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Home My WebLink About07 - Amendment No. 3 for Maintenance and Repair Services of City GeneratorsQ �EwPpRT CITY OF O � z NEWPORT BEACH <,FORN'P City Council Staff Report June 9, 2020 Agenda Item No. 7 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: Mark Vukojevic, Utilities Director - 949-644-3011, mvukojevic@newportbeachca.gov PREPARED BY: Joshua Rosenbaum, Senior Management Analyst, jrosenbaum@newportbeachca.gov PHONE: 949-644-3011 TITLE: Amendment No. Three with Global Power Group, Inc., for Maintenance and Repair Services of City Generators ABSTRACT: The City has thirty backup power generators located throughout the City that require regular preventative maintenance and as -needed repairs. The Fire, Library, Police, Public Works, and Utilities Departments utilize the services of a specialty contractor, Global Power Group, Inc., for these services. The current contract expires on June 30, 2020, and an amendment to the agreement, including an increase of $80,000 to the total not - to -exceed compensation amount and a one-year extension, is being requested. 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; and b) Approve Amendment No. Three to the Maintenance/Repair Services Agreement with Global Power Group, Inc., for preventative maintenance and as -needed repair services for City generators; adding $80,000 to the agreement, a one-year extension to the contract term, and authorize the Mayor and City Clerk to execute the Agreement. FUNDING REQUIREMENTS: The Fiscal Year 2019-20 adopted budget included sufficient funding for preventative maintenance and as -needed repair services for City generators, and the FY 2020-21 proposed budget also includes sufficient funding. The Utilities Department expenses these services to the Streetlight Services/Electrical Generator Maintenance account 0109063-851001; other departments and enterprise funds account for these services in their respective operating budgets. 7-1 Amendment No. Three with Global Power Group, Inc., for Maintenance and Repair Services of City Generators June 9, 2020 Page 2 DISCUSSION: The City has thirty generator units that are located throughout the City including the Civic Center, wastewater lift stations, water pump stations, the Corporation Yard, the Utilities Yard, fire stations, Lifeguard Headquarters, and Police Headquarters. All units require ongoing preventative maintenance and testing, along with occasional repairs. These generators provide backup power in the event of power outage and are vital pieces of equipment in times of emergency and other unexpected occasions. The maintenance and upkeep of all City generators is essential to ensure readiness and is a significant facet of our City's emergency preparedness efforts. Multiple departments utilize these contract services and the Utilities Department oversees this contract for the City. On June 23, 2015, City Council awarded the original contract with a not -to -exceed amount of $300,000 for a five-year term, expiring on June 30, 2020. In February 2018, due to unforeseen amounts of repair work, the Agreement was amended to increase the amount by $75,000 for a total of $375,000. On August 13, 2019, staff brought forward Amendment No. Two for City Council approval to increase the agreement by $120,000. The request of $120,000 was above the annual average but allowed the Departments some additional flexibility in the event of an emergency repair. Staff now recommends a third amendment to extend the agreement one year and to increase the agreement by $80,000 for a total amount of $575,000. Amendment No. Three will provide sufficient contract capacity to cover the costs for the preventative maintenance and as -needed repairs in the next fiscal year. Staff anticipated issuing a new Request for Proposals in March 2020 in anticipation of the agreement term ending in June and a new fiscal year. However, with the coronavirus pandemic and need for social distancing, there is limited ability to show prospective bidders the City's generators and the Department seeks an extension to the agreement. Staff will issue a new Request for Proposals next year instead. 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. ,Ti4TaP CC3 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. Three to Maintenance/Repair Services Agreement with Global Power Group, Inc. 7-2 ATTACHMENT A AMENDMENT NO. THREE TO MAINTENANCE/REPAIR SERVICES AGREEMENT WITH GLOBAL POWER GROUP, INC. FOR PREVENTATIVE MAINTENANCE AND AS -NEEDED REPAIR SERVICES FOR CITY GENERATORS THIS AMENDMENT NO. THREE TO PROFESSIONAL SERVICES AGREEMENT ("Amendment No. Three") is made and entered into as of this 9th day of June, 2020 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city ("City"), and GLOBAL POWER GROUP, INC., a California corporation ("Contractor"), whose address is 12060 Woodside Avenue, Lakeside, California 92040, and is made with reference to the following: RECITALS A. On June 18, 2015, City and Contractor entered into a Maintenance/Repair Services Agreement ("Agreement") for Contractor to perform maintenance and/or repair services for City ("Project"). B. On February 1, 2018, City and Consultant entered into Amendment No. One to the Agreement to increase the total compensation to Contractor. C. On August 13, 2019, City and Consultant entered into Amendment No. Two to the Agreement to increase the total compensation to Contractor. D. The parties desire to enter into this Amendment No. Three to extend the term of the Agreement to June 30, 2021, and to increase the total compensation to Contractor. 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 June 30, 2021, unless terminated earlier as set forth herein." 2. COMPENSATION TO CONSULTANT Exhibit B to the Agreement shall be supplemented to include the Schedule of Billing Rates, attached hereto as Exhibit B and incorporated herein by reference ("Services" or "Work"). Exhibit B to the Agreement, and Exhibit B to this Amendment No. Three shall collectively be known as "Exhibit B." 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 7-3 Rates attached hereto as Exhibit B 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 Five Hundred Seventy Five Thousand Dollars and 001100 ($575,000.00), without prior written authorization from City. No billing rate changes shall be made during the term of this Agreement without the prior written approval of City." The total amended compensation reflects Consultant's additional compensation for additional Services to be performed in accordance with this Amendment No. Three, including all reimbursable items and subconsultant fees, in an amount not to exceed Eighty Thousand Dollars and 001100 ($80,000.00). 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] Global Power Group, Inc. Page 2 7-4 IN WITNESS WHEREOF, the parties have caused this Amendment No. Three to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTORNEY'S OFFICE Date: U — I 1 — Ze> Zp CITY OF NEWPORT BEACH, a California municipal corporation Date: By: By: Aaron C. Harp W s -g-14.4 Will O'Neill City Attorney Mayor ATTEST: Date: CONSULTANT: GLOBAL POWER GROUP, INC., a California corporation Date: By: Leilani I. Brown Salvatore Martorana City Clerk President Date: By: Salvador Ceballos Chief Financial Officer [END OF SIGNATURES] Attachments: Exhibit B — Schedule of Billing Rates Global Power Group, Inc. Page 3 7-5 EXHIBIT B SCHEDULE OF BILLING RATES Global Power Group, Inc. Page B-1 7.6 Schedule of Billing Rates Effective June 1, 2020 City of Newport Beach Generator List and Global Power Group, Inc. Costs by Generator Location Make Model Quarterly PM Service (3x Per ear) Annual Total Per Unit Service (1x Per year) #5573 MQ DCA60SSI $281.52 $281.52 $1,126.08 #5576 MQ DCA60SSI $281.52 $281.52 $1,126.08 #5591 MQ DB1101-J $281.52 $281.52 $1,126.08 #5593 Generac GR50/04059- 0 $289.22 $289.22 $1,156.88 #5594 Generac GR50/04059- 0 $289.22 $289.22 $1,156.88 #5595 MQ DCA70-SSJU $289.22 $289.22 $1,156.88 #5596 MQ DCA85-SSJU $289.22 $289.22 $1,156.88- #5597 MQ DCA125- SUSJ $336.51 $336.51 $1,346.04 #9291 Generac 97AO5754-S $336.51 $336.51 $1,346.04 Back Bay Pump Station MQ GR85 $304.61 $304.61 $1,218.44 Bren Tract Kohler 50REZG $417.88 $417.88 $1,671.52 Caterpillar Portable Kato 200SR9E $439.89 $439.89 $1,759.56 Civic Center #1 - 2114805 Generac 13557300300 $571.84 $571.84 $2,287.36 Civic Center #2 - 2114806 Generac 13557300300 $571.84 $571.84 $2,287.36 Fire Station #1 Kohler 50REOZJD $417.88 $417.88 $1,671.52 Fire Station #2 Onan 125JC-3CR $417.88 $417.88 $1,671.52 Fire Station #3 Kohler 50REOZJD $417.88 $417.88 $1,671.52 Fire Station #4 Generac 93AO4362-S $417.88 $417.88 $1,671.52 Fire Station #5 Marathon 363PSL1607 $400.00 $545.00 $1,745.00 Fire Station #6 Generac 6498200100 $417.88 $417.88 $1,671.52 Fire Station #7 Onan DSHAC- 5841388 $439.88 $439.88 $1,759.52 Fire Station #8 Onan 50 DGCA $417.88 $417.88 $1,671.52 Life Guard Head Quarters Kohler 15OREOZJF $472.87 $472.87 $1,891.48 Harbor Ridge Kohler 45REZG $417.88 $417.88 $1,671.52 Main Library --TGenerac Kohler 15REOZK $417.88 $417.88 $1,671.52 rp-Ofice Station 1133915100 $527.86 1$527.86 $2,111.44 7-7 Polaris Dr Kohler 80REZG $472.87 $472.87 $1,891.48 Water Dept/Zone 4 Waukesha F1197GU $336.51 $336.51 $1,346.04 Water Dept/ 3 Pump 1 Big Canyon Reservoir Kohler 600ROZD4 $527.86 $527.86 $2,111.44 Zone 5 Kohler 10ORFG $417.88 $417.88 $1,671.52 TOTAL ANNUAL COSTS $47,822.16 REPAIR SERVICES REGULAR HOURLY RATES $98.52 MINIUMUM HOURS $104.47 $104.47 $417.88 AFTER-HOURS RATES $147.77 MINIUMUM HOURS $156.70 $156.70 $626.80 WEEKENDS $147.77 MINIUMUM HOURS $156.70 $156.70 $626.80 HOLIDAYS $197.03 MINIUMUM HOURS $208.95 $208.95 $835.80