Agenda packet — Economic Development Committee, January 12, 2022

- 1 -
1/12/2022 5:30:00 PM
www.modestogov.com
AGENDA
City of Modesto

ECONOMIC DEVELOPMENT COMMITTEE / COUNCIL

WORKSHOP
Held Via Teleconference
(To Access Meeting Please See Instructions Below)
Wednesday, January 12, 2022 at 5:30 PM
*Roll Call: Sue Zwahlen, Chair
Chris Ricci, Vice-Chair
David Wright, Member
Alternates: Rosa Escutia-Braaton, Jenny Kenoyer, Tony Madrigal, Bill Zoslocki * Please Note: In order to respond to COVID-19, and pursuant to AB 361, the City will hold this meeting via teleconference and Committee Members will be calling in.

THIS MEETING WILL NOT BE PHYSICALLY OPEN TO THE PUBLIC
In order to minimize the spread of the COVID-19 virus, this meeting will be conducted pursuant to AB 361, which amended the Brown Act’s teleconferencing provisions and will not be physically open to the public. You may observe and participate in the meeting via teleconference as indicated below.

PARTICIPATING IN COMMITTEE MEETINGS IN CONFORMANCE
WITH AB 361
The City of Modesto is providing alternatives to observe and participate in Committee meetings.

If you wish to make either a general public comment or to comment on a specific agenda item, you may use one of the following options:

SUBMITTING COMMENTS BY E-MAIL
Written comments may be submitted via email to: [email protected] (include Agenda Item Number in the subject line). All comments will be shared with the Committee - 1 -
1/12/2022
- 2 -
1/12/2022 5:30:00 PM
Members and placed in the record, but will not be read aloud during the meeting. Written comments must be received by 4:00 p.m. on the day of the meeting.

VIRTUAL PARTICIPATION BY ZOOM VIDEO

CONFERENCING AND TELEPHONE
Joining the Committee meeting via Zoom
The City of Modesto is now offering the ability to view and participate in Committee meetings via telephonic conferencing via “Zoom” video conferencing computer technology. The meeting may be accessed through the use of Zoom using the following options:
 Enter the following link into an Internet Browser
https://us02web.zoom.us/j/86945970570,
 Enter the following link into an Internet Browser https://zoom.us/ and using the Webinar ID 869 4597 0570
 Passcode 84326
To use Zoom, please visit: https://zoom.us/ and either sign-up for a free Zoom account or continue as a guest. Once you have downloaded the app onto your mobile device, joined from your web browser, or downloaded the Zoom software on your computer you will be ready for the upcoming Committee meeting.

Joining the Committee meeting via Telephone
If you don’t have a smart phone or computer to access the meeting via Zoom, you can participate by phone, by calling 1-877-853-5257 (Toll Free) or 1-888-475-4499 (Toll Free) and enter the Webinar ID 869 4597 0570 Passcode 84326
Providing Public Comment on Zoom and by Telephone
The Committee Chairman will request public comment during the Public Comment periods on the meeting agendas and during each Regular Calendar Item on the Committee Agenda. Once the Chairman has announced the public comment period, please do one of the following.

USING A COMPUTER OR SMART PHONE APP:
 Click on the “Raise Hand” feature in the webinar controls. This will notify City staff that you have raised your hand.
 City staff will unmute your microphone when it is your turn to provide public comment.
 A prompt will appear to confirm you would like to be unmuted and then you will have three minutes to provide public comment.
 Once your public comment has ended, you will be muted again.

USING A REGULAR PHONE (not using a computer or smart phone APP):
 Dial *9 (star 9), this will notify City staff that you have “raised your hand” for public comment.
 City staff will unmute your microphone when it is your turn to provide public comment.
- 2 -
1/12/2022
- 3 -
1/12/2022 5:30:00 PM
 You will hear “you are unmuted” and then you will have three minutes to provide public comment.
 Once your public comment has ended, you will be muted again.  If your phone is unmuted, and you are unable to be heard, the host may ask that you Dial *6 to toggle mute on/off in Zoom.

Additional Zoom resources/support
Please visit Zoom’s website support page on helpful tips to prepare for the meeting:
https://support.zoom.us/hc/en-us/categories/201146643
Council has not delegated directive or final approval authority to the Committees. Committee actions are recommendations to the full City Council, not final decisions on an issue. This meeting is also noticed as a City Council workshop.

PUBLIC COMMENTS
Please refer to special public comment instructions above.

Three minute time limit per speaker
Only interested persons in the audience may present these matters. Under State law, Committee members may respond to matters being presented under this item only as follows:
a. Briefly respond to statements made or questions raised. b. Ask a question for clarification.
c. Provide a reference to staff or other resources for factual information. d. Request staff to report back at a subsequent meeting. e. Finally, a Committee member or the Committee itself may take action to direct staff to place a matter of business on a future agenda.

CONSENT ITEMS – ROLL CALL VOTE REQUIRED:

Information concerning the consent items listed below has been forwarded to each Committee member prior to this meeting for study. Unless some member of the audience or Committee member has a question concerning an item and asks that it be withdrawn from the consent list, the Committee approves the items at one time. The action taken by the Committee in approving consent items is set forth in the explanation of this individual item.

Any and all of the following agenda items are subject to action by the Modesto City Council.

This Agenda is on file at the Modesto-Stanislaus Library Reference Room, 1500 I Street, Modesto, in the City Clerk’s Office, Sixth Floor, 10th Street Place, and is available on the City’s Web site at www.modestogov.com.

In accordance with the requirements of Title II of the Americans with Disabilities Act (“ADA”) of 1990, the Fair Employment & Housing Act (“FEHA”), the Rehabilitation Act of - 3 -
1/12/2022
- 4 -
1/12/2022 5:30:00 PM
1973 (as amended), Government Code section 11135 and other applicable codes, the City of Modesto (“City”) will not discriminate against individuals on the basis of disability in the City’s services, programs, or activities. For more information, please visit the City of Modesto website at https://www.modestogov.com/865/Americans-with-Disabilities-Act-ADA In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk (209) 577-5396. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

CONSENT
An item may be removed from consent and discussed at the request of an audience member or Committee member.

Consent

1. Consider approving the award of bid and Agreement for Fire Safety System Services to The BGR Group, Santa Clara, CA for a two-year Agreement with three one-year extension options, for an annual estimated cost for the first year of $292,370 and a total amount not to exceed $1,024,091 over five years, with any new site additions, removals, or substantive service changes to be authorized by the Director of Finance or her designee and forwarding to Council for approval. (Funding Source: Various Funds) PUBLIC WORKS; Patrick Crowley, 209-402-6812, [email protected] Consent

2. Consider approving the Sole Source Purchase Agreement with Xylem Water Solutions, Charlotte, NC, for the procurement of Ultraviolet (UV) lamps and parts for an estimated annual amount of $50,000 and a total amount not to exceed $250,000 over five years, and authorizing the Director of Finance, or her designee, the ability to add parts based on the Department’s needs, ensuring the total amount does not exceed the authorized total, and forwarding to Council for approval. (Funding Source: Wastewater Fund)
UTILITIES; Monte Hamilton, 209-342-4505, [email protected]

UNFINISHED BUSINESS

3. Consider accepting the April - June 2021 Permitting Efficiency Report. (Funding Source: Development User Fees)
CED; Oscar Diaz, 209-571-5885, [email protected]

MATTERS TOO LATE FOR THE AGENDA
These may be presented by members of the Committee and staff upon determination by a majority vote that an emergency exists, as defined by State law, or by a 2/3 vote that (1) there is a need to take immediate action, and (2) that the need for action came to the City’s attention after the agenda was posted.
- 4 -
1/12/2022
- 5 -
1/12/2022 5:30:00 PM

ADJOURNMENT
Posted pursuant to Government Code Section 54954.2 on the bulletin board at Tenth Street Place on at by
date time signature
- 5 -
1/12/2022

CITY OF MODESTO

COMMITTEE AGENDA REPORT
DATE OF MEETING:

January 12, 2022
Date: December 8, 2021
TO: Economic Development Committee
Sue Zwahlen, Chair
Chris Ricci, Vice-Chair
David Wright, Member
THROUGH: Joseph P. Lopez, City Manager
FROM: Bill Sandhu, Director of Public Works
SUBJECT: Award of Fire Safety System Services
CONTACT: Patrick Crowley, Facility Manager/Building Administration, [email protected], 209-402-6812
DESCRIPTION:

Consider approving the award of bid and Agreement for Fire Safety System Services to The BGR Group, Santa Clara, CA for a two-year Agreement with three one-year extension options, for an annual estimated cost for the first year of $292,370 and a total amount not to exceed $1,024,091 over five years, with any new site additions, removals, or substantive service changes to be authorized by the Director of Finance or her designee and forwarding to Council for approval. (Funding Source: Various Funds)
STRATEGIC PLAN ELEMENT:

This action supports the 2020-2025 City of Modesto Strategic Plan Area of Focus: Service Delivery Goals and Strategies; “build community trust in City government through responsive, transparent and efficient service delivery”; Goal H: “achieve long-term financial sustainability.” BACKGROUND:

The City of Modesto, Public Works Department, Building Administration and Maintenance Division is responsible for maintaining facilities within the City of Modesto which includes the fire systems within those facilities. There has not been a city-wide agreement for fire system services which included the inspection, testing and maintenance for these systems.

Through the issuance of a Request for Bid (RFB), the Building Administration and Maintenance Division will be able to better manage the Fire Safety Systems within the City of Modesto under a consolidated agreement rather than several different vendors handling different buildings.

There will be the additional value of reduced costs through having a city-wide agreement. #1..
- 6 -
Economic Development Committee, January 12, 2022
Award of Fire Safety System Services

Page 2 of 3 ends

DISCUSSION:

The City Manager authorized the Purchasing Manager to issue formal RFB for Fire Safety System Services.

On October 5, 2021, the Purchasing Division issued RFB No. 2021-75 for Fire Safety Systems Services under multiple category codes1. Prospective bidders were notified online and via email of the bid opportunity. Eighteen companies chose to download the RFB document.

On November 2, 2021, bids were formally opened by the City Clerk and broadcast via Microsoft Teams Livestream2. One vendor responded with a formal bid. No local vendors responded.

The Purchasing Division contacted several bid holders to inquire about the reasons they declined to submit bids. Several of the vendors responded that they did not meet the bid requirement for the State Contractor’s Business License stated in the bid documents. Based on providing an overall responsive and responsible bid and the research conducted to evaluate the single bid response, staff recommends the award of bid to The BGR Group, Santa Clara, CA.

Modesto Municipal Code Section 8-3.203 generally requires all purchases, which meet or exceed $50,000 for material, equipment or contractual services to follow formal bid procedures.

An award of bid and agreement for City-wide fire service system services to The BGR Group, Santa Clara, CA, conforms to the Modesto Municipal Code because the City complied with the formal bid procedures and The BGR Group was the lowest responsive and responsible bidder.

FISCAL IMPACT:

Below is a breakdown of estimated yearly expenses for Fire Safety System Services for various City properties. The agreement amount for Year 1 includes all sites that require a 5-Year Inspection. Some of these sites will require this in Year 1 but others may not require inspections until Year 2, 3, 4 or 5 of the contract. Based on current pricing per RFB 2021-75, anticipated services, and accounting for potential Consumer Price Index (CPI) increases (5%) for Years 3, 4 and 5. The agreement includes a 10% contingency new site additions or substantive service changes. An additional $20,000 per year is being added as an allowance for any maintenance and repairs that may be needed under this agreement. Funds are budgeted in the Facilities 5800-52120-53100 with funding for contingency services being allocated at the time of approval.

Description Year 1 Year 2 Year 3* Year 4* Year 5* Total Contracted Services $247,610 $125,110 $125,110 $137,923 $144,819 $780,572 Contingency Funds $24,760 $24,760 $24,760 $24,760 $24,760 $123,800 Maintenance and Repair $20,000 $20,000 $20,000 $20,000 $20,000 $100,000 Consumer Price Index (5%) $0 $0 $6,255 $6,568 $6,896 $19,719 Total $292,370 $169,870 $176,125 $189,251 $196,475 $1,024,091 1 93609- Alarm Equipment Maintenance/Repair (Fire, Etc.) 99005- Alarm Services 34016- Fire Alarm Systems, Power Sirens, and Controls
2 Staff implemented a virtual bid opening process in an effort to slow the spread of COVID-19. #1..
- 7 -
Economic Development Committee, January 12, 2022
Award of Fire Safety System Services

Page 3 of 3 ends

Approved by:

Bill Sandhu, Director of Public Works
Joseph P. Lopez, City Manager
Attachments:

1. Agreement

2. Cost Abstract

3. Financial Interest Disclosure
#1..
- 8 -
1 ANNUAL AGREEMENT
THE BGR GROUP, LLC.

FIRE SAFETY SYSTEM SERVICES
This Agreement, made and entered into in the City of Modesto, State of California, this ____ day of _________, 2022, by and between the City of Modesto, a municipal corporation of the State of California, hereinafter called CITY, and The BGR Group LLC, hereinafter called

CONTRACTOR,
W I T N E S S E T H:

WHEREAS, the Modesto City Council adopted Resolution No. 2022-____ authorizing the award of bid and contract for the furnishing of Fire Safety System Services to Contractor, attached hereto as Exhibit “A” and made a part hereof, and WHEREAS, the CONTRACTOR provided a responsive and responsible submittal that best meets the CITY needs, attached hereto as Exhibit “B” and made a part hereof, and WHEREAS, the CITY and CONTRACTOR shall enter into an agreement for the furnishing of Fire Safety System Services, as described in RFB No. 2021-75 – Fire Safety System Services, attached hereto as Exhibit “C” and made a part hereof, and NOW, THEREFORE, the parties hereto mutually agree as follows:

1. SCOPE OF WORK.
a. CONTRACTOR shall furnish Fire Safety System Services insofar as such scope of services are specified in Exhibit “B”, and in strict accordance with the conditions of the complete Contract.
b. CONTRACTOR shall do and perform the work contemplated hereby in a good and workmanlike manner under the direction of and to the satisfaction of the City Representative.
c. CONTRACTOR shall perform its duties under this Agreement in accordance with the standard(s) of care prevailing in its industry. #1..
- 9 -
2 d. CONTRACTOR shall maintain proper insurance with the City for the duration of the agreement.
e. CONTRACTOR shall maintain a CITY business license for the duration of the agreement.
f. CONTRACTOR shall furnish said services at the following contracted rates, for an annual estimated amount $244,190 and a total amount not to exceed $730,950.

2. PRICING SCHEDULE: (Exhibit D) subject to prevailing wages.

Prevailing Wages:

The payment of prevailing wages is required for maintenance under this agreement and all provisions of Section 7.04 of the General Provisions contacted within the City standards shall apply.

DIR Project ID #: 397373

3. CITY REPRESENTATIVE:

Contract Administrator is: Patrick Crowley, Facility Manager / Building Administration (209) 342-2274
Purchasing Contact: Kim Presson, Assistant Buyer (209) 577-5375 The City Representative is not authorized to commit the CITY to changes in specifications, requirements, or scope of work, changes in price(s), period of performance or delivery date(s) or method of shipment. Changes of a contractual or business nature shall be effected only by written change to the contract, issued by the City of Modesto, Purchasing Division.

4. TERM OF CONTRACT:

The term of the agreement shall be for a period of two (2) years.

Year 1: February 07, 2022 through February 06, 2023
#1..
- 10 -
3 Year 2: February 07, 2023 through February 06, 2024
Year 3: February 07, 2024 through February 06, 2025
Year 4: February 07, 2025 through February 06, 2026
Year 5: February 07, 2026 through February 06, 2027
Pricing as set forth in Exhibit “D” shall remain firm for the first two (2) years of the agreement.

This Agreement may be renewed for three (3) additional one-year terms by mutual, written agreement of the parties.

Price increases for subsequent contract years, three (3), four (4) and five (5), shall not exceed the Consumer Price Index (CPI) for West Urban Area in any one contract year, and shall be negotiated through the Purchasing Division. Requests for price increases shall be submitted by CONTRACTOR in writing, sixty (60) days prior to the annual anniversary date of the contract to be effective for the subsequent year.

5. LIABILITY INSURANCE:

CONTRACTOR shall provide at its own expense and maintain at all times the following insurance with insurance companies licensed in the State of California and shall provide evidence of such insurance to CITY as may be required by the Risk Manager. The policies or certificates thereof shall provide that, thirty (30) days prior to cancellation or material change in the policy, notices of same shall be given to the Risk Manager of CITY by registered mail, return receipt requested, for all of the following stated insurance policies. (a) General Liability insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage and $2,000,000, policy aggregate. The insurance shall indicate on the certificate of insurance the following coverage and indicate the policy aggregate limit applying to:
#1..
- 11 -
4 premises and operations; broad form contractual; independent consultants and subcontractors; products and completed operations as applicable. (b) Automobile Liability insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage. This insurance shall cover any automobile for bodily injury and property damage.
(c) Workers' Compensation - In compliance with the statutes of the State of California, plus employer's liability with a minimum limit of liability of $1,000,000.

If at any time any of said policies shall be unsatisfactory to CITY, as to form or substance, or if a company issuing such policy shall be unsatisfactory to CITY, CONTRACTOR shall promptly obtain a new policy, submit the same to Risk Manager of CITY for approval and submit a certificate thereof as herein above provided. Upon failure of CONTRACTOR to furnish, deliver or maintain such insurance and certificates as above provided, this Agreement, at the election of CITY, may be forthwith declared suspended, or terminated. Failure of CONTRACTOR to obtain and/or maintain any required insurance shall not relieve CONTRACTOR from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of CONTRACTOR concerning indemnification. CITY, and its agents, officers, employees, and volunteers shall be named as an additional insured on all insurance policies required herein, except Workers’ Compensation, Professional Liability and Financial Institution’s Fidelity.

The Workers’ Compensation insurer shall agree to waive all rights of subrogation against CITY, its agents, officers, employees, and volunteers for losses arising from work performed by CONTRACTOR for CITY. CONTRACTOR’S insurance policy(ies) #1..
- 12 -
5 shall include a provision that the coverage is primary as respects CITY; shall include no special limitations to coverage provided to additional insured; and, shall be placed with insurer(s) with acceptable Best’s rating of A:VII or with approval of the Risk Manager of CITY. The CONTRACTOR must deliver certificates evidencing existence of the insurance to the City prior to the time contract is signed.

CONTRACTOR agrees to provide CITY with a separate endorsement evidencing proof of City’s additional insured status required herein (both general and automobile liability) as well as a separate endorsement for the Workers’ Compensation insurer’s waiver of all subrogation rights as stated above. Every endorsement shall identify the policy number.

CONTRACTOR shall provide CITY with separate an endorsement evidencing proof of the CITY’s additional insured status as to the general liability insurance policy. In addition, CONTRACTOR shall provide CITY with a Workers Compensation subrogation waiver by way of a separate endorsement. All endorsements referenced above must include the applicable policy number.

For any claims related to this project, the CONTRACTOR’S insurance coverage shall be primary insurance as respects the Entity, its officers, officials, employees, and volunteers.

Any insurance or self-insurance maintained by the Entity, its officers, officials, employees, or volunteers shall be excess of the CONTRACTOR’S insurance and shall not contribute with it.

CONTRACTOR further agrees that the amount of insurance required may from time to time be adjusted by CITY’s Risk Manager and CONTRACTOR agrees to file a new insurance certificate with CITY’s City Clerk evidencing the new amounts after a thirty (30) day written notice from CITY’s Risk Manager.

6. PAYMENT:

CONTRACTOR shall invoice CITY monthly. Invoices shall be paid in full #1..
- 13 -
6 within thirty (30) days after completion and acceptance of the service by the City, and receipt of a properly prepared invoice in duplicate, subject to cash discounts allowed and stated in this bid document.

Invoice to: City of Modesto
Attn: Accounts Payable
P.O. Box 642
Modesto, CA 95353
[email protected]
CONTRACTOR shall establish a separate billing account number for each CITY department and/or division.

At a minimum invoice shall state the following:
▪ Reference Annual Agreement # 214002
▪ City department/division name and address
▪ Billing period
▪ Service hours worked day and week
▪ Unit price, extended price, sales tax and total

7. INDEMNITY:

The CONTRACTOR shall hold the CITY, its agents, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgments or damages from every cause, including but not limited to injury to person or property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, arising directly or indirectly out of any negligent or intentional act or omission of CONTRACTOR, or its agents, officers, employees, or volunteers relating to or during the performance of its obligations under this Agreement.

CONTRACTOR’s obligation to defend, indemnify, and hold the CITY, its agents, officers, and employees harmless under the provisions of this paragraph is not limited to or restricted by any requirement in this Agreement for CONTRACTOR to procure and maintain a policy of insurance.
#1..
- 14 -
7 8. ARBITRATION:

Any dispute or claim arising or related to this Agreement, its performance, breach, or interpretation (including issues about its validity or enforceability), shall be exclusively, (except as approved below) resolved by final binding arbitration before the American Arbitration Association (AAA), utilizing its Commercial Arbitration Rules. One Arbitrator shall be selected using AAA procedures. The Arbitrator shall use all reasonable efforts to minimize discovery and to complete the arbitration proceedings as expeditiously as possible. The Arbitrator shall render a written decision within thirty (30) calendar days of the hearing. The Arbitrator will not award attorney’s fees, or punitive, incidental, consequential, treble or other multiple or exemplary damages, and the parties hereby agree to waive and not seek such damages. Either party may seek judicial relief to compel the other party to comply with the provisions of this Section, or injunctive or other equitable relief to protect its intellectual property rights, provided (unless prohibited by applicable law) that the remainder of the dispute or claim is submitted to arbitration. The arbitration shall be held in Modesto California; both parties give their irrevocable consent to jurisdiction of courts of or in the State of California, as well as processes of the AAA in California.

Awards shall be final, binding and non-appealable (except on the minimal grounds required under the Federal Arbitration Act or other applicable law). All awards may be filed with one or more courts, state, federal or foreign having jurisdiction over the party against whom such award is rendered or its property, as a basis of judgment and of the issuance of execution for its collection.

9. GOVERNING LAW:

This Agreement shall be deemed made in, governed by, performed in, and construed and enforced in accordance with the laws of the State of California, without giving effect to its conflicts of law’s provisions or principles.

10. COMMENCEMENT AND COMPLETION OF THE WORK:
#1..
- 15 -
8 The work contemplated herein shall be commenced after the contract administrator receives and has on file:

Proofs of insurance (approved by Risk Management); and
Business License; and
Executed Agreement and all exhibits thereto.

11. TERMINATION OF SERVICES:

Termination by City for Default of Contractor
Should Contractor default in the performance of this Agreement or materially breach any of its provisions, at its option, City may terminate this Agreement by giving written notification to Contractor. The termination date shall be the effective date of the notice.

For the purposes of this section, material breach of this Agreement shall include, but not be limited to, any of the following: failure to perform required services or duties, willful destruction of City's property by Contractor, dishonesty or theft.

Termination by City for Convenience
TheCitymay also terminate theContractor'sperformanceunderthe Agreement, either in whole or in part, at its own discretion, or when conditions encountered during theWork make it impossibleorimpracticabletoproceed,orwhentheCityispreventedfromproceedingwiththe Agreement by act of God, by law, or by official action of a public authority, or upon a determination by the City that such termination is in the best interest and convenience of the City, or whenever the City is prohibited from completing the Work for any reason. The City shall provide no less than ten (10) calendar day’s written notice of its intent to terminate the Agreement for convenience, and shall endeavor to provide the Contractor with consultation with the City prior to termination.

Post-Termination Procedure
Upon receipt of a written notice of termination pursuant to either of the foregoing paragraphs, the Contractor shall:
#1..
- 16 -
9 a. Cease its work as directed in the notice of termination as of the termination date and see to it that its employees, subcontractors and agents are notified of such termination and act as specified in the notice of termination;
b. Terminate all orders and Subcontractors except as necessary to complete any portion of the Work that is not terminated; c. If directed in writing by the City to do so, assign all right, title and interest in subcontracts and materials in progress to City, in which case the City will have the right at its discretion to settle, or pay any or all claims arising out of the termination of such subcontractors but in no event shall recovery by any Contractor or subcontractor include lost profits for portions of the Work not completed or undertaken, including materials not delivered; d. Deliver or otherwise make available to the City all data, drawings, specifications, reports, estimates, summaries and such other information and material as may have been accumulated by the Contractor in performing the Work whether completed or in process; e. Settle outstanding liabilities and claims, subject to the approval of City;
f. Complete performance of such part of the Work as has not been terminated;
g. Take such other actions as may be necessary, or as may be directed by the City for the protection and preservation of the Work and/or property related to the Work;
h. The Contractor understands and agrees that City may, in City's sole #1..
- 17 -
10 discretion, refuse to pay Contractor for that portion of Contractor's services which were performed by Contractor on the project prior to the termination date and which remain unacceptable and/or not useful to City as of the termination date.

City will pay Contractor an amount based on the percentage of satisfactory work completed in accordance with the notice of termination. The final payment to theContractor after termination for convenience shall be limited to amounts due and owing under the Agreement at time of termination, including the following:
a. The cost of settling and paying valid claims arising out of the termination of the Work such as subcontractor agreements or contracts for materials;
b. The Agreement price allocable to the portion of the Work properly performed or goods supplied to the work site by the Contractor as of the date of termination, as determined in accordance with the notice of termination, reduced by any sums previously paid to the Contractor.

Authorization to Terminate Agreement
Termination of the Agreement may be invoked by the City Manager, or his/her designee, subject to the right of the Contractor to appeal the City Manager, or his/her designee’s, decision to the City Council. The Contractor shall appeal by notifying the City Clerk in writing within ten (10) calendar days of receipt of written notification from City of termination of the Agreement. In the event that termination of this Agreement is upheld by the City Council, any cessation of payment of delay claims, extended claims, Eichleay claims, or any other claims for delay shall be retroactive to the date of termination selected by the City Manager, or his/her designee.
#1..
- 18 -
11 12. COMPLIANCE WITH ALL LAWS:

CONTRACTOR hereby agrees that CONTRACTOR and its subcontractors, if any, in the performance of the work described, designated and shown upon the plans herein referred to, will comply with all federal, state, county and municipal laws, rules and regulations which may be applicable to the work herein contracted for, whether now in existence or hereafter adopted.

13. CONTRACT DOCUMENTS:

The complete contract between the parties hereto consists of this agreement and the following documents which are incorporated herein by this reference:
a. Resolution No. 2022-_______;
b. CONTRACTOR submittal;
c. RFB No. 2021-75 – Fire Safety System Services;
d. Insurance Certificates,
These documents include important legal requirements, procedures and restrictions and should be reviewed by CONTRACTOR. They are available for review during normal business hours in the Department of Finance, Purchasing Division). All documents specified above are intended to operate so that any work called for in any one and not mentioned in the other, or vice versa, is to be executed the same as if mentioned in all said documents.

14. NOTICES:

Any notice, payment or instrument required or permitted by this Contract to be given or delivered to either party shall be deemed to have been received when personally delivered, or one calendar week following deposit of the same in any United States Post Office, registered or certified mail, postage prepaid, addressed as follows:

CONTRACTOR: The BGR Group LLC
2784 Homestead Rd, Unit 299
Santa Clara, CA 95051
#1..
- 19 -
12 CITY: City of Modesto
Purchasing Division
P.O. Box 642
Modesto, CA 95353
Each party may change its address for delivery of notice by delivering written notice of such change of address to the other party.

15. SIGNATOR(IES) FOR CONTRACTOR:

The undersigned signator(ies) for CONTRACTOR warrant(s) and represent(s) that he/she/they is/are legally competent to execute the contract and has/have full authority to execute this contract.

16. ASSIGNMENT:

Neither this agreement nor any portion thereof shall be subcontracted or assigned without the written consent of the CITY in each and every instance.

17. WAIVER:

The waiver by any party to this Agreement of a breach of any provision hereof shall be in writing and shall not operate or be construed as a waiver of any other or subsequent breach hereof unless specifically stated in writing.

18. HEADINGS NOT CONTROLLING:

Headings used in the Agreement are for reference purposes only and shall not be considered in construing this Agreement.

19. MISCELLANEOUS:

Time is of the essence in every provision of this contract.

20. ENTIRE AGREEMENT:

This Agreement and its exhibits contain the entire understanding between CONTRACTOR and CITY. Additional or new terms contained in this Agreement which vary from CONTRACTOR’S proposal are controlling and are deemed accepted by CONTRACTOR #1..
- 20 -
13 by shipment of any article or other commencement of performance hereunder. All previous proposals, offers and communications relative to this Agreement, whether oral or written, are hereby superseded except to the extent that they have been incorporated into this Agreement. No future waiver or exception to any of the terms, conditions, and provisions of this Agreement shall be considered valid unless specifically agreed to in writing by all the parties.

21. PARTIAL INVALIDITY:

If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions shall nevertheless continue in full force without being impaired or invalidated in any way.

WITNESS WHEREOF, the CITY OF MODESTO, a municipal corporation, has authorized the execution of this Agreement in duplicate by its City Manager and attested by its City Clerk under authority of Resolution No. 2022-_______, adopted by the Council of the City of Modesto on the _____________ day of _____________________,2022 and _____________________has caused this Agreement to be duly executed. #1..
- 21 -
#1..
- 22 -
#1..
- 23 -
#1..
- 24 -
#1..
- 25 -
#1..
- 26 -
#1..
- 27 -
#1..
- 28 -
#1..
- 29 -

CITY OF MODESTO

COMMITTEE AGENDA REPORT
DATE OF MEETING:

January 12, 2022
Date: December 15, 2021
TO: Economic Development Committee
Sue Zwahlen, Chair
Chris Ricci, Vice-Chair
David Wright, Member
THROUGH: Joseph P. Lopez, City Manager
FROM: William Wong, Director of Utilities
SUBJECT: Sole Source Purchase Agreement with Xylem Water Solutions CONTACT: Monte Hamilton, Plant Maintenance Superintendent, [email protected], (209) 342-4505
DESCRIPTION:

Consider approving the Sole Source Purchase Agreement with Xylem Water Solutions, Charlotte, NC, for the procurement of Ultraviolet (UV) lamps and parts for an estimated annual amount of $50,000 and a total amount not to exceed $250,000 over five years, and authorizing the Director of Finance, or her designee, the ability to add parts based on the department’s needs, ensuring the total amount does not exceed the authorized total, and forwarding to Council for approval. (Funding Source: Wastewater Fund) STRATEGIC PLAN ELEMENT:

The recommended action supports the 2020-2025 City of Modesto Strategic Plan Initiatives, Goal D: Provide safe, efficient, and reliable infrastructure through proactive community investment, maintenance, and sustainability efforts.
.

BACKGROUND:

The City uses a tertiary treatment process for its wastewater, which utilizes several different types of equipment requiring specific parts that are only available from a single vendor. On November 23, 2021, staff brought to City Council an agreement with Trojan UV for the purchase of UV lamps for the Phase 2 Tertiary Plant. The Phase 1 of Tertiary Treatment process also uses similar UV lamps as part of the disinfection of wastewater, but under a separate vendor.

These lamps have a lifetime of 12,000 hours each; there are currently 120 lamps that are ordered through Xylem Water Solutions USA Inc., Charlotte, NC, (Xylem).

The UV lamps at Phase 1 are a specialized system component that must be purchased and contracted from a Wedeco supplier in order to meet equipment specifications and maintain equipment performance. Xylem is the sole distributor for Wedeco parts. #2..
- 30 -
Economic Development Committee, January 12, 2022
Sole Source Purchase Agreement with Xylem Water Solutions

Page 2 of 2 ends

On March 7, 2017, by Resolution 2017-94, Council authorized a two-year agreement with three one-year extension options for the sole source procurement of UV lamps with Xylem for an average estimated annual cost of $39,392 and over five years of $198,556.

The annual agreement no. 122593 with Xylem is set to expire on March 6, 2022.

DISCUSSION:

For the reasons stated above, staff is seeking to establish a new two-year agreement with three one-year extension options for the sole source procurement of UV lamps and parts for the Phase 1 Tertiary Treatment Plant.

Modesto Municipal Code Section 8-3.203 generally requires all purchases, in excess of fifty thousand dollars ($50,000) to follow formal bid procedures. However, MMC Section 8-3.204(b) provides that a purchase may be exempted from the City’s formal bidding requirement where the Purchasing Agency’s requirements can be met solely by a single article or process.

Additionally, the purchase of UV lamps and parts from Xylem should be exempt from the formal bidding procedure in accordance with Modesto Municipal Code 8-3.204(b) because Xylem is the sole distributor for Wedeco parts. Therefore, this purchase qualifies for exemption from the formal bidding procedures.

FISCAL IMPACTS:

Expenditures over the past five years under the previous agreement are listed below:

Year Total
Year 1 $34,561
Year 2 $1,896
Year 3 $72,283
Year 4 $41,926
Year 5 $8,391
Grand TOTAL $159,057
Funds to cover the costs associated with this agreement will be budgeted annually in the Wastewater Fund in account 4210-44316-53150.

Approved by: _________________________________________
William Wong, Director of Utilities
Joseph P. Lopez, City Manager
Attachments:

1. Bid Waiver

2. Annual Agreement

3. Financial Interest Disclosure
#2..
- 31 -
#2..
- 32 -
#2..
- 33 -
#2..
- 34 -
1 CITY OF MODESTO

PURCHASING DIVISION
1010 TENTH ST., SUITE 5300
MODESTO, CA 95354
TEL: (209) 577-5405 FAX: (209) 544-8821
PURCHASE AGREEMENT NO. 213590
VENDOR:

XYLEM WATER SOLUTIONS,
WEDECO
14125 S. BRIDGE CIRCLE
CHARLOTTE, NC 28273
SHIP TO:

JENNINGS PLANT MAINTENANCE
7007 JENNINGS ROAD
MODESTO, CA 95358
INVOICE TO:

CITY OF MODESTO

ACCOUNTS PAYABLE
P.O. BOX 642
MODESTO, CA 95353

ANNUAL AGREEMENT FOR THE PURCHASE AND DELIVERY OF WEDECO ULTRAVIOLET (UV) LAMPS AND PARTS ON AN “AS NEEDED” BASIS FOR THE UTILITIES DEPARTMENT, WASTEWATER DIVISION.

ESTIMATED ANNUAL AMOUNT $50,000 PER YEAR AND A TOTAL NOT TO EXCEED OVER FIVE (5) YEARS $250,000, PER COUNCIL RESOLUTION 2022-____________

1. TERM OF THE AGREEMENT: THE TERM OF THE AGREEMENT SHALL BE FOR A PERIOD OF TWO (2) YEAR WITH THREE (3) ONE-YEAR EXTENSION OPTIONS AT THE SOLE DISCRETION OF CITY, FOR A TOTAL OF UP TO FIVE (5) YEARS.

YEAR ONE: MARCH 7, 2022 THROUGH MARCH 6, 2023
YEAR TWO: MARCH 7, 2023 THROUGH MARCH 6, 2024
YEAR THREE:

YEAR FOUR:

YEAR FIVE:

MARCH 7, 2024 THROUGH MARCH 6, 2025
MARCH 7, 2025 THROUGH MARCH 6, 2026
MARCH 7, 2026 THROUGH MARCH 6, 2027

2. PRICING SHALL REMAIN FIRM FOR THE FIRST TWO (2) YEARS OF THE AGREEMENT.

PRICE INCREASES FOR SUBSEQUENT YEARS THREE (3), FOUR (4) AND FIVE (5) SHALL NOT EXCEED THE CONSUMER PRICE INDEX (CPI) FOR WEST URBAN AREA IN ANY ONE (1) AGREEMENT YEAR, UNLESS

ACCEPTABLE SUPPORTING DOCUMENTATION IS PROVIDED TO SUBSTANTIATE INCREASE BY THE MANUFACTURE AND APPROVED BY THE PURCHASING DEPARTMENT.
#2..
- 35 -
2 REQUESTS FOR PRICE INCREASES SHALL BE SUBMITTED BY CONTRACTOR IN WRITING, SIXTY (60) DAYS

PRIOR TO THE ANNUAL ANNIVERSARY DATE OF THE AGREEMENT TO BE EFFECTIVE FOR THE SUBSEQUENT YEAR.

REFER TO ATTACHMENT “A” FOR CONTRACTUAL PRICING

3. USAGE: NO MINIMUM OR MAXIMUM QUANTITIES ARE GUARANTEED OR IMPLIED.

4. DELIVERY: DELIVERIES SHALL BE MADE WITHIN TEN-FIFTEEN (10-15) WORKING DAYS AFTER AN ORDER IS PLACED. IF THE DELIVERY CANNOT BE MADE WITHIN THIS TIME FRAME, VENDOR SHALL IMMEDIATELY NOTIFY THE CITY BY PHONE WITH THE ANTICIPATED DELIVERY DATE.

CONTACT REPRESENTATIVE: MONTE HAMILTON, PH: (209) 652-9676

5. PAYMENT: ALL INVOICES SHALL BE PAID IN FULL WITHIN THIRTY (30) DAYS AFTER COMPLETION AND ACCEPTANCE OF THE ORDER BY THE CITY, AND RECEIPT OF A PROPERLY PREPARED INVOICE.

6. INVOICING: INVOICE SHALL REFERENCE AGREEMENT NO. 213590. THE INVOICE SHALL INCLUDE THE FIRST AND LAST NAME OF THE PERSON REQUESTING THE ORDER. ALL INVOICES SHALL BE EMAILED DIRECTLY TO ACCOUNTS PAYABLE AT [email protected]. ALL INVOICES SHALL REFERENCE STOCK NUMBER LISTED ON PRICING SCHEDULE.

7. CONTRACTUAL CHANGES: CHANGES OF A CONTRACTUAL OR BUSINESS NATURE SHALL BE EFFECTED

ONLY BY WRITTEN CHANGE TO THIS AGREEMENT THROUGH THE CITY OF MODESTO, PURCHASING DIVISION.

PURCHASING: CAROL WATTLE, BUYER, PH: (209) 577-5406

8. TERMINATION OF SERVICES: THE CITY RESERVES THE RIGHT TO DISCONTINUE SERVICES WITH THE

PROVIDER UPON FAILURE TO MEET CONTRACTUAL EXPECTATIONS AND/OR OBLIGATIONS, AS RECOMMENDED BY THE SITE SUPERVISOR OR HIS/HER AGENT.

CANCELLATION OF SERVICES SHALL BE DETERMINED BY THE COLLABORATIVE EFFORTS OF THE

PURCHASING MANAGER, OR DESIGNEE, AND USING DEPARTMENT AFTER REVIEWING THE INCIDENT(S) OF FAILURE TO PERFORM.

9. INSPECTION: ALL MATERIALS AND WORKMANSHIP ARE SUBJECT TO INSPECTION AND TEST BY THE CITY

FOR COMPLIANCE WITH SPECIFICATIONS AS INCLUDED HEREIN, WITHIN A REASONABLE TIME AFTER DELIVERY. IN THE EVENT ARTICLES OR SERVICES ARE DEFECTIVE OR NOT IN CONFORMITY WITH THIS ORDER, THE CITY SHALL HAVE THE RIGHTS TO EITHER REJECT THE ITEMS OR REQUIRE CORRECTION.

DEFECTIVE ARTICLES OR SERVICES SHALL BE REMOVED FROM CITY PREMISES AND/OR CORRECTED BY AND AT THE EXPENSE OF THE VENDOR. FAILURE TO INSPECT AND ACCEPT OR REJECT SHALL NOT RELIEVE THE VENDOR FROM RESPONSIBILITY FOR COMPLIANCE WITH SPECIFICATIONS. FINAL

ACCEPTANCE SHALL BE CONCLUSIVE EXCEPT AS REGARDS TO LATENT DEFECTS, FRAUD, OR SUCH GROSS MISTAKES AS AMOUNT TO FRAUD.

10. RESPONSIBILITY: UNLESS OTHERWISE SPECIFIED, THE VENDOR SHALL BE RESPONSIBLE FOR ALL ITEMS

COVERED BY THIS PURCHASING AGREEMENT UNTIL DELIVERED AT THE DESIGNATED DELIVERY POINT

AND THE VENDOR SHALL BEAR ALL RISKS AS TO ITEMS REJECTED OR REQUIRING CORRECTION AFTER NOTICE OF SUCH REJECTION OR CORRECTION IS GIVEN.

11. SHIPMENT: ALL ITEMS F.O.B. DESTINATION UNLESS OTHERWISE SPECIFIED. WHEN AUTHORIZED, FREIGHT TO BE PREPAID. DO NOT SHIP COLLECT. ORIGINAL RECEIPTED FREIGHT BILL MUST ACCOMPANY THE INVOICE. SHIPMENT MUST BE MADE WITHIN THE TIME STATED ON PURCHASING AGREEMENT, FAILING

WHICH CITY RESERVES THE RIGHT TO PURCHASE ELSEWHERE AND CHARGE VENDOR WITH ANY LOSS

INCURRED, UNLESS DELAY IN MAKING SHIPMENT IS DUE TO UNFORESEEABLE CAUSES BEYOND THE CONTROL AND WITHOUT THE FAULT OR NEGLIGENCE OF THE VENDOR.

12. CHANGES: THIS PURCHASING AGREEMENT MAY AT ANY TIME, BY WRITTEN ORDER, BE CHANGED IN

REGARD TO THE MATERIALS OR SERVICE TO BE FURNISHED, QUANTITIES ORDERED, UNIT PRICE, #2..
- 36 -
3 DISCOUNT, DELIVERY POINT OR ARRANGEMENTS, TERMS OR ANY OTHER MATTERS AFFECTING A VALID ORDER. IN THE EVENT SUCH CHANGE CAUSES AN INCREASE OR DECREASE IN THE COST OF

PERFORMANCE HEREUNDER, AN EQUITABLE ADJUSTMENT WILL BE MADE FOR THE COST THEREOF, SUBJECT TO THE APPROVAL OF THE PURCHASING MANAGER, AND WRITTEN NOTICE GIVEN THEREFORE.

13. WARRANTY: NOTWITHSTANDING ANY OTHER PROVISIONS OF THE ORDER, VENDOR WARRANTS THAT

THE MATERIALS, SUPPLIES OR OTHER SERVICES FURNISHED SHALL BE OF THE MOST SUITABLE GRADE AND EXACTLY AS SPECIFIED IN THIS ORDER. SUCH WARRANTY SHALL INCLUDE THE FOLLOWING:

PERFORMANCE, WORKMANSHIP, LABOR, MATERIALS, SELLER’S DESIGN OR ENGINEERING CONTRIBUTIONS. IF A DEFECT IS DISCOVERED IN ANY ITEM OF MATERIALS, SUPPLIES OR SERVICES

COVERED IN THIS AGREEMENT, VENDOR SHALL CORRECT AT ITS EXPENSE, INCLUDING

TRANSPORTATION/FREIGHT, SUCH DEFECTS AS ARE REPORTED WITHIN ONE YEAR OF FINAL ACCEPTANCE. UPON EXPIRATION OF THE APPLICABLE WARRANTY PERIOD ALL SUCH LIABILITY SHALL

TERMINATE EXCEPT FOR FRAUD OR SUCH GROSS MISTAKES AS AMOUNT TO FRAUD, LATENT DEFECTS OR SPECIFIC FAILURE TO COMPLY WITH THE TERMS OF THIS ORDER.

14. DISCOUNT: IN CONNECTION WITH ANY DISCOUNT OFFERED, TIME WILL BE COMPUTED FROM DATE OF

DELIVERY TO CARRIER WHEN DELIVERY AND ACCEPTANCE ARE AT POINT OF ORIGIN, OR FROM DATE OF

DELIVERY AND ACCEPTANCE IF AT DESTINATION OR FROM DATE CORRECT INVOICE IS RECEIVED BY CITY, IF INVOICE DATE IS LATER THAN DATE OF DELIVERY.

15. INSURANCE: ALL ORDERS WHERE WORK, MAINTENANCE, OR SERVICE IS PERFORMED ON CITY PROPERTY REQUIRE APPROPRIATE INSURANCE AND INDEMNIFICATION. SERVICES WILL BE SUSPENDED WITHOUT PROPER INSURANCE CERTIFICATES BEING ON FILE WITH THE CITY. CONTACT CITY PURCHASING OFFICE TO VERIFY THE TYPE OF INSURANCE REQUIRED.

16. EXEMPTIONS: THE CITY IS EXEMPT FROM PAYMENT OF FEDERAL EXCISE TAX. ALL INVOICES SHALL BE EXCLUSIVE OF SUCH EXCISE TAX. IF PURCHASE IS NOT SUBJECT TO SALES TAX, THE STATEMENT FOR RESALE WILL APPEAR IN THE BODY OF THE PURCHASING AGREEMENT.

17. INFRINGEMENT: VENDOR AGREES TO PROTECT, INDEMNIFY AND SAVE HARMLESS THE CITY AS BUYER,

ITS AGENTS, OFFICERS, EMPLOYEES, AND VOLUNTEERS FROM ANY CLAIM, LOSS OR DAMAGE FROM

INFRINGEMENT OF TRADEMARKS, PATENTS, COPYRIGHTS AND UNFAIR COMPETITION ACTION WITH RESPECT TO THIS AGREEMENT.

18. INDEMNITY: THE VENDOR SHALL HOLD THE CITY, ITS AGENTS, OFFICERS, EMPLOYEES, AND

VOLUNTEERS, HARMLESS FROM AND SAVE, DEFEND AND INDEMNIFY THEM AGAINST ANY AND ALL

CLAIMS, LOSSES, LIABILITIES, JUDGMENTS OR DAMAGES FROM EVERY CAUSE, INCLUDING BUT NOT

LIMITED TO INJURY TO PERSON OR PROPERTY OR WRONGFUL DEATH, INCLUDING REASONABLE COSTS

AND EXPENSES OF DEFENSE OF ANY JUDICIAL OR ADMINISTRATIVE ACTION, ARISING DIRECTLY OR

INDIRECTLY OUT OF ANY NEGLIGENT OR INTENTIONAL ACT OR OMISSION OF VENDOR, OR ITS AGENTS,

OFFICERS, EMPLOYEES, OR VOLUNTEERS RELATING TO OR DURING THE PERFORMANCE OF ITS OBLIGATIONS UNDER THIS AGREEMENT. VENDOR’S OBLIGATION TO DEFEND, INDEMNIFY, AND HOLD THE

CITY, ITS AGENTS, OFFICERS, AND EMPLOYEES HARMLESS UNDER THE PROVISIONS OF THIS PARAGRAPH

IS NOT LIMITED TO OR RESTRICTED BY ANY REQUIREMENT IN THIS AGREEMENT FOR VENDOR TO PROCURE AND MAINTAIN A POLICY OF INSURANCE. IN THE INDEMNITY CLAUSE CONTAINED HEREIN

VENDOR AGREES TO DEFEND, INDEMNIFY AND HOLD CITY HARMLESS FROM THE NEGLIGENCE OF ITS EMPLOYEES, AMONG OTHER RISKS. WITH REFERENCE TO THE FOREGOING, THE PARTIES AGREE THAT

ALL RISK OF LOSS, INCLUDING BUT NOT LIMITED TO DAMAGES, PROPERTY LOSSES AND DEFENSE OF

THIRD-PARTY SUITS, ARISING OUT OF OR RELATING TO THE OPERATION OF CITY OWNED VEHICLES BY VENDOR’S EMPLOYEES IS APPORTIONED TO VENDOR IN ACCORDANCE WITH THE PROVISIONS CONTAINED IN INDEMNITY.

19. GOVERNING LAW: THIS PURCHASING AGREEMENT SHALL BE DEEMED MADE IN, GOVERNED BY,

PERFORMED IN, AND CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE LAWS OF THE STATE OF CALIFORNIA, U.S.A., WITHOUT GIVING EFFECT TO ITS CONFLICTS OF LAWS, PROVISIONS OR PRINCIPLES.

20. LIABILITY: THE CITY SHALL NOT BE RESPONSIBLE FOR ANY DAMAGE THAT MAY ACCRUE BY REASON OF THE DEATH OR INJURY OF THE PERSON OF THE VENDOR’S OFFICERS, AGENTS, EMPLOYEES, INVITEES, OR #2..
- 37 -
4 LICENSEES, OR BE SET UP AT ANY TIME BECAUSE OF PERSONAL INJURY OR DAMAGE TO PROPERTY

SUSTAINED BY ANY OTHER PERSON OR PERSONS, WHICH MAY HAVE BEEN CAUSED OR CONTRIBUTED TO,

APPROXIMATELY OR REMOTELY, BY REASON OF OR IN THE COURSE OF PERFORMANCE OF THE PURCHASING AGREEMENT. THE VENDOR SHALL ASSUME FULL RESPONSIBILITY FOR THE DEFENSE OF

ANY CLAIMS ARISING UNDER THE PURCHASING AGREEMENT AND THE VENDOR SHALL SAVE, KEEP, AND

BEAR HARMLESS THE CITY, ALL OFFICERS AND EMPLOYEES THEREOF, FROM ALL DAMAGES, COSTS, OR

EXPENSES BECAUSE OF PERSONAL INJURY OR PROPERTY DAMAGE BASED ON THE PERFORMANCE OF THIS PURCHASING AGREEMENT OR ASSERTED AGAINST IT.

21. DISPUTES: ALL DISPUTES CONCERNING QUESTIONS OF FACT WHICH MAY ARISE UNDER THIS

PURCHASING AGREEMENT, AND NOT DISPOSED OF BY MUTUAL CONSENT SHALL BE DECIDED BY THE PURCHASING MANAGER.

22. OFFER AND ACCEPTANCE: VENDOR REPRESENTS ITS ACCEPTANCE TO PROVIDE PRODUCTS AND/OR SERVICES AS FOLLOWS: CITY’S OFFER TO PURCHASE PRODUCTS AND/OR SERVICES IS EXPRESSLY CONDITIONED UPON VENDOR’S ASSENT TO THE TERMS AND CONDITIONS SET FORTH IN CITY’S PURCHASING AGREEMENT DOCUMENTS, SPECIFICATIONS, SUPPORTING DATA, AND THESE ARTICLES.

VENDOR AGREES THAT VENDOR’S ORDER ACKNOWLEDGMENT TERMS AND CONDITIONS RECEIVED PRIOR TO, DURING, OR AFTER ORDER PLACEMENT BY CITY ARE HEREBY REJECTED. CITY PURCHASING AGREEMENTS SIGNED BY THE CITY’S PURCHASING MANAGER OR HIS/HER DESIGNATED AGENT AND ISSUED TO VENDOR CONSTITUTE WRITTEN NOTIFICATION TO VENDOR OF CITY’S REJECTION OF ANY AND ALL VENDOR ORDER ACKNOWLEDGMENTS, COUNTER OFFERS AND CHANGES TO THE CITY’S TERMS AND CONDITIONS.

23. ASSIGNMENT: NEITHER THIS PURCHASING AGREEMENT NOR ANY PORTION THEREOF SHALL BE

SUBCONTRACTED OR ASSIGNED WITHOUT THE WRITTEN CONSENT OF THE CITY IN EACH AND EVERY INSTANCE.

24. MISCELLANEOUS: TIME IS OF THE ESSENCE IN EACH AND EVERY PROVISION OF THIS PURCHASING AGREEMENT.

#2..
- 38 -
5 ATTACHMENT A
ANNUAL PURCHASE AGREEMENT NO. 213590

WEDECO UV LAMPS
CONTRACTUAL PRICING – EFFECTIVE MARCH 7, 2022
Item Vendor No. Description Unit
Unit
Price
1 14-65 33 08 Kome IV, High UVT Setup per E Kome IV (DW) EA $1,049.00 2 76-03 51 68 UV Sensor SO13599-DW EA $1,220.00
3 76-610 34 08 Lamp, UV Ecoray ELR30-1 (XLR30) EA $218.00 4 76-04 10 53 Quartz Sleeve 48X2X2030 EA $508.00
5 76-70 24 33 K Reactor Sensor Tube W/Lens EA $337.00
6 76-76 01 43 Wiper Drive Assembly, Electric+ For LBX1000/BX1800 EA $4,891.00 7 76-760175 Spindle Assembly LBX750-1000 EA $3,653.00
8 76-03 73 33 Wiper Ring, PTFE 2 Twist EA $11.00
9 76-611 31 25 Headpiece O-Ring 46.99X5.33 EA $13.00
10 76-04 48 40 Ballast Ecoray TDS 55 EA $705.00
11 76-03 97 19 Ballast Interface Board EA $968.00
12 76-04 09 14 Coupling DIA For LBX750/1000 EA $390.00
13 76-04 41 66 Cable MKW5-24, 1-MKW5/S1828 5M Lamp Cable EA $243.00 14 76-611 14 50 Wiper Control Board UMC 300 (Needs to be Programmed) EA $1,320.00 15 76-611 38 36 Lamp connector EXT/Long EA $174.00
16 76-611 41 98 Wiper Ring TAK48 Viton EA $16.00
17 76-611 42 12 Wiper Assembly, BX/LBX/DURON Incls. End Stop, PTFE, Viton EA $44.00 PRICING IS F.O.B. DESTINATION, MODESTO, CA. ANY FREIGHT/DELIVERY CHARGES SHALL BE INCLUDED IN THE UNIT PRICE.

PRICING IS NET TO THE CITY, EXCLUSIVE OF FEDERAL EXCISE TAX, CALIFORNIA STATE, LOCAL, SALES AND USE TAX.

CITY OF MODESTO SALES TAX RATE 7.875%
PAYMENT TERMS: NET 30
VENDOR CONTACT: NAME JULIE ROPIC
PH: 704-409-9793
EMAIL: [email protected]
#2..
- 39 -
#2..
- 40 -
#2..
- 41 -
#2..
- 42 -
#2..
- 43 -

CITY OF MODESTO

COMMITTEE AGENDA REPORT
DATE OF MEETING:

January 12, 2022
Date: December 22, 2021
TO: Economic Development Committee
Sue Zwahlen, Chair
Chris Ricci, Vice-Chair
David Wright, Member
THROUGH: Joseph P. Lopez, City Manager
FROM: Jaylen French, Director of Community & Economic Development SUBJECT: Quarterly Permitting Efficiency Report
CONTACT: Oscar Diaz, Chief Building Official
[email protected], 209-571-5885
DESCRIPTION:

Consider accepting the April - June 2021 Permitting Efficiency Report. (Funding Source:

Development User Fees)
STRATEGIC PLAN ELEMENT:

The recommended action supports the City of Modesto’s 2020-2025 Strategic Plan Goal J, Build a High-Performance Organization, Strategy 3, Streamline the Development Review Process.

BACKGROUND:

The City of Modesto commissioned a study of the permitting process in an effort to identify strengths, seek improvements and create efficiencies. One of the recommendations made in the study was to provide more meaningful performance metrics related to permitting activity and identify opportunities for sharing with City leadership.

DISCUSSION:

As a result of a recent Moss Adams study on the building permitting process, a Permitting Efficiency Action Plan was developed by the Permitting Efficiency Task Force comprised of representatives from Building Safety, Planning, Fire Prevention, Land Development Engineering, Parks, Recreation & Neighborhoods, and Utilities. In response to enterprise solution #3 which was to “provide meaningful performance metrics to City leadership and customers”, the Action Plan proposed that quarterly reports be prepared and submitted to #3..
- 44 -
Economic Development Committee, January 12, 2022
Quarterly Permitting Efficiency Report

Page 2 of 3 ends

Directors and the Economic Development Committee. In order to measure the efficiency and effectiveness of the plan review process, the efficiency plan identified six key performance indicators for each of the types of plan reviews:
 Number of first reviews
 Average first review time
 Percentage of first review compliance to the performance standard  Number of resubmittals reviews
 Average resubmittal review time
 Percentage of resubmittal compliance to the performance standard Projects have a target value measured in calendar days. The plan reviews measured are new commercial buildings, new apartment buildings, commercial remodels, new single-family dwellings, and residential remodels.

Quarterly reviews of the performance measures represent a continual improvement process, and each report provides an opportunity to adjust and enhance efforts. The improvements will most likely be incremental as minor modifications are made with the ultimate goal of increasing the efficiency and transparency of the development review process.

While the majority of first reviews meet the established performance standards, resubmittals need a closer look. Previous efforts were focused on initial project reviews, perhaps to the detriment of the resubmittal review process. To ensure that the development review process is completed in a timely manner, the Development Review Team will reallocate time for resubmittal plan reviews. With the majority of missed goals showing in plan resubmittals to the Land Development Engineering Division, which also reviews Storm Water plans, a closer look at this division has revealed a potential cause. When looking at the staffing in this division, it was found that they lost two senior employees during this review period, which has contributed to its plan review shortcomings. To improve the overall efficiency of the Land Development Engineering Division, a third-party study of the division has begun.

The Review Team will continue to monitor projects to ensure that plan review expectations are being communicated effectively to reduce the number of resubmittals. Frequent meetings with designers and developers should be encouraged to assist with the submittal of quality plans and projects.

FISCAL IMPACT:

There is no fiscal impact associated with acceptance of the April-June 2021 Permitting Efficiency Report.

STAFF RECOMMENDATION:

Motion accepting the April-June 2021 Permitting Efficiency Report #3..
- 45 -
Economic Development Committee, January 12, 2022
Quarterly Permitting Efficiency Report

Page 3 of 3 ends

Approved by: ______________________
Jaylen French, Director of Community and
Economic Development
Joseph P. Lopez, City Manager
Attachments:

1. Permitting Efficiency Report
#3..
- 46 -
Permitting Efficiency Performance
APRIL-JUNE 2021
Development
Review
Team
#3..
- 47 -
Permitting Efficiency FY20-21 April-June Page 2
Introduction
The City of Modesto Development Review Team (comprised of staff from Building Safety, Planning, Fire, Land Development Engineering, Utilities, and Parks, Recreation, and Neighborhoods) is dedicated to an efficient, understandable, and timely review process as well as to outstanding customer service. The City of Modesto commissioned a study of the permitting process in an effort to identify strengths, seek improvements and create efficiencies. A ten-step action plan was developed in response to the recommendations resulting from the study which was compiled to ensure a comprehensive and timely review of all permits. The action plan was developed by the multiple Divisions that makeup the Development Review Team. On May 26, 2020, the City Council adopted the Action Plan and the key performance indicators proposed by the Permitting Efficiency Task Force.

Measurements for the desired results are derived from the current Tidemark permitting system.

Performance goals and benchmarks can be adjusted if necessary. The Key Performance Indicators (KPIs) are: Average plan review time for the various project types, the number of projects reviewed by each division, and the percentage of projects that meet the performance standard. The performance results are presented to Directors and the Economic Development Committee on a quarterly basis.

The 2020 City Council set the following performance standards:

Project Type 1
st Review Resubmittals
New Commercial Buildings and Sites 30 Calendar Days 15 Calendar Days New Apartments and Multifamily 30 Calendar Days 15 Calendar Days Commercial Remodels 21 Calendar Days 14 Calendar Days
New Single-Family Dwellings 21 Calendar Days 7 Calendar Days Residential Remodels 14 Calendar Days 7 Calendar Days
#3..
- 48 -
Permitting Efficiency FY20-21 April-June Page 3
New Commercial Buildings and Sites
4 4
1 1 1
0 0.5
1 1.5
2 2.5
3 3.5
4 4.5
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental Compliance
1st Reviews Count
The first review count chart measures the number of new commercial buildings or sites reviewed by each division. For this evaluation period, each division reviewed one to four plan sets (1.6 avg).

9.0 9.5 11.0

3.0 0.0

12.0 0.0

0.0 5.0

10.0 15.0

20.0 25.0

30.0 Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental
Compliance
Avg. Review Time
Avg. Review Days
The first review average review time is a measurement of the average number of days that it takes a division to review a plan set. New commercial buildings include retail buildings, warehouses, offices, etc.

The standard set by the 2020 City Council is 30 days.
#3..
- 49 -
Permitting Efficiency FY20-21 April-June Page 4
100% 100% 100% 100% 100% 100% 100%
0%
20%
40%
60%
80%
100%
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental Compliance
1st Review Expectations Met
The first review expectations met chart measures the percentage of time that a division successfully meets the expectations set by Council for new commercial buildings (30 days). The goal is 100 percent compliance but staffing levels and conflicting priorities can present challenges. 10 13
5 3 3
1 0
2 4
6 8
10 12
14 Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental Compliance
Resubmittals Count
The resubmittals count chart measures the number of new commercial buildings or sites resubmitted for review by each division. A high number of resubmittals compared to the number of first submittals sometimes indicates difficulty in obtaining compliance on the plans and multiple rounds of plan reviews.

For this evaluation period, each division reviewed an average of five resubmittals, with Fire having the most at thirteen (13) resubmittals followed by Building Safety with ten (10) resubmittals. #3..
- 50 -
Permitting Efficiency FY20-21 April-June Page 5

6.4 3.46

12.8 19
9 16
0 4
8 12
16 20
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental Compliance
Resubmittals Avg Review Days
The resubmittals average review time is a measurement of the average number of days that it takes a division to review a resubmitted plan set. The 2020 City Council set a standard of 15 days for a resubmittal.
100% 100% 100%
80%
33%
66%
0%
20%
40%
60%
80%
100%
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental Compliance
Resubmittals Compliance
The resubmittals expectations chart measures the percentage of time that a division successfully meets the expectations set by 2020 City Council for resubmitted new commercial buildings (15 days). #3..
- 51 -
Permitting Efficiency FY20-21 April-June Page 6
New Multifamily Projects
14 1 1 1 1
0 2
4 6
8 10
12 14
16 Building Safety Fire Planning Landscaping LDE Storm Water 1st Reviews Count
The first review count chart measures the number of new multifamily buildings or sites reviewed by each division. For this evaluation period, each division reviewed one multifamily project, with Building Safety issuing fourteen (14) building permits.

5.4 13.0

29.0 29.0

22.0 0.0

5.0 10.0

15.0 20.0

25.0 30.0

35.0 Building Safety Fire Planning Landscaping LDE Storm Water 1st Review Avg Review Time
The first review average review time is a measurement of the average number of days that it takes a division to conduct an initial review of a new multifamily project. #3..
- 52 -
Permitting Efficiency FY20-21 April-June Page 7
100% 100% 100% 100% 100% 100%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Building
Safety
Fire Planning Landscaping LDE Storm
Water
1st Review Expectations Met
The first review expectations met chart measures the percentage of time that a division successfully meets the expectations set by 2020 City Council for new multifamily buildings (30 days). 4 8
4 7
4 0
1 2
3 4
5 6
7 8
9 Building Safety Fire Planning Landscaping LDE Storm Water Resubmittals Count
The resubmittals count chart measures the number of multifamily buildings or sites resubmitted for review by each division. A high number of resubmittals compared to the number of first submittals sometimes indicates difficulty in obtaining compliance on the plans and multiple rounds of plan reviews. #3..
- 53 -
Permitting Efficiency FY20-21 April-June Page 8
5 1.88 1
9 35.8
0 5
10 15
20 25
30 35
40 Building Safety Fire Planning Landscaping LDE Storm Water Resubmittal Avg Review Days
The resubmittals average review time is a measurement of the average number of days that it takes a division to review a resubmitted plan set. Resubmittals typically take less time than first submittals because plan checkers are mostly verifying that previously identified issues are resolved. During this quarter, retirements and staffing duty changes likely explain high Store Water review times. 100% 100% 100% 100%
57%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Building
Safety
Fire Planning Landscaping LDE Storm
Water
Resubmittals Expectations Met
The resubmittals expectations chart measures the percentage of time that a division successfully meets the expectations set by 2020 City Council for resubmitted multifamily buildings (15 days). The goal is to meet the expectation 100 percent of the time but staffing levels and conflicting priorities can present challenges.
#3..
- 54 -
Permitting Efficiency FY20-21 April-June Page 9
Commercial Remodels
42 37
15 0
17 3
10 0
5 10
15 20
25 30
35 40
45 Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental
Compliance
1st Reviews Count
The first review count chart measures the number of commercial remodels reviewed by each division.

Commercial remodels are usually interior work only so Building Safety and Fire Prevention will review significantly more plans than land-based divisions.

7.3 6.0

7.5 17.5 17.3

10.3 0.0

2.0 4.0

6.0 8.0

10.0 12.0

14.0 16.0

18.0 20.0
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental
Compliance
1st Review Avg Review Time
The first review average review time is a measurement of the average number of days that it takes a division to review a plan set. The standard set by 2020 City Council is 21 days. #3..
- 55 -
Permitting Efficiency FY20-21 April-June Page 10
93%
100%
87%
100%
65%
100%
80%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental
Compliance
1st Review Expectations Met
The first review expectations met chart measures the percentage of time that a division successfully meets the expectations set by the 2020 City Council for commercial remodels (21 days). The goal is to meet the expectation 100 percent of the time but staffing levels and conflicting priorities can present challenges.
35 32
3 2 2
4 0
5 10
15 20
25 30
35 40
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental
Compliance
Resubmittals Count
The resubmittals count chart measures the number of commercial remodels resubmitted for review by each division. A high number of resubmittals compared to the number of first submittals sometimes indicates difficulty in obtaining compliance on the plans and multiple rounds of plan reviews. #3..
- 56 -
Permitting Efficiency FY20-21 April-June Page 11

4.71 5.47
0 10.67
19 18

4.5 0
2 4
6 8
10 12
14 16
18 20
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental
Compliance
Resubmittal Avg Review Days
The resubmittals average review time is a measurement of the average number of days that it takes a division to review a resubmitted plan set.
97% 97% 100%
67%
50% 50%
100%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Building Safety
Fire
Planning
Landscaping
LDE
Storm Water
Environmental
Compliance
Resubmittals Expectations Met
The resubmittals expectations chart measures the percentage of time that a division successfully meets the expectations set by 2020 City Council for resubmitted commercial remodels (14 days). The goal is to meet the expectation 100 percent of the time but staffing levels and conflicting priorities can present challenges.
#3..
- 57 -
Permitting Efficiency FY20-21 April-June Page 12
New SFDs Including ADUs
41 6
28 8
0 5
10 15
20 25
30 35
40 45
Building
Safety
Fire Planning Landscaping LDE
1st Reviews Count
The first review count chart measures the number of Single-Family Dwellings reviewed by each division.

Residential units are not required to have grease interceptors so Environmental Compliance does not review these types of projects.

16.4 16.5

17.6 0.0

5.0 10.0

15.0 20.0
Building
Safety
Fire Planning Landscaping LDE
1st Review Avg Review Time
The first review average review time is a measurement of the average number of days that it takes a division to review a plan set. The standard set by the 2020 City Council is 21 days. #3..
- 58 -
Permitting Efficiency FY20-21 April-June Page 13
93%
82%
99% 100%
63%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Building
Safety
Fire Planning Landscaping LDE
1st Review Expectations Met
The first review expectations met chart measures the percentage of time that a division successfully meets the expectations set by the 2020 City Council for review of new single-family dwellings (21 days).

The goal is to meet the expectation 100% of the time but staffing levels and conflicting priorities can present challenges.
9 6
7 3
0 1
2 3
4 5
6 7
8 9
10 Building
Safety
Fire Planning Landscaping LDE
Resubmittals Count
The resubmittals count chart measures the number of new single-family dwelling plans resubmitted for review by each division. A high number of resubmittals compared to the number of first submittals sometimes indicates difficulty in obtaining compliance on the plans and multiple rounds of plan reviews. #3..
- 59 -
Permitting Efficiency FY20-21 April-June Page 14

13.38 3

10.43 14
0 2
4 6
8 10
12 14
16 Building
Safety
Fire Planning Landscaping LDE
Resubmittal Avg Review Days
The resubmittals average review time is a measurement of the average number of days that it takes a division to review a resubmitted plan set. A high average review time along with a high number of resubmittals can be an indication of a bottleneck in the plan review process. The standard set by the 2020 City Council is 7 days.
93%
82%
99% 100%
63%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Building
Safety
Fire Planning Landscaping LDE
1st Review Expectations Met
The resubmittals expectations chart measures the percentage of time that a division successfully meets the expectations set by the 2020 City Council for resubmitted new residential plans (7 days). The goal is to meet the expectation 100 percent of the time but staffing levels and conflicting priorities can present challenges.
#3..
- 60 -
Permitting Efficiency FY20-21 April-June Page 15
Residential Remodels
131
3 33
14 0
20 40
60 80
100
120
140
Building Safety Fire Planning LDE
1st Reviews Count
The first review count chart measures the number of residential remodels reviewed by each division.

Residential units are not required to have grease interceptors so Environmental Compliance does not review these types of projects.

7.2 7.5

11.6 15.6

0.0 2.0

4.0 6.0

8.0 10.0

12.0 14.0

16.0 18.0
Building Safety Fire Planning LDE
1st Review Avg Review Time
The first review average review time is a measurement of the average number of days that it takes a division to review a plan set. The standard set by the 2020 City Council is 14 days. #3..
- 61 -
Permitting Efficiency FY20-21 April-June Page 16
75%
67%
76%
43%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Building Safety Fire Planning LDE
1st Review Expectations Met
The first review expectations met chart measures the percentage of time that a division successfully meets the expectations set by the 2020 City Council for review of residential remodels (14 days). The goal is to meet the expectation 100% of the time but staffing levels and conflicting priorities can present challenges.
17 2
1 0
2 4
6 8
10 12
14 16
18 Building Safety Fire Planning LDE
Resubmittals Count
The resubmittals count chart measures the number of residential remodel plans resubmitted for review by each division. A high number of resubmittals compared to the number of first submittals sometimes indicates difficulty in obtaining compliance on the plans and multiple rounds of plan reviews. #3..
- 62 -
Permitting Efficiency FY20-21 April-June Page 17

9.8 2
20 0
5 10
15 20
25 Building Safety Fire Planning LDE
Resubmittal Avg Review Days
The resubmittals average review time is a measurement of the average number of days that it takes a division to review a resubmitted plan set. As with other types of projects a high average review time along with a high number of resubmittals can be an indication of a bottleneck in the plan review process. The standard set by the 2020 City Council is 7 days.
65%
100% 100% 100%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Building Safety Fire Planning LDE
Resubmittals Expectations Met
The resubmittals expectations chart measures the percentage of time that a division successfully meets the expectations set by the 2020 City Council for resubmitted residential remodels (7 days). The goal is to meet the expectation 100 percent of the time but staffing levels and conflicting priorities can present challenges.
#3..
- 63 -
Permitting Efficiency FY20-21 April-June Page 18
Analysis
While the majority of first reviews meet the established performance standards, resubmittals need a closer look. Previous efforts were focused on initial project reviews, perhaps to the detriment of the resubmittal review process. To ensure that the development review process is completed in a timely manner, the Development Review Team will reallocate time for resubmittal plan reviews.

With the majority of missed goals showing in plan resubmittals to the Land Development Engineering Division, which also reviews Storm Water plans, a closer look at this division has revealed a potential cause. When looking at the staffing in this division, it was found that they lost two senior employees during this review period, which has contributed to its plan review shortcomings. To improve the overall efficiency of the Land Development Engineering Division, a third-party study of the division has begun.

Quarterly reviews of the established performance measures promote improvements in the development review process and each report provides an opportunity to adjust and enhance efforts. The improvements will most likely be incremental as minor modifications are made with the ultimate goal of increasing the efficiency and transparency of the development review process. #3..
- 64 -

Economic Development CommitteeJanuary 12, 2022

Economic Development Committee
January 12, 2022