Accept Report from Chief Procurement Officer on Professional Modeling Support Services for five years not to exceed $11,250,000
TO THE COUNCIL:
On September 28, 2022, Council approved Ordinance Number 191014 for Procurement Services to competitively solicit a Request For Proposals (RFP) for Professional Modeling Support Services in accordance with Portland City Code 5.68. The Chief Procurement Officer has advertised and received proposals for Bid Number 00001983 on behalf of the Bureau of Environmental Services, with a not to exceed amount of $15,050,000. BES rated this project estimate level as High.
On January 19, 2023, sixteen (16) proposal responses were received in four of the five modeling support service categories. Proposals were evaluated in accordance with the RFP requirements, and on March 6, 2023 a notice of intent to award for Categories I, II, and IV was issued as follows:
Category I – Modeling Support for Capital Improvement Projects
- Leeway Engineering Solutions, LLC
- Brown and Caldwell, Inc
- Jacobs Engineering Group, Inc
Category II – Modeling Support for System Plan Development
- Leeway Engineering Solutions, LLC
- Brown and Caldwell, Inc
- Jacobs Engineering Group, Inc
Category IV – Programmer/GIS Analyst
- Brown and Caldwell, Inc
- Jacobs Engineering Group, Inc
- DHI Water & Environment, Inc
Due to insufficient proposals received in response to Category III-Special Modeling Support and Category V-Technical Editor, price agreements are not being awarded at this time. Procurement Services will re-solicit for the remaining two categories in a new RFP and will return to Council with a Report for approval of those price agreements.
The Contractors all hold a current City of Portland Business Tax Registration and are in full compliance with all of the City’s contracting requirements. The City’s equity in contracting aspirational goal of 20% for subcontractor utilization of firms certified by the State’s Certification Office for Business Inclusion and Diversity (COBID) applies to these price agreements and will be negotiated with each task order that is executed.
The Interim Chief Procurement Officer recommends that Council accept this Report and authorize the Interim Chief Procurement Officer to execute price agreements with Leeway Engineering Solutions LLC, Brown and Caldwell Inc, Jacobs Engineering Group Inc, and DHI Water & Environment Inc for a term of five (5) years and an amount not to exceed $11,250,000. The Council’s conditional acceptance of this report is subject to the final price agreements approval as to form by the City Attorney’s Office.
Recommended by:
Kathleen Brenes-Morua
Interim Chief Procurement Officer
KBM: RK
Official Record (Efiles)
Impact Statement
Purpose of Proposed Legislation and Background Information
The City of Portland Bureau of Environmental Services (BES) requires the services of qualified firms that can effectively and efficiently perform temporary professional on-call support services for computer modeling/engineering support services and perform all associated administrative tasks as required on an as needed bases to supplement City staff during peak periods and to perform specialized support services, as needed. The temporary personnel will be engaged in hydrologic and hydraulic computer modeling, analysis, and technical services, including support for planning, design, construction, maintenance, climate and seismic resiliency, and emergency projects; wastewater and stormwater projects; restoration and remediation projects; regulatory compliance; and development/permit projects.
Professional services support allows the bureau to flexibly supplement staffing when project schedules demand. These Price Agreements are a tool that allows the bureau to quickly meet urgent staffing needs, as well as to avoid “over staffing” with permanent City FTE when workloads ebb. With an annual average CIP budget of approximately $200 million, and more than 200 active capital projects that span multiple years, BES has substantial CIP outlay. Professional services support allows BES to keep work moving while making more incremental, long-term adjustments to permanent staffing levels as needed to meet projected baseline levels of work. Planned increase in CIP delivery over the next five years is due mainly to aging infrastructure and regulatory needs, particularly for treatment plants and pump stations.
Without the Price Agreements, BES will be critically understaffed and unable to perform computer modeling/engineering support services at current service levels. This will lead to BES not being able to deliver the adopted CIP program nor to develop plans to inform long-term infrastructure investment needs for financial planning. BES planning and delivery output will decelerate immediately and substantially at the expiration of the existing Price Agreements, if not replaced with new Price Agreements.
As authorized by Ordinance 191014, Procurement Services issued RFP #00001983 for Professional Modeling Support Services. On January 19, 2023, sixteen (16) proposal responses were received for multiple categories. Proposals were evaluated in accordance with the RFP requirements, and on March 6, 2023 a notice of intent to award for Categories I, II, and IV was issued. No protests were received.
The Chief Procurement Officer’s Report to City Council requests to enter into price agreements with a five-year term. Price agreements have been negotiated with the Leeway Engineering Solutions LLC, DHI Water & Environment Inc, Brown and Caldwell Inc, and Jacobs Engineering Group Inc as selected through the competitive RFP process mentioned above and approved as to form by the City Attorney’s Office.
Financial and Budgetary Impacts
This legislation will result in the City entering into a total of nine (9) price agreements with the suppliers selected through the competitive RFP process to provide professional modeling support services to BES. The legislation does not change the adopted BES budget. The total not to exceed for all price agreements for Category I, II, and IV is $11,250,000. No positions will be created, eliminated, or re-classified as a result of this legislation.
Funds are available in the Sewer Operating Fund, FY24-25 Capital Budget and will be requested in FY 2025 and FY 2026 Capital Budgets, Bureau of Environmental Services. The impact of not approving the Price Agreements will likely result in capital program outlay to slow down causing under-delivery of the adopted annual CIP.
The level of confidence for this estimate is high based on current maximum projections for these in-call, as-needed Price Agreements. This legislation does not change the existing BES budget because staff time for project design, technical support, and project management are built into capital project budget estimates for projects already in the adopted (and planned future) CIP. The bureau assumes a mix of approaches for this labor on projects, including City FTE, temporary contract staff, and consultant work.
These Price Agreements have no long-term financial impacts to the City, and at any time, the bureau can increase or decrease use of the Price Agreements. No property will be purchased as a direct result of this legislation. The legislation does not change current of future revenues. The legislation supports BES to continue to use professional services when FTE resources are not adequate to meet program needs. BES preference is for FTE, and the bureau will continue to request FTE which, if approved, would reduce the need to use these price agreements.
Community Impacts and Community Involvement
This legislation does not specifically impact communities served by BES infrastructure, other than helping ensure future and already-planned capital projects citywide to repair, replace, or upgrade infrastructure assets are identified, planned, designed, and constructed in a timely manner. A significant portion of upcoming Planning and CIP project work is at the City’s Columbia Boulevard Wastewater Treatment Plant, which serves the largest part of the community. Delaying or disrupting planning and CIP projects pose significant risks to the bureau’s most critical assets, including higher likelihood of asset failure and increases the burden and safety risk to personnel maintaining and operating these assets. Additionally, delaying the planning and development of projects could impact the bureau’s compliance with regulatory requirements.
100% Renewable Goal
This RFP and resulting Price Agreements do not impact the City's total energy use, including use of renewable energy.
Financial and Budget Analysis
Analysis provided by City Budget Office
This action accepts report from the Chief Procurement Officer on solicitation of Professional Modeling Support services and execute price agreements not to exceed $11,250,000 over five years. Funds are available in the Sewer Operating Fund, FY24-25 Capital Budget and will be requested in FY 2025 and FY 2026 Capital Budgets, Bureau of Environmental Services.