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HomeMy WebLinkAboutStaff Report 14306 City of Palo Alto (ID # 14306) City Council Staff Report Report Type: Consent Calendar Meeting Date: 6/6/2022 City of Palo Alto Page 1 Summary Title: Perkins + Will Contract Amendment No. 4 Title: Approval of Amendment No. 4 to Contract Number C18171717 With Perkins + Will for Preparation of the North Ventura Coordinated Area Plan (NVCAP) for a Term Through December 31, 2023. From: City Manager Lead Department: Planning and Development Services Recommendation: Staff recommends that City Council approve and authorize the City Manager or designee to execute Amendment No. 4 to Contract C18171717 with Perkins + Will to extend the contract term through December 31, 2023, and to accept new hourly billing rates. Background: The City Council initiated the coordinated area plan process on November 6, 2017, for the North Ventura area. On June 25, 2018, City Council authorized the original contract to be executed with Perkins + Will for professional services to develop the North Ventura Coordinated Area Plan (NVCAP). The amount of the contract, including all sub-consultants, was set at not to exceed of $769,068. Funding for this work was provided through a federal grant administered by the California Department of Transportation (Caltrans) and supported by matching funds from the Sobrato Organization, the owner of property located within the project area. Since the original contract, there have been several amendments to the Perkins + Will contract. • Amendment No. 1 in August 2018 incorporated minor changes with language clarifying the City would require the consultant to comply with federal regulations for consulting work. City of Palo Alto Page 2 • Amendment No. 2 in October 20191 included an increase in the “not to exceed’ amount to $1,137,826 to address items requested by the Council that were not in the original scope of work and a new expiration of December 31, 2021. • Amendment No. 3 in January 2022 extended the contract term to June 30, 2022. On January 10, 20222, the City Council endorsed a preferred alternative plan of the NVCAP, representing a major milestone for the project. Endorsement of a preferred alternative completed task four of seven tasks of the project. Shortly after the council meeting, staff re- engaged Perkins + Will to complete the project per City Council approval. At this time, the contract is scheduled to expire on June 30, 2022. An amendment is necessary so that work can continue to complete the project. Discussion: There are three major tasks remaining to complete the NVCAP. These tasks include the (1) Draft Coordinated Area Plan, (2) Technical Analyses and Environmental Impact Report, and (3) any remaining public or City Council meetings including plan adoption. The Draft Coordinated Area Plan task includes the civil engineering evaluation of the creek improvement concept and coordination between the different consultant teams. The NVCAP must be adopted by December 1, 2023, or the City would forfeit the ability for reimbursements associated with the grant money and would need to repay Caltrans all funds reimbursed from the project’s inception ($439,030 to date). Resource Impact: This contract amendment includes an extension of time only as there is sufficient authority in the current not to exceed contract amount of $1.1 million to complete these tasks. It does include changes in the hourly rates stipulated in the contract, reflecting an average increase of 45% from the prior terms. These rates were set in 2018 and reflect an average increase of 10% annually. The reason for the increases is due to promotions for personnel (e.g. from Associate Principal to Principal) as well as cost of living and inflation changes between 2018 and 2022. The Fiscal Year 2023 Proposed Operating Budget includes $125,000 in one-time funding from the General Fund to continue work on NVCAP. This funding is subject to City Council adoption of the FY 2023 Budget, scheduled June 20, 2022. As the project continues, staff will monitor progress for the remaining three tasks and will return to City Council with any necessary actions 1 October 21, 2019, City Council Staff Report https://www.cityofpaloalto.org/civicax/filebank/blobdload.aspx?t=59815.38&BlobID=73638 2 January 10, 2022, City Council Staff Report https://www.cityofpaloalto.org/files/assets/public/agendas-minutes-reports/agendas-minutes/city-council- agendas-minutes/2022/20220110/20220110pccsm-linked-updated.pdf#page=150 City of Palo Alto Page 3 such as a contract amendment or budget action for additional funding. In total thus far, $516,081 has been spent, $439,030 from grant funding and $77,051 from the General Fund. Environmental Impact: The approval of this contract is exempt from review under the California Environmental Quality Act (CEQA) under CEQA Guidelines section 15061(c)(3) because it can be seen that there is no possibility that the activity in question may have a significant effect on the environment. Attachments: Attachment A - Perkins + Will Contract, C18171717 Amendment #4 (PDF) Vers.: Aug. 5, 2019 Page 1 of 4 AMENDMENT NO. 4 TO CONTRACT NO. C18171717 BETWEEN THE CITY OF PALO ALTO AND PERKINS + WILL This Amendment No. 4 (this “Amendment”) to Contract No. C18171717 (the “Contract” as defined below) is entered into as of June 6, 2022, by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and PERKINS + WILL, a Delaware corporation, located at 2 Bryant Street, Suite 300, San Francisco, CA 94105 (“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 the Parties hereto for the provision of services to facilitate and complete a planning process and prepare a Coordinated Area Plan for the North Ventura area to guide the development of a walkable, mixed- use neighborhood with multifamily housing, commercial services, well-defined connections to transit, bicycle and pedestrian facilities, urban design strategies, and design guidelines to strengthen and support the neighborhood fabric and connections to transit, pedestrian, and bicycle facilities (“Project”), as detailed therein. B. Section 27.4 of the Contract authorizes the Parties to modify the Contract by written amendment. C. The Parties now wish to amend the Contract in order to extend the term from June 30, 2022 to December 31, 2023 and to update the hourly rates schedule in Exhibit C-2. 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. C18171717 between CONSULTANT and CITY, dated June 25, 2018, as amended by: Amendment No.1, dated December 19, 2018 Amendment No.2, dated October 21, 2019 Amendment No.3, dated January 1, 2022 b. Other Terms. Capitalized terms used and not defined in this Amendment shall have the meanings assigned to such terms in the Contract. SECTION 2. Section 2. TERM of the Contract is hereby amended to read as follows: “SECTION 2. TERM. The term of this Agreement shall be from the date of its full execution through December 31, 2023, unless terminated earlier pursuant to Section 19 of this Agreement.” DocuSign Envelope ID: BEADCEFA-C53E-4646-B3D4-3FF154E84D69 Vers.: Aug. 5, 2019 Page 2 of 4 SECTION 3. 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 “C-2” entitled “SCHEDULE OF RATES”, ADDED. SECTION 4. 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 5. 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: BEADCEFA-C53E-4646-B3D4-3FF154E84D69 Vers.: Aug. 5, 2019 Page 3 of 4 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 APPROVED AS TO FORM: City Attorney or designee PERKIN + WILL Officer 1 By: Name: Title: Attachments: Exhibit “C-2”: Schedule of Rates DocuSign Envelope ID: BEADCEFA-C53E-4646-B3D4-3FF154E84D69 Geeti Silwal Principal Vers.: Aug. 5, 2019 Page 4 of 4 EXHIBIT “C-2” SCHEDULE OF RATES ADDED The following rate schedule is an update to the previous Exhibit C-1 Schedule of Rates. For those listed below, the updated rates will be used for services beginning July 1, 2022 through December 31, 2023. All other rates not listed will be used at the C-1 Schedule of Rates. Perkins + Will Billing Rate Schedule Principal $360.00 Senior Project Manager $295.00 Senior Designer $270.00 Urban Designer 3 $230.00 Urban Design 2 $150.00 Strategic Economics Billing Rate Schedule Principal $195.61 Senior Associate $135.86 Associate $123.11 Analyst $110.36 BKF Billing Rate Schedule Vice President $264.00 Project Manager $230.00 Engineer 3 $192.00 Engineer 2 $169.00 Engineer 1 $147.00 ARUP Billing Rate Schedule Principal $429.59 Project Manager $227.42 Associate $235.85 Engineer $151.11 Planner $131.40 Engineer $153.13 David J. Powers and Associates Billing Rate Schedule Principal $295.00 Senior Project Manager $230.00 DocuSign Envelope ID: BEADCEFA-C53E-4646-B3D4-3FF154E84D69