DATE:
October 1, 2024
TO:
Adam Politzer, Interim City Manager
FROM:
Chadrick Smalley, Community Development Director
SUBJECT:
Resolution Of The City Council Of The City Of Emeryville Authorizing The City Manager To Execute The First Amendment Of The Professional Services Contract With West Coast Code Consultants For Building Division And Fire Prevention Plan Review Increasing The Contract Amount By $776,527.63 To An As Amended Total Amount Not To Exceed $3,694,525.63 For Expanded Fire Plan Check Services, And Amending The Fiscal Year 2023-2024 Operating Budget To Increase Fire Plan Check Fee Revenue By $1,080,376.14 And Professional Services – Fire Plan Check Fees Expenditures By $776,527.63
RECOMMENDATION
Staff recommends that the City Council approve the attached resolution authorizing the execution of the First Amendment to the professional services contract with West Coast Code Consultants to increase the total contract amount by $776,527.63 to an as amended total amount of $3,694,525.63 for previously unbudgeted fire plan review services. The resolution also authorizes corresponding increases in both revenues and expenditures in the Fiscal Year 2023-2024 Operating Budget to reflect increased plan check fee revenue and the increased fire plan check professional services expenditures.
DISCUSSION
The Professional Services Contract with West Coast Code Consultants (“WC³”) was approved by the City Council on June 20, 2023, by Resolution No. 23-74. In January 2024, the City began providing fire plan check services through WC3 due to staffing shortages at the Alameda County Fire Department (“ACFD”), which precluded ACFD from providing a Deputy Fire Marshal for fire plan check services. Subsequently, several major projects were submitted for fire plan review services to the Building Division.
The existing contract executed with WC³ (Attachment 1) does not include the cost to provide fire plan check for these projects therefore, Section 3B of the contract, “Compensation and Method of Payment”, should be revised from $2,917,998 to $3,694,525.63 to reflect an increase of $776,527.63, which is the estimated cost to provide these additional services. The City also collected fire plan check fees for these projects. The table below outlines the fees collected and corresponding fire plan check charges incurred:
Description
Address
Plan
Check fee
Collected
Consultant Plan Review Fee
Emeryville Public Market Lab Tower - foundation including piles, pile caps 6000 Shellmound Street
$777,715.20
$544,400.64
EmeryStation Overland - lab & office premises
1580 62nd Street
$273,276.80
$191,293.76
Miscellaneous Fire Plan reviews – Tenant improvements; Jan 1, 2024, through June 30 2024 $29,384.14
$40,833.23
Totals
$1,080,376.14
$776,527.63
Amendment of the contract with WC3 as well as adjustments to the Fiscal Year 2023-2024 budget are required to accommodate these unanticipated costs and revenues.
FISCAL IMPACT
As noted above, the proposed amendment of the contract with WC3 increases expenditures by $776,527.63. To accommodate this increased expenditure, the attached resolution includes amendment of the budget to increase the budget for Professional Services- Fire Plan Check Fees (account 3000-80480) by $776,527.63, and increases plan check fee revenue (account 3000-58410) by $1,080,376.14, for a net fiscal benefit of $303,848.51. Revenues exceed expenditures because expenditures include only direct cost of consultant services, whereas revenues must also cover other indirect City costs such as overhead and administrative costs.
PREPARED BY: Victor R. Gonzales, Chief Building Official Approved and Forwarded to the
City Council of the City of Emeryville:
Adam Politzer, Interim City Manager
ATTACHMENTS:
Attachment 1 – Original Contract with WC3
Draft Resolution including Exhibit A, First Amendment to Contract with WC³ WC3 Contract First Amendment
City Council Meeting | October 1, 2024
City of Emeryville
CALIFORNIA
MEMORANDUM