HomeMy WebLinkAboutResolution - 2006-R0584 - Amendment To Contract - Malcolm Pirnie Inc - 12_07_2006Resolution No. 2006-•RO584
December 7, 2006
Item No. 5.19
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock a Third Amendment of
Contract, between the City of Lubbock and Malcolm Pirnie, Inc. Said Third Amendment
to Contract is attached hereto and incorporated in this Resolution as if fully set forth
herein and shall be included in the minutes of the Council.
Passed by the City Council this 7th
ATTEST:
Rebecca Garza, City Secretary
1*4
APPROVED AS TO CONTENT:
.
day of December 2006.
DAVID A. M LLER, MAYOR
Thomas Adams
Deputy City Manager/Water Utilities Director
APPROVED AS TO FORM:
l
1 6--
Richard K. Casner
First Assistant City Attorney
as%CityAttiRichard'Resolutions/Pimie-3 amend.res
November 29, 2006
Resolution No. 2006-RO584
December 7, 2006
Item No. 5.19
Third Amendment of Contract
This Third Amendment of Contract ("Third Amendment") is entered into this 7th
day of December, 2006, by and between the City of Lubbock, Texas (the "City"), a
Texas home rule municipal corporation and Malcolm Pirme, Inc. ("Contractor"), a New
York corporation.
Witnesseth
WHEREAS, Rick Giardina & Associates, Inc. ("Giardina") and the City entered into that
certain Contract dated on or about February 19, 2004 (the "Original Contract"),
Resolution No. 2004-R0102, providing for the provision of professional services to the
City, as more fully described therein;
WHEREAS, Giardina assigned the Original Contract to Malcolm Pirme, Inc. by
Assignment of Contract dated effective December 1, 20041
WHERAS, the City consented to such assignment as evidenced by its Resolution dated
the 13`h day of January, 2005, Resolution No. 2005-RO021;
WHEREAS, the Original Contract was amended by that certain Amendment of Contract
dated on or about January 13, 2005 (the "First Amendment"), Resolution No. 2005-
R0022, providing for the performance of additional services and other matters as set forth
therein;
WHEREAS, the Original Contract was again amended by that certain Second
Amendment of Contract (the "Second Amendment") dated on or about June 8, 2006,
Resolution No. 2006-RO305 , providing for the performance of additional services as set
forth therein;
WHEREAS, the City now desires that Contractor perform additional services under the
Original Contract, as amended by the First Amendment and Second Amendment;
WHEREAS, Contractor desires additional compensation for such additional services; and
WHEREAS, the City and Contractor now desire to amend the Original Contract, as
amended by the First Amendment and Second Amendment, to so provide.
NOW THEREFORE, for good and valuable consideration, the City and Contractor
hereby amend the Original Contract, as amended by the First Amendment and Second
Amendment, as follows:
Second Amendment of Contract - Page I of 5
1. Article 2. Compensation is deleted in its entirety and replaced with the following:
Article 2. Compensation
The Contract amount for the services provided for in Article 1. shall not exceed
two hundred fourteen thousand, eight hundred and seventy-five dollars
(S214,875), as more fully described in Attachment C — Fee Schedule. This
amount includes all expenses incurred by Contractor.
2. The Contract is amended by deleting Attachment E — Second Additional Scope of
Work, in its entirety and replacing same with Attachment E — Second Additional
Scope of Work, as attached hereto.
3. The Contract, as amended by the First Amendment and Second Amendment,
except as expressly amended hereby, shall remain in force and effect as originally
provided.
MALCOLM PIRNIE, INC.
4'o
By
Q. tv,
Richard D. Giardina, President
Second Amendment of Contract - Page 2 of 5
CITY OF LUBBOCK
By
David A. Miller, Mayor
ATTEST:
Rebecca Garza, City Secretary
APPROVED AS TO CONTENT:
Thomas Adams
Deputy City Manager/Water Utilities Director
A (PROVED AS TO FORM:
I }
Richard K. Casner, First\Assistant City Attorney
Second Amendment of Contract - Page 3 of 5
Resolution No. 2006-RO584
Attachment E — Second Additional Scope of Services
Task 1 — Project Initiation. Contractor will conduct a kick-off meeting with the City on
or before May 1, 2006, to discuss and clarify the project objectives, schedule,
deliverables, and communication protocols.
Task 2 — Revenue Requirements and Cost of Service Update. Contractor will use the
City's most recently approved budget data to determine the revenue requirements. The
cost of service model developed by Rick Giardina & Associates, Inc. will be updated
with the new revenue requirements, and the financial plan will be reviewed and updated
as necessary to reflect the latest budget and capital improvement plan.
Review financial plan of City, including any additional data as deemed necessary by
Contractor, work with City staff regarding same and reconcile the financial plan to be
utilized in the cost of service analysis. After said reconciliation, prepare a cost of service
model. Travel as may be necessary to perform such reconciliation and preparation of
cost of service model.
Task 3 — Rate Development. Using the revenue requirements from Task 2, Contractor
will determine the rate design alternatives for each customer class. The rate design
alternatives will include the following scenarios:
Static monthly connection fees for all customer classes (the connection fee is the
monthly charge to all accounts that varies by meter size; it does not include a
water usage allowance.)
Cost of service -based monthly connection fees for all customer classes.
For each of the connection fee alternatives, base rates under the Average Winter
Consumption (AWC) approach will be prepared (the base rate is the volume or
commodity charge assessed to each account based on metered water use).
As part of this task, Contractor will perform a price elasticity analysis to determine the
estimated impact of the rate design alternatives on demand. The price elasticity analysis
will identify the potential for revenue loss as well as the impact of conservation on the
proposed Lake Alan Henry project. In addition to the price elasticity analysis, we will
develop a bill impact analysis of each rate alternative for each customer class. The rate
alternative and customer impact results will be presented to City staff in a workshop, to
be conducted on or before July 26, 2006, for discussion and selection of the
recommended rate structure.
Task 4 — Report Preparation and Public Presentation. Contractor will develop a
report detailing the rate update process, alternatives, and resulting recommendations. The
report will include an executive summary, data references, cost of service methodology,
rate design development and alternatives, recommended rate structure, and customer bill
impacts. Contractor will meet with City staff on or before August 16, 2006, to present
the study results, and five (5) copies of the draft report will be provided at that meeting.
City comments will be addressed and 15 copies of the final report will be provided to the
Second Amendment of Contract - Page 4 of 5
City on or before the expiration of this Agreement, as mutually agreed upon by
Contractor and City. Contractor will present the results of the rate update to the Lubbock
Rate Review Committee, Lubbock Water Advisory Commission and the City Council on
or before on or before the expiration of this Agreement, as mutually agreed upon by
Contractor and City.
Task 5 — Public Relations Assistance. Contractor will assist City staff with the
development of public notification materials and information regarding the proposed rate
structure. Contractor will present the proposed rate design at a Public Meeting at a
mutually agreed upon date and time.
The compensation described in Article 2 includes travel, meals and all expenses of
Contractor and includes five (5) face-to-face meetings, two of which would be a formal
presentation to the City Council and/or the public.
as/CITYATTrRICHARD/Third Amendment of Contract - Pimie-rdln dacptd
November 28, 200b
Second Amendment of Contract - Page 5 of 5