1 NINTH AMENDMENT TO THE AGREEMENT
FOR CONSULTING SERVICES
BETWEEN THE CITY OF REDONDO BEACH
AND PACIFIC ARCHITECTURE AND ENGINEERING
THIS NINTH AMENDMENT TO THE AGREEMENT FOR CONSULTING SERVICES (“Amendment”) is made between the City of Redondo Beach, a Chartered Municipal Corporation (“City”) and Pacific Architecture and Engineering, a California Corporation (“Consultant”).
WHEREAS, on January 20, 2015, the parties originally entered into the Agreement for Consulting Services between the City and Consultant (the “Agreement”); and WHEREAS, on September 6, 2016, the parties entered into the First Amendment to the Agreement (“First Amendment”) to modify certain terms; extend the term to September 20, 2017; and increase Consultant’s total compensation to $420,800; and WHEREAS, on September 19, 2017, the parties entered into the Second Amendment to the Agreement (“Second Amendment”) to extend the term to September 30, 2018; increase Consultant’s total compensation to $495,800; and modify the insurance requirements; and
WHEREAS, on July 10, 2018, the parties entered into the Third Amendment to the Agreement (“Third Amendment”) to extend the term to December 31, 2019; and increase Consultant’s total compensation to $520,800; and
WHEREAS, on January 8, 2019, the parties entered into the Fourth Amendment to the Agreement (“Fourth Amendment”) to increase Consultant’s total compensation to $595,800; and
WHEREAS, on December 17, 2019, the parties entered into the Fifth Amendment to the Agreement (“Fifth Amendment”) to extend the Consultant’s term to December 31, 2021; and increase the Consultant’s total compensation to $695,800; and WHEREAS, on September 15, 2020, the parties entered into the Sixth Amendment to the Agreement (“Sixth Amendment”) to extend the term of the Agreement to December 31, 2022, and increase Consultant’s total compensation to $795,800; and WHEREAS, on December 7th, 2021, that parties entered into the Seventh Amendment to the Agreement (“Seventh Amendment”) to increase Consultant’s total compensation to $830,000; and
2 WHEREAS, on June 21, 2022, that parties entered into the Eighth Amendment to the Agreement (“Eighth Amendment”) to increase Consultant’s total compensation to $875,000; and
WHEREAS, the parties desire to enter into this Ninth Amendment to add additional tasks, further increase Consultant’s total compensation and extend the term.
NOW THEREFORE, in consideration of the promises and mutual covenants contained herein, and intending to be legally bound, the parties hereby agree to make the following amendment to the Agreement:
1. SCOPE OF SERVICES. Exhibit “A” of the Agreement is hereby amended to add Exhibit “A-1” to authorize and direct additional services for payroll review and special inspection to be provided by the Consultant. Exhibit “A-1” is attached hereto and incorporated by reference.
2. TERM. Exhibits “B” to “B-6” of the Agreement are hereby amended to add Exhibit “B-7” to extend the term of the Agreement to December 31, 2023. Exhibit “B-7” is attached hereto and incorporated by reference.
3. COMPENSATION. Exhibits “C” to “C-8” of the Agreement are hereby amended to add Exhibit “C-9” to increase the limit for the total compensation paid to Consultant by $75,000 for a total compensation limit of $950,000. Exhibit “C-9” is attached hereto and incorporated by reference. Consultant shall be compensated for the services described in Exhibits “A” to “A-1” of the Agreement in accordance with Exhibit “C-9”.
4. NO OTHER AMENDMENTS. Except as expressly stated herein, the Agreement shall remain unchanged and in full force and effect. The Agreement, the First Amendment, Second Amendment, Third Amendment, Fourth Amendment, Fifth Amendment, Sixth Amendment, Seventh Amendment, Eighth Amendment and this Ninth Amendment constitute the entire agreement between the parties and supersede any previous oral or written agreement with respect to the subject matter hereof. In the event of any inconsistency between the terms of the Agreement, the First Amendment, Second Amendment, Third Amendment, Fourth Amendment, the Fifth Amendment, the Sixth Amendment, Seventh Amendment, Eighth Amendment and this Ninth Amendment, the terms of this Ninth Amendment shall prevail.
SIGNATURES FOLLOW ON NEXT PAGE
3 IN WITNESS WHEREOF, the parties have executed this Ninth Amendment in Redondo Beach, California, as of this 17th day of January, 2023.
CITY OF REDONDO BEACH PACIFIC ARCHITECTURE AND
ENGINEERING
By:
William C. Brand, Mayor Name: Jun Fujita Hall
Title: President
ATTEST: APPROVED:
Eleanor Manzano, City Clerk Diane Strickfaden, Risk Manager APPROVED AS TO FORM:
Michael W. Webb, City Attorney
4 EXHIBIT “A-1”
PROJECT DESCRIPTION AND SCOPE OF SERVICES
CONSULTANT’S DUTIES
In addition to the duties described in Exhibit “A”, Consultant shall provide these additional services for the project beginning in January 2023.
1. Payroll Review Services: Labor Compliance Review: Proactively and cooperatively work with the Contractor to monitor and enforce the Federal, State and City requirements for overall labor compliance. Provide site interviews and certified payroll document review. Ensure Contractor submittal of Certified Payroll Records (CPR) is on a weekly or bi-weekly basis, as required by the contract documents. Review CPRs for accuracy, agreement with Construction Inspector's daily reports, and conformance with prevailing wage requirements. These services shall include:
A. Collection and Review - Request, receive, and review weekly CPRs of all workers from the Contractor and all subcontractors on the Project.
Compare the Contractor’s listed wage rate for every worker to the prevailing wage rates posted by DIR/DOL for each trade and work classification. Identify and record any discrepancies, omissions, or inaccuracies in the submitted payrolls. If there are discrepancies, omissions, or inaccuracies, Consultant shall request via certified mail immediate clarification and correction from the Contractor to keep violations to a minimum.
B. Apprentices - Maintain information regarding the qualifications of the Contractor’s apprentice certifications, hours, and the prevailing wage rates paid to all apprentices employed on the project to ensure State and Federal Apprenticeship Standards are met. Ensure the payment of training contributions to the applicable training committees are in accordance with the state and federal prevailing wage mandates.
C. Site Monitoring - Obtain and provide work schedules for each site monitor to better coordinate site visits and increase efficiency while minimizing the impact on the productivity of the workers. Conduct site inspections and random work site interviews with two to three (2-3) workers per contractor as mandated by the State and Federal guidelines to investigate any purported violations or claims filed by workers. Use the legally required site interview forms for these inspections and interviews which shall be provided by the City. Input the information collected during these on-site interviews into a database for future reference and use in performing audits of the payroll records.
5 D. Certified Payrolls - Promptly investigate any unresolved violations or claims of inadequate payment of prevailing wages and/or fringe benefits made by workers. Request paycheck stubs, time cards, daily logs, and any other applicable payroll records from the Contractor and subcontractors, and compare these records to the submitted certified payrolls for that project. Conduct additional worker interviews, and maintain an open line of communication with workers on the subject project site to resolve any issues. Audit workers compensation insurance coverage, apprenticeship training, and trust contributions, work hour records including overtime wages, and illegal taking of wages (kickbacks).
E. Report to DIR/DOL - In the event that a violation is not remedied within ten (10) days of notification to the Contractor, Consultant shall prepare a report to the DIR/DOL describing the alleged violation, and include the audit forms, any supporting documentation, Notice of Transmittal of the violation, and provide a recommendation for withholding of payments and penalties, if applicable. Provide a copy of this report and a Notice of Right to Review Evidence to the Contractor. In the event that Consultant finds that the Contractor committed a willful violation of the state and federal labor laws and regulations, Consultant shall submit a report to the City and Labor Commissioner recommending debarment of that Contractor from bidding on or being awarded any public works contract for up to three (3) years as appropriate.
F. Withholding - Upon the Labor Commissioner’s approval of the amount of forfeiture, including underpayments and penalties, City shall authorize the withholding of contract payments to the offending Contractor. Consultant shall send a Notice of Withholding of Contract Payments to the Contractor and DIR, and a Notice of Right to Review in Formal Hearing to the Contractor by certified mail. Upon final approval from the DIR of the withholding, Consultant shall facilitate disbursement of forfeitures to the appropriate City and State funds.
G. Hearing Review - Upon receipt of a Notice of Right to Review, the Contractor may request a formal hearing to review the withholding of contract payments. In that event, Consultant shall collect and transmit the required documentation to DIR, and work with the attorneys to properly prepare for the review. Consultant shall then represent the City at prehearing conferences, settlement meetings, and formal hearings, as necessary, to resolve the matter. Consultant shall keep City informed regarding the hearing process. Notwithstanding the foregoing, Consultant shall perform all preventive measures to prevent a case from entering a formal hearing phase.
6 2. Special Inspection Services: Consultant shall provide any and all special inspection services as stipulated on the plans and in the specifications. These include, but are not limited to, Geotechnical Material Testing and Special Deputy Inspection.
7 EXHIBIT “B-7”
SCHEDULE OF PERFORMANCE
TERM. The Term of this Agreement shall be extended to December 31, 2023, and shall include the period from January 1, 2023 to the date this Ninth Amendment is approved and executed (Term), unless otherwise terminated as provided herein. 8 EXHIBIT “C-9”
COMPENSATION
Provided Consultant is not in default under this Agreement, Consultant shall be compensated as provided below.
1. AMOUNT. Consultant shall be paid in accordance with the following hourly schedule for the services described herein.
Title Hourly Billing Rate
Project Manager $171.00
Engineer III $161.00
Engineer II $145.00
Engineer I $125.00
Sr Engineer II $186.72
Drafter $ 65.00
Admin $ 55.00
Specialist I $190.00
Specialist II $219.87
2. EXPENSES. Consultant may be reimbursed for its expenses, including subconsultants, postage, supplies, reproduction, and other incidental expenses.
In no event shall any expenses be reimbursed without the written approval of the City Engineer or designee. Consultant shall provide receipts for the expenses and prepare a reconciliation of the expenses. Reimbursable expenses will be billed at cost plus 10%.
3. NOT TO EXCEED AMOUNT. Consultant’s total compensation, including reimbursable expenses shall not exceed $950,000 during the term of the Agreement.
4. METHOD OF PAYMENT. Consultant shall provide invoices indicating the dates of service, staff title, hourly rate, and services and tasks performed during the prior month to City for approval and payment. If Consultant has incurred expenses, receipts for reimbursable expenses and City Engineer’s written approval shall be attached to the invoice. Invoices must be itemized, adequately detailed, based on accurate records, and in a form reasonably satisfactory to City. Consultant may be required to provide back-up material upon request.
5. SCHEDULE FOR PAYMENT. City agrees to pay Consultant within thirty (30) days after receipt of Consultant’s monthly invoice; provided, however, that services are completed to the City’s full satisfaction.
9 6. NOTICE. Written notices shall be given by registered or certified mail, postage prepaid and addressed to or personally served on the following parties.
Consultant: Pacific Architecture and Engineering
1137 Second Street, Suite 214
Santa Monica, CA 90403
Attention: Jun Fujita Hall
City City of Redondo Beach
Public Works Department, Engineering Services Division
415 Diamond Street, Door E
Redondo Beach, CA 90277
Attention: Andrew Winje, City Engineer
All notices, including notices of address changes, provided under this Agreement are deemed received on the third day after mailing if sent by registered or certified mail. Changes in the respective address set forth above may be made from time to time by any party upon written notice to the other party.