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HomeMy WebLinkAboutItem 23 - Approve an Amendment to the Agreement with SLS Property Solutions, Inc.Planning and Building Agency https://www.santa-ana.org/pb Item # {{item.number}} City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report March 16, 2021 TOPIC: Approve an Amendment to the Agreement with SLS Property Solutions, Inc. AGENDA TITLE: Approve an Amendment to the Agreement with SLS Property Solutions, Inc., to increase the Agreement amount by $160,000 for a total of $205,000, to extend the term to June 30, 2022, and to add a one-year renewal option ending on June 30, 2023. RECOMMENDED ACTION Authorize the City Manager to execute an agreement amendment with SLS Property Solutions, Inc., for property nuisance abatement services to increase the agreement amount by $160,000 for a total of $205,000, to extend the term of the agreement to June 30, 2022, and to add a one-year renewal option ending on June 30, 2023, exercisable by the City Manager subject to non -substantive changes approved by the City Manager and City Attorney. DISCUSSION On July 11, 2018, the City issued an RFP (18-060) for Board -Up Services. Four proposals were received and reviewed by Code Enforcement staff and based on the final scores, the three most qualified and responsive vendors were recommended to the City Council. On August 21, 2018, the City Council authorized the City to enter into a service agreement with the three recommended vendors: Mariposa Landscape, Inc., Real Estate Consulting Services, Inc., and SLS Property Solutions, Inc., for the aggregated amount of $45,000 over a three year term ending on June 30, 2021. Of the three vendors, only SLS Property Solutions (SLS) and Real Estate Consulting Services, Inc., executed a service agreement with the City. Buildings and properties which are determined have dangerous conditions as defined Under the California Health and Safety Code, the Uniform Building Code, the International Property Maintenance Code, and the Santa Ana Municipal Code (SAMC) may be declared to be public nuisances and may be mandated to abate through repair, rehabilitation, demolition, or removal. Clear examples of hazardous or nuisance conditions include unsecured and vacant structures, vacant properties, unfenced vacant parcels with overgrown vegetation, trash and debris left on a property, swimming pools without adequate protective fencing, and other hazardous conditions as defined by the California Health and Safety Code (Section 17920.3) which create imminent danger, Approve an Amendment to the Agreement with SLS Property Solutions, Inc. March 16, 2021 Page 2 extreme blighted conditions, or present a threat to life, health, property, or safety of the public. These substandard and dangerous conditions also attract graffiti and transient activities. Overgrown vegetation, trash, and abandoned swimming pools can become a breeding ground for rodents and insects, and in the case of a swimming pool, a drowning risk as well. When an inspection confirms one or more of such hazardous conditions, the Code Enforcement Officer issues the property owner a Notice and Order to correct within a specified time -period. In cases where the owner does not remedy the hazardous condition(s) within the timeframe identified on the Notice and Order, the City may take all necessary actions to abate the nuisance conditions and secure the property. In these situations, the City contacts each of the two vendors to obtain service estimates to complete the abatement work on the City's behalf. Employing third party contractors to abate nuisance properties increases enforcement efficiency and effectiveness and provides a comprehensive abatement process within the Code Enforcement Division. Out of the two service providers that executed a service contract with the City, SLS has been the only responsive, effective, and reliable provider in providing timely abatement services. Section 62 of Chapter 17 of the SAMC holds property owners responsible for all abatement costs and administrative fees incurred by the City associated with the abatement process. After being billed by the City, if the property owner does not reimburse the City in a timely manner, the total amount of associated costs will be referred to the Orange County Tax Assessor for recording as a lien on the property. Upon receipt of reimbursements, funds will be deposited in the Special Repair and Demolition Fund (No. 12116002- 53507). ENVIRONMENTAL IMPACT There is no environmental impact associated with this action. FISCAL IMPACT Funds will be recorded in account Nos. 01116540-62300 and 12116540-62300, and will be made available from FY 2021-2023 contingent upon annual budget approval. The fiscal year breakdown is an estimate and the actual amounts per year may vary depending upon project needs. Approve an Amendment to the Agreement with SLS Property Solutions, Inc. March 16, 2021 Page 3 Fiscal Accounting Unit Fund Accounting Unit, Account Amount Year Description Description 01116540 -62300 General Fund PLNG & BLG AGY — Code $ 18,000 FY2020- Enforcement Contract 21 12116540-62300 Special Fund PLNG & BLG AGY-Special 12,000 Repair and Demolition Fund 01116540 -62300 General Fund PLNG & BLG AGY — Code $ 35,000 FY2021- Enforcement Contract 22 12116540-62300 Special Fund PLNG & BLG AGY-Special 30,000 Repair and Demolition Fund 01116540 -62300 General Fund PLNG & BLG AGY — Code $ 35 000 FY2022- Enforcement Contract 23 12116540-62300 Special Fund PLNG & BLG AGY-Special $ 30,000 Repair and Demolition Fund TOTAL $ 160,000 Section 62 of Chapter 17 of the SAMC states property owners are responsible for reimbursement to the City for all abatement costs and administrative fees. Upon receipt of reimbursements, funds will be deposited in the Special Repair and Demolition Fund (No. 12116002-53507). Furthermore, if the City is not reimbursed by the property owner in a timely manner after abatement services are provided, the total amount of associated costs will be referred to the Orange County Tax Assessor for recording as a lien on the property. EXHIBIT(S) 1. First Amendment to Agreement with SLS Property Solutions, Inc. Submitted By: Minh Thai, Executive Director of Planning and Building Agency Approved By: Kristine Ridge, City Manager Planning and Building Agency https://www.santa-ana.org/pb Item # 23 City of Santa Ana 20 Civic Center Plaza, Santa Ana, CA 92701 Staff Report March 16, 2021 TOPIC: Approve an Amendment to the Agreement with SLS Property Solutions, Inc. AGENDA TITLE: Approve an Amendment to the Agreement with SLS Property Solutions, Inc., to increase the Agreement amount by $160,000 for a total of $205,000, to extend the term to June 30, 2022, and to add a one-year renewal option ending on June 30, 2023. RECOMMENDED ACTION Authorize the City Manager to execute an agreement amendment with SLS Property Solutions, Inc., for property nuisance abatement services to increase the agreement amount by $160,000 for a total of $205,000, to extend the term of the agreement to June 30, 2022, and to add a one-year renewal option ending on June 30, 2023, exercisable by the City Manager subject to non -substantive changes approved by the City Manager and City Attorney. DISCUSSION On July 11, 2018, the City issued an RFP (18-060) for Board -Up Services. Four proposals were received and reviewed by Code Enforcement staff and based on the final scores, the three most qualified and responsive vendors were recommended to the City Council. On August 21, 2018, the City Council authorized the City to enter into a service agreement with the three recommended vendors: Mariposa Landscape, Inc., Real Estate Consulting Services, Inc., and SLS Property Solutions, Inc., for the aggregated amount of $45,000 over a three year term ending on June 30, 2021. Of the three vendors, only SLS Property Solutions (SLS) and Real Estate Consulting Services, Inc., executed a service agreement with the City. Buildings and properties which are determined have dangerous conditions as defined Under the California Health and Safety Code, the Uniform Building Code, the International Property Maintenance Code, and the Santa Ana Municipal Code (SAMC) may be declared to be public nuisances and may be mandated to abate through repair, rehabilitation, demolition, or removal. Clear examples of hazardous or nuisance conditions include unsecured and vacant structures, vacant properties, unfenced vacant parcels with overgrown vegetation, trash and debris left on a property, swimming pools without adequate protective fencing, and other hazardous conditions as defined by the California Health and Safety Code (Section 17920.3) which create imminent danger, Approve an Amendment to the Agreement with SLS Property Solutions, Inc. March 16, 2021 Page 2 extreme blighted conditions, or present a threat to life, health, property, or safety of the public. These substandard and dangerous conditions also attract graffiti and transient activities. Overgrown vegetation, trash, and abandoned swimming pools can become a breeding ground for rodents and insects, and in the case of a swimming pool, a drowning risk as well. When an inspection confirms one or more of such hazardous conditions, the Code Enforcement Officer issues the property owner a Notice and Order to correct within a specified time -period. In cases where the owner does not remedy the hazardous condition(s) within the timeframe identified on the Notice and Order, the City may take all necessary actions to abate the nuisance conditions and secure the property. In these situations, the City contacts each of the two vendors to obtain service estimates to complete the abatement work on the City's behalf. Employing third party contractors to abate nuisance properties increases enforcement efficiency and effectiveness and provides a comprehensive abatement process within the Code Enforcement Division. Out of the two service providers that executed a service contract with the City, SLS has been the only responsive, effective, and reliable provider in providing timely abatement services. Section 62 of Chapter 17 of the SAMC holds property owners responsible for all abatement costs and administrative fees incurred by the City associated with the abatement process. After being billed by the City, if the property owner does not reimburse the City in a timely manner, the total amount of associated costs will be referred to the Orange County Tax Assessor for recording as a lien on the property. Upon receipt of reimbursements, funds will be deposited in the Special Repair and Demolition Fund (No. 12116002- 53507). ENVIRONMENTAL IMPACT There is no environmental impact associated with this action. FISCAL IMPACT Funds will be recorded in account Nos. 01116540-62300 and 12116540-62300, and will be made available from FY 2021-2023 contingent upon annual budget approval. The fiscal year breakdown is an estimate and the actual amounts per year may vary depending upon project needs. Approve an Amendment to the Agreement with SLS Property Solutions, Inc. March 16, 2021 Page 3 Fiscal Accounting Unit Fund Accounting Unit, Account Amount Year Description Description 01116540 -62300 General Fund PLNG & BLG AGY — Code $ 18,000 FY2020- Enforcement Contract 21 12116540-62300 Special Fund PLNG & BLG AGY-Special 12,000 Repair and Demolition Fund 01116540 -62300 General Fund PLNG & BLG AGY — Code $ 35,000 FY2021- Enforcement Contract 22 12116540-62300 Special Fund PLNG & BLG AGY-Special 30,000 Repair and Demolition Fund 01116540 -62300 General Fund PLNG & BLG AGY — Code $ 35 000 FY2022- Enforcement Contract 23 12116540-62300 Special Fund PLNG & BLG AGY-Special $ 30,000 Repair and Demolition Fund TOTAL $ 160,000 Section 62 of Chapter 17 of the SAMC states property owners are responsible for reimbursement to the City for all abatement costs and administrative fees. Upon receipt of reimbursements, funds will be deposited in the Special Repair and Demolition Fund (No. 12116002-53507). Furthermore, if the City is not reimbursed by the property owner in a timely manner after abatement services are provided, the total amount of associated costs will be referred to the Orange County Tax Assessor for recording as a lien on the property. EXHIBIT(S) 1. First Amendment to Agreement with SLS Property Solutions, Inc. Submitted By: Minh Thai, Executive Director of Planning and Building Agency Approved By: Kristine Ridge, City Manager EXHIBIT 1 FIRST AMENDMENT TO ACREE.MENT WITH SLS PROPERTh' SOLUTIONS TO PROVIDE ON' -CALL TEED REMOVAL, RUBBISH ABATE.V1ENT, AND BOARD -UP SERVICES THIS FIRST AMENDMENT to the above -referenced agreement is entered into on March 16, 2021. by and between SLS Property. Solutions. inc., a California corporation ("Consultant"), and the City of Santa Ana, a charter city and municipal corporation organized and existing under the Constitution and laws of the State of California RECITALS A. The parties entered into Agreement No. A-2018-184, dated August 21, 2018, by which Consultant agreed to provide weed removal, rubbish abatement. and board -up services ("Agreement"). The term of the Agreement continues through June 30, 2021, and is current and in effect. B. Consultant was one of three selected vendors to provide on -call services at a fixed amount over a three year period. During the initial term of the Agreement. Consultant provided consistent, effective, and reliable services to the City. C. The parties wish to amend the Agreement to extend the term of the Agreement, provide an optional extension period for the term of the Agreement. and increase the overall amount to be expended under the Agreement in consideration of the extended term and remove the fixed amount during the current term of this Agreement. The Parties therefore agree: Section 2.a., Compensation, is amended to increase the overall compensation to the Consultant by $160.000. The total amount to be expended during the term of the Agreement shall not exceed $205.000. Parties agree that costs for services beginning July 1. 2021, shall reflect the rates and charges as detailed in Exhibit B-1 to this First Amendment to the Agreement. 2. Section 3, Term, is amended to extend the terns of the Agreement until June 30, 2022, with the option for the City to grant up to a one (1) year renewal, exercisable by a writing by the City Manager and the City Attorney, unless terminated earlier in accordance with the terms of the Agreement. 3. Except as modified by this First Amendment, all terms and conditions of the Agreement shall remain in full force and effect. [signature page to follow-] Page I of 2 IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to the Agreement on the date and year first written above. ATTEST Daisy Gomez Clerk of the Council APPROVED AS TO FORM Sonia R. Carvalho City Attorney By: 41 IL/1-- Ryan . H�ge Assist #Cy Attorney CITY OF SANTA ANA Kristine Ridge City Manager CONSULTANT Page 2 of 2 Exhibit S-1 to 1st Amendment Y1 .StS PROP ERTY SO I.[ TIONS. 1%L, Snlrrliurr T"xcetleoee Section 5 - Rate and Service Structure - items a) through i) are priced per the Attachments 1, scope of Work of the R F P 18-060 Total aj Board up cost 1st standard window $190.19 (1) each additional window thereafter $167,97 b) Board up cost of 1st single door opening $190.19 (1) each additional door thereafter $167.97 Q board up cost of a garage - our pricing assumes a single car garage (8' wide by 7' tall) roll up door $355.41 d) Bolt, screw door, garages and windows $127.51 e) Chain and lock fee (3' of 5/16 galvanized chain and one combination lock) $119.16 f) weed abatement service: includes mow, hand weed, abatement, blow off sidewalks, edging and handwork of perimeter, disposal etc (primarily neglected residental property) per hour rate $79 45 f) weed abatement service: includes mow, hand weed, abatement, blow off sidewalks, edging and handwork of perimeter, disposal etc (primarily neglected residental property) flat rate per sq_ ft_ of parcel. Minimum charge of $128.00 per parcel/lot $fl.15 g) Debris removal service: cost per ton. lncudes clean-up debris by hand, disposal (no heavy equipment) $508 29 h) Travel Charge per hour $148.12 1) After hour charge per hour $189.00 QjIiI iNI'VI*%I:l JA114Oil.l[.11?L).N .NI I.1:%1.I-I , Y;1 it K fi Vr VII:-r )ICI VJ''I ll?! 7 71l 014 1111r