Loading...
HomeMy WebLinkAbout07 AMENDMENT NO. 6 W/ SO CAL SANDBAGS, INC. FOR TUSTIN LEGACY PROPERTY MANAGEMENT & CARETAKER SERVICESAGENDA REPORTvrs� MEETING DATE: JUNE 21, 2016 TO: JEFFREY C. PARKER, CITY MANAGER FROM: CITY MANAGER'S OFFICE Agenda Item 7 Reviewed: City Manager Finance Director SUBJECT: AMENDMENT NO. 6 WITH SO CAL SANDBAGS, INC. FOR TUSTIN LEGACY PROPERTY MANAGEMENT AND CARETAKER SERVICES SUMMARY Amendment No. 6 with So Cal Sandbags, Inc. for Tustin Legacy property management and caretaker services. RECOMMENDATION It is recommended that the City Council: 1) Authorize the City Manager to execute Amendment No. 6 with So Cal Sandbags, Inc. for Tustin Legacy property management and caretaker services through June 30, 2017; and 2) Authorize the City Manager to execute subsequent annual amendments with So Cal Sandbags, Inc. for an amount not -to -exceed $400,000. FISCAL IMPACT It is estimated that the cost of Amendment No. 6 to the agreement with So Cal Sandbags, Inc. for property management and caretaker services from July 1, 2016 through June 30, 2017 will not exceed $400,000. Funding has been proposed to be appropriated in the FY 16/17 budget. BACKGROUND/DISCUSSION The City is responsible for the property management of approximately 630 acres at Tustin Legacy. Property management includes providing erosion and sediment control obligations across the site. Failure to ensure all erosion and sediment controls are properly installed and regularly maintained can subject the City to penalties of up to $10,000 a day and third party lawsuits. Additionally,_ the City is responsible for maintaining Agenda Report June 21, 2016 Page 2 regulatory permits obtained from the Regional Water Quality Control Board, U.S. Army Corps of Engineers, and the California Department of Fish & Game that were assumed from the former master developer (TLCP) which provide the necessary authorizations to remove certain wetland channels across the site in support of development within Tustin Legacy. Property maintenance (i.e. weed control/abatement, litter collection) must continue to be performed to protect existing grading and fill sites that have been created for certain Tustin Legacy infrastructure improvements such as Tustin Ranch Road, Warner Avenue and proposed pedestrian bridges. Fire prevention, access control to the property, maintenance of security fencing and gates and maintenance of Hangar 2 are also critical aspects of property maintenance. The City will need to maintain the property until it is developed and/or transferred to other parties. The City and So Cal Sandbags, Inc. entered into a Consultant Services Agreement on January 3, 2011 to perform property management and caretaker services for the City - maintained properties located on a portion of Tustin Legacy. The Agreement has been amended each year since 2011 to reflect infrastructure development and property conveyance for a total of five (5) amendments. Request for Proposals The City distributed a Request for Proposals (RFP) for Property Management and Caretaker Services for a Portion of Tustin Legacy in May 2016 to determine if the market for property management and caretaker services has changed since the original Agreement was executed with So Cal Sandbags, Inc. in 2011. The RFP was distributed directly to three (3) firms known to provide the services identified in the RFP "Scope of Services" and was also posted on the City's website. Two (2) companies provided proposals by the RFP deadline: So Cal Sandbags, Inc. and Bistline Engineering. The proposals were reviewed and evaluated by staff from the City Manager's Office and evaluated based on the following criteria that was outlined in the RFP: • Approach and work plan for achieving the City's objectives; • Clarity of the proposal; • Qualifications and experience of the project manager and other key individuals recommended to perform the work; • Qualifications and experience of the firm, and; • Compliance with proposal requirements. • Reference checks Agenda Report June 21, 2016 Page 3 Staff has determined that So Cal Sandbags, Inc. and Bistline Engineering are qualified based on their proposals. However, So Cal Sandbags, Inc. ranked highest in the following criteria categories: • Approach and work plan for achieving the City's objectives • Clarity of the proposal • Qualifications and experience of the firm A summary chart of the qualifications review for So Cal Sandbags, Inc. and Bistline Engineering is included as Attachment 1. Proposed fees were not used to determine ranking. However, it is important to note that the fee proposal submitted by So Cal Sandbags, Inc. of $487,620 per year was significantly lower than the fee proposal submitted by Bistline Engineering of $678,459 per year. Amendment No. 6 The goal of the RFP process was to determine if the City is utilizing the best qualified firm for the services as identified in the RFP. Based on the proposals received, So Cal Sandbags, Inc. (Consultant) is still the most qualified firm. After discussion with Consultant, staff was able to negotiate a not -to -exceed amount of $400,000 which is the same amount identified in Amendment No. 5. The City Service Area (Exhibit A of Attachment 2) for Amendment No. 6 has not changed substantially since Amendment No. 5. It is anticipated that the City Service Area will shrink over the next year as property is conveyed and developed, such as 1) The Village, 2) Flight and 3) TUSD Middle/High School. Future Amendments Staff is also requesting authorization for the City Manager to have the ability to execute subsequent annual amendments as long as the fees do not exceed $400,000. Subsequent amendments will see overall acreage and fees diminish over time as infrastructure projects are completed and property is conveyed. The City Manager will also have the authority to re -bid the contract at any time. So Cal Sandbags, Inc. has continued to protect the City's interests and repeatedly exceeds the City's expectations. Staff is available for any questions that the Council may have. Agenda Report June 21, 2016 Page 4 Kenneth Piguee Management Analyst Wh41V 4& - Ma ew S. West Assistant to the City Manager thA. Buchanan Director, Economic Development Attachments: Attachment 1 — Qualifications Review Matrix of Proposals Attachment 2— Amendment No. 6 to Consultant Services Agreement with So Cal Sandbags, Inc. AMENDMENT NO. 6 TO CONSULTANT SERVICES AGREEMENT FOR PROPERTY MANAGEMENT /CARETAKER SERVICES FOR A PORTION OF TUSTIN LEGACY This Amendment No. 6 to Consultant Services Agreement ("Amendment No. 6") is made and entered into by and between the City of Tustin, a municipal corporation ("City") and So Cal Sandbags, Inc., a California Corporation ("Consultant'). RECITALS 1. The City and So Cal Sandbags, Inc. ("Consultant') entered into that certain Consultant Services Agreement on January 3, 2011, as amended by that certain Amendment No. 1 dated as of June 19, 2011, by Amendment No. 2 dated as of July 26, 2012, by Amendment No. 3 dated as of June 18, 2013, by Amendment No. 4 dated September 29, 2014, and by Amendment No. 5 dated as of July 2, 2015 (as amended, the "Original Agreement'), pursuant to which, Consultant agreed to provide property management and caretaker services for City - maintained properties located on a portion of Tustin Legacy. 2. In approving the Original Agreement, the City Council authorized that in the event that the City Service Area needed to be reduced as a result of construction or property transfers during the term of the Consultant Services Agreement, the City Manager to execute any Amendments to the Consultant Services Agreement. 3. Pursuant to Section 7 ("Term") of the Original Agreement, the Agreement may be renewed annually, subject to budget appropriations, in accordance with the provision set forth therein, including required Agreement changes or modification provision contained in Section 2.5 ("Changes"). Sufficient funds have been appropriated for the Fiscal Year 2016-17 and the City and Consultant desire to renew the Agreement for the Fiscal Year through June 30, 2017. 4. Property management and caretaker services on City -maintained properties at Tustin Legacy continue to be an on-going need of the City to ensure protection of public health and safety. Failure to ensure all erosion and sediment controls are properly installed and regularly maintained can subject the City to penalties of up to $10,000 a day and third party lawsuits. Additionally, the City is responsible for maintaining regulatory permits obtained from the Regional Water Quality Control Board, U.S. Army Corps of Engineers, and the California Department of Fish & Game that were assumed from the former master developer which provide the necessary authorizations to remove certain wetland channels across the site in support of development within Tustin Legacy. Property maintenance (i.e. weed control/abatement, litter collection) must continue to be performed to protect existing grading and fill sites that have been created for certain Tustin Legacy infrastructure improvements such as Tustin Ranch Road, Warner Avenue and proposed pedestrian bridges. Fire prevention, access control to the property, maintenance of security fencing and gates and maintenance of Hangar 2 are also critical aspects of property maintenance. The City will need to maintain the property until it is developed and/or transferred to other parties. 5. Pursuant to Amendment No. 1, the original Service Area was modified to remove property associated with the Tustin Ranch Road Phase I Construction Project. Pursuant to Amendment No. 2, additional property was added back to the total Service Area to reflect the re -incorporation of certain properties due to changes in the Tustin Ranch Road Phase II Construction Project limits. Pursuant to Amendment No. 3, the Service Area was modified to reflect the removal of Disposition Parcels 1A -North and 2A plus the inclusion of adjacent properties formerly maintained by a separate contractor. Pursuant to Amendment No. 4, the Service Area was modified to reflect the removal of property associated with development of property in Disposition Parcels 16 and 6A. Pursuant to Amendment No. 5, the Service Area was modified to reflect the removal of property associated with the new Army Reserve site, Warner Avenue and the addition of property associated with the Veterans Sports Park at Tustin Legacy as well as increased license activity at Hangar 2. The Service Area is not being modified substantially for Amendment No. 6. The City Service Area is attached hereto as Exhibit A pursuant to Section 2.5 ("Changes"). To determine if additional modifications to the Service Area will be needed to reflect changes in City responsibilities, Amendment No. 6 will require the City to provide confirmation of the Service Area and notice to the Consultant by January 1, 2017 to proceed with the second six months of service. 6. The CITY and CONSULTANT desire to amend the Original Agreement to renew the contract for an additional year and to modify the Service Area. NOW, THEREFORE, based on the promises and mutual covenants herein, the parties agree as follows: AGREEMENT 1. Section 2: ("Compensation") of the Agreement is hereby amended to add: "2.1 Compensation. For the services rendered pursuant to this Agreement, Consultant shall be compensated and reimbursed consistent with the specific cost line items and requirements for operating costs, as more fully set forth in Exhibit C and which is incorporated herein by reference as though fully set forth herein, and which shall not in any event exceed a total compensation amount for a twelve month period of Four Hundred Thousand Dollars ($400,000). The monthly operating cost for the provision of caretaker/property management services shall also not exceed the amounts as set forth in Exhibit C. The "Not to Exceed Monthly Amount" is based on the estimated average for the year. Because of the seasonal nature of maintaining the site particularly due to rainfall, the "Not to Exceed Monthly Compensation Amount' in the dry months may not be reached. In "wet' months 2 the effort to maintain the site by the Consultant may also result in the Consultant needing to apply additional resources and hours which would typically exceed the "Not to Exceed Monthly Compensation Amount" To recognize this variation of seasonal response, time and materials that do not get billed up to the "Not To Exceed Monthly Compensation Amount" in any one month (the "Monthly Surplus') as shown in Exhibit C may be applied, if determined warranted by the City, to a subsequent month during the annual term of this Agreement based on a time and materials basis only provided, however, in no case shall the maximum "Not to Exceed Compensation Amount" for the year be exceeded. " 2. Section 7: ("Term") of the Agreement is hereby amended to add: "Unless terminated in accordance with Section 8.7 of this Agreement, the term of services under this Agreement shall commence upon execution of the Agreement for a one (1) year period, including required Agreement changes or modifications contained in Section 2.5. Notwithstanding the above-mentioned provisions, the City shall also provide confirmation of the Service Area and notice to the Consultant by January 1, 2017 prior to the Consultant proceeding with the second six months. If modifications to the Service Area or other terms of the Agreement are needed to reflect changes in the City's property management/caretaker responsibilities at Tustin Legacy or changes in the City's funding resources, changes to the Agreement will need to occur pursuant to Section 2.5 ("Changes') prior to proceeding with the second six months of service. " 3. Exhibit A ("Service Area Map") of the Agreement is hereby replaced with the Service Area Map attached hereto as Exhibit A. 4. Except as amended herein, all other terms and conditions of the Original Agreement and all the attachments and exhibits thereto shall remain in full force and effect and are not modified by this Amendment No. 6. IN WITNESS WHEREOF, the parties have executed this Amendment No. 6 to be effective as of the dates stated below: Date Date APPROVED AS TO FORM: By: David E. Kendig City Attorney 9 CONSULTANT "So Cal Sandbags" Peter Rasinski President CITY OF TUSTIN Jeffrey C. Parker City Manager Exhibit A City Service Area Map Attachment 1 Qualifications Review Matrix Criteria for Evaluating Proposals Bistline Engineering So Cal Sandbags, Inc. 1. Approach and work plan for No approach or work plan Detailed approach and work plan achieving the City's objectives identified. for the project. 2. Clarity of the proposal Proposalisclear on experience Proposal is clear on experience, and costs. goals, work plan and costs. 3. Qualifications and experience of the project manager and other Well qualified. Proposed team Well qualified. Proposed team key individuals recommended to has extensive experience. has extensive experience. perform the work Qualified. Firm has experience on Well qualified. Firm has extensive 4. Qualifications and experience comparable projects. Bistline was experience on very similar of the firm the caretaker at Tustin Legacy projects. So Cal Sandbags has from 2006-2010. been the caretaker at Tustin Legacy since 2011. 5. Compliance with proposal Proposal requirements met. Proposal requirements met. requirements References provided excellent References provided excellent 6. Reference checks reviews. reviews. QUALIFIED QUALIFIED