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Staff Report
City Council
Item No. 7.A
Meeting Date: November 29, 2023
From: John Corella, Director of Engineering/Public Works Title: Sarah Street Area Assessment District Formation Project - Phase 2A Approval
City Council
RECOMMENDATION:
For the City Council to:
· Award a professional services agreement to Willdan Engineering, Inc. in the amount of $49,300 for Phase 2A assessment district preliminary design services for the Combined Sarah Street Area; and,
· Approve a fifteen percent (15%) contingency in the amount of $7,395 for unforeseeable design costs; thereby bringing the total design budget for this Project to $56,695; and,
· Authorize the City Manager to execute the contract documents; and, Authorize a General Fund budget amendment to the Engineering Professional and Technical Services Budget in the amount of $56,695 to fund this Project.
BACKGROUND:
On January 4, 2023, the City Council approved an agreement with Woodard & Curran (Consultant) to provide Phase 1 infrastructure (e.g., sewer and other facilities) Assessment District Support Services to assist the City with public outreach in the following areas:
• Agua Caliente Trail Area
• Sarah Street Area
• Bochner Family Property
Agua Caliente Trail Area
With the above background information provided, there has been interest in the formation of an assessment district among the property owners of parcels in the undeveloped Agua Caliente Trail area. This area encompasses Agua Caliente Trail, San Juan Trail, Desert Primrose Trail, Starlight Trail and Whitewater Trail (location map attached). The property owners are informally calling this area the “Outpost Business Park.”
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In August 2019, two (2) property owners conducted a grassroots campaign survey to determine if there was interest in forming an assessment district in this area. Results from this survey showed the majority of property owners were in favor of exploring the formation of an assessment district to provide for streets, curbs, gutters, water, sewer and other utilities.
Sarah Street Area
This light commercial/industrial area is comprised of Sarah Street, the south portion of Agua Caliente Trail and Crossley Road (location map attached). Historically, a few property owners have requested sewers to be installed. These requests have not progressed further into the assessment district stage.
Bochner Family Property
This single parcel APN 677 -420-016 is owned by Bochner Family Real Estate and is located just north of Sarah Street, abutting the Whitewater River Channel to the east and the Dream Home s Neighborhood to the north. This 29.41 -acre parcel is generally triangular in shape and undeveloped.
At the November 8, 2023 City Council Meeting, Woodard & Curran presented the results from the completion of the Phase 1 outreach. In this same discussion, City Staff introduced what was needed to move into the next phase of the assessment district formation process, Phase 2A.
DISCUSSION:
Assessment District Phasing
The City and Consultant developed an assessment district process flow chart identifying three (3) distinct assessment district formation phases. Since that time, it has become evident that Phase 2 should be broken into two parts: Phase 2A and Phase 2B. The phases are identified as follows:
• Phase 1: Providing outreach and soliciting for interest in the formation of an assessment district using letters, meetings and individual discussions as the methods used.
• Phase 2A: Consultants engaged to prepare conceptual plans and preliminary cost estimates and an information neighborhood meeting. • Phase 2B: Consultants will continue outreach to property owners and bond counsel will be engaged to send out formal petitions for the assessment district formation.
• Phase 3: Assessment district plans prepared, City adopts the required resolutions of intention, notices send out, public hearing is held, vote is tabulated and the assessment district either proceeds or is not approved to proceed.
The modified Assessment District Flow Chart is attached to this report with the steps required for the assessment district formation.
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Phase 2A
With the majority of property owners in favor of moving forward to have more precise information regarding the actual costs of assessment districts, respective to each individual area and/or collectively, City Staff solicited informal proposals for Phase 2A of the Sarah Road Assessment District Project. Initially, City Staff contacted the City’s On - Call Consultants: HR Green, Inc., Interwest Consulting Group, and Webb and Associates. The City’s On -Call Consultants responded that these are specialized services they do not typically provide and therefore declined to provide a proposal to the City. City Staff subsequently solicited informal proposals from specialty consulting companies providing these specialized services.
Proposals for Sarah Road Assessment District Formation Phase 2A were received from three (3) firms. The following table ranks each qualified proposer by total cost:
RANK CONTRACTOR AMOUNT
1 Willdan Engineering (Industry, CA) $ 49,300
2 Woodard and Curran (Walnut Creek, CA) $ 74,830
3 Michael Baker International (Palm Desert, CA) $131,000
The Proposals were reviewed by City Engineering Staff. The panel cited all consulting companies provided proposals that were responsive, qualified, and knowledgeable about the Project. Based on the proposals received, the lowest responsive and responsible company is Willdan Engineering (Willdan) from Industry, CA.
The proposal received from Willdan Engineering (Willdan) is consistent with current costs and in line with the City’s expectations for this service.
As a result of the above, City Staff is requesting the City Council award a professional services agreement to Willdan Engineering, Inc. in the amount of $49,300 for Phase 2A assessment district preliminary design services for the Combined Sarah Street Area .
Additionally, also approve a fifteen percent (15%) contingency in the amount of $7,395 for unforeseeable design costs , thereby bringing the total design budget for this Project to $ 56,695. Also a uthorize the City Manager to execute the contract documents and authorize a General Fund budget amendment in the amount of $ 56,695 to the Engineering Professional and Technical Services budget 100-156-8601 to fund the project.
FISCAL IMPACT:
A General Fund Budget amendment will be required in the amount of $56,695 to the Engineering Professional and Technical Services budget 100-156-8601, to include the Professional Services Agreement with Willdan Engineering in the amount of $49,300, and a fifteen percent (15%) contingency in the amount of $7,395, for any unforeseen design costs.
Willdan Engineering Cost $49,300
15% Contingency $ 7,395
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Budget Amendment Required $56,695
FIVE-YEAR STRATEGIC PLAN:
Goal B: Community Investment
Objective: Cathedral City roads, gateways, public spaces, and other city infrastructure are well planned, designed, constructed, and maintained.
ATTACHMENTS:
Maps
Modified Assessment District Flow Chart
Willdan Engineering Informal Proposal
PSA- Willdan Engineering - Sarah Rd AD - Phase 2A-