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Report regarding an amendment to the Administrative, Plan Check, and Inspection Services Agreements with CSG Consultants, Inc. and West Coast Code Consultants, Inc, authorizing a two-year extension, and authorizing the City Manager to execute said agreements on behalf of the City. (Matthew Ruble, Principal Engineer)
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RECOMMENDATION
Recommendation
It is recommended that the City Council adopt a resolution approving an amendment to the Administrative, Plan Check, and Inspection Services Agreements with CSG Consultants, Inc. and West Coast Code Consultants, Inc. for an amount not to exceed $2,000,000 per fiscal year, authorizing an additional two-year extension, and authorizing the City Manager to execute said agreements on behalf of the City.
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BACKGROUND/DISCUSSION
Over the last 20 years, South San Francisco has seen considerable regional growth, highlighted by the development and expansion of biotech campuses and facilities and transportation improvements and enhancements, including the development of pedestrian-bicycle-friendly areas. This growth, especially in the biotech and housing sectors, has led to a marked increase in the workload for the Engineering Division of the Public Works Department.
Land development services include engineering and surveying plan reviews, permitting, and construction inspection services tailored to meet each project’s specific requirements. In 2023, the Engineering Division reported a 70% increase in encroachment permits issued and a 45% rise in the number of planning and building permit plan reviews compared to 2021. Due to the unpredictability of development, consultant support plays a critical role in providing timely service. Developers are responsible for all the City’s costs associated with entitlement and build out for their projects, including planning, legal, design, inspection, and administrative expenses. The costs represent a pass-through expense from the City to the developer.
On February 12, 2020, the City Council approved consulting service agreements with the firms CSG Consultants, Inc. (CSG) and West Coast Code Consultants, Inc. (WC3) and on February 9, 2022, Council approved a first amendment. These agreements expire on March 6, 2024, and staff is recommending the City Council approve a two-year extension.
Engineering Services Process
The Engineering Division will authorize work under these agreements on a task order basis and will rely primarily on pass-through funds provided by applicants for specific development projects. Once the on-call agreements are executed, these specific projects will be processed and tracked with the on-call firms through the following process:
1. Proposed project will apply for engineering services under either (a) plan review, (b) mapping review, or (c) construction inspection.
2. Engineering will assign a third-party reviewer or inspector based on the consultants’ availabilities and workloads.
3. Applicant will pay for services consistent with the adopted Master Fee Schedule.
4. Staff will track the consultants’ authority through task orders and invoice totals.
Assessment of Consultant Performance
Since their contracts commenced in March of 2020, WC3 and CSG have delivered plan reviews, field inspections, project management, and administrative services to the Engineering Division.
The additional capacity provided by WC3 and CSG is essential for the Engineering Division to achieve its goals for timely review processes and maintaining inspection schedules. Both consulting firms consistently deliver high-quality work and administrative tasks within expected timeframes.
Moreover, WC3 and CSG have proven to be reliable partners in conducting plan reviews and inspections in the best interest of the City and enforcing our codes and policies. Their experience and feedback also benefit the Engineering Division, assisting with our design and condition standards updates.
FISCAL IMPACT
The fiscal impact is neutral to the General Fund since expenditures directly correlate with permit fees, ensuring that costs incurred are offset by the revenue generated.
RELATIONSHIP TO STRATEGIC PLAN
The proposed engineering service agreements are consistent with the City’s Strategic Plan initiative of Quality of Life by helping to provide safe and well-designed infrastructure.
CONCLUSION
Staff recommends the City Council adopt a resolution authorizing the City Manager to execute an extension to the consulting services agreements with CSG Consultants, Inc. and West Coast Code Consultants, Inc. based on their performance and the Engineering Division’s need for staff augmentation.