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HomeMy WebLinkAbout2020-11-09 City Council Agendas (6) City of Palo Alto (ID # 11612) City Council Staff Report Report Type: Consent Calendar Meeting Date: 11/9/2020 City of Palo Alto Page 1 Summary Title: Approval to Extend Term of contract for Professional Program Management Services at RWQCP Title: Approval of Amendment Number 2 to Contract Number S15153692 With Woodard & Curran as Successor-in-Interest to RMC Water & Environment for Long Range Facilities Plan Program Management Services at the Regional Water Quality Control Plant, to Extend the Contract Term Through December 31, 2022 From: City Manager Lead Department: Public Works Recommendation Staff recommends that Council approve and authorize the City Manager or his designee to execute Amendment No. 2 to Contract No. C15153692 with Woodard & Curran Inc., as successor-in-interest to RMC Water and Environment (RMC) (Attachment A) to extend the term through December 31, 2022, with no change in contract amount. Background The Palo Alto Regional Water Quality Control Plant (RWQCP) is currently implementing its Long Range Facilities Plan (LRFP). The LRFP was accepted by the City Council on July 2, 2012 (CMR #2914) to upgrade the facilities and treatment processes at the RWQCP with goals to reduce the RWQCP’s carbon footprint, increase treatment efficiency and reliability, and provide dependable and sustainable treatment. The LRFP identified several projects needed over a ten- year period. The LRFP and more RWQCP info are available online at: http://www.cityofpaloalto.org/news/displaynews.asp?Newsid=2101&targetid=65. The Agreement between the City of Palo Alto and RMC to provide Professional Services for program management of the LRFP was initiated on November 10, 2014. The original agreement term was from November 10, 2014 to November 6, 2017. Amendment No. 1, dated November 6, 2017, extended the contract term to November 10, 2020. The contract’s not-to-exceed compensation is $3,967,181, or up to $4,357,899 if additional services are authorized. Through July 2020, RMC has expended $2,570,934. CITY OF PALO ALTO City of Palo Alto Page 2 The delay in program activities is due to changes in financing availability through the State Water Resources Control Board’s (SWRCB) Clean Water State Revolving Fund (CWSRF). The City anticipated funding the LRFP projects with CWSRF loans administered by the SWRCB; however, due to the high demand for CWSRF financing the State has delayed the application timeline for securing loans. Securing funds with CWSRF for all LRFP projects appears unlikely due to competitive demand on the funds and is further complicated by the longer process for securing CWSRF loans. Therefore, staff and the RMC team are working to adapt project schedules to maximize competitiveness with CWSRF while also developing alternative financing mechanisms including revenue bond financing and US Environmental Protection Agency (USEPA) low- interest loans. Partner agencies are kept informed and have been supportive of staff efforts to pursue the best financing options. City of Palo Alto Page 3 To date, the following major milestones have been reached on LRFP projects supported by RMC: Projects Milestones Dewatering and Load Out Facility (WQ-14001) • Secured place on the CWSRF funding list for $17M in CWSRF financing. • City Council approved the CWSRF Agreement April 17, 2017. • Completed construction of the Sludge Dewatering and Loadout Facility in 2019. Primary Sedimentation Tank Rehabilitation (WQ-14003) • Selected design consultant and completed final design. • Secured place on the CWSRF funding list for $17M in CWSRF financing. • Issued an Invitation for Bids (IFB) for the project with bids due October 2020. Outfall Line Construction (WQ-19000) • Selected design consultant and completed 90% design. • Secured place on the CWSRF funding list for $11M in CWSRF financing. Plant Repair, Retrofit, and Equipment Replacement - 12,470 Volt Loop Rehabilitation Project (WQ-19002) • Selected design consultant and completed 60% design Secondary Treatment Upgrades (WQ-19001) • Selected design consultant and completed 30% design. New Laboratory and Environmental Services Building (WQ-14002) • Selected design consultant and completed conceptual design. Advanced Water Purification Facility (WQ-19003) • Issued a Request for Proposals (RFP) for design consultant (RFP No. 178333) with consultant selection process underway. On-Call Construction Management Services • Released an RFP for consultant services (RFP No. 179265). Proposals received on September 22, 2020. Discussion The LRFP identified numerous improvements to the RWQCP needed to ensure compliance with regulatory wastewater treatment requirements, protection of South San Francisco Bay, operational reliability, and staff workplace and safety. RMC is pivotal in providing the additional staff resources to implement the LRFP improvements while allowing existing RWQCP staff members to perform their ongoing functions and workload. Remaining program management work includes: • LRFP Program Financial Planning: Ongoing assistance to secure program funding • Primary Sedimentation Tank Rehabilitation (WQ-14003): Construction City of Palo Alto Page 4 • Outfall Line Construction (WQ-19000): Construction • Plant Repair, Retrofit, and Equipment Replacement - 12,470 Volt Loop Rehabilitation (WQ-19002): Design and Construction • Secondary Treatment Upgrades (WQ-19001): Design and Construction • Advanced Water Purification Facility (WQ-19003): Design and Construction • New Laboratory and Environmental Services Building (WQ-14002): Design and Construction • Headworks Facility Replacement (WQ-16002): Design and Construction Most of the remaining budget will be unexpended by the existing contract end date. Because capital program support is still needed, staff is requesting Council to extend the contract for an additional two years, through December 31, 2022. No changes in total compensation are included in the contract extension. Woodard & Curran Inc. purchased RMC Water and Enviroment Inc., effective November 4, 2016. Amendment No. 2 to the agreement acknowledges and formalizes the replacement of RMC Water & Environment with Woodard & Curran Inc. with no other change to contract terms except the company name and contract term. Woodard & Curran have agreed to hold the 2020 rates for the following two years through the end of the contract term. Timeline Woodard & Curran (formerly RMC) has served as program manager since November 10, 2014. Following Council’s approval of the amendment, Woodard & Curran will continue to serve as program manager under this contract for two additional years until December 31, 2022 under the name Woodard & Curran Inc. Implementation of the core LRFP improvements is expected to continue until 2028. Resource Impact Funding for this contract is budgeted in the Plant Master Plan (WQ-10001) project of the Wastewater Treatment Fund Capital Budget. No new or additional funds are associated with the approval of the amendment. Policy Implications This recommendation does not represent any change to existing City policies. Stakeholder Engagement This project is part of the RWQCP’s major capital improvement program funded by Palo Alto and its five additional partner agencies. The five partner agencies are regularly updated about both the need for and the progress on wastewater treatment capital work. Updates are provided each year at an annual meeting and at other periodic meetings established to inform partner agency staff about the major updates to the Capital Improvement Program. With respect to Palo Alto itself, the open meetings on the budget process serve as the main vehicle for engaging the community on RWQCP projects and associated rate impacts. City of Palo Alto Page 5 Environmental Review The program management services work does not require review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Sections 15061(b)(3) and 15262 because this work will not result in a significant environmental impact and does not commit the City to constructing the project. Attachments: • Attachment A: Amendment No. 2 to C15153692 Woodard and Curran revised 10.26.20 (002) AMENDMENT NO. 2 TO CONTRACT NO. C15153692 BETWEEN THE CITY OF PALO ALTO AND WOODARD AND CURRAN AS SUCCESSOR-IN-INTEREST TO RMC WATER AND ENVIRONMENT This Amendment No. 2 (this “Amendment”) to Contract No. C15153692 (the “Contract” as defined below) is entered into as of November 9, 2020 (“Amendment No. 2 Effective Date”), by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and WOODARD & CURRAN, INC., a Maine corporation, located at 41 Hutchins Drive, Portland, ME 04102, and authorized to do business in the State of California (“CONSULTANT”). CITY and CONSULTANT are referred to collectively as the “Parties” in this Amendment. R E C I T A L S A. The Contract (as defined below) was entered into by and between RMC Water and Environment, the original consultant (“ORIGINAL CONSULTANT”) and CITY on November 10, 2014, for the provision of Program Management Services for the Projects under the Long Range Facilities Plan of the Regional Water Quality Control Plant, as detailed therein. B. On January 23, 2017, ORIGINAL CONSULTANT AND CONSULTANT notified CITY that their two entities had merged, with RMC Water and Environment to remain a wholly owned subsidiary of WOODARD & CURRAN, with all existing contracts of RMC Water and Environment to remain in place but in the name of WOODARD & CURRAN, the name of their combined firm. CONSULTANT has assumed the Contract assigned to it by ORIGINAL CONSULTANT, and the CITY consented to such assumption and assignment. C. The Parties now wish to amend the Contract to acknowledge the substitution of WOODARD AND CURRAN as the successor-in-interest to RMC Water and Environment as the CONSULTANT, as has been in effect since 2017, and to extend the Term an additional 25 months from its current expiration date of November 9, 2020, to December 31, 2022. NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the Parties agree: SECTION 1. Definitions. The following definitions shall apply to this Amendment: a. Contract. The term “Contract” shall mean Contract No. C15153692 between CONSULTANT and CITY, dated November 10, 2014, as amended by: Amendment No.1, dated November 6, 2017 b. Other Terms. Capitalized terms used and not defined in this Amendment shall have the meanings assigned to such terms in the Contract. DocuSign Envelope ID: C45C1A34-E38C-403E-894C-3B51B28EF702 Attachment A Vers.: Aug. 5, 2019 Page 2 of 3 SECTION 2. Assignment and Assumption of Contract. WOODARD & CURRAN, RMC Water and Environment, and CITY acknowledge and agree that as of January 23, 2017, the Contract was assigned to and assumed by WOODARD & CURRAN as the successor-in-interest to RMC Water and Environment. WOODARD & CURRAN affirms that it has accepted and accepts the assignment and agrees to perform all of RMC Water and Environment’s duties and obligations under the Contract. SECTION 3. Section 2 “TERM” of the Contract is hereby amended to read as follows: “The term of this Agreement is from the date of its full execution through December 31, 2022, unless terminated earlier pursuant to Section 19 of this Agreement.” SECTION 4. Hourly Rate Schedule. For the period following the Amendment No. 2 Effective Date and through the end of the Term of the Agreement, the hourly rates in Exhibit “C- 3” attached hereto and incorporated herein shall apply. For this period, all references to Exhibit “C-1” in the Contract shall refer to and mean Exhibit “C-3”. SECTION 5. The following exhibit(s) to the Contract is/are hereby amended or added, as indicated below, to read as set forth in the attachment(s) to this Amendment, which is/are hereby incorporated in full into this Amendment and into the Contract by this reference: a. Exhibit “B” entitled “Schedule of Performance”, AMENDED AND REPLACES PREVIOUS. b. Exhibit “C-3” entitled “Hourly Rate Schedule”, ADDED. SECTION 6. Legal Effect. Except as modified by this Amendment, all other provisions of the Contract, including any exhibits thereto, shall remain in full force and effect. SECTION 7. Incorporation of Recitals. The recitals set forth above are terms of this Amendment and are fully incorporated herein by this reference. (SIGNATURE BLOCK FOLLOWS ON THE NEXT PAGE) DocuSign Envelope ID: C45C1A34-E38C-403E-894C-3B51B28EF702 Vers.: Aug. 5, 2019 Page 3 of 3 SIGNATURES OF THE PARTIES IN WITNESS WHEREOF, the Parties have by their duly authorized representatives executed this Amendment effective as of the date first above written. CITY OF PALO ALTO City Manager or Designee APPROVED AS TO FORM: City Attorney or designee WOODARD AND CURRAN Officer 1 By: Name: Title: Officer 2 (Required for Corp. or LLC) By: Name: Title: Attachments: Exhibit “B” entitled “SCHEDULE OF PERFORMANCE”, AMENDED, REPLACES PREVIOUS Exhibit “C-3” entitled “Hourly Rate Schedule”, ADDED. DocuSign Envelope ID: C45C1A34-E38C-403E-894C-3B51B28EF702 Bruce Nicholson Secretary Alyson Watson President - ~ DocuSigned by: E-u.aN~ FD9596F7D9A94A4 ... EXHIBIT “B” SCHEDULE OF PERFORMANCE (AMENDED, REPLACES PREVIOUS) CONSULTANT shall perform the Services so as to complete each milestone within the number of weeks specified below. The time to complete each milestone may be increased or decreased by mutual written agreement of the project managers for CONSULTANT and CITY so long as all work is completed within the term of the Agreement. CONSULTANT shall provide a detailed schedule of work consistent with the schedule below within 2 weeks of receipt of the notice to proceed. Milestones Completion No. of Weeks From NTP 1. Year One Components 1, 2, & 3 52 Weeks 2. Year Two Components 1, 2, & 3 104 week 3. Year Three Components 1, 2, & 3 156 Weeks 4. Year Four Components 208 Weeks 5. Year Five Components 260 Weeks 6. Year Six Components 312 Weeks 7. Year Seven Components 364 Weeks 8. Year Eight Components 424 Weeks DocuSign Envelope ID: C45C1A34-E38C-403E-894C-3B51B28EF702 Attachment A 2016 Labor Category 2020/21/22 Labor Category CY2020, CY2021, CY2022 Rates Engineer 1 (E1) Scientist 1 (S1) Geologist 1 (G1) Planner 1 (P1) Technical Specialist 1 (TS1) Engineer 2 (E2) Scientist 2 (S2) Geologist 2 (G2) Planner 2 (P2) Technical Specialist 2 (TS2) Engineer 3 (E3) Scientist 3 (S3) Geologist 3 (G3) Planner 3 (P3) Technical Specialist 3 (TS3) Project Engineer 1 (PE1) Project Scientist 1 (PS1) Project Geologist 1 (PG1) Project Planner 1 (PP1) Project Technical Specialist 1 (PTS1) Project Engineer 2 (PE2) Project Scientist 2 (PS2) Project Geologist 2 (PG2) Project Planner 2 (PP2) Project Technical Specialist 2 (PTS2) Project Manager 1 (PM1) Technical Manager 1 (TM1) Project Manager 2 (PM2) Technical Manager 2 (TM2) Senior Project Manager (SPM) Senior Technical Manager (STM) Senior Technical Practice Leader (STPL) Service Line Leader (SLL) National Practice Leader (NPL) Strategic Business Unit Leader (SBUL) Tech-1 Software Engineer 1 (SE1)$146 Tech-2 Designer 1 (D1)$151 Designer 2 (D2) Software Engineer 2 (SE2) Designer 3 (D3) Senior Software Developer (SSD) Tech-6/Tech-7 Senior Designer (SD)$178 AD-1/AD2 Project Assistant (PA)$113 Marketing Assistant (MA) Graphic Artist (GA) Senior Accountant (SA) Senior Project Assistant Billing Manager (BM) Marketing Manager (MM) Graphics Manager (GM) Woodard & Curran (RMC Water and Environment) Rates For Calendar Year 2021 and 2022 EPS-2/EPS-3 $192 EPS-1 $164 EPS-5 $221 EPS-4 $216 EPS-7 $255 EPS-6 $239 EPS-9/EPS-10 $286 EPS-8 $268 EPS-13/EPS-14 $334 EPS-11 to EPS-13 $318 Tech-3 $162 Tech4/Tech-5 $165 AD-3 $122 AD-6/AD-7 $156 AD-4/AD-5 $135 City of Palo Alto (0038-014.01) Page 1 of 1 Woodard Curran September 18, 2020 EXHIBIT "C-3" HOURLY RATE SCHEDULE (ADDED) DocuSign Envelope ID: C45C1A34-E38C-403E-894C-3B51B28EF702