DATE: June 25, 2024
TO: Mayor and City Council
FROM: Director of Public Works
SUBJECT: Adopt a Resolution Authorizing the City Manager to Execute Amendment No. 10 to the Professional Services Agreement with CSG Consultants, Inc., for Private Development Review Services in the Amount of $192,000 for a Total Not-To-Exceed Amount of $2,604,000 and Extending the Date of the Agreement to June 30, 2025
RECOMMENDATION
That Council adopts a resolution (Attachment II) authorizing the City Manager to execute Amendment No. 10 to the Professional Services Agreement (PSA) with CSG Consultants, Inc., (CSG) for private development plan check review and related services, increasing the amount by $192,000 for a total not-to-exceed contract amount of $2,604,000 and extending the date of the agreement to June 30, 2025.
SUMMARY
The City entered into a PSA with CSG on November 18, 2016 to assist with development review. CSG has extensive experience in providing professional services for private development projects in the Bay Area. CSG has provided these services for large scale projects in the City such as SoHay, Lincoln Landing and Parcel Groups 3 and 5, specifically in the planning and entitlement stages of projects. Due to staff vacancies and a continued private development workload exceeding the current capacity, staff is requesting an additional amendment to extend these services through June 30, 2025. This extension would allow CSG to continue providing support on a part-time basis, specifically up to 24 hours per week. The part-time nature of this arrangement ensures that the City can efficiently manage its resources while still benefiting from CSG's expertise.
BACKGROUND
Public Works staff are responsible for reviewing grading plans, subdivision maps, improvement plans, and soils and geological reports for private development projects. Due to staff vacancies and significant private development workload, the City entered into an PSA with CSG on November 18, 2016, to provide these plan review services.
On September 19, 2017, Council approved Amendment No. 1, increasing the original PSA amount by an additional $425,000, for a total not-to-exceed amount of $500,000, and extending the term to June 30, 2018.
Amendment No. 2, approved on May 22, 2018, increased the total not-to-exceed amount to $680,000 and extended the PSA to December 31, 2018.
Amendment No. 3, approved on January 8, 2019, extended the PSA to June 30, 2019.
Amendment No. 4, approved on June 25, 2019, increased the total not-to-exceed amount to $880,000 and extended the PSA to June 30, 2020.
Amendment No. 5, approved on September 22, 2020, increased the total not-to-exceed amount to $1,200,000 and extended the PSA to June 30, 2021.
Amendment No. 6, approved on July 06, 2021, increased the total not-to-exceed amount of $1,570,000 and extended the PSA to June 30, 2022.
Amendment No. 7, approved on February 01, 2022, increased the total not-to-exceed amount to $1,700,000.
Amendment No. 8, approved on May 24, 2022, increased the total not-to-exceed amount to $2,100,000 and extended the PSA to June 30, 2023.
Amendment No. 9, approved on May 23, 2023, increased the total not-to-exceed amount to $2,412,000 and extended the PSA to June 30, 2024
DISCUSSION
The current PSA with CSG for development plan check and review services expires on June 30, 2024. Due to staff vacancies in Public Works & Utilities and Development Services Departments, and continued private development workload, staff anticipates that these services will continue to be required through the end of FY 2025, on a part-time basis, up to 24 hours per week. CSG is uniquely positioned to efficiently assist City staff in processing development projects due to their familiarity with City Municipal Code and advanced knowledge and experience in private development projects. CSG’s expertise with the City’s development processes and procedures, along with their experience in previous projects in the City of Hayward, has greatly benefited the staff in recent years. Additionally, through this PSA, CSG provides training to newly hired engineers and helps improve the development review process.
Staff requests approval of Amendment No. 10 to increase the contract amount by $192,000 for a revised not-to-exceed amount of $2,604,000 and extend the contract through June 30, 2025.
ECONOMIC IMPACT
This PSA facilitates timely development in the City, which impacts and improves the local economy.
FISCAL IMPACT
This item will have minimal impact on the General Fund. Given that private consultant hourly rates are typically higher than City staff’s rates for comparable positions, consultant fees are not fully recovered through charges to projects. However, staff anticipates that most of these expenses will be offset by charges to developers, which will further offset the impact on the General Fund.
Staff will be evaluating the approach taken in current charging practices for development review and will adjust accordingly in order to reduce the impact on the General Fund.
STRATEGIC ROADMAP
This agenda item supports the Strategic Priorities to Grow the Economy, Preserve, Protect & Produce Housing for All, and Invest in Infrastructure by providing professional services to the Development Services and Public Works & Utilities Departments. As part of the aforementioned goals this PSA will assist in finalizing planning on redevelopment of three remaining parcel groups (Parcel 6 and 9). Additionally, this PSA will help with the review of the development applications that promote housing for all.
By receiving professional services from CSG, the City is taking steps to help improve infrastructure within the City. CSG will play a key role in reviewing and conditioning large developments projects, improving Hayward’s utilities, and advancing street improvements, including traffic calming initiatives.
PUBLIC CONTACT
No public contact has been made related to this amendment.
NEXT STEPS
If Council approves this request, the City Manager will execute an Amendment No. 10 to the PSA with CSG to increase the PSA not-to-exceed amount to $2,604,000 and extend the agreement to June 30, 2025.
Prepared by: Michael Wolny, Management Analyst
Saeed Saebi, Senior Civil Engineer
Kathy Garcia, Deputy Director of Public Works
Recommended by: Alex Ameri, Director of Public Works
Approved by:
_____________________________________
Dustin Claussen, Interim City Manager
Amendment 1 Staff Report and Council Resolution on Legistar Amendment 2 Staff Report and Resolution on Legistar
Amendment 3 is a time-only extension and did not require Council approval.
Amendment 4 Staff Report and Resolution on Legistar
Amendment 5 Staff Report and Resolution on Legistar
Amendment 6 Staff Report and Resolution on Legistar
Amendment 7 Staff Report and Resolution on Legistar
Amendment 8 Staff Report and Resolution on Legistar
Amendment 9 Staff Report and Resolution on Legistar