DATE: April 22, 2025
TO: Mayor and City Council
FROM: Director of Public Works
SUBJECT: Adopt a Resolution Authorizing the City Manager to Execute Amendment No. 11 to the Professional Services Agreement with CSG Consultants, Inc., for Private Development Review Services in the Amount of $120,000 for a Total Not-To-Exceed Amount of $2,724,000 and Extending the Date of the Agreement to July 31, 2025
RECOMMENDATION
That City Council adopts a resolution (Attachment II) authorizing the City Manager to execute Amendment No. 11 to the Professional Services Agreement (PSA) with CSG Consultants, Inc., (CSG) for private development plan check review and related services, increasing the amount by $120,000 for a total not-to-exceed contract amount of $2,724,000 and extending the date of the agreement to July 31, 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 continued significant private development workload, staff is requesting an additional amendment to continue receiving these services.
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, 20171, City 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.
On May 22, 20182, City Council approved Amendment No. 2, increasing the total not-to- exceed amount to $680,000 and extending the term to December 31, 2018.
On January 8, 20193, City Council approved Amendment No. 3, extending the term to June 30, 2019.
On June 25, 20194, City Council approved Amendment No. 4, increasing the total not-to- exceed amount to $880,000 and extending the term to June 30, 2020.
On September 22, 20205, City Council approved Amendment No. 5, increasing the total not-to-exceed amount to $1,200,000 and extending the term to June 30, 2021.
On July 06, 20216, City Council approved Amendment No. 6, increasing the total not-to- exceed amount of $1,570,000 and extending the term to June 30, 2022.
On February 01, 20227, City Council approved Amendment No. 7, increasing the total not- to-exceed amount to $1,700,000.
On May 24, 20228, City Council approved Amendment No. 8, increasing the total not-to- exceed amount to $2,100,000 and extending the term to June 30, 2023.
On May 23, 20239, City Council approved Amendment No. 9, increasing the total not-to- exceed amount to $2,412,000 and extending the term to June 30, 2024.
On June 25, 202410, City Council approved Amendment No. 10, increasing the total not-to- exceed amount to $2,604,000 and extending the term to June 30, 2025.
DISCUSSION
The current PSA with CSG for development plan check and review services is effective through June 30, 2025, as authorized under Amendment No. 10, approved in June 2024.
At the time, staff estimated that consultant support would be needed at approximately 20 hours per week. However, due to ongoing staffing shortages in the Public Works & Utilities and Development Services Departments, along with a sustained high volume of
1 Amendment 1 Staff Report and Council Resolution on Legistar 2 Amendment 2 Staff Report and Resolution on Legistar
3 Amendment 3 is a time-only extension and did not require Council approval. 4 Amendment 4 Staff Report and Resolution on Legistar
5 Amendment 5 Staff Report and Resolution on Legistar
6 Amendment 6 Staff Report and Resolution on Legistar
7 Amendment 7 Staff Report and Resolution on Legistar
8 Amendment 8 Staff Report and Resolution on Legistar
9 Amendment 9 Staff Report and Resolution on Legistar
10 Amendment 10 Staff Report and Resolution on Legistar
private development activity, staff has required approximately 24 hours per week (or three days per week) of support from CSG.
CSG continues to be a valuable resource due to their familiarity with the City’s Municipal Code, their experience with private development projects, and their knowledge of the City’s development review processes and procedures. Their ongoing support has not only helped maintain service levels but has also assisted in onboarding new staff and improving internal processes.
Staff now requests approval of Amendment No. 11 to increase the contract amount by $120,000 to account for the higher level of service needed through the end of July 2025.
The revised not-to-exceed contract amount will be $2,724,000.
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 much 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 replenish 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 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 City Council approves this request, the City Manager will execute an Amendment No. 11 to the PSA with CSG to increase the PSA by $120,000 for a not-to-exceed amount to $2,724,000 and extend the agreement to July 31, 2025.
Prepared by: Saeed Saebi, Senior Civil Engineer
Dave Hung, Acting Deputy Director of Public Works - Engineering
Recommended by: Alex Ameri, Director of Public Works
Approved by:
______________________________________
Dr. Ana M. Alvarez, City Manager