TITLE
Recommendation to authorize City Manager, or designee, to execute the First Amendment to Contract No. 36221 with Tetra Tech, Inc., of Pasadena, CA, for consulting, technical, and accounting services for Disaster Funding Administration and Cost Recovery, to increase the contract amount by $400,000, for a revised total contract amount not to exceed $800,000, and extend the term of the contract to August 31, 2024. (Citywide)
DISCUSSION
City Council approval is requested to amend Contract No. 36221 with Tetra Tech, Inc., (Tetra Tech) to continue providing advisory consulting and hands-on technical and accounting services. Approval of this amendment will increase the contract amount by $400,000, for a revised total contract amount not to exceed $800,000, and extend the term of the contract to August 31, 2024.
On September 7, 2021, the City Council awarded a contract to Tetra Tech as part of adoption of RFP No. FM21-067 to provide advisory consulting and hands-on technical and accounting services with respect to Federal Emergency Management Agency (FEMA) cost recovery and administration of American Rescue Plan Act of 2021 (ARPA) funds, as well as potential current or future federal, State, or other agency assistance funds for a year, with the option to renew for an additional two-year period.
Over the past year, Tetra Tech assisted the City of Long Beach (City) in meeting project goals, implemented process efficiencies, and demonstrated a wealth of knowledge and experience in disaster funding administration and cost recovery services.
The additional funding will allow Tetra Tech to continue providing disaster funding administration and cost recovery services to the City, including high-quality and audit-ready files, for current and future disaster recovery projects. This will also allow Tetra Tech to assist with administrative burdens while the City is experiencing a significant turnover of City and temporary staff, which has impacted project goals and deadlines.
Due to the ongoing COVID-19 pandemic and FEMA extending federal funding of eligible pandemic costs through June 30, 2022, there is also a need to extend the contract term beyond the initial projected period.
This matter was reviewed by Deputy City Attorney Anita Lakhani on April 28, 2022, Purchasing Agent Michelle Wilson on April 18, 2022, and by Revenue Management Officer Geraldine Alejo on May 2, 2022.
TIMING CONSIDERATIONS
City Council action to amend Contract No. 36221 is requested on May 17, 2022, to ensure there is no interruption to services.
FISCAL IMPACT
The requested amendment will increase the contract amount with Tetra Tech by $400,000, for a revised total contract amount not to exceed $800,000. The revised total contract amount is based on the estimated number of hours needed to complete and submit FEMA reimbursement requests by their respective due dates and prepare files for future audits. FEMA grant funds will primarily fund the contract increase, although the exact amount will depend on the final grant allocation awarded to the City. At this time, based on the anticipated grant allocation award, it is estimated there will be $300,000 in available FEMA grant funding to support the increase of $400,000. The balance of $100,000 is anticipated to be funded within existing appropriations in the General Fund Group in the Financial Management and Citywide Activities Departments. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
KEVIN RIPER
DIRECTOR OF FINANCIAL MANAGEMENT
APPROVED:
THOMAS B. MODICA
CITY MANAGER