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HomeMy WebLinkAbout11 - Amendment to PSA for Video Production and Government Access Channel ManagementQ �EwPpRT CITY OF O � z NEWPORT BEACH <,FORN'P City Council Staff Report January 14, 2020 Agenda Item No. 11 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Grace K. Leung, City Manager - 949-644-3001, gleung@newportbeachca.gov PREPARED BY: Tara Finnigan, Deputy City Manager, tfinnigan@newportbeachca.gov PHONE: 949-644-3035 TITLE: Amendment to the Professional Services Agreement with Newport Beach & Company for Video Production and Government Access Channel Management ABSTRACT: Staff recommends approval of an amendment to the Professional Services Agreement with Newport Beach & Company to provide video production and government access channel management for Newport Beach Television (NBTV). RECOMMENDATION: a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; b) Authorize a waiver of Council Policy F-14 in regard to re -bidding NBTV Video Production and Channel Management and award a single -source contract to Newport Beach & Company by amending its existing contract; and c) Execute Amendment No. 1 to the Professional Services Agreement with Newport Beach & Company for Management of NBTV Programming and Operations, which extends the term by one year and adds $117,208.44 for a total not -to -exceed amount of $288,023.24. FUNDING REQUIREMENTS: The current adopted budget includes sufficient funding for this service. It will be expensed to the NBTV Operations account in the Public Information Office budget, 01020201- 87104. Amendment to the Professional Services Agreement with Newport Beach & Company for Video Production and Government Access Channel Management January 14, 2020 Page 2 DISCUSSION: Background The City of Newport Beach (City) operates a government access channel called NBTV. City staff managed NBTV operations, production and programming for a number of years before outsourcing the services to Newport Beach & Company in March 2014. Following a Request for Proposals process in July 2018, the City Council approved a one-year agreement with Newport Beach & Company, which is set to expire on January 31, 2020. Proposed Amendment Staff is recommending an amendment to the current agreement with Newport Beach & Company to add an additional one-year term. This requires Council's review and approval, as does the requested waiver of Council Policy F-14. Per Council Policy F-14 (A), the City should select professional consultants through a qualifications -based selection process. As mentioned previously, the City conducted a formal bidding process for NBTV services in July 2018. Because the RFP process was conducted fairly recently, staff does not anticipate a substantive change in the market or a marked difference in the RFP results. During the past year, Newport Beach & Company has worked closely with City staff to streamline costs and services and provide updated content. Their team has been very responsive to the City's requests and has made a number of good suggestions on how to further enhance the quality of programming while also providing the services more efficiently. They assigned one of the existing video crew members to serve as the producer, both overseeing and working hands-on with content development and video production. This change resulted in significant cost savings as the individual supervising the video crew also shoots and edits videos. The City is also moving forward with the installation of remote-controlled video cameras in certain City facilities. The cameras will reduce the number of hours video crew members spend setting up and editing video and this change will result in further cost savings under this agreement. The total approved amount, including a seven percent contingency, of the 2019 agreement was $170,814.80. Due to the efficiencies previously referenced, staff estimates approximately $35,000 - $40,000 in savings by the end of term. Staff from the City and Newport Beach & Company recently met to review the budget and agreed that due to the savings achieved this year, the overall budget of the proposed amendment should be reduced. The table below details the costs associated with the current agreement and the proposed amendment, showing a reduction in the amount budgeted for video production and a reduced fee for the executive producer office lease share as proposed by Newport Beach & Company. 11-2 Amendment to the Professional Services Agreement with Newport Beach & Company for Video Production and Government Access Channel Management January 14, 2020 Page 3 Service Current Agreement Proposed Amendment City Council Meetings $ 10,920.00 $ 10,920.00 Planning Commission Meetings $ 5,040.00 $ 5,040.00 Monthly NBTV Admin Fee $ 61,680.00 $ 61,680.00 Annual Management Fee $ 13,992.00 $ 13,992.00 Executive Producer Office Lease Share $ 4,992.00 $ 2,500.00 Video Production Blended Rate $ 63,000.00 $ 50,400.00 7% Contingency $ 11,174.80 $ 10.117.24 ANN UAL TOTAL $170,798.80 $154,649.24 Due to the cost savings in the current agreement and the re -negotiated fees in the proposed amendment, the contract will require an additional $117,208.44 to cover the cost of the term extension. Staff and the NBTV crew have implemented changes to NBTV, but some improvements are still in progress and will be completed within the next month. These include completing improvements to the City's website to make it easier to find NBTV videos and enhancing the NBTV YouTube page. Moving forward, meetings and programs will be uploaded to both the City website and the YouTube page. The team also intends to launch one to two new programs within the first quarter of the new year. The proposed amendment includes a contingency in the event new programming ideas or unanticipated projects arise. The City's new public information manager may also wish to make further programming changes. Staff is recommending a one-year amendment to the current agreement with Newport Beach & Company to keep the current programs and projects moving forward and due to the efficiencies and cost savings realized this year. ENVIRONMENTAL REVIEW: Staff recommends the City Council find this action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. 11-3 Amendment to the Professional Services Agreement with Newport Beach & Company for Video Production and Government Access Channel Management January 14, 2020 Page 4 NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENT: Attachment A — Amendment No. 1 11-4 ATTACHMENT A AMENDMENT NO. ONE TO PROFESSIONAL SERVICES AGREEMENT WITH NEWPORT BEACH & COMPANY FOR MANAGEMENT OF NBTV PROGRAMMING & OPERATIONS THIS AMENDMENT NO, ONE TO PROFESSIONAL SERVICES AGREEMENT ("Amendment No. One") is made and entered into as of this 14th day of January, 2020 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city ("City"), and NEWPORT BEACH & COMPANY, a California nonprofit corporation ("Consultant"), whose address is 1600 Newport Center Drive, Suite 120, Newport Beach, California 92660, and is made with reference to the following: RECITALS A. On February 1, 2019, City and Consultant entered into a Professional Services Agreement ("Agreement") for management of NBTV programming and operations ("Project") . B. The parties desire to enter into this Amendment No. One to extend the term of the Agreement to January 31, 2021 and to increase the total compensation. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. TERM Section 1 of the Agreement is amended in its entirety and replaced with the following: "The term of this Agreement shall commence on the Effective Date, and shall terminate on January 31, 2021, unless terminated earlier as set forth herein." 2. COMPENSATION TO CONSULTANT 2.1 Section 4.1 of the Agreement is amended in its entirety and replaced with the following: "City shall pay Consultant for the Services on a time and expense not -to - exceed basis in accordance with the provisions of this Section and the Schedule of Billing Rates attached hereto as Exhibit C and incorporated herein by reference. Consultant's compensation for all Work performed in accordance with this Agreement, including all reimbursable items and subconsultant fees, shall not exceed Two Hundred Seventy Six Thousand Eight Hundred Forty Eight Dollars and 441100 ($276,848.44), without prior written authorization from City. Additionally, the City has allocated a contingency amount of Eleven Thousand One Hundred Seventy Four Dollars and 801100 ($11,174.80) for unexpected costs, for a total not to exceed amount of Two Hundred Eighty Eight Thousand Twenty Three Dollars and 241100 ($288,023.24). No portion of the contingency shall be expended without prior written approval of City's Project Administrator. No billing rate changes shall be made during the term of this Agreement without the prior written approval of City." 11-5 The total amended compensation reflects Consultant's additional compensation for additional Services to be performed in accordance with this Amendment No. One, including all reimbursable items and subconsultant fees, in an amount not to exceed One Hundred Seventeen Thousand Two Hundred Eight Dollars and 441100 ($117,208.44). 3. INTEGRATED CONTRACT Except as expressly modified herein, all other provisions, terms, and covenants set forth in the Agreement shall remain unchanged and shall be in full force and effect. [SIGNATURES ON NEXT PAGE] Newport Beach & Company Page 2 11-6 IN WITNESS WHEREOF, the parties have caused this Amendment No. One to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: iz,+-?•jq By: i_ W ( �') A on C. Harp City Attorney ATTEST: Date: By: Leilani I. Brown City Clerk CITY OF NEWPORT BEACH, a California municipal corporation Date: By: Will O'Neill Mayor CONSULTANT: Company, a corporation Date: By: Newport Beach & California nonprofit Gary Sherwin Chief Executive Officer Date.- ate: By- By: Lily Lily Pearson Chief Financial Officer [END OF SIGNATURES] Newport Beach & Company Page 3 11-7