FROM: Robert Thompson, General Manager
Originator: Mike Dorman, Director of Engineering
SUBJECT:
title
SUPPLEMENTAL ENGINEERING SERVICES, Contract no. PSA2021-002
end
GENERAL MANAGER'S RECOMMENDATION
recommendation
RECOMMENDATION: Recommend to the Board of Directors to:
Authorize the General Manager to transfer funds between existing Professional Services Agreements to provide Supplemental Engineering Services, Contract No. PSA2021-002, with Jacobs Project Management Co. and AECOM Technical Services, Inc., to balance contract budgets through April 2027, with no increase to the total Board authorized not to exceed amount of $29,700,000 per agreement.
body
BACKGROUND
To ensure that projects are completed on time and each properly controlled, the Orange County Sanitation District (OC San) has utilized Supplemental Engineering Services (SES) to augment staff resources. In April 2022, the Board approved SES agreements to both Jacobs Project Management Co. (Jacobs) and AECOM Technical Services, Inc., (AECOM) for a three-year period with two one-year renewal options (May 1, 2022 - April 30, 2027), each for an amount not to exceed $29,700,000.
With the additional staffing plan approved by the Board in November 2025, OC San will continue to rely on SES agreements to meet the demands of the expanding Capital Improvement Program (CIP) workload. To ensure a smooth transition between contracts, a new Request for Proposals (RFP) for SES services will be issued in January 2026, allowing for a nine-month overlap with the existing agreements. The staffing levels in the upcoming RFP will reflect the Board-approved additional staffing plan.
RELEVANT STANDARDS
• Comply with California Government Code Section 4526 to engage the best qualified firm “on the basis of demonstrated competence and qualifications” and “negotiate fair and reasonable fees”
• Ensure the public’s money is wisely spent.
• Sustain 1, 5, and 20-year planning horizons
PROBLEM
When the SES contract started, OC San issued staffing requests and task orders to both firms. AECOM took a few years to ramp up and provide their share of staffing, resulting in an imbalance in spending between the two firms. Jacobs is providing a significantly larger number of SES staff than AECOM, causing their contract funds to be expended at a faster rate. Currently, Jacobs provides 44 full-time staff, compared to 10.5 staff provided by AECOM, a utilization rate roughly four times greater. As a result, Jacobs’ budget is projected to be depleted by February 2026, approximately 15 months before the end of the current contract term on April 30, 2027.
PROPOSED SOLUTION
Authorize the General Manager to transfer funds between existing SES agreements to maintain staffing continuity and ensure smooth completion or transition of current assignments during the overlap between existing and future SES contracts.
TIMING CONCERNS
If the Jacobs contract runs out of funds before the new SES contracts are executed, projects may be delayed if AECOM cannot fill these roles with their staff. This could also reduce project delivery efficiency.
RAMIFICATIONS OF NOT TAKING ACTION
Jacobs will run out of funds before the end of the contract.
PRIOR COMMITTEE/BOARD ACTIONS
April 2022 - Approved Professional Services Agreements to provide Supplemental Engineering Services, Contract No. PSA2021-002, for a three-year period commencing May 1, 2022, through April 30, 2025, with two one-year renewal options, for an amount not to exceed $29,700,000 per individual agreement with the following two firms: AECOM Technical Services, Inc. and Jacobs Project Management Co.
ADDITIONAL INFORMATION
N/A
CEQA
N/A
FINANCIAL CONSIDERATIONS
This request complies with the authority levels of OC San’s Purchasing Ordinance. The budgeted costs for the proposed Professional Services Agreements are contained within the approved CIP project budgets, and no additional funding is necessary.
ATTACHMENT
The following attachment(s) may be viewed on-line at the OC San website (www.ocsan.gov) with the complete agenda package:
• Presentation
MD:lb