DATE: February 18, 2025
TO: Mayor and City Council
FROM: Director of Public Works
SUBJECT: Adopt a Resolution Authorizing the City Manager to Negotiate and Execute Five (5) Three-Year Professional Services Agreements with SNG & Associates, Inc., Substrate Inc., Swinerton Management & Consulting, Twining Inc., and Willdan Engineering for On-Call Construction Inspection Services, from April 1, 2025, to June 30, 2028, in an amount of $200,000 Annually per Firm, with an Aggregate Not-To-Exceed Amount of $600,000 Annually
RECOMMENDATION
That the City Council adopts a resolution (Attachment II) authorizing the City Manager to negotiate and execute five (5) three-year Professional Services Agreements (PSA) with SNG & Associates, Inc., Substrate Inc., Swinerton Management & Consulting, Twining Inc., and Willdan Engineering for on-call construction inspection services, from April 1, 2025, to June 30, 2028, in an amount of $200,000 annually per firm, with an aggregate amount not-to- exceed $600,000 annually.
SUMMARY
The Department of Public Works & Utilities uses on-call construction inspectors when in- house staffing levels are inadequate, either due to staff unavailability, vacancies, or increased workload. The on-call construction inspection services provide oversight on City-sponsored projects, private developments, and encroachment permits.
The actual work assignment(s) and compensation for each consultant will depend on which, if any, projects they are selected to provide services for. No guarantees of work have been made to the firms.
BACKGROUND
On March 26, 20191 and January 25, 20222, City Council approved on-call inspection services agreements with three firms for $150,000 annually, per firm, for a period of three years through Resolutions 19-057 and 22-021, respectively. The current agreements will expire in early 2025. In November 2024, Request for Proposal (RFP) #25-025 was released to obtain proposals for on-call inspection services for three years.
DISCUSSION
The Department’s Construction Inspection team is responsible for overseeing the construction of Capital Improvement Plan (CIP) projects. These projects include City streets, sidewalks, streetlights and traffic signals, storm drains, sanitary sewers, domestic water, recycled water, the water resource recovery facility, airport runways, and City-owned building projects.
In addition, the Construction Inspection Division is responsible for inspection of the public improvements of private development projects, and encroachment purposes. With the currently anticipated workload, it is necessary to continue the supplemental contracted work with on-call construction inspection firms to ensure compliance, meet project deadlines, and provide project oversight.
The three firms currently providing construction inspection services are Willdan Engineering, SNG & Associates, and 4Leaf, Inc.; these agreements expire in March 2025. In response to the RFQ released in November 2024, fifteen firms submitted proposals. Staff determined five firms to be the most qualified for the services needed based on their experience in providing similar services to other public agencies along with competitive rates.
ECONOMIC IMPACT
Timely inspection services for City and private development projects would ensure public safety and foster economic activity. Similarly, timely inspection on private development projects, like new housing or commercial properties, allow the contractors to maintain their schedule; once complete, the projects contribute to the City’s economic vitality.
STRATEGIC ROADMAP
This action, if approved, will help ensure that infrastructure projects and City development projects in the Strategic Roadmap are not adversely impacted by construction inspection delays.
1 https://hayward.legistar.com/LegislationDetail.aspx?ID=3897641&GUID=1D885961-B939-4DD5-B5B0- 3DB025867DD0&Options=&Search=
2 https://hayward.legistar.com/LegislationDetail.aspx?ID=5390885&GUID=2DD4DC2A-BFA5-4A12-B1D6- 1744E4D86072&Options=&Search=
FISCAL IMPACT
There will be no impact to the General Fund. These services will only be used on City projects with appropriated budget for construction inspection or where inspection-related expenses will be reimbursed by developers and permit holders. Staff recommends a PSA with each firm for an amount of $200,000 annually, per firm, with an aggregate amount not-to-exceed $600,000 annually, from April 1, 2025, to June 30, 2028. If the workload falls short of the forecast, the budget expenditures will be limited to the actual inspection costs incurred.
SUSTAINABILITY FEATURES
There are no sustainability features associated with this item.
PUBLIC CONTACT
The RFP was publicly posted on the City’s website3 on November 1, 2024.
NEXT STEPS
If City Council approves, the City Manager will execute individual PSAs with each firm in a form approved by the City Attorney.
Prepared by: Marissa Matta, Management Analyst
Kathy Garcia, Deputy Director of Public Works
Recommended by: Alex Ameri, Director of Public Works
Approved by:
______________________________________
Dr. Ana M. Alvarez, City Manager
3 https://www.hayward-ca.gov/business/doing-business-with-hayward/rfps-rfqs