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SUCCESSOR AGENCY AGENDA REPORT
City of Anaheim
ECONOMIC DEVELOPMENT DEPARTMENT
DATE: AUGUST 9, 2022
FROM: ECONOMIC DEVELOPMENT DEPARTMENT
SUBJECT: SIXTH AMENDMENT TO PROFESSIONAL SERVICES
AGREEMENT BY AND BETWEEN THE CITY OF ANAHEIM, AS
SUCCESSOR TO THE ANAHEIM REDEVELOPMENT AGENCY,
AND TETRA TECH BAS, INC.
ATTACHMENT (Y/N): YES ITEM # 01
RECOMMENDATION:
That the City Council, as Successor to the Anaheim Redevelopment Agency, by Motion:
1) Approve the Sixth Amendment to a Professional Services Agreement (PSA) by and between the City of Anaheim, as Successor Agency to the Anaheim Redevelopment Agency, and Tetra Tech BAS, Inc. increasing the maximum compensation by $13,171,276 from $7,641,000 to $20,812,276;
2) Increase the Economic Development Department’s FY 2022-2023 budget by $13,171,276; and
3) Authorize the Executive Director, or designee, to execute and administer the Amendment on behalf of the City.
DISCUSSION:
The Sparks-Rains and Anderson Pit Landfills (Landfills), located at the northeast corner of Beach Boulevard and Lincoln Avenue and commonly known as the Lincoln Landfill, are located on a portion of the site on which 39 Commons will be developed (Exhibit A). As part of the State approved Remedial Action Plan for the Landfills, the City is required to retain a contractor to perform the operations, monitoring, and maintenance activities at the Landfills. In 2014, the City of Anaheim, as Successor to the Anaheim Redevelopment Agency (City), issued a Request for Proposals (RFP) to operate, monitor, and maintain the landfill gas extraction and treatment system. A contract was awarded to Tetra Tech BAS as the lowest and responsive bidder; the contract runs through October 31, 2023.
The contract currently provides authority through the Fifth Amendment to complete routine and non-routine operations monitoring and maintenance in the amount of $7,641,000 through the contract term. Staff is requesting a Sixth Amendment to increase the maximum compensation from $7,641,000 to $20,812,276 to complete non-routine items in the amount of $13,171,276. The Sixth Amendment to PSA Tetra Tech BAS
August 9, 2022
increase is needed to meet the conditions identified in the California Regional Water Quality Control Board’s Conditional Approval letter dated April 27, 2007.
This non-routine work is required to address an onsite methane release and will prevent future methane releases. The additional non-routine work item to be undertaken is the clean closure of the former Davis Mud Pit, which includes the creation of the Clean Closure Plan, Temporary Abandonment of Existing Sparks Anderson Rains Landfill Gas and Groundwater Monitoring Elements, Clean Closure Construction Elements, Reconstruction of Sparks Anderson Rains Pit LFG and GW system, and a Construction Completion Report.
Subsequent phases of development will require additional non-routine work items to be approved by City Council. Tetra Tech BAS must request and receive city approval for each specific work order before commencing any of the scope of work identified in the Amendment. Additionally, Tetra Tech BAS will bid out all work not completed with its in-house staff.
Funding for the proposed contract amendment comes from the Redevelopment Property Tax Trust Fund (RPTTF) administered through and paid by the County of Orange, Orange Countywide Oversight Board (OCOB). The RPTTF is the countywide fund that accounts for the collected tax increment deposits of the former redevelopment agencies. The City must have approved contract authority prior to obtaining funds from the RPTTF. Upon approval of the 6th Amendment, staff will submit the amendment request to the OCOB for its approval. The OCOB will then submit the approval to the State Department of Finance and funding would be available January 1, 2023.
IMPACT ON BUDGET:
The Economic Development Department’s FY 2022/23 budget will be increased by $13,171,276 in Redevelopment Property Tax Trust Funds.
Respectfully submitted,
Sergio M. Ramirez
Executive Director of the Successor Agency
to the Anaheim Redevelopment Agency
Attachments:
1. Sixth Amendment to the Professional Services Agreement (Tetra Tech BAS)
2. Exhibit A – Site Map
3. Original Agreement with Amendments 1 - 5