SUBJECT: A RESOLUTION AUTHORIZING THE CITY MANAGER TO AMEND AN EXISTING CONTRACT TO PGA DESIGN, INC. FOR ADDITIONAL DESIGN AND ENGINEERING SERVICES FOR THE PERALTA HACIENDA HISTORICAL PARK IMPROVEMENT PROJECT TO INCREASE THE TOTAL CONTRACT TO AN AMOUNT NOT-TO-EXCEED FOUR HUNDRED THOUSAND DOLLARS ($400,000).

PURPOSE AND SCOPE

In accordance with the Measure H Charter Amendment, which was passed by the voters at the General election of November 5, 1996, we have made an impartial financial analysis of the accompanying Council Agenda Report and Proposed Resolution. The purpose of our analysis was to evaluate the reasonableness of the proposed award.

In making our analysis we also obtained from Public Works Agency staff additional information regarding the process through which the existing contract had been awarded.

Since the Measure H Charter Amendment specifies that our impartial financial analysis is for informational purposes only, we did not apply Generally Accepted Government Auditing Standards as issued by the Comptroller General of the United States. Moreover, the scope of our analysis was impaired by Administrative Instruction Number 137, effective May 21, 1997, which provides only seven (7) calendar days for us to plan, perform and report on our analysis.

SUMMARY

The Proposed Resolution would increase the amount and scope of the existing $215,000 contract, which was awarded through the Request for Proposal process. (CMS 75676, dated May 2, 2000.)

Peralta Hacienda Historical Park is a six-acre historical park located between Coolidge and Paxton Avenues, in Oakland's Fruitvale neighborhood. Within the Park are three Peralta homes built in the 1820s. In 1977 the City Council adopted a master plan for the Park, and construction of Phases I and II were completed in 1981 and 1986, respectively. In November 1999, the Public Works Agency solicited Requests for Proposals from qualified landscape design consultants to update the 1977 master plan and to prepare design and construction documents for a portion of Phase III. Based upon its evaluation of the five (5) respondents, Agency staff recommended that a contract in the amount of $215,000 be awarded to Pattillo & Garrett Associates, whose name has since changed to PGA Design, Inc. The Council approved the contract on May 2, 2000 (CMS 75676).

Subsequently, additional funding has become available, allowing a larger portion of Phase III to be implemented. Therefore, the existing contract with PGA Design needs to be amended. The planned improvements for Phase III include multi-purpose open lawn space, a community/program building, and a playground area.

FISCAL IMPACTS

Design costs

The existing contract with PGA in the amount of $215,000 will be increased to an amount not-to-exceed $400,000. Funding is available from the following sources:

Measure K, Series 1997C, fund 5006;	$ 9,000
Measure K, Series 2000D, fund 5014;	$270,000
Measure I, fund 5010;	$100,000
State Parks and Recreation Open Space
and Recreation Program, fund 2134;	$500,000
District 5 Council Discretionary funds, fund 5500	$ 50,000

Total	$929,000

Maintenance and operating costs

At this time the additional maintenance and operating costs for the completed project are unknown. In a previous Council Agenda Report Public Agency staff estimated them to be $72,500 annually. Upon completion of the design phase, staff plans to (1) return to the Council for approval of the construction contract award, and (2) provide a report on estimated maintenance and operating costs.

CONCLUSION

The proposed resolution appears to be reasonable.

Prepared by: Issued by:

Jack McGinity, CPA

Issued by:

Roland E. Smith, CPA
City Auditor

Report completion date:
September 2, 2003

Report Number:04-023