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Home My WebLink About10 - Amendment to On-Call M/RSA for Sewer Root Control ServicesQ �EwPpRT CITY OF s NEWPORT BEACH `q44:09 City Council Staff Report May 27, 2025 Agenda Item No. 10 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 - 949-644-3057 josenbaum@newportbeachca.gov TITLE: Amendment to On -Call Maintenance Agreement with Duke's Root Control, Inc., for Sewer Root Control Services ABSTRACT: The Utilities Department manages the City of Newport Beach's wastewater system and utilizes an on -call maintenance contractor to provide supplemental sewer root control services. The contractor uses a proprietary process to safely remove tree roots within sewer pipelines, which helps prevent blockages. The existing contract with Duke's Root Control, Inc., expires in July. Staff recommends City Council approval of a two-year extension to the agreement. RECOMMENDATIONS: 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. One to the On -Call Maintenance/Repair Services Agreement with Duke's Root Control, Inc., for Sewer Root Services, which extends the contract for two additional years to June 30, 2027, and increases the contract amount by $290,000, and authorize the Mayor and City Clerk to execute the Agreement. DISCUSSION: The operation and maintenance of the City's wastewater collection system, also known as the sewer system, are managed by certified Utilities Department staff and contractors. During routine cleaning and video inspection of the City's sewer pipelines, small web -like tree roots are often encountered and removed to eliminate potential pipeline blockages. Root intrusion can lead to line stoppages, sanitary sewer overflows, and the buildup of grease and debris. Staff tracks and logs root locations while performing maintenance activities. These logs and video reports are used to prepare enhanced cleaning cycles, schedule spot repairs, and coordinate with specialty contractors for additional assistance. 10-1 Amendment to On -Call Maintenance Agreement with Duke's Root Control, Inc., for Sewer Root Control Services May 27, 2025 Page 2 The primary method for removing roots involves a roto-cutter attached to the City's high pressure jetter. Depending on the situation and severity, staff may request Duke's Root Control, Inc., to apply an EPA -registered product, which kills deep, web -like tree roots without harming above -ground vegetation. Duke's product is injected as foam from manhole to manhole, killing roots on contact and inhibiting regrowth. This method is significantly more cost-effective than spot excavation repairs. Duke's has provided sewer root control services for the City since 2015, and staff remains satisfied with the contractor's performance. The product used by Duke's is one of the only products approved for use in the wastewater treatment system by the Orange County Sanatation District. The Utilities Department originally entered into an agreement with Duke's in 2022 following a competitive selection process. With the concurrence of the Finance Department, the Utilities Department negotiated a two-year agreement extension, bringing the total agreement term to five years. Unit pricing has increased in line with inflationary costs for labor, materials, equipment, fuel and insurance since the original agreement in 2022. However, Duke's unit pricing remains 7% lower than its national contract pricing. Staff recommends City Council approval to extend the agreement through June 30, 2027, and to increase the agreement's compensation limit by $290,000. FISCAL IMPACT: The proposed Fiscal Year 2025-26 budget includes funding for this amendment to the agreement in the Wastewater Fund, which is funded primarily by ratepayers. Funds for tree root foaming contract services are programmed annually within the Utilities Wastewater Division Tree Root Foaming account (7119061-851054) and Maintenance and Repairs account (7019061-851037). 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. 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. One to On -Call Maintenance/Repairs Services Agreement with Duke's Root Control, Inc. for Sewer Root Control 10-2 ATTACHMENT A AMENDMENT NO. ONE TO ON -CALL MAINTENANCE/REPAIR SERVICES AGREEMENT WITH DUKE'S ROOT CONTROL, INC. FOR SEWER ROOT CONTROL SERVICES THIS AMENDMENT NO. ONE TO ON -CALL MAINTENANCE/REPAIR SERVICES AGREEMENT ("Amendment No. One") is made and entered into as of this 27th day of May, 2025 ("Effective Date"), by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city ("City"), and DUKE'S ROOT CONTROL, INC., a New York corporation ("Contractor"), whose address is 400 Airport Road, Suite E, Elgin, IL 60123-9368 and is made with reference to the following: i:4 X*111 r,1161 A. On July 12, 2022, City and Contractor entered into an On -Call Maintenance/Repair Services Agreement (Contract No. C-8555-2) ("Agreement") for on -call maintenance and/or repair services for City ("Project"). B. The parties desire to enter into this Amendment No. One to extend the term of the Agreement to June 30, 2027, to update the Notices section, and to increase the total compensation. NOW, THEREFORE, it is mutually agreed by and between the undersigned parties as follows: 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, 2027, unless terminated earlier as set forth herein." 2. COMPENSATION TO CONTRACTOR Effective as of July 1, 2025, Exhibit B to the Agreement shall be deleted in its entirety and replaced with the Schedule of Billing Rates, attached hereto as Exhibit B and incorporated herein by reference. Section 4.1 of the Agreement is amended in its entirety and replaced with the following: "City shall pay Contractor for the Services on a time and expense not -to -exceed basis in accordance with the provisions of this Section and the Letter Proposal and the Schedule of Billing Rates attached hereto as Exhibit B and incorporated herein by reference. Except as otherwise provided herein, no rate changes shall be made during the term of this Agreement without the prior written approval of City. Contractor's compensation for all Services performed in accordance with this Agreement, including all reimbursable items, shall not exceed Six Hundred Forty Thousand Dollars and 00/100 ($640,000.00), without prior written amendment to the Agreement." 10-3 The total amended compensation reflects Contractor'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 Two Hundred Ninety Thousand Dollars and 001100 ($290,000.00). 3. NOTICES Section 25.3 of the Agreement is amended in its entirety and replaced with the following: "All notices, demands, requests or approvals from City to Contractor shall be addressed to Contractor at: Attn: Tom Edwards Duke's Root Control, Inc. 400 Airport Road, Suite E Elgin, IL 60123-9368" 4. 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] Duke's Root Control, Inc. Page 2 10-4 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: ! / �-1 S a on C. Harp M1. Ci- y Attorney S/ 4/as ATTEST: Date: 0 Leilani I. Brown City Clerk Attachments CITY OF NEWPORT BEACH, a California municipal corporation Date: By: Joe Stapleton Mayor CONTRACTOR: DUKE'S ROOT CONTROL, INC., a New York corporation Date: rf r By: Matthew Fishbune Chief Executive Officer Date: .j -/,3 ~ J 5' By: (- Richelle Owens Secretary [END OF SIGNATURES] Exhibit B — Schedule of Billing Rates Duke's Root Control, Inc. Page 3 10-5 EXHIBIT B SCHEDULE OF BILLING RATES Duke's Root Control, Inc. Page B-1 10-6 EXHIBIT B SCHEDULE OF BILLING RATES SEWER ROOT CONTROL SERVICES — COST BY PIPE DIAMETER SIZE Effective July 1, 2025 Pipe Size (Diameter) Price per Linear Foot 4 inch pipe $1.89 per linear foot 6 inch pipe $1.89 per linear foot 8 inch pipe $1.89 per linear foot 10 inch pipe $1.99 per linear foot 12 inch pipe $2.19 per linear foot 15-inch pipe $2.98 per linear foot Other Services - Each house lateral service will cost $119.07 per unit, which includes mobilization and the linear feet sewer root services. 10-7