AMENDMENT NO. 3 TO
PROFESSIONAL SERVICES AGREEMENT
PROVISION OF SB 1383 CONTRACTING ASSISTANCE SERVICES WITH
HF&H CONSULTANTS, LLC
This Amendment No. 3 ("Amendment") to Professional Services Agreement is made and entered into effective the 20th day of February, 2024, by and between the CITY OF PLACENTIA, a Charter City and Municipal Corporation ("CITY"), and HF&H CONSULTANTS, LLC, a California Limited Liability corporation (hereinafter "CONSULTANT"). CITY and CONSULTANT are sometimes hereinafter individually referred to as "Party" and or collectively referred to as the "Parties."
A. Recitals.
(i) CITY and CONSULTANT entered into a Professional Services Agreement ("Agreement") effective July 1, 2020, through which CONSULTANT has been providing professional services as more fully explained in the Scope of Services attached to the Agreement as Exhibit "A".
(ii) The Parties now seek to amend the Agreement to increase the compensation by an additional $35,000 and to extend the termination date of the Agreement to June 30, 3025 for additional consulting services related to SB 1383 compliance assistance and contract negotiations.
(iii) All legal prerequisites to the making of this Amendment have occurred.
NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth herein, the Parties agree as follows:
B. Amendment to Agreement.
1. Section 2.0, Paragraph 2.1 and Section 4.0, Paragraph 1 of the Agreement is hereby amended to read as follows:
2.1. Compensation. Consultant shall be paid in accordance with the revised fee schedule set forth in Exhibit "A". Consultant's total compensation shall not exceed One Hundred Fifty -Four Thousand Nine Hundred and Ninety -Nine Dollars ($154,999).
4.1. Term. This Agreement shall commence on the Effective Date and continue for a period of 60 months, ending on June 30, 2025, unless previously terminated as provided herein or as otherwise agreed to in writing by the parties.
2. Except as specifically modified herein, all of the terms, conditions and provisions of the Agreement shall remain in full force and effect.
3. The Agreement, all amendments together with this Amendment No. 3 and all Exhibits attached thereto, constitutes the entire Agreement between the Parties and supersedes all prior negotiations, arrangements, representations, and understandings, if any, made by or between the Parties with respect to the subject matter hereof. No amendment or other modification of the Agreement, as modified by this Amendment No. 3 shall be binding unless executed in writing by both Parties hereto, or their respective successors, assigns, or grantees.
4. Each of the undersigned represents and warrants that he or she is duly authorized to execute and deliver this Amendment No. 3 and that such execution is binding upon the entity for which he or she is executing this document.
IN WITNESS WHEREOF, the Parties have caused Amendment No. 3 to the Consulting Services Agreement are to be executed as of the day and year first above written.
CONSULTANT CITY OF PLACENTIA
By: By:
Laith Ezzet Damien R. Arrula
Senior Vice President City Administrator
ATTEST:
By:
Robert S. McKinnell, City Clerk
APPROVED AS TO FORM:
By:
Christian L. Bettenhausen, City Attorney
HF H CONSULTANTS LLC
2081 Business Center Drive, Suite 265
Irvine, California 92612
Telephone: 925/977-6950
www.hfh-consultants.com
MEMORANDUM
Managing Tomorrow's Resources Today
Robert D. Hilton, Emeritus
John W. Farnkopf, PE
Laith B. Ezzet, CMC
Richard J. Simonson, CMC
Marva M. Sheehan, CPA
Robert C. Hilton, CMC
Date: January 31, 2024
To: Luis Estevez, Deputy City Administrator, City of Placentia From: Laith Ezzet and Haley Kunert, HF&H Consultants, LLC Subject: Solid Waste Contract Negotiations Project Status and Budget Update The City of Placentia (City) approved an agreement with HF&H Consultants, LLC (HF&H) effective July 1, 2020, to assist the City with development of a contract profile and Senate Bill (SB) 1383 Gap Analysis for an amount not to exceed $24,999. Upon completion of the initial phase of the project, the City amended the original agreement (Amendment 1) on April 6, 2021, to add an additional $95,000 to assist the City in negotiating an updated solid waste agreement with Republic Services (Republic) and ordinance support.
The total project cost was updated to reflect the amended amount bring the new budget total to $119,999. In December of 2022, the original agreement was amended to extend the term of to June 30, 2024 (Amendment 2).
The contract negotiations were anticipated to address the requirements of SB 1383 which includes significant enhancements to current organics recycling programs, as well as modernize the agreement to align with current industry standards. Initially, the project schedule was projected to take 10 months. The City and Republic have been unable to reach agreement on rates and terms, and as a result the negotiations have been extended and ongoing and are now in the third year. Additionally, key members of the Republic negotiating team have been replaced which has added time and additional cost to the project. HF&H has provided a draft amended and restated agreement, analyzed multiple cost proposals, participated in ten negotiation sessions, and has been readily available to assist in Ad Hoc Committee meetings (upon City request). As of January 25, 2024 services, the remaining budget is $15,295.75.
The remaining anticipated tasks to complete the negotiations are as follows:
• Schedule meetings and maintain tracking of negotiation progress; • Prepare for and participate in additional negotiations sessions with City and Republic staff; • Draft and develop additional contract language based on negotiated terms; • Update rate adjustment section and supplemental agreement exhibit in alignment with the Ad Hoc Committees determination;
• Review and analyze additional cost proposals submitted by Republic; • Run additional analysis as requested or required from the negotiations to inform City staff; • Attend and support City staff to present the negotiated package to City Council; • Prepare for and attend additional Ad Hoc Committee Meetings; and, • Finalize and review the draft agreement for formatting, spelling, grammar, section references, etc.
January 31, 2024
HF H CONSULTANTS LLC
MEMORANDUM
Managing Tomorrow's Resources Today
The above additional tasks are estimated to be additional $35,000 added to base $119,999 for total project cost not to exceed $154,999.
HF&H sincerely appreciates opportunity to support the City of Placentia with your solid waste and recycling projects and we would be happy to meet to discuss the projected estimated noted above.
January 31, 2024
CITY OF PLACENTIA
HF&H Workplan for SB 1383 Contracting Assistance
Please note the below is an estimated cost and our actual costs may be higher or lower than this amount. We bill based on the actual number of hours worked, multiplied by our hourly billing rates, plus out-of-pocket expenses incurred.
TASK
DESCRIPTION
Sr. Vice
President
Sr. Project
Manager
Senior
Associate
Admin.
Total Hours/
Fees (1)
Contract Negotiations with Republic
1 Develop Meeting Documents and Conduct Mtgs with City Staff and/or Ad Hoc Committee 2 Negotiations to Confirm Services, Terms, and Conditions 3 Review and Analyze Proposed Rate Impacts (Evaluate New Hauler Submittal) 4 Update and Revise Draft Agreement based on Negotiated Terms 5 Prepare for and Attend One City Council Meeting
6 12 - 18
14 14 - 28
8 12 16 36
6 16 - 12 34
4 6 - 10
Total Hours
Hourly Rates*
Total Consulting Fees
Total Expenses
Total Fees and Expenses
(1) Hours may be shifted among tasks.
*Hourly rates remain the same until January 1, 2025 when they will increase by 2.5% per the current PSA between the City and HF&H. 38 60
$ 322 $ 296
$ 12,236 $ 17,760
16 12 126
$ 215 $ 117
$ 3,440 $ 1,404 $ 34,840
$ 160
$ 35,000
1/31/2024 Page 1 HF&H Consultants, LLC