HomeMy WebLinkAbout05 - Project Processing AssistanceQ SEW POST
CITY OF
NEWPORT BEACH
CqC /FOR�P City C®uncH Staff Report Agenda Item No. 5
July 10, 2012
TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Public Works Department
Stephen G. Badum, Director of Public Works
949 - 644 -3311, sbadum(cDnewportbeachca.gov
PREPARED BY: David Webb, Deputy Director of Public Works /City Engineer
APPROVED:
TITLE: Approval of Amendment No. 6 to Professional Services Agreement
with Schmitz & Associates for Project Processing Assistance
ABSTRACT:
The City entered into a Professional Services Agreement with Schmitz & Associates, Inc.,
for Coastal Development Permit (CDP) preparation, processing and support services for
the Sunset Ridge Park and Marina Park projects. Additional services are required for
supplemental analyses, meetings, and correspondence to address on -going California
Coastal Commission (CCC) issues.
RECOMMENDATION:
Approve Amendment No. 6 to the PSA with Schmitz & Associates, Inc. (Schmitz) of
Malibu, California for California Coastal Commission application preparation, processing
and support services at an additional Contract Cost of $52,825 and authorize the Mayor
and the City Clerk to execute the Amendment.
FUNDING REQUIREMENTS:
The current contract limit (including all approved amendments) is $375,836.50. With
approval of this amendment, the new contract limit will be $428,661.50. Sufficient funding
for this contract amendment is available in the current adopted budget. This item will be
expensed to the Sunset Ridge Project account No. 7412- C5100515.
DISCUSSION:
On June 8, 2010, City Council selected Schmitz and Associates to prepare process and
provide support services in the pursuit of the necessary Coastal Development Permits
(CDP's) for both the Sunset Ridge and Marina Park projects through the California Coastal
Approval of Amendment No. 6 to Professional Services Agreement with Schmitz &
Associates for Project Processing Assistance
July 10, 2012
Page 2
Commission. Since entering the original contract, staff has found it necessary to process
four amendments to provide additional compensation in response to both expected and
unexpected issues raised by the California Coastal Commission and /or the California State
Lands Commission. Both CDP applications have also experienced significant delays
associated our efforts to work through these state agencies.
Sunset Ridge Park
After considerable meetings, additional requested studies, and several plan modifications
associated with coastal staff's alleged concerns regarding various areas of vegetation, as
well as how our proposed access road connected to PCH and crossed the Banning Ranch
Property, the City's preferred Sunset Ridge Project application was finally presented and
heard at the November 2011 Coastal Commission meeting in Carlsbad. The City ended
up pulling the application prior to the Commission vote due to a number of factors including
misinformation presented by the Banning Ranch Conservancy and unacceptable project
conditions placed upon the Banning Ranch property owners by Coastal Staff. An
alternative park concept plan and Coastal Commission application was then developed
and submitted to the Coastal Commission in December 2011. Again, we were confronted
with more vegetation and animal concerns as well as their new concern for our ongoing
maintenance mowing of the property. In addition to the efforts necessary to process the
first and now second CDP application for Sunset Ridge Park, Schmitz and Associates
worked with the City in addressing a Notice of Violation issued by the Coastal Commission
within the project site area during our first CDP application cycle for Sunset Ridge Park.
Even though the Notice of Violation was for a period that the City did not own the property,
nor did the City cause the alleged violation, the City chose to take the "High Road" and
play an active role in resolving the violation so as to allow the project CDP application to
move forward. This issue was resolved in April 2011.
Given the continuing active resistance by BRC over the annual historic mowing of the
Sunset Ridge property and their desire for this area to be preserved as passive open
space use, staff and our consultant have and continue to be spending much more time
than envisioned on additional meetings, correspondence, and analyses responding to
additional issues raised by the California Coastal Commission. However after much effort,
the Coastal Commission hearing for our second application of Sunset Ridge Park is now
set for July 12, 2012.
Marina Park
Schmitz has also been activity engaged in the preparation and filing of the Marina Park
CDP application. Marina Park's CDP application was filed in October 2010, and after
many delays and turns in the road, it was finally heard and approved at the June 2012
Commission Hearing. This application too turned out to be full of challenges as well. A
Tidelands boundary dispute with the State Lands Commission required some
unanticipated assistance by Schmitz and Associates to engage the Lieutenant Governor's
FA
Approval of Amendment No. 6 to Professional Services Agreement with Schmitz &
Associates for Project Processing Assistance
July 10, 2012
Page 3
office in resolving the tidelands boundary over the Marina Park property. Schmitz
assistance was necessary as the Coastal Commission staff would not further our CDP
permit for the Marina Park Project until a tideland boundary agreement with the State
Lands Commission had been obtained. Neither the issues with the State Lands
Commission nor the many additional meetings and correspondence with Coastal
Commission staff to move this application forward were originally anticipated. The
boundary agreement was eventually resolved to the satisfaction of the City and finalized in
March 2012. Twenty special conditions were eventually proposed by Coastal Staff on the
project. Many were problematic and required a great deal of Coastal Commission
experience to resolve. One of these conditions involved coastal staff's contention that all
intra -tidal areas were going to be classified as wetlands, which if applied to the project,
would have resulted in the deletion of the proposed Marina and associated Sailing Center.
These significant and unanticipated items, as well as continued efforts to work out
differences among the Regulatory Agencies have consumed additional City and project
consultant resources. This unfortunate additional processing has resulted in an increase in
the scope of services required of Schmitz and Associates. These items have also resulted
in significant delays in starting construction on both projects.
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).
Submitted by:
r `G. Badum,
r of Public Works
A. Amendment No.6 to Professional Services Agreement
J
ATTACHMENT A
An
AMENDMENT NO. SIX TO
PROFESSIONAL SERVICES AGREEMENT WITH
SCHMITZ & ASSOCIATES, INC. FOR
CALIFORNIA COASTAL COMMISSION APPLICATIONS FOR MARINA PARK AND
SUNSET RIDGE PARK
THIS AMENDMENT NO. SIX TO PROFESSIONAL SERVICES AGREEMENT
( "Amendment No. SIX "), is entered into as of this day of 2012,
by and between the CITY OF NEWPORT BEACH, a California Municipal Corporation
( "City "), and SCHMITZ & ASSOCIATES, INC. a California Corporation whose address
is 29350 Pacific Coast Highway, Suite 12, Malibu, California 90265 ( "Consultant "), and
is made with reference to the following:
RECITALS:
A. On July 22, 2010, City and Consultant entered into a Professional Services
Agreement ( "Agreement ") for preparation and processing of the California
Coastal Commission's Coastal Development Permits Applications services for
the Marina Park and Sunset Ridge Park ( "Project ").
B. On November 30, 2010, City and Consultant entered into Amendment No. One
to the Agreement to increase the scope of work, increase the total compensation
and update the insurance requirements ( "Amendment No. One ").
C. On April 22, 2011, City and Consultant entered into Amendment No. Two to the
Agreement to increase the scope of work and increase the total compensation
( "Amendment No. Two ").
D. On October 7, 2011, City and Consultant entered into Amendment No. Three to
the Agreement to extend the term of the Agreement, to increase the total
compensation and update insurance requirements ( "Amendment No. Three ").
E. On January 12, 2012, Clty and Consultant entered Into Amendment No. Four to
the Agreement to increase the scope of work and increase the total
compensation ( "Amendment No. Four').
F. On February 13, 2012, City and Consultant entered into Amendment No. Five to
the Agreement to reflect additional services not included in the Agreement or
prior Amendments and to increase the total compensation.
G. City desires to enter into this Amendment No. Six to reflect additional Services
not included in the Agreement or prior Amendments and to increase the total
compensation.
H. City and Consultant mutually desire to amend the Agreement, as provided below.
NOW, THEREFORE, it is mutually agreed by and between the undersigned
parties as follows:
1. SERVICES TO BE PERFORMED
Section 2 of the Agreement, as amended shall be supplemented to include the
Supplemental Agreement Estimate dated June 8, 2012, which is attached hereto as
Exhibit A and incorporated herein by reference. The City may elect to delete certain
tasks of the Scope of Services at its sole discretion.
2. COMPENSATION
Section 4.1 of the Agreement as amended shall be amended in its entirety and replaced
with the following:
4.1 City shall pay Consultant for the Services on a time and expense not -to-
exceed basis in accordance with the provisions of this Section, the Scope of Services
and Supplemental Agreement Estimate attached to the Agreement as Exhibit A and the
Schedule of Billing Rates attached to the Agreement 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 subconsullant fees, shall not
exceed Four Hundred Twenty Eight Thousand, Four Hundred Ninety Five Dollars
and 621100 ($428,495.62) 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.
3. INTEGRATED CONTRACT
Except as expressly modified herein, all other provisions, terms, and covenants set forth
in the Agreement as amended shall remain unchanged and shall be in full force and
effect.
[SIGNATURES ON NEXT PAGE]
SCHMITZ & ASSOCIATES, INC.
Page 2
ro
IN WITNESS WHEREOF, the parties hereto have executed this Amendment No.
Six on the dates written below.
APPROVED AS TO FORM: Cl TY OF NEWPORT BEACH,
CITY ATTARN,Fx'S OFFICE A California municipal corporation
By: 4-- By:
Aarbqi C. Harp Nancy Gardner
City Attorney c� Mayor
ATTEST: CONSULTANT: SCHMITZ &
Date: ASSOCIATES, INC., a California
Corporation
Date:
By: By:
Leilani I. Brown Donald W. Schmitz, II, AICP
City Clerk Chief Executive Officer and
Chief Financial Officer
Attachment: Exhibit A — Supplemental Agreement Estimate
[END OF SIGNATURES]
SCHMITZ & ASSOCIATES, INC. Page 3
I
EXHIBIT''. A
61 i
a
June 8, 2012
Via Email
Dave Webb
City of Newport Beach
3300 Newport Blvd.
Newport Beach, CA 92663
RE: Sunset Ridge Park Project— Supplemental Agreement Estimate
Dear Mr. Webb.
Schmitz & Associates is pleased to have the opportunity to continue to be of assistance to
the City of Newport Beach on the Sunset Ridge Park and Marina Park projects This
correspondence serves to provide you with our Supplemental Estimate for the City's
consideration and approval.
Sunset Ridge Park
The currently pending project Coastal Development Permit (CDP) application was submitted
to the Coastal Commission in December of 2011. Our previously prepared and approved
estimate for this CDP processing assumed only one round of incompletion comments from
Coastal staff As you are aware, since our December 2011 submittal, we have had several
meetings and phone discussions with Coastal staff wherein they have raised specific issues
and made particular requests for additional information. We have worked with the City in
preparing the requisite responsive materials. In addition, despite past positive discussions
between the City and CCC Deputy Director on the mowing issue, the issue remains
unresolved and required more of our involvement than Initially anticipated. Finally, because
our April hearing date was postponed by CCC staff and due to the recommendation of denial
by CCC staff as per their June 1. 2012 staff report based on the mowing issue, we will be
conducting another round of ex parte meetings /communications with Coastal Commissioners
and preparing a responsive submittal to the CDP staff report arguments.
Activities
Estimated Hours
Estimated Cost
of Services
1. CDP Application Processing,
5 hrs @ $175/hr
$2,250
Communications /meetings with CCC staff regarding
Plus
all requests for additional information and regarding
5 hrs @ $275/hr
specific feedback from project application review_
Preparation of responsive materials/
correspondences for submittal to CCC staff as
needed. Communications and coordination with City
staff and project consultants regarding same.
2. CCC Advocacy. Includes S &A Principal
60 hrs @ $275/hr
$17,375
Meeting /Communicating with Coastal
Plus
Commissioners. Includes preparation of materials for
5 hrs @ $175/hr
said ex parte discussions and subsequent
preparation of ex parte declarations.
PROVIDERS OF LAND USE PLANNING
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3. CDP Staff Report Discussions) Responses and
Hearing Preparations. Meetings /communications
with CCC staff on remaining issues /staff report
findings and recommendations. Includes meeting
with CCC Executive Director on May 8, 2012.
Includes coordination regarding potential Sacramento
advocacy. Includes preparing a responsive analysis
and submittal to CCC staff in response to their June
Marina Park
15 hrs @ $275 /hr $7,625
Plus
20 hrs @ $175 /hr
As you know, besides the State Lands Commission boundary determination issues (which
have been addressed), two of the other primary issues raised by CCC staff on the Marina
Park project which have persisted for several months and which have required additional
research and analysis and CCC staff meetings were those pertaining to the lighthouse
feature and more importantly the wetlands claim. These issues greatly expanded our
activities and hours related to Phase III ( "CDP Application Processing /Advocacy with Staff')
of our originally approved contract. As such, hours initially allocated for Phase IV ( "CDP
Application Hearing Preparation ") were utilized. We are pleased with CCC staff's
recommendation of approval. However, as you are aware, there are several Special
Conditions recommended by staff to which we have had to respond and counter. As we
approach this month's CDP hearing for this project, we respectfully request additional hours
for ex parte communications /meetings with Coastal Commissioners and preparation of our
PowerPoint presentation and handouts for the CDP hearing.
Activities
Estimated Hours
Estimated Cost of
Services
1. Ex Parte Meetings and Communications
40 hrs @ $275/hr
$11,825
in Preparation for Hearing. Includes
Plus
preparation of briefing materials and handout
5 hrs @ $165 /hr
documents for CCC ex parte meetings (as
requested by some Commissioners).
2. Preparation of PowerPoint and Handouts
60 hrs @ $165/hr
$9,900
for June CDP Hearing. Includes modifications
based on design team and City staff's feedback.
3. Research and analysis and preparation of
5 hrs @ $275/hr
$3,850
correspondence in response to CDP staff
Plus
report's specific Special Conditions.
15 hrs @ $165 1hr
Includes coordination of input from design team
and City staff. Includes follow up
communications with CCC staff.
Subtotal:
$25,575
TOTAL (NB -SRP
$52,825
and MP):
/0
Should you have any questions, please do not hesitate to contact us at (818)338 -3636. We
thank you again for this opportunity to be of continued assistance to the City.
Sincerely,
SCHHMITZ &( ASSOOCIATES, INC.
USN o �ua- �lOW
Donna Tripp
Regional Manager