Agenda Item #12.7
For Council Meeting of: August 9, 2022
CITY OF SANTA ROSA
CITY COUNCIL
TO: MAYOR AND CITY COUNCIL
FROM: CELESTE CARRANZA, ASSOCIATE REAL PROPERTY AGENT
REAL ESTATE SERVICES
JILL SCOTT, REAL ESTATE MANAGER
REAL ESTATE SERVICES
SUBJECT: FIRST AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT – JONES LANG LASALLE AMERICAS, INC. FOR REAL ESTATE BROKERAGE SERVICES AGENDA ACTION: RESOLUTION
RECOMMENDATION
It is recommended by Real Estate Services that the Council, by resolution, approve a First Amendment to Professional Services Agreement Number F002062 with Jones Lang Lasalle Americas, Inc. of Los Angeles, California to increase compensation under the Agreement for specialized real estate brokerage services by $100,000.00, for a total amount not to exceed $199,000.00.
EXECUTIVE SUMMARY
This resolution will amend the Professional Services Agreement (PSA) with Jones Lang Lasalle Americas, Inc. (JLL) for City-wide specialized real estate brokerage services for an additional amount of up to $100,000.00 over the next two years. This increase is due to an anticipated continuance of a larger volume of specialized, City-wide activity in potential development related acquisition and Citywide surplus sales which can include: sale appraisal, market analysis, marketing, economic analysis, Exclusive Negotiation Agreement (ENA), and Disposition and Development Agreement (DDA) negotiation, and specialized advisory services as needed and if needed. Associated funds will come from various projects throughout City Departments.
BACKGROUND
On November 7, 2019, after a request for proposals process, the City entered into a Professional Services Agreement with JLL for specialized real estate brokerage services. The contract provides services as needed for the City’s use in an amount not to exceed $99,000.00, which will run out this year.
With the City-wide anticipated continuance for specialized real estate brokerage services, staff is requesting a contract amendment increase of $100,000.00 over the next two years.
The funds associated with this contract and the proposed amendment will come from various projects and charge numbers from City wide departments and will be used as/if needed.
PRIOR CITY COUNCIL REVIEW
Not applicable.
ANALYSIS
On July 26, 2019, City staff solicited proposals for specialized brokerage services to meet the City-wide need for such services. A total of three proposals were received. The City completed evaluations of the proposals submitted and JLL was one of two firms selected. On November 7, 2019, the City entered into a PSA with JLL for real estate brokerage services in the amount of $99,000.00. Funds will be exhausted shortly due to the City-wide activity in specialized acquisition and development work.
With the anticipated continuance of high levels of specialized Real Estate activity, staff is requesting an increase in compensation of $100,000.00 under the Agreement. Since this is a City-wide contract and used throughout the Departments, the funds are paid out of various project keys as approved by the Chief Financial Officer, on an as-needed, if-needed basis, and not encumbered in any one department or project budget.
FISCAL IMPACT
Real estate brokerage services are paid out of projects on an as-needed basis from various charge numbers throughout City Departments.
ENVIRONMENTAL IMPACT
This action is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3) and 15378 in that there is no possibility that the proposed activity may have significant effects on the environment, and no further environmental review is required.
BOARD/COMMISSION/COMMITTEE REVIEW AND RECOMMENDATIONS
Not applicable.
NOTIFICATION
Not applicable.
ATTACHMENTS
Resolution/First Amendment to Professional Services Agreement
CONTACT
Celeste Carranza, Associate Real Property Agent
[email protected]
(707) 543-4520
Jill Scott, Real Estate Manager
[email protected]
(707) 543-4246
FIRST AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT – JONES LANG LASALLE AMERICAS, INC. FOR REAL ESTATE BROKERAGE SERVICES PAGE 3 OF 3