 1 TO THE AGREEMENT WITH MICHAEL BAKER INTERNATIONAL, INC. FOR PROFFESSIONAL ENGINEERING PLAN CHECK SERVICES Exhibit 1 WHEREAS, the City Council of the City of Carlsbad, California has determined that the City of Carlsbad requires the services of outside engineering plan check consultants; and WHEREAS, on April 23, 2021, the Community Development Department issued a Request for Qualifications (RFQ) inviting qualified firms to submit statements of qualifications to provide engineering plan check services; and WHEREAS, several submittals were received and staff evaluated them using criteria outlined in the RFQ; and WHEREAS, three contractors were selected with one of the selected consultants being Michael Baker International, Inc. (MBI, Inc.); and WHEREAS, on August 27, 2021, the city executed a professional services agreement with MBI, Inc. as authorized by the City Manager, for an amount of $90,000 per contract year; and WHEREAS, an additional $60,000 for annual plan check services with MBI, Inc. is needed due to a shift in workload and plan check services from other consultants; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad, California, as follows: 1.That the above recitations are true and correct. 2.That Amendment No. 1 to the Agreement with MBI, Inc. for professional plan check services is hereby approved and the Mayor is hereby authorized and directed to execute said Amendment which is attached hereto as Attachment A. June 21, 2022 Item #3 Page 4 of 8 PASSED, APPROVED AND ADOPTED at a Regular Meeting of the City Council of the City of Carlsbad on the 21st day of June, 2022, by the following vote, to wit: AYES: NAYS: ABSENT: Hall, Blackburn, Bhat-Patel, Acosta, Norby. None. None. MATT HALL, Mayor t20v fr FAVIOLA MEDINA, City Clerk Services Manager (SEAL) June 21, 2022 Item #3 Page 5 of 8 Exhibit 2 Original agreement for Engineering Plancheck Services with Michael Baker International, Inc. (on file in the Office of the City Clerk) June 21, 2022 Item #3 Page 8 of 8