HomeMy WebLinkAbout07 AMENDMENT NO. 12 TO CSA WITH SO CAL SANDBAGS INC DocuSign Envelope ID:7F6E1 BB4-CA29-4240-9805-2C0B8B984BB5
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AGENDA REPORT City Manager DS
1W Finance Director �a
MEETING DATE: DECEMBER 21 , 2021
TO: MATTHEW S. WEST, CITY MANAGER
FROM: ECONOMIC DEVELOPMENT DEPARTMENT
SUBJECT: AMENDMENT NO. 12 TO CONSULTANT SERVICES AGREEMENT
WITH SO CAL SANDBAGS INC FOR PROPERTY
MANAGEMENT/CARETAKER SERVICES AT TUSTIN LEGACY
SUMMARY:
Amendment to existing Consultant Services Agreement (CSA) with So Cal Sandbags Inc
that incorporates the Navy owned Reuse Parcel 18 site into the property management
and caretaker Tustin Legacy service area and updates total budget.
RECOMMENDATION:
Authorize the City Manager to execute Amendment No. 12 to the CSA with So Cal
Sandbags Inc.
FISCAL IMPACT:
The existing CSA with So Cal Sandbags Inc for FY 21/22 is a not to exceed amount of
$360,000 which was adopted in the FY 21/22 budget. Amendment No. 12 to the CSA
would add $55,000 for the cost of maintaining Reuse Parcel 18, bringing the total for the
CSA for FY 21/22 to $415,000. On November 16, 2021 , the City Council approved a
supplemental appropriation to account for the increased City costs of maintenance and
security for Reuse Parcel 18.
CORRELATION TO THE STRATEGIC PLAN:
This action correlates to the City's Strategic Plan for Economic and Neighborhood
Development (Goal A).
BACKGROUND:
On November 16, 2021, the City Council (acting as the Local Reuse Authority for former
MCAS Tustin) approved a supplemental budget appropriation total of $330,000 to
account for the City taking responsibility for maintenance and security on the
approximately 78 acres of Navy owned Reuse Parcel 18 site at Tustin Legacy.
DocuSign Envelope ID:7F6E1 13134-CA29-4240-9805-2COB81398413135
Agenda Report—Amendment No. 12 to CSA with So Cal Sandbags, Inc
December 21, 2021
Page 2
A portion of the $330,000 approved scope of work includes incorporating Reuse Parcel
18 into the existing Tustin Legacy property management/caretaker CSA with So Cal
Sandbags Inc. The property management/caretaker services include items such as weed
control/abatement, pest control, litter collection, erosion control, fire prevention, access
control and maintenance of fencing. This is a critical service in the City's larger
responsibility of Executive Developer for Tustin Legacy, as the City maintains vacant
property until such time as it is developed and/or transferred to other parties. So Cal
Sandbags Inc has been successfully performing this contract role since 2011.
In 2016, the City Council authorized the City Manager to execute amendments to the CSA
with So Cal Sandbags Inc as long as the total compensation does not exceed $400,000
per Fiscal Year. Since 2016, the total compensation has continued to decrease and has
been below $400,000 each year since; reflecting disposition of property from the City to
others, or for development of parks and infrastructure construction that no longer require
third party maintenance.
The CSA is amended prior to each Fiscal Year to determine that year's area to be
maintained and the not to exceed cost of services. In 2016, the City released a Request
For Proposals (RFP) for property maintenance and caretaker services to ensure it was
receiving the best possible service for a competitive price. Upon evaluation of responses,
the City entered into a negotiated amendment (Amendment No. 6) to the existing So Cal
Sandbags Inc contract. The most recent amendment to the CSA with So Cal Sandbags
Inc for FY 21/22 (Amendment No. 11) reflects a not to exceed amount of$360,000 which
was executed by the City Manager and adopted in the FY 21/22 budget.
DISCUSSION:
The cost of incorporating the 78 acres of Reuse Parcel 18 into the existing CSA with So
Cal Sandbags Inc will add $55,000 to the existing CSA for the balance of FY 21/22. This
requires an amendment (Amendment No. 12) to the CSA to reflect the new not to exceed
total for FY 21/22 of $415,000 and requires City Council approval. Future amendments,
if below $400,000, will be executed by the City Manager.
So Cal Sandbags Inc. has performed its maintenance and caretaker services at a very
high level and has continued to protect the City's interests at Tustin Legacy. The City
Council has authorized the City to assume responsibility for maintaining and securing
Reuse Parcel 18 and therefore Amendment No. 12 is recommended for approval.
Do'c_ luSigned by: DocuSigned by:
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Economic Development Director Senior Management Analyst
Attachment: Amendment No. 12 to CSA with So Cal Sandbags, Inc.
DocuSign Envelope ID:7F6E1 BB4-CA29-4240-9805-2C0B8B984BB5
AMENDMENT NO. 12
TO CONSULTANT SERVICES AGREEMENT
FOR PROPERTY MANAGEMENT /CARETAKER SERVICES
FOR A PORTION OF TUSTIN LEGACY
This Amendment No. 12 to Consultant Services Agreement ("Amendment No. 12")
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, by Amendment No. 5 dated as of July 2, 2015,
by Amendment No. 6 dated as of June 28, 2016, by Amendment No. 7 dated July
5, 2017, by Amendment No. 8 dated July 19, 2018, by Amendment No. 9 dated
July 9, 2019, by Amendment No. 10 dated June 15, 2020, and by Amendment No.
11 dated June 18, 2021 (as amended, the "Original Agreement"), and 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 is authorized to execute any Amendments to the Consultant Services
Agreement. In 2016, the City Council authorized the City Manager to execute
subsequent amendments to the Original Agreement as long as the contract does
not exceed $400,000 per Fiscal Year.
3. Pursuant to Section 7 ("Term") of the Original Agreement, the agreement may be
renewed annually, subject to budget appropriations, in accordance with the
provisions set forth therein, including required agreement changes or modifications
contained in Section 2.5 ("Changes"). Sufficient funds have been appropriated for
the Fiscal Year 2021-22 after the recent supplemental appropriation approved by
the Tustin City Council on November 16, 2021 for Reuse Parcel 18 maintenance.
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
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DocuSign Envelope ID:7F6E1 BB4-CA29-4240-9805-2C0B8B984BB5
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, Armstrong Avenue, Moffett Drive 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 11 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 1 B 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 was not modified
substantially for Amendment No. 6. Pursuant to Amendment No. 7, the Service
Area was modified to reflect the removal of property associated with The Village
at Tustin Legacy (22 acres), Tustin Legacy Park Phase 1 Segment 1 (11 acres),
FLIGHT at Tustin Legacy (37 acres) and the future TUSD Legacy Academy site
(40 acres). Pursuant to Amendment No. 8, the Service Area was modified to
remove property associated with Levity at Tustin Legacy (15 acres), Veterans
Sports Park (32 acres), and various new roads. Pursuant to Amendment No. 9, the
Service Area was modified to remove property associated with Tustin Legacy Park
Phase 1 Segment 2 (12 acres) and Moffett Drive (Tustin Ranch Road to Legacy
Road); and adding back in property associated with FLIGHT Phase 2 (20 acres).
Pursuant to Amendment No. 10, the Service Area was not changed; however, the
former Army Reserve site was added as an optional location at no additional cost.
The Service Area was not modified under Amendment No. 11 . The Service Area
is being modified under Amendment No. 12 to include maintenance of Reuse
Parcel 18 property, excluding the North Hangar/Hangar 1 , for the balance of FY
21/22 as well as removing acreage associated with property recently conveyed to
Brookfield Homes Southern California LLC for The Landing project.
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DocuSign Envelope ID:7F6E1 BB4-CA29-4240-9805-2C0B8B984BB5
NOW, THEREFORE, based on the promises and mutual covenants herein, the
parties agree as follows:
AGREEMENT
1. Section 2.1: ("Compensation") of the Original Agreement is hereby amended to
read:
"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 Fifteen Thousand dollars ($415,000). 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
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 and warranted by the City, to
a subsequent month during the annual term of this Agreement based on a time
and materials basis only. However, in no case shall the maximum "Not to Exceed
Compensation Amount"for the year be exceeded."
2. Exhibit "A" ("Service Area Map") of the Original Agreement is hereby replaced with
the Service Area Map attached hereto as Exhibit "A".
3. 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. 12.
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DocuSign Envelope ID:7F6E1 BB4-CA29-4240-9805-2C0B8B984BB5
IN WITNESS WHEREOF, the parties have executed this Amendment No. 12 to be
effective as of the dates stated below:
CONSULTANT
"So Cal Sandbags"
Date Peter Rasinski
President
CITY OF TUSTIN
Date Matthew S. West
City Manager
APPROVED AS TO FORM:
By:
David E. Kendig
City Attorney
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DocuSign Envelope ID:7F6E1BB4-CA29-4240-9805-2COB8B984BB5
Exhibit A
City Service Area Map
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