200 S. Anaheim Blvd.
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Anaheim, CA 92805
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SUCCESSOR AGENCY AGENDA REPORT
City of Anaheim
ECONOMIC DEVELOPMENT DEPARTMENT
DATE: JULY 11, 2023
FROM: ECONOMIC DEVELOPMENT DEPARTMENT
SUBJECT: SEVENTH AMENDMENT TO PROFESSIONAL SERVICES
AGREEMENT BY AND BETWEEN THE CITY OF ANAHEIM, AS
SUCCESSOR AGENCY TO THE ANAHEIM REDEVELOPMENT
AGENCY AND TETRA TECH BAS, INC.
ATTACHMENT (Y/N): YES ITEM # 01
GOVERNMENT CODE § 84308 APPLIES: NO
RECOMMENDATION:
That the City Council, as Successor Agency to the Anaheim Redevelopment Agency, by Motion, 1) approve the Seventh Amendment to a Professional Services Agreement by and between the City of Anaheim, as Successor Agency to the Anaheim Redevelopment Agency and Tetra Tech BAS, Inc. (Seventh Amendment) increasing the maximum compensation by $8,997,385 from $20,812,276 to $29,809,661; 2) increase the Economic Development Department Fiscal Year (FY) 2023/24 budget by $8,997,385; and 3) authorize the Executive Director or designee, to execute and administer the Seventh Amendment on behalf of the City.
DISCUSSION:
The Sparks-Rains, Anderson, and Davis Mud Pit Landfills (Landfills), located at the northeast corner of Beach Boulevard and Lincoln Avenue, are commonly known as the Lincoln Landfill (see 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 Agency 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 responsive bidder; the current contract term is through October 7, 2026.
The Sixth Amendment to the contract currently provides authority to complete routine and non-routine operations, monitoring and maintenance activities in the amount of $20,812,276 through the contract term. Staff is requesting a Seventh Amendment to increase the maximum compensation from $20,812,276 to $29,809,661 to complete non-routine items in the amount of $8,997,385. The increase in funding is needed due to methane being detected at the Davis Mud Pit in Spring 2021. Subsequently, the recommended remediation for the Davis Mud Pit was “Clean Closure” which means removing the contaminated soil and filling the pit with clean non-contaminated soil.
Seventh Amendment to PSA with Tetra Tech BAS, Inc.
July 11, 2023
A Clean Closure Plan was prepared meeting 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 the onsite methane gas release and will prevent future methane releases.
Part of the additional non-routine work to be undertaken as part of the Clean Closure Plan of the former Davis Mud Pit requires the temporary abandonment of existing Sparks Anderson Rains landfill gas and groundwater monitoring systems, clean closure construction elements, reconstruction of Sparks Anderson Rains Pit landfill gas system and groundwater monitoring system, and a construction completion report.
Subsequent phases of the landfill development will likely require additional non- routine work items to be approved by the City. 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 Seventh 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. 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 in order to obtain funds from the RPTTF. Upon approval of the Seventh Amendment, staff will submit the amendment request to the Orange Countywide Oversight Board (OCOB) for its approval. The OCOB will then submit the amendment to the State Department of Finance for final approval.
IMPACT ON BUDGET:
The Economic Development Department’s FY 2023/24 budget will be increased by $8,997,385 in Redevelopment Property Tax Trust Funds.
Respectfully submitted,
Sergio M. Ramirez
Executive Director of the Successor Agency to the Anaheim Redevelopment Agency
Attachments:
1. Seventh Amendment to the Professional Services Agreement (Tetra Tech BAS)
2. Exhibit A – Site Map
3. Original Agreement with Amendment Nos. 1 - 6