The City utilizes third party services to respond quickly and effectively during peak demand for Building & Safety Division services.  The intent is to achieve acceptable turnaround time for processing of permits and inspections while maintaining the expected level of customer service by supplementing in-house staff or temporary vacancies with contractual services on an “as-needed” basis. Recently, the Building and Safety Division has seen a significant increase in volume and expedited timelines, specifically related to the surge in Accessory Dwelling Unit (ADU) applications, as well as other high-profile development projects, which exceed what can be provided by current in-house staff.

In the past year, the City faced three (3) emergency situations which required immediate action relating to the backlog of inspection and plan reviews.  Additional services were approved in April 2021 (VCA), August 2021 (BV), and March 2022 (SFA) by the City Manager due to the impact of these conditions to health and safety, and the limited availability of staffing.  Moving forward, to avoid similar emergency circumstances, the City desires to increase the contract amounts for “on-call” services to cover increased workloads and emergencies as needed.

The initial contract amount of $250,000 each with SFA, BV, and VCA was approved by City Council on September 28, 2021.  Based on the rates requested during the emergency service situations, and the current on-going need to support areas of inspection, plan review, code enforcement, and building permit processing, it is essential to increase each contract for an additional $250,000 during the current contract term.  This necessitates a contract amendment to increase each contract by $250,000 for a total not to exceed compensation in the amount $500,000 each.

CONCLUSION

In summary, all three (3) firms have over 35+ years of municipal experience, and have been instrumental in providing the City with many qualified candidates, contractual staff, and expedited service options, which have been available immediately to assist the City with its service needs. 

The cost for Amendment No. 1 will require an increase and appropriation of $250,000 to each of the contracts for each service provider.  Funds will only be expended as necessary. There will not be an impact to the General Fund as the services for the contractors are funded from salary savings from temporary vacant positions and plan check fees collected from permit applicants.

It is recommended that the City Council:

•  Approve Amendment No. 1 for on-call Plan Review and Building Contractual Services of the 1) Scott Fazekas & Associates, Inc., 2) Bureau Veritas, Inc., and 3) The Code Group, Inc. Agreements to increase the compensation for each agreement in the amount of $250,000 for a total amount of $500,000 for each Agreement.

• Appropriate an additional $750,000 from the General Fund to the Building Plan Check/Permits GL (111-212-1195).

•  Authorize the City Manager, or his designees, to execute Amendment No. 1 to each Agreement, and make minor modifications as appropriate thereto, on behalf of the City; and

• Authorize the City Manager, or his designees, to exercise option year term extension, for available option years in each Agreement.

By: Alana R. Cheng, Administrative Officer