DATE: September 17, 2024
TO: Mayor and City Council
FROM: Director of Development Services
SUBJECT: Adopt a Resolution Authorizing the City Manager to Negotiate and Execute Agreements with Five Consulting Firms, for an Amount Not to Exceed the Total FY25 Budget Appropriation of $650,000 (Development Services), to Provide Plan Check, Building Inspection and Permit Technician Services
RECOMMENDATION
That Council adopts a resolution (Attachment II) authorizing the City Manager to negotiate and execute Agreements with five consulting firms to provide plan check, building inspection, and permit technician services for an amount not to exceed the FY25 Development Services Department approved operating budget appropriation of $650,000.
SUMMARY
The City currently has agreements with outside consulting firms to augment Development Services Department Building Division staff by providing plan check, building inspection and permit technician services. The terms of these agreements are due to expire in the next 30 days. A Request for Proposal (RFP #25-006) was advertised on July 31, 2024, to solicit bids from interested firms to provide On-Call Plan Check, Building Inspection and Permit Technician Services.
Staff seeks Council approval authorizing the City Manager to negotiate and execute new agreements with five firms for these services.
BACKGROUND
The City of Hayward has maintained agreements with multiple firms to provide plan check and inspection services to support customer demand that exceeds the availability or workload capacity of Building Division staff. These firms also offer Permit Technician personnel at an hourly rate to cover long-term absences of permanent staff in the Permit Center. Retaining several firms under contract who are available to respond on short-notice also provides the City the flexibility of utilizing qualified firms or persons that are best suited based on a specific area of specialization and availability of personnel.
On July 31, 2024, an RFP was released for the purposes of soliciting proposals to provide plan check, building inspection, and permit technician services. Prior to the August 21st deadline, eleven firms submitted proposals that were considered responsive and complete. Services provided were evaluated individually, and selections were based on price, experience, availability to provide on call service, and turn-around times. Each proposal was reviewed by Building staff, and the following firms were selected:
4 Leaf, Inc.
BPR Consulting Group
CSG Consultants, Inc.
TRB and Associates, Inc.
West Coast Code Consultants, Inc.
DISCUSSION
The Development Services Department currently employs 4.0 full time positions who are responsible for both commercial and residential plan review for building permit submittals. The Development Services Department also currently employs 7.0 full time positions who perform residential and commercial building inspections to ensure safety and compliance with the current 2022 California Building Codes as adopted and amended by the City of Hayward, and subsequent code cycle adoptions, such as, the 2025 California Codes to go into effect January 1, 2025.
The approach toward managing plan review applications disperses the workload between City staff and consultants and provides the flexibility to augment staff as necessary to cover increases in permit applications and long-term absences of permanent staff. Agreements with multiple outside firms also allow staff to assure large projects, such as complex commercial and industrial projects or subdivisions that involve multiple sets of plans, can be reviewed, and inspected in a timely manner.
STRATEGIC ROADMAP
This agenda item is a routine item that is not tied directly to any Strategic Roadmap project, but does indirectly support the Strategic Roadmap Priorities to Confront Climate Crisis & Champion Environmental Change, Strengthen Organizational Health, and Grow the Economy.
FISCAL IMPACT
The cost of contracting consultants related to Building plan check and inspection services is offset by the fees paid by the permit applicant. Fees for plan check review are collected at the time plans are submitted while inspection fees are collected at the time the permit is issued. Fees for plan check and inspection services related to building permits are calculated based on valuation as outlined in the current Master Fee Schedule. Costs for plan check and inspection fees incurred by the consultants shall not exceed the plan check and inspection fees collected for permits by the City. Cost incurred by consultants hired for plan review or inspection services on a per project basis are offset by revenue collected during the permit application process, resulting no impact to the General Fund.
NEXT STEPS
Upon Council approval of this resolution, staff will prepare for signature Professional Services Agreements for three years and encumbering of funds with 4Leaf, Inc.; BPR Consulting Group; CSG Consultants, Inc.; TRB and Associates, Inc.; and West Coast Code Consultants, Inc.
Prepared by: Tera Maroney, Management Analyst
Recommended by: Sara Buizer, AICP, Director of Development Services Omar Noorzad, City Building Official
Approved by:
_________________________________
Dustin Claussen, Interim City Manager