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HomeMy WebLinkAbout22 - General Plan Update & EIRCITY OF NEWPORT BEACH CITY COUNCIL STAFF REPORT Agenda Item No. 22 March 28, 2006 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: City Manager's Office Sharon Wood, Assistant City Manager 949 - 644 -3222, swood @city.newport - beach.ca.us SUBJECT: Amendment to Professional Services Agreement with EIP Associates for General Plan Update and EIR and Budget Amendment ISSUE: Is an amendment to the professional services agreement for work beyond that anticipated in the original scope of services warranted? RECOMMENDATIONs: 1. Approve the attached Second Amendment to Professional Services Agreement with EIP Associates, augmenting the budget by $552,131, and authorize the Mayor and City Clerk to execute the agreement. 2. Approve a budget amendment transferring $552,131 from unappropriated General Fund reserve to General Plan Update account number 2710 -8293. DISCUSSION: The City Council approved a Professional Services Agreement with EIP Associates for the General Plan update on June 10, 2003. The total compensation provided in this agreement was $1,006,406, which included amounts for subcontracts with Urban Crossroads for traffic analysis and with Applied Development Economics for fiscal impact analysis and an economic development strategic plan. The agreement was amended in August 2004 to provide an additional $17,250 for separate Planning Commission and City Council study sessions, bringing the total compensation to $1,023,656. As work on the General Plan update has progressed, the City has asked the consultant team to conduct additional analyses such as freeway impact analysis, additional traffic model runs, and impact analyses for a very large number of land use alternatives, as Amendment to PSA with EIP Associates for General Plan Update and EIR March 28, 2006 Page 2 well as to prepare discussion papers for citizen committees and to attend more meetings with citizen committees, the Planning Commission, City Council and City staff than had been anticipated. In addition, Newport Beach's extensive public review of General Plan documents has resulted in more rounds of revisions than provided in the original agreement, and the level of specificity in our Land Use Element has required much more quantitative analysis than expected. All three consulting firms have been responsive to requests for additional work from staff, the Planning Commission and City Council, and have continued working to keep the project on schedule. They have not requested budget augments for each request as it was made. As we are nearing the end of the project, the consultants have been able to project the amount needed to complete the project, and have submitted a request to augment the project budget. Staff has reviewed the request, and asked for clarifications and changes to it based on our understanding of the work that has been performed to date and what will be required to complete the project. We believe that the requested additional amount of $552,131 is justified and necessary. Funding Availability: The General Plan update was funded in a special account, with the amount provided in the original contract and the first amendment. A budget amendment transferring $511,131 from the unappropriated General Fund reserve is necessary to provide the funds for this contract amendment. Submitted by: u Wood Assistant City Manager Attachments: Second Amendment to Professional Services Agreement with EIP Associates Letter from EIP Associates Budget Amendment SECOND AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT THIS AGREEMENT, entered into this _ day of March 2006, by and between CITY OF NEWPORT BEACH, a Municipal Corporation (hereinafter referred to as "City ") and EIP Associates, Inc., whose address is 12301 Wilshire Boulevard, Suite 430, Los Angeles, CA 90025 (hereinafter referred to as "Consultant "), is made with reference to the following: RECITALS A. City and Consultant entered into a Professional Services Agreement for a General Plan Update on June 10, 2003. B. The Professional Services Agreement was amended on August 10, 2004, increasing total compensation to consultant to $1,023,656. C. The Parties desire to amend the agreement to provide for additional analyses, reports, quantitative analysis and meetings. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 1. COMPENSATION TO CONSULTANT Paragraph 3, Compensation to Consultant, is amended to provide that Consultant's compensation for all work performed in accordance with this agreement shall not exceed One Million, Five Hundred Thirty -four Thousand, Seven Hundred Eighty - seven Dollars ($1,534,787.00). 3. NO AMENDMENTS TO REMAINDER OF AGREEMENT All other provisions of the Agreement shall remain in force and effect in their original form. IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed on the day and year first written above. CITY OF NEWPORT BEACH A Municipal Corporation By: Don Webb, Mayor ATTEST: LaVonne Harkless, City Clerk CONSULTANT EIP Associates, Inc. By: Terri Vitar, Regional Vice President t EIP S0 -C!~ March 20, 2006 Ms. Patty Temple Director of Planning City of Newport Beach P.O. Box 1768 Newport Beach, California 92658 -8915 Subject: General Plan Update and Environmental Impact Report Dear Ms. Temple: On behalf of EIP Associates and its subcontractors for the preparation of the updated General Plan and Environmental Impact Report (EIR) for the City of Newport Beach, this is to request an augment to the budget of the contractual agreement between the City and EIP Associates for the performance of an expanded scope of services. The total requested augment is five hundred and fifty -two thousand one hundred thirty one dollars ($552,131.00) and includes labor costs and direct expenses anticipated to be incurred through the completion of the project, the adoption of the General Plan and certification of the Final EIR. The attached spreadsheet lists the contractual budget, tonal expenditures and remaining budget as of February 24, 2006, estimated budget for completion, and net additional budget requested for each work task. Factors affecting the increased project costs are also described for each applicable work task. As you will note, there is an anticipated cost savings for the public involvement work program. The requested budget augment includes the additional costs incurred and anticipated to be incurred by Urban Crossroads and Applied Development Economics. The description of their additional services and costs are attached to this letter. Your prompt processing of this request would be appreciated as EIP and our team members had exceeded their complete budgets by a cumulative $48,496.00 as of February 24. Please call me if you have any questions. Sincerely, Elwood C. 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E N � n C U N F N bj b C A 41 aRi `� � u L O W ON O M M O E' 0 .� U N " .t V h � y F U O h U Q U � w ° h N w r V W C G p U w 0 v U R C R Q U R ? c R e a a 1~'1 H h N h 5 �9 T O b h b O a j e w A J W j w O Cl 6 w I r op P O a m D c O r b r � C O cl� h N b Q O V N W r N bj b A 41 aRi `� � u n ti N " V O1� U U Q U � ° 1~'1 H h N h 5 �9 T O b h b O a j e w A J W j w O Cl 6 w 41Lorporate Park Suite 300, Irvine, CA 92606 949.660.1994 main 949.660.1911 fax www.urbanxroads.com, REVISED AUTHORIZATION FOR ADDITIONAL WORK March 15, 2006 Mr. Elwood Tescher EIP ASSOCIATES 12301 Wilshire Boulevard, Suite 430 Los Angeles, CA 90025 Subject: Contract Status and Budget/Scope of Work Amendment Request #1 (Revised) Mr. Tescher: This letter has been prepared to document the status of Urban Crossroads, Inc. work effort for the City of Newport Beach General Plan update. A number of work efforts that exceed the original scope of services prepared for this project have been identified and discussed with the project team. This letter documents the requested out of scope activities and the budget amendment required in conjunction with each activity. The letter has been revised to reflect our most recent discussions regarding needed updates to the work products, as well as additional review of the activities that have already been undertaken. This second revision includes an additional model scenario, including a separate supplemental letter report, as well an increase in the budget allocated to ongoing support activities. FUTURE ALTERNATIVES ANALYSIS The current scope of services provides for analysis of 4 overall scenarios. The preliminary alternatives analysis effort evaluated 4 scenarios, including a constrained network version of the Currently Adopted General Plan scenario that represents an additional alternative (compared to the original Currently Adopted General Plan scenario that was included in the baseline analysis). It is therefore proposed that the scope of services and budget be augmented to include the following additional scenarios: An additional updated Currently Adopted General Plan scenario that incorporates recently adopted OCP -2004 socioeconomic data (SED) projections for areas outside the City of Newport Beach into the Newport Beach Traffic Model (NBTM), in addition to ongoing refinements to the land use data for the City of Newport Beach. The ongoing refinements will be provided to Urban Crossroads, Inc. by the City of Newport Beach / project team. 13 Mr. Elwood Tescher EIP ASSOCIATES March 15, 2006 Page 2 1. In order to complete item 1 above, it was also necessary to update the model validation scenario to reflect the OCP -2004 SED for 2000. 2. The General Plan Preferred Alternative scenario, representing the direction received from the City Council regarding the General Plan Preferred Alternative. 3. A separate scenario to be documented in a separate supplemental letter report that evaluates Existing Plus Project (Preferred General Plan Alternative) conditions. 4. One additional scenario that is likely to be needed as the General Plan is finalized (consistent with the original vision for the fourth scenario identified in the original scope of work). SUBAREA ALTERNATIVES TRIP GENERATION EVALUATION Based on direction from the project team, a sketch planning tool was developed for purposes of evaluating anticipated NBTM peak hour and daily trip generation for each alternative contemplated for the various subareas evaluated throughout the City of Newport Beach. A total of over 150 individual alternatives were then evaluated using the sketch planning tool, then documented in the preliminary alternatives analysis report. FREEWAY RAMP AND MAINLINE ANALYSIS Based on comments received from citizens of the City of Newport Beach, the project team determined that additional analysis related to the performance of the study area freeway system, particularly the SR -73 Freeway through the City of Newport Beach, should be completed. This activity will include analysis of existing and future peak hour freeway system performance for up to three future alternatives, including the proposed updated Constrained Currently Adopted General Plan, Preferred General Plan Alternative, and Final General Plan Alternative. Due to lack of available data from Caitrans, the task effort also includes additional field inventory and development of baseline data from other sources. MEETINGS AND.PUBLIC HEARINGS The original scope of services identified a total of 16 meetings, hearings, and public workshops with the General Plan Update Committee (GPUC), the General Plan Advisory Committee (GPAC), the Planning Commission, City Council, and general public. Urban Crossroads, Inc. had already attended this number of meetings in July, along with numerous General Plan Update Team (GPUT) meetings, 1� Mr. Elwood Tescher EIP ASSOCIATES March 15, 2006 Page 3 exhausting our overall anticipated meeting budget. Additionally, Urban Crossroads, Inc. staff attended 9 GPUT meetings, 3 additional GPAC meetings, 4 additional Planning Commission hearings, one Growth Management meeting and 3 additional City Council hearings through December 14. It is anticipated that 5 additional GPUT meetings, 2 additional GPAC meetings, 1 additional public workshop, 2 additional Planning Commission hearings, and 2 additional City Council hearings will be attended by Urban Crossroads, Inc. staff from December 14 through the end of the project. Multiple additional review and revision cycles of the Circulation Element have been performed. The traffic study executive summary, technical analysis, and traffic study report also require additional production cycles in response to input from the project team and others. ONGOING ENVIRONMENTAL DOCUMENTATION REVISIONS AND SUPPORT Multiple additional review and revision cycles of the Draft Environmental Impact Report documents have been /continue to be performed. ONGOING COUNT COLLECTION AND COUNT AND LAND USE ANALYSIS Urban Crossroads, Inc. anticipates conducting a count program that could include 24 hour traffic counts at up to 5 locations. Additional effort will also include analyzing the counts for growth trends compared to the baseline data. Another task requested by City staff will involve evaluating land use data to be provided by the project team to determine how much of the anticipated growth in the City of Newport Beach has already occurred from 2002 to current (end of 2005 or early 2006) conditions. At the request of the project team, additional trip generation calculations will also be performed. BUDGET Urban Crossroads, Inc. has prepared a detailed estimate of the man -hours and other direct costs that will be required to complete the proposed additional work effort. Attachment A identifies Urban Crossroads, Inc. current billing rates for purposes of this contract amendment request, while the detailed contract amendment budget estimate is provided as Attachment B to this letter. The total budget augment being requested is $135,950.00, bringing our total contract authorization to $297,560.00. SUMMARY This letter summarizes the current status of our effort and the additional scope and budget required to successfully complete the traffic analysis required for the City of ly Mr. Elwood Tescher EIP ASSOCIATES March 15, 2006 Page 4 Newport Beach General Plan update. Urban Crossroads, Inc. is pleased to provide this letter for your consideration. Please do not hesitate to give me a call at (949) 660 -1994 ext. 210 if you have any questions. Sincerely, URBAN CROSSROADS, INC. Carleton Waters, P.E. Principal CW:MW:ds JN:01232 -30 Contract Amendment 1 Revised 060201 and again 060315 Attachments I EXHIBIT A BILLING RATES FOR URBAN CROSSROADS, INC. Compensation for Services The Consultants Billing rates for services are as follows: Position Hourly Rates Senior Principal $150 — 185 Principal $140 — 175 Associate Principal $125 — 160 Senior Associate $110 — 145 Associate $100 — 135 Senior Analyst $85 — 120 Analyst $70 — 105 Assistant Analyst $50 — 85 Senior Technician $55 — 90 Technician $45 — 80 Assistant Technician $35 — 70 Administrative Manager $75 — 110 Administrative Supervisor $60 — 95 Administrative Assistant $45 — 80 General (1) Reimbursable direct costs, such as reproduction, supplies, messenger service, long - distance telephone calls, travel, and traffic counts will be billed at cost plus ten (10) percent. (2) Hourly rates apply to work time, travel time, and time spent at public hearings and meetings. For overtime work, the above rates may be increased 50 percent. (3) Client payment for professional services is not contingent upon the client receiving payment from other parties. (4) Billing statements for work will be submitted monthly. Statements are payable within thirty (30) days of the receipt by client of statement. Any statement unpaid after thirty (30) days shall be subject to interest at the maximum permitted by law. February 14, 2006 d�.1G A P P L t E D DEVELOPMENT ECONOMICS MEMORANDUM TO: Woodie Tescher From: Doug Svensson COPY: Harriet Lai Ross Linda Tatum Date: November 29, 2005 Re: Budget on Newport Beach GP Update At your request, I have prepared a summary of our budget situation and a list of the recently approved scope amendments on the project. We are currently operating under a contract with EIP Associates for $45,000, supplemented by an addition of $3,900 in February of this vear to account for splitting the Planning Commission and City Council working sessions on the alternatives. I also had an understanding from you that our current contract included an additional $1,370 in expenses money, derived from the point in September 2003 when this contract was treated as an extension of our original contract with the City; however, I was recently informed by Linda Tatum that that was not included in EIP's contract with the City and is now excluded from our contract. Unfortunately, we have already spent that money. Sharon Wood has verbally approved two items for us since our last contract amendment: $3,000 to analyze the `True Minimum" alternative and an unspecified amount to attend the EDC meeting in June. The actual cost of that meeting attendance was $1,000, since it did not require much additional preparation time. In terms of our overall budget situation, as of August we had already expended all funds currently in our contract. In reviewing the products we have completed in relation to the scope of work under the contract (attached), a number of items are not mentioned in the scope of work: Preparation of the Guiding Principles memo and preparation of the Tourism Issue Paper, including the GPAC and EDC meetings to present those items. I billed that work to the Economic Development Strategy task; however, we now have no money left to complete the actual Strategic Plan. 2029 University Avenue • Berkeley, CA 94704 • Tel 510.548.5912 • Fax 510.548.6123 www.adeuso.com ri Irk Page 2 of 5 • The Saturday workshop in June is not specified in the scope nor is it budgeted. Based on the verbal amendments to the contract and these discrepancies in the scope of work, I would request the following contract addition: Expense Reimbursements Verbally Approved by EIP $ 1,370 Additions Verbally Approved by Sharon Wood Fiscal Analysis of Third Alternative $ 3,000 EDC Presentation of Fiscal Analysis $ 1.000 SUBTOTAL $ 5,370 Additional Scope Items GPAC Meeting for Guiding Principles: $ 1,500 EDC Meeting for Guiding Principles: $ 1,500 GPAC Meeting for Hotel /Tourism Issue Paper: $ 1,500 EDC Meeting for Hotel /Tourism Issue Paper: $ 1,500 Public Workshop June 25, 2005 $ 2,000 Additional GPAC, EDC, PC, CC Meetings $ 5,000 Completion of Economic Strategic Plan 510.000 SUB'T'OTAL S23,000 GRAND TOTAL FOR CURRENT CONTRACT AMENDMENT $28,370 I appreciate the opportunity to work with EIP and the City of Newport Beach on this project. Despite the budget shortfall, we have continued to work diligently to complete the necessary studies to keep the General Plan Update process moving and we expect to continue to do so. I appreciate your consideration of thus request for a budget amendment. Please do not hesitate to call me with any questions. 1� ADE Budget Summary Phase Budget Amount Total Spent Overage /Budget Remaining Additional Estimate to Complete Fiscal Analysis Baseline Data $4,000 $4,000 0 NA Alternatives $21,900 $30,270 ($8,370) NA Policymaking $8,000 $8,000 0 $5,000 Economic Strategy Goals and Objectives $2,000 $8,000 ($6,000) NA Draft Plan $7,000 $7,000 0 $4,000 Action Plan $4,000 $2,000 $2,000 $2,000 Final Plan $2,000 0 $2,000 $7,000 Total $48,900 $62,270 ($10,370) $18,000 W City of Newport Beach NO. BA- 06BA -054 BUDGET AMENDMENT 2005 -06 AMOUNT: $552,131.00 EFFECT ON BUDGETARY FUND BALANCE: Increase Revenue Estimates Increase in Budgetary Fund Balance �X Increase Expenditure Appropriations AND X Decrease in Budgetary Fund Balance Transfer Budget Appropriations No effect on Budgetary Fund Balance SOURCE: from existing budget appropriations from additional estimated revenues NX from unappropriated fund balance EXPLANATION: This butlget amendment is requested to provide for the following: To increase expenditure appropriations from unappropriated General Fund Balance for the General Plan Update. ACCOUNTING ENTRY: BUDGETARY FUND BALANCE Fund Account Description 010 3605 General Fund - Fund Balance REVENUE ESTIMATES (3601) Fund /Division Account EXPENDITURE APPROPRIATIONS (3603) Division Account Division Account Division Account Division Account Division Account Signed: Signed: Signed: Number Number Number Number Number Number Number Number Number Number Description Description 2710 Planning - Administration 8293 General Plan Update Financial Approval: Administrative Services Director City Manager City Council Approval: City Clerk Amount Debit $552,131.00 Credit $552,131.00 Date D Date General Plan Accounting as of 03/27/2006 for (6) specified vendors Kenny the Printer: 12/01/2001 - 11/2005 $115,625.35 Moore lacafano Goltsman Inc. (MIG) Aug -01 $221,500.00 Encumbrance 271002 $71,591.00 amendment Applied Development Economics Apr -02 $122,671.52 Encumbrance 271005 Urban Crossroads Apr -02 $226,618.02 Encumbrance 271004 M4 Strategy Feb -06 $508,000.00 Encumbrance 0310014 $472,523.45 approx. balance as of 03/27/2006 EIP Oct -01 $33,035.00 Encumbrance 271003 -01 Sep -03 $1,008,265.96 Encumbrance 2710001 October -04 $17,250.00 amendment $6,263.28 approx. balance as of 03/27/2006 $2,324,556.85 Grand Total as of 0312006