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agenda-report HINES EDM DOCUMENT SCANNING AND INDEXING SERVICES AGREEMENT - Authorize the City Manager or Her Designee to Execute an Amendment to the Master Services Agreement with Hines EDM to Extend the Term an Additional Three Years and Increase the Not-to-Exceed Compensation an Additional $500,000 to $1,250,000.

Fremont City Council
September 17, 2024

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agenda-report HINES EDM DOCUMENT SCANNING AND INDEXING SERVICES AGREEMENT - Authorize the City Manager or Her Designee to Execute an Amendment to the Master Services Agreement with Hines EDM to Extend the Term an Additional Three Years and Increase the Not-to-Exceed Compensation an Additional $500,000 to $1,250,000.
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September 17, 2024
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Fremont City Council
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Fremont City Council Meeting: 09/17/24 07:00 PM
3300 Capitol Avenue Div/Dept: Community Development
Fremont, CA 94538 Category: Agreements and Contracts

SCHEDULED
Sponsors:

COUNCIL STAFF REPORT (ID # 5222) DOC ID: 5222
Updated: 9/9/2024 3:19 PM by Dina Lewis Page 1

HINES EDM DOCUMENT SCANNING AND INDEXING SERVICES AGREEMENT - Authorize the City Manager or Her Designee to Execute an Amendment to the Master Services Agreement with Hines EDM to Extend the Term an Additional Three Years and Increase the Not-to-Exceed Compensation an Additional $500,000 to $1,250,000.

Contact Persons:

Name: Jennifer Craven Dan Schoenholz
Title: Business Manager Community Development Director
Div/Dept: Community Development Community Development
Phone: 510-494-4554 510-494-4438
E-Mail: [email protected] [email protected]

Executive Summary: In October 2019, the City entered into a five-year service agreement in the amount of $750,000 with Hines EDM, Inc. to provide digital scanning and document indexing services. Since that time, all Building Division paper and microfiche files have been converted to digital format. However, a large number of Planning Division paper files and oversized maps/plans still need to be converted. Staff is therefore requesting that City Council authorize an amendment to the service agreement to extend the term an additional three years and increase the not-to-exceed compensation an additional $500,000 to $1,250,000.

BACKGROUND: In an effort to improve customer service, to enhance sustainability by reducing paper waste, and to minimize the need for physical storage space, Community Development has implemented a number of initiatives to become paperless.

For new permits, Community Development eliminated the use of paper by implementing electronic plan checking and enabling electronic submittal of permit requests in 2021.

To address the permitting paper storage archives, in November 2018, Community Development released a Request for Proposals (RFP) on BidSync (City’s former web based on-line bidding partner) for on-call scanning services. Eight firms submitted proposals. All firms were determined qualified, and the top two firms were further evaluated for final selection. After site visits and additional discussions with these firms, Hines EDM and ImageNet, staff found both had security facilities, efficient scanning processes, including quality control and quality assurance review procedures, and positive references from other clients. Council authorized agreements with both vendors. However, only Hines EDM completed the contract process and has provided on-call scanning services for the City since the agreement was executed in October 2019.

DISCUSSION/ANALYSIS: Staff estimates that retaining Hines EDM services for an additional three years will be adequate to complete conversion of all remaining Community Development paper files to digital format. The original agreement allows for annual adjustments to pricing based on changes in the Consumer Price Index over the prior year.

This provision, plus all other provisions of the original agreement, will remain in effect with this amendment.

Council Staff Report (ID # 5222) Meeting of September 17, 2024 Updated: 9/9/2024 3:19 PM by Dina Lewis Page 2

FISCAL IMPACT: For all permit requests that were received in paper format, applicants paid a fee that covers the cost of converting paper documents to a digital format for permanent storage in the City’s document retention system. Scanning of documents under the Hines services agreement is funded by these user fees, the costs of which are included in the Development Cost Center budget.

ENVIRONMENTAL REVIEW: Environmental review is not required as master service agreements are not a project as described by California Environmental Quality Act (CEQA) Guideline Sections 15061(b)(3) and 15378(b). It can be seen with certainty that there is no possibility that authorization of these agreements will have a significant effect on the physical environment.

ATTACHMENTS: None.

RECOMMENDATION: Authorize the City Manager or her designee to amend the Master Service Agreement with Hines, EDM, Inc. to extend the term of the agreement an additional three years through October 2027 and increase the not-to-exceed compensation an additional $500,000 to $1,250,000.

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