December 29, 1998

The Honorable Board of Supervisors
County of Los Angeles
383 Kenneth Hahn Hall of Administration
500 West Temple Street
Los Angeles, CA 90012

Dear Supervisors:

AUTHORIZE CONSTRUCTION PROJECT
MANAGEMENT SERVICES AGREEMENT
VARIOUS CAPITAL IMPROVEMENT PROJECTS
ALL SUPERVISORIAL DISTRICTS
3 VOTES

IT IS RECOMMENDED THAT YOUR BOARD:

1. Authorize the Director of Public Works to execute a consultant services agreement with Parsons Infrastructure and Technology Group, Inc., for "as needed" construction project management services for a one-year period commencing on the date of the initial Notice to Proceed, with two annual renewal options to be exercised by the Director. Renewals will be recommended based upon the level of satisfaction with the services provided.

2. Instruct the Director of Public Works or his designee to notify Parsons of the Board action taken.

PURPOSE OF RECOMMENDED ACTION

The recommended action would authorize the Director of Public Works to obtain construction project management and related support services to enhance Public Works' project management capabilities.

JUSTIFICATION

Public Works is currently managing approximately 100 active capital projects that are either in programming, in design, or under construction. Additionally, with increasing settlements with insurance companies, more earthquake recovery projects will be coming on line. To ensure adequate resources with the appropriate level of training and experience are available to execute the work on schedule and to achieve cost effectiveness without loss of continuity, we are requesting an "as needed" project management services contract to supplement our project management activities over the next three years.

Your Board recently approved the reorganization of our Project Management Division that realigned staff to ensure better quality of construction expenditure control, accountability, and oversight. Public Works is actively pursuing qualified entry-level candidates to fill the newly-added positions. Until the entry-level recruits gain the necessary experience to fill the vacant mid-level project management positions required to independently manage and implement County's capital projects, we intend to fill the gap with the recommended consultant staffing. This "as needed" configuration will ensure experienced management and oversight, while maintaining a judicious blend of County and consultant staffing in the overall County Capital Projects Program.

The consultant staffing, under Public Works supervision, will perform project management duties for the construction of health, courts, correctional, detention, and other projects in support of the County's Capital Projects Program.

FISCAL IMPACT

No impact on the General Fund is expected from this action. Sufficient appropriation is available in Public Works' Project Management Budget to fund the current year expenditures. Public Works has negotiated a not to exceed fee of $8,500,000 with Parsons, which represents the estimated cost to provide this service over a three-year period. It is anticipated that $940,000 will be expended in 1998-99. Any remaining authorization within the not to exceed fee of $8,500,000 will be reappropriated in the next two fiscal years.
FINANCING

The recommended construction project management services will be funded from the Public Works' Facilities Project Management General Fund Budget and expended as the individual projects are approved by your Board.

FACTS AND PROVISIONS/LEGAL REQUIREMENTS

A consultant services agreement, previously approved as to form by County Counsel, will be used. This agreement includes the standard termination clause upon prior written notice and a Board-directed clause for renegotiation of services and fees due to constraints of the County budget.

As requested by your Board on August 12, 1997, and as a threshold requirement for consideration for contract award, Parsons is willing to consider Greater Avenues for Independence Program participants for future employment.

Parsons is in full compliance with Los Angeles County Code Chapter 2.200 (Child Support Compliance Program).

CONTRACTING PROCESS

On July 20, 1998, Public Works issued a Request for Proposals for construction project management services to assist Public Works in the management of the County's Capital Projects Program.

Six proposals were received and assessed by an evaluation committee comprised of Public Works management staff. Oral presentations were made to the evaluation committee as part of the assessment process. Parsons was selected as the firm best qualified to provide the required services based upon the proposed organizational structure, support resources, technical and administrative expertise, experience, and proposed work plan, all of which represented the best value to the County.

Participation by Community Business Enterprises in the projects will be encouraged through Public Works' Capital Projects' CBE Outreach Program and by monitoring the good faith efforts to utilize CBEs.

As requested by your Board on February 3, 1998, this contract opportunity was listed on the Office of Small Business website.

IMPACT ON CURRENT SERVICES

Authorizing this consultant services agreement will allow Public Works to manage projects that we would otherwise have to defer.

There will be no negative impact on any other budgeted programs or projects as a result of authorizing this consultant services agreement.

NEGATIVE DECLARATION/ENVIRONMENTAL IMPACT REPORTS

Not applicable.

CONCLUSION

One approved copy of this letter is requested.

Respectfully submitted,

HARRY W. STONE
Director of Public Works

BC:df
C:DARLENE\BOARD\CAPIMP.BLT

cc: Chief Administrative Officer

County Counsel

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