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.
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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.
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(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
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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.
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(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.
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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:
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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.
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• 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