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Recommendation to Authorize the Interim City Manager to Execute an Agreement with CSG Consultants Inc. for Professional Plan Check Services for a 60-Month Term in an Amount not to Exceed $1,750,000. (Community Development 481003)
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To: Honorable Mayor and Members of the City Council
From: David L. Rudat, Interim City Manager
EXECUTIVE SUMMARY
In 2014, the Community Development Department (CDD) adopted an economic development friendly, customer service-focused plan review program entitled “Alameda at Your Service”. This program promises quick, efficient and most importantly, predictable plan review time lines. In order to meet its commitments under this program, CDD relies on outside plan review services. A 2016 Request for Proposals (RFP) for these services resulted in the selection of CSG Consultants Inc. (CSG).
Over the past two years, CSG has proven to be a vital partner in the “Alameda at Your Service” program. In order to maintain plan check review commitments under “Alameda at Your Service”, especially with the start of vertical construction at Alameda Point and the importance of maintaining predictable plan review response times, CDD is recommending approval of a five-year contract with CSG to ensure continuation of building plan check services.
BACKGROUND
CDD has been using outside building plan check services since June 2014, when the City’s Plan Check Engineer resigned and the “Alameda at Your Service” program was adopted. The use of outside plan check services, combined with the in-house expertise to review non-structural work at the Permit Center, has been effective given the high volume of development activity over the last several years. The City has contracted with CSG for these plan check services. The Fire Department separately contracts with CSG for its plan check services.
As part of its contracts management activity, staff determined that it would be appropriate to issue an RFP for building plan check services prior to entering into a new contract with CSG in 2016, to ensure that the City’s building plan check needs were being met in the most effective and efficient manner. Based on the initial review and subsequent interviews, the panel recommended awarding a two-year, $600,000 contract to CSG Consultants Inc. for building plan check and staff augmentation services. That agreement expires in October 2018. Therefore, a new agreement must be entered into to continue to provide building plan check services.
The Consultant Services Agreement attached as Exhibit 1 is a five-year agreement in an amount not to exceed $1,750,000 (based on an average annual cost of services of $350,000) to provide building plan check and staff augmentation services as needed.
DISCUSSION
On July 7, 2016, CDD issued an RFP for Building Plan Review Services. To solicit the maximum number of proposals, the RFP was widely distributed. Staff contacted surrounding cities to identify firms that provide plan checking services to those jurisdictions. Notices were also sent to consultants on the CDD consultant list. In addition, the notice of RFP was placed on the City’s web page and published in the Alameda Journal. The proposals were opened on July 28, 2016, after advertising for a 20-day period. Eight consultants submitted proposals. Proposals were submitted by:
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• Alleron |
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• Builders Protection Group LLC |
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• Bureau Veritas |
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• CSG Consultants Inc. |
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• 4Leaf, Inc. • Interwest Consulting Group |
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• West Coast Code Consultants |
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• Willdan |
Four proposals were deemed non-responsive based on the initial review of the proposals. Four proposals were responsive and the top three firms were invited for an interview with a panel of City staff and an outside reviewer. Based on this selection process, the panel recommended CSG as the firm best able to meet the City’s needs.
Each firm considered in 2016 set their fees as a percentage of the plan review fee charged to the applicant by the City of Alameda. The percentage fee charged was the same for all firms that were responsive to the City’s needs. Regardless of the firm selected, the fees expended by the City would be the same.
Over the past two years, CSG has proved to be an invaluable partner in providing accurate, efficient and timely plan reviews. The partnership between the City of Alameda and CSG has allowed the City to meet its “Alameda at Your Service” goals on plan reviews as large and complex as the Del Monte building as well as simple home additions. With the impending start to vertical construction at Alameda Point, this successful collaboration is key in maintaining CDD’s ability to meet the plan check review demands generated by the unprecedented level of construction currently pending. Therefore, staff is now proposing a new five-year contact with CSG. Approval of the new agreement will ensure that building plan check services continue to be provided in a seamless manner.
FINANCIAL IMPACT
There is no financial impact to the City’s General Fund from approving a five-year services agreement with CSG. The plan review services to be provided by CSG are covered entirely by plan review fees collected from permit applicants. Sufficient funds are budgeted in Community Development Fund 209 for building plan check services. Future years are subject to City Council Budget approval.
MUNICIPAL CODE/POLICY DOCUMENT CROSS REFERENCE
CSG will provide building plan check services consistent with the State Building Standards Code, as well as the Alameda Municipal Code.
ENVIRONMENTAL REVIEW
Approval of a five-year agreement for building plan check services is not a project under the California Environmental Quality Act because it is an organizational or administrative activity of the City that will not result in direct or indirect physical changes to the environment. CEQA Guidelines, section 15378(b)(5).
RECOMMENDATION
Authorize the Interim City Manager to execute an agreement with CSG Consultants Inc. for professional plan check services for a 60-month term in an amount not to exceed $1,750,000.
Respectfully submitted,
Debbie Potter, Community Development Director
By,
Greg McFann, Building Official
Financial Impact section reviewed,
Elena Adair, Finance Director
Exhibit:
1. CSG Consultant Services Agreement