HomeMy WebLinkAboutItem 23 - Approve an Amendment to the Agreement with SLS Property Solutions, Inc.Planning and Building Agency
https://www.santa-ana.org/pb
Item # {{item.number}}
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 16, 2021
TOPIC: Approve an Amendment to the Agreement with SLS Property Solutions, Inc.
AGENDA TITLE:
Approve an Amendment to the Agreement with SLS Property Solutions, Inc., to increase
the Agreement amount by $160,000 for a total of $205,000, to extend the term to June
30, 2022, and to add a one-year renewal option ending on June 30, 2023.
RECOMMENDED ACTION
Authorize the City Manager to execute an agreement amendment with SLS Property
Solutions, Inc., for property nuisance abatement services to increase the agreement
amount by $160,000 for a total of $205,000, to extend the term of the agreement to June
30, 2022, and to add a one-year renewal option ending on June 30, 2023, exercisable by
the City Manager subject to non -substantive changes approved by the City Manager and
City Attorney.
DISCUSSION
On July 11, 2018, the City issued an RFP (18-060) for Board -Up Services. Four
proposals were received and reviewed by Code Enforcement staff and based on the final
scores, the three most qualified and responsive vendors were recommended to the City
Council. On August 21, 2018, the City Council authorized the City to enter into a service
agreement with the three recommended vendors: Mariposa Landscape, Inc., Real Estate
Consulting Services, Inc., and SLS Property Solutions, Inc., for the aggregated amount
of $45,000 over a three year term ending on June 30, 2021. Of the three vendors, only
SLS Property Solutions (SLS) and Real Estate Consulting Services, Inc., executed a
service agreement with the City.
Buildings and properties which are determined have dangerous conditions as defined
Under the California Health and Safety Code, the Uniform Building Code, the International
Property Maintenance Code, and the Santa Ana Municipal Code (SAMC) may be
declared to be public nuisances and may be mandated to abate through repair,
rehabilitation, demolition, or removal. Clear examples of hazardous or nuisance
conditions include unsecured and vacant structures, vacant properties, unfenced vacant
parcels with overgrown vegetation, trash and debris left on a property, swimming pools
without adequate protective fencing, and other hazardous conditions as defined by the
California Health and Safety Code (Section 17920.3) which create imminent danger,
Approve an Amendment to the Agreement with SLS Property Solutions, Inc.
March 16, 2021
Page 2
extreme blighted conditions, or present a threat to life, health, property, or safety of the
public. These substandard and dangerous conditions also attract graffiti and transient
activities. Overgrown vegetation, trash, and abandoned swimming pools can become a
breeding ground for rodents and insects, and in the case of a swimming pool, a drowning
risk as well. When an inspection confirms one or more of such hazardous conditions, the
Code Enforcement Officer issues the property owner a Notice and Order to correct within
a specified time -period. In cases where the owner does not remedy the hazardous
condition(s) within the timeframe identified on the Notice and Order, the City may take all
necessary actions to abate the nuisance conditions and secure the property.
In these situations, the City contacts each of the two vendors to obtain service estimates
to complete the abatement work on the City's behalf. Employing third party contractors
to abate nuisance properties increases enforcement efficiency and effectiveness and
provides a comprehensive abatement process within the Code Enforcement Division.
Out of the two service providers that executed a service contract with the City, SLS has
been the only responsive, effective, and reliable provider in providing timely abatement
services.
Section 62 of Chapter 17 of the SAMC holds property owners responsible for all
abatement costs and administrative fees incurred by the City associated with the
abatement process. After being billed by the City, if the property owner does not
reimburse the City in a timely manner, the total amount of associated costs will be referred
to the Orange County Tax Assessor for recording as a lien on the property. Upon receipt
of reimbursements, funds will be deposited in the Special Repair and Demolition Fund
(No. 12116002- 53507).
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
Funds will be recorded in account Nos. 01116540-62300 and 12116540-62300, and will
be made available from FY 2021-2023 contingent upon annual budget approval.
The fiscal year breakdown is an estimate and the actual amounts per year may vary
depending upon project needs.
Approve an Amendment to the Agreement with SLS Property Solutions, Inc.
March 16, 2021
Page 3
Fiscal
Accounting Unit
Fund
Accounting Unit, Account
Amount
Year
Description
Description
01116540 -62300
General Fund
PLNG & BLG AGY — Code
$ 18,000
FY2020-
Enforcement Contract
21
12116540-62300
Special Fund
PLNG & BLG AGY-Special
12,000
Repair and Demolition Fund
01116540 -62300
General Fund
PLNG & BLG AGY — Code
$ 35,000
FY2021-
Enforcement Contract
22
12116540-62300
Special Fund
PLNG & BLG AGY-Special
30,000
Repair and Demolition Fund
01116540 -62300
General Fund
PLNG & BLG AGY — Code
$ 35 000
FY2022-
Enforcement Contract
23
12116540-62300
Special Fund
PLNG & BLG AGY-Special
$ 30,000
Repair and Demolition Fund
TOTAL
$ 160,000
Section 62 of Chapter 17 of the SAMC states property owners are responsible for
reimbursement to the City for all abatement costs and administrative fees. Upon receipt
of reimbursements, funds will be deposited in the Special Repair and Demolition Fund
(No. 12116002-53507). Furthermore, if the City is not reimbursed by the property owner
in a timely manner after abatement services are provided, the total amount of associated
costs will be referred to the Orange County Tax Assessor for recording as a lien on the
property.
EXHIBIT(S)
1. First Amendment to Agreement with SLS Property Solutions, Inc.
Submitted By: Minh Thai, Executive Director of Planning and Building Agency
Approved By: Kristine Ridge, City Manager
Planning and Building Agency
https://www.santa-ana.org/pb
Item # 23
City of Santa Ana
20 Civic Center Plaza, Santa Ana, CA 92701
Staff Report
March 16, 2021
TOPIC: Approve an Amendment to the Agreement with SLS Property Solutions, Inc.
AGENDA TITLE:
Approve an Amendment to the Agreement with SLS Property Solutions, Inc., to increase
the Agreement amount by $160,000 for a total of $205,000, to extend the term to June
30, 2022, and to add a one-year renewal option ending on June 30, 2023.
RECOMMENDED ACTION
Authorize the City Manager to execute an agreement amendment with SLS Property
Solutions, Inc., for property nuisance abatement services to increase the agreement
amount by $160,000 for a total of $205,000, to extend the term of the agreement to June
30, 2022, and to add a one-year renewal option ending on June 30, 2023, exercisable by
the City Manager subject to non -substantive changes approved by the City Manager and
City Attorney.
DISCUSSION
On July 11, 2018, the City issued an RFP (18-060) for Board -Up Services. Four
proposals were received and reviewed by Code Enforcement staff and based on the final
scores, the three most qualified and responsive vendors were recommended to the City
Council. On August 21, 2018, the City Council authorized the City to enter into a service
agreement with the three recommended vendors: Mariposa Landscape, Inc., Real Estate
Consulting Services, Inc., and SLS Property Solutions, Inc., for the aggregated amount
of $45,000 over a three year term ending on June 30, 2021. Of the three vendors, only
SLS Property Solutions (SLS) and Real Estate Consulting Services, Inc., executed a
service agreement with the City.
Buildings and properties which are determined have dangerous conditions as defined
Under the California Health and Safety Code, the Uniform Building Code, the International
Property Maintenance Code, and the Santa Ana Municipal Code (SAMC) may be
declared to be public nuisances and may be mandated to abate through repair,
rehabilitation, demolition, or removal. Clear examples of hazardous or nuisance
conditions include unsecured and vacant structures, vacant properties, unfenced vacant
parcels with overgrown vegetation, trash and debris left on a property, swimming pools
without adequate protective fencing, and other hazardous conditions as defined by the
California Health and Safety Code (Section 17920.3) which create imminent danger,
Approve an Amendment to the Agreement with SLS Property Solutions, Inc.
March 16, 2021
Page 2
extreme blighted conditions, or present a threat to life, health, property, or safety of the
public. These substandard and dangerous conditions also attract graffiti and transient
activities. Overgrown vegetation, trash, and abandoned swimming pools can become a
breeding ground for rodents and insects, and in the case of a swimming pool, a drowning
risk as well. When an inspection confirms one or more of such hazardous conditions, the
Code Enforcement Officer issues the property owner a Notice and Order to correct within
a specified time -period. In cases where the owner does not remedy the hazardous
condition(s) within the timeframe identified on the Notice and Order, the City may take all
necessary actions to abate the nuisance conditions and secure the property.
In these situations, the City contacts each of the two vendors to obtain service estimates
to complete the abatement work on the City's behalf. Employing third party contractors
to abate nuisance properties increases enforcement efficiency and effectiveness and
provides a comprehensive abatement process within the Code Enforcement Division.
Out of the two service providers that executed a service contract with the City, SLS has
been the only responsive, effective, and reliable provider in providing timely abatement
services.
Section 62 of Chapter 17 of the SAMC holds property owners responsible for all
abatement costs and administrative fees incurred by the City associated with the
abatement process. After being billed by the City, if the property owner does not
reimburse the City in a timely manner, the total amount of associated costs will be referred
to the Orange County Tax Assessor for recording as a lien on the property. Upon receipt
of reimbursements, funds will be deposited in the Special Repair and Demolition Fund
(No. 12116002- 53507).
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
FISCAL IMPACT
Funds will be recorded in account Nos. 01116540-62300 and 12116540-62300, and will
be made available from FY 2021-2023 contingent upon annual budget approval.
The fiscal year breakdown is an estimate and the actual amounts per year may vary
depending upon project needs.
Approve an Amendment to the Agreement with SLS Property Solutions, Inc.
March 16, 2021
Page 3
Fiscal
Accounting Unit
Fund
Accounting Unit, Account
Amount
Year
Description
Description
01116540 -62300
General Fund
PLNG & BLG AGY — Code
$ 18,000
FY2020-
Enforcement Contract
21
12116540-62300
Special Fund
PLNG & BLG AGY-Special
12,000
Repair and Demolition Fund
01116540 -62300
General Fund
PLNG & BLG AGY — Code
$ 35,000
FY2021-
Enforcement Contract
22
12116540-62300
Special Fund
PLNG & BLG AGY-Special
30,000
Repair and Demolition Fund
01116540 -62300
General Fund
PLNG & BLG AGY — Code
$ 35 000
FY2022-
Enforcement Contract
23
12116540-62300
Special Fund
PLNG & BLG AGY-Special
$ 30,000
Repair and Demolition Fund
TOTAL
$ 160,000
Section 62 of Chapter 17 of the SAMC states property owners are responsible for
reimbursement to the City for all abatement costs and administrative fees. Upon receipt
of reimbursements, funds will be deposited in the Special Repair and Demolition Fund
(No. 12116002-53507). Furthermore, if the City is not reimbursed by the property owner
in a timely manner after abatement services are provided, the total amount of associated
costs will be referred to the Orange County Tax Assessor for recording as a lien on the
property.
EXHIBIT(S)
1. First Amendment to Agreement with SLS Property Solutions, Inc.
Submitted By: Minh Thai, Executive Director of Planning and Building Agency
Approved By: Kristine Ridge, City Manager
EXHIBIT 1
FIRST AMENDMENT TO ACREE.MENT WITH SLS PROPERTh' SOLUTIONS
TO PROVIDE ON' -CALL TEED REMOVAL, RUBBISH ABATE.V1ENT,
AND BOARD -UP SERVICES
THIS FIRST AMENDMENT to the above -referenced agreement is entered into on March 16,
2021. by and between SLS Property. Solutions. inc., a California corporation ("Consultant"), and
the City of Santa Ana, a charter city and municipal corporation organized and existing under the
Constitution and laws of the State of California
RECITALS
A. The parties entered into Agreement No. A-2018-184, dated August 21, 2018, by which
Consultant agreed to provide weed removal, rubbish abatement. and board -up services
("Agreement"). The term of the Agreement continues through June 30, 2021, and is current
and in effect.
B. Consultant was one of three selected vendors to provide on -call services at a fixed amount over
a three year period. During the initial term of the Agreement. Consultant provided consistent,
effective, and reliable services to the City.
C. The parties wish to amend the Agreement to extend the term of the Agreement, provide an
optional extension period for the term of the Agreement. and increase the overall amount to be
expended under the Agreement in consideration of the extended term and remove the fixed
amount during the current term of this Agreement.
The Parties therefore agree:
Section 2.a., Compensation, is amended to increase the overall compensation to the
Consultant by $160.000. The total amount to be expended during the term of the Agreement
shall not exceed $205.000. Parties agree that costs for services beginning July 1. 2021, shall
reflect the rates and charges as detailed in Exhibit B-1 to this First Amendment to the
Agreement.
2. Section 3, Term, is amended to extend the terns of the Agreement until June 30, 2022, with
the option for the City to grant up to a one (1) year renewal, exercisable by a writing by the
City Manager and the City Attorney, unless terminated earlier in accordance with the terms of
the Agreement.
3. Except as modified by this First Amendment, all terms and conditions of the Agreement shall
remain in full force and effect.
[signature page to follow-]
Page I of 2
IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to the
Agreement on the date and year first written above.
ATTEST
Daisy Gomez
Clerk of the Council
APPROVED AS TO FORM
Sonia R. Carvalho
City Attorney
By:
41 IL/1--
Ryan . H�ge
Assist #Cy Attorney
CITY OF SANTA ANA
Kristine Ridge
City Manager
CONSULTANT
Page 2 of 2
Exhibit S-1 to 1st Amendment
Y1
.StS PROP ERTY SO I.[ TIONS. 1%L,
Snlrrliurr T"xcetleoee
Section 5 - Rate and Service Structure - items a)
through i) are priced per the Attachments 1,
scope of Work of the R F P 18-060
Total
aj Board up cost 1st standard window
$190.19
(1) each additional window thereafter
$167,97
b) Board up cost of 1st single door opening
$190.19
(1) each additional door thereafter
$167.97
Q board up cost of a garage - our pricing assumes
a single car garage (8' wide by 7' tall) roll up door
$355.41
d) Bolt, screw door, garages and windows
$127.51
e) Chain and lock fee (3' of 5/16 galvanized chain
and one combination lock)
$119.16
f) weed abatement service: includes mow, hand
weed, abatement, blow off sidewalks, edging and
handwork of perimeter, disposal etc (primarily
neglected residental property) per hour rate
$79 45
f) weed abatement service: includes mow, hand
weed, abatement, blow off sidewalks, edging and
handwork of perimeter, disposal etc (primarily
neglected residental property) flat rate per sq_ ft_
of parcel. Minimum charge of $128.00 per
parcel/lot
$fl.15
g) Debris removal service: cost per ton. lncudes
clean-up debris by hand, disposal (no heavy
equipment)
$508 29
h) Travel Charge per hour
$148.12
1) After hour charge per hour
$189.00
QjIiI iNI'VI*%I:l JA114Oil.l[.11?L).N .NI I.1:%1.I-I , Y;1
it K fi Vr VII:-r )ICI VJ''I ll?! 7 71l 014 1111r