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HomeMy WebLinkAboutCC 5 P.W. MGMNT STUDY 12-03-90DATE: TO: FROM: SUBJECT: NOVEMBER 28, 1990 )NSENT CALENDAR N0. 5 2-3-90' , Inter - Com HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL WILLIAM A. HUSTON, CITY MANAGER PUBLIC WORKS MANAGEMENT STUDY RECOMMENDATION; That the City Council authorize the City Manager to execute an agreement with Arroyo Associates for consultant services. BACKGROUND; Last year the City Council authorized staff to retain a consultant for the purpose of conducting a management study of the Public Works Department. The study analyzed how the Department is organized, work load indicators, standards for measuring productivity, future staffing requirements, etc. The f irst phase of the study has been completed and it has been determined that Phase II of the study should proceed. The second phase of the study will assist the Public Works Department in implementing procedures which will result in cost savings and cost - avoidance. Utilizing the consultant to assist City staff will result in quicker and more efficient implementation of the tasks needed to enhance productivity of the Public Works Department. The scope of services provided by the consultant is attached to the agreement. Staff will submit reports to the City Council at a later date on various aspects of the study. For example, Phase II of the study will evaluate whether street sweeping can be more cost effective by modifying existing schedules. The study will also evaluate whether specific City facilities should be maintained by private contractors rather than City staff. Implementation of these types of changes in Public Works services would require City Council approval. i WAH:jcs PROFESSIONAL SERVICES AGREEMENT This Agreement is made and entered into this 15 day of June, 1990, between the city of Tustin, a municipal corporation, (hereinafter referred to as "City") , and Arroyo Associates (hereinafter referred to as "Consultant"). A. Recitals (1) Consultant has submitted its proposal for Phase II of the Public Works Management Study, a copy of which is attached hereto as Exhibit "A", and by this reference made a part of this agreement. (2 ) City desires to retain Consultant to perform professional services necessary to render advice and assistance to City in developing a Public Works Department Management Study. (3) Consultant represents that it is qualified to perform such services and is willing to perform such professional services as hereinafter defined. NOW, THEREFORE, it is agreed by and between City and Consultant as follows: B. Agreement 1. Definitions: The following definitions shall apply to the following terms, except where the context of this Agreement otherwise requires: (a) Project: Described in Exhibit "A" attached hereto, including, but not limited to, the preparation of surveys, reports, and documents, the presentation, both oral and written, of such documents to City as required and attendance at any and all work sessions, public hearings and other meetings conducted by City with respect to the Project. (b) Services: Such professional services as are necessary to be performed by Consultant in order to complete this Project in accordance with scope of work outlined in Exhibit "A". 2. Consultant agrees as follows: (a) Consultant shall forthwith undertake and complete the project in accordance with Exhibit "A" attached hereto, and all in accordance with Federal, State and District statutes, regulations, ordinances and guidelines, all to the reasonable satisfaction of the City. 3. 4. 2 (b) Consultant shall supply copies of all reports, plans and documents (hereinafter collectively referred to as "documents") including all supplemental technical documents, as described in Exhibit "A" to City within the time specified. City may thereafter review and forward to Consultant comments regarding said documents and Consultant shall thereafter make such revisions to said documents as are deemed necessary. City shall receive revised documents in such form and in the quantities determined necessary by the City. The time limits set forth pursuant to the section may be extended upon written approval of City. (c) Consultant agrees that all services performed by Consultant shall be performed by individuals described in Exhibit "A", except upon the prior written approval of the City. Consultant shall, at Consultant's sole cost and expense, secure and hire such other persons as may, in the opinion of Consultant, be necessary to comply with the terms of this Agreement. Consultant further agrees that no subcontractor shall be retained by Consultant except upon the prior written approval of the City. (d) Consultant agrees to provide 5 copies of the final report plus a 'camera ready' copy. Citv agrees as follows_: (a) To pay Consultant a sum not to exceed a maximum of Fifty Thousand Dollars ($50,000) for the performance of the services required hereunder. This sum shall cover the cost of all staff time and all other direct or indirect costs or fees, including the work of employees, consultants and subcontractors to Consultant. Payment to Consultant shall be made in accordance with the schedule set forth below. (b) Payments to Consultant shall be made by City in accordance with the invoices submitted by Consultant, on a monthly basis, and such invoices shall be paid within thirty days after said invoices are received by City. In no event, however, will said invoices exceed Fifty Thousand Dollars ($50,000). Termination: This Agreement may be terminated by City upon the giving of a written "Notice of Termination" to Consultant at least Fifteen (15) days prior to the date 3 of termination specified in said Notice. In the event this Agreement is so terminated, Consultant shall be compensated at Consultant's applicable hourly rates, as set forth in Exhibit "A", on a pro rata basis with respect to the percentage of the Project completed as of the date of termination. In no event, however, shall Consultant receive more than the maximum specified in paragraph 3 (a), above. Consultant shall provide to City any and all documents, data, studies, surveys, and reports, whether in draft or final form, prepared by Consultant as of the date of termination. Consultant may not terminate this Agreement except for cause. 5. Notices and Designated Representative: Any and all notices, demands, invoices and written communications between the parties hereto shall be addressed as set forth in this paragraph 5. The below -named individuals, furthermore, shall be those persons primarily responsible for the performance by the parties under this Agreement: William A. Huston City Manager City of Tustin 300 Centennial Way Tustin, CA 92680 Nicholas T. Conway Principal Arroyo Associates 101 Green Street, Suite #7 Pasadena, CA 91105 6. Insurance: Consultant shall neither commence work under this Agreement until it has obtained all insurance required hereunder nor shall Consultant allow any subcontractor to commence work on a subcontract until all insurance required of the subcontractor has been obtained. Consultant shall take out and maintain at all times during the term of this Agreement the following policies of insurance: (a) Worker's Compensation Insurance: Before beginning work, Consultant shall furnish to City a certificate of insurance as proof that is has taken out full worker's compensation insurance for all persons whom it may employ directly or through subcontractors in carrying out the work specified herein, in accordance with the laws of the State of California. The certificate shall contain a waiver of subrogation rights against City. F11 ou (b) Public Liability and Property Damage: Throughout the term of this Agreement, at Consultant's sole cost and expense, Consultant shall keep, or cause to be kept, in full force and effect, for the mutual benefit of the City and Consultant, comprehensive, broad form, general public liability and automobile insurance against claims and liabilities for personal injury, death, or property damage arising from Consultant's activities, providing protection of at least One Million Dollars ($1,000,000.00) for bodily injury or death to any one person or for any one accident or occurrence and at least One Million Dollars ($1,000,000.00) for property damage. (c) General Insurance Requirements: All insurance required by express provision of this Agreement shall be carried only in responsible insurance companies licensed to do business in the Sate of California and policies required under paragraphs 6. (a) and (b) shall name as additional insureds, City, its officials, officers, employees and agents, Consultant shall furnish City with certificate evidencing insurance in form acceptable to City. 7. Indemnification: Consultant shall defend, indemnify and save harmless City, its officials, officers, employees and agents from all liability from loss, damage or injury to persons or property, including the payment by Consultant of any and all legal costs and attorney's fees, in any manner arising out of or incidental to the performance by Consultant of this Agreement, including, but not limited to, all consequential damages, to the maximum extent permitted by law. 8. Assignment: No assignment of the Agreement or of any part or obligation of performance hereunder shall be made, either whole or in part, by Consultant without the prior written consent of City. 9. Independent Contractor: The parties hereto agree that Consultant and its employees, officers, and agents are independent contractors under this Agreement and shall not be construed for any purpose to be employees of the City. 10. Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the State of California. 5 11. Entire Agreement: This Agreement supersedes any and all other agreements, either oral or written, between the parties with respect to the subject matter herein. Each party to this Agreement acknowledges that no representation by any party which is not embodied herein nor any other agreement, statement, or promise not contained in this Agreement shall be valid and binding. Any modification of this Agreement shall be effective only if it is in writing, signed by all parties. 12. Statement of costs: Pursuant to the provisions of California government Code Section 7550, the total amount expended by City relating to the preparation of the report and documents prescribed herein shall be set forth within the final edition thereof, in a separate section, in a statement substantially as follows: "Pursuant to California Government Code Section 7550, the City of Tustin expended the total amount of for the preparation of this report and/or documents." IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year set forth above: CONSULTANT CITY ATTEST: md:profsvca .I1�`�����1 October 30, 1990 Mr. William Huston City Manager 300 Centennial Way Tustin, California 92680 Re: Phase H - Public Works Department Organization Study Dear Bill: As a follow-up to our presentation of the Public Works Department study, this letter summarizes: the scope of our services and attendant deliverables; estimated schedule, and costs anticipated in assisting the Department with implementing our study recommendations and achieving the desired cost-saving objectives. A. SCOPE OF SERVICES Our analysis clearly indicates the Department has more than adequate resources to improve existing levels of service and absorb additional workload resulting from development and expansion of the City. Thus, our study noted there is the potential for significant cost savings and future cost -avoidance in the Department's operations. The challenge that lies ahead is to achieve those desired cost-saving objectives in the most efficient and cost-effective manner possible. In that regard, we will assist the Department in the following areas: • Automate inventory records of City assets, such as, but not limited to: - Street Trees - Vehicles - Parks - Medians - Facilities - Street Signs - Storm Drains - Striping and Legends • Implement a work order system for reporting of hours for each employee by type of task via the existing payroll system. Structure labor distribution reports as needed. • Implement management reports to measure and monitor task accomplishment. • Implement work planning system including quality control. Street Zees • Develop work schedules based upon planned routes, actual work inventory on each route, and needs of the street trees. • Implement two man tree trimming crews for the three crews. • Develop RFP for contract services. • Facilitate the selection and involvement of an arborist in the development of work schedules. • Develop a training program to insure consistency of trimming services, staff development, and new hire orientation (including safety and proper use of tools). Vehicle Maintenance • Identify qualified, proven automated fleet management systems; assist implementation of the system chosen by the City and the Supervisor. • Implement vehicle usage standards with options (mileage reimbursement, vehicle allowance) for situations where usage is low. Parks • Develop routes and crew schedules based upon inventory and detailed task assignment. • Develop quality control systems. • Develop RFP for contract service at identified facilities. • Implement a work order system that includes planning, organizing, assignment, and follow-up. • Identify additional service level alternatives. Streets • Develop efficient street sweeping routes. • Recommend alternative service levels for street sweeping. • Develop routes for median maintenance to facilitate efficiency and ability to re -assign task accomplishment to "landscape maintenance." • Implement effective work planning and reporting of performance. • Develop service levels and staffing to match work load and manpower needs; structure maintenance programs. Facilities • Implement work order system including reporting of hours by each employee by type of task via the existing payroll system. • Develop routes for landscape maintenance to improve efficiency and ability to reassign to "landscape maintenance." • Perform feasibility analysis and develop RFP for contract custodial services at specific locations. • Develop routes/schedules for custodians including a quality control system. 2. Water Services • Implement preventative maintenance work program including: Task inventory per valve type (or hydrant) Develop routes Establish staff requirements • Implement effective work planning, scheduling, reporting and quality control. • Automate records, including, but not limited to: Accident Reports Paving Inventory Street Lights • Implement a project planning and reporting system where the staff reports hours per account code to payroll. Structure management reports as needed for labor distribution, expenditures year-to•date, etc. Development Review • Implement a work management system that reports task accomplishment compared to work hours expended. • Develop procedures to enhance task delegation to administrative staff. Design • Implement a project planning and reporting system that budgets staff hours per project and includes work hours reporting per account code. • Implement progress reporting per active account. • Develop procedures and information/reporting systems to enhance task delegation to administrative staff. • Work with staff' to maximize time expended per project. • Implement better task delegation/reporting of interdepartmental CIP's so that communications and coordination is effective. • Review opportunities for enhanced use of contract services. 1 A 1 • Develop information system for effective automation of key transportation data. • Assess feasibility of expanded use of contract services to meet critical completion dates of CIP's. Inspection • Implement work planning system/reporting system to track task accomplishment. • Implement detailed time reporting such that when compared to task accomplishment, standards can be developed. • Develop formula to compare CIP activity to staffing needs. As discussed above, the focus of this second phase will be on implementation and documentation of work programs, systems, policies, and procedures. All material will be written for use by the respective supervisors and their approval will be required prior to finalizing the completion of each task listed above. C. SCHEDULE Given the potential cost savings involved, we recognize that time is of the essence. Thus, we are prepared to begin implementation on November 5, 1990 and achieve the following milestones: Function Completion Date Engineering Services December 30 Utilities Services December 30 Field Services January 30 We estimate the costs will not exceed $50,000. Our fees are based on the estimated number of hours required by the assigned consultant multiplied by their standard hourly rate as shown in our May 1, 1990 proposal, plus any out-of-pocket expenses (mileage reimbursement, telephone, etc.) Function Hours Field Services 60 Street Trees 68 Vehicle Maintenance 20 Parks 48 Streets 72 Facilities 26 Water 40 Engineering Services 20 Development Review 12 Design 56 Transportation 12 Inspection 12 TOTAL 446 Should our actual hours be less than our estimate, we will of course bill the lesser amount. Thus, once our study recommendations have been fully implemented, all costs expended by the City for this effort should be fully recovered during the remaining six months of this current fiscal year. We look forward to working with the Department in this implementation effort and achieving the desired objectives. Should you have any questions regarding this letter, please feel free to contact me at (818) 564-9000. Sincerely, Nicholas T. Conway R. Ledendecker R. White