OFFICE OF THE CITY AUDITOR
Roland E. Smith
City Auditor

(510) 238-3378
FAX: (510) 238-7640
TDD: (510) 839-6451

May 21, 2002

TO: President De La Fuente and Members of the City Council

Resolution Authorizing the City to Enter into a Sole Source Contract with the Unity Council for an Amount Not to Exceed $50,000 for Outreach Services to be Performed on the Peralta Creek Restoration in Foothill Meadows Park, and A Resolution Authorizing the City to Enter into a Sole Source Contract with the Urban Creeks Council for an Amount Not to Exceed $300,000 for Design, Construction and Monitoring Services to be Performed on the Peralta Creek Restoration in Foothill Meadows Park

We have reviewed the accompanying Public Works Agency Council Agenda Report and draft resolutions proposing authorization by the Oakland City Council of the above-referenced contracts between the City and the Unity Council and the Urban Creeks Council.

SCOPE OF OUR REVIEW

Our review was made on the basis of the Council Agenda Report, draft resolutions, and other background materials provided by the Public Works Agency.

We reviewed the report and resolution for contents, such as for consistency and agreement of information between them, the reasonableness of any assumptions or projections and accuracy of any computations presented, the availability of funding, and as to relevance to City goals and objectives.

We did not review any process that led to the selection of the Unity Council and the Urban Creeks Council as separate contractors as to fairness and compliance with City rules and procedures. The City selected these non-profit organizations as contractors in compliance with the requirement of a grant received by the City for the project.

A summary of the results of our review is shown under Exhibit 1.

CONCLUSION

In our opinion, the proposed outreach services and design, construction and monitoring services contracts with the Unity Council and the Urban Creeks Council, respectively, merit a favorable consideration from the City Council. We hereby recommend their approval.

Respectfully submitted by:

Elmer L. de Leon, CGFM
Deputy Auditor

Issued by:

Roland E. Smith, CPA
City Auditor

May 1, 2002


Exhibit 1
Summary of Review Results
PPT 02 078

PROPOSED ACTION

City Council authorization for the award of a sole source contract with the Unity Council for outreach services to be performed on the Peralta Creek Restoration project in Foothills Meadows Park, and for the award of sole source contract for design, construction and monitoring services to be performed on the same Peralta Creek Restoration project.

BUDGET AMOUNT

Total contract amounts proposed are $50,000 for the outreach services, and $300,000 for the design, construction and monitoring services, with both amounts with a "not-to-exceed" clause.

BUDGET FUNDING SOURCE

The funding for the two contracts is on Fund 2990 (Public Works Grants), Organization 30285 (Watershed Program), Project C214210, Account 54919 (Professional Services Contract) and is provided by a $379,000 grant received by the City from the Department of Water Resources, Urban Streams Restoration Program.

PROJECT DESCRIPTION

Outreach services contract: Unity Council will conduct public meetings, create outreach materials, outreach schools, and generate community interest and involvement in the Peralta Creek Restoration project.

Design, construction and monitoring contract: Urban Creeks Council will create a design for the project, remove deteriorated structures, excavate the creek channel, re-establish creek banks, remove non-native vegetation, secure permits and materials for the construction.

PROPOSED TIMETABLE

The project timetable of work and completion for either contract is not shown in the Council Agenda Report or the proposed City Council resolutions but will probably be provided in a boiler-plate type contract.

CITY PRIORITY GOALS/OBJECTIVES TO BE MET

City Priority Goals/Objectives: Clean and Livable Communities, Renewed Infrastructure, and Support for the Youth.

PROJECTED BENEFITS TO CITY

The project will enable Oakland to continue to implement its Watershed/Creeks Program, reduce the need for creek maintenance, and provide aesthetic improvement to the creek.

CITY AUDITOR COMMENTS AND RECOMMENDATIONS

We recommend approval by the City Council of the two contracts on the Peralta Creek Restoration project.
Report Number: 02-078