Explanation
1. BACKGROUND:
A. Need. This legislation authorizes the Director of Public Utilities to modify an existing contract for Construction Services for the Division of Sewerage and Drainage, in order to provide scheduled additional monies necessary for services to continue to be provided to the Division.
B. Contract History. The existing contract was bid on July 22, 1998. A contract was authorized by Ordinance No. 2786-98, passed November 9, 1998, and was executed December 31, 1998. The bid documents contemplated incremental funding of a multi-year contract. It is now proposed to modify the contract with T&Y Construction, Inc., to provide funds to continue services, under the City's option.
C. Contract Compliance No.: 311093858.
D. Type of Business Enterprise: MBE.
E. Emergency Designation: Emergency designation is not requested.
2. FISCAL IMPACT:
A. Budget Information: Funds for this contract were budgeted in the amount of $400,000.00 for FY2003. A previous modification to this contract in the amount of $153,998.00 was passed earlier this year.
B. Contract Modification Information Pursuant to Section 329.13, CCC:
1) Amount of Additional Funds - This Modification: $145,471.20
2) Why the Need for additional Work Could Not Be Foreseen: The need for contract continuance via modification to provide incremental funding was foreseen, and is included in the original procurement's specifications.
3) Why Other Procurement Processes Would Not Be In the City's Best Interest: This modification is deemed the most feasible and reasonable means of continuing to provide needed services.
4) How the Cost of the Modification Was Determined: The cost of the Modification to the contract was based upon the contractor's current pricing structure, as verified by City staff. The existing contract provides for this mechanism.
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