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HomeMy WebLinkAbout2024-11-12 - AGENDA REPORTS - CONTR EXPENDITURE INCREASE ON CALL FIRMSAgenda Item• 14 CITY OF SANTA CLARITA AGENDA REPORT CONSENT CALENDAR CITY MANAGER APPROVAL: A 2UJ' DATE: November 12, 2024 SUBJECT: CONTRACT EXPENDITURE AUTHORITY FOR ON -CALL BUILDING & SAFETY CONSULTING FIRMS DEPARTMENT: Community Development PRESENTER: John Caprarelli RECOMMENDED ACTION City Council: 1. Authorize an expenditure authority increase to the City of Santa Clairta's on -call Building & Safety consulting firms JAS Pacific, Scott Fazekas & Associates, Interwest Consulting Group, and TRB and Associates in the amount of $500,000, resulting in a total on -call expenditure authority amount of $1,000,000 for Fiscal Year 2024-25. 2. Appropriate one-time funds in the amount of $500,000 from the General Fund (Fund 100) to Building & Safety Expenditure Account 1003800-516101. 3. Authorize the City Manager or designee to execute all documents, subject to City Attorney approval. BACKGROUND The City of Santa Clarita (City) uses contractual services on an as -needed basis to assist staff with building plan review, inspection, and permit -related professional services for new buildings during periods of high construction activity. Contractual support for building plan review and building inspection helps supplement staff s efforts to reduce plan check turnaround time and manage the inspection workload as demand fluctuates. Contractual services help maintain appropriate staffing and customer service levels. On June 25, 2024, the City Council authorized spending of an amount not to exceed $500,000 for Fiscal Year (FY) 2024-25 with consulting firms JAS Pacific, Scott Fazekas & Associates, Interwest Consulting Group, and TRB and Associates for contractual building plan review, building inspection, and permit -related professional services. Page 1 Packet Pg. 368 In order to keep pace with the high volume of construction activity and maintain the City's premier level of customer service, an additional $500,000 in expenditure authority is needed. The increased expenditure authority will allow the City to continue contracting through the duration of FY 2024-25 with qualified building inspectors and plan reviewers who are well -suited to handle the surplus demand. Expenditures totaling $200,000 were incurred under these agreements during the first quarter of FY 2024-25. Building permit activity and building inspection demands remain at increased levels. During the first quarter of FY 2024-25, 1,466 building permits were issued with a construction valuation of $134 million, a 25 percent increase from the prior year. In the same period, 10,190 building inspections were performed, a 13 percent increase from the prior year. Additionally, revenue collection also remains strong with Building & Safety on track to collect $9 million this fiscal year. The primary activity generators for FY 2024-25 include the Sand Canyon Plaza Development, large housing tracts (Tesoro Del Valle and Skyline Ranch), Vista Canyon apartments, The Rink Sports Pavilion, AutoNation Hyundai dealership, and Walmart expansion. ALTERNATIVE ACTION Other action as determined by the City Council. FISCAL IMPACT The existing budget for Building & Safety as -needed contracts is $500,000 for Fiscal Year 2024- 25. Upon approval of the recommended actions, an additional $500,000 in General Fund dollars would be budgeted to the Building & Safety, Contractual Services Expenditure Account (1003800-516101) for Fiscal Year 2024-25. Page 2 Packet Pg. 369