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Home My WebLink AboutStaff Report 2511-5432CITY OF PALO ALTO CITY COUNCIL Special Meeting Monday, February 23, 2026 Council Chambers & Hybrid 5:30 PM Agenda Item 6.Approval of Amendment No. 2 to Contract No. C25193187 with Universal Security Company for Fire Watch Services at City Hall in the Amount of $80,915 for a New Total Not-to-Exceed Amount of $301,667, and Approval of a Fiscal Year 2026 Operating Budget Amendment in the General Fund; CEQA status - Categorically Exempt under Sections 15301 and 15302 City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Public Works Meeting Date: February 23, 2026 Report #:2511-5432 TITLE Approval of Amendment No. 2 to Contract No. C25193187 with Universal Security Company for Fire Watch Services at City Hall in the Amount of $80,915 for a New Total Not-to-Exceed Amount of $301,667, and Approval of a Fiscal Year 2026 Operating Budget Amendment in the General Fund; CEQA status - Categorically Exempt under Sections 15301 and 15302 RECOMMENDATION Staff recommends that the City Council: 1. Approve and authorize the City Manager or their designee to execute Amendment No. 2 to Contract No. C25193187 with Universal Security Company to provide fire watch services at City Hall in the Amount of $80,915, for a new total not-to-exceed amount of $301,667; and 2. Amend the Fiscal Year 2026 Operating Budget Appropriation for the General Fund (requires a 2/3 vote) by: a. Increasing the Public Works Department Public Services Division contract expense appropriation by $80,915; and b. Decreasing the Budget Stabilization Reserve by $80,915. BACKGROUND On Monday, August 18, 2025, it was discovered that the drive shaft connecting a diesel engine to the City Hall fire pump was sheared in half, making the fire pump inoperable. The fire pump provides water pressure to the fire sprinkler system on the upper floors of City Hall. Section 15.5.2 of the National Fire Protection Association 25 mandates the provision of a fire watch whenever an automatic fire sprinkler system malfunctions for 10 hours in a 24-hour period. The 24 hours a day, 7 days per week fire watch service began on August 19, 2025, and ended on November 10, 2025, when the repair to the fire pump was completed. The fire watch services were performed by Universal Security Company. Universal Security Company provides security services at the Municipal Service Center and the Regional Water Quality Control Plant under contract No. C251931871 and staff’s recommended action amends the contract scope and compensation for these additional services. ANALYSIS FISCAL/RESOURCE IMPACT STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: 1 https://www.paloalto.gov/files/assets/public/v/1/public-works/public- services/contracts/contract-with-universal-security-company-c25193187.pdf Vers.: Aug. 5, 2019 Page 1 of 5 AMENDMENT NO. 2 TO CONTRACT NO. C25193187 BETWEEN THE CITY OF PALO ALTO AND UNIVERSAL SEMICONDUCTOR, INC. dba UNIVERSAL SECURITY COMPANY This Amendment No. 2 (this “Amendment”) to Contract No. C25193187 (the “Contract” as defined below) is entered into as of December 16, 2025 by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and UNIVERSAL SEMICONDUCTOR, INC. dba UNIVERSAL SECURITY COMPANY, a California corporation, located at 1925 Zanker Road, San Jose, CA 95112, Telephone Number: 408-234-4797 (“CONTRACTOR”). CITY and CONTRACTOR 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 security guard services, as detailed therein. B. The Parties now wish to amend the Contract in order to increase the total not-to-exceed amount of the Contract by Eighty Thousand Nine Hundred Fifteen Dollars $80,915.00) from Two Hundred Twenty Thousand Seven Hundred Fifty-Two Dollars ($220,752,000) to a new total not-to-exceed amount of Three Hundred One Thousand Six Hundred Sixty-Seven Dollars ($301,667.00) for city hall fire watch. NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the Parties agree: SECTION 1. Definitions. The following definitions shall apply to this Ame ndment: a.Contract. The term “Contract” shall mean Contract No. C25193187 between CONSULTANT and CITY, dated February 1, 2025, as amended by: Amendment No. 1, dated November 1, 2025 b.Other Terms. Capitalized terms used and not defined in this Amendment shall have the meanings assigned to such terms in the Contract. SECTION 2. Section 5 “COMPENSATION FOR ORIGINAL TERM” of the Contract is hereby amended to read as follows: “COMPENSATION FOR ORIGINAL TERM. CITY shall pay and CONTRACTOR agrees to accept as not-to-exceed compensation for the full performance of the Services and reimbursable expenses, if any: The total maximum lump sum compensation of dollars ($ ); #(&"") #$ Vers.: Aug. 5, 2019 Page 2 of 5 OR The sum of dollars ($ ) per hour, not to exceed a total maximum compensation amount of dollars ($ ); OR A sum calculated in accordance with the fee schedule set forth at Exhibit C, not to exceed a total maximum compensation amount of Three Hundred One Thousand Six Hundred Sixty-Seven Dollars ($301,667.00). SECTION 3. The following exhibit(s) to the Contract is/are hereby amended or added, as indicated below, to read as set forth in the attachment(s) to this Amendment, which is/are hereby incorporated in full into this Amendment and into the Contract by this reference: a. Exhibit “A” entitled “SCOPE OF SERVICES”, ADDED, AMENDED. SECTION 4. Legal Effect. Except as modified by this Amendment, all other provisions of the Contract, including any exhibits thereto, shall remain in full force and effect. SECTION 5. Incorporation of Recitals. The recitals set forth above are terms of this Amendment and are fully incorporated herein by this reference. (SIGNATURE BLOCK FOLLOWS ON THE NEXT PAGE.) #(&"") #$ Vers.: Aug. 5, 2019 Page 3 of 5 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 UNIVERSAL SEMICONDUCTOR, INC. dba UNIVERSAL SECURITY COMPANY By:______________________________ Name:___________________________ Title:____________________________ By:______________________________ Name:___________________________ Title:____________________________ Attachments: Exhibit “A” entitled “SCOPE OF SERVICES”, ADDED, AMENDED #(&"") #$ %&"' !#%&( #*&+ #%" Vers.: Aug. 5, 2019 Page 4 of 5 EXHIBIT A SCOPE OF SERVICES Scope of Work for City Hall CONTRACTOR shall supply all labor, materials, equipment and incidentals necessary to provide unarmed security guard services at City Hall for fire watch while the fire alarm is repaired. The general performance criteria shall include but not be limited to providing unarmed security guard services to: 1.CONTRACTOR shall provide a security sweep and inspection of City Hall. 2.Security sweeps and inspections shall be continuous Twenty-Four (24) hours a day, seven (7) days a week until the city’s fire department confirms the emergency is over. 3.Security sweeps will include but are not limited to: building exterior doors, internal doors, all floors, parking garage and both stairwells. 4.The 1st guard shall work from 6:00 am to 2:30 pm and will open front vehicle gate at 7am. 5.The 2nd guard shall work from 8:30 am to 5:00 pm and will close front vehicle gate at 4:30 pm. 6.Respond promptly and appropriately to all security-related emergencies. 7.Notify the appropriate law enforcement agency and Project Manager of any smoke or fire. Personnel Requirements: 1.Officer Uniforms a.All security officers must always wear a security uniform when performing services under this Contract. b.The uniform must have the word “Security” on the front and back of the uniform, in conformance with the State of California requirements. c.The name of the individual officer shall be on the front of the uniform. #(&"") #$ Vers.: Aug. 5, 2019 Page 5 of 5 d.All uniforms (collar shirts and pants) shall be cleaned and pressed regularly. e.All collar shirts shall be tucked in neatly with dark color slacks and shoes. f.High visibility apparel and/or reflective vest is recommended due to the requirement of working in vehicle traffic situations. g.All uniforms shall be approved by the City’s Project Manager prior to wearing them onsite. 2.Officer Qualifications: a.Be able to communicate effectively in both written and oral English. b.Possess a valid California Driver’s License or Identification. c.Be a legal resident of the United States of America. d.Have successfully completed the educational requirements and successfully passed the examinations required by the State of California, Department of Consumer Affairs. e.Be capable of performing the assigned tasks. f.Passed background check and have no disqualifying criminal conviction record as determined by City. g.Must ensure that at least one person every day has a working knowledge of the City Hall. h.Possess a current security guard card from the state. 3.Equipment: a.Contractor shall furnish all equipment necessary to perform the work as described herein. b.All equipment shall be kept in good condition. Required equipment shall include but not be limited to: i.Flashlights and two-way radios/smart phones. ii.Appropriate winter and summer wear for staff meeting guidelines in the “Personnel” section above. Officer Wages 1.Contractor must follow the federal, state, and local minimum wage law each year of the Contract. #(&"") #$