Report to Mayor and City Council
Tuesday, September 17, 2024
Consent
SUBJECT:
Title
CONSIDER APPROVAL OF AMENDMENT NO. 3 TO THE JOHNSON CONTROLS, INC., CONTRACT (C23-083) FOR CAPITAL IMPROVEMENT PROJECT PW1674 TO PROVIDE A COMPLETE INSTALLATION OF ADDITIONAL MATERIAL ALLOWING FOR EXPANSION OF THE NEW ACCESS CONTROL AND CCTV SURVEILLANCE SYSTEM (CITY COUNCIL)
Body
I. SUMMARY
On March 21, 2023, City Council awarded a five-year (5) contract (Exhibit No. 3) to Johnson Controls, Inc. (Contractor), to provide citywide video surveillance and access control systems at City Parks, City Hall, Community Center, and the Corporate Yard at a cost not to exceed $5,165,644.08.
On November 7, 2023, City Council approved Amendment No. 1 (Exhibit No. 4) to increase the contract amount by $686,331.00 to temporarily add CCTV trailers, and Mobile Marshall camera units by renting such equipment from Contractor for a period of six (6) months under City’s emergency procedures, which increased the contract sum from $5,165,644.08 to $5,851,975.08.
On December 5, 2023, City Council approved Amendment No. 2 (Exhibit No. 5) to upgrade the camera sensor types from single-sensor to multi-sensor cameras with additional cloud storage and to approve the schedule compression of one-year (1) installation to six (6) months, with a projected installation completion date of March 31, 2024, which increased the contract sum from $5,851,975.08 to $6,511,836.44.
Staff is now requesting City Council to approve Amendment No. 3 (Exhibit No. 1) to provide installation of additional materials allowing for expansion of the New Access Control and CCTV Surveillance systems for an additional amount of $1,740,485.59. However, the agreement provides for a $150,000 “allowance” to cover additional services required which none of the allowances have been used. Therefore, Johnson Controls is giving the City a credit of $150,000.00 toward the cost of Amendment No. 3 reducing the proposal cost to $1,590,485.59 (Exhibit No. 2). Approval of Amendment No. 3 will increase the contract sum from $6,511,836.44 to $8,102,322.03.
II. RECOMMENDATION
Recommendation
Take the following actions:
1. APPROVE Amendment No. 3 to the Agreement with Johnson Controls, Inc. (Exhibit No.1) to increase the contract sum from $6,511,836.44 to $8,102,322.03.
2. AUTHORIZE the Mayor to execute Amendment No. 3, following approval as to form by the City Attorney.
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III. ALTERNATIVES
TAKE any other action the City Council deems appropriate that is consistent with the requirement of law.
IV. BACKGROUND
City Council awarded a five-year contract to the lowest responsive and qualified bidder Johnson Controls, Inc., to provide citywide video surveillance and access control systems, including monitoring and maintenance of City Parks and Corporate Yard, at a cost not to exceed $5,165,644.08. City Council also authorized the expenditure of construction contingencies in the amount of $774,846.61 (15%) for any unforeseen construction work and other work that may be necessary to complete the project.
Due to increased crime-related activity at various City Parks and City Corporate Yard, staff made an emergency request to City Council to approve expenditures pursuant to Section 2611(d) of the City’s Municipal Code in the amount of $686,331.00 resulting in Amendment 1. This measure included the rental and temporary placement of CCTV trailers and Mobile Marshall camera units for a period of six (6) months. This amendment resulted in an increase to the base contract sum of $5,165,644.08 to $5,851,975.08. The amendment amount was applied to the $774,846.61 project contingency resulting in $88,515.61 remaining.
On December 5, 2023, staff returned to City Council for approval of Amendment No. 2. This amendment provided an upgrade to the Citywide video surveillance cameras to multi-sensors with additional cloud storage and changes to the schedule by compressing the one-year (1) installation period to six (6) months. This amendment increased the contract amount by $659,861.35, which increased the total contract sum from $5,851,975.08 to $6,511,836.44. Resolution No. 23-195 was also approved allowing a budget transfer from Project PW1737 to Project PW1674 in the 2023-24 Capital Improvement Program budget. It is important to note that the City has adopted the 2021 Edition of the Standard Specifications for Public Works Construction (“Greenbook”) as part of the original agreement. Under the Greenbook, change orders for the amount contemplated in Amendment No. 2 are permitted without bidding considerations so long as both City and contractor agree.
After the full installation of the cameras and access control systems, it was determined that additional coverage and more access control points were needed. Staff is now requesting City Council approval for Amendment No. 3, which includes the purchase and installation of additional equipment to expand the Access Control and CCTV Surveillance systems, totaling $1,740,485.59. However, the original agreement includes a $150,000 allowance for additional services, which has not yet been used. As a result, Johnson Controls is providing the City with a $150,000 credit, reducing the cost of Amendment No. 3 to $1,590,485.59. If approved, Amendment No. 3 will increase the total contract amount from $6,511,836.44 to $8,102,322.03.
V. FISCAL IMPACT
No fiscal impact. The funding is budgeted in the FY 2024-2025 budget.
VI. EXHIBITS
1. Proposed Amendment No. 3 to contract with Johnson Controls, Inc. (pgs.4-14)
2. Cost Proposal of Installation (pgs.15-18)
3. Original Contract No. 23-083 (pgs. 19-72)
4. Amendment No. 1 to contract No. 23-083 and Resolution No. 23-180 (pgs.74-82)
5. Amendment No. 2 to contract No. 23-083 and Resolution No. 23-195 (pgs.83-93)
Prepared by: Nora Garcia, Emergency Services Manager