HomeMy WebLinkAbout05-17-2016 Item 11 Amendment of Contract for Consulting Services to Continue Processing the San Luis Ranch Project
Meeting Date: 5/17/2016
FROM: Michael Codron, Community Development Director
Prepared By: Doug Davidson, Community Development Deputy Director
Cori Ryan, Administrative Analyst
SUBJECT: AMENDMENT OF CONTRACT FOR CONSULTING SERVICES TO
CONTINUE PROCESSING THE SAN LUIS RANCH PROJECT
RECOMMENDATION
Authorize the Community Development Director to amend a contract with John F. Rickenbach
Consulting to include revised scope of work adding an additional $85,725 in cost for a total not
to exceed cost of $146,475 for Phase Two processing of the San Luis Ranch project.
DISCUSSION
Background
Due to record-high permit activity, the Community Development Department has been using
outside consultant assistance to augment staff resources and achieve its goals of timely response
to development applications. For San Luis Ranch, the Community Development Department
solicited proposals from qualified organizations to provide responsible and comprehensive
assistance in processing all stages of the project. Funding for the plan review is provided to the
City by the applicant. The City’s adopted fee schedule requires the applicant to pay for the time
and materials associated with the processing of the application, plus a 30% administrative fee
John F. Rickenbach Consulting submitted a proposal and was selected based on their extensive
local planning experience. The firm’s principal, John Rickenbach, was the project manager of the
first Environmental Impact Report (EIR) for the Dalidio Ranch project and he also wo rked on
the City’s General Plan EIR in 1994.
On November 21, 2013, the City Manager entered into a Reimbursement Agreement with the
developer, Coastal Community Builders, Inc. The Reimbursement Agreement sets the
parameters for the developer to reimburse the City for consultant costs associated with managing
the application through the full entitlement process. Shortly thereafter, the City Manager signed
the Consultant Services Contract with John Rickenbach for Phase One (Pre-Application) not to
exceed $24,395 (including the City’s administrative charge). John F. Rickenbach Consulting’s
scope of work for Phase Two of the project was approved by City Council on May 20, 2014 for a
not to exceed amount of $60,750. An updated project schedule has identified unanticipated work
efforts needed to complete Phase Two as outlined in John F. Rickenbach Consulting’s Contract
Amendment Request (Attachment A). The amended scope of work includes $85,725 in
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additional cost changing the not to exceed cost for the project to $146,475 which requires
Council authorization since it is over $50,000.
The consultant’s work effort is divided into two phases as follows:
Phase One: Manage pre-application review among internal staff and all work associated
with Planning Commission and City Council Study Sessions to initiate the formal
applications. Phase One of the consultant’s work is complete with the initiation of the
project applications on April 1, 2014 by the City Council. On April 1, 2014, the Council also
approved the Processing Memorandum of Understanding and authorized the staff to initiate
the Development Agreement and issue Requests for Proposals for the Environmental Impact
Report.
Phase Two: Manage project’s development review process including all staff meetings, staff
reports, public hearings, planning entitlements with supervision and assistance from a City
project planner and input from other Departments. Phase Two includes processing the
General Plan/Zoning Amendments, Specific Plan, Annexation, Development Agreement,
Development Plan, Tentative Tract Maps, while overseeing the environmental review
process and providing detailed technical, and policy review and analysis of the project
components through the development review process.
Development on the 131.3 acre property would include a mix of residential and non-residential
uses, although substantial portions of the site would be preserved in agricultural uses or open
space. Under a Specific Plan, up to 500 dwelling units could be built at various densities, with up
to 200,000 square feet of commercial, 150,000 square feet of office, as well as a 200-room hotel
and conference center. The project site is currently outside the City, but within its Sphere of
Influence, and would require annexation.
The proposed project is envisioned to implement the draft policies as articulated in the LUCE
update. The following entitlements and reviews would be required to implement the project:
1. General Plan Amendment/Pre-Zoning (being programmatically evaluated in the LUCE
EIR)
2. Specific Plan
3. Development Agreement
4. Development Plan/Tentative Tract Map(s)
5. Architectural Review
6. Project Level Environmental Review (under the California Environmental Quality Act)
FISCAL IMPACT
The City of San Luis Obispo would pay the consultant for Phase Two work on a time and
materials basis against a maximum, not-to-exceed budget of $146,475, which includes $53,325
that has already been paid, including professional fees and associated expenses (Attachment A,
Consultant’s Scope of Work and Cost Estimate). The developer will reimburse the City for all
actual costs for the consultant’s services, plus a 30 percent City administration fee. The total
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reimbursement for the amendment from the developer to the City will be $111,442. (Attachment
B, Planning Services Authorization)
ALTERNATIVES
1. The City Council could choose not to authorize additional work from John Rickenbach
Consulting. This is not recommended because it would run counter to the City Council’s
action to initiate the applications on April 1, 2014. Staff does not have the resources
currently to continue processing the application without schedule delays.
2. The Council could direct the Community Development Director to renegotiate the contract
with John F. Rickenbach Consulting to expand or reduce the scope of work. This is not
recommended because staff and the consultant have reviewed the scope of work/cost
estimates and found it appropriate for the level of work required.
Attachments:
a - Consultant's Scope of Work and Cost Estimate
b - Community Builder's Planning Services Authorization
c - John F. Rickenbach Consulting Contract
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City of San Luis Obispo, Community Development, 919 Palm Street, San Luis Obispo, CA, 93401-3218, 805.781.7170,
slocity.org
Planning Services Authorization
PROJECT TITLE: San Luis Ranch
APPLICANT: MI San Luis Ranch A DE LLC
APPLICANT ADDRESS: PO Box 13, Pismo Beach, CA 93449
PROJECT DESCRIPTION: Project Management for Development Review Process
Revision
PROCESSING FEES:
1. Consultant Fee (Firm: John F. Rickenbach Consulting)………………... $ 85,725
(Revenue Account 600-2437)
2. Administration Fee (30% of Consultant Fee)…………………………………. $ 25,718
(Revenue Account 100-45480)
3. Report Reproduction Fee/Advertising Fee…………………………………... $ 0
(Revenue Account 100-45480)
4. Other Fees (Specify: )………………………………… $ 0
5. Total Fees……………………………………………………………………… $ 111,443
Authorization and Assurances
The cost to the applicant for consultant services (as stated in line 1 above) is based on
the total cost included in the consultant's final scope of work for the San Luis Ranch
Project Management, as detailed in Exhibit "A", letter from John F. Rickenbach
Consulting.
Date Doug Davidson, Deputy Director
As applicant for this project, I hereby accept the fees for the project management for
the development review process and agree to deposit with the City of San Luis Obispo
Community Development Department, the amount shown on line 5 above. Upon
receipt of this sum, the Community Development Director is authorized to employ a
qualified consultant to complete project management for the development review
process.
Date Coastal Community Builders, Inc.
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