HomeMy WebLinkAboutStaff Report 311-08TO:
FROM:
DATE:
SUBJECT:
City of Palo Alto
City Manager’s Report
HONORABLE CITY COUNCIL
CITY MANAGER DEPARTNIENT: PUBLIC WORKS
JULY 21, 2008 C1VIR:311:08
APPROVAL OF AMENDMENT NO. ONE TO REFUSE ENTERPRISE
FUND CONTRACT NO. C07119835 WITH HF&H CONSULTANTS IN
THE ADDITIONAL AMOUNT OF $20,323 FOR SERVICES RELATING
TO THE BEST AND FINAL OFFER PROCESS FOR THE NEW SOLI[D
WASTE, RECYLING, AND ORGANICS SERVICES AGREEMENT
13
RECOMMENDATION
Staff recommends that Council approve and authorize the City Manager or his desiguee to
execute Amendment No. One to Contract No. C07119835 with Hilton Farnkopf & Hobson
(HF&H) Consultants (Attachment A) to increase the compensation an additional amount not to
exceed $20,323 to provide services relating to the Best And Final Offer process for the new solid
waste, recycling, and organic services agreement. The total compensation shall not exceed
$225,487 with these proposed additional services.
BACKGROUND
In March 2007, Council approved Contract No. C07i19835 with HF&H Consultants (HF&H)
(CMR: 154:07) to assist the City in the solicitation process for a new solid waste and recyclable
services agreement. Staff has been working with HF&H in researching and developing
recommendations for the Request for Proposals (RFP), creating the RFP documents for release,
and analyzing the proposals and costs received.
In July 2007, Council adopted a Code of Conduct relating to the procurement process for the
waste hauling contract. Resolution 8734 discourages councilmembers from conducting non-
public meetings or conversations with potential proposers and requires that any such non-public
meetings be disclosed within 30 days of the meeting. In accordance with this adopted Council
policy and in accordance with purchasing best practices, a series of public meetings have been
conducted to gather Council and community input on this significant procurement.
At the June 23, 2008 Council meeting, Council gave direction on the level of services to be
included in the newsolid waste, recycling, and organic services agreement. On August 4, 2008,
staff will return to Council to report on the evaluation and ranking of the two proposals and to
request a recommendation on the company with whom staff should negotiate a final agreement.
CMR:311:08 Page 1 of 2
Staff then plans to return in September 2008, with a recommendation for approval and execution
of the final agreement. New services are scheduled to begin July 1, 2009.
DISCUSSION
In order to lower costs and reduce the rate impact to customers~ the Steering and Advisory
Committee working on the new .agreement decided to request a Best and Final Offer (BAFO)
from the two proposers. The BAFO request provides the proposers with an opportunity to
further refine their proposals and costs. It also provides an additional opportunity to maximize
the competitive process between the proposers, thereby creating potential additional savings to
the City. .~ .-.,~:
The BAFO request is an extra step in the solicitation process that was not previously anticipated
and results in the postponement of taking to Council the ranking of proposers and
recommendation from July to August 2008. The BAFO process also affects the contract with
HF&H because it is an additional step that was not in the original scope of work and therefore
requires Council authorization for amending the contract. Amendment No. One (Attachment A),
to contract CO7119835 provides for additional analysis and support needed from HF&H to
review the BAFO from proposers and to analyze the BAFO impact on proposed costs for
services.
RESOURCE IMPACT
Funds for this contract amendment are available in the Refuse Fund Budget.
ENVIRONMENTAL REVIEW
This is not a project under Section 21065 of the California Environmental Quality Act (CEQA).
The City is preparing an environmental assessment in connection with award of the waste
hauling contract.
ATTACHMENTS
Attachment A: Amendment No. One to Contract No. C07119835
PREPARED BY:
DEPARTMENT HEAD:
CITY MANAGER APPROVAL:
GLENN S. ROBERTS
Director of Public Works
KELLY
Deputy City Managers
CMR:311:08 Page 2 of 2
ATTACHMENT A
CITY OF PALO ALTO CONTP~ACT NO. C07119835
AMENDMENT NO. i TO CONTRACT NO. C07119835
BETWEEN THE CITY OF PALO ALTO AND
HF&H CONSULTANTS, LLC
This Amendment No. 1 to contract No. C07119835 (’~Contract") is
entered into 2008, by and between the CITY OF PALO ALTO,
a California Charter City ("CITY"), HF&H Consultants, LLC, a
Limited Liability Company located at 2175 North California Blvd.,
Suite 990, Walnut Creek, CA 94596 ("CONSULTANT").
WHEREAS, the Contract was entered into between the
parties for the provision of professional consulting services
relating to the design services for the new solid waste and
recyclable material collection and processing agreement
(~Project"); and
WHEREAS, the parties wish to amend the Contract to
increase the scope of services and compensation;
NOW, THEREFORE, in consideration of the covenants, terms,
conditions, and provisions of this Amendment, the parties agree:
SECTION i. Section i, SCOPE OF SERVICES, is hereby
amended to add the follbwing:
~The scope of services and deliverables cQnstituting the Project
("Basic Services") will be performed, delivered or executed by
CONSULTANT in accordance with the schedule and the requirements of
Exhibit ~A" and Exhibit ~A-I" for additional scope of services."
SECTION 2. Section 4, NOT TO EXCEED COMPENSATION, is
hereby amended to read as follows:
~The compensation to be paid to CONSULTANT for performance of the
Services described in Exhibits ~A" and ~A-I, including both payment
for professional services and reimbursable expenses, shall not
exceed one hundred ninety-eight thousand seven hundred twenty-seven
dollars (.$198,727.00). In the event Additional Services are
authorized, the total compensation for services and reimbursable
expenses shall not exceed two hundred twenty-five thousand four
hundred eighty-seven dollars ($225,487.00). The applicable rates
and schedule of payment are set out in Exhibit "C", entitled
"COMPENSATION," which is attached to and made a part of this
Agreement.
S : ATT~USERS/~DEF/CF-~-EOR~Cit~pprQ~ed_ Co~zac r~s .__
1
3/20/07 (REV)
C!TY OF PALO ALTO CONTP~ACT NO. C07119835
Additional Services, if any, shall be authorized in accordance with
and subject to the provisions of Exhibit "C". CONSULTANT shall not
receive any compensation for Additional Services performed without
the prior written authorization of CITY. Additional Services shall
mean any work that is determined by CITY to be necessary for the
proper completion of the Project, but which is not included within
the Scope of Services described in Exhibits "A" and "A-I"
SECTION 3. The following exhibit(s) to the Contract are
hereby set forth as attachment(s) to this Amendment, which are
incorporated in full by this reference:
EXHIBIT "A-I": ADDITIONAL SCOPE OF SERVICES
S :ATT/USERS/OFFICE FORMS/City Approved Contracts 3/20/07 (REV)
CITY OF PALO ALTO CONTRACT NO. C07119835
SECTION 4. Except as herein modified, all other
provisions of the Contract, including any exhibits and subsequent
amendments thereto, shall remain in full force and effect.
IN WITNESS WHEREOF, the parties have by their duly
authorized representatives executed this Amendment on the date
first above written.
APPROVED AS TO FORM:CITY OF PALO ALTO
Senior Asst. City Attorney City Manager
APPROVED:
Director of Administrative
Services
By :
Name: RoSert D. Hilton
Title: President
By:
Name:
Title:
Taxpayer Identification No.
94-3097242
(Co, mpliance with Corp. Code ~ 313 is
required if the entity on whose behalf
this contract is signed is a
corporation. In the alternative, a
certified corporate resolution
attesting to the signatory authority
of the individuals signing in their
respective capacities is acceptable).
3/20/07 (REV)
CITY OF PALO ALTO CONTRACT NO. C07119835
EXHIBIT A-I
Additional Scope of Services
Add to Phase 4 - Develop and analyze Best and Final Offers
AddTask 14.4 - Best and Final Offer Process
The HF&H Team will draft the best and final offer request
letters for each proposer that will be reviewed and
commented on by the City. HF&H will then finalize the
letters and submit to the City for distribution. HF&H
will, if requested by the City, communicate with each
proposer to ensure that they are aware of the process,
needs and schedule. After revised offers are received by
the proposers, HF&H will analyze the responses, focusing on
the impact of the revised costs on the prior HF&H cost and
rate analysis and on any qualitative differences in how
services will be provided based on the best and final
offers. The results shall be presented to both the
Evaluation Team and Steering and Advisory Committee. Time
allowing, HF&H shall present this analysis to City staff
for review and comments, and revise as necessary prior to
presentation to the two committees. Otherwise, HF&H staff
will make one round of necessary and final revisions of
their analysis based on combined staff and Committee
comments. Consultant shall attend a maximum of three (3)
meetings.
Deliverables:
Draft and finalize best and final letters to proposers
for City review and comments
Analysis of responses received by proposers
Update prior cost and rate analysis
Task 20 shall be amended to read - Consultant shall attend
a minimum of 21 meetings.