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CC - FOUR-FIFTHS VOTE REQUIREMENT: (1) Approval of a Third Amendment to the Existing Professional Services Agreement with BonTerra Psomas for Environmental Consulting Services for the Preparation of the Environmental Impact Report for the Inglewood Oil Field Specific Plan Project in an Amount Not-to-Exceed $167,400; and (2) Approval of a Related Budget Amendment.
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Contact Person/Dept: Heather Baker/City Attorney
Sherry Jordan/CDD
Phone Number: (310) 253-5660
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [] Attachments: Yes [] No [X]
Commission Action Required: Yes [] No [X] Date:
Commission Name:
Public Notification: (E-Mail) Meetings and Agendas - City Council (02/18/16); Ongoing Topics - Inglewood Oil Field and Sustainability and Environmental Issues (incl. Oil Drilling/Fracking) (02/18/16); (E-Mail) Freeport McMoran (02/16/16); Posted on City’s Inglewood Oil Field Webpage (02/16/16)
Department Approval: Carol Schwab, City Attorney (02/17/16)
Sol Blumenfeld, Director of Community Development (02/17/16)
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RECOMMENDATION
Staff recommends the City Council (1) approve a third amendment to the existing professional services agreement with BonTerra Psomas for environmental consulting services for the preparation of the Environmental Impact Report (EIR) for the Inglewood Oil Field (IOF) Specific Plan Project (Project) in an amount not-to-exceed $167,400; and (2) approve a related budget amendment (four-fifths vote required).
BACKGROUND
On April 13, 2015, the City Council approved a professional services agreement with BonTerra Psomas in the amount of $305,080 for the preparation of an EIR for the IOF Specific Plan Project (Agreement). Further, the City Council authorized the City Manager to approve amendments to the Agreement in an additional amount not-to-exceed 25% of the original amount of the Agreement. On October 5, 2015, the City Manager exercised such approval authority and executed a First Amendment to the Agreement in an additional amount of $76,270. On November 9, 2015, the City Council approved a Second Amendment to the Agreement in the additional amount of $141,239 to cover additional costs associated with further analysis of technical issues and additional peer review of existing technical studies relating to the preparation of the EIR. At this time staff is requesting additional funds in the EIR budget in an amount not-to-exceed $167,400.
DISCUSSION
As contemplated in BonTerra Psomas’ original proposal and discussed in the April 13, 2015 staff report, it was anticipated that a budget enhancement may be necessary as the environmental process evolved. This is due to the highly technical nature of the Project, and the need for peer review of existing technical studies to determine inadequacies, missing or inadequate assumptions, and unsubstantiated conclusions. This budget request is based on, but not limited to, the following:
• The nature of the comment letters received during the EIR Scoping Review Period has required expanded analysis of technical issues, particularly with regard to issues of potential seismic and geologic hazards at the Inglewood Oil Field;
• Based on the comments received during the Scoping Period, it is anticipated that a larger number of comments of varying technical topics may be received on the Draft EIR and Draft Specific Plan once those documents are released, which must be addressed in the Response to Comments required under CEQA; and,
• Subsequent to the approval of the original EIR budget, additional technical studies relating to oil field production and operation continue to surface, which need to be reviewed for relevancy and addressed if applicable to the project.
The above factors have contributed to the need for additional work by the technical consultants and additional hours of project management and review by BonTerra.
If approved, the aggregate amount of the Agreement (including the First and Second Amendments to the Agreement) will be $689,989.
FISCAL ANALYSIS
Funds for the initial Project EIR estimate were included in the Planning Division budget for Fiscal Year 2015/2016. A budget amendment is requested to appropriate an additional $167,400 into the Planning Division - Other Contractual Services (10150200.619800) account from General Fund reserves. (A four-fifths vote is required to approve the budget amendment.)
ATTACHMENTS
None.
RECOMMENDED MOTION(S)
That the City Council:
1. Approve an amendment to the existing professional services agreement with BonTerra Psomas for environmental consulting services for the preparation of the Environmental Impact Report for the Inglewood Oil Field Specific Plan Project in an amount not-to-exceed $167,400; and,
2. Approve a budget amendment appropriating $167,400 from the General Fund Reserve to Account 10150200.619800 (four-fifths vote required); and,
3. Authorize the City Attorney to review/prepare the necessary documents; and,
4. Authorize the City Manager to execute such documents on behalf of the City.