CITY COUNCIL REGULAR MEETING AGENDA PACKET

Page 2 of 3 The on-call contracts have been used secondarily for CEQA-related work on City-funded projects within the City’s Capital Improvement Program (CIP) and other budgeted efforts, such as Greenhouse Gas Threshold Guidance related to the Climate Action Plan 2.0 Update (CIP), the Lemoine Bypass Pipeline Project (CIP), and the development of review templates to ensure consistent and efficient CEQA review of projects that are eligible for tiering under programmatic documents such as the 6th Cycle Housing Element EIR. In these cases, funding for the work is established within the approved CIP or departmental budgets. Staff is now recommending the extension of two of the three original agreements, through June 30, 2025. Staff is satisfied with the quality and timeliness of work being performed by FCS and Rincon. Staff is not recommending the extension of the original agreement for PlaceWorks due to inadequate performance during the initial three-year term. There will be no change in the total aggregate compensation, which was previously approved at a $1,500,000 maximum. Similarly, no change is recommended to the approved task authorization maximums, currently established as follows: • The Director of Community Development is authorized to approve task authorizations up to $100,000 for CEQA services funded entirely by a project applicant, and up to $25,000 for CEQA services funded by the City. • The City Manager is authorized to approve task authorizations up to $250,000 for CEQA services funded entirely by a project applicant, and up to $100,000 for services funded by the City. Staff anticipates issuing a new RFQ process in the coming year to establish an updated pool of three to five on-call consultant firms to perform CEQA-related work. The new contracts would be established effective July 1, 2025, following consideration and approval by the City Council. EQUITY AND SUSTAINABILITY Not applicable, as this item is a routine matter of City business. OUTREACH No outreach was conducted, as this item is a routine matter of City business. STRATEGIC PLAN ALIGNMENT Not applicable, as this item is a routine matter of City business. FISCAL IMPACT Work under these on-call agreements is assigned on an as-needed basis and funded by the applicant through reimbursement agreements for private development projects. City-sponsored projects are funded through specific CIP funds or budgeted Professional Services accounts, depending on the work to be performed. Applicant-funded work is most common under these agreements, and the City applies the 25 percent Administrative Fee included in the Master Fee Schedule to applicants as part of the reimbursement agreement, which covers staff time to manage these contracts, review draft documents, etc. There is no new financial impact related to the extension of these two on-call agreements, as budget for specific work will be assigned Page 38 of 428