Item 98/2025
Final
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
To:
Lisa L. Kim From: William E. Murray
Dept:
City Manager Dept: Public Works
Date: 3/25/2025
Subject: Approval of Amendments to the agreements with Associated Soils, Inc. and GMU Geotechnical Services, Inc., to exercise the first option year and increase each agreement by $150,000 per year. (Action Item)
OBJECTIVE
To request the City Council’s approval to authorize the City Manager, or designee, to execute contract amendments for Associated Soils, Inc., and GMU Geotechnical Services, Inc., before the first year term is up and increase the contract amount s by an additional $150,000 for each remaining option year for both on-call geotechnical services contracts.
BACKGROUND
In March 2023, the City executed three (3) contracts for on-call geotechnical services with Associated Soils, Inc., GMU Geotechnical Services, Inc., and Geocon West, Inc. Each contract is valued at $400,000 for a two -year period, with two additional option years at $150,000 each. These contracts are essential for supporting infrastructure projects by providing soils and geotechnical analysis.
After entering into these agreements, the City learned that Geocon West is unable to assist with construction contract service needs because they are not in compliance with Community Workforce Agreement (CWA) requirements. This has significantly limited their usability. As a result, the majority of so ils requests have been diverted to the remaining two contractors, causing a faster-than-expected depletion of their allocated funds.
DISCUSSION
Due to the accelerated depletion of funds for the Associated Soils, Inc., and GMU Geotechnical Services, Inc., contracts, the City requests to amend the agreements to apply the first option year earlier than anticipated. Additionally, to ensure continuity of services and accommodate the increased demand, it is proposed to increase the contract amounts for the opti on years from $150,000 per year to $300,000 per year for the remaining option years. This amendment will allow the City to continue receiving the necessary geotechnical services without interruption and support the timely completion of infrastructure projects.
Item 98/2025
FINANCIAL IMPACT
There is no impact on the overall cost for on-call geotechnical services. The amount previously allocated to Geocon West will be redirected to Associated Soils, Inc. and GMU Geotechnical Services, Inc. No additional appropriation is required if the recommended actions are approved.
RECOMMENDATION
It is recommended that the City Council:
Authorize the City Manager, or designee, to execute Amendments exercising the first option year for the agreements with Associated Soils, Inc., and GMU Geotechnical Services, Inc.; and
Approve the increase in the contract amou nts for on -call geotechnical services with Associated Soils, Inc., and GMU Geotechnical Services, Inc., from $150,000 each year to $300,000 for each remaining option year.
By: Alexa Viramontes, Sr. Administrative Analyst
ATTACHMENT(S)
1. Associated Soils_Amendment No. 1
2. Associated Soils Agreement
3. GMU_Geotechnical Services Amendment No. 1
4. GMU Geotechnical Services Agreement