City Council Memorandum
TO: HONORABLE MAYOR AND CITY COUNCIL DATE: DECEMBER 20, 2022 FROM: PUBLIC WORKS DEPARTMENT WARDS: ALL
SUBJECT: RFP 2211 - PROFESSIONAL CONSULTANT SERVICES AGREEMENT FOR LABOR COMPLIANCE AUDITING SERVICES WITH PPM GROUP, INC., OF FONTANA, CALIFORNIA, IN THE AMOUNT OF $150,000 FOR A TERM FROM JANUARY 1, 2023 TO DECEMBER 31, 2025, AND WITH TWO OPTIONAL ONE-YEAR EXTENSIONS IN THE AMOUNT OF $50,000 PER YEAR ISSUE:
Approve a Professional Consultant Services Agreement for Labor Compliance Auditing Services from Request for Proposal No. 2211 with PPM Group, Inc. of Fontana, California, in the amount of $150,000 for a term from January 1, 2023 to December 31, 2025, with two optional one-year extensions in the amount of $50,000 per year.
RECOMMENDATIONS:
That the City Council:
Approve a Professional Consultant Services Agreement for Labor Compliance Auditing Services from Request for Proposal No. 2211 with PPM Group, Inc., of Fontana, California, in the amount of $150,000 for a term from January 1, 2023 to December 31, 2025, with two optional one-year extensions in the amount of $50,000 per year; Authorize the City Manager, or designee, to execute the Professional Consultant Services Agreement, including making minor and non-substantive changes; and Authorize the City Manager, or designee, to execute the two optional one-year term extensions to the agreement provided all the annual amounts are included in the subsequent approved budgets.
BACKGROUND:
To comply with funding requirements from State and Federal agencies, the Public Works Department has historically contracted with a firm to provide a qualified Labor Compliance Officer. This Officer audits certified payroll reports for Public Works’ Capital Improvement Projects (CIPs) and provides experience, knowledge, and expertise in the various reporting requirements.
DISCUSSION:
On August 30, 2022, the City received ten proposals in response to Request for Proposal (RFP) No. 2211. To identify the most qualified proposer, a selection committee, consisting of representatives from the Public Works Department, evaluated the proposals based on the criteria set forth in RFP No. 2211, namely the Labor Compliance Officer’s qualifications, pricing, and professional references. PPM Group, Inc. was selected as the most qualified company to provide the required services.
Rank
Consultant
Location
Score
1 PPM Group, Inc.
Fontana, CA
830
2 Gafcon, Inc.
San Diego, CA
746.7
3 GCAP Services, Inc.
Costa Mesa, CA
742.1
4 CS & Associates, Inc.
Santa Clarita, CA
694.2
5 Alliant Consulting, Inc.
San Diego, CA
620
6 Cumming Management Group, Inc.
Los Angeles, CA
561.5
7 Pacific Resources Services Corporation
El Monte, CA
550.6
8 Padilla & Associates, Inc.
Santa Ana, CA
513
9 HWESU COBB-PHILLIPS
El Segundo, CA
476.4
10 Contractor Compliance & Monitoring, Inc.
San Mateo, CA
110.8
The Purchasing Manager concurs that the recommended action to approve the agreement is in compliance with Purchasing Resolution 23914.
STRATEGIC PLAN ALIGNMENT:
This item contributes to Strategic Priority 6 – Infrastructure, Mobility, and Connectivity and Goal 6.2 – Maintain, protect, and improve assets and infrastructure within the City’s built environment to ensure and enhance reliability, resiliency, sustainability, and facilitate connectivity.
Furthermore, this project aligns with each of the five Cross-Cutting Threads:
Community Trust – The Labor Compliance Officer instills Community Trust by ensuring that the contractors performing CIPs on the City’s behalf are compliant with all Local, State, and Federal regulations for Public Works projects.
Equity – The Labor Compliance Officer verifies that all workers employed by the contractors performing work on the City’s CIPs are to be paid fairly and in a timely manner per requirements set forth by the State of California Department of Industrial Relations.
Fiscal Responsibility – This RFP was publicly advertised and the contract will be awarded to the most qualified consultant.
Innovation – This RFP was advertised on PlanetBids, which is an internet-based platform that allows for a wider exposure to potential consultants compared to the conventional local newspaper advertisement.
Sustainability & Resiliency – The Labor Compliance Officer ensures that the City and its contractors follow the Local, State, and Federal regulations to avoid unnecessary and time-consuming audits, which may lead to stop work processes, hence affecting efficiency and the ability to complete CIPs.
FISCAL IMPACT:
This fiscal impact of this action is $150,000. Additional budget will not be required, as each project will be billed on an as-needed basis. Funding for this item is already budgeted and available in each project requiring the consultant’s services. The City will be charged based on actual expenses incurred for time and materials.
Prepared by: Gilbert Hernandez, Public Works Director
Certified as to
availability of funds: Edward Enriquez, Interim Assistant City Manager/Chief Financial Officer/City Treasurer
Approved by: Kris Martinez, Assistant City Manager
Approved as to form: Phaedra A. Norton, City Attorney
Attachments:
Professional Consultant Services Agreement with PPM Group, Inc.
RFP Award Recommendation
RFP-2211 – Labor Compliance Auditing Services ● Page 3