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HomeMy WebLinkAboutC36191A-C Plan Rvw-Inspection SvcsContract No. C36191A-C STAFF REPORT CITY OF PALM DESERT DEPARTMENT OF BUILDING AND SAFETY MEETING DATE: March 28, 2019 PREPARED BY: Russell A. Grance, Director of Building and Safety REQUEST: Authorization to increase Plan Review and Inspection Services Contracts Recommendation: By Minute Motion, 1. Authorize an additional $100,000 to Account No. 1104420-4301000 related to Professional Architectural/Engineering. This action would amend the prior authorized amount of not to exceed $300,000 to not to exceed $400,000 for plan review and inspection services for the remainder of the fiscal year 2018- 2019. Strateqic Plan This action continues to build on Economic Development Priority 4: Expand and raise awareness of business -friendly services in order to retain and attract business. If this adjustment is not approved, there will be delays to plan checks and it will have a negative impact on the timeline of key projects. Executive Summary The need to increase the amount in the Professional Architectural/Engineer account is due to the unanticipated projects that were not accounted for in our revenue projections for the current fiscal year. The requested $100,000 is needed to cover contract plan review and inspection services for the balance of this fiscal year. In addition to this unforeseen construction activity, there have been several vacancies in the department that required the use of contract labor to meet the demands of providing services to the development community. The current fiscal year-to-date expenditures for plan review is $326,791. It is projected that an additional $100,000 will be necessary to cover plan review services and inspection through the balance of this fiscal year. The department has received $1,146,124 in building permit and plan check fees with a construction valuation of $67,583,213 fiscal year-to-date. Our initial revenue projections for building permit and plan check fees were only estimated to be $640,644. March 28, 2019 - Staff Report Plan Review Contract Services Page 2 of 2 It is the intention of the Department of Building and Safety to review the majority, if not, all, of the plans submitted with City staff, however with these unforeseen circumstances we have had to utilize consultants to supplement City services when necessary. The additional $100,000 will be applied to the Professional Services Account No. 1104420-4301000. It should be noted that when contract services are utilized, their cost is recoupable through building permit and plan check fees collected for that project. Fiscal Analvsis The cost of Contract Services is recoupable through building permit and plan check fees collected for projects. This was included in the annual Building Department's budget for FY 2018-2019 (Acct. # 1104420-4301000, $300,000 (original budget) + $100,000 (Plan Review/Inspection Services) = $400,000). No other fiscal impact is anticipated to the City. LEGAL REVIEW t'J/F�- Robert W. Hargreaves City Attorney DEPT. REVIEW FINANCIAL REVIEW CITY MANAGER Russe I A. G nce Moore Lauri Aylaian Director of Bui ing and Director of Finance City Manager Safety