REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Oliver Chi, City Manager
PREPARED BY: Sean Crumby, Director of Public Works
Subject:
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Approve and authorize execution of an Amendment to the Professional Services Contract with Dudek for On-Call Construction Management and Engineering Services
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Statement of Issue:
An amendment to the existing on-call professional services contract with Dudek for inspection services is requested to increase the contract amount by $375,000, in order to meet project demands for the Public Works Department’s utility and capital improvement projects being performed citywide. This amendment would not impact the existing three (3) year contract term.
Financial Impact:
The City contracts with Dudek for inspection services for utility and capital improvement projects. The majority of Dudek’s costs for utility inspection are covered by the inspection fees that the City charges utility companies for new installations and upgrades. Additionally, Dudek supplies supplemental inspection services for a portion of the City’s Public Works Capital Improvement Program (CIP). Each approved CIP project has a budget containing sufficient funds for needed inspection services. Public Works staff estimates that Dudek inspection services needed for the remaining contract duration will total $375,000 beyond the current not-to-exceed limit, bringing the total contract amount to $1,875,000.
Recommended Action:
recommendation
Approve and authorize the Mayor and the City Clerk to execute “Amendment No. 1 to Agreement between the City of Huntington Beach and Dudek for On-Call Construction Management and Engineering Services” to increase the contract amount from $1,500,000 to $1,875,000.
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Alternative Action(s):
Do not authorize this amendment and direct staff accordingly.
Analysis:
Utility infrastructure work in the City, including the installation, demolition, or modification of gas, electrical, phone, and TV cable transmission lines and equipment, requires supplemental inspection by a special utility inspector to ensure that the work in the public right-of-way adheres to the City’s standards and requirements. This critical service minimizes the risk to public safety. In addition, several of the City’s CIP projects require construction inspection services provided by on-call consultants to ensure that projects are installed per specifications. Dudek provides these inspection services for both utility and capital improvement projects.
The inspection services provided by Dudek for utility and capital improvement work are essential to supplement work performed by City staff and to meet the needs of the City’s ambitious Capital Improvement Program.
Dudek has a three-year, as-needed professional services contract with the City, which was approved by City Council on November 5, 2018. The current contract has a not-to-exceed amount of $1,500,000. As of July 2020, with approximately 15 months left on the contract, the encumbered contract funds total approximately $1,467,000, and will reach the not-to-exceed limit by the end of September 2020.
Staff estimates that total expenditures for the contract through the three-year duration will reach approximately $1,874,000. Therefore, staff is requesting that the contract limit be raised an additional $375,000.
Environmental Status:
Not applicable.
Strategic Plan Goal:
Enhance and maintain infrastructure
Attachment(s):
1. Amendment No. 1 to Agreement between the City of Huntington Beach and Dudek for On-Call Construction Management and Engineering Services
2. Original agreement of “Professional Services Contract Between the City of Huntington Beach and Dudek for On-call Construction Management and Engineering Services”
3. Professional Service Approval Form - Amendment #1