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SR-400-009 (10) PCD:BLDG&SAFETY:TM:TM F:/PCD/Share/BYA Amendment # 2 COUNCIL MEETING: January 22,2002 Santa Monica, California TO: Mayor and City Council FROM: City Staff SUBJECT: Amendments to Existing Professional Services Contract No. 7742 (CCS) for Geotechnical and Engineering Report Review and Related Services INTRODUCTION This staff report recommends that the City Council authorize the City Manager to negotiate and execute an amendment of $130,000 for Contract No. 7742 (CCS) with Bing Yen and Associates for the review of geotechnical and engineering geology reports for the Building and Safety Division. BACKGROUND Due to liquefaction potential and other geologic hazards, state law mandates that the City require, review and approve geotechnical and/or engineering geologist reports prior to construction permitting on most major projects. The reports must demonstrate geotechnical feasibility and appropriate mitigation of any seismic related hazards. By law, the City must use licensed geotechnical engineers and engineering geologists to review and approve the feasibility and mitigation reports. Bing Yen & Associates has provided these review services during the previous and current fiscal year. Staff originally requested qualifications from five geotechnical engineering firms for review of geotechnical reports. On June 27, 2000, Council authorized a contract for geotechnical services with Bing Yen and Associates in the amount of $60,000. On July 24, 2001, Council authorized an amendment to the contract of $60,000 for fiscal year 01/02 for a total contract amount of $120,000. DISCUSSION Additional professional services for geotechnical review will be necessary beyond what staff anticipated for FY 01/02 due to the increase number of complex projects submitted. This requires amending the contract with Bing Yen and Associates for an additional $130,000 to provide services through June 30, 2002. BUDGET/ FINANCIAL IMPACT The Building and Safety Division collects user fees to reimburse the General Fund expenditures for review of geotechnical and engineering geology reports. On April 24, 2001, Council passed new user fees for the review of engineering reports. Pursuant to state law, these new fees became effective June 25, 2001. These fees cover the cost of providing these services. Originally, the estimated revenues in FY 01/02 for the review of engineering reports was $50,000. An additional $150,000 above the budget projection is anticipated this fiscal year, which will cover the expenses for the contract amendment. Staff recommends an additional budget appropriation of $130,000 be approved at account number 0321.555060 and a net budget increase of $150,000 be made to the appropriate revenue accounts ( a budget increase of $200,000 to revenue account 01321.400560 and a budget decrease of $50,000 made to revenue account 01321.400500). RECOMMENDATION Staff recommends that the City Council authorize the City Manager to negotiate and execute an amendment to Contract No.7742 (CCS) with Bing Yen & Associates for $130,000, for a new not-to-exceed total amount of $250,000, and approve the recommended budget changes specified in the Budget/Financial Impact section. Prepared by: Suzanne Frick, Director, Planning and Community Development Timothy P. McCormick, P.E., Building Officer Manuel M. Mendizabal, S.E., Plan Check Supervisor